Warehouses that are piled high with degraded rice will soon be alleviated of their stockpiles as the government intends to accelerate sales, in a bid to ease the financial burden of storage.
The Commerce Ministry will sell the rice at a loss rather than store the rice, which is said to be costing 17 million baht per day!
Much of the rice will be sold at auction. It is expected that a million tonnes will sold off to be used as bio fuel.
This is the second occurrence of the “cheap rice” sales following a 1.6 million tonnes auction recently. The degraded rice from that sale went for animal feed.
Clearly something must be done to either increase sales of the rice worldwide or encourage farmers to grow other produce.