New rice plan aims to cut rice production to 25 million tonnes this crop year



BANGKOK: -- About 25 million tonnes of rice will be produced during 2516-17 crop years instead of the normal production output of between 31-32 million tonnes to correspond with anticipated consumption demand.

Commerce permanent secretary Chutima Boonyaprapat said Thursday that the private and farming sectors had been invited to join the government sector in working out an integrated rice production and market plan for the 2516-17 croup years.

The plan is divided into short-term or six-month, medium-term or 12-month and long-term or 18-month programmes.

Ms Chutima said it was agreed by the three parties that the yield for the 2516-17 croup years would be capped at 25 million tonnes instead of 31-32 million tonnes as the government wanted to reduce rice-farming areas due to drought and also to correspond with market demand. The plan is expected to be completed within a month, she added.

Regarding production, Ms Chutima said the Commerce Ministry would see to it that production costs are to reduce such as the costs of fertilizer, pesticides and harvesting as well as upgrading the standard of rice mills.

As for domestic marketing, the ministry will try to secure more rice markets and to ensure fairness in rice trading which may include inspection of rice weighing and humidity measurement, price tagging and setting the standard of rice trade.

The Agriculture Ministry has been tasked with rice cultivation zoning to set different zones for different types of rice and water management as well as choosing the right rice types for different zones.

Source: http://englishnews.thaipbs.or.th/new-rice-plan-aims-to-cut-rice-production-to-25-million-tonnes-this-crop-year

-- Thai PBS 2016-01-08

I think the coming drought will take care of that.

regards Worgeordie

I think the coming drought will take care of that.

regards Worgeordie

Coming..You late its already hear.

I think the coming drought will take care of that.

regards Worgeordie

Coming..You late its already hear.

Not until the last drop has been used.

25 million tons of rice a year is about what my 45 kg wife consumes (or so it seems).

I wish the government(s) would stop meddling in the market for rice and also rubber, look at the problems they have left the farmers with. If the market was left alone it would take care of itself.

I wish the government(s) would stop meddling in the market for rice and also rubber, look at the problems they have left the farmers with. If the market was left alone it would take care of itself.

Every country in the world tries to help their farmers. Look at the USA, Eggs, dairy, pork industries all give millions of dollars to the the government to get protection for pricing. Thailand governments are no different. Except that they have a knee jerk response, instead of a steady constant plan.

"the Commerce Ministry would see to it that production costs are to reduce such as the costs of fertilizer, pesticides and harvesting"

aka populist subsidies paid by the Thai taxpayer

"the government wanted to reduce rice-farming areas ... to correspond with market demand"

Let the market demand do that. I'm sure India will fill any gap in supply. No need for government oversight here. Maybe it's political expediency, but the current govenment is needlessly micromanaging the agricultural industry, ending in micro-results.

So the Government wants the farmers to produce 6 or 7 million tons of rice less than last year. How are they going to achieve that? Are they going to physically measure the size of the growing paddy, will they restrict the amount of rice that farmers sell to the millers, will they prevent the planting of second crop by restricting the availability of water?

What will the price at the mill be? Will the Govt shore up the rice price to compensate for the smaller rice crop being grown by the farmers? I can see rice farmers getting into even bigger debt problems in the future.

One answer would be of course is to pay farmers NOT to grow rice this season, just like the EU pays many of it's farmers to let their fields lie fallow. This however costs a lot of money and let's not forget those submarines and tanks have got to be paid for.

So the Government wants the farmers to produce 6 or 7 million tons of rice less than last year. How are they going to achieve that? Are they going to physically measure the size of the growing paddy, will they restrict the amount of rice that farmers sell to the millers, will they prevent the planting of second crop by restricting the availability of water?

What will the price at the mill be? Will the Govt shore up the rice price to compensate for the smaller rice crop being grown by the farmers? I can see rice farmers getting into even bigger debt problems in the future.

One answer would be of course is to pay farmers NOT to grow rice this season, just like the EU pays many of it's farmers to let their fields lie fallow. This however costs a lot of money and let's not forget those submarines and tanks have got to be paid for.

"....by restricting the availability of water?"

Mother Nature is doing a fine job of taking care of that in this region while at the same time providing plenty to northern Europe and North America etc, thanks to El Nino.

The demand for rice is very high in foreign countries. All you free market psuedo-gurus are way off base. The commodities market and speculation force volumes low to keep per share prices as high as possible.

t maintain this thousand of tonnes of US wheat are bought and burnt every year, under guard by men armed with automatic weapons.

The illusionary "free market" is now controlled by middlemen. In the US fisherman and farmers are forbidden from selling directly beyond miniscule volumes.

One big reason many are starving is that middlemen insist they serve and important function.

The govt has no plan...they are just talking as if they are in control of how much rice is grown....they are just being reactive vs proactive. The drought and world rice prices are in conrtol; not the govt.

So the Government wants the farmers to produce 6 or 7 million tons of rice less than last year. How are they going to achieve that? Are they going to physically measure the size of the growing paddy, will they restrict the amount of rice that farmers sell to the millers, will they prevent the planting of second crop by restricting the availability of water?

What will the price at the mill be? Will the Govt shore up the rice price to compensate for the smaller rice crop being grown by the farmers? I can see rice farmers getting into even bigger debt problems in the future.

One answer would be of course is to pay farmers NOT to grow rice this season, just like the EU pays many of it's farmers to let their fields lie fallow. This however costs a lot of money and let's not forget those submarines and tanks have got to be paid for.

If we parse the statements, we see two conflicting priorities:

1) Reduce volume of rice production. This could be achieved through coercion, or by paying certain lucky farmers NOT to plant rice.

2) Reduce farmers' cost of rice production, which we could view as an attempt to encourage farmers to produce MORE rice.. Most likely this is achieved through government subsidy of production (interest free loans, free technical assistance, direct subsidy for equipment and supplies, subsidized water systems or water supply, etc.)

This is consistent with many other countries, where (figuratively) half the farmers get paid to do less, and the other half get paid to do more.

But staple food is important, so we go along with this.

Edited January 8, 201610 yr by phoenixdoglover

The government is going to actively cull rice farmers. Instead, they should just allow the free market do the job. Stop subsidies, and those that can't cut it, quit.

What are these '2516-17 croup years' they speak of (twice)?

What are these '2516-17 croup years' they speak of (twice)?

"In The Year 9595, I'm kinda wonderin' if man is gonna be alive,

He's taken everything this old Earth can give,

And he ain't put back nothing..."

Edited January 9, 201610 yr by NCC1701A