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How Can I Make Money In Rural Thailand /Isaan


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Posted (edited)

You make 1 million bht+ per year out of tractor work??

I find that very hard to believe.

My wifes family own tractors/harvesters etc and they work very hard.

MAX income is 200k/year.

There is a lot of competition out there, every second Thai owns some kind of tractor in Issan.

Maybe I'm missing something here, could you give us a breakdown of where your income is derived?

I have already told you that I harvest over 2k rai/pa, at Bt600/650/rai the income is in excess of Bt1.2m, plus tractor work (plough, rotavate, baling, land management, etc), income from 40 rai (mainly rice and chillies). I don't really care if you believe or not - you obviously miss quite a lot.

What is it that people say about looking at the forest and failing to see the trees? Or is it the other way around? I have seen PN's equipment and operation and whilst the equipment may be the same, the business operation I would suggest is quite possibly very different. From my own experience, my little tractor was (ab)used by relatives in their attempts to get rich and simply sat there until I got back and paid to fix it. The work that was lined up, forgotten. Now when the story is retold, they tell of the year when they only made 9,000 baht ploughing. My side of the same story is I lost 10,000 baht pulling out tree stumps with a chain tied to the back end of the plough.

I mean no disrespect to your wifes family Exile, but I suggest you look as much at the business acumen and methods as the machinery.

Isaan Aussie

Guys...slow down!

My wife's mum & dad own a restaurant, they know very little about farming. Her aunt's & uncle's are the farmers.

All I asked was can one really make 1.2 million bht from 40 rai of rice/chilles and tractor work!

My wife is an admin manager but has a degree in Agriculture.

We recently bought some beautiful fertile land and I'm just fishing around for some ideas. A hobby farm.

I never realised that one can earn 100k+/mth from growing rice on 40 rai and a bit of tractor work. 25 thousand baht a week!!

:jap:

Edited by Livinginexile
Posted

I never run when I can walk Exile and I hope you dont think me pedantic but you misread PN's numbers. He makes most of the money in only 6 weeks not consistently over the year. Any breakdown of a harvester during this near 24, 7 period of time is expensive as the income becomes nil. It is also a bit more than just a few rai, I think the harvesting operation number mentioned was 2,000 rai.

I wish you well in your hobby farming. Please understand my comments were meant as a compliment to a very well organised guy and not as any sort of snipe at you or your family.

Isaan Aussie

Posted (edited)

I never run when I can walk Exile and I hope you dont think me pedantic but you misread PN's numbers. He makes most of the money in only 6 weeks not consistently over the year. Any breakdown of a harvester during this near 24, 7 period of time is expensive as the income becomes nil. It is also a bit more than just a few rai, I think the harvesting operation number mentioned was 2,000 rai.

I wish you well in your hobby farming. Please understand my comments were meant as a compliment to a very well organised guy and not as any sort of snipe at you or your family.

Isaan Aussie

Thanks for the reply Aussie.

OK, it makes sense now. 2,000 rai of harvesting is another league.

I missed the 2k thing.

I like to break things down. Basically he mentions 1.2 mill/yr minimum.

Averaged out, that means 25k per/week.

Mate, I love reading your posts, very informative.

Please keep it up.

Cheers

Edited by Livinginexile
Posted (edited)

I never run when I can walk Exile and I hope you dont think me pedantic but you misread PN's numbers. He makes most of the money in only 6 weeks not consistently over the year. Any breakdown of a harvester during this near 24, 7 period of time is expensive as the income becomes nil. It is also a bit more than just a few rai, I think the harvesting operation number mentioned was 2,000 rai.

I wish you well in your hobby farming. Please understand my comments were meant as a compliment to a very well organised guy and not as any sort of snipe at you or your family.

Isaan Aussie

Thanks for the reply Aussie.

OK, it makes sense now. 2,000 rai of harvesting is another league.

I missed the 2k thing.

I like to break things down. Basically he mentions 1.2 mill/yr minimum.

Averaged out, that means 25k per/week.

Mate, I love reading your posts, very informative.

Please keep it up.

Cheers

You are welcome exile, but be warned. I post my opinions and experiences based on the fact that my father told me "The man that never makes mistakes, does nothing, and learns the same." I am constantly learning

Edited by IsaanAussie
Posted

Hi Dmax i should go for cassava on 10 rais sugargrowers are operating on really larger areas is what i studied (so far) becasuse the mill is normally doing the harvest and 10 rais is not worth the troubble .cassava needs also more work and you get a better idea of the familys endurance to take care of things .

Thats my own op when i started to farm. so far so good but theres always minor problems to be delt with im not a seasoned farmer i must admitt ,but i followed Khonwans op and im happy with the results

Regards Mikki B)

Posted

I do not own a lot of land - about 40 rai. I make most of my money out of contract work - tractor work, harvesting (about 2k rai/pa and increasing) and baling. Most of my work is done over 6 weeks and I make in excess of Bt1mill. The cost of living here (Sisaket) is very low so I am able to reinvest most of the returns.

2000 rai !?!!...that's a lot of tractor(s) work...and a lot of tractor(s) maintenance works too...

  • 2 weeks later...
Posted

I hear there is good return on rubber tree farms. Since i'm very new to this i'd like to understand the basic thing if any body would take a minute and explain it to me,please

1) I see this term"RAI" is used to describe size of a land,i'm from US and i k'now ACRES,so what is the relationship between them or in other words how many rai fits into one acre or how many acres fits into one rai

2) How many rubber trees are planted per one rai

3) What's the average(if there is such a thing)production per one rai in KG per day or is it by week or month.

4) What are the price fluctuations and where are they now.

I have many more questions, but i don't want to overwhelm a kind responder. Is there a sight that deals with this-i could not find one but than , this is my first time.

Thanks in advance for your kind response,

hopefullandy

Posted

I hear there is good return on rubber tree farms. Since i'm very new to this i'd like to understand the basic thing if any body would take a minute and explain it to me,please

1) I see this term"RAI" is used to describe size of a land,i'm from US and i k'now ACRES,so what is the relationship between them or in other words how many rai fits into one acre or how many acres fits into one rai

2) How many rubber trees are planted per one rai

3) What's the average(if there is such a thing)production per one rai in KG per day or is it by week or month.

4) What are the price fluctuations and where are they now.

I have many more questions, but i don't want to overwhelm a kind responder. Is there a sight that deals with this-i could not find one but than , this is my first time.

Thanks in advance for your kind response,

hopefullandy

Youtube me I have a lot of video on Rubber. Jim
  • 4 months later...
Posted

Khonwan,

I have question.

I've seen your excel file. (casaba 2010)

on the 1st,2nd tab, you calculate Yield (metric tonnes) 2,000 Baht,

but on 3rd tab you calculate 3,600 baht

I think 3600baht is real market price.

I want to know where comes that 2,000 baht.

anything is hidden on market price?

thank you

P.S

Sorry, My English skill is not good. ^^;

I worry about you don't understand my thread.

Posted

I hear there is good return on rubber tree farms. Since i'm very new to this i'd like to understand the basic thing if any body would take a minute and explain it to me,please

1) I see this term"RAI" is used to describe size of a land,i'm from US and i k'now ACRES,so what is the relationship between them or in other words how many rai fits into one acre or how many acres fits into one rai

2) How many rubber trees are planted per one rai

3) What's the average(if there is such a thing)production per one rai in KG per day or is it by week or month.

4) What are the price fluctuations and where are they now.

I have many more questions, but i don't want to overwhelm a kind responder. Is there a sight that deals with this-i could not find one but than , this is my first time.

Thanks in advance for your kind response,

hopefullandy

Youtube me I have a lot of video on Rubber. Jim

Posted

Hello fellow American, I'm new to the rubber business myself in the Isaan area, here's my take from research and word of mouth.

1 acre (u.s) is equal to 2.5 rai in thailand (25 rai = 10 acres)

1 rai can hold approx 100 rubber trees.

it takes 7 years for trees to mature enough to begin the tapping for latex, They will poduce if cared for (fertilizer and water) for approx 25 years.

The price of latex is up and in my oppion will continue to climb as long as oil keeps climbing.

You can only harvest for 8 months out of the year, (4 months rest for the tree) good time to go on vacation.

its quite labor intensive, as you need experienced tappers who will go out in the early mornings (2am) and tap the trees then 4-6 hours later return to collect the latex and transport it. A good tapper can supposedly tap 300 trees a day. If this is done wrong the tree will be killed.

Processing of latex is again another labor intense part of the process unless you find a buyer for your raw latex (less money). You have to mix the lates with acid and let cauagulate (sp) into a brick the size of a cake pan, then you have to wring all the water out of it and the result looks like a bath mat. those are either hung in a smoke house for drying (best method) or hung outside to let the sun dry. The dried sheets are then baled and taken to market. Prices differ on quality which is dertemined by how much dirt is in the rubber.

I am reading a good return is about 5 dollars per tree per month x 8 months.

I myself am quite lucky I have a great family and they are very hard workers, and it does my heart good to share with them the profits, I am in my mid fifties and enjoy bringing them happiness as they acquire things they only dreamed of. My lifestyle has changed (for the better) and slowed down but I love the my wife and the life we have. I still need to build her a nice home, and would like to buy another 100 rai but that will come in due time.

Price of land has skyrocketed just in the last 2-4 years in Isaan because of the rubber market. The thing that Thai people do not understand is when they want such high prices for their land, they cannaot expect 100% cash, and they do not understand bank loans for property (like americanS) or so much down and owner carry it is all or nothing.

I hope this helps a little and I would welcome any comments you may have or things you have learned as well as comments from other readers. God Bless you all and have a trerrifc day.

I hear there is good return on rubber tree farms. Since i'm very new to this i'd like to understand the basic thing if any body would take a minute and explain it to me,please

1) I see this term"RAI" is used to describe size of a land,i'm from US and i k'now ACRES,so what is the relationship between them or in other words how many rai fits into one acre or how many acres fits into one rai

2) How many rubber trees are planted per one rai

3) What's the average(if there is such a thing)production per one rai in KG per day or is it by week or month.

4) What are the price fluctuations and where are they now.

I have many more questions, but i don't want to overwhelm a kind responder. Is there a sight that deals with this-i could not find one but than , this is my first time.

Thanks in advance for your kind response,

hopefullandy

Youtube me I have a lot of video on Rubber. Jim

Posted

thanks somo great advice, the wife is going to rent 10 rai of land next month, we went to see the old girl who is going to rent it to her yesterday, apparently its her fathers friend, the wife doesnt put money down to rent the land she wil pay for labour and everything else then at the end of the year she wil split the profits with the old girl. she intends to grow sugar or cassava. her brothers and family will work the land for her while we are back in uk for a while. i dont understand if the old girl has 10 rai why she doesnt work it herself ? wife says she doesnt have the money. anyway we will try this and see how it goes this year, i dont imagine she could lose on it but then again i just dont know.

can anyone tell me whtat is best to grow cassava ? sugar ? rubber ? i can buy land anytime and wait for the rubber trees to mature and sit on it as my money is sitting idle anyway.

also we have thought about making some signs and putting them around town naied to trees so that locals know we are wanting to buy land, is this a good idea or is it better just to let her family ask around by word of mouth ?

thanks

Land can be a money pit if you haven't enough to see it through. You chuck 20k at it and then all work stops, nothing is produced and then when you have another 20k the same thing happens all over again. Then you give up. The other answer is that they and their family are bone idle and would rather have 100% of nothing than work for 100% of something. A middle ground is splitting the crop where they do nothing (again !) and receive perhaps 60% of what they could have achieved had they been willing to actually do a day's work.

Posted

OK then, RGS2001, let me clarify my question. I'm not asking for myself since I know the local situation, I'm asking for dmax's sake. In my area there is very little Chanoot land and what there is is usually very close to towns and cities, not really farming land. Everywhere else is Sor Por Korsville which is something to be factored in when laying out your retirement money.

I guess my question should have been: Is there any Chanoot Farm land in the Issan area and if so, how much is it because as you mentioned it can be 4 times the price of anything else. In my experience you don't get Chanoot farmland till you get south of Korat?

Chanote farmland is common in Loei province. My wife would not consider buying any land without a chanote. She has two ten rai plots plus three other two rai plots. All is chanote titled property.

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