Rice work: Thailand and Vietnam unite to control grain trade – boost power in global market
- Such a move will benefit millions of farmers in the two countries who have struggled with rising costs while prices have remained subdued
- Threat from the major exporters comes amid growing food protectionism and runaway inflation with concerns India may restrict rice exports after wheat and sugar
Thailand and Vietnam should jointly raise rice prices to boost their bargaining power in the global market, according to Thai premier Prayuth Chan-ocha, a move that threatens higher food costs for consumers worldwide.
Such a move will benefit millions of rice farmers in the two countries who have struggled with rising costs while prices of the grain have remained subdued, Prayuth’s spokesman Thanakorn Wangboonkongchana said in a statement. Vietnam’s Deputy Agriculture and Rural Development Minister Tran Thanh Nam met with Thai officials Thursday to discuss a framework for cooperation.
The threat to boost rice prices from the two major exporters comes amid growing food protectionism and runaway inflation. There’s concern that India may restrict rice exports after similar moves in wheat and sugar, upending global food markets already roiled by Russia’s invasion of Ukraine.
While Thailand is not contemplating any curbs on shipments, it’s keen to milk the opportunity as import-dependent countries seek to lock in grain supplies.
Rice has been the one staple grain that is helping to keep the world food crisis from getting worse.