Thai rice prices are likely to rise in the next few days, boosted mainly by resurgent demand from Nigeria, traders said on Thursday.
Parboiled-grade from Thailand, the world's top rice exporter, was offered on Thursday at $262 per tonne FOB, up from last week's $250.
"Buyers from Nigeria are now in the market. They have bought some and more requirements are coming in," said one trader.
Nigeria buys a total of around 1.8 million tonnes of parboiled rice a year and was Thailand's largest rice customer in 2001, when it bought 1.7 million tonnes.
However imports dropped sharply in 2003 to 500,000 tonnes due to stiff price competition from India, which has emerged as a major rice supplier in recent years and is now Thailand's closest rival in the Nigerian market.
India shipped a record 6.9 million tonne in 2002 and four million tonnes in 2003.
It offered its parboiled rice grade at $250 per tonne FOB on Thursday, traders said.
India's competitive advantage over Thailand has waned since New Delhi stopped subsidising rice exporters last August because of low stocks and a shortage of rail wagons for international transport.
Thai exporters have sold 35,000 tonnes of parboiled rice at $256-258 FOB for May shipment to Nigeria, traders said.
Between January 1 and March 31, Thailand exported 2.07 million tonnes of rice, up from 1.6 million in the same period last year.
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