The changing face of Thai populism

[webfact]

The Changing Face of Thai populism
Written by Peter Warr

Pheu Thai policies mask preferences for Thailand's elites

BANGKOK: -- In Thailand, the term 'populism' does not yet have the negative connotations it has earned in Latin America and Europe, but the trend is in that direction. That was the message of a seminar entitled 'Rethinking Populist Policy: From Thaksin to Yingluck', held on 30 May at the Thailand Development Research Institute in Bangkok.

Under the Pheu Thai government of Prime Minister Yingluck Shinawatra, in office since September 2011, the form of populism implemented is different from that of her older brother, Thaksin Shinawatra, who was elected premier in 2001 and who was deposed by a military coup in 2006. Thaksin's policies, such as the 30 baht health card scheme and the One-Tambon-One-Product entrepreneurship program, distributed benefits relatively broadly to low income Thai people.

Yingluck's government, on the other hand, has enacted new policies that redistribute wealth from taxpayers to narrow, special interest groups and not to the poor. Prime examples are the first-car buyers' subsidy and an expanded rice pledging scheme. This change has occurred even though Thaksin still reportedly directs Pheu Thai policy remotely from his exile in Dubai.

Full story: http://www.asiasentinel.com/index.php?option=com_content&task=view&id=5496&Itemid=164

-- Asia Sentinel 2013-06-13

[aussiebebe]

I've got to admit, this writer knows a lot more about Thailand than me. I was at immigration today in Bangkok and there was red-shirt protest outside, I had no idea what they were even doing there, maybe they'd cottoned on to the idea that the government wasn't really championing their cause.

I do disagree with some of the points in this article though.

The car tax rebate was silly and I'm sure lots of wealthy Thais abused it, but I personally know several Thais who were first time buyers and did benefit from it so it can't have been a total farce. I didn't think their choice to buy a car was wise, but it was their choice.

Also, there is a lot of investment in public transport - like the BTS extensions. These cause major traffic congestion, there's only so much the government can do at the same time without adding to the already chaotic situation.

[NongKhaiKid]

Sorry butIi am operating in low gear today so is this article saying Mr. T has changed the focus of some of his policies or that the Yingluck government is actually daring to do its own thing ?

[chainarong]

The changing face of popular PTP is because there is money to be made from schemes and themes, the PM is supporting a national pensioner scheme based on the Japanese model, ( Another popular vote buying concept) little dose the PM know that this is achilles heal for the cash strapped japan government , they wish they never had the thing, in short, money is the root of all evil and who has lots of money.

[steveromagnino]

first car rebate wasn't designed to help first time car buyers. It was designed to help Thai Summit and the Thai auto industry many of whom are TRT/PPP/PT supporters. Packaged as a vote winning scheme of course.

Of course finance companies and repossession agents benefit also.

The cost of the scheme was bourne by the long suffering 6m odd Thai taxpayers as well as all the car buyers and car brands who are not part of the scheme with a big influx of low grade shopping cart cars now starting to appear 2nd hand due to both repossessions and sales.

You will note that the scheme was almost written around Honda and Toyota specs; poor old Ford Nissan Mazda and the Euro car brands got shafted....and have been bending over due to the massive growth in grey market cars as well since 2011, so it's a double squeeze for them. It's no coincidence that party faithful like Mingkwan came from Toyota and all the specs for things even as small as vans specs are also written almost specifically to enable Toyota to win a single horse race in bidding for government and large contracts.

Luckily, there is no real need to have a level playing field in business or politics here in Thailand, we live in an alternate reality land here where connections and skim are far more important!

[yoshiwara]

Thaksin has always been about a split in the ruling class. Populism is just the mask.

[thaimite]

The changing face of popular PTP is because there is money to be made from schemes and themes, the PM is supporting a national pensioner scheme based on the Japanese model, ( Another popular vote buying concept) little dose the PM know that this is achilles heal for the cash strapped japan government , they wish they never had the thing, in short, money is the root of all evil and who has lots of money.

Does not know or does not care? Taksin and his cronies will make their money either way.

As for the first time new car buyers, who really benefited? Not the people of Bangkok who get more pollution and traffic, not the car buyers who are tempted in to spending money they cannot afford, not the tax payers who have to subsidise the loan, but the car dealers and manufacturers and of course there will be the added votes because people are unable to see the long term effects of these cons.

[Thai at Heart]

That's quite funny because whenever the Nation prints the word "populist" it's universally negative.

[bigbamboo]

Don't forget the rich corporations and their substantial tax cuts.

[Thait Spot]

Populism has morphed to copulism - really screwing the country

[yoshiwara]

That's quite funny because whenever the Nation prints the word "populist" it's universally negative.

That's because it is. Populism is purely political opportunism selling a pig in a poke.

[Kalbo]

first car rebate wasn't designed to help first time car buyers. It was designed to help Thai Summit and the Thai auto industry many of whom are TRT/PPP/PT supporters. Packaged as a vote winning scheme of course.

Of course finance companies and repossession agents benefit also.

The cost of the scheme was bourne by the long suffering 6m odd Thai taxpayers as well as all the car buyers and car brands who are not part of the scheme with a big influx of low grade shopping cart cars now starting to appear 2nd hand due to both repossessions and sales.

You will note that the scheme was almost written around Honda and Toyota specs; poor old Ford Nissan Mazda and the Euro car brands got shafted....and have been bending over due to the massive growth in grey market cars as well since 2011, so it's a double squeeze for them. It's no coincidence that party faithful like Mingkwan came from Toyota and all the specs for things even as small as vans specs are also written almost specifically to enable Toyota to win a single horse race in bidding for government and large contracts.

Luckily, there is no real need to have a level playing field in business or politics here in Thailand, we live in an alternate reality land here where connections and skim are far more important!

Absolutel <deleted>. Mazda, Nissan and Mitsubishi did very well out of the tax rebate deal. So much so, that Mazda have invested a massive amount in building a new factory in the Eastern Seaboard estate. Nissan's sales of it's March went through the roof.

[waza]

BANGKOK: -- In Thailand, the term 'populism' does not yet have the negative connotations it has earned in Latin America and Europe, but the trend is in that direction.

Corruptionism is a more apt term for the PTP policies

Edited June 13, 2013 by waza

[GeorgeO]

I've got to admit, this writer knows a lot more about Thailand than me. I was at immigration today in Bangkok and there was red-shirt protest outside, I had no idea what they were even doing there, maybe they'd cottoned on to the idea that the government wasn't really championing their cause.

I do disagree with some of the points in this article though.

The car tax rebate was silly and I'm sure lots of wealthy Thais abused it, but I personally know several Thais who were first time buyers and did benefit from it so it can't have been a total farce. I didn't think their choice to buy a car was wise, but it was their choice.

Also, there is a lot of investment in public transport - like the BTS extensions. These cause major traffic congestion, there's only so much the government can do at the same time without adding to the already chaotic situation.

The greater problem with the car subsidy has yet to manifest itself.

There are growing concerns that many people who could hardly afford to buy a car jumped in with both feet since they felt that the THB 100,000 subsidy was something not to be missed. However, they are now saddled with four years of repayments on the remaining value of the car which they can ill afford to pay.

I have heard many commentators suggesting that, by the end of the current year, we are going to see huge numbers of these vehicles turning up in used car showrooms as a result of a massive spate of repossessions, and I have to say, I also envisage that happening.

[Thai at Heart]

That's quite funny because whenever the Nation prints the word "populist" it's universally negative.

That's because it is. Populism is purely political opportunism selling a pig in a poke.

Well, there is a big difference between populism and socially beneficial programs. Ideas and policies are branded populist from minute one.

[ratcatcher]

Maybe instead of using populism as the key word, we might more accurately use the word demagogue (or inaccurately, demagoguery) when referring to the Thai author of "populism", one Thaksin Shinawatra.

After all many things that are happening in Thai news everyday are directly related to this one person's plans and ambitions.

"A demagogue is a political leader in a democracy who appeals to the emotions, prejudices, and ignorance of the population in order to gain power and promote political motives.

Demagogues usually oppose deliberation and advocate immediate, violent action to address a national crisis; they accuse moderate and thoughtful opponents of weakness.

Demagogues have appeared in democracies since ancient Athens. They exploit a fundamental weakness in democracy: because ultimate power is held by the people, nothing stops the people from giving that power to someone who appeals to the lowest common denominator of a large segment of the population" wiki

[animatic]

first car rebate wasn't designed to help first time car buyers. It was designed to help Thai Summit and the Thai auto industry many of whom are TRT/PPP/PT supporters. Packaged as a vote winning scheme of course.

Of course finance companies and repossession agents benefit also.

The cost of the scheme was bourne by the long suffering 6m odd Thai taxpayers as well as all the car buyers and car brands who are not part of the scheme with a big influx of low grade shopping cart cars now starting to appear 2nd hand due to both repossessions and sales.

You will note that the scheme was almost written around Honda and Toyota specs; poor old Ford Nissan Mazda and the Euro car brands got shafted....and have been bending over due to the massive growth in grey market cars as well since 2011, so it's a double squeeze for them. It's no coincidence that party faithful like Mingkwan came from Toyota and all the specs for things even as small as vans specs are also written almost specifically to enable Toyota to win a single horse race in bidding for government and large contracts.

Luckily, there is no real need to have a level playing field in business or politics here in Thailand, we live in an alternate reality land here where connections and skim are far more important!

Absolutel <deleted>. Mazda, Nissan and Mitsubishi did very well out of the tax rebate deal. So much so, that Mazda have invested a massive amount in building a new factory in the Eastern Seaboard estate. Nissan's sales of it's March went through the roof.

The Japanese may have benefited, they are investors in Thailand,

and understand how the governments expect to structure things.

But that doesn't mean they were the target for the sweetheart parts of the deal.

Steve knows of what he speaks.

[DekDaeng]

I've got to admit, this writer knows a lot more about Thailand than me. I was at immigration today in Bangkok and there was red-shirt protest outside, I had no idea what they were even doing there, maybe they'd cottoned on to the idea that the government wasn't really championing their cause.

I do disagree with some of the points in this article though.

The car tax rebate was silly and I'm sure lots of wealthy Thais abused it, but I personally know several Thais who were first time buyers and did benefit from it so it can't have been a total farce. I didn't think their choice to buy a car was wise, but it was their choice.

Also, there is a lot of investment in public transport - like the BTS extensions. These cause major traffic congestion, there's only so much the government can do at the same time without adding to the already chaotic situation.

The greater problem with the car subsidy has yet to manifest itself.

There are growing concerns that many people who could hardly afford to buy a car jumped in with both feet since they felt that the THB 100,000 subsidy was something not to be missed. However, they are now saddled with four years of repayments on the remaining value of the car which they can ill afford to pay.

I have heard many commentators suggesting that, by the end of the current year, we are going to see huge numbers of these vehicles turning up in used car showrooms as a result of a massive spate of repossessions, and I have to say, I also envisage that happening.

Nevvermine, we'll just have a new new car subsidy - lets make it 200,000 this time to counter the depression caused by the last one - if we're still in power.

[thaicbr]

I've got to admit, this writer knows a lot more about Thailand than me. I was at immigration today in Bangkok and there was red-shirt protest outside, I had no idea what they were even doing there, maybe they'd cottoned on to the idea that the government wasn't really championing their cause.

I do disagree with some of the points in this article though.

The car tax rebate was silly and I'm sure lots of wealthy Thais abused it, but I personally know several Thais who were first time buyers and did benefit from it so it can't have been a total farce. I didn't think their choice to buy a car was wise, but it was their choice.

Also, there is a lot of investment in public transport - like the BTS extensions. These cause major traffic congestion, there's only so much the government can do at the same time without adding to the already chaotic situation.

The greater problem with the car subsidy has yet to manifest itself.

There are growing concerns that many people who could hardly afford to buy a car jumped in with both feet since they felt that the THB 100,000 subsidy was something not to be missed. However, they are now saddled with four years of repayments on the remaining value of the car which they can ill afford to pay.

I have heard many commentators suggesting that, by the end of the current year, we are going to see huge numbers of these vehicles turning up in used car showrooms as a result of a massive spate of repossessions, and I have to say, I also envisage that happening.

if only it was ONLY 4 years payments.. i know of a few people who had their cars over 6 years. And even now on the 2nd year they are struggling t pay the bills... no one reminded them about yearly insurance , tyres , servicing etc