Strategies of Logistics Cost Management for Rice Exports by Sea Transportation to the International Marketing: A Case of Large Exporters

Abstract

This research aimed to 1) study logistics cost structure before rice exports to international markets by sea, 2) to create model of logistics cost structure before rice exporting to the international marketing by sea, and 3) provide recommendation for logistics cost management before rice exports by sea to international markets, contribute new knowledges, resource management, and guidelines for policy making to public and private sectors. This research employed a qualitative method including document analysis, in-depth interviews, and focus group discussions. The findings showed that there were 2 ways of logistics cost structure before rice exports by sea including loading rice onto large ships and containers. These 2 methods comprise different activities, procedures, and costs. Thus, theoretical models of logistics cost structure before exporting rice are different. Therefore, strategy for logistics cost management before exporting rice in the future would be importing packaging from abroad and developing mode of transporting containers from using truck to water transportation by using container vessels to reduce costs and increase competitiveness.