BAAC allocates 60 billion baht in relief budget for rice farmers

[hellodolly]

A lot of these farmers are going to lose their land because of debt, they will end up being serfs to large Chinese agricultural concerns and having no idea how it happened. extremely sad.

serfs to large Chinese agricultural concerns

I thought that was already the case.

[Thai at Heart]

A lot of these farmers are going to lose their land because of debt, they will end up being serfs to large Chinese agricultural concerns and having no idea how it happened. extremely sad.

serfs to large Chinese agricultural concerns

I thought that was already the case.

Largely the case. Meanwhile some other numpty on another thread blames it on Monsanto.....

[hellodolly]

According to the Government

"The pledging price cut was based on the global rice price situation"

Why didn't they base the original scam on those principals.

Is this the same Government?

what happened?

Were they bent over and a bull snuck up on them and injected some brains into them?

[Sunisalom]

BAAC offers a special credit card to farmers, as well as numerous other services. They are actually quite a good organisation by Thai standards. They actually help people, and receive little fanfare for doing it (yes, I know it's there job.... but how many other govt agencies actually do their job?)

The credit card has only allow my parent to get in dabt, and is not help like you say. He can buy new car, a tractors for land.. and after get nothing for rice pay.

Sunisa.

[WhizBang]

What a load of cobblers.

[dcutman]

I'm really surprised that this state owned bank still has money to form yet another budget. The 500 billion non-revolving fund seems to have expanded to 700 billion, handful of billions here, there and everywhere and a government which cannot repay as they've already lost about 200 - 220 billion with further losses rising as rapidly as the mountain.

And the mountain will continue to grow, even at 12,000 a ton.

The price of Indian parboiled rice, which accounts about 50 percent of the non-basmati exports, has been cut to $415 a ton from $435 a month earlier to cope with increasing competition, Rao said. Vietnam is offering 5 percent broken white rice at $370 a ton, while the Indian variety costs $440, he said. Thailand’s rice is at least $50 more than India,

http://www.bloomberg.com/news/2013-06-27/rice-exports-from-india-to-fall-as-vietnam-pakistan-boost-sales.html?cmpid=yhoo

[Robby nz]

So how much does this Govt owe (has borrowed from, out of budget) its own banks now?

There is the original 500 billion to buy rice.

An additional 200 billion to buy more.

200 billion already borrowed for the flood scheme.

There could well be more that I don't know of but that's 900 billion to go on with.

[allan michaud]

60billion between 200,000 farmers is B300,000 each... seriously?

[colin2]

Make it One Hundred Trillion , And everyone will be happy !.

[Hornell]

"I was going to suggest the same thing. get a safe and keep your money in there, it's safer"; says Gentleman Jim. Sorry mate, that won't work; my neighbour just had his whole safe lifted by kamoy! OK so he hadn't got it concreted in and bolted to the floor, but then even if he had, a couple of years ago some thieving tow rags at another farang house in the neighbourhood, blew the whole safe and half the house to smithereens. You'll need to be more subtle than using a safe! All of them carry big notices in flashing lights that say; "the goodies are in here!"

[Thai at Heart]

I'm really surprised that this state owned bank still has money to form yet another budget. The 500 billion non-revolving fund seems to have expanded to 700 billion, handful of billions here, there and everywhere and a government which cannot repay as they've already lost about 200 - 220 billion with further losses rising as rapidly as the mountain.

And the mountain will continue to grow, even at 12,000 a ton.

The price of Indian parboiled rice, which accounts about 50 percent of the non-basmati exports, has been cut to $415 a ton from $435 a month earlier to cope with increasing competition, Rao said. Vietnam is offering 5 percent broken white rice at $370 a ton, while the Indian variety costs $440, he said. Thailands rice is at least $50 more than India,

http://www.bloomberg.com/news/2013-06-27/rice-exports-from-india-to-fall-as-vietnam-pakistan-boost-sales.html?cmpid=yhoo

And that is bog standard rice.

[culicine]

What's the saying? Gone to h*ll in a hand basket...that's it. The government has gone way beyond a joke. At least Taksin's coffers are full to the brim now.

[Baerboxer]

What's the saying? Gone to h*ll in a hand basket...that's it. The government has gone way beyond a joke. At least Taksin's coffers are full to the brim now.

Precisely. How many farmers have received a bigger income or had their "lives changed" by this scam? It was designed to enrich a certain chosen few. It's been tumbled and now they're all running around like headless chickens trying to cover up. Corruption, missing stocks, illegal imports, same rice pledged several times, secret "government to government" negotiations, lies about the figures, denials of knowing what was going on from those suposedly in charge, ridiculous claims and figures that don't add up etc etc.

This would all have still been going on with tax payers money draining away had it not been for Moody's. Now they're scrambling and trying to buy time to keep the wolf from the door. The lies and plans become more desperate.

Where are all the usual red Thaksin defenders with their posts in support of this democratically elected peoples' government and their astonishingly brilliant 2 years in office?

[up-country_sinclair]

What's the saying? Gone to h*ll in a hand basket...that's it.

The saying I was thinking of is, "When you're in a hole, stop digging".

[Bagwan]

What's the saying? Gone to h*ll in a hand basket...that's it. The government has gone way beyond a joke. At least Taksin's coffers are full to the brim now.

Get real. He has recently ordered another couple of dozen. He is totally insatiable. His mantra is "And tomorrow the World'.

[MikeOboe57]

So the great savings from cutting the price by B3000/ton will only accrue after the first 20 million tonnes because they just gave away B60 billion. Is this what Yingluk calls fiscal discipline?

Nah, Yingluck calls it "that rice... thing".

[Bagwan]

I am ignorant to the in's and out's of the banks in Thailand but should should I be putting my money into another bank in Thailand, in my G/f s village this is the only bank?

I ordered, not advised or requested, ordered, all my family to remove their money PDQ some time ago. I keep a reasonable amount in UOB, a subsidiary of a Singapore bank, and make regular transfers to KTB who I use to meet my day to day living costs. I chose KTB because they have an association with my UK bank and this keeps transfer costs from the UK to a minimum, particularly as I instruct my UK bank to mulct all transfer charges. To avoid interbank charges inThailand I withdraw the monies transferred from my offshore account from KTB in cash and walk down the road and deposited them with UOB. As far as I am aware UOB does nor lend money to the Thai Government and as far as Thai banks are concerned are pretty kosher.

I understand that several directors of KTB are currently on trial over making non-performing loans to several Thai notables.

[mccw]

Thai farmers don't even pay taxes!

I don't think the farmers really get any of this money either.

Its the cronies and middle men of the regime that gets this 2 billion $

[Robby nz]

An even worse consequence of this is that should this 60 billion be taken up by the farmers it will only be taken up by those already in debt.

With a profit of only 360 baht a ton at the new price of 12,000 per ton (assuming they get the full amount) there is no way they are going to be able to pay off that debt.

So all this wonderful 'help the farmers' thing will do is send them broke quicker.

Of course the 60 billion may not be meant to be given out, it may not even exist, rather just something to try and fool people into believing they are doing something.

[sjjmmi]

Wow a NEW scam as the old one did not work super cool here

[Robby nz]

When you look at it closely this could be one of Thaksins more brilliant bits of thinking.

Come election time it gives PT the option of saying "Vote for us and we will forgive all farmers debt to Govt banks"

How would that go for a vote winner?

Without forgiving debt the only conclusion would be that the farmers who have taken on the debt would eventually go broke and the bank would foreclose and the farmers land would then belong to the bank, IE the Govt.

It could then be leased back to the farmers, or first sold to the highest bidder, guess who.

The rich shall inherit the poor.

[rubl]

Government provided loans are more likely to get into a 'debt suspension' scheme for farmers.

BTW with BAAC having lent so many billions to the government for it's agricultural schemes it's surprising the bank still can find 60 billion in a corner of the building somehow. Mind you it's probably just coincidence that nearly two weeks ago the BAAC reported that farmers' deposites had jumped by 60 billion in two years time to a total of 200 billion. The BAAC's financial liquidity is now more than 150 billion baht. The level exceeds the central bank's minimum requirement for the BAAC's reserve-to-deposit ratio of 60 billion baht.

[ableguy]

BAAC offers a special credit card to farmers, as well as numerous other services. They are actually quite a good organisation by Thai standards. They actually help people, and receive little fanfare for doing it (yes, I know it's there job.... but how many other govt agencies actually do their job?)

These credit cards are a rip off, The farmer gets free credit for one month and then it goes to 7% many of them have gone into debt because they were expecting 15000 a ton for paddy next year,

[mccw]

BAAC offers a special credit card to farmers, as well as numerous other services. They are actually quite a good organisation by Thai standards. They actually help people, and receive little fanfare for doing it (yes, I know it's there job.... but how many other govt agencies actually do their job?)

These credit cards are a rip off, The farmer gets free credit for one month and then it goes to 7% many of them have gone into debt because they were expecting 15000 a ton for paddy next year,

7% compared to a normal employed persons credit card rate that would be 15-20%

[Katipo]

BAAC offers a special credit card to farmers, as well as numerous other services. They are actually quite a good organisation by Thai standards. They actually help people, and receive little fanfare for doing it (yes, I know it's there job.... but how many other govt agencies actually do their job?)

The credit card has only allow my parent to get in dabt, and is not help like you say. He can buy new car, a tractors for land.. and after get nothing for rice pay.

Sunisa.

That's not because of the BAAC, that's because of a corrupt inept government and their rubbish policies.

[whybother]

Are they cancelling this budget item now that they have put the rice pledge price back up?

Or have they already spent it?

[Thai at Heart]

Are they cancelling this budget item now that they have put the rice pledge price back up?

Or have they already spent it?

I don't expect the boss of baac to have that answer available, yet.....

[Thait Spot]

What a load of cobblers.

And no shoes to repair