Thailand risks sugar smuggling

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Thailand risks Sugar Smuggling
By Khaosod Online



BANGKOK: -- Thailand’s cheap sugar is facing threat from sugar smuggle as it holds the cheapest retail price in the South East Asian region.

With retail price at THB 22.60 per Kg, Thailand has the cheapest sugar in ASEAN.Private sectors suggest the government to prevent nation′s sugar shortage.

According to Mr. Siriwut Siempakdee, Chairman of Public Relation Committee of Thai Sugar Miller Co.Ltd., his company has the lowest sugar price at THB 22.60 per Kg, and THB 23.60 for refine sugar.

However, comparing to our neighbor, Laos and Cambodia sell their sugar at THB 30 – 35 per Kg, Myanmar THB 30.1, Vietnam THB 25.50 – 28.50, Malaysia THB 25.87, Indonesia THB 40.35 and the Philippines THB 41.20.

Mr. Siriwut stated his concern over the possibility of sugar shortage within the country as there are more consumption demand from China, Japan, South Korea and Australia. Moreover, the demand is also subjected to increase once the region enters AEC (ASEAN Economic Community).

According to Mr. Siriwut, unless the government changes certain policies, Thailand would face domestic sugar shortage as sugar might be smuggled out of the country to feed those higher demands.

Source: http://www.khaosod.co.th/en/view_newsonline.php?newsid=TVRNNE16QTBPRFkwTVE9PQ==

-- KHAOSOD English 2013-10-30

[soundman]

Wouldn't surprise me if some ministerial department is now working on a scheme to subsidise the sugar growing industry based upon the rice model.

[JoeThePoster]

Thailand would face domestic sugar shortage as sugar might be smuggled out of the country to feed those higher demands.

Won't be cheap anymore, then.

[Thai at Heart]

If ever there was the most nonsensical discussion, it is the biennial sugar shortage in Thailand, because the Thai government deems it beneficial for the Thai people to have cheap sugar at the expense of the Thai Chinese millers.

Aaaaaaaaagggggghhhhhhhh. There will be a sugar shortage.... What to do? Put one less spoon in my savory noodles? Smuggled out of the country? What the hell does that mean? Sold?

Edited October 29, 2013 by Thai at Heart

[Ricardo]

Whoopsie, just put a second spoonful, into my morning-coffee !

Should I turn myself in, at the local cop-shop, for having wrecked the government's latest economic-plan ?

[nev]

Wouldn't surprise me if some ministerial department is now working on a scheme to subsidise the sugar growing industry based upon the rice model.

Bring it on i say, most farmers i know doing sugar have lost a lot of money last year including my wife, and the sugar company have suggested this year they will be setting the price at 850 a ton well down on last year.

[SSSlongtime]

good put the price sugar up .noticed this year how fat thais are getting ,even children ,where all the slim birds gone

[bkk_mike]

Surely the AEC is, like the old EEC, a free trade zone...?

That should mean sugar can sell legally across borders.

So why are they talking about smuggling?

All that will happen is sugar in Thailand might get more expensive to avoid all the sugar being exported to countries that pay more, and sugar elsewhere will get a little cheaper. It should be the sugar producers in Indonesia and the Philippines that should be worried. The Thai ones are in for a boom and probably increasing production to cope with demand for cheap Thai sugar in the rest of ASEAN..

[hansnl]

Wouldn't surprise me if some ministerial department is now working on a scheme to subsidise the sugar growing industry based upon the rice model.

And it would not surprise me, at all, this clamour is just laying the carpet for a nice cosy bout of price raising.

Which will probably be presented as a raise for the sugar farmers, but will ultimately become very profitable for the companies.

Or, just maybe, one way or another, to open the venues for some nice squeezing, as the Chinese say.

[monkey4u]

good put the price sugar up .noticed this year how fat thais are getting ,even children ,where all the slim birds gone

I married one but now she get fat from too much good food

[Time Traveller]

Wouldn't surprise me if some ministerial department is now working on a scheme to subsidise the sugar growing industry based upon the rice model.

Well it's basically the same thing. The rice is bought at above market rates. In that case, Rice from Cambodia, Laos, Vietnam is smuggled into Thailand to sell to the government buyers.

For the sugar, the government subsidizes the retail price which is less than the international price. So the retail consumers pay less than what they should.

In both cases, the tax payer money is used to distort market prices. For rice the winners are the rice farmers. For sugar the winners are the thai consumers. In both cases smugglers and the people of neighboring countries benefit as well.

[Krataiboy]

Wouldn't surprise me if some ministerial department is now working on a scheme to subsidise the sugar growing industry based upon the rice model.

Bring it on i say, most farmers i know doing sugar have lost a lot of money last year including my wife, and the sugar company have suggested this year they will be setting the price at 850 a ton well down on last year.

Tell your missus to have a word with the rice farmers.

[SuwadeeS]

A sugar shortage would be good for Thais, cause, they use to eat too much sugar.

Everywhere, sugar. No bun without sugar. Soups and food with sugar. And than the worst,

all there sweet soft drinks in front of the school.

Another scientific fact is,

What many people forget is, sugar makes also dependent on it, like a drug.

[vincentc]

Wouldn't surprise me if some ministerial department is now working on a scheme to subsidise the sugar growing industry based upon the rice model.

Bring it on i say, most farmers i know doing sugar have lost a lot of money last year including my wife, and the sugar company have suggested this year they will be setting the price at 850 a ton well down on last year.

indeed. the opposite is true on subsidies; whist 2 years ago we got a government subsidy of over a 100THB per tonne, this year we get jack shit from the current government.

The mill will soon pay out a meager 64 THB extra.

the farmer always looses. That is, till the great war-famine will come!