CNI News
30 July 2023

Because business people are making speculations on foodstuff prices under the pretext of 20,000 kyat banknotes that will be issued, although the prices of rice have risen, the prices will fall again in two months, said rice farmers and traders.

Although the prices of rice usually rise in July and August, because the news that 20,000 kyat notes will be issued came out, rice prices went up even more.

At present, the prices of commodities including rice have come to rise due to reporting 20,000 kyat notes will be issued, but the prices of rice will fall again in October when the rain rice is available, said U Thein Aung, chairman of the Farmers Development Association, to CNI News.

" The prices of rice tend to go up a little at a time like this, but under the business people's pretext that 20,000 kyat note will be issued, the prices are raised and all the prices are going up. If one billion 10,000 kyat notes were printed without issuing 20,000 kyat notes, who would know that? That all prices are going up is the action of the businessmen. When it's time to harvest rice in October, the businessmen drop the prices. And then, the prices will surely fall." he said.

rice was being sold

There are 37 million acres of rainfed rice in Ayeyarwady, 2 million acres in Yangon Region and 35 million acres in Bago Region. Rainfed rice will appear abundantly in October, November and December and the prices of rice also decrease, said farmers. At present, the prices of rice are going up from 2,000 to 3,000 kyats a bag (about 105 lb) and the prices of Shwebo Paw San are going up from 5,000 to 6,000 kyats, said U Zaw Khaing, joint secretary of Wahdan Commodity Depot in Yangon Region to CNI News.

The local prices of rice depend on exporting and as export revenue policy is relaxed, rice is being bought increasingly to be exported. So, the prices at the same time  tend to rise, said U Than Oo, secretary of Bayintnaung Rice Commodity Depot to CNI News.

" If exporters don't buy rice, the prices fall. If they buy, the prices go up a little. The rice yield will be low in Augusta and October and so those who store rice will sell their rice at the end of October when new rice appears. It seems at all less likely to drop the prices." he said.

Although the price of rice that is exported was about 53,000 kyats a bag before, now is about 58,000 kyats because the demand is high reportedly.

The rice whose price is about 60,000 kyats a bag is currently being increasingly bought reportedly from the Bayintnaung Commodity Depot.