Another Major Rice Pledging Budget Approved: Thailand

[webfact]

Another major rice pledging budget approved

BANGKOK, Oct 2 – A Bt240-billlion budget to pledge 15 million tonnes of paddy in the 2012-2013 harvest sailed through the Thai cabinet Tuesday amid criticism from academics and the private sector over a lack of transparency in the government’s rice pledging scheme.

Vatchari Vimooktayon, permanent secretary for commerce, said after the cabinet meeting that the new round of pledging will be limited to 15 million tonnes of paddy from the annual harvest which began Oct 1 and continues to Sept 15 next year.

The Bt150-billion loan will be earmarked by the finance ministry while the commerce ministry will deliver Bt40 billion from the sale of paddy to the Bank of Agriculture and Agricultural Cooperatives (BAAC) at the end of this month, she said.

Ms Vatchari said the commerce ministry expected to earn an additional Bt100 billion by year end from the paddy sales, adding that the two amounts combined will be sufficient for the pledging of the yearly harvest of paddy. The BAAC is responsible for the cash flow for the rice pledging scheme.

The cabinet rejected the agriculture ministry’s request to pledge an additional 3.3 million tonnes of paddy from the second harvest, reasoning that the pledging of 14.3 million tonnes from the second harvest last year was rather high.

The cabinet added that it would take six months before the next second crop cultivation begins. (MCOT online news)

-- TNA 2012-10-02

[Katipo]

Isn't it sad, that for their own benefit, a few can steer an economy towards financial disaster, taking with it the prosperity and well being of so many millions.

[asiawatcher]

If the farmer gets 20 Baht a kilo - why is rice selling at more than double that anyway and who is getting it - love to see the breakdown.

[HiSoLowSoNoSo]

Seems like making Thailand bankrupt is included in Thaksin's master plan for his revenge against Thailand.

[rubl]

So the tickle down effect which ensures that some of the literally billions of Baht will reach poor, needy farmers justifies the increased rice price for Thai consumers. Furthermore those who were promised 300 B/day will be spending the increase on inflated prices and still have to be happy and smiling?

Thai Economics is not one of my stronger points. Having studied Mathematics I always try to understand the logic in schemes and how figures add up. My bad, I guess

[rakman]

Seems like making Thailand bankrupt is included in Thaksin's master plan for his revenge against Thailand.

The process of taking over is easier if the pain to the populace gets them to demand "something must be done". Then a charismatic dictator can get his violent minions to help him "get it done". The problem is the pain of the solution will be far greater than the pain of the problem.

[TomTao]

Seems like making Thailand bankrupt is included in Thaksin's master plan for his revenge against Thailand.

The process of taking over is easier if the pain to the populace gets them to demand "something must be done". Then a charismatic dictator can get his violent minions to help him "get it done". The problem is the pain of the solution will be far greater than the pain of the problem.

The pain just may lead to one of two possibilities, as a result of the country being pushed to the brink deseration due to a huge amount of debt, and the farmers also ending up so deep in debt there is a mass cry for a saviour, cue the exiled would be ruler, or the people will receive a massive wakeup call and reject the knight in tarnished armor completely

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[HiSoLowSoNoSo]

Khun Warong, a Democrat MP accused today commerce Minister Boonsong Teriyapirom to have lied about the facts on the state of the rice stockpile.

There should be about 14 million tonnes of milled rice remaining in the stockpile, not four million tonnes as the minister had claimed, the Democrat MP said.

Mr Warong called on Mr Boonsong to clarify exactly where the rice went, and at what prices. The Democrat MP said he believed the stocked rice was secretly sold to close aides of politicians and that the rice would be mortgaged to the government’s pledging scheme again, to reap a second payment. This scheme together with the 120 Billion Baht flood prevention scheme will get Puppet master back his frozen assets with a high interest added.

[givenall]

If the farmer gets 20 Baht a kilo - why is rice selling at more than double that anyway and who is getting it - love to see the breakdown.

Thaksin has to get his money back some way

[OzMick]

IMHO obvious gross corruption, mismanagement and vote buying with taxpayers' revenue is ample grounds for a coup. A good house-cleaning could improve this country markedly.

[rubl]

Deputy Prime Minister Chalerm Yoobamrung criticised the move to stop the rice-pledging scheme, saying the academics do not know more than farmers when it comes to rice.

'Exporters spreading rumours'

"The government gets the credit, farmers get richer, exporters must buy at a higher price. Exporters will lose in this scheme so they try to create public misunderstanding that corruption is rife and Thailand is losing its export market to Vietnam. This government knows the exporters' game. We are not perturbed," he said. He denied the scheme was a monopoly. "If the price of rice goes up, the government will not suffer losses. Do not get jealous of the poor farmers,'' he added.

Chalerm said PM Yingluck Shinawatra was serious about checking corruption and appointed him to chair a committee to probe alleged irregularities in the scheme. "Five police officers are stationed at every rice miller undertaking the rice-pledging scheme,'' he said.

http://www.thaivisa....2/#entry5716248

[belg]

in the meantime, millers get rich and rice start to rottttttttttttt

[AleG]

Deputy Prime Minister Chalerm Yoobamrung criticised the move to stop the rice-pledging scheme, saying the academics do not know more than farmers when it comes to rice.

'Exporters spreading rumours'

"The government gets the credit, farmers get richer, exporters must buy at a higher price. Exporters will lose in this scheme so they try to create public misunderstanding that corruption is rife and Thailand is losing its export market to Vietnam. This government knows the exporters' game. We are not perturbed," he said. He denied the scheme was a monopoly. "If the price of rice goes up, the government will not suffer losses. Do not get jealous of the poor farmers,'' he added.

Chalerm said PM Yingluck Shinawatra was serious about checking corruption and appointed him to chair a committee to probe alleged irregularities in the scheme. "Five police officers are stationed at every rice miller undertaking the rice-pledging scheme,'' he said.

http://www.thaivisa....2/#entry5716248

Oh well, the police is going to make sure there's no graft in the system. Pheeeewww! I feel so relieved now!

[Narratio]

Chalerm said PM Yingluck Shinawatra was serious about checking corruption and appointed him to chair a committee to probe alleged irregularities in the scheme. "Five police officers are stationed at every rice miller undertaking the rice-pledging scheme,'' he said.

So Chalerm will be running the committee overseeing the 5 cops at each rice mill to ensure that no corruption takes place?