Don't Start A Dairy Farm In Thailand

[importford]

warning to all the farmers in thailand that have the intention to start a dairy farm.

it seems that now is not the moment to start a dairy farm in Thailand

it seems that there is overproduction in Thailand:

PM affirms to help solving oversupply of raw milk

Prime Minister assures that the Government will support the Dairy Co-operatives Federation of Thailand Limited in solving the oversupply of raw milk.

Prime Minister Abhisit Vejjajiva received dairy products from the Dairy Co-operatives Federation of Thailand Limited (DCOFT) at the Cabinet meeting today (January 6), after the cabinet has rarified the solutions to solve the raw milk oversupply on December 30, 2008. The overall of 60 million Baht was provided to the Dairy Farming Promotion Organization of Thailand (DPO) and DCOFT in order to purchase 2,000 tons of raw milk to produce 10 million packs of pasteurized milk and distribute to residents during the New Year Festival.

The PM reaffirmed that the Government would continue to assist on this matter by ordering Minister of Agriculture to help negotiate among milk producers and entrepreneurs.

Edited January 7, 2009 by soundman
Fixed formatting.

[Gary A]

If they have a surplus of milk, it appears like a good time to start cheese production. Unfortunately Thais are not fond of cheese but it would be a good export product.

[Maizefarmer]

mmm .. this is an ongoing issue, and those of you in Thailand a few years ago will remember when diary farmers protested outside Government House by pouring urns of raw milk into the street in protest.

The problem stems from Thailands partcicpation in regional free trade - which as far as dairy products are concerned has lead to an ever increasing amount of processed diary products been imported into Thailand from other so-called Pacific - rim countries (namely NZ and Aus) - mostly in the form of powered and dried diary products.

The way the government likes to present the problem is usualy to leave out the free trade aspect. In fact, we have a shortage of diary products in thailand. Note - this is different to raw milk. Thailand needs to develope its diary processing industry. So long as it lags behind as it currently does, Pacific rim countries with well established and developed proccessing plants will conitue to be able to produce milk, and process it, and then package and transport it to Thailand cheaper than Thailand can even produce milk!

For those who are thinking of diary farming on a commercial scale - I would think very hard before making the committment. Your main concern will not be an oversupply of raw milk to co-ops, but the cost of energy.

Cheese - yes, its always given the best return on raw milk. Lets hope Bill.H (Minor Foods Group) keeps promoting Thai pizza consumption!! - the biggest consumer of Thai produced cheese.

[euca]

First read this yesterday. Bought a 250g - no, 227g - pack of butter an hour ago. Twice the price of two years ago and from Oz. Bought Thai product two years ago - Orchid brand(?). Perish the thought but could there be an incentive in the cdioorrs of peowr to promote imports??? [anag.] Reminds me of UK, dangerously useless Italian armoured personnel carriers at twice the price and someone famous having long free Tuscan holidays. Sorry, I'll get me coat.

[t.s]

phew, thanks, that was close.