Rice pledging scheme: Finance Ministry assured of Bt20 billion return in May

[webfact]

Finance Ministry assured of Bt20 billion return in May
By Digital Content



BANGKOK, March 27 – The Commerce Ministry has given assurances that it will pay back Bt20 billion it borrowed from the central fund to make good the overdue payment to farmers under the rice pledging scheme within May as required.

Caretaker Deputy Commerce Minister Yanyong Phuangrach expressed confidence that nearly one million tonnes of rice will be released through the Agricultural Futures Exchange in Thailand (AFET) this year.

The Commerce Ministry expects to earn more than Bt6 billion after auctioning over 500,000 tonnes of rice through AFET this month, he said.

He said 230,000 tonnes of rice will be auctioned in the eighth round with 13 bidders, including three new ones.
The seventh auction released more than 500,000 tonnes of rice, at a total value of Bt6 billion, he said, adding that this year’s rice release via AFET will break the 2009 record when 600,000 tonnes of rice were auctioned through AFET.

Mr Yanyong said the Commerce Ministry will try to release rice through AFET twice a month at 200,000 tonnes in each auction, and the next bid in April will involve 100,000-200,000 tonnes of rice.

He said government-to-government trading with China is another channel to release rice and the Commerce Ministry has targeted selling 100,000 tonnes of rice to China each month.

It’s quite likely that the Finance Ministry will be paid back the Bt20 billion owed by the May deadline, he said.

He said the Commerce Ministry has inspected more than 60 per cent of the government’s rice stocks and should wrap up the survey on March 30. (MCOT online news)


-- TNA 2014-03-27

[webfact]

Commerce assures it can return the borrowed sum in May

BANGKOK: -- The Commerce Ministry has assured that it can pay back 20 billion baht loan it borrowed from the central fund to make good the overdue payment to farmers under the rice pledging scheme within May.

Caretaker Deputy Commerce Minister Yanyong Phuangrach expressed confidence to return the loan after nearly one million tonnes of rice could be sold through the Agricultural Futures Exchange in Thailand (AFET) this year.

The Commerce Ministry expects to earn more than six billion baht after auctioning over 500,000 tonnes of rice through AFET this month, he said.

He said 230,000 tonnes of rice will be auctioned in the eighth round with 13 bidders, including three new ones.

The seventh auction released more than 500,000 tonnes of rice, at a total value of six billion baht, he said, adding that this year’s rice release via AFET will break the 2009 record when 600,000 tonnes of rice were auctioned through AFET.

Mr Yanyong said the Commerce Ministry will try to release rice through AFET twice a month at 200,000 tonnes in each auction, and the next bid in April will involve 100,000-200,000 tonnes of rice.

He said government-to-government trading with China is another channel to release rice and the Commerce Ministry has targeted selling 100,000 tonnes of rice to China each month.

It’s quite likely that the Finance Ministry will be paid back the 20 billion baht loan by the May 31 deadline, he said.

He said the Commerce Ministry has inspected more than 60 per cent of the government’s rice stocks and should wrap up the survey on March 30.

Source: http://englishnews.thaipbs.or.th/commerce-assures-can-return-borrowed-sum-may/


-- Thai PBS 2014-03-27

[animatic]

Like the 20 billion they haven't paid in

October, November, December, January, February, March and soon April?

[JesseFrank]

Did he add from which fund they gonna borrow the 20 Billion to pay it back to the central fund ?

Edited March 27, 2014 by JesseFrank

[khwaibah]

Checks in the mail and I won't use mouth wash...

Edited March 27, 2014 by khwaibah

[Mango Bob]

And if they don't pay it back what's going to happen? Farmer protest? Suthep protest? The monk buys a rice mill? EC yellow card them?

[bulekee]

I he using Thai time for May.I don't think they said what year.

[MacWalen]

Buy for more and sell for less and they are earning? Amazing Thailand.

[thesetat2013]

Typical double talk. In on para he gives his assurances to pay on time and in another he states it is quite likely they can pay on time. In other words means he is not sure.

Its likely to rain today but don't know because i don't see any dark clouds in the sky yet

Sent from my GT-S5310 using Thaivisa Connect Thailand mobile app

[bigbamboo]

Great.

How?

[Gunna]

Changed from headline of "assured"

to

" It’s quite likely that the Finance Ministry will be paid back the 20 billion baht loan by the May 31 deadline ", he said.

.

Should have said unlikely as in the last 6 months they haven't sold B20bt of rice.

Now there is a new main crop ready for sale in Vietnam, plus everyday rice is harvested in the central area of Thailand as they can grow rice all year round.

So who is going to buy 1 to 3 year old rice of questionable quality when for a little bit more they can buy this years crop

The only way they can repay is by borrowing elsewhere

At this rate some farmers won't get paid until 2014

[djjamie]

The Commerce Ministry has given assurances

One can see why the Commerce Ministry uses the term "assurances" now. No one believes their promises anymore.

[chainarong]

I think that should read October , that will then make it twelve months behind

[Why ask]

His maths just doesn't add up anyway. He mentions the sale of 500,000 tonnes at 6Billion, and a yearly sale this year of 1 million tonnes. Even the other smaller sales don't tally to 20Billion, and he seems to be forgetting that the outstanding bill to all farmers is 130Billion... not 20! Commerce Ministry my ass - they can't even count past 10.

[rubl]

With all those figures I wonder if the MoC will be able to sell enough rice to get the 20 billion together by the end of May, 2014. It seems barely possible and would mean that till after the repayment no farmers will be compensated as the 20 billion just borrowed will (should?) be used up within this or next week.

That would also bring us back to the 130 billion the Yingluck government tried to borrow to repay farmers, milliers, warehouse owners and so. With the rice mountain slowly being burrowed into to sell and with figures on amount being floated, it would sem that the total sale of said mountain is hardly enough to pay all outstanding bills. That would leave the BAAC with that non-revolving funds which grew to 700++ billion Baht, guaranteed by the government. May I wonder how much the 700++ billion will grow with not even interest being repaid and allowed to accumulate?

[gemini81]

horrific liar. Only thing more horrific is those who would believe him.

[edwinchester]

Well the 20 billion hasn't reached the local farmers here in the village yet, or my FIL or the guy who rents wifeys paddy. They've been waiting since October.

I posted on another thread that the price offered to local farmers by the rice mill has plummeted to 4500 bht!!!

This will kill off the rice industry here if it continues.

[animatic]

May is the new October.

[Lupatria]

It’s quite likely that the Finance Ministry will be paid back the 20 billion baht loan by the May 31 deadline, he said.

Now, try this with your local bank:

ask for a 20.000 baht loan while the banker knows your bad credit and all the people you owe already. He is aware of your habit not to pay back your depths and it’s not even clear that you have the legal status to apply for a loan and then tell him it is 'quite ‘likely’ that the bank will get its money back.

As long as you are not a Thai politician, he will ask you if you are completely nuts and tell the security guard to guide you out.

[Pib]

Sounds like the govt is doing a Bt20B Ponzi scheme in borrowing and paying money...and we all know how Ponzi schemes finally end up.

[gabruce]

Well the 20 billion hasn't reached the local farmers here in the village yet, or my FIL or the guy who rents wifeys paddy. They've been waiting since October.

I posted on another thread that the price offered to local farmers by the rice mill has plummeted to 4500 bht!!!

This will kill off the rice industry here if it continues.

Unfortunately the retail price of rice hasn't changed (other than going up).

[Scamper]

" He said the Commerce Ministry has inspected more than 60 per cent of the government’s rice stocks and should wrap up the survey on March 30. "

Does anyone really believe this ? That 60 % of all those millions upon millions of tonnes of rice in those silos has been inspected ? Really ? And that the other 40 % will be inspected in three days ? It really is beyond preposterous. And are we to take it that there is no spoiled rice ? What about all those pictures that were released some weeks ago ? What happened to all of that ? When will these rice silos be open to the farmers themselves for inspection ? When will the rice silos be opened to public scrutiny ? One thing is certain. Once they are - and it will likely take a judicial order - what will be found will likely be as fascinating as the Watergate tapes.

[Pib]

" He said the Commerce Ministry has inspected more than 60 per cent of the government’s rice stocks and should wrap up the survey on March 30. "

Does anyone really believe this ? That 60 % of all those millions upon millions of tonnes of rice in those silos has been inspected ? Really ? And that the other 40 % will be inspected in three days ? It really is beyond preposterous. And are we to take it that there is no spoiled rice ? What about all those pictures that were released some weeks ago ? What happened to all of that ? When will these rice silos be open to the farmers themselves for inspection ? When will the rice silos be opened to public scrutiny ? One thing is certain. Once they are - and it will likely take a judicial order - what will be found will likely be as fascinating as the Watergate tapes.

They'll get it done...it don't take long to drive by a warehouse or make a call to do a teleconference inspection.

Govt Inspector's question via telephone: How's the rice quality holding up Khun Somchai Warehouseman? Answer from Khun Somchai: really good (please believe me), and I haven't left the warehouse for a month because a bunch of farmers are surrounding the warehouse demanding payment.

[surangw]

sounds like the wimpy approach, "i'll gladly pay you tuesday for a hamburger today"

somehow thai and promise don't seem to register high on the credibility scale.