MOAC proposes that govt write off 4.5 billion baht of farmers' debts

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MOAC proposes that government write off 4.5 billion baht of farmers' debts

BANGKOK, 19 Feb 2015, (NNT) - The Ministry of Agriculture and Cooperatives (MOAC) has proposed to the Cabinet that the government write off the debts of farmers in order to help alleviating their burden.

According to the ministry’s preliminary survey, over 26,000 farmers and more than 1,000 agricultural organizations will benefit from the plan, as 4.5 billion baht of debt will be cancelled. The proposed plan was approved of in principle at the economic cabinet meeting on February 16th. Under the plan, related units will be assigned to find ways to deal with the agricultural debt structure, and report their progress to the cabinet every quarter.

Initially, the MOAC has set basic criteria for the plan as follows: Debts must be incurred a result of the government’s failing agricultural projects; victims of natural disasters or violence in the south; debtors whose debts have expired, and those whose debts are more than 10 years old.

Furthermore, the campaign will also help debtors without any assets, debtors who have died, or have gone missing, and debtors who are senior citizens, or disabled, or suffering from mental illnesses or chronic diseases.

The ministry will also help debtors with low income who are unable to pay their debts, and those whose debts are under 10,000 baht.


-- NNT 2015-02-19

[Anthony5]

So the average farmer in Thailand has build up a debt of 170.000 Baht over 3 years?

Sounds more like some fat cats are cashing in, but of course we know that this wouldn't happen under the current ruler. Don't we?

[trogers]

Low income, but high assets?

They first need to define 'poor and needy'.

Edited February 19, 2015 by trogers

[robblok]

So the average farmer in Thailand has build up a debt of 170.000 Baht over 3 years?

Sounds more like some fat cats are cashing in, but of course we know that this wouldn't happen under the current ruler. Don't we?

I hope not (about the fat cats cashing in)

The ptp should have done this instead of the rice program. Though I am divided on this, its like the farmers are always getting handouts they are just not economical viable.

Also by writing off debt the ones that preform bad are getting rewarded but those that work hard and spend wisely are not.

[trogers]

So the average farmer in Thailand has build up a debt of 170.000 Baht over 3 years?

Sounds more like some fat cats are cashing in, but of course we know that this wouldn't happen under the current ruler. Don't we?

I hope not (about the fat cats cashing in)

The ptp should have done this instead of the rice program. Though I am divided on this, its like the farmers are always getting handouts they are just not economical viable.

Also by writing off debt the ones that preform bad are getting rewarded but those that work hard and spend wisely are not.

Offering more drugs to those heavily addicted.

[worgeordie]

Write off the debit,so they can get more debit,yes that

sounds like Thai logic,and why just farmers,I would imagine

that a large part of the Thai population is also up to their eyes

in debit.

regards Worgeordie

[TallGuyJohninBKK]

For all the hundreds of billions of baht the former government lost on its failed rice pledging scheme....

You'd have to wonder how much of a pension or stipend they could have paid EVERY SINGLE FARMER in the program every month during those years, and probably still not have spent nearly as much money.

Of course, doing that, the money would have actually have gone to the farmers who needed it, instead of the government officials, storage facilities, agents, and other scum who leached off the scheme and its fake rice deals, etc etc.

[FangFerang]

The whole story was summed up in two separated phrases: "and more than 1,000 agricultural organizations will benefit from the plan" and "the campaign will also help ...debtors who have died, or have gone missing... or (are) disabled, or suffering from mental illnesses or chronic diseases"--parenthesis mine.

The primary beneficiary, to all appearances from my seat, are the lending institutions,all of whom should have never made loans to people suffering from mental illness.

Now the government is subsidizing lending institutions. it's not corrupt, it's just sleazy, inappropriate and disgusting in light of the current socioeconomic woes being felt here by a majority of people.

This reform government is beginning to look like the referees to a feeding frenzy.

4.5 billion baht could buy a lot of seeds, a lot of books, and build a lot of schools (or improve the ones that need upgrades, which are very numerous in the provinces).

This is, I believe, shameless opportunism wearing a politically correct polo shirt.

Edited February 19, 2015 by FangFerang

[thequietman]

Yep, makes absolute sense. Reward farmers for irresponsible spending. After all they needed that new tractor or that new pick-up for their 10 rai of ground. Also reward them for planting additional rice crops when they were warned not to. If there's a drought, give them money. If there is flood, give them money. Why don't they just do as they do in the EU and pay them to not grow crops.

Also most "farmers" are huge land owners with massive debt and shitloads of money and assets. Are they going to forgive them their debts? Redonkulous!

However, this is Thailand so what the hell do I know?

[robblok]

So the average farmer in Thailand has build up a debt of 170.000 Baht over 3 years?

Sounds more like some fat cats are cashing in, but of course we know that this wouldn't happen under the current ruler. Don't we?

I hope not (about the fat cats cashing in)

The ptp should have done this instead of the rice program. Though I am divided on this, its like the farmers are always getting handouts they are just not economical viable.

Also by writing off debt the ones that preform bad are getting rewarded but those that work hard and spend wisely are not.

Offering more drugs to those heavily addicted.

My main problem with this is that those that preform bad (getting in debt) are getting rewarded while those that do good.. save and not spend don't get a thing. I understand the need to help those that gotten into trouble by the previous governments rice program however how can they select those people. Its not as if its clear how or why a debt came to be. Also those that really cut their spending took extra jobs and worked harder to stay out of debt are not rewarded.

I really feel they should concentrate on making farms economical vialble.. this way they are on handouts forever and will always be bought by politicians. If farming is not viable.. stop it. Keeping this up is just stupid. (yes I am against farming subsidies in the West too)

[robblok]

The whole story was summed up in two separated phrases: "and more than 1,000 agricultural organizations will benefit from the plan" and "the campaign will also help ...debtors who have died, or have gone missing... or (are) disabled, or suffering from mental illnesses or chronic diseases"--parenthesis mine.

The primary beneficiary, to all appearances from my seat, are the lending institutions,all of whom should have never made loans to people suffering from mental illness.

Now the government is subsidizing lending institutions. it's not corrupt, it's just sleazy, inappropriate and disgusting in light of the current socio-econamoic woes being felt here by a majority of people.

This reform government is beginning to look like the referees to a feeding frenzy.

That is one way to look at it.. and also true. But for the people who are loaning its a release from debt. But your right it also helps the banks.

[trogers]

The whole story was summed up in two separated phrases: "and more than 1,000 agricultural organizations will benefit from the plan" and "the campaign will also help ...debtors who have died, or have gone missing... or (are) disabled, or suffering from mental illnesses or chronic diseases"--parenthesis mine.

The primary beneficiary, to all appearances from my seat, are the lending institutions,all of whom should have never made loans to people suffering from mental illness.

Now the government is subsidizing lending institutions. it's not corrupt, it's just sleazy, inappropriate and disgusting in light of the current socioeconomic woes being felt here by a majority of people.

This reform government is beginning to look like the referees to a feeding frenzy.

4.5 billion baht could buy a lot of seeds, a lot of books, and build a lot of schools (or improve the ones that need upgrades, which are very numerous in the provinces).

This is, I believe, shameless opportunism wearing a politically correct polo shirt.

They are learning from the US. Back in 2008, taxpayer bailed out financial institutions, and bankers still got their huge bonuses...

[djjamie]

This must be a fake news story.

The previous regimes rice scheme was supposed to a make the farmers richer. Not poorer . yingluck even stated this only last week.

What improvements can we see for 1 trillion baht?

[Robby nz]

Yep, makes absolute sense. Reward farmers for irresponsible spending. After all they needed that new tractor or that new pick-up for their 10 rai of ground. Also reward them for planting additional rice crops when they were warned not to. If there's a drought, give them money. If there is flood, give them money. Why don't they just do as they do in the EU and pay them to not grow crops.

Also most "farmers" are huge land owners with massive debt and shitloads of money and assets. Are they going to forgive them their debts? Redonkulous!

However, this is Thailand so what the hell do I know?

What a load of crap.

You obviously know nothing about the farmers of this country, when did you ever go out of a city and see, let alone talk to a farmer or see for yourself what they have ?

I am out round farms most days and can tell you that very, very few farmers own a vehicle less than 10 years old, many only have a motorbike, as for tractors they are owned by the contractors who are contracted to work up the ground not by the farmers themselves.

That's the kind of tractors some rice farmers own, used mostly for driving water pumps :

Very few took a risk of planting where there was insufficient water, I only know of one in this area and he has lost his crop, cattle were feeding on it yesterday.

Not all are reliant on the rivers for their water, where I was this morning the second crop is almost ready for harvest for there has been enough water in ponds which are mostly now close to empty, those farmers wont be planting again till it rains.

There are others who have bore water for irrigation, as per :

Most farmers are huge land owners ????

From freedom barometer research paper :

http://freedombarometer.org/assets/pdfs/Freedom-Barometer-Special-Report-Thailands-Agrarian-Policy.pdf

. Almost a third of Thai farm sizes are between 1 and

9 rai while medium size farms have a significantly larger size of 20 rai-30 rai. The average farm

size in Thailand is 22.5 rai.

Most farmers rent land from landlords who bumped prices up during the pledging scheme.

Yes what the hell do you know....nothing.

Edited February 19, 2015 by Robby nz

[lucky11]

So the average farmer in Thailand has build up a debt of 170.000 Baht over 3 years?

Sounds more like some fat cats are cashing in, but of course we know that this wouldn't happen under the current ruler. Don't we?

There isn't a current ruler - and the debts occurred due to the PT's abject failings with the corruption ridden rice policy scam!!!