NCPO wants plan to offload rubber from government’s stockpiles reviewed

[Lite Beer]

NCPO wants plan to offload rubber from government’s stockpiles reviewed

BANGKOK: -- The National Council for Peace and Order (NCPO) has instructed the Agriculture and Agricultural Cooperatives Ministry to review a plan to offload 210,000 tonnes of rubber from the government’s stockpiles and to submit a full report on the rubber price stabilization scheme.

An informed source said that General Chatchai Sareekalaya, deputy chief of NCPO in charge of economic affairs, was unhappy with the registration of rubber planters eligible to receive help from the government under the price stabilization scheme.

He reportedly asked the Agricultural Extension Department whether if an addition of six billion baht funding would be enough to cope with the demand of registered rubber growers.

The government of former prime minister Yingluck Shinawatra set aside 21 billion baht to stabilize rubber prices. Under the price stabilization scheme, a rubber grower will receive 2,520 baht subsidy per rai of up to 25 rai only. Originally 620,000 rubber growers have registered to apply for financial support covering 8.1 million rai of rubber plantations. However, the number of registered rubber growers has soared to 730,000 and the scheme covered an addition of 2.4 million rai of rubber plantations, hence the requirement of an addition of 6 billion baht in subsidy.

A group of rubber growers recently lodged a petition with the NCPO opposing the former government’s plan to sell 210,000 tonnes of rubber from its stockpiles, noting that the sale will further suppress local rubber prices.

Source: http://englishnews.thaipbs.or.th/ncpo-wants-plan-offload-rubber-governments-stockpiles-reviewed/?utm_source=rss&utm_medium=rss&utm_campaign=ncpo-wants-plan-offload-rubber-governments-stockpiles-reviewed

-- Thai PBS 2014-06-01

[Pib]

Throw money at the problem.

[UbonRatch]

I wonder how large the government's flu tablet stockpiles are.

Speaking of which, where is Chalerm?

[Bakseeda]

This is stretching it a bit too far and for sure this will bounce back on them....

[UbonRatch]

NCPO wants plan to offload rubber government’s stockpiles reviewed

[BSJ]

Well it shows the Army is a better housekeeping organisation looking for solutions to many problems.

[ChrisY1]

The Govt. should not be involved in produce management.....they can't do it..nor can many other countries!

Privatisation........much less corruption!

[thesetat2013]

Another scheme taken apart by the NCPO. Did YL do anything good while she was in office other than looking good and being her brothers patsy?

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

[Martied]

Hmmm.....I own 60 rai of rubber trees so I only get 63,000 baht in support for 25 rai. But, if I could get the full 60 rai covered than I would get 151,200 baht. Gee, I wonder how this could be done.

[Seastallion]

Hmmm.....I own 60 rai of rubber trees so I only get 63,000 baht in support for 25 rai. But, if I could get the full 60 rai covered than I would get 151,200 baht. Gee, I wonder how this could be done.

Zigackly!

(Exactly)

Although, surely with the Thai love of bureaucracy and paperwork, you would have to prove each 25 rai is a separate title or whatever with not only all the pertinent papers but a ream of inconsequential documents?

BTW, did you get your chess sets?

Edited June 1, 2014 by Seastallion

[UbonRatch]

Hmmm.....I own 60 rai of rubber trees so I only get 63,000 baht in support for 25 rai. But, if I could get the full 60 rai covered than I would get 151,200 baht. Gee, I wonder how this could be done.

If you're really sitting on 60 rai of rubber plantation, then you know you're sitting on approx 17,000,000 Baht. Are you one of the ones who also wants to take from the lesser off?

[fab4]

Hmmm.....I own 60 rai of rubber trees so I only get 63,000 baht in support for 25 rai. But, if I could get the full 60 rai covered than I would get 151,200 baht. Gee, I wonder how this could be done.

So you only get fertiliser subsidy to the tune of 63,000 baht for 25 of your 60 rai. The original proposed subsidy, before the farmers threatened to take their demonstrations to Bangkok, would have been 31,500 baht.

So doubling the fertiliser subsidy wasn't enough, you want it to cover all your 60 rai? With an existing cost of 21.2 billion baht to provide that doubled subsidy the subsidy would have to be cut to cover those rubber farmers with large plantations at the expense of the farmers with less land. And you still get to sell the rubber on the open market, am I correct?

Do you think that's the right way to look at subsidies?

[ScreamingEagle101]

By privatization I assume you mean the boss and his family control everything?

[rametindallas]

Hmmm.....I own 60 rai of rubber trees so I only get 63,000 baht in support for 25 rai. But, if I could get the full 60 rai covered than I would get 151,200 baht. Gee, I wonder how this could be done.

If you're really sitting on 60 rai of rubber plantation, then you know you're sitting on approx 17,000,000 Baht. Are you one of the ones who also wants to take from the lesser off?

I'm guessing, and I may be wrong, that he was illustrating how government programs for the less-well-off are abused by the have-already crowd.

Edited June 1, 2014 by rametindallas

[rreddin]

Well it shows the Army is a better housekeeping organisation looking for solutions to many problems.

The devil is in the detail, as always and rubber is not like rice. How long does it take before a rubber tree bcomes productive, 5 years? 7 years? From when is this subsidy being paid - is it for the current crop, which is 10 months of the year? Or is it also being paid in respect of non-productive trees? With rice, there is a cearly defined crop, not quite the same with rubber.

Why should the government (irrespective of whom it is comprised) be subsidising growers when there is a global over-supply of the commodity which, if accounts are to be believed, is only going to get worse. Surely it is better to incentivize unprofitable rubber growers to move into a more profitable agricultural sector wherever that is possible.

[templedog]

By privatization I assume you mean the boss and his family control everything?

Yeah huh, ChrisY1 must not understand how privatization will only benefit the 1%ers. Look what it's doing in USA.

[NeverSure]

By privatization I assume you mean the boss and his family control everything?

Yeah huh, ChrisY1 must not understand how privatization will only benefit the 1%ers. Look what it's doing in USA.

Hmm. No privatization. The government owns everything. Communism. Please tell me where that's ever worked well.

The USA? “Small firms accounted for 65 percent (or 9.8 million) of the 15 million net new jobs created between 1993 and 2009. Much of the job growth is from fast-growing high-impact firms, which represent about 5-6 percent of all firms and are on average 25 years old.” Link

You don't want opportunities for young people like all those who have gotten rich from IT startups? No more Michael Dells or Bill Gates or the guys who started Google almost literally in a college dorm, or Ebay? No more chance for a Jeff Bezos with his idea called Amazon.com?

How about Sam Walton who started Walmart from his drug store in a tiny town in Arkansas?

No more chances for the restaurant supply salesman who bought a lone drive in restaurant in California called McDonald's?

That nasty Colonel Sanders and his idea called KFC huh? That's your target?

Hmmmm.

[ChrisY1]

By privatization I assume you mean the boss and his family control everything?

Regulators....most modern countries have them!

[kwonitoy]

<script type='text/javascript'>window.mod_pagespeed_start = Number(new Date());</script>

Hmmm.....I own 60 rai of rubber trees so I only get 63,000 baht in support for 25 rai. But, if I could get the full 60 rai covered than I would get 151,200 baht. Gee, I wonder how this could be done. alt=whistling.gif>

If you're really sitting on 60 rai of rubber plantation, then you know you're sitting on approx 17,000,000 Baht. Are you one of the ones who also wants to take from the lesser off?

I don't know where you get your numbers for the value of rubber plantations, but you're a tad high if you think 60 rai can be sold for 17 million.

My wife owns 100 Rai and we've been in the game for 8 years, max per rai for mature trees is 200,000 baht if you can get it with the price of latex as low as it is

[Luk Mhee]

By privatization I assume you mean the boss and his family control everything?

Really Man, WAkE UP!

[Mosha]

Hmmm.....I own 60 rai of rubber trees so I only get 63,000 baht in support for 25 rai. But, if I could get the full 60 rai covered than I would get 151,200 baht. Gee, I wonder how this could be done.

You are lucky. The land around here was supposedly being reassessed. Most of the land is either Tor Bor 5 or Sor Poe Kor. My wife took the papers to the local admin office along with others, including the Puy Yai. That was about 5 years ago. This year they were told the project was cancelled, but tall the papers were missing. So folks around here are getting sod all.

[Chris Lawrence]

Thailand, Malaysia and Indonesia account for approx 70% of Natuaral rubber output. Rubber futures set in Tokyo in 2011 were expected to be the lowest since 2008, when the GFC hit demand. Late in 2011 Thailand, Malaysia and Indonesia wanted to form a 'International Tripartite Rubber Council'.

There is a report on the net that states due to changing weather patterns there may be an increase in rubber prices in 2014? Poor weather to affect production output.

'Thailand has maintained a strong public policy to support the rubber sector for over 50 years. The main instrument of this policy is the creation of

Office of Rubber Replanting Aid Fund (ORRAF) in 1960 by the government to promote the use of selected clones that currently cover 80 per cent of the total rubber planted area. In the mid-1990s, the Thai authorities decided to withdraw from the pricing agreement concluded between

producing countries to set a floor price (Besson, 2002). This measure was implemented with a price guarantee system at two levels.

At the local level, the Centre Rubber Market (CRMs) have the capability to purchase and store rubber in the event of fall in prices. At the national level, ORRAF has a mandate to purchase and store rubber produced in Thailand when prices fall below the floor price. These measures clearly improved the financial situation of growers (Besson, 2002). As a result of these measures the replanting with clonal planting material became widespread and was accompanied by the spread of common farming practices and the gradual adoption of increasingly productive innovations by

the growers.

The development led to five fold increase in yield and reduced the immature period of one to two years. Support was also offered by ORRAF

to the development of village-level processing and the organisation of short marketing channels also increased the share of value added received by smallholders.'Taken from:

Price Risk Management and Access to Finance for Rubber

Growers: The Case of Price Stabilisation Fund in Kerala 2013

Sounds as though the new fella's need money to keep everthing going? The market sounds as though it is still hurting due to poor demand, but can't hold out to see if the price will change latter this year? The only other major country producing is India. Rubber apparently does not grow well in South America due to natural predators.

[Eric Loh]

So the rubber farmers were subsidised and the government bought rubber at a higher price and stockpile. So why this not a big issue while the rice scheme is. Is there corruption involved or is it because it is the south and therefore the NACC are not investigating?

[rubl]

So the rubber farmers were subsidised and the government bought rubber at a higher price and stockpile. So why this not a big issue while the rice scheme is. Is there corruption involved or is it because it is the south and therefore the NACC are not investigating?

So 21 billion in three years, 6 billion more needed. Now that is even worse than the 880 billion the BAAC paid out already with 130 billion more needed and millions of tonnes of rice missing.

Surely someone needs to inform the NAAC and ask them to investigate. Imagine trying to spent only 21 billion to 'stabilize' rubber prices., a rubber grower will receive 2,520 baht subsidy per rai of up to 25 rai only. Surely that compares too favourably with the rice price pledging of 15,000 to 20,000 Baht a tonne. The Yingluck government seems to have given precedence to the rich rubber farmers instead of the poor rice farmers as they had promised.

[Eric Loh]

So the rubber farmers were subsidised and the government bought rubber at a higher price and stockpile. So why this not a big issue while the rice scheme is. Is there corruption involved or is it because it is the south and therefore the NACC are not investigating?

So 21 billion in three years, 6 billion more needed. Now that is even worse than the 880 billion the BAAC paid out already with 130 billion more needed and millions of tonnes of rice missing.

Surely someone needs to inform the NAAC and ask them to investigate. Imagine trying to spent only 21 billion to 'stabilize' rubber prices., a rubber grower will receive 2,520 baht subsidy per rai of up to 25 rai only. Surely that compares too favourably with the rice price pledging of 15,000 to 20,000 Baht a tonne. The Yingluck government seems to have given precedence to the rich rubber farmers instead of the poor rice farmers as they had promised.

Confirming the fact the rice scheme was hijacked for political reasons. Suthep chose the rice sheme for maximum effect and close both eyes to corruption in his own backyard.

[Thait Spot]

Its high time for the government to stop these subsidies and put the farmers on social services

Sent from my Nexus 4 using Thaivisa Connect Thailand mobile app

[rubl]

So the rubber farmers were subsidised and the government bought rubber at a higher price and stockpile. So why this not a big issue while the rice scheme is. Is there corruption involved or is it because it is the south and therefore the NACC are not investigating?

So 21 billion in three years, 6 billion more needed. Now that is even worse than the 880 billion the BAAC paid out already with 130 billion more needed and millions of tonnes of rice missing.

Surely someone needs to inform the NAAC and ask them to investigate. Imagine trying to spent only 21 billion to 'stabilize' rubber prices., a rubber grower will receive 2,520 baht subsidy per rai of up to 25 rai only. Surely that compares too favourably with the rice price pledging of 15,000 to 20,000 Baht a tonne. The Yingluck government seems to have given precedence to the rich rubber farmers instead of the poor rice farmers as they had promised.

Confirming the fact the rice scheme was hijacked for political reasons. Suthep chose the rice sheme for maximum effect and close both eyes to corruption in his own backyard.

Like Wanda once asked me, "your sarcasm detector is broken?"

The rice scam was criminal.

[allan michaud]

<script type='text/javascript'>window.mod_pagespeed_start = Number(new Date());</script>

By privatization I assume you mean the boss and his family control everything?

Yeah huh, ChrisY1 must not understand how privatization will only benefit the 1%ers. Look what it's doing in USA.

Hmm. No privatization. The government owns everything. Communism. Please tell me where that's ever worked well.

The USA? “Small firms accounted for 65 percent (or 9.8 million) of the 15 million net new jobs created between 1993 and 2009. Much of the job growth is from fast-growing high-impact firms, which represent about 5-6 percent of all firms and are on average 25 years old.” Link

You don't want opportunities for young people like all those who have gotten rich from IT startups? No more Michael Dells or Bill Gates or the guys who started Google almost literally in a college dorm, or Ebay? No more chance for a Jeff Bezos with his idea called Amazon.com?

How about Sam Walton who started Walmart from his drug store in a tiny town in Arkansas?

No more chances for the restaurant supply salesman who bought a lone drive in restaurant in California called McDonald's?

That nasty Colonel Sanders and his idea called KFC huh? That's your target?

Hmmmm.

Well privatization in the UK during the 1970's was nothing more than a rape a pillage session for the haves in society. Most of our services were sold off for stupidly cheap prices buy the Tory party (Maggie the Witch Thatcher) to the wealthy and we have been paying for it eve since. And for those that say privatization improved quality or service, I say &lt;deleted&gt;.