Thailand’s Rice Industry Market Size is predicted to show a 3.5% CAGR (The compound annual growth rate) during the forecast period for 2023-2025.

Between 2022 and 2024, Thailand’s rice production is predicted to rise due to favorable weather trends, increased rainfall, and sufficient water in dams. The government’s support, particularly through income insurance initiatives, is likely to encourage farmers to expand cultivation. As restaurants, hotels, and food processing industries recover, domestic rice demand is expected to improve. Exports are projected to grow as trading partners’ purchasing power gradually recovers. Anticipated higher production may lead to a decrease in the price of Thai rice. Post-COVID-19, transportation and logistics are expected to become more adaptable. However, Thai rice exporters still face competition from countries like India and Vietnam, which have developed high-yield, cost-effective rice varieties.

Basic information:

Thailand holds a prominent position as a significant global rice producer and exporter. In the 2020/2021 period, Thailand ranked 6th worldwide in rice production, contributing to 3.7% of the global output. This places it behind China, India, Indonesia, Bangladesh, and Vietnam, which account for 29.3%, 24.1%, 7.0%, 6.8%, and 5.4% of production, respectively. Moreover, Thailand stands as the third largest rice exporting nation, holding an 11.9% market share, trailing behind India and Vietnam, which possess larger shares of 38.9% and 12.9%, respectively. Competing countries such as Pakistan, the United States, and China also play notable roles in the market.

Largest Region:

In the 2020/21 crop season, Thailand cultivated rice across a total planting area of 68.86 million rai, with a major focus on the Northeast, Lower North, and Central regions. Rice cultivation in Thailand heavily relies on rainwater. A crucial planting period spans from May to July each year, coinciding with the rainy season, and the harvest takes place at year-end. This type of rice is referred to as “Napee rice.” The country’s rice production primarily consists of white rice, jasmine rice, and glutinous rice, constituting over 84% of the total annual output. The remaining 16% constitutes “off-season rice,” which is cultivated during the dry season and necessitates irrigation. This rice type is typically grown in the Central and Northern regions.

Competitive Landscape:

Thailand’s major rice players.