“Several deals were done at $950-$1,040 per ton in late April and all of them were parboiled rice,” one exporter said, adding that the rice would be shipped in May and June.

Thai 100 percent parboiled rice was quoted at $1,050 per ton yesterday, free on board (FOB).

One trader said the deals were done through international trading houses which had commitments with exporters in Thailand, the world’s biggest rice exporter.

Nigeria, a traditional buyer of Thai parboiled rice, purchased 327,025 tons last year. Traders expect sales of up to 500,000 tons to Africa’s most-populous nation of 140 million people this year.

Earlier this month Nigeria suspended custom duties on rice for the next six months to boost private sector imports and curb spiralling prices.

The lifting of import tariffs came barely a week after a top official said the government planned to spend N80 billion ($678 million) on 500,000 tons of rice between May and July to force down rising food prices that have fuelled inflation in Africa’s top oil producer.

The announcement by government of its plan to intervene in the rice market had elicited a drop of 16.7 percent in the price of the produce. Last week, the price of a 50 kg bag sold for N10,000, down from N12,000 it sold just before the announcement.

It is expected that when the new consignment arrives, there may be further drop in price. Reuters