Bt15,000 per tonne price for subsidised rice could be lowered

[webfact]

Bt15,000 per tonne price for subsidised rice could be lowered
By English News



BANGKOK, June 13 - Pledging paddy price payments under the highly-criticised rice pledging scheme may be reduced from the current Bt15,000 per tonnes given the declining prices in the global grains market, Deputy Prime Minister/Finance Minister Kittiratt Na-Ranong said today.

He said rice prices in the global market have dropped from the day when the government launched the rice pledging scheme and, in an economic administration, it is normal to adjust the policy to keep up with the situation.

"Just like the policy interest rate which can be adjusted. The government will carefully study relevant information before any changes," said Mr Kittiratt. "It is possible that the National Rice Policy Committee (NRPC) will decide to lower the pledging price."

The NRPC is having its first meeting later today after the closing entries sub-committee on pledging agricultural produce disclosed heavy losses from the scheme.

Commerce Minister Boonsong Teriyapirom will chair the NRPC meeting. (MCOT online news)

-- TNA 2013-06-13

[GentlemanJim]

OMG! How will the farmers ever manage without the subsidy?..........doh! I forgot, they don't get any of it anyway! Lower away!

[OzMick]

If Thaksin approves.

[MaxLee]

OMG! How will the farmers ever manage without the subsidy?..........doh! I forgot, they don't get any of it anyway! Lower away!

That's what these naive rice farmer communities get for believing in populist policies, and they will again not learn from their mistakes and believe in those empty promises again and again and again...

... They get what they blindly wanted to and get ripped and stripped...

[GentlemanJim]

OMG! How will the farmers ever manage without the subsidy?..........doh! I forgot, they don't get any of it anyway! Lower away!

That's what these naive rice farmer communities get for believing in populist policies, and they will again not learn from their mistakes and believe in those empty promises again and again and again...

... They get what they blindly wanted to and get ripped and stripped...

The problem is that the Shin's have robbed so much money from the treasury that at the next election they will give the farmers a thousand baht for their vote and claim that they will write off the debt burden that the farmers all now suffer. Still tough, you sell your vote soul for a few hundred baht, as you say, they deserve it. All farmers should be acutely aware, 'you reap what you sow' !

[Robby nz]

To late the damage has already been done.

As Moody's have noted the billions have already been spent (lost)

The NRPC is having its first meeting later today after the closing entries sub-committee on pledging agricultural produce disclosed heavy losses from the scheme.

Might have been a good idea to have a NRPC right from the get go then the consequenses may have been foreseen.

Although when you are buying votes the future beyond getting into power don't matter.

[harrry]

Cry this beloved country.

[OzMick]

As the Thaitanic settles lower in the water, somebody (the Purser?)suggests that shutting the sea-valves might be a good idea. Not all the way mind you, just a bit.

Meanwhile, the First Mate runs in circles shouting "Why wasn't I told?" the Second Mate is drunk again, the Chief Engineer is babbling about fitting more propellers, and the Captain is locked in his cabin with his Skype set to unavailable.

[jalansanitwong]

They wont be able to lower it too much.

All these new Rolls Royces,Ferraris, lambo's and benz's have to be paid for expecially now the tax revenue office is on their tail.

[Wavefloater]

I am truly convinced that no Thai person understands the basic business rule of supply and demand. Thai businesses prove that they don't. We know that in the Thai perspective if the demand decreases or the market is flooded with something prices go up. In the rest of the world, when those things happen prices go down.

I would also like to know why Thais are unable to think about the future.

Once again, amazing Thailand.

[chainarong]

What you tried to do was rip off your buyers, who know more about commerce than all of PTP put together, you're never going to learn, from the worlds largest supplier to ziltch, congratulations. Score: 1/10

[EyesWideOpen]

Must save face.......must save face.....must save face....

[Ricardo]

So is this a suggestion from-the-ranks, or on orders from the Big Boss, in Dubai ?

Time for another interview in Der-Spiegel, to set the record straight !

[soi41]

"The government will carefully study relevant information, before making any changes"

My dear Khun Kittiratt, ever heard of google: rice, worldmarket price. And voila, there it is, right on your screen!!

[belg]

have you have millions of tonnes that are unsold and rotten, why , oh why would you continue this fiasco ?

ah yes, as we can read, thailand is a major importer of cambodian rice, one might think that some corruption is involved to get that in the thai sceme, right?

no small fish profit from this scam

[Payboy]

Easier to adopt new Thai weights & measures standard. 1 Thai ton = 2,000kg.

Edited June 13, 2013 by Payboy

[GentlemanJim]

Well Moody's said their bit, now i would really expect Thailand to drop many places on the World corruption scale some time this year.

[TomTao]

He said rice prices in the global market have dropped from the day when the government launched the rice pledging scheme

It is my underatnading that the government paid above the the market rate from the begining, this policy was doomed from the inception, no point blaming the global price of rice for a bad decision. Why can't the government just suck it up and admit they goofed, and that the decision to introduce the policy has had negative consequences on the economy?

Edited June 13, 2013 by TomTao

[kimamey]

The NRPC is having its first meeting later today after the closing
entries sub-committee on pledging agricultural produce disclosed heavy
losses from the scheme.

I thought they didn't know what the losses would be. They said they wouldn't know for 3 years. Or am I missing something.........again?

[kimamey]

"The government will carefully study relevant information, before making any changes"

My dear Khun Kittiratt, ever heard of google: rice, worldmarket price. And voila, there it is, right on your screen!!

Maybe those sites are blocked by the MICT.

[jonclark]

All that this means is that a larger volume of rice will be imported from neighboring countries, re bagged as Thai Hom Mali and put into the Thai subsidy scheme.. The end spend will no doubt be the same..

[bigbamboo]

If Thaksin was really the CEO of Thailand he would have been sacked by the shareholders by now.

[rubl]

"The government will carefully study relevant information before any changes,"

Bravo! Nothing hasty please. It's only Moody's and a few other foreigners complaining. Let's wait for the MoC Boonsong to have collected all data on the two periods (2011/2012, 2012/2013). Just yesterday the PM noted that much of the issue at hand depends on the compilation of the loss figures from PMs Office Minister Varathep Rattanakorn. Surely the government needs a little bit more time to study relevant information which is still being collected and compiled ?

[Halion]

Just another set of lies. This Government killed the rice market with their raising of the price in the pledging scheme and further exaserbated by the minimum wage hike. Further impacted by the increase in the value of the Baht.

KITTIRAT HAS GOT HIMSELF INTO SUCH A TANGLE THAT HE DOES NOT KNOW WHETHER TO SH*T OR GO BLIND.

[Slip]

All that this means is that a larger volume of rice will be imported from neighboring countries, re bagged as Thai Hom Mali and put into the Thai subsidy scheme.. The end spend will no doubt be the same..

Interesting- I have a rice miller friend who is pretty pee'd off at the moment. He can't even get Thai rice. The only way he is keeping his head above water is selling (not milling) foreign rice.

A few very select people seem to be benefitting from this fiasco.

[hellodolly]

Must save face.......must save face.....must save face....

You have made a good start now 259,000,000,097 more times.

[SICHONSTEVE]

OMG! How will the farmers ever manage without the subsidy?..........doh! I forgot, they don't get any of it anyway! Lower away!

That's what these naive rice farmer communities get for believing in populist policies, and they will again not learn from their mistakes and believe in those empty promises again and again and again...

... They get what they blindly wanted to and get ripped and stripped...

Perhaps those non-Thai's up North in Isaan will stop moaning and complaining when I refer to the Pheu Thai voters in the area as being naive, gullible and stupid now. as there is clear justification to do so.

I think I should be safe as I have an inkling that not too many will be 'tuned in' to this topic as it doesn't look so good on their equally stupid hero in foreign realms!!!!

[hellodolly]

"He said rice prices in the global market have dropped from the day when the government launched the rice pledging scheme and, in an economic administration, it is normal to adjust the policy to keep up with the situation."

Why didn't they adjust the price at the original launching to reflect the market? (Keep up with the scene)

I think they studied there check books and adjusted the prices accordingly.

[rubl]

^28 the doll:

The rice pleding started 2011-10-07. On 2012-09-24 we had "Thaksin said. If we were to push to sell to compete with India when they started dumping the rice at that time we probably end up with $400 per ton. Now its $602. We will be doing ok."

Now a graph on the rice price from October 2011 till now :-)

[hookedondhamma]

OMG! How will the farmers ever manage without the subsidy?..........doh! I forgot, they don't get any of it anyway! Lower away!

That's what these naive rice farmer communities get for believing in populist policies, and they will again not learn from their mistakes and believe in those empty promises again and again and again...

... They get what they blindly wanted to and get ripped and stripped...

Perhaps those non-Thai's up North in Isaan will stop moaning and complaining when I refer to the Pheu Thai voters in the area as being naive, gullible and stupid now. as there is clear justification to do so.

I think I should be safe as I have an inkling that not too many will be 'tuned in' to this topic as it doesn't look so good on their equally stupid hero in foreign realms!!!!

Non-thais up north in isaan ? oh my! You better sleep with one eye open ... Edited June 13, 2013 by hookedondhamma