In early March, the Myanmar Rice Federation (MRF) introduced for the first time a basic floor price for rice, excluding high-grade varieties. The price for the 2018 low-quality paddy rice was set at MMK 500 000 per 100 baskets, one basket is equivalent to around 20 kilograms. All MRF member rice mills, rice traders and agents and private companies, will purchase paddy from farmers at the set rate. However, if market prices rise above the floor price, purchases would be made at the prevailing price. The floor price is set based on the production cost, as well as prices in the domestic and international market and aims to protect farmers during harvest time.