Thailand Cuts 2010/11 Main Rice Crop Forecast

Thailand, the world's biggest rice exporter, has cut the forecast for its 2010/11 main crop slightly to 22.3 million tonnes of paddy after the country was hit by floods, an Agriculture Ministry official said on Thursday. That was down from the previous forecast of 22.6 million tonnes and compares with output of around 23 million tonnes in normal years, Apichart Jongsakul told Reuters. "Flooding in some places in the central, low-lying areas has lasted longer than expected, damaging more of the rice output," Apichart said. The limited damage was in line with traders' estimates, most still expecting Thailand to produce more than than 22 million tonnes despite the flooding. The flooding hit Thailand's northeast and south, the country's main rice and rubber areas respectively, killing up to 203 people since October. Flood water still remained in at least 18 provinces. Harvesting of the country's main rice crop usually starts in November and finishes in late January. After finishing havesting, farmers in well-irrigated areas usually start planting a second, smaller crop that usually produces 5-7 million tonnes of paddy. However, traders and officials said recent flood water was likely to bring fertile alluvial soil to the flooded areas that could help boost the second crop. "We might have up to 8 million tonnes of paddy from the second crop," one trader said. Harvesting of this crop starts in late June.