Plan to shift Thai farmers from rice opposed

[webfact]

Plan to shift farmers from rice opposed
Jitima Janphrom,
Saichon Srinuanjan,
Wattana Khamchu
The Nation

Govt notes drought woes, low prices

BANGKOK: -- OPPOSITION has begun to emerge against a plan to encourage farmers to abandon rice and grow different crops - in return for financial compensation.

The plan aims to tackle problems arising from drought and low rice prices.

Water shortages have frequently threatened paddy fields. For example, rice farmers in at least one province yesterday staged a rally in front of a local irrigation office to demand that a dam release water into their areas.

Northeastern Rice Farmers Association president Panupong Pattarakhon-ngam yesterday said he was aware of the drought threat, but he could not agree with the government plan.

"Such a plan doesn't tackle the problems at their root. If drought poses a threat, the government should provide efficient irrigation," he said.

The Department of Agricultural Extension has begun work on the scheme to encourage farmers to switch to other types of produce such as energy crops. In return, they would be offered Bt5,000 compensation per rai in the first year, Bt3,000 per rai in the second, and Bt2,000 per rai in the third year.

At present, paddy fields cover about 70 million rai (11.2 million hectares) of land in Thailand.

Panupong described such a plan as a populist scheme that would hurt rice farmers in the long run.

"We grow rice not just for sale. We grow it for our family's consumption too," he said.

He said the size of paddy fields in Thailand had already been shrinking naturally in response to demand-and-supply mechanisms.

On the rice price, Panupong said the problem was now serious because the government was still trying to release a vast amount of rice from its stockpiles.

The rice-pledging scheme was one of the previous government's populist programmes.

It ended with a huge stockpile and financial losses because it offered rice farmers too high a price, critics say.

It still owes money to some participating farmers.

Several of these farmers yesterday submitted a petition to Prime Minister General Prayut Chan-o-cha via the Office of the Permanent Secretary of the PM's Office, calling for faster payments to clear up the arrears.

The 121 farmers from Nakhon Sawan and Phichit provinces lamented they had been waiting for payments amounting to Bt20 million from the scheme for nearly a year.

The farmers have threatened to stage a protest if the payment does not arrive by October 15.

Source: http://www.nationmultimedia.com/national/Plan-to-shift-farmers-from-rice-opposed-30244568.html


-- The Nation 2014-10-02

[ramrod711]

On the rice price, Panupong said the problem was now serious because the government was still trying to release a vast amount of rice from its stockpiles.

Does he have any constructive suggestions as to what the government should do with the stockpiled rice? I can help with that, my plan involves 100,000 dump trucks, and Yinglucks front yard.

[MJP]

If rice is hit by drought. Good job there's a big stockpile of rice.

[Gunna]

There are definitely some low IQ people making comments

"We need a higher price for rice "

BUT we actually grow a lot for our own consumption.

ie Under the rice scam they sold all their rice at the high Government price and bought it at the supermarket at the regular price- that is why many are in debt.

Previously all those who rent land for growing rice had their rents raised by the landlords once they knew how much more money the farmers were making, so in the end they had to borrow even more to pay the rents and then wait to receive payments - So in the end all their potential extra profits went to the landlords and loan sharks and the landless farmers ended up poorer than ever

[Anthony5]

The rice-pledging scheme was one of the previous government's populist programmes.

It ended with a huge stockpile and financial losses because it offered rice farmers too high a price, critics say.

It still owes money to some participating farmers.

That is interesting. I thought ALL the farmers were compensated by the good general ?

[trogers]

Let the market decide. A farming family of 4 needs only farm one rai of sticky rice per person for a year's supply.

Normal rice is usually farmed for sales, and not for personal consumption.

Edited October 2, 2014 by trogers

[AleG]

On the rice price, Panupong said the problem was now serious because the government was still trying to release a vast amount of rice from its stockpiles.

Does he have any constructive suggestions as to what the government should do with the stockpiled rice? I can help with that, my plan involves 100,000 dump trucks, and Yinglucks front yard.

He wants the government to help the farmers grow more rice, perhaps it's time for the Northeastern Farmers to find a president that can actually think things through.

[BSJ]

Up home in the village normal rice and sticky rice is consumed daily. I eat both types.

[Katipo]

I feel for the farmers, but too many of them are uneducated dinosaurs. Putting aside that this is largely due to a society that has ignored their needs for too long, the farmers need to modernise and diversify if they want to ride above the subsistence line that so many live on now.

[cloudhopper]

The folly of central planning.

[shirtless]

They would be wise to grow crops that use less water , farmers now need to adapt or face financial ruin.

[halloween]

Panupong and his rice farming mates seem to have a high level of "expectation", probably caused by being on the government tit for so long. News for him, the rice farmers' votes are worth nothing now, so meaningful reform can proceed.

[finnomick]

Panupong Pattarakhon - ngam is quoted as saying " Such a plan doesn't tackle the problems at their root ". You couldn't make it up, could you ?

[skildpadden]

It makes a lot of sense to change crops. The market will not pay your inflated prices, when they can get the same quality at a lower price from other countries.

I am not a farmer but I believe there would be a lot of other crops that could be grown here in Thailand e.g. avocados, olives, flowers, vegetables and all kinds of fruits. Yes, all will take time before they yield produce, but that is why there is a compensation.

Apart from that, if you still insists on farming rice, go organic and do not use all that money on chemicals. Go into co-operations - farming tools, dairies, mills can be bought and used in a co-op manner with less costs and risks for the individual farmer - it worked in Europe 100 years ago, so it should also work in Thailand in 2014.

[whybother]

The people that make all the money from rice farming (the middle men and millers) don't want their money supply (the farmers) to switch to other crops.

[ezzra]

Einstein said : the definition of stupidity is keep doing the same mistake over and over

again and hoping for a different outcome,

case in point are the Thai farmers, year after year they are losing money and still in so called

poverty lining up with their palms stretched out for a government's hand out, which, year

after year the government oblige... god forbid if they will not get it or they will march on to Bkk

for a long sit in and months of mayhem...

the question need to be asked, when all this will stop

and people realize that they keep doing it wrong year after year?

[robblok]

Vietnam is getting a far higher yield maybe there they are more flexible as here. Thing is the Thais should look at what the vietnamese do and what they do wrong. This would of course bring upon a lot off loss of face as Thais think they are better as their neighbors.

I am so happy the junta is in power finally those farmers can't threaten the government and demand ordinary people pay their inflated prices.

[Robby nz]

It makes a lot of sense to change crops. The market will not pay your inflated prices, when they can get the same quality at a lower price from other countries.

I am not a farmer but I believe there would be a lot of other crops that could be grown here in Thailand e.g. avocados, olives, flowers, vegetables and all kinds of fruits. Yes, all will take time before they yield produce, but that is why there is a compensation.

Apart from that, if you still insists on farming rice, go organic and do not use all that money on chemicals. Go into co-operations - farming tools, dairies, mills can be bought and used in a co-op manner with less costs and risks for the individual farmer - it worked in Europe 100 years ago, so it should also work in Thailand in 2014.

Changing to other crops is not so easy, first you need the infrastructure to process and the markets, different machinery is needed as is cash to start up, but the lead in time for a new crop distorts things for while there may be good prices today that may not apply when the crops come on line.

Take rubber as an example, several years ago the price of rubber was high and farmers were encouraged to plant rubber trees, now there is a glut and prices are down below production costs and farmers are being told to cut down rubber trees and change to something else.

With rice it is a basic staple of diet in many parts of the world and will always be in demand, as poorer countries prosper their demand for rice will increase, sure there needs to be increased production per Rai and less dependence on chemicals but to just say change crops is not practical.

[Robby nz]

Einstein said : the definition of stupidity is keep doing the same mistake over and over

again and hoping for a different outcome,

case in point are the Thai farmers, year after year they are losing money and still in so called

poverty lining up with their palms stretched out for a government's hand out, which, year

after year the government oblige... god forbid if they will not get it or they will march on to Bkk

for a long sit in and months of mayhem...

the question need to be asked, when all this will stop

and people realize that they keep doing it wrong year after year?

Another one who thinks farmers are stupid, could you grow rice ?

Farmers were doing not to badly till Govts and politicians who knew it all came along and distorted markets, put in place policies that gave unrealistic expectations, increased rents and increased input costs.

Now the politicians and experts will continue to stuff things up because they are educated, they have been to university, have degrees, must tell the dumb peasants what to do.

Let the farmers make their own decisions they know their business.

[Anthony5]

Vietnam is getting a far higher yield maybe there they are more flexible as here. Thing is the Thais should look at what the vietnamese do and what they do wrong. This would of course bring upon a lot off loss of face as Thais think they are better as their neighbors.

I am so happy the junta is in power finally those farmers can't threaten the government and demand ordinary people pay their inflated prices.

I once spoke with a Indian Business man quite big in the garment export business.

He told me that the Thai manufacturers all produced the same jeans material, on which they made satangs per yard profit. He suggested to a few that there was demand oversees for other material, which wasn't available in Thailand since they all produced the same material, and told a few that if they changed they could probably create a far larger profit probably several Baht per yard of material.

Their answer was that they knew they earned only peanuts per yard, but at the end of the day they sold a lot of the material, so they preferred to keep producing the same ol'.

I think this explains the business sense of Thai people, and that it will be a hopeless job trying to convince the farmers to switch to other crops.

[Thaimaishoe]

On the rice price, Panupong said the problem was now serious because the government was still trying to release a vast amount of rice from its stockpiles.

Does he have any constructive suggestions as to what the government should do with the stockpiled rice? I can help with that, my plan involves 100,000 dump trucks, and Yinglucks front yard.

You have no imagination. They should ferment it into Sake, and export that. Gets rid of the rice, preserves the price of rice in the market, and almost certainly turns a profit for the Gov. (or a few of its corrupt ministers)

Of course my wife was nearly apoplectic when I told her that idea! Thailand producing alchohol!! I don't know what the difference between that and producing Hong Tong, or Chang is but apparently it makes a difference!??!?!

Edited October 2, 2014 by Thaimaishoe

[Fab5BKK]

If they know their business so well, they won't need taxpayer's money...

Law of supply and demand, international competition, business plan (7Ps Marketing Mix incl.), etc. come to my mind

Just my 2 cents

Einstein said : the definition of stupidity is keep doing the same mistake over and over

again and hoping for a different outcome,

case in point are the Thai farmers, year after year they are losing money and still in so called

poverty lining up with their palms stretched out for a government's hand out, which, year

after year the government oblige... god forbid if they will not get it or they will march on to Bkk

for a long sit in and months of mayhem...

the question need to be asked, when all this will stop

and people realize that they keep doing it wrong year after year?

Another one who thinks farmers are stupid, could you grow rice ?

Farmers were doing not to badly till Govts and politicians who knew it all came along and distorted markets, put in place policies that gave unrealistic expectations, increased rents and increased input costs.

Now the politicians and experts will continue to stuff things up because they are educated, they have been to university, have degrees, must tell the dumb peasants what to do.

Let the farmers make their own decisions they know their business.

[Thai at Heart]

"Such a plan doesn't tackle the problems at their root. If drought poses a threat, the government should provide efficient irrigation," he said

When you are arguing with idiots like this what can u do. Is it some bizarre human right to force the government to provide running water to every distant paddy to grow inefficiently.

[Jonmarleesco]

'"Such a plan doesn't tackle the problems at their root ...' which is, dare I say, an ever more saturated market?

[trogers]

Einstein said : the definition of stupidity is keep doing the same mistake over and over

again and hoping for a different outcome,

case in point are the Thai farmers, year after year they are losing money and still in so called

poverty lining up with their palms stretched out for a government's hand out, which, year

after year the government oblige... god forbid if they will not get it or they will march on to Bkk

for a long sit in and months of mayhem...

the question need to be asked, when all this will stop

and people realize that they keep doing it wrong year after year?

When they stop rubbing barks of trees for numbers to bet in the next lottery!

[BillyBobThai]

I was going to say that any country where the whole populace believe in ghost is hopeless. Then I thought about the Christians, Jews, Muslims and all of the others.

[kerrysum]

It makes a lot of sense to change crops. The market will not pay your inflated prices, when they can get the same quality at a lower price from other countries.

I am not a farmer but I believe there would be a lot of other crops that could be grown here in Thailand e.g. avocados, olives, flowers, vegetables and all kinds of fruits. Yes, all will take time before they yield produce, but that is why there is a compensation.

Apart from that, if you still insists on farming rice, go organic and do not use all that money on chemicals. Go into co-operations - farming tools, dairies, mills can be bought and used in a co-op manner with less costs and risks for the individual farmer - it worked in Europe 100 years ago, so it should also work in Thailand in 2014.

Changing to other crops is not so easy, first you need the infrastructure to process and the markets, different machinery is needed as is cash to start up, but the lead in time for a new crop distorts things for while there may be good prices today that may not apply when the crops come on line.

Take rubber as an example, several years ago the price of rubber was high and farmers were encouraged to plant rubber trees, now there is a glut and prices are down below production costs and farmers are being told to cut down rubber trees and change to something else.

With rice it is a basic staple of diet in many parts of the world and will always be in demand, as poorer countries prosper their demand for rice will increase, sure there needs to be increased production per Rai and less dependence on chemicals but to just say change crops is not practical.

No truer words said.....

Some of my relatives decided to plant rubber trees. Common logic presents, to grow rubber trees, instead of rice. Before that it was plant sugar cane.

My sister-in-law is reaping the benefits of stripping the land, and planting rubber trees... I call it time and effort wasted.... I am going to be a millionaire she said, has changed to buddy can you spare a dime?