The government has successfully concluded the auctioning of 15,000 tonnes of rice, a residual from the Yingluck Shinawatra administration’s rice-pledging scheme. This surplus was sold to the two highest bidders, fetching approximately 244 million baht, according to an insider from the Commerce Ministry.
In an exciting turn of events, Sup Saeng Thong Rice Co emerged victorious with the highest bid for 11,656 tonnes of rice stored at the Kittichai warehouse, offering a competitive price of 15.61 baht per kilogram. Meanwhile, for the remaining 3,356 tonnes of rice stored at Poonpon Trading Co’s warehouse, Sahatan Co claimed the top bid, offering a striking 18.69 baht per kilogram.
Now, in what promises to be a flurry of paperwork and signatures, the Public Warehouse Organisation (PWO) is set to summon the two winning companies to sign the necessary contracts between July 23 and August 14. An inside source revealed that these companies will need to deposit a 5% guarantee of their purchase value. Following this initial step, payments are expected to flow in between August 15 and September 13, by which time the rice will be handed over to the eager new owners.
Adding a layer of intrigue, Deputy Prime Minister and Commerce Minister Phumtham Wechayachai had previously instructed the PWO to accelerate negotiations with three remaining bidders. This came after three other companies were disqualified due to their associations with entities embroiled in legal disputes from earlier auctions. The ousted firms include V8 Intertrading Co, Thanasan Rice Co, and SSMR Karnkaset Plc.
While these disqualified companies weren’t directly accused of causing harm during past auctions, their connections to other parties involved in dubious activities during previous sales of cassava and rice were enough to seal their fate. In a bid to secure the best deal, Mr. Phumtham hinted that the PWO was keen to negotiate a better offer with the three remaining companies, though their initial bids were lower than those of the disqualified winners.
In this dramatic auction saga, the highest bidders happily secured the rights to purchase the prized rice stored in each of the two warehouses. As the dust settles on this intense auction process, all eyes will be on Sup Saeng Thong Rice Co and Sahatan Co as they prepare to bolster their rice supplies and fulfill their contractual obligations. Whether this auction will be a milestone for future government schemes or just another chapter in the ever-evolving rice-pledging narrative remains to be seen.
I’m glad to see that the government is finally getting rid of this surplus rice. It’s about time they did something productive with it!
Totally agree! These schemes were such a waste of resources in the first place.
But at least it’s getting resolved now rather than just sitting there.
True, but I hope the new owners actually do something useful with it.
Sounds like another example of government inefficiency. How long has that rice been sitting there?
Exactly! They should’ve auctioned it off years ago, instead of letting it spoil.
Honestly, the real problem is the shady deals happening behind the scenes.
Any thoughts on the disqualified companies? It seems a bit sketchy to me.
Yeah, makes you wonder what kind of ‘associations’ they had. Corruption, maybe?
For sure! There’s always something fishy when companies get barred like that.
It’s not uncommon for businesses with dubious ties to be excluded from these types of deals. Better safe than sorry.
Exactly, the whole process needs more transparency.
Yingluck’s rice scheme was doomed from the start. Classic case of good intentions, poor execution.
I’m just relieved that Sup Saeng Thong Rice Co won. They have a decent reputation.
Does anyone know what happens if these companies fail to make their payments? Is there a backup plan?
Good question. Knowing these types of deals, probably not.
Typically, there would be penalties or the next highest bidders might be given a chance. Although it’s rarely smooth.
Hope this auction will help stabilize rice prices. They’ve been quite unstable lately.
This amount of rice probably won’t make a huge difference in prices, but maybe it’ll help a bit.
The guarantee deposit seems like a good way to ensure commitment. Wonder if 5% is enough?
Yeah, 5% doesn’t seem like much considering the total value of the purchase.
It’s likely a standard practice. Enough to ensure some seriousness but not too high to deter serious bidders.
Sahatan Co offering a higher price per kilogram for less rice is interesting. Do they know something we don’t?
This entire process must be a logistical nightmare. Props to the PWO for managing it.
Phumtham pushing for better deals is a smart move. Negotiate till the end!
Agreed, no need to settle for less if there might be a better offer out there.
The entire auction process relies heavily on trust. Hope there’s no room for corruption.
Given the history, trust is always shaky at best. Let’s hope for the best.
Good for local agriculture! Excited to see what these companies do with the rice.
Indeed! Any action that boosts local farming is a win for the community.
Let’s hope they don’t just export it all.
I wonder what Yingluck thinks about this latest development in her rice scheme.
Future government schemes need to be better planned. We can’t afford such waste again.
Agreed! More foresight and less reactionary planning should be the goal.