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Calling in favours doesn't always work: Thai govt's rice-pledging scheme


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Posted

BURNING ISSUE
Calling in favours doesn't always work

Samudcha Hoonsara
The Nation

BANGKOK: -- Commerce Minister Boonsong Teriyapirom is still unable to say exactly how much money has been lost in the government's rice-pledging scheme, even though he dismissed the Bt260-billion estimate produced by the Finance Ministry's post-audit committee.

At a rare press conference held last week, Boonsong kept evading relevant questions and only provided stammered responses to other non-essential queries.

The minister appeared nervous, wiping away his perspiration and fiddling with his glasses. Also present at the event was his deputy Natthawut Saikua.

To make things worse, opposition Democrat MP Kiat Sitthee-amorn gave reporters copies of three documents that showed the rice-pledging scheme was a loss-making project.

The first document was a letter dated October 3, 2012, in which Deputy Finance Minister Tanusak Lek-uthai warns the Commerce Ministry that the project could result in a debt of Bt224.5 billion per annum and increase the government's financial burden. He advised the ministry to sell the rice in the government stockpiles as soon as possible in order to settle the debt.

The second document showed that farmers were unable to sell their rice at the pledged price and earned almost Bt5,000 less per tonne.

The third document showed that as of May 15, the government's Bank for Agri-culture and Agricultural Cooperatives spent Bt591.9 billion on the project, but only got about Bt83.8 billion from the sale of rice, which is about seven times less than the cost of the project.

Moreover, the National Anti-Corruption Commission (NACC) is threatening to take legal action against certain officials in the Commerce Ministry for failing to provide information on the amount of rice brought into the project or the amount sold or exported. NACC member Wicha Mahakhun said on Monday that the agency had repeatedly asked for such information from the ministry and would file charges of dereliction of duty against concerned officials if they failed to cooperate. Perhaps this was another reason why the minister was feeling so uncomfortable.

In fact, as government head, it is Prime Minister Yingluck Shinawatra's duty to clarify things, especially since this project is part of her government's policy.

Yingluck had previously called on the Commerce and Finance ministries to submit details about the project, but the information provided did not match.

Then, at a mobile Cabinet meeting in Kamphaeng Phet earlier this week, Boonsong was unable to provide a satisfactory answer to the prime minister. Hence, she had to ask PM's Office Minister Varathep Ratanakorn to gather information and explain the project to the public.

It is obvious that the commerce minister has become a liability for this government, yet it remains unclear if he will be replaced or transferred. It is no secret that Boonsong is close to Yingluck's sister, Yaowapa Wongsawat, who recently won a by-election in Chiang Mai to become a new Pheu Thai MP.

Yaowapa had a lot of clout in the ruling party even before she became an MP, and her faction has a significant quota in the Cabinet, which includes the Commerce seat. So, it is likely that she will have a say in who takes over should Boonsong be moved in the next Cabinet reshuffle.

Yaowapa has little to lose when it comes to who becomes the next commerce minister. It is her sister, Yingluck, who will suffer from having a weak and inefficient Cabinet and she will find it difficult to stay afloat if problems like this continue battering her.

nationlogo.jpg
-- The Nation 2013-06-14

Posted

I like theNation's "burning issue", in red as well. Must be a weird sense of humour. Nothing is burning except the spinning wheels of the data collectors and those who 'interpret' the data into presentable information.

BTW Premier Yingluck is also chairman of the National Rice Policy Committee.

Posted

and you know the next time the Dems are in power and the DSI starts to always side with the Dems ... there will be an investigation .... same same as the PTP now having the DSI investigating the Dems last rice scheme

Posted

and you know the next time the Dems are in power and the DSI starts to always side with the Dems ... there will be an investigation .... same same as the PTP now having the DSI investigating the Dems last rice scheme

"....the next time the Dems are in power.............."

You'll get flak for that comment, from the red side mate.

  • Like 1
Posted

And suddenly money is pouring out of the country. Weird to me, mostly as all this has been clear since the beginning of the year, at least. But maybe it reflects on the 2.2 trillion trillion loan to be repaid with 5 quadrillion of whatever currency might apply in 50 years...

A couple weeks ago the "government" (bureaucracy of cronies) was bemoaning a strong baht, now it bemoans a weak one. So nice that it says it has enough reserves to deal with the problem, but how is anyone to believe that anyone knows, anymore?

Posted

. . . spent Bt591.9 billion on the project, but only got about Bt83.8 billion from the sale of rice . . .

Economics 101, Thai-style . . . bunch of idiots running this country.

  • Like 2
Posted

and you know the next time the Dems are in power and the DSI starts to always side with the Dems ... there will be an investigation .... same same as the PTP now having the DSI investigating the Dems last rice scheme

"....the next time the Dems are in power.............."

You'll get flak for that comment, from the red side mate.

Somehow, I don't see the Dems back in any sort of power soon.

You know things are getting bad when even Yingluck is pissed off, raises her voice in public and ORDERS her ministers to provide the required figures.

What do they do? Look like complete fools by making it worse.

Meantime, they are made to look even more stupid by the opposition.

High time for YL to show some balls, stand up to fatty and dismiss Boonsong. Better yet, put one of her own people there.

I am guessing no one wants the job. Just like in 1997-2000.

You talk as if YL has any say in the matter.
  • Like 1
Posted

What I find...amusing?...curious?...strange?...perplexing??? - pick one...is that Thailand has rice they can't get rid of, with more to come, but according to latest reports, exports of Cambodian rice have jumped 125% in the past 5 months, and Thailand is the third highest buyer!!!

  • Like 2
Posted

High time for YL to show some balls, stand up to fatty and dismiss Boonsong. Better yet, put one of her own people there.

I am guessing no one wants the job. Just like in 1997-2000.

She'd do well to watch the Spitting Image series to get a few pointers biggrin.png

Brilliant!clap2.gif

Now wouldn't it be marvelous if the Thais were mature enough and had enough freedom of speech & guts to be able to produce a Yingluck vs Kittirat version with Chalerm holding the baton..

Happy days! And wasn't politics was so much more fun back then.

Of course here it would be difficult to lampoon the politicians. They do such a good job themselves already.

  • Like 1
Posted

and you know the next time the Dems are in power and the DSI starts to always side with the Dems ... there will be an investigation .... same same as the PTP now having the DSI investigating the Dems last rice scheme

it's tit for tat, but doesn't hide the fact that if the dems scammed the last rice pledge scheme they did a better job at concealing it than PTP can. Also TS is hoping that he can force the dems into constitutional changes if they face the same charges as TS and his cronies!

Obviously PTP were as bad in opposition as they are in power. You would have thought they would have highlighted this over two years ago, or why has it taken them this long to acuse the Dems of a similar scam?

Posted (edited)

What I find...amusing?...curious?...strange?...perplexing??? - pick one...is that Thailand has rice they can't get rid of, with more to come, but according to latest reports, exports of Cambodian rice have jumped 125% in the past 5 months, and Thailand is the third highest buyer!!!

cambodian rice is claimed to be Thai rice for the pledging scheme/scam.

Edited by ggold
Posted

What I find...amusing?...curious?...strange?...perplexing??? - pick one...is that Thailand has rice they can't get rid of, with more to come, but according to latest reports, exports of Cambodian rice have jumped 125% in the past 5 months, and Thailand is the third highest buyer!!!

cambodian rice is claimed to be Thai rice for the pledging scheme/scam.

There's not a grain of truth to that.ermm.gif

Posted

This whole government/cabinet is a reflection of how a political party made up of corrupt people can via propogranda/populist polocies, convience a block of basically honest people, that their support, will result in a major turnaround in the voters life style.

Never mind that the corrupt are also clueless at anything which requires, reasoned research, approach, thinking, or actions.

This government, from brother to sisters, other family members, Cabinet, political apointees, etc will show, the honest people that, a minority can bring down a nation if left unchecked and are allowed to contine in their self enrichment programs.

You might be able to sell it to others but I am fully convinced that the people get the government they deserve.

  • Like 1
Posted

and you know the next time the Dems are in power and the DSI starts to always side with the Dems ... there will be an investigation .... same same as the PTP now having the DSI investigating the Dems last rice schem

At the rate things are going the Thai rice farmer will not be able to sell his rice and he will know who it was that sold him down the river.

The DSI might be forced to start investigating the PTP. and the nation will be watching.

Posted

This whole government/cabinet is a reflection of how a political party made up of corrupt people can via propogranda/populist polocies, convience a block of basically honest people, that their support, will result in a major turnaround in the voters life style.

Never mind that the corrupt are also clueless at anything which requires, reasoned research, approach, thinking, or actions.

This government, from brother to sisters, other family members, Cabinet, political apointees, etc will show, the honest people that, a minority can bring down a nation if left unchecked and are allowed to contine in their self enrichment programs.

You might be able to sell it to others but I am fully convinced that the people get the government they deserve.

I think there is a small chance that all sides are starting to realise this.

Slowly, the public will learn that holding politicians to account of all colours is a good thing.

Posted (edited)

I think it is funny that someone (the PTP ministers) are incapable of making a simple balance sheet, but still wants to borrow 2 trillion baht.

Imagine a company where the CEO and CFO (Yingluck and her finance and commerce ministers) tells the shareholders at the annual shareholder meeting, that they have no idea how the company is doing, or how much has been lost so far, but they would like permission to borrow 2 trillion baht for yet another project, even before presenting the shareholders with a budget for this project.

I wonder if the shareholders would approve, or if they would fire the CEO and CFO and sue them? What do you think?




Edited by monkeycountry
Posted

I think it is funny that someone (the PTP ministers) are incapable of making a simple balance sheet, but still wants to borrow 2 trillion baht.

Imagine a company where the CEO and CFO (Yingluck and her finance and commerce ministers) tells the shareholders at the annual shareholder meeting, that they have no idea how the company is doing, or how much has been lost so far, but they would like permission to borrow 2 trillion baht for yet another project, even before presenting the shareholders with a budget for this project.

I wonder if the shareholders would approve, or if they would fire the CEO and CFO and sue them? What do you think?

I think the shareholders (voters) were busy with watching TV soaps/game shows and other sanook so the motion was passed by the board of directors (cabinet) without opposition. Apathy is killing this country as much as any corruption. Corruption and one-party rule are the other factors in the decline.

  • Like 2
Posted

High time for YL to show some balls, stand up to fatty and dismiss Boonsong. Better yet, put one of her own people there.

I am guessing no one wants the job. Just like in 1997-2000.

She'd do well to watch the Spitting Image series to get a few pointers biggrin.png

Brilliant!clap2.gif

Now wouldn't it be marvelous if the Thais were mature enough and had enough freedom of speech & guts to be able to produce a Yingluck vs Kittirat version with Chalerm holding the baton..

The defamation laws will prevent it. These laws keep the people gaged and under control.
Posted

Let me see if I have this straight. The Thai Government buys rice from farmers above open market rates, then contracts warehouses in which to store the rice while it degrades over time, then eventually sells the rice for less than which they purchased it. How in the world could anyone think that this program could possibly lose money?

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