Rice industry at a turning point, Thai minister says

[webfact]

Rice industry at a turning point, minister says
THE NATION

BANGKOK: -- THE RICE industry must negotiate several risk factors that are pressuring farmers to speed up the development of rice breeds to strengthen the sector in the face of intense competition, especially from other Asian countries, the government says.

Agriculture and Cooperatives Minister General Chatchai Sarikalya said the industry was at a turning-point moment in terms of growing firmly and sustainably.

Speaking at a rice conference in Bangkok, he said the industry was facing rapid changes and tougher competition, especially as a result of the economic integration of Asian and non-Asian countries as well as the diversity of consumer tastes.

He added that value-added innovation and climate changes were also factors that would help push for solidity and opportunity for the sector.

Chatchai said a SWOT (strength, weakness, opportunity and threat) analysis of the industry found that it was still strong, as the country had a variety of rice breeds. He said this created flexibility for the country to improve breeds in line with changed farming areas and to serve market needs.

However, he warned that the country might have difficulty maintaining quality and keeping costs competitive. "If one or the other happens, there might be a crisis."

He noted that competitors Vietnam, Cambodia, Myanmar, and Laos had climates and geographies similar to Thailand.

They also produced rice that exceeded domestic demand, resulting in them exporting to the world, even to Thailand. From 1997 to 2011, Thailand exported 220,000 tonnes of rice a year on average, showing the skill of Thai rice farmers, he said.

He added that Thai rice had been considered of high quality for a long time, which had led to the development of other good products.

The general cited as an example parboiled rice, which he said was a sought-after product in numerous countries, including those in the Middle East and Africa, with Thailand exporting 3 million tonnes of parboiled rice a year worth Bt50 billion.

Chatchai said that an area the rice industry needed to improve was production - ensuring that it operated with efficient consistency by focusing on a policy to help boost production instead of a pricing policy.

"The strategic development of Thai rice will have to take the strengths, weaknesses, opportunities, and threats into the account for the entire production chain from the farm to the table," he said.

Source: http://www.nationmultimedia.com/politics/Rice-industry-at-a-turning-point-minister-says-30274942.html


-- The Nation 2015-12-15

[apetley]

Yet another regurgitated press release by someone who appears to have little knowledge of the subject.

[BSJ]

I think the farmers would like to pay less for chemi and get a better price per ton for rice so they have a chance to get out of debt and put some money in the bank. There seems to be a big price difference between paddie at the receiving station and the shelf price in the supermarket!

[IamNoone88]

As the world population increases, rice will always be in demand. The issue is the un-equitable distribution of wealth between the all important farmers and the middlemen.

[Lunchbob]

The desire to improve, "production" is the perspective of the rich and middle.

[mike324]

I always wonder why government can't subsidize farming supplies more instead of handing out cash or rice schemes that end up in corruption.

[zyphodb]

I always wonder why government can't subsidize farming supplies more instead of handing out cash or rice schemes that end up in corruption.

The answer to that is simple, its the government & their cronies who make all the money from the corruption....

[fred Kubasa]

Yeah, right, Its " Turning" into 3 times the previously predicted financial disaster !

[lucky11]

I think the farmers would like to pay less for chemi and get a better price per ton for rice so they have a chance to get out of debt and put some money in the bank. There seems to be a big price difference between paddie at the receiving station and the shelf price in the supermarket!

Why not grow organic rice that doesn't need poisonous chemicals sprayed on it? They would obtain a premium for the rice and save on not having to fork out on unnecessary chemicals.

[Thian]

Well what stops them to drive to BKK and sell the rice on the streets/markets?

[DrTuner]

Turning from steady downwards slope into free fall?

[billd766]

I think the farmers would like to pay less for chemi and get a better price per ton for rice so they have a chance to get out of debt and put some money in the bank. There seems to be a big price difference between paddie at the receiving station and the shelf price in the supermarket!

Why not grow organic rice that doesn't need poisonous chemicals sprayed on it? They would obtain a premium for the rice and save on not having to fork out on unnecessary chemicals.

One problem with that idea is that in order for it to be certified it has to be done according to these rules.

http://www.acfs.go.th/standard/download/eng/ORGANIC_RICE_part4.pdf

The next problem is that as most Thai rice farmers are subsistence farmers what do they live on during the transition period of perhaps 2 years?

Using the official rate of 300 baht a day for a 25 day working month gives 7,500 baht per month for one person which isn't that much if you have a wife and a couple of school age children.

[lucky11]

I think the farmers would like to pay less for chemi and get a better price per ton for rice so they have a chance to get out of debt and put some money in the bank. There seems to be a big price difference between paddie at the receiving station and the shelf price in the supermarket!

Why not grow organic rice that doesn't need poisonous chemicals sprayed on it? They would obtain a premium for the rice and save on not having to fork out on unnecessary chemicals.

One problem with that idea is that in order for it to be certified it has to be done according to these rules.

http://www.acfs.go.th/standard/download/eng/ORGANIC_RICE_part4.pdf

The next problem is that as most Thai rice farmers are subsistence farmers what do they live on during the transition period of perhaps 2 years?

Using the official rate of 300 baht a day for a 25 day working month gives 7,500 baht per month for one person which isn't that much if you have a wife and a couple of school age children.

Agreed that I have over simplified matters, maybe it could be introduced slowly although it might not be allowed this way in order to gain organic accreditation as it may be 'all or nothing'.

I think that it is imperative that they do something different rather than reply on the farming of bog standard rice when the weather allows. With the climate changing, it seems that year round rice farming producing 2 or 3 crops is a thing of the past. The answer might lie in 'rotation' whereby they grow different crops one after the other with soil enhancing crops part of this. This would make the soil ore fertile and reduce/eliminate the need for chemical fertilisers. Why not use natural fertilisers as 'natural' anything is always better than 'artificial man-made' alternatives. As an aside to this - There are natural alternatives for all synthetic drugs on the market that work better and are a tiny fraction of the cost (without the side effects). When I say ALL I mean ALL disease including cancer and heart disease

[billd766]

I think the farmers would like to pay less for chemi and get a better price per ton for rice so they have a chance to get out of debt and put some money in the bank. There seems to be a big price difference between paddie at the receiving station and the shelf price in the supermarket!

Why not grow organic rice that doesn't need poisonous chemicals sprayed on it? They would obtain a premium for the rice and save on not having to fork out on unnecessary chemicals.

One problem with that idea is that in order for it to be certified it has to be done according to these rules.

http://www.acfs.go.th/standard/download/eng/ORGANIC_RICE_part4.pdf

The next problem is that as most Thai rice farmers are subsistence farmers what do they live on during the transition period of perhaps 2 years?

Using the official rate of 300 baht a day for a 25 day working month gives 7,500 baht per month for one person which isn't that much if you have a wife and a couple of school age children.

Agreed that I have over simplified matters, maybe it could be introduced slowly although it might not be allowed this way in order to gain organic accreditation as it may be 'all or nothing'.

I think that it is imperative that they do something different rather than reply on the farming of bog standard rice when the weather allows. With the climate changing, it seems that year round rice farming producing 2 or 3 crops is a thing of the past. The answer might lie in 'rotation' whereby they grow different crops one after the other with soil enhancing crops part of this. This would make the soil ore fertile and reduce/eliminate the need for chemical fertilisers. Why not use natural fertilisers as 'natural' anything is always better than 'artificial man-made' alternatives. As an aside to this - There are natural alternatives for all synthetic drugs on the market that work better and are a tiny fraction of the cost (without the side effects). When I say ALL I mean ALL disease including cancer and heart disease

You didn't over simplify anything but I suspect that many people understand what the changeover from normal to organic rice production means to the farmers. I am sure that the government doesn't really understand (although they do have experts that do understand) but I think that they need to keep the message simple for sound bites etc.

IMHO the government should send rice experts, (preferably middle aged people) to Vietnam to learn from them how their production is greater than Thailand's. The reason I suggest middle aged people is that when the return to Thailand they will be the people to send out to teach and/or train farmers in new techniques and there will be a greater chance of farmers listening to older people than younger ones.

The government should also send out teams to teach a little banking finance and co-operative teachers to break the monopoly of the middle men.

Perhaps then the small farmers may have a chance.

[lucky11]

Seems that you have a good understanding of the situation, but, I doubt that this kind of thing will happen as Thailand is just too proud for it's own good in seeking outside help - remember the flood problems? it was suggested (I think they actually volunteered their services) that the Dutch come in and advise them on the flooding problem as they have expert knowledge in this area. Did the do this? did they heck. Instead they marched on with their own flawed ideas and the problems persist now and will do long into the future on account of this unwillingness to accept that they are incapable of tackling flooding head on.

Thailand must learn to accept advice from outside their borders and only then, perhaps, will they begin to overcome and make progress in the areas where they lack know how and will admit to it, importantly.

[billd766]

Seems that you have a good understanding of the situation, but, I doubt that this kind of thing will happen as Thailand is just too proud for it's own good in seeking outside help - remember the flood problems? it was suggested (I think they actually volunteered their services) that the Dutch come in and advise them on the flooding problem as they have expert knowledge in this area. Did the do this? did they heck. Instead they marched on with their own flawed ideas and the problems persist now and will do long into the future on account of this unwillingness to accept that they are incapable of tackling flooding head on.

Thailand must learn to accept advice from outside their borders and only then, perhaps, will they begin to overcome and make progress in the areas where they lack know how and will admit to it, importantly.

I do understand and I think that the Thai leadership going back decades is at fault thus causing their own downfall and creating these problems that are solvable at a cost and part of that cost is the loss of face.

The physical and financial costs far outweigh the loss of face but Thais believe that face is the second most important thing in Thailand. The first of course is money and nobody cares how you make it.

[trainman34014]

Around our way Paddy's are vanishing under concrete at an ever increasing rate. The Farmers have been crapped on for so many years one way and another that as they get older they don't bother carrying on and the next generation are not interested, so the land gets sold off to the highest bidder for building purposes.

I would guess that in less than 25 years Thailand will need to be importing a lot of rice just to feed the Nation.

[GOLDBUGGY]

I don't see the logic in increasing rice production when they can't sell the rice they have now at a decent price. Seems to me you are just adding more fuel to the fire.

[lucky11]

Around our way Paddy's are vanishing under concrete at an ever increasing rate. The Farmers have been crapped on for so many years one way and another that as they get older they don't bother carrying on and the next generation are not interested, so the land gets sold off to the highest bidder for building purposes.

I would guess that in less than 25 years Thailand will need to be importing a lot of rice just to feed the Nation.

Might not be a bad thing importing rice when they need to, if the truth be told - this 'Thailand, number 1 exporter of rice' being such a big thing is more of a hindrance and liability in trying to win and keep this 'trophy' every year. As soon as they lose this title, the better. Let Vietnam or India carry this burden of achievement.

If rice cannot be grown profitably (which it clearly can't) not without government intervention one way or another, anyway. Then grow other more profitable crops and learn how to rotate according to the water demand/availability and needs for the crop in question. If they grow niche strains (of rice even) when there is plenty of water and plant something different that requires less water (in the rice off season) then surely they will be better off and can avoid having to cope with the crisis moments that arrive every year right on cue.

This zonal idea makes a lot of sense (probably the only good idea to come out of a Shinawatra government), oh I suppose that I can give them some browney points for the OTOP scheme. But, politics apart, why not really have a go at doing this as it makes sense and is surely an improvement over what we have got now!!

Over to the government now, time to do something about it.

[billd766]

I don't see the logic in increasing rice production when they can't sell the rice they have now at a decent price. Seems to me you are just adding more fuel to the fire.

I think that if Thailand could improve the amount of rice grown using the same amount of land say from 750 to 1,000 kg per rai and keep the costs to roughly the same the farmers might gain perhaps 20% more income from the same area and the same amount of work. Perhaps then the rice farmers may listen and learn.