Thailand has no influence on global rubber price: Yukol

[webfact]

Thailand has no influence on global rubber price: Yukol
YUPIN HONGTHONG
THE NATION



BANGKOK: -- Although Thailand is a major rubber producer, it has no influence over the global market price as the country has to rely mainly on exports, Agriculture Minister Yukol Limlaemthong said yesterday.

He said Thailand produced about 3.6 million tonnes of rubber a year, some 3 million tonnes of which was exported. Because of the global economic recession, the price of the commodity has fallen from a peak of Bt120 a kilogram to Bt70 at present, according to the agriculture minister.

Yukol, who is also a deputy prime minister, said the government now had about 200,000 tonnes of rubber in its stockpiles. The Agriculture and Cooperatives Ministry's Rubber Estate Organisation last year bought rubber from farmers at Bt100 a kilogram, with the goal of boosting the market price to Bt120. As at the end of March this year, some Bt20 billion had been spent on a project aimed at shoring up the rubber price - out of Bt45 billion allocated for the project.

The minister said the government had been approached by Chinese importers who offered to buy rubber at Bt60 a kilogram, or Bt40 lower than what the government had offered farmers. He said the reason importers offered such a low price was that they were aware that the Thai government still has large quantities of rubber in its stockpile.


-- The Nation 2013-08-30

[Mosha]

That 100 Baht/kg last year was all but unobtainable for ordinary growers.

Edited August 30, 2013 by Mosha

[jaidam]

How about if Thailand with-held its rubber from the world market for about 3 years, thus boosting the world's rubber price?

The legendary economist that invented Thaksinomics/aka get rich from monopolistic practices would agree with me I'm sure. It worked so well for the Thai rice industry.

[Pond Life]

It has no influence over the world rice price either, but it hasn't stopped them trying.

[MaxLee]

Thailand has no influence on global rubber price: Yukol

BANGKOK: -- Although Thailand is a major rubber producer, it has no influence over the global market price as the country has to rely mainly on exports, Agriculture Minister Yukol Limlaemthong said yesterday.

He said Thailand produced about 3.6 million tonnes of rubber a year, some 3 million tonnes of which was exported. "Because of the global economic recession, the price of the commodity has fallen from a peak of Bt120 a kilogram to Bt70 at present, according to the agriculture minister."

Yukol: Blame it on mother nature, the holy christ and ghe karma, karma, karma: "The nasty nasty Falang world economy, because THEY don't import from us anymore"

Edited August 30, 2013 by MaxLee

[Robby nz]

Neither it should be noted, has it any influence on the global price of rice.

But they did try and what a disaster that has turned out to be.

[Sing_Sling]

How about if Thailand with-held its rubber from the world market for about 3 years, thus boosting the world's rubber price?

The legendary economist that invented Thaksinomics/aka get rich from monopolistic practices would agree with me I'm sure. It worked so well for the Thai rice industry.

That would suit Malaysia and Indonesia down to the ground - their prices would increase and then when Thailand dumps their rubber on the market . . . the prices would collapse leaving Thais shafted twice.

Yes, logical thinking.

It's a commodity and prices will ebb and flow - the biggest mistake was for rubber plantations to have been replaced with oil palms . . . short-term thinking

[LuckyLew]

They have no control over rice prices either ...

For some silly reason they thought they did .... but as usual wrong

[dcutman]

Yukol, who is also a deputy prime minister, said the government now had about 200,000 tonnes of rubber in its stockpiles

Is this including all the rotten stuff?

THAILAND: Minister shocked by massive store of rotting rubber

Mon Feb 25, 2013 | Deputy Agriculture and Cooperatives Minister Yuthapong Charassat said he was startled to find 10,000 tonnes of rubber left to rot in warehouses in three northeastern provinces under the government's pledging scheme

http://polynews.net/en/news/polynews/116950/thailand-minister-shocked-by-massive-store-of-rotting-rubber/2013-02-25

[tingtong]

if something, the exchange rate is a little boost for now, especially if the direction held...

last yr $/THB rate was lower than this yr's.

inflate the THB some more, say, 35THB/$, and all the export would see a boost that needed.

[somdej]

Looks to me that this government is setting itself up for a very big fall when the realities of market pricing start to hit home. A lot of the supporting electorate are not going to be too pleased at some time in the not too distant future.

[notmyself]

Although Thailand is a major rubber producer, it has no influence over the global market price as the country has to rely mainly on exports, Agriculture Minister Yukol Limlaemthong said yesterday.

As they did and do with rice?

Export 3ml tonnes of rubber a year... How does that compare?

[bigbamboo]

If only someone in the know had told the government's economics guru in Dubai that Thailand would have no influence on global rice prices either.

[rdcny1]

New York Times story:

Rubber Farmers Block Road After Prices Plunge

By THOMAS FULLER

After falling rubber prices drove many rubber farmers in south Thailand into debt, hundreds of them blocked the region’s main north-south road and railroad in protest.

http://www.nytimes.com/2013/08/30/world/asia/thai-rubber-farmers-block-road-to-protest-prices.html?emc=edit_tnt_20130829&tntemail0=y&_r=0

[laurentbkk]

Rubber today , Rice yesterday ..... what about tomorrow ?

[selftaopath]

They have no control over rice prices either ...

For some silly reason they thought they did .... but as usual wrong

Yes the BIG BIG BIG ego man's plan to RULE, manipulate, own the market. Doesn't everyone know he is the most brilliant man alive? Geeze what's wrong with the area outside the Thai WORLD????

[TackyToo]

Yukol, who is also a deputy prime minister, said the government now had about 200,000 tonnes of rubber in its stockpiles

Is this including all the rotten stuff?

THAILAND: Minister shocked by massive store of rotting rubber

Mon Feb 25, 2013 | Deputy Agriculture and Cooperatives Minister Yuthapong Charassat said he was startled to find 10,000 tonnes of rubber left to rot in warehouses in three northeastern provinces under the government's pledging scheme

http://polynews.net/en/news/polynews/116950/thailand-minister-shocked-by-massive-store-of-rotting-rubber/2013-02-25

My crystal ball says there will be a new incentive program by the TAT in 2015:

Visit Thailand enjoy daily all you can eat free rice, with our famous slavery-shrimps and get your free pair of rubber fins and an inflatable rubber mattress.

Phuket visitors also get a free bullet proof west and a Russian tour guide/body guard during their entire stay.

[tingtongteesood]

I am sure the PT criminal gang will continue the madness until the next election in order to try and keep people onside to vote them back in, they will perpetuate it until they are gone. When they are gone, whoever comes next will have to choose to continue the madness, or try and clean up the enormous mess !

[MaxLee]

Rubber today , Rice yesterday ..... what about tomorrow ?

Cars cars cars,....

[hellodolly]

How about if Thailand with-held its rubber from the world market for about 3 years, thus boosting the world's rubber price?

The legendary economist that invented Thaksinomics/aka get rich from monopolistic practices would agree with me I'm sure. It worked so well for the Thai rice industry.

+1

Edited August 30, 2013 by hellodolly

[Ulic]

OK so now we know the program works well for rice and rubber. What other large group of farmers/voters can we subsidize

to get re-elected next time.

[Nickymaster]

Rubber today , Rice yesterday ..... what about tomorrow ?

Cars cars cars,....

BBC: Is Thailand's car buying scheme a wise move?

http://www.bbc.co.uk/news/business-23859931

[lujanit]

This quote is from the Wall Street Journal http://online.wsj.co...828-706973.html

Prime Minister Yingluck Shinawatra's administration has already spent about $18 billion to fund its controversial rice subsidy program, in which the government buys rice from local farmers at about 50% above what the grain would sell for on the global market. The program has built up at least $4.4 billion in financial losses, and a staggering amount--17 million tons--of rice is now in storage. That's the equivalent of two years of the country's exports.

The government's support for rice farmers, in keeping with Ms. Yingluck's campaign promise to improve the livelihood and income of her key constituency, has encouraged other farmers to also ask for help.

Then there is this tidbit in the article

Perk Lertwangpong, president of Rubber Planter Cooperatives of Thailand, said the export value of rubber is more than that of rice, so rubber planters should get similar attention and aid from the government.

Ouch!

Edited August 30, 2013 by lujanit

[Bounngou]

while in Dubai, speak to OPEC for a few tips on commodity monopolies.

[Sing_Sling]

Luckily agriculture isn't subsidised anywhere else or there would be many of these stories like wine lakes, butter mountains - ah, that would be a laugh

[EyesWideOpen]

So looks like rubber is the next industry to be destroyed. Hmmmm.... My wife's family has a rubber plantation.

Guess I will have to start planning financial support for them next year. Too bad, as they were somewhat

well off, and in the past I have never had to send them any money... :-(

[Thai at Heart]

How about if Thailand with-held its rubber from the world market for about 3 years, thus boosting the world's rubber price?

The legendary economist that invented Thaksinomics/aka get rich from monopolistic practices would agree with me I'm sure. It worked so well for the Thai rice industry.

That would suit Malaysia and Indonesia down to the ground - their prices would increase and then when Thailand dumps their rubber on the market . . . the prices would collapse leaving Thais shafted twice.

Yes, logical thinking.

It's a commodity and prices will ebb and flow - the biggest mistake was for rubber plantations to have been replaced with oil palms . . . short-term thinking

Go and read about the Thai rubber companies. They all have operations in Malaysia and Indonesia also.

[Sing_Sling]

 

How about if Thailand with-held its rubber from the world market for about 3 years, thus boosting the world's rubber price?

The legendary economist that invented Thaksinomics/aka get rich from monopolistic practices would agree with me I'm sure. It worked so well for the Thai rice industry.

That would suit Malaysia and Indonesia down to the ground - their prices would increase and then when Thailand dumps their rubber on the market . . . the prices would collapse leaving Thais shafted twice.

Yes, logical thinking.

It's a commodity and prices will ebb and flow - the biggest mistake was for rubber plantations to have been replaced with oil palms . . . short-term thinking

Go and read about the Thai rubber companies. They all have operations in Malaysia and Indonesia also.

 

Go and read? You may base your knowledge on whatever you read but I am in the rubber industry as well as oilpalm - and in this case I may just know a bit more about this than you . . . actually, you haven't added anything, have you - well, aside from telling me to go an read.

(here's another hint: my current ip is Malaysian . . . meaning I do know both sides)

So, go and experience and read various sources - which ones I will leave up to you as you did me

[Sing_Sling]

How about if Thailand with-held its rubber from the world market for about 3 years, thus boosting the world's rubber price?

The legendary economist that invented Thaksinomics/aka get rich from monopolistic practices would agree with me I'm sure. It worked so well for the Thai rice industry.

That would suit Malaysia and Indonesia down to the ground - their prices would increase and then when Thailand dumps their rubber on the market . . . the prices would collapse leaving Thais shafted twice.

Yes, logical thinking.

It's a commodity and prices will ebb and flow - the biggest mistake was for rubber plantations to have been replaced with oil palms . . . short-term thinking

Go and read about the Thai rubber companies. They all have operations in Malaysia and Indonesia also.

I actually don't know what you're trying to say . . . what is your point?