Angry rubber farmers plan rally in Bangkok on Monday over prices

By The Nation

 

File photo

 

Rubber farmers will rally in Bangkok next Monday to pile pressure on Agriculture Minister General Chatchai Sarikulya over what they see as his failure to adequately address falling rubber prices.

“Chatchai should take responsibility for the mistake,” Tanomkiat Yingchuan, an adviser to the network of rubber farmer groups, said yesterday.

 

Rubber farmers from provinces across the country will join the rally, he said. Participants would wear black during the protest and read out their statements in Bangkok. 

 

Rubber farmer groups are upset that during Chatchai’s term as agriculture minister, the Thai Rubber Authority formed Thai Rubber Joint Venture Co Ltd in collaboration with five big rubber firms to the detriment of small-scale farmers. 

 

“While the joint venture was supposed to help farmers in principle, it has in practice benefited investors,” Tanomkiat said. 

 

He said his group would demand that the Thai Rubber Authority withdraw from the joint venture and strictly enforce rubber-price management rules.

 

“Also, we hope the government will seriously promote the use of rubber in the country,” he added. 

 

Source: http://www.nationmultimedia.com/detail/national/30331254

 

-- © Copyright The Nation 2017-11-10

What were they thinking, this Govt has shown that small farmers are not up their list of priorities?

3 hours ago, webfact said:

“Also, we hope the government will seriously promote the use of rubber in the country,” he added.

For things like what?

 

Maybe invest a bit in your own sector and start doing research to find new applications for your product instead of sitting in the shade crying till the government solves your problems.

I've got a good idea. Why doesn't the government buy all the rubber and stockpile it and wait until the price goes up then flog it off and make a killing. Proven formula for success.

Supply and demand determines the prices - what exactly can the gov. do to help? 

 

I do feel for the rubber growers though. They've invested in land, trees and in some cases machinery in the hope/belief that prices would remain high/stable. 

 

It's difficult to make a decent living nowadays. 

 

 

23 minutes ago, Cadbury said:

I've got a good idea. Why doesn't the government buy all the rubber and stockpile it and wait until the price goes up then flog it off and make a killing. Proven formula for success.

And maybe do a couple of G2G deals to reduce the stockpile. What could go wrong!

34 minutes ago, djayz said:

It's difficult to make a decent living nowadays.

especially as a farmer

4 hours ago, webfact said:

 

Rubber farmers will rally in Bangkok next Monday

Should rally in Nakorn Si Thammarat at ex-monk Suthep house. He has a direct line to Prayut and he owes the rubber farmers big time. Perhaps get him to lead the rally to Bangkok and blow their whistles. .  

1 hour ago, djayz said:

Supply and demand determines the prices - what exactly can the gov. do to help? 

 

The big tirecompanies don't want thai rubber anymore because it's mixed with chemicals that make it unusable for them...they have warned them already to stop the mixing but they refused.

 

So the government can put the farmers who mix with chemicals in jail to save the good name of the thai produce in general.

typical thai farmers, they decide what they want to grow then when the prices dont appeal to them they whinge at the govt to pay them more than what their product is worth on the world market. Has nothing to do with the govt as to what the prices are, farmers need to realize the only people responsible are themselves and stop trying to make everyone subsidize their choices.

Who is to blame for poor rubber prices????

The silly bloody farmers, ohh my neighbour has been making BIG money from, rubber.

I will jump on the band wagon, and grow more than him, so after a while over supply price crashes then lets moan, make lots of noise so the government will bail us out.  

5 hours ago, webfact said:

Rubber farmers will rally in Bangkok next Monday to pile pressure on Agriculture Minister General Chatchai Sarikulya over what they see as his failure to adequately address falling rubber prices.

i get the impression they would rally and complain even if prices were high

2 hours ago, Cadbury said:

I've got a good idea. Why doesn't the government buy all the rubber and stockpile it and wait until the price goes up then flog it off and make a killing. Proven formula for success.

Yes we have seen how well that worked, funny that many on this board still defend it. Its crazy to stuff like this farmers need to accept that the world market dictates the prices. 

27 minutes ago, seajae said:

typical thai farmers, they decide what they want to grow then when the prices dont appeal to them they whinge at the govt to pay them more than what their product is worth on the world market. Has nothing to do with the govt as to what the prices are, farmers need to realize the only people responsible are themselves and stop trying to make everyone subsidize their choices.

Normal salary worker gets in trouble loses his job... no help... farmer gets in trouble.. money needs to be spend to help them. Just because farmers are a power block. Totally unfair.

I hope they all split up into small groups of four and spread out across the place!

Otherwise...

 

Its a weak world market for rubber.

 

Maybe call YL back to work out a by back plan?

 

This was started by the General when he said he would help them out, about 2014? Now he can't keep to his word as world prices are not moving.

2 hours ago, Bob12345 said:

For things like what?

 

Maybe invest a bit in your own sector and start doing research to find new applications for your product instead of sitting in the shade crying till the government solves your problems.

..prices should bounce back.

5 hours ago, webfact said:

“While the joint venture was supposed to help farmers in principle, it has in practice benefited investors,” Tanomkiat said. 

Welcome to the real world. 

46 minutes ago, robblok said:

Yes we have seen how well that worked, funny that many on this board still defend it. Its crazy to stuff like this farmers need to accept that the world market dictates the prices. 

The level of sarcasm in the post you quoted was so high even i could see it. But it still went under your radar... 

Edited November 10, 20178 yr by Bob12345

The state owned BAAC seem to have more faith in rice than rubber prices going forward. They have initiated a 80 B loan and grant plan for rice farmers who delay selling in order to stabilize prices. Rubber prices are facing steep headwinds as the buying from China has stagnated due to their faltering tire industry and the future looks bleak. The government will have to introduce structural reforms for the local rubber industry.  Doubt they have the competency to do that. 

2 hours ago, Thian said:

The big tirecompanies don't want thai rubber anymore because it's mixed with chemicals that make it unusable for them...they have warned them already to stop the mixing but they refused.

 

So the government can put the farmers who mix with chemicals in jail to save the good name of the thai produce in general.

Rubbish!

If you look at the data, there is no reason the price of rubber should be as low as it is, almost half from a year ago.

Chinese imports of rubber are up 6% from this time last year.

TOCOM recently hit it's highest peak in 5 weeks.

The yen/dollar exchange rate should make prices higher.

A world surplus this year is expected at a mere 50,000 tonnes which in the grand scheme of things is a gnats cock.

It's all to do with poor management in this country with the middlemen creaming a handy profit. AND, even more so, the men in suits (speculators) in Shanghai, Singapore and Tokyo stock exchanges hedging their bets (getting rich) on the back of rubber farmer's suffering.

 Rice is 5 baht a kilo !!!! at a rice mill. 5000 baht a ton!!! That is just ridiculous.

People are hurting big time, and the majority of comments on here are your typical TV lack of thought nor knowledge on a subject they know nothing about.

Still. Only peasant farmers hey?

 Carry on hating, experts...

Empathy? You lot don't even know what the word means.

Edited November 10, 20178 yr by thaiguzzi

3 hours ago, Cadbury said:

I've got a good idea. Why doesn't the government buy all the rubber and stockpile it and wait until the price goes up then flog it off and make a killing. Proven formula for success.

Already tried.

• The deputy minister attributed the good price prospect for rubber to fact that the ministry had been allocated with 10 billion baht to purchase up to 200,000 tonnes of rubber sheets in two lots – 100,000 tonnes with 4 billion baht and and the rest with 6 billlion baht – through the rubber buffer stock programme. http://englishnews.thaipbs.or.th/agriculture-ministry-is-confident-rubber-prices-will-increase-in-mid-may/

The rubber buffer stock programmed failed to move world market prices higher.

So Prayut followed with another program.

• The Public Warehouse Organisation would buy directly from rubber farmers 100,000 tonnes of raw rubber and rubber sheets at “leading” market price. It was expected that the “leading” or above-market price offered by the PWO will help drive the market price up. http://englishnews.thaipbs.or.th/pwo-told-to-buy-100000-tonnes-of-rubber-from-farmers/

In the short term prices did increase but as a long-term solution was panned by DPM Somkid (government lose too much money if prolonged program?).
In July 2017 Prayut declared that the government's efforts have been taken to address the sustained rubber price crisis and that the worst was over. 

https://www.thaivisa.com/forum/topic/991913-worst-rubber-price-crisis-over-pm-prayut/?utm_source=newsletter-20170711-1219&utm_medium=email&utm_campaign=news

 

 

 

I don't know when I read it. It might be several years ago. In that article it was saying that the quality of Thai rubber was way below the worldwide minimum standards and Thai rubber was mixed up with other substances to gain more profit on it. The Thai were selling it for a price above high quality rubber. The demand on Thai rubber went down due to this Thai scam !!! 

 

I think the rubber farmers have to blame themselves for this situation... But you know Thai, it's never their fault, always blame it on others...

1 hour ago, Bob12345 said:

The level of sarcasm in the post you quoted was so high even i could see it. But it still went under your radar... 

No the sarcasm did not go under the radar, its true that people on this board still defend the rice program. 

21 minutes ago, thaiguzzi said:

If you look at the data, there is no reason the price of rubber should be as low as it is, almost half from a year ago.

Chinese imports of rubber are up 6% from this time last year.

TOCOM recently hit it's highest peak in 5 weeks.

The yen/dollar exchange rate should make prices higher.

A world surplus this year is expected at a mere 50,000 tonnes which in the grand scheme of things is a gnats cock.

It's all to do with poor management in this country with the middlemen creaming a handy profit. AND, even more so, the men in suits (speculators) in Shanghai, Singapore and Tokyo stock exchanges hedging their bets (getting rich) on the back of rubber farmer's suffering.

 Rice is 5 baht a kilo !!!! at a rice mill. 5000 baht a ton!!! That is just ridiculous.

People are hurting big time, and the majority of comments on here are your typical TV lack of thought nor knowledge on a subject they know nothing about.

Still. Only peasant farmers hey?

 Carry on hating, experts...

Empathy? You lot don't even know what the word means.

Are there not a 1000 KG in a ton... so 5 x 1000 = 5000 

Are you saying the rice mills make a killing or are you saying something else.. not sure what you mean.

 

As for the Yen and dollar higher, so what.. these contracts were made before and the prices calculated based on the dollar and yen then. They make sure they cover the funds before. Would you be so fanatic if the dollar / yen went lower and farmers got less ?

 

Empathy yes, but not for people with a failing businessmodel that are unwilling to change. If a business is failing year after year why should the taxpayer fund it. I have all the empathy in the world to help people change and educate them, just not for supporting a failing business year in year out. I am the kinda guy that advocates support to change people and their business so they can stand on their on two feet instead of living on handouts. 

2 hours ago, Eric Loh said:

Should rally in Nakorn Si Thammarat at ex-monk Suthep house. He has a direct line to Prayut and he owes the rubber farmers big time. Perhaps get him to lead the rally to Bangkok and blow their whistles. .  

Prime Minister Prayut Chan-ocha has brushed aside a suggestion former leader of the People’s Democratic Reform Committee Suthep Thaugsuban that the government should subsidise the price of rubber sheets at 60 baht a kilogramme. (2016-01-12) http://englishnews.thaipbs.or.th/pm-brushes-aside-sutheps-suggestion/

Prayut may have felt he paid off rubber farmers for their loyalty after the coup with various subsidies, soft loans and price guarantee programs like the PWO purchases, direct government agency purchases and the rubber buffer stock program. As recently as June 2017 the government moved to introduce several measures to stabilise rubber price at 70 baht per kilogram.(!?!) http://englishnews.thaipbs.or.th/government-help-rubber-planters/

Suthep's time as a significant influential leader may have expired.
 

Edited November 10, 20178 yr by Srikcir
grammar

35 minutes ago, Srikcir said:

Suthep's time as a significant influential leader may have expired.

one can hope so

3 hours ago, colinneil said:

Who is to blame for poor rubber prices????

The silly bloody farmers, ohh my neighbour has been making BIG money from, rubber.

I will jump on the band wagon, and grow more than him, so after a while over supply price crashes then lets moan, make lots of noise so the government will bail us out.  

Perhaps it is the quality of the rubber trees that is the problem. Price may not be the reason farmers have low incomes; it might be quantity of the rubber produced and the quality that is impacting on their overall revenue. Historically Thailand has been recognised as having aged and low yielding rubber trees which possibly could adversely affect the quality.

I suspect the rubber farmers recognise this but choose not to accept it.

 

12 minutes ago, Cadbury said:

Perhaps it is the quality of the rubber trees that is the problem. Price may not be the reason farmers have low incomes; it might be quantity of the rubber produced and the quality that is impacting on their overall revenue. Historically Thailand has been recognised as having aged and low yielding rubber trees which possibly could adversely affect the quality.

I suspect the rubber farmers recognise this but choose not to accept it.

 

"Top down" society.

 

The "Big Man" (local, regional or national) decides to the peoples benefit, or more frequently, detriment.

 

The people don't think, imagine or look for alternatives (they're not supposed to).

 

That's the problem that was, is and will be.