Thai govt to sell 2 million tons of rice in two months

[webfact]

Government to sell 2 million tons of rice in two months

BANGKOK, 19 May 2015 (NNT) – The government is preparing to release another 2 million tons of rice within the next two months, in order to minimize effects on the new rice crop due this month.

Chutima Bunyapraphasara, the permanent secretary of the Ministry of Commerce, disclosed after Monday's meeting of the rice management and policy committee that the meeting had discussed the release of 16 million tons of rice in the government's stockpile. Of the figure, 5 million tons are high-quality rice. Two million tons have already been sold, and another two million will be sold within two months.

Meanwhile, more than 10 million tons of rice in the stockpile are of low quality. The Ministry of Commerce will have surveyor companies inspect this portion of rice to determine whether the rice can be used as human or animal food. If not, this portion of rice will be sold to ethanol or alcohol factories.

The Ministry of Commerce expects to fetch about 200 billion baht from the sale of all 16 million tons of rice in stock, which was acquired at a cost of about 600 billion baht during the past government.

The government has been able to sell 3.4 million tons of rice since the start of the year. The commerce ministry expects to sell the rice at between 8,200-8,500 baht per ton.


-- NNT 2015-05-19

[Tatsujin]

"The Ministry of Commerce expects to fetch about 200 billion baht from the sale of all 16 million tons of rice in stock, which was acquired at a cost of about 600 billion baht during the past government."

So, this amazing scheme to help the poor rice farmers has cost EVERYONE (except those who conceived and implemented it and who profited immensely from it) 400+ billion baht. And you're still supporting them and want them back ... it's insane.

[BSJ]

Greed knows no bounds in Thailand!

[worgeordie]

What are they going to do with 10 million tonnes of crap rice?,

any ideas?

regards Worgeordie

[boomerangutang]

What are they going to do with 10 million tonnes of crap rice?,

any ideas?

regards Worgeordie

can make a lot of paper-mache glue - the type that kindergartners use with newspapers strips.

Or rice moonshine. Given that we're the only species which ingests alcohol (yeast don't ingest it. It's their waste product from ingesting something sugary),

So, there's the solution: 100 million bottles of Siam Moonshine. ....and we'll criminalize all other drugs, but never alcohol.

[Gunna]

What are they going to do with 10 million tonnes of crap rice?,

any ideas?

regards Worgeordie

Load it on over 210,000 fully loaded 18 wheel truck and trailers and dump it.

Amazing that is a row of trucks over 3,000km long

All that rice gone to waste

Then can at least stop paying warehouse storage fees.

[clockman]

Amazing Thailand, wonderful slogan!

[Robby nz]

"The Ministry of Commerce expects to fetch about 200 billion baht from the sale of all 16 million tons of rice in stock, which was acquired at a cost of about 600 billion baht during the past government."

So, this amazing scheme to help the poor rice farmers has cost EVERYONE (except those who conceived and implemented it and who profited immensely from it) 400+ billion baht. And you're still supporting them and want them back ... it's insane.

No.

That's only the estimated loss on the rice that is presently is storage which is less than half of the rice (after milling) that was bought into the scheme.

Of the, rest some went to Thai companies at around 1/3 market price under the fake G2G deals some more was actually sold to other countries with a shipment to the US being returned because of poor quality, another to the Ivory Coast had around 20% dumped for the same reason and another shipment to Iran was never delivered, a "Close Thaksin Aid" has already been convicted of that one.

Some was sold at market price which was way below purchase price with the money being returned to the scheme.

Some meanwhile was carted away to unknown destinations, trucks with Nattawut transport written on them took some of that away.

Some was lost in mysterious fires at, from memory, 8 different warehouses.

It was reported that around a million tons of unmilled rice arrived into the scheme from other countries.

And some just disappeared (scaffolding in a warehouse) or perhaps didn't exist in the first place.

Losses are still mounting as storage costs are still being accrued as is the cost of actually selling the rice.

So total losses would in fact be well over twice the 400 billion estimate in the OP.

But all that aside they do have to get rid of what is in storage as quickly as possible without impacting to much on the new seasons crops which will be coming on line in a couple of months.

[Srikcir]

The commerce ministry expects to sell the rice at between 8,200-8,500 baht per ton.

That’s really comforting as the production cost/ton of rice paid by Thai farmers is 9,763.40 baht. (Thai farmers poorest in the ASEAN, 2014-07-22)

No doubt the Junta will be subsidizing more than the difference to guarantee farmers a small profit margin.

[rametindallas]

What are they going to do with 10 million tonnes of crap rice?,

any ideas?

regards Worgeordie

From the OP:

Meanwhile, more than 10 million tons of rice in the stockpile are of low quality. The Ministry of Commerce will have surveyor companies inspect this portion of rice to determine whether the rice can be used as human or animal food. If not, this portion of rice will be sold to ethanol or alcohol factories.

[FangFerang]

All the statistics and finger pointing seem senseless for a simple reason -- there is not, nor will be, nor ever was a monitored warehousing of Thai rice (nor computerized car registrations, nor land taxes).

Inaction is negligence. This government is just as negligent as the rest...

They just made the last heroes villains, which in turn will create new heroes to vilify, until the next coup (now leaning toward easily-accomplished Constitutional Coups). And this last one was just another in a long series of 18 which predate all the political players, but not many higher authorities in the military.

You add up the numbers -- it is still a zero sum proposition.