Thailand suspends rice auctions to limit supply before November harvest

Reuters

 

BANGKOK, Sept 14 (Reuters) - Thailand will temporarily stop holding state rice auctions to avoid oversupplying the market ahead of the annual crop harvest in November, the country's rice committee said on Wednesday.

 

Thailand is the world's second-biggest rice exporter after India and has stocks of about 8.4 million tonnes left over from a rice-buying scheme under the previous government that paid farmers well above market rates for their rice.

 

The current military government in Thailand has been trying to sell off stockpiles from the scheme through several state auctions since it took power in 2014.

 

Full story: http://af.reuters.com/article/idAFL3N1BQ28H

 

-- © Copyright Reuters 2016-09-15

ah, did they not already try to control the price of rice a few years ago costing the tax payer 500 - 800 billion baht ?

 

 

So write off the rice in stock. Leaving it overhanging the market does no good whatsoever.

 

"Rice sales will have to be suspended for now. We have to wait for a new harvest to arrive in November and see what's next," Prayuth told reporters after a rice committee meeting on Wednesday.

 

One assumes that the current "government" has granted themselves immunity from future malfeasance charges, and potential seizure of assets, for their management of any agricultural market management? How handy.

Is the government, once again, interfering with market supply and demand? When will they learn?

3 hours ago, webfact said:

stop holding state rice auctions to avoid oversupplying the market

How this will stop rice producers like India and Vietnam from oversupplying the rice market?

Yingluck found it didn't but Prayut can't be held accountable for loss sales.

The answer is for Thailand to lower its rice production with a commensuarte higher profit margin.

when its gotta go its gotta go. dump it before it turns into dust and move on. wonder how much of the loss sustained was from storage fees. government needs to stay the hell out of free market trade. its their job to distribute taxes to buy submarines and aircraft carriers. much easier now the military is the government. very efficient joining the 2 departments. does make me wonder if some of the army officials doing government jobs are being paid 2 incomes, probably not. many western countries have much to learn from thailand.

Edited September 15, 20169 yr by williamgeorgeallen

17 minutes ago, williamgeorgeallen said:

does make me wonder if some of the army officials doing government jobs are being paid 2 incomes

Probably do.

On August 2, 2014, a law was issued to determine monthly salaries and other monetary benefits for the NCPO members. General Prayuth as Chief of NCPO is granted a total of THB 125,590 per month, whilst each of the other NCPO members is given a total of THB 119,920 per month. These benefits are paid in addition to the benefits they are already entitled to by virtue of their service in the armed forces. Wikipedia

In addition Prayut receives a basic annual salary of $50,000 (or 1.7 million baht @ 34baht/USD) as Prime Minsiter.

http://www.asianranking.com/top-20-highest-paid-political-leaders-in-asia/2/

4 hours ago, mtls2005 said:

So write off the rice in stock. Leaving it overhanging the market does no good whatsoever.

 

"Rice sales will have to be suspended for now. We have to wait for a new harvest to arrive in November and see what's next," Prayuth told reporters after a rice committee meeting on Wednesday.

 

One assumes that the current "government" has granted themselves immunity from future malfeasance charges, and potential seizure of assets, for their management of any agricultural market management? How handy.

They are covered for anything with the self-granted amnesty. Plus amnesty granted by article 44 to all officials involved in handling, investigating or assessing rice and maizena stocks since the coup (see BP).

oh, the irony. 

 

When does Yingluck appear in court again?

I guess if they are not going to offer subsidies to the rice farmers, then they better start thinking of a way to support them. Many have already tried the alternative crop thing and gone bust. I live in a big rice area and its not good. It also takes many less people to work the fields with some of the new equipment. When big money owns all the land the government will have big subsidies for them. The banks are starting to gather the land now.

Don't think too much!