Finance Ministry in hot seat as farmers press for payments

[webfact]

Finance Ministry in hot seat as farmers press for payments
By Digital Content



BANGKOK, Feb 4 - The Finance Ministry has admitted difficulties in finding financial sources for overdue payments to farmers whose road blockade protests have spread from the South to the North.

Rungson Sriworasat, permanent secretary for finance, said the Finance Ministry was trying to borrow from commercial banks to pay farmers who have sold their rice from the latest harvest under the rice pledging scheme.

Commercial banks were concerned that extending loans for the purpose would trigger clients to withdraw their savings in light of pressure by anti-government protesters, he said.

He said the Commerce Ministry was told to urgently sell rice in its stock despite possible loss in order to earn money to pay farmers.

Farmers have blockaded Rama II Road at Km 84-84 in Ratchaburi province since Saturday, paralysing traffic between the central region and the southern provinces.

In the northern province of Pichit, farmers closed one side of Highway 117 which links Phitsanulok and Nakhon Sawan to demand payment for rice they have delivered from the 2013/2014 crop.

The Bank of Agriculture and Agricultural Cooperatives at Bung Narang branch informed farmers that the first batch of payments would be made today and tomorrow. (MCOT online news)


-- TNA 2014-02-04

[mightyatom]

Finance Ministry in hot seat as farmers press for payments

.Not just the Finance Ministry.

The whole government are in the 'hot seat'.

They would almost certainly have cancelled this scheme had these elections been successful and been legitimised. But unfortunately for them, it will surely be nullified. Their plan would have almost certainly be to secure the majority vote from their support base seeing as all those farmers have already been paid. Then cancel the scheme once they got the vote secured.

That plan is not going to work now, if the election gets scrapped, then there will need to be a new election and that won't come any time soon, they are at the point where they are going to have to close the scheme before getting that vote a second time. They close the scheme, that vote now becomes highly doubtful as the farmers in their strongholds will see an end to their nice little populist earner.

More to the point, they will know that the huge stockpile already unsold will be a major competitor for their next harvest. I can see their future rice prices being less than their harvest costs.

That will be a whole new shit storm that I am going to sit back and watch unfold.

Edited February 4, 2014 by mightyatom

[EricBerg]

... "pressure by anti-government protesters, he said."...

Yup, the protesters are to blame for the lack of money to pay the farmers. Who else?

Including the 130 BILLION that is needed to pay the farmers for the rice they already sold in total the loss after two years of rice scam is 700 BILLION BAHT.

And then all will be alright if Thai voters allow the bad guy in Dubai and his puppet regime to borrow TWO THOUSAND TWO HUNDRED BILLION BAHT extra. Or a lot more as unforseen costs. Becauseeeeeeeeeeee with that high speed train to China heavens will open and all will end well.

So far the loss is 700 -130 billion = 570 billion. Please, please, pleaseeeeeeeeee send people to prison for that scam. Else there will be no end to large scale theft in Thailand. And here's a secret: It really are not Suthep and co that cost the country hundreds of billions.

Oh yes. Don't forget to revoke the passport of the big bad guy. And do ask Interpol to pick him up and send him home. After all, Thailand is where he wants to be. Thailand is what he is messing with. Thailand is whom he'll have to pay. Save Thailand from bankrupcy.

[spirit47]

Politicans should not allowed to play with money. This is a job for honest people who have a knowledge about this. Thats what I ask my wife every month, where is the money gone...Now, we make a book, but in the book our purses are full, but in reality they empty...

[trogers]

Politicans should not allowed to play with money. This is a job for honest people who have a knowledge about this. Thats what I ask my wife every month, where is the money gone...Now, we make a book, but in the book our purses are full, but in reality they empty...

There is a good news in this story. Your wife has all the qualifications to be a govt politician...

[Artisi]

Politicans should not allowed to play with money. This is a job for honest people who have a knowledge about this. Thats what I ask my wife every month, where is the money gone...Now, we make a book, but in the book our purses are full, but in reality they empty...

There is a good news in this story. Your wife has all the qualifications to be a govt politician...

Only if she is dishonest and a crook and doesn't give a rat's arse about anything or anybody, only then will she have the qualifications to be a politician.

[allan michaud]

... "pressure by anti-government protesters, he said."...

Yup, the protesters are to blame for the lack of money to pay the farmers. Who else?

Including the 130 BILLION that is needed to pay the farmers for the rice they already sold in total the loss after two years of rice scam is 700 BILLION BAHT.

And then all will be alright if Thai voters allow the bad guy in Dubai and his puppet regime to borrow TWO THOUSAND TWO HUNDRED BILLION BAHT extra. Or a lot more as unforseen costs. Becauseeeeeeeeeeee with that high speed train to China heavens will open and all will end well.

So far the loss is 700 -130 billion = 570 billion. Please, please, pleaseeeeeeeeee send people to prison for that scam. Else there will be no end to large scale theft in Thailand. And here's a secret: It really are not Suthep and co that cost the country hundreds of billions.

Oh yes. Don't forget to revoke the passport of the big bad guy. And do ask Interpol to pick him up and send him home. After all, Thailand is where he wants to be. Thailand is what he is messing with. Thailand is whom he'll have to pay. Save Thailand from bankrupcy.

Mr White lies gave us figuers of 50mill tons bought for 701billion baht over the first 3 years of the scam, this did not include the latest batch of 10million tons which is going to cost something like 180billion, of which they have already paid 50billion. Clearly 50mill tons must have cost more than that as they would have been paying an average price of only 14,000 baht per ton, when the white rice is supposed to be 15,00 and Hom Mali at 20,000 at ton. The real figure must be closer to 830billion and that is without the added costs for admin and storage. To make matters worse he stated they only had 10million tons left to sell, having only made 180billion back in sales. If they only have 10mill tons left and that is sold at a similar price, for about 45billion, they will have lost in excess of 600billion baht in just 3 years. If we then assume this latest crop (10mill tons) is paid for and then sold at the same rates, that will add an additional loss of around 140billion. We are talking total loss in 3.5 years of a whopping Baht740billion or USD22billion at current exchange rates (excluding admin and storage cost). What is shocking is that the govt seems to have sold the rice at an average of just 4,500 baht per ton.

[ratcatcher]

Somebody out there with PTP might start to claim it's all Abhisit's fault since his father is an adviser to Charoen Pokphand group and they are very big in China and maybe they had a word in the right Chinese ear and thus all this is politically motivated. Well maybe not.

[gerry123]

Commerce Ministry was told to urgently sell rice in its stock despite possible loss

[samuidave]

The sad part, I fear, is that the supporters of Thaksin and his kleptocratic crowd will vote him back in out of some twisted sense of loyalty.

"The hardest thing to see it that which is right before our eyes"

[searcherkind666]

Could the protests actually be a plan of the illuminati to divide and conquer the thai people's ( one World order ) just a thought ?

[LevelHead]

... "pressure by anti-government protesters, he said."...

Yup, the protesters are to blame for the lack of money to pay the farmers. Who else?

Including the 130 BILLION that is needed to pay the farmers for the rice they already sold in total the loss after two years of rice scam is 700 BILLION BAHT.

And then all will be alright if Thai voters allow the bad guy in Dubai and his puppet regime to borrow TWO THOUSAND TWO HUNDRED BILLION BAHT extra. Or a lot more as unforseen costs. Becauseeeeeeeeeeee with that high speed train to China heavens will open and all will end well.

So far the loss is 700 -130 billion = 570 billion. Please, please, pleaseeeeeeeeee send people to prison for that scam. Else there will be no end to large scale theft in Thailand. And here's a secret: It really are not Suthep and co that cost the country hundreds of billions.

Oh yes. Don't forget to revoke the passport of the big bad guy. And do ask Interpol to pick him up and send him home. After all, Thailand is where he wants to be. Thailand is what he is messing with. Thailand is whom he'll have to pay. Save Thailand from bankrupcy.

Mr White lies gave us figuers of 50mill tons bought for 701billion baht over the first 3 years of the scam, this did not include the latest batch of 10million tons which is going to cost something like 180billion, of which they have already paid 50billion. Clearly 50mill tons must have cost more than that as they would have been paying an average price of only 14,000 baht per ton, when the white rice is supposed to be 15,00 and Hom Mali at 20,000 at ton. The real figure must be closer to 830billion and that is without the added costs for admin and storage. To make matters worse he stated they only had 10million tons left to sell, having only made 180billion back in sales. If they only have 10mill tons left and that is sold at a similar price, for about 45billion, they will have lost in excess of 600billion baht in just 3 years. If we then assume this latest crop (10mill tons) is paid for and then sold at the same rates, that will add an additional loss of around 140billion. We are talking total loss in 3.5 years of a whopping Baht740billion or USD22billion at current exchange rates (excluding admin and storage cost). What is shocking is that the govt seems to have sold the rice at an average of just 4,500 baht per ton.

22 billion dollars ? Thats nothing much.

Have a look at EU direct farming subsidies paid out, way way higher than a paltry 22 billion dollars.

But of course, in the EU they call it "Direct Agricultural Subsidies" - just the same as the "Rice Scheme" in Thailand, where the government in effect pays more for produce than its worth so as to keep the farmers making profit.

When you stop looking at this as the PROPAGANDA people want you to look at it - as in all the money is lost and gone down the plug hole.

When you start to look at this as what it is, direct subsidies to rice growing - as in people all down the chain to and including the farmers have the money, its not lost, its just a government budget deficit, nothing more or less.

Then its all very clear..............

All the problem is now is the PDRC's backers have pressurized the banks not to fund the third harvest in order to create problems for PTP.

All in my opinion of course.

[whybother]

22 billion dollars ? Thats nothing much.

Have a look at EU direct farming subsidies paid out, way way higher than a paltry 22 billion dollars.

But of course, in the EU they call it "Direct Agricultural Subsidies" - just the same as the "Rice Scheme" in Thailand, where the government in effect pays more for produce than its worth so as to keep the farmers making profit.

When you stop looking at this as the PROPAGANDA people want you to look at it - as in all the money is lost and gone down the plug hole.

When you start to look at this as what it is, direct subsidies to rice growing - as in people all down the chain to and including the farmers have the money, its not lost, its just a government budget deficit, nothing more or less.

Then its all very clear..............

All the problem is now is the PDRC's backers have pressurized the banks not to fund the third harvest in order to create problems for PTP.

All in my opinion of course.

Why should the banks fund government subsidies?

[Nickymaster]

... "pressure by anti-government protesters, he said."...

Yup, the protesters are to blame for the lack of money to pay the farmers. Who else?

Including the 130 BILLION that is needed to pay the farmers for the rice they already sold in total the loss after two years of rice scam is 700 BILLION BAHT.

And then all will be alright if Thai voters allow the bad guy in Dubai and his puppet regime to borrow TWO THOUSAND TWO HUNDRED BILLION BAHT extra. Or a lot more as unforseen costs. Becauseeeeeeeeeeee with that high speed train to China heavens will open and all will end well.

So far the loss is 700 -130 billion = 570 billion. Please, please, pleaseeeeeeeeee send people to prison for that scam. Else there will be no end to large scale theft in Thailand. And here's a secret: It really are not Suthep and co that cost the country hundreds of billions.

Oh yes. Don't forget to revoke the passport of the big bad guy. And do ask Interpol to pick him up and send him home. After all, Thailand is where he wants to be. Thailand is what he is messing with. Thailand is whom he'll have to pay. Save Thailand from bankrupcy.

Mr White lies gave us figuers of 50mill tons bought for 701billion baht over the first 3 years of the scam, this did not include the latest batch of 10million tons which is going to cost something like 180billion, of which they have already paid 50billion. Clearly 50mill tons must have cost more than that as they would have been paying an average price of only 14,000 baht per ton, when the white rice is supposed to be 15,00 and Hom Mali at 20,000 at ton. The real figure must be closer to 830billion and that is without the added costs for admin and storage. To make matters worse he stated they only had 10million tons left to sell, having only made 180billion back in sales. If they only have 10mill tons left and that is sold at a similar price, for about 45billion, they will have lost in excess of 600billion baht in just 3 years. If we then assume this latest crop (10mill tons) is paid for and then sold at the same rates, that will add an additional loss of around 140billion. We are talking total loss in 3.5 years of a whopping Baht740billion or USD22billion at current exchange rates (excluding admin and storage cost). What is shocking is that the govt seems to have sold the rice at an average of just 4,500 baht per ton.

22 billion dollars ? Thats nothing much.

Have a look at EU direct farming subsidies paid out, way way higher than a paltry 22 billion dollars.

But of course, in the EU they call it "Direct Agricultural Subsidies" - just the same as the "Rice Scheme" in Thailand, where the government in effect pays more for produce than its worth so as to keep the farmers making profit.

When you stop looking at this as the PROPAGANDA people want you to look at it - as in all the money is lost and gone down the plug hole.

When you start to look at this as what it is, direct subsidies to rice growing - as in people all down the chain to and including the farmers have the money, its not lost, its just a government budget deficit, nothing more or less.

Then its all very clear..............

All the problem is now is the PDRC's backers have pressurized the banks not to fund the third harvest in order to create problems for PTP.

All in my opinion of course.

of course!