Thailand To Rent Additional Storage Facilities As Rice Warehouses Fill Up

[Payboy]

We need another flood to wash out all that stockpile.

No grain, no pain.

[Ricardo]

Hub of Rice-Storage Facilities ?

Coming Soon to a Country Near You & Me !

[notmyself]

The shear money generated from the scam will go down in history.

[Osiris]

This will be like the the assets repossessed by the banks after 1999. Most are still available for purchase but the problem is that the banks want not only their original loan back but interest as well; interest now exceeds the original value of the loan so the asset will sit in perpetuity gaining interest each year.

The only way out for the government will be to manipulate the markets and you can only do that by controlling supply. Problem here is of course other countries keep on growing more rice.

Reminds me of those American bros (I forget the name) who tried to corner the silver markets some years ago.

They came unstuck too.

It was the Bass brothers, from Texas.

[backtonormal]

Surprise surprise....another rice thread

[slapout]

This will be like the the assets repossessed by the banks after 1999. Most are still available for purchase but the problem is that the banks want not only their original loan back but interest as well; interest now exceeds the original value of the loan so the asset will sit in perpetuity gaining interest each year.

The only way out for the government will be to manipulate the markets and you can only do that by controlling supply. Problem here is of course other countries keep on growing more rice.

Reminds me of those American bros (I forget the name) who tried to corner the silver markets some years ago.

They came unstuck too.

It was the Bass brothers, from Texas.

Try Hunt brothers, on That little setback.

[whybother]

Surprise surprise....another rice thread

You don't like corruption being reported?

[quandow]

Nothing good can come from this.

[Moruya]

Surprise surprise....another rice thread

Are you expecting the story to just "go away" because you don't like it?

Have I got news for you!

[Mitker]

The problem with socialism is that you eventually run out of other people's money. For the present farmers are grinning given political difficulty in phasing out the rice subsidies introduced by Thaksin.(...)

I find you very generous to spot the slightest ideology scent behind this gvt moves-deals-arrangements-manoeuvres-tricks..

[moe666]

Not many of the PTP supporters commenting....

One notable from the conversation is GK who was defending this scheme as a good deal when it started.

[moe666]

This will be like the the assets repossessed by the banks after 1999. Most are still available for purchase but the problem is that the banks want not only their original loan back but interest as well; interest now exceeds the original value of the loan so the asset will sit in perpetuity gaining interest each year.

The only way out for the government will be to manipulate the markets and you can only do that by controlling supply. Problem here is of course other countries keep on growing more rice.

Reminds me of those American bros (I forget the name) who tried to corner the silver markets some years ago.

They came unstuck too.

The Hunt brothers. I remember very clearly as I was trading in futures, (silver and gold) at the time. Price went to about USD50 an ounce then crashed to below USD11. Lesson here for the hoarding of rice yet it will be the taxpayer who foots the bill in the end

Yes I just googled it, when I saw Bass brothers the first thing to jump in my mind was Hunt Bros. They also owned the Kansas City Chiefs at that time

[MESmith]

I love the way Thais rave about their beloved Jasmine rice, yet, whenever we eat out, the rice is bland white rice, same as most of the population eats. Never eat it at home, much prefer the brown rice or that grown in the hills.

[DLock]

Which markets will purchase Thailand's 4-5 year old rice, if they can sell it at all? Are they seriously waiting to sell it for more than they gave the farmers? Other countries will just buy Vietnam's rice instead. They won't care where it came from as long as it's fresh. I see Thais chowing down on the old stock of rice while the new stuff will be sold overseas. What a $hitty mess.

That's very good point.

Who wants old rice when there's plenty of new rice around.

The only answer is to dump it & face the wrath of the WTO!

As far as I'm aware they don't print a "best before" date on each grain of rice.

Thus, the onus will be on the Thai Government to divulge the harvest dates of the rice they are selling at bargain prices.

You see where I'm going with this?

The age of the rice is irrelevant. We are dealing with crooked, greedy, lying people. They have sold their souls already. Selling bad rice is easy.

[scorecard]

This will be like the the assets repossessed by the banks after 1999. Most are still available for purchase but the problem is that the banks want not only their original loan back but interest as well; interest now exceeds the original value of the loan so the asset will sit in perpetuity gaining interest each year.

The only way out for the government will be to manipulate the markets and you can only do that by controlling supply. Problem here is of course other countries keep on growing more rice.

Reminds me of those American bros (I forget the name) who tried to corner the silver markets some years ago.

They came unstuck too.

The Hunt brothers. I remember very clearly as I was trading in futures, (silver and gold) at the time. Price went to about USD50 an ounce then crashed to below USD11. Lesson here for the hoarding of rice yet it will be the taxpayer who foots the bill in the end

Actually I feel it will be 95% of Thais who will foot the bill not just the taxpayers. This will be for the beginning, middle, end, investigation and celebratory party of this scheme. Just a few priviledged people will be exempt and they will be the ones at the party.

The TG's family grow rice and have spent the bounty on new furniture. I am trying to push the idea of saving for the future, but this either not well received or not understood. So my fallback position is making it very clear that I will not guarantee or repay loans, this has got their attention (briefly). At least when it all goes pear shaped they should still have their land and can supplement with a bit of fishing, so the food on the table is secure.

Unfortunately what I am seeing in Isaan is lots of capital expenditure on cars, motorbikes, new phones etc, probably with borrowed money.

Hmm wait a couple of years and buy the land off the lenders after the foreclosure or come in with a low ball offer just before the foreclosure. Decisions, decisions.

Cheers

Lots of good points.

I suggest there's another item. When it all goes completely pear shaped and that's already started, the poor farmers will have gained nothing in terms of modern knowledge (and not only in regard to farming), broader capabilites, freedom from debt, better / more resources, better quality of life, etc., and they will just fall back to a very simple daily existence with daily survival at the top of their agenda.

In other words, their net gain for 10 or 12? years of this stuff is zero.

But of course the leeches will have all become multi millionaires.

Edited January 18, 2013 by scorecard

[scorecard]

Thailand the hub of rice storage, not export

Perhaps the army airship could be converted into a storage facility, at least put it to some use.

[TomTao]

Thailand the hub of rice storage, not export

Perhaps the army airship could be converted into a storage facility, at least put it to some use.

Then where would the politicians put all the hot air?

[zydeco]

Snap, crackle, pop. Rice Krispies!

[scorecard]

Thailand the hub of rice storage, not export

Perhaps the army airship could be converted into a storage facility, at least put it to some use.

Then where would the politicians put all the hot air?

Well maybe dual purpose, fill it with rice then silently / secretely float it wherever for one of those gtog deals which are secret.

[Arkady]

Google says that white rice will last 4-5years.

Although it says Jasmine rice can last indefinitely if stored correctly.

So, assuming the Thai Government can keep building or finding warehouses, this could go on for many years making several people very rich in the process.

I would assume that a temperature and humidity controlled environment would be a necessity and that insects and vermin would be kept out?

Sent from my Nexus 7 using Thaivisa Connect Thailand mobile app

One source says that rice has a shelf life of 1-30 years, depending on variety, oxygen levels, humidity and temperature. I would imagine that, in warehouses with 30+ C temperatures and 80-90% humidity not to mention an abundance of veevils, as usually found in Thailand, the useful life of the rice would be very near the low end of that range.

The question ought to be what is the maximum age at which large bulk quantities of rice are still salable on the international markets. Buyers might want to store product too or at least have the option to. I doubt they want to buy rice that might be about to go rotten. There is also the question of honesty of the Thai sellers. Knowing there are stockpiles of 2 or 3 year old rice, will buyers believe it when they are told they are getting fresh rice? They might have sell most of it at steep discounts to poor African countries. They have already lost much of their market share in the rice countries.

From Thaksin's perspective though it is a great gamble. He doesn't put up a satang of his own money and has already reaped massive gains in the election from this scheme. If his market gamble pays off and the price of rice shoots up within 3 years he will make a killing. If it bombs, he just walks away from the losses. Just by forcing the private rice traders out of the export trade, he can also make money from loss making exports which still manage to book an offshore profit by stiffing the taxpayer with an even heavier loss. Great work if you can get it.

Edited January 18, 2013 by Arkady

[Thai at Heart]

Google says that white rice will last 4-5years.

Although it says Jasmine rice can last indefinitely if stored correctly.

So, assuming the Thai Government can keep building or finding warehouses, this could go on for many years making several people very rich in the process.

I would assume that a temperature and humidity controlled environment would be a necessity and that insects and vermin would be kept out?

Sent from my Nexus 7 using Thaivisa Connect Thailand mobile app

One source says that rice has a shelf life of 1-30 years, depending on variety, oxygen levels, humidity and temperature. I would imagine that, in warehouses with 30+ C temperatures and 80-90% humidity not to mention an abundance of veevils, as usually found in Thailand, the useful life of the rice would be very near the low end of that range.

The question ought to be what is the maximum age at which large bulk quantities of rice are still salable on the international markets. Buyers might want to store product too or at least have the option to. I doubt they want to buy rice that might be about to go rotten. There is also the question of honesty of the Thai sellers. Knowing there are stockpiles of 2 or 3 year old rice, will buyers believe it when they are told they are getting fresh rice? They might have sell most of it at steep discounts to poor African countries. They have already lost much of their market share in the rice countries.

From Thaksin's perspective though it is a great gamble. He doesn't put up a satang of his own money and has already reaped massive gains in the election from this scheme. If his market gamble pays off and the price of rice shoots up within 3 years he will make a killing. If it bombs, he just walks away from the losses. Just by forcing the private rice traders out of the export trade, he can also make money from loss making exports which still manage to book an offshore profit by stiffing the taxpayer with an even heavier loss. Great work if you can get it.

I saw rice in makro a while ago, significantly cheaper than the rest. Couldn't work out why?

Marked on the packaging, "old crop".

[Moruya]

I saw rice in makro a while ago, significantly cheaper than the rest. Couldn't work out why?

Marked on the packaging, "old crop".

There's an "a" missing and a superfluous "o" in your final line.

[Thai at Heart]

I saw rice in makro a while ago, significantly cheaper than the rest. Couldn't work out why?

Marked on the packaging, "old crop".

There's an "a" missing and a superfluous "o" in your final line.

To the eye it looked very similar, just a shade darker. obviously it's usable, just not as good as fresh crop.

[OzMick]

Google says that white rice will last 4-5years.

Although it says Jasmine rice can last indefinitely if stored correctly.

So, assuming the Thai Government can keep building or finding warehouses, this could go on for many years making several people very rich in the process.

I would assume that a temperature and humidity controlled environment would be a necessity and that insects and vermin would be kept out?

Sent from my Nexus 7 using Thaivisa Connect Thailand mobile app

One source says that rice has a shelf life of 1-30 years, depending on variety, oxygen levels, humidity and temperature. I would imagine that, in warehouses with 30+ C temperatures and 80-90% humidity not to mention an abundance of veevils, as usually found in Thailand, the useful life of the rice would be very near the low end of that range.

The question ought to be what is the maximum age at which large bulk quantities of rice are still salable on the international markets. Buyers might want to store product too or at least have the option to. I doubt they want to buy rice that might be about to go rotten. There is also the question of honesty of the Thai sellers. Knowing there are stockpiles of 2 or 3 year old rice, will buyers believe it when they are told they are getting fresh rice? They might have sell most of it at steep discounts to poor African countries. They have already lost much of their market share in the rice countries.

From Thaksin's perspective though it is a great gamble. He doesn't put up a satang of his own money and has already reaped massive gains in the election from this scheme. If his market gamble pays off and the price of rice shoots up within 3 years he will make a killing. If it bombs, he just walks away from the losses. Just by forcing the private rice traders out of the export trade, he can also make money from loss making exports which still manage to book an offshore profit by stiffing the taxpayer with an even heavier loss. Great work if you can get it.

If you think electoral gains are the only attraction for him, you would have to assume that his companies don't own and rent land for rice production, and/or are not involved directly with rice production. That is a very big presumption.

Paul Keating (Oz ex-PM) was heavily involved with pig farming. I don't need to wonder what the reaction would have been had he announced the government would buy all pork produced at a 50% premium to aid "poor farmers".

[Moruya]

I saw rice in makro a while ago, significantly cheaper than the rest. Couldn't work out why?

Marked on the packaging, "old crop".

There's an "a" missing and a superfluous "o" in your final line.

To the eye it looked very similar, just a shade darker. obviously it's usable, just not as good as fresh crop.

Did it have the famous nutty aroma of the Thai Hom Mali with a slight hint of Pandanus?

[Thai at Heart]

I saw rice in makro a while ago, significantly cheaper than the rest. Couldn't work out why?

Marked on the packaging, "old crop".

There's an "a" missing and a superfluous "o" in your final line.

To the eye it looked very similar, just a shade darker. obviously it's usable, just not as good as fresh crop.

Did it have the famous nutty aroma of the Thai Hom Mali with a slight hint of Pandanus?

Actually we eat brown rice. I used to work in an industry where stock lots could be up to 5 years old.

Was an enormous job fumigating and trying to keep the quality in Thailand. The bugs ate it up very quickly, and it deteriorated in quality and thus value pretty quickly.

I wouldn't want to imagine how you manage 20mn tons of any product in this climate, let alone grains.

[notmyself]

I wouldn't want to imagine how you manage 20mn tons of any product in this climate, let alone grains.

We live in a world governed by probability, the better you are at discerning a given probability the easier life will be. When I look at the rice situation I see a very low probability of it not being a catastrophe.

[Terry Newman]

I saw rice in makro a while ago, significantly cheaper than the rest. Couldn't work out why?

Marked on the packaging, "old crop".

There's an "a" missing and a superfluous "o" in your final line.

This brings up a really good question of mold. In Thailand without fresh airflow and on anything organic, like, wood, painted wood even and goodness me rice, mold goes crazy. These mountains of rice are not like stocks of oil. This is a problem for a cartel one would think. Unless they just don't give a runny poo,

[slapout]

If they would mill the paddy they are storing, the storage needed decreases by 30%. As storage is based on weight, payment is being made for at least 30% more than what can be sold as eatable rice.

This is headed to the biggest boon doggle since the swamp was converted to an airport, and some of the same people are in charge of both operations/scams.

As they have had a year to steal what ihas been paid for and storage costs, transport, milling, etc, send an inventory crew around and the amount of empty storage space may be enough for this years crop.

[Thai at Heart]

If they would mill the paddy they are storing, the storage needed decreases by 30%. As storage is based on weight, payment is being made for at least 30% more than what can be sold as eatable rice.

This is headed to the biggest boon doggle since the swamp was converted to an airport, and some of the same people are in charge of both operations/scams.

As they have had a year to steal what ihas been paid for and storage costs, transport, milling, etc, send an inventory crew around and the amount of empty storage space may be enough for this years crop.

I doubt it is recommended to place unmilled and milled stock in close proximity. Too many pests in unmilled.