Bridge loan auction for rice scheme met with no-show by banks

[JesseFrank]

34 invited

34 no shows

I dont suppose the Govt get a hint from this reaction.

Get a hint about what? Surely those who support the farmers (some of whom are apparently commiting suicide) shouldn't be pleased about this news? The farmers are now paying for the govt's incompetence in not obtaining the money before they dissolved house. Sure, it's ultimately the govt's fault, but that doesn't mean it's a good thing that farmers are suffering yet more.

The EC could make an exception and allow the govt to borrow money - yet they won't, despite being willing to disregard the constitution in trying to get the election moved. I know about the corruption in the rice scheme and how those at a very high level of govt have profited, yet that doesn't mean farmers should have to suffer through no fault of their own.

How about blame the farmers for their greed ?

Even before the 2011 election had passed, everyone already predicted how the rice and tablet scams were gonna end.

Why did the farmers not know what everyone else in this country knew ?

[Piichai]

Meanwhile, Deputy Commerce Minister Yanyong Phuangrach attributed the government’s inability to acquire loans from state-run banks, such as the Government Savings Bank and the Bank for Agriculture and Agricultural Cooperatives, to the strong objection from the banks’ labor unions. He thus urged the unions to think of the plight of rice farmers who had not been paid for their crops and were facing huge burdens from various financial obligations.

Yet there has not been so much as an apology from the Chairperson of the rice scheme or ant PTP ministers. However, they are quick to pour shame on the banks because of the plight of the poor old farmers.

I will also be pulling all my cash out of TMB if they as so much as hint that they are going to attend the next auction on Tuesday. I will also tell the staff why.

Good idea, but don't talk to the staff; talk to the manager!

[Pib]

And remember everyone...this govt which can not borrow needed money from Thai banks is the same govt insuring Thai bank savings accounts which many of us have....now don't that give you a warm fuzzy.

[wellwell]

34 invited

34 no shows

I dont suppose the Govt get a hint from this reaction.

Get a hint about what? Surely those who support the farmers (some of whom are apparently commiting suicide) shouldn't be pleased about this news? The farmers are now paying for the govt's incompetence in not obtaining the money before they dissolved house. Sure, it's ultimately the govt's fault, but that doesn't mean it's a good thing that farmers are suffering yet more.

The EC could make an exception and allow the govt to borrow money - yet they won't, despite being willing to disregard the constitution in trying to get the election moved. I know about the corruption in the rice scheme and how those at a very high level of govt have profited, yet that doesn't mean farmers should have to suffer through no fault of their own.

Nobody on here thinks it is a good thing that the farmers are suffering, but I am willing to enjoy the backlash from this against the government.

Bring it on.

[MaxLee]

34 invited

34 no shows

I dont suppose the Govt get a hint from this reaction.

Be careful, the man in Dubai and his minions have their means to get what they want.... By force

[Scamper]

The banks are saying no. Thirty-four absentees. No one showed up. And why would they ? A sure-fire money-losing proposition. A pathway to bankruptcy. A pathway to closure. A pathway to losing all their investors, including all the public's accounts and life savings.

" Meanwhile, Deputy Commerce Minister Yanyong Phuangrach attributed the government’s inability to acquire loans from state-run banks, such as the Government Savings Bank and the Bank for Agriculture and Agricultural Cooperatives, to the strong objection from the banks’ labor unions. He thus urged the unions to think of the plight of rice farmers who had not been paid for their crops and were facing huge burdens from various financial obligations. "

As always, Pheu Thai's plays the culture card. If they can't get what they want, create divisions and resentments. Get the farmers angry at union members - whatever works.

[phka]

should have had some british banks there they would have taken up the offer they love high risk ventures and if they loose they get the tax payers money to pay for it

[Piichai]

34 invited

34 no shows

I dont suppose the Govt get a hint from this reaction.

Get a hint about what? Surely those who support the farmers (some of whom are apparently commiting suicide) shouldn't be pleased about this news? The farmers are now paying for the govt's incompetence in not obtaining the money before they dissolved house. Sure, it's ultimately the govt's fault, but that doesn't mean it's a good thing that farmers are suffering yet more.

The EC could make an exception and allow the govt to borrow money - yet they won't, despite being willing to disregard the constitution in trying to get the election moved. I know about the corruption in the rice scheme and how those at a very high level of govt have profited, yet that doesn't mean farmers should have to suffer through no fault of their own.

This isn't a problem caused by the dissolved house. The poor farmers should have been paid in October.

Why is that so difficult to understand?

[sammyD]

This is real embarrassing for the finance ministry. Banks don't want to get involved in the rice scheme it seems. Now what? Selling bonds? Loan from international banks?

Mr T could cover the outstanding debts to the farmers and never notice the decrease in his billions.

But would he? I mean he loves the poor folk, doesn't he?

I doubt that very much.... It is upward of $4 billion USD, Thaksin has nowhere near that amount.

It depends. He has much of it hidden, but some estimates are that he much more than 4.

Thaksin Shinawatra has some 300 to 400 billion baht worth of assets

http://www.thaivisa.com/forum/topic/375927-focus-on-thaksins-associates/page-6#entry3719534

[pedro01]

This is real embarrassing for the finance ministry. Banks don't want to get involved in the rice scheme it seems. Now what? Selling bonds? Loan from international banks?

Mr T could cover the outstanding debts to the farmers and never notice the decrease in his billions.

But would he? I mean he loves the poor folk, doesn't he?

Not even close - his net worth is $1.7 billion - up 1.1 billion last year.

The THB130 billion they are looking for somewhat exceeds that

[fstarbkk]

34 invited

34 no shows

I dont suppose the Govt get a hint from this reaction.

Get a hint about what? Surely those who support the farmers (some of whom are apparently commiting suicide) shouldn't be pleased about this news? The farmers are now paying for the govt's incompetence in not obtaining the money before they dissolved house. Sure, it's ultimately the govt's fault, but that doesn't mean it's a good thing that farmers are suffering yet more.

The EC could make an exception and allow the govt to borrow money - yet they won't, despite being willing to disregard the constitution in trying to get the election moved. I know about the corruption in the rice scheme and how those at a very high level of govt have profited, yet that doesn't mean farmers should have to suffer through no fault of their own.

Oh, great plan - Make an exception to the rules for the PT regime, so they can procure the necessary funds to buy back the farmer's votes and affection, so they can keep on doing the same thing after they are back in government and on, and on... is that your solution?

Simply brilliant!

Edited January 31, 2014 by fstarbkk

[ggold]

34 invited

34 no shows

I dont suppose the Govt get a hint from this reaction.

Get a hint about what? Surely those who support the farmers (some of whom are apparently commiting suicide) shouldn't be pleased about this news? The farmers are now paying for the govt's incompetence in not obtaining the money before they dissolved house. Sure, it's ultimately the govt's fault, but that doesn't mean it's a good thing that farmers are suffering yet more.

The EC could make an exception and allow the govt to borrow money - yet they won't, despite being willing to disregard the constitution in trying to get the election moved. I know about the corruption in the rice scheme and how those at a very high level of govt have profited, yet that doesn't mean farmers should have to suffer through no fault of their own.

You are absolutely right, it is wrong the farmers are left high and dry, waiting for their money, But if it is willing disregard and unconstitutional to try and move the election to a time when there is less chance of confrontation, then you would know it is also unconstitutional for the EC to give a caretaker government permission to create debts that another government might have to honour. Especially when the scheme is so visibly corrupt!

Or would you have the EC break the laws as well as the government?

[dcutman]

34 invited

34 no shows

I dont suppose the Govt get a hint from this reaction.

Get a hint about what? Surely those who support the farmers (some of whom are apparently commiting suicide) shouldn't be pleased about this news? The farmers are now paying for the govt's incompetence in not obtaining the money before they dissolved house. Sure, it's ultimately the govt's fault, but that doesn't mean it's a good thing that farmers are suffering yet more.

The EC could make an exception and allow the govt to borrow money - yet they won't, despite being willing to disregard the constitution in trying to get the election moved. I know about the corruption in the rice scheme and how those at a very high level of govt have profited, yet that doesn't mean farmers should have to suffer through no fault of their own.

Get a hint about what?

Maybe get the hint that all or any bank has an obligation to the board and most importantly their depositors. its quite clear Thailands banks including state owned banks will not/ cannot get involved in this scam.

As for the Farmers, everybody feels sorry for them, In no way the EC has anything to do with issue. The Government can do as they wish, but repercussions are possible. In fact if this govt wasnt so spineless, they would fullfill their obligations as promised no matter what happens in the future.

The farmers will get payed someday and this will be painfull until they do. But the long term effects this crazy scam will have, will haunt these farmers for decades to come, and my never fully recover from the damage this govt has caused this industry.

[sammyD]

This is real embarrassing for the finance ministry. Banks don't want to get involved in the rice scheme it seems. Now what? Selling bonds? Loan from international banks?

Mr T could cover the outstanding debts to the farmers and never notice the decrease in his billions.

But would he? I mean he loves the poor folk, doesn't he?

Not even close - his net worth is $1.7 billion - up 1.1 billion last year.

The THB130 billion they are looking for somewhat exceeds that

Again, with his holdings in such dubious activity as African diamond and platinum mines, a litany of aliases (like Takki Shinegra for his European financial dealings), proxy money accounts in his siblings and off-spring and servants' names, a brigade of dodgy lawyers and accountants, there's very little chance that his official holdings are anyhwere near a true reflection of his wealth.

.

Edited January 31, 2014 by sammyD

[Noi657]

Hmm.... More votes lost!

[djjamie]

So it is the EC AND 34 banks fault why the farmers are not getting paid.

There really is a global conspiracy again this regime..

[spirit47]

This is real embarrassing for the finance ministry. Banks don't want to get involved in the rice scheme it seems. Now what? Selling bonds? Loan from international banks?

Give the rice back, that the farmers can sell to local millers...

Or sell it to everyone who pay for it...

But better resign from "caretaker", and led the problem solved by Interims PM.

[ChrisY1]

This is real embarrassing for the finance ministry. Banks don't want to get involved in the rice scheme it seems. Now what? Selling bonds? Loan from international banks?

The Finance Ministry is a complete embarrassment......Kitirat has no idea....I think he was a prawn fisherman before PTP took him on....!!

[Centrum]

This is real embarrassing for the finance ministry. Banks don't want to get involved in the rice scheme it seems. Now what? Selling bonds? Loan from international banks?

Mr T could cover the outstanding debts to the farmers and never notice the decrease in his billions.

But would he? I mean he loves the poor folk, doesn't he?

Not even close - his net worth is $1.7 billion - up 1.1 billion last year.

The THB130 billion they are looking for somewhat exceeds that

Damn, should the good folk of TVF pass the hat around for the beloved ex-PM? Seems he's hit skid row.

[casualbiker]

This is real embarrassing for the finance ministry. Banks don't want to get involved in the rice scheme it seems. Now what? Selling bonds? Loan from international banks?

Give the rice back, that the farmers can sell to local millers...

Or sell it to everyone who pay for it...

But better resign from "caretaker", and led the problem solved by Interims PM.

I think the local millers have already made their money from the pledged rice already!

[casualbiker]

Also do short term "bridging loans" usually have a short or long payment term?

These one's were going to be for 15 years !!!

For me that's not a short term bridging loan.

[wellwell]

Lift the requirement of rice exporter licenses and encourage entrepreneurs including foreigners to set about selling it globally for a good rate. Give them their stock on production of a letter of credit and keep it this way till Thailand is number one again and the stocks are gone.

[Ludacris]

Although the situation the farmers find themselves in is sad, I find it very hard to feel sorry for them. They were the ones who voted this gov't in.

If they were greedy and only thinking about themselves when they cast their vote instead of thinking about the financial health of the entire country, they wouldn't be in this situation.

As with any speculative financial deal, the most important thing is controlling risk and planning for adverse events. You should never base your decision only on the profits you will get with the best case senario as they have done (ie. predicting the price of rice will rice). If the farmers had run some numbers or done some basic research on the financial platform of the PTP, they would have easily seen that the gov't was in no way able to finance more than 1 year of the country's entire rice harvest if the worst case senario (but also the most likely senario) of not being able to sell the rice at higher prices came true.

I'm not saying the Democrats are perfect, but at least they have enough financial sense to not bankrupt the country with their policies.

This is why some people are calling for more educated voting.

Edited January 31, 2014 by Ludacris

[Spartakos]

It's Sutheps doing all this -him and his thugs,

Fascist thugs.

[tomyummer]

Your own government banks won't pay so you go to the private sector?

Should sell the assets of each politician in power that was present at the signing of this stupid rice scheme starting from the top down and then fill the coffers back up and pay those poor farmers.

Shame on all the politicians.

[JesseFrank]

Lift the requirement of rice exporter licenses and encourage entrepreneurs including foreigners to set about selling it globally for a good rate. Give them their stock on production of a letter of credit and keep it this way till Thailand is number one again and the stocks are gone.

Everyone can get an export license, it are the farmers that choose to sell their rice to the government at an unrealistic price.

[coma]

Epic !

[ourmanflint]

Holy Cow! 3 pages of intelligent discussion without a single troll post. This is how it used to be and how it should be.

[Emptyset]

34 invited

34 no shows

I dont suppose the Govt get a hint from this reaction.

Get a hint about what? Surely those who support the farmers (some of whom are apparently commiting suicide) shouldn't be pleased about this news? The farmers are now paying for the govt's incompetence in not obtaining the money before they dissolved house. Sure, it's ultimately the govt's fault, but that doesn't mean it's a good thing that farmers are suffering yet more.

The EC could make an exception and allow the govt to borrow money - yet they won't, despite being willing to disregard the constitution in trying to get the election moved. I know about the corruption in the rice scheme and how those at a very high level of govt have profited, yet that doesn't mean farmers should have to suffer through no fault of their own.

This isn't a problem caused by the dissolved house. The poor farmers should have been paid in October.

Why is that so difficult to understand?

I indicated that in my post if you actually read it, Walt. The problem stems from not paying farmers when they were supposed to be paid, then further govt incompetence in dissolving the house before they'd obtained the money they knew they'd need to pay.

Yet I'm somewhat cynical about those popping up to claim they actually care about farmers welfare right now - now it benefits their side... before many of these same people weren't too sympathetic about those who were being gunned down in the streets. There was a lot of 'som nam na' IIRC. At least some of those who take that attitude are consistent I guess.

[pedro01]

Although the situation the farmers find themselves in is sad, I find it very hard to feel sorry for them. They were the ones who voted this gov't in.

If they were greedy and only thinking about themselves when they cast their vote instead of thinking about the financial health of the entire country, they wouldn't be in this situation.

That's perhaps a bit harsh.

They are poor and many are uneducated.

I imagine they were thinking about themselves and their families when looking at this offer.