Under the new policy, the ministry will release rice in warehouses more often by opening it up for bidding. It will prevent a market monopoly by offering several lots. So far this year, government warehouses have handled 3,105,840 tonnes of rice. Of that, 615,525 tonnes are jasmine rice and 2,490,315 tonnes are white and other kinds of rice.

 Commerce Minister Krirkkrai Jirapaet said the new strategy would not only stabilise prices, but also create more transparency in the government's bidding process. Rice exporters and traders will have more time to prepare for participation in the bidding, he said. Krirkkrai said the government was planning to negotiate with importing countries such as Iran, the Philippines, Malaysia, Cuba and Liberia to buy rice under government-to-government contracts. The ministry will also work with the private sector to find new export markets, particularly in Africa.

Vichai Sriprasert, honorary president of the Rice Exporters Association, said the new policy would solve the problem of supply shortage for exporters. "The government is the biggest player, handling the largest rice stockpile, and it causes difficulty for exporters to manage the business as the government expects high bidding prices," he said.

Petchanet Pratruangkrai, The Nation