Democrats To Take Aim At Rice-Mortgage Scheme: Korn

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EXCLUSIVE INTERVIEW

Democrats to take aim at rice-mortgage scheme: Korn

Somroutai Sapsomboon,

Kornchanok Raksaseri

The Nation

BANGKOK: -- The opposition plans to file a motion for censure debate in Parliament's next 120-day session starting tomorrow (Wednesday), with the government's rice-mortgage scheme likely to be one of the main issues, says Democrat Party deputy leader Korn Chatikavanij.

"The censure debate will not only scrutinise corruption in the rice-mortgage programme but also government policies," Korn said during the exclusive interview with The Nation.

"Most of the government's policies have failed," the opposition MP said. "They were just an offering to please the voters."

Prime Minister Yingluck Shinawatra's government began the rice-mortgage scheme after it came to power last year. Under the Democrat-led government of Abhisit Vejjajiva, the policy had been to guarantee rice prices.

The rice-mortgage scheme has come under heavy criticism due to the huge taxpayer-funded losses from buying rice at high prices and also because of corruption.

Korn, a former finance minister, questioned why the government insists on moving forward with the rice-mortgage scheme, which is of little benefit to rice farmers.

"Every baht of the budget should benefit the farmers but it doesn't," Korn said. "I don't know who the government is working for."

Korn cited figures from a Thailand Development Research Institute study that found for every Bt100 of the government's spending on the scheme, only Bt17 reaches the rice farmers.

"We're talking about losses incurred by the state of about Bt90 billion for one year," Korn said.

And those losses could be higher due such corrupt practices as smuggling in rice grown from outside the mortgage programme or replacing rice from this year's crop with old rice.

"What I'm worried is that some people who are close to authorities are benefiting from this scheme and are addicted to the profit, so they will not allow it to be scrapped," Korn said.

Commerce Minister Boonsong Teriyapirom said on Friday that the government might change details of the project by limiting the quantity of the rice for each farmer.

Korn said that one part of the rice-mortgage scheme that is especially rife with corruption is the construction of barns to store the rice.

"If you go to the lower North or northern Central regions, you will see construction of rice barns. It is estimated that from the rent - Bt2 per sack - that they store the rice for the government and hit a break-even point for the construction in 36 months. That means they get those barns for free.

"It's the inventory that's driving up the costs of this scheme," he said. "But the barn owners will push for the government to continue it for 36 months. They won't just retreat from the project."

Meanwhile, rice exports have fallen during the first half of the year compared to a year ago, with Thailand losing out to India as the world's top exporter. Analysts expect that Thailand will end the year in third place, with Vietnam moving up as the world's No 2 rice exporter.

"It will be so difficult to take back our market and display space," Korn said, noting that he visited shops in the UK and found only rice from Vietnam and India, not Thailand, on the shelves.

-- The Nation 2012-07-31

[waza]

Korn cited figures from a Thailand Development Research Institute study that found for every Bt100 of the government's spending on the scheme, only Bt17 reaches the rice farmers.

So 83% of every baht spent on this scheme is siphoned off before it reaches the rice farmer. Yingluck must be very proud of her governments achievements to lift the living standard of the rural poor with this and the credit card policies. In reality it should be Yingluck calling for a review not Korn, but we know she doesnt like political stuff like leadership ect.

How many medals can one girl be awarded in 3 months?......

Edited July 30, 2012 by waza

[ratcatcher]

This interview with K.Korn is quite very interesting.

http://www.nationmul....com/video/7289

[craigt3365]

This interview with K.Korn is quite very interesting.

http://www.nationmul....com/video/7289

Very good interview. He's an excellent speaker. Very smart.

[Skywalker69]

"Every baht of the budget should benefit the farmers but it doesn't," Korn said. "I don't know who the government is working for."

Khun Korn, let me inform you that the Government works for the "man afar"

[SuneeTH]

This interview with K.Korn is quite very interesting.

http://www.nationmul....com/video/7289

Very good interview. He's an excellent speaker. Very smart.

He shall be the next PM; after a coup of cause.

[RogueExpat]

Not surprised that only 17% reaches the farmers. This has to be some sort of record - 83% graft on tax payers money.

..........................

Seriously though, in addition to the Cambodian rice, it would not surprise me if some of the accusations about rice getting sold to a merchant and then disappearing, then getting resold to another merchant, and so on, are true.

You can just see it; ten wheel truck drives over the weigh bridge, all paperwork is processed, the truck drives into the warehouse, and straight out the back door.

[geriatrickid]

How many medals can one girl be awarded in 3 months?......

Ask the entity that awards the medals.

[waza]

How many medals can one girl be awarded in 3 months?......

Ask the entity that awards the medals.

They are recomended by her own cabinet and rubber stamped by the privy council. So she is essentially giving them to herself, maybe they are fore grovelling.

Edited July 31, 2012 by waza

[phiphidon]

How many medals can one girl be awarded in 3 months?......

Ask the entity that awards the medals.

They are recomended by her own cabinet and rubber stamped by the privy council. So she is essentially giving them to herself, maybe they are fore grovelling.

Veeery dodgy ground................

[thaicbr]

How many medals can one girl be awarded in 3 months?......

Ask the entity that awards the medals.

They are recomended by her own cabinet and rubber stamped by the privy council. So she is essentially giving them to herself, maybe they are fore grovelling.

Veeery dodgy ground................

For once I actually agree with you. It is a well known royal etiquette fact that if sitting on a chair your head is lower. If no chair you are on the floor. I dont agree with it but its how its done. All subjects the same.

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