NAYPYIDAW – Due to the falling price and difficulty in selling, export companies will purchase 1.5 million bushels of unripe rice for about 140 billion kyats, according to the Myanmar Rice Federation Press Release No. (02/2025) dated March 22, 2025. This announcement comes in light of the business coordination meetings and discussions of the Myanmar Rice Federation held on the same day.
Currently, the situation is challenging for farmers as both international and domestic demand for rice has declined. This drop in demand has caused a growing concern among rice producers about the plummeting prices and the struggle to sell their harvest. As a response, the Myanmar Rice Federation is stepping in to coordinate with export companies and member rice mills. They plan to purchase not only 1.5 million bushels of unripe rice but also an additional 4 million bags of unripe rice scheduled for April and May 2025.
During the meetings held recently, officials from the Federation also discussed significant negotiations aimed at bolstering the parboiled rice sector. These negotiations are targeted at upgrading 30 parboiled rice mills, with a notable goal of exporting 3 million tons of parboiled rice in the fiscal year 2025-2026. This ambitious target aligns with the Federation's efforts to strengthen the rice industry in the country.
Moreover, part of the discussions included the integration of renewable energy solutions. The Federation held negotiations regarding the installation of 41.5 megawatts of solar energy systems in large rice mills that have signed memorandums of understanding (MoUs) with the Federation and are currently engaged in exports. They deliberated on various systems that could enable the purchase and utilization of solar-generated electricity through investments from solar companies. Additionally, discussions also convened over suitable methods to obtain necessary water resources for agricultural crops.
The Myanmar Rice Federation's proactive initiatives aim to address the concerns many farmers are facing due to the economic downturn and fluctuation in market prices. By stepping in to purchase large quantities of unripe rice, the Federation is not only assisting the farmers but also attempting to stabilize the market and restore confidence.
Export companies involved in the rice trade have expressed their support for the Federation's measures, recognizing that they have significant ramifications for the stability of the sector. With rising prices and demand looking uncertain, these steps may provide some relief to the farmers worried about securing a fair price for their labor.
As the Myanmar Rice Federation prepares for the coming months, they will continue to monitor market conditions closely, ensuring that they are ready to take further action as needed to aid farmers during such unpredictable times.
