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Open Letter: Pridiyathorn writes to PM Yingluck opposing rice pledging


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OPEN LETTER
Pridiyathorn writes to PM opposing rice pledging

The Nation

BANGKOK: -- MR Pridiyathorn Devakula has written an open letter to Prime Minister Yingluck Shinawatra, urging her to stop rice-pledging scheme and turn to use margin paying method.

Prime Minister Yingluck Shinawatra Tuesday said that she has not yet been informed of the letter, which contains the estimated losses of at least Bt425 billion in the first two years.

"The Commerce Minister will explain this. We still have to wait for the official figures. For today, related ministries are finalising the figures."

15 October 2013

Dear Prime Minister,

As a Thai citizen, I have been monitoring the progress of the rice-pledging with concern that it will cause huge damage to the national budget and will provide a chance for massive corruption. From information announced by government agencies and from information of private rice traders as well as from my own surveys of farmers, the rice-pledging scheme during the past two years could be summed up as following:

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The information I have presented above was calculated based on facts that can be verified with information of government agencies. Figures from the government committee in charge of summing up the rice-pledging data also underlined the figures of losses of the project.

When the scheme started in October 2011, the prime minister might not expect that the project would have caused so huge losses. Just in two years, the government has already suffered losses worth Bt425 billion while the benefits earned by farmers were less than half of the losses. Still, non-farmers have abused loopholes to siphon and reap benefits from the scheme for Bt110 billion during the past two years. Time has proved that government officials could not prevent corruption in the scheme.

Now that you have learned the information, if you, the prime minister, still listen to the persons around you and allow the scheme to go on for another year (2013/14), it would mean that you are tolerating the country's administration that causes huge damage to the national budget although you know the damage will happen.

I understand well that you want to help increase incomes for farmers. But you should find a way to help farmers that will not cause higher losses to the national budget than the benefits that the farmers will receive more than market prices. Such a measure should not provide a chance to non-farmers to cite farmers to reap their own benefits. Such a measure should spread benefits to more poor farmer families. Moreover, to prevent damage from rice becoming rotten, the government should find a way to help farmers without bringing in rice to be in the government's stockpile. On the contrary, the government should allow rice to be traded through the rice trading system of private firms, which is already good and will not cause damages to the government.

Actually, your government has already started using such a measure for helping farmers without causing huge damage. The measure was used in case of rubber growers. Your government decided to pay only the market margin directly to rubber growers to prevent others from earning benefits. The measure allowed the rubber trading system to continue normally without taking in rubber sheets to be in the government's stockpile, which could lead to losses or corruption when the rubber stocks are unloaded. Moreover, the Commerce Ministry has already used this method in providing help to formers for 890,000 tonnes of rice, which was the last amount the government provided help to farmers for the 2012/13 crop year. The Commerce Ministry paid the subsidy directly to bank accounts of farmers at the rate of Bt2,500 per tonne, instead of buying the rice from them at the rate of Bt15,000 per tonne.

As a result, I would like to call on the prime minister to seriously review the scheme. It is still not too late to cancel the rice pledging scheme and turn to use the method of paying the subsidy for the market margin directly to farmers. The government must set the ceiling of subsidy for each family and must formulate rules to fairly distribute subsides to poor farmers. If you, the prime minister, can do this, you will earn the praise that you have worked as the prime minister to prevent the national budget from being wasted and you will also help more farmers.

Sincerely yours,

MR Pridiyathorn Devakula

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-- The Nation 2013-10-15
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I thought all losses on the Rice scam and other dubious schemes where

not to be published, so as not to upset the Government,and were to be

filed under State secrets,not to be opened for 50 years !

regards Worgeordie

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These telling figures will probably have about the same effect as all the prior warning and "I told you so" have had...

One good thing is its all on a single page, concise, neat and to the point. Ready made for a new committe's scrunity. I do like his use of 'at least', many think these numbers are low by 50%, but the totally sold note should take that into account.

This short read should not tax the attention span of the PM nor any of the other cronies involved. There will be a denial of course, but I doubt if it will come from a single mouth piece. Even with notes most of them have problems if a second topic is mentioned, much less a question asked about it.

The potential for the seizure of assists for corruption, theft, malfeasence of sworn duty, etc must have some watch dog groups panting. Just think of the rewards likely for looking another way

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"Prime Minister Yingluck Shinawatra Tuesday said that she has not yet been informed of the letter"

She's never in the country long enough to check her mail is she?

carefull polee youl have fab4 on here soon ...giving you what for.....you know the (his).rules....w00t.gif

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Is anybody connecting the dots here?

Yingluck has gained control of the rice in Thailand with her scheme so she can barter with the Chinese for the high speed train.

She is already talking about a similar system for the rubber. She wants to barter both rice and rubber to China.

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Is anybody connecting the dots here?

Yingluck has gained control of the rice in Thailand with her scheme so she can barter with the Chinese for the high speed train.

She is already talking about a similar system for the rubber. She wants to barter both rice and rubber to China.

Actually the rice and rubber for trains scheme is a win-win for both governments.

Thailand get to shift some of it's surplus stock whilst China gets it's commercial rail link through south east Asia to Singapore.

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Don't know who the guy is but its a very elegant letter, leaving Yingluck a way out of the scheme without losing face. Actually she'd be gaining a lot a face if she'd follow his advice. The only thing is that big brother won't be agreeing on this.

MR Pridiyathorn Devakula is an erudite and wise man. The type that unfortunately Yingluck doesn't have in her cabinet.

As to who he is, read and learn : http://en.wikipedia.org/wiki/Pridiyathorn_Devakula

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Calls for rice scheme review get louder
By English News

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BANGKOK, Oct 15 – Several leading members of Thai society today called on the government to revise its highly-criticised rice pledging scheme which has plunged the country into heavy debt since 2011.

Full story: http://www.thaivisa.com/forum/topic/674764-calls-for-thai-rice-scheme-review-get-louder/

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Is anybody connecting the dots here?

Yingluck has gained control of the rice in Thailand with her scheme so she can barter with the Chinese for the high speed train.

She is already talking about a similar system for the rubber. She wants to barter both rice and rubber to China.

To what value? Rubber is one thing. You think that China doesn't produce 95% of its own rice and 100% on a good year?

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"Prime Minister Yingluck Shinawatra Tuesday said that she has not yet been informed of the letter"

Has she been informed of anything in the past few years? If she was, what was her response? "I don't know."

Nation newspaper readers and TV.com members have all seen it. How is it that the PM hasn't yet seen it?

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"Prime Minister Yingluck Shinawatra Tuesday said that she has not yet been informed of the letter"

Has she been informed of anything in the past few years? If she was, what was her response? "I don't know."

Nation newspaper readers and TV.com members have all seen it. How is it that the PM hasn't yet seen it?

It hasn't appeared in this month's Vogue yet.

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Is anybody connecting the dots here?

Yingluck has gained control of the rice in Thailand with her scheme so she can barter with the Chinese for the high speed train.

She is already talking about a similar system for the rubber. She wants to barter both rice and rubber to China.

To what value? Rubber is one thing. You think that China doesn't produce 95% of its own rice and 100% on a good year?

I am not proclaiming any value but merely an observation that she doesn't admit to her actions. Yingluck apparently is hiding her moves for whatever reason I don't know but she wants to keep the public in the dark.

Edited by expat888
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Is anybody connecting the dots here?

Yingluck has gained control of the rice in Thailand with her scheme so she can barter with the Chinese for the high speed train.

She is already talking about a similar system for the rubber. She wants to barter both rice and rubber to China.

Actually the rice and rubber for trains scheme is a win-win for both governments.

Thailand get to shift some of it's surplus stock whilst China gets it's commercial rail link through south east Asia to Singapore.

But China doesn't want Thailand's surplus rice in the warehouse, they want next season's harvest. What is in the warehouses will rot.

Edited by expat888
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Typical YS and government replies to this, which we can expect: "This is not true. ... We deny this. ... Farmers, we love you! None of this is true! ... This is a Democrat Party conspiracy. ... I will set up a committee to investigate this. ... I'll get back to you when I receive the information. ... Whoever revealed the truth will be transferred to an inactive post ... We're going to sue you for defaming the government . ... "

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The problem is that Yingluck doesn't have the real power to amend the rice subsidy scheme. That power rests with her brother who designed the scheme to allow massive corruption and based it on an ignorant view of world rice production & market forces. He was able to manipulate local telecoms markets but gaining a monopoly in world markets is beyond his powerful claws.

This letter should be made into a handout in Isan where the poorest of the poor farmers (those who produce rice for their own consumption) get absolutely nothing from the subsidy.

The World Bank also has some salient points to make about the rice subsidy too & they're not very complimentary too

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PD is an ex Head of the Bank of Thailand. Other previous posts were as a deputy PM (I believe) under a non-political post-coup government, Head of the Export-Import Bank of Thailand and the man who helpe set up the Thai Asset Management Company to sirt out the bad debts after the Asian financial crisis at the end of the 1990's.

I was fortunate enough to have met him as part of my job.

Very capable - and as straight as a die. And unafraid to speak truth to power. I wisjh there were (hundreds) more like him.

Don't know who the guy is but its a very elegant letter, leaving Yingluck a way out of the scheme without losing face. Actually she'd be gaining a lot a face if she'd follow his advice. The only thing is that big brother won't be agreeing on this.

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