Thai Govt Offers 300,000 MT Of 5% White Rice

The Thai Commerce Ministry offered to sell 300,000
metric tons last week of 5% white rice from the 2004-05 and 2005-06 harvest
seasons through the Agricultural Futures Exchange of Thailand, an official at
the Public Warehouse Organization said Monday.

  It was the second round of bidding for 5% white rice in a move to reduce the
government's huge rice stockpile, after the government launched the first in
April.

  The government has remaining stock of around 1.8 million metric tons of white
rice and 1 million tons of jasmine rice.

  The government adjusted some conditions for the second bidding on the AFET in
an attempt to reduce stocks more quickly and attract more bidders, the official
said.

  The ministry shortened the period for winning bidders to carry rice out of
the government's warehouses to 30 days from the previous 40 days.

  After the first round of bidding, only 40% of the rice was sold from
warehouses, the official said.

  The change of some conditions would draw more bidders and create a
competitive environment. "New bidding conditions allow the government to gain
better prices," he said.

  The ministry offered 33,098 tons of white rice from the 2005-06 harvest for
the first time via the AFET in April, at prices lower than market prices.