Over 1 million tonnes of rice to be auctioned off in March

[Lite Beer]

Over 1 million tonnes of rice to be auctioned off in March

The Commerce Ministry plans to auction off more than one million tonnes of milled rice in Marchy, Deputy Commerce Minister Yanyong Puangrach announced over the weekend.

The one million plus tonnes target includes 516,000 tonnes to be auctioned off through the Agricultural Futures Exchange of Thailand or AFECT on March 10, 244,000 tonnes on March 12, 200,000 tonnes to be auctioned twice within the month in the regions and another 247,000 tonnes to be auctioned off on March 26.

Mr Yanyong said that on Monday the Commerce Ministry would ask all rice exporters to declare their rice stocks with the Internal Trade Department to make sure that there are actually rice stocks in their warehouses and not just “air stocks” as widely speculated.

Any exporters who fail to report their rice stocks within the deadline will face penalties liable to five years imprisonment and/or a fine of 5,000 baht.

He also ordered the Internal Trade Department to collect information about a group of former rice exporters, former millers and ex-MPs who have allegedly disseminated false information about rotten rice to the media so that legal actions could be taken against them.

Meanwhile Mr Nipon Wongtrangarn, honorary president of the Thai Rice Millers Association, voiced his disagreement with the rice auctions to be held in upcountry provinces pointing out that this method would allow the entire rice stocks stored in each warehouse to be sold in a single auction which would cover up rotten rice scandal as well as the “air stock” scandal.

He noted that rice millers who keep the rice stocks to be auctioned in their own warehouses would have an advantage over the other bidders about the quality of the rice. Moreover, he said that nobody would know the price of the rice auctioned off whether it was under the medium price set by the External Trade Department.

He called on the Commerce Ministry to speak the truths – all the truths about the rice pledging scheme which have been kept confidential all along.

Source: http://englishnews.thaipbs.or.th/1-million-tonnes-rice-auctioned-march/?utm_source=rss&utm_medium=rss&utm_campaign=1-million-tonnes-rice-auctioned-march

-- Thai PBS 2014-03-09

[PepperMe]

That 'auction' word again.

Meaning sold very cheaply pissing off the global rice producing nations once again and making more work for the world trade organization.

They will end up with a very huge backlash over this. Possibly trade sanctions on rice exporting. That will finish off the farmers completely.

Those who swim with sharks.... etc.....

Edited to add...

Strange to be using the 'futures' market to trade an actual stored crop up to 3 years old. Isn't this manipulation of the global futures trading platform?

Edited March 9, 2014 by PepperMe

[GuestHouse]

He also ordered the Internal Trade Department to collect information about a group of former rice exporters, former millers and ex-MPs who have allegedly disseminated false information about rotten rice to the media so that legal actions could be taken against them

Why not allow inspection of the rice in store?

Why not allow inspection of the purchase and sale records?

Why not allow inspection of the books?

[notmyself]

Don't tell the WTO

[cooked]

฿8.0 /Kg anyone? They got ฿12.0 in Laos last year, maybe they will invade Thailand if this happens. We sold for ฿12.0 /Kg months ago (Hom mali), when I was saying we should store it waiting for a better price.

It's not only the farmers, it's the little village shops that buy in a few hundred sacks that suffer also.

[BuddyPinkham]

Any exporters who fail to report their rice stocks within the deadline will face penalties liable to five years imprisonment and/or a fine of 5,000 baht.

So the exporters are being threatened but not the corrupt government officials that caused this farce!

[Moruya]

I think the commerce ministry telling a million lies in March is far more credible

[MaxLee]

Any exporters who fail to report their rice stocks within the deadline will face penalties liable to five years imprisonment and/or a fine of 5,000 baht.

So the exporters are being threatened but not the corrupt government officials that caused this farce!

3-4 years or more expiry date... who wants to die on eternal diarrhea???

[Scamper]

" ... pointing out that this method would allow the entire rice stocks stored in each warehouse to be sold in a single auction which would cover up rotten rice scandal as well as the “air stock” scandal. He called on the Commerce Ministry to speak the truths – all the truths about the rice pledging scheme which have been kept confidential all along. "

For this to come from the Thai Rice Millers Association - in public- indicates that the smokescreen being pushed by the former Yingluck administration is still too clear for comfort. People can see what is happening here. People are not blind. Indeed, none of such goings-on surprise anyone. Can one imagine what will go on inside of anyone who purchases the rice - as to whether it is up to standard quality or not ? Do they really think that they are going to have a successful auction ? And as far as the former Yingluck administration speaking the truth about the rice pledging scheme - good luck with that. Citizen Yingluck is currently too busy with her facebook page to address any such trivial matters with the NACC.

[Tatsujin]

Enough of the "will be" crap ... report it as a successful "auction" when it's actually been sold ... and let us know what it sold for too ... this scam just digs Thailand into a bigger hole the longer it goes on and has ruined Thailand's reputation for years to come. Heads should roll, but it looks like (once again) that the only ones who suffer are the ones who can afford it least. The whole damn Govt should be kicked out for implementing this stupid stupid scheme.

[billd766]

From what I ca read into the report is that there will be more than 1 million tons of Thai ice put up for auction.

That is NOT the same as selling over 1 million tons of rice, merely the amount that they HOPE to sell.

AFAIK there are NO contracts sold and NO figures on prices that thy bought at or will sell at.

IMHO just more smoke and mirrors designed to talk a lot but actually achieve very little.

Remember that they could have done this at ANY time in the last 2 1/2 years but now it will be fire sale prices and if they undercut the market price by too much then the WTO will be on them like a ton of bricks.

Here is a link to AFECT but it contains very little information about rice stocks sold and prices etc.

http://www.afet.or.th/2013/en/about-us/

Edited March 9, 2014 by billd766

[PatOngo]

฿8.0 /Kg anyone? They got ฿12.0 in Laos last year, maybe they will invade Thailand if this happens. We sold for ฿12.0 /Kg months ago (Hom mali), when I was saying we should store it waiting for a better price.

It's not only the farmers, it's the little village shops that buy in a few hundred sacks that suffer also.

If only they could get ฿12.0 / kg for the amount of bullshit they've pedalled in the past 4 months,they could pay for the farmers AND the high speed rail to boot.

[Pib]

An auction don't result in any sales unless you have bidders. So, the desire to auction off 1 million tons of rice don't mean anything unless they get buyers. But many Thai's will read 1 million tons to be auctioned and assume its a done deal. Kinda like all the recent plans the govt had to sell XX billion baht in bonds but they couldn't get any takers; not even from Thai banks

[Robby nz]

How about someone explain this futures business to me in regards to this rice the Govt is trying to sell.

I read an explanation on futures grain trading that doesn't seem to jell with getting rid of the stockpiles.

[Rob8891]

All talk talk....speculation....BS... No sales...... and yet the government seems to think it has satisfied everyone that it is doing its job...... I bet the farmers feel foolish for accepting promises and then turning round to go home a few weeks back.

It's past time to take the lid off this scam and expose it for what it is..

[mogo51]

So I have worked out that if you are caught being naughty in Thailand, you get nicked and cut it out at 1,000 bht per year.

5 years gaol or 4000 bht fine. Ill pay the fine anyday!!!!

[wirat69]

Is this a Receivership sale???

[SOTIRIOS]

....it seems like all the rice has now been sold many times over.....

...it boggles the mind......

...and yet more and more money still has to be borrowed to pay the farmers......

[SICHONSTEVE]

He also ordered the Internal Trade Department to collect information about a group of former rice exporters, former millers and ex-MPs who have allegedly disseminated false information about rotten rice to the media so that legal actions could be taken against them

Why not allow inspection of the rice in store?

Why not allow inspection of the purchase and sale records?

Why not allow inspection of the books?

Those embroiled in this scam don't like hidden surprises as they always spell bad news!!!

[SICHONSTEVE]

....it seems like all the rice has now been sold many times over.....

...it boggles the mind......

...and yet more and more money still has to be borrowed to pay the farmers......

Of course it does, after all, if it has been stolen (skimmed off from the bottom up - scooped is probably a more apt word) then it has gone into someone's pocket and not found its way to the farmers!!!

[Thai at Heart]

I don't understand this part of the process.

It belongs to the govt. They have paid for it, they have paid for it to be milled. Auction what to whom?

[Bangmod]

" ... pointing out that this method would allow the entire rice stocks stored in each warehouse to be sold in a single auction which would cover up rotten rice scandal as well as the “air stock” scandal. He called on the Commerce Ministry to speak the truths – all the truths about the rice pledging scheme which have been kept confidential all along. "

Ohhh dear if that would happen, this government better started packing their bags in 2011.

[PatOngo]

So I have worked out that if you are caught being naughty in Thailand, you get nicked and cut it out at 1,000 bht per year.

5 years gaol or 4000 bht fine. Ill pay the fine anyday!!!!

In time you'll also work out that there is a 1000% mark up for farang..........the above is locals rate!

[belg]

you must love the

"five years imprisonment and/or a fine of 5,000 baht."

5.000 baht for me please mr officer... you can keep your jailtime for another 50.000 under the table sir

[TheReporter]

Not a damn thing is done right in Thailand. Every thing has a secret issue behind it, which is why the country is going backward instead of forward.

[SamMunich]

That is not one million tons of rice we should be talking about but one million liters of hot air, emanating from the Commerce ministry, enough to float several hot-air balloons...

The whole thing is to keep the farmers hoping, that a wonder will happen nevertheless and they will get their promised money.

Well, fat chance...

If the farmers were clever, they would have long ago started to re-organize themselves without these fake leaders, that only lead them in circles. And they would have come to Bangkok, Chiang Mai and wherever the government tries to hide.

[godden]

Trust a Thai at your peril

[Lupatria]

Dear Mr Yanyong, I want you to think very carefully before you answer.

If you have 18 apples and you sell one to your brother-

a. -how many apples do you have left?

b. -do you consider this as a significant change to your stockpile?

Don't worry too much we do it the Thai style- meaning you will pass the exam anyway.

Edited March 9, 2014 by Lupatria

[davidstipek]

What better Idea.... "Contact Makers of Saki..." As this would be perfect venue to enable the Manufacturers a quality rice for distilling and the production of this Liquor.

Think about it, even if some is now at a lesser quality, Distillation would induce Fermentation to wipe-out any foreign Bacteria....

[Crushdepth]

He also ordered the Internal Trade Department to collect information about a group of former rice exporters, former millers and ex-MPs who have allegedly disseminated false information about rotten rice to the media so that legal actions could be taken against them

Why not allow inspection of the rice in store?

Why not allow inspection of the purchase and sale records?

Why not allow inspection of the books?

The lack of transparency in the rice scheme is intolerable from a government. If they won't say what has been going on, it's because what has happened is bad.