60 Rai 2million

[IsaanAussie]

I think there is another perspective to rural land purchases in the near future.

Yes I completely agree that the baht is way over valued currently and surely must fall. But if you have been into a supermarket lately you will find most "non-essentials" especially imports and foreign owned, local company produced items have risen sharply. That seems odd to me. Couple this with the enthusiastic plunge into rice and other crops this year by many farmers after the last rice surge. Many of these people followed the traditional funding route of 3% per month to purchased fertiliser via the merchants, again after very steep increases in fertiliser prices. Now with rice prices are dropping, costs continuing to escalate as the government relaxs controls, and with debt levels rising again, I believe the bottom may well drop out domestically before an international influence causes it.

Either way there are liable to many "Hot Money" cheap deals looming. If it isn't land, then it will surely be repossessed tractors that seem to be growing in number fastest than cassava plants and rubber trees.

For me, I am tending to look at renting land rather than buying more. Consider this, you buy a reasonable 2nd hand excavator with the intention of digging dams for say 200K. You negotiate mid term leases for land (dry season only) with a condition that you build a dam on the land, rental at say 1 to 200 baht per rai/month over 5 years. Do the maths, on a single ten rai block or even a few smaller holdings totalling ten rai, I find it hard to justify purchasing. What I need is more feed for animals and the cheapest way of obtaining it....

Just a thought....

Isaanaussie

[Pierrot]

Either way there are liable to many "Hot Money" cheap deals looming. If it isn't land, then it will surely be repossessed tractors that seem to be growing in number fastest than cassava plants and rubber trees.

I guess these repossessed goods should be put for auction somewhere, any idea where ?