Rice board agrees on 11,525 baht/tonne for Hom Mali grains

 

 

BANGKOK: -- The Rice Policy and Management Committee or the rice board has agreed to let the Bank of Agriculture and Agricultural Cooperatives (BAAC) to extend credits to rice farmers so that they withhold their crops from being sold to millers and, instead, keep their in storage to prevent market dumping which will further suppress rice price.

 

Each farmer will receive a credit of 8,730 baht/tonne of Hom Mali paddy or 90 percent of market price of 9,700 baht/tonne, plus 1,295 bah/tonne for storage fee, including 500 baht/rai for land improvement fee of up to 10 rai, plus another 1,500 baht/tonne storage fee with 1,000 baht payable immediately and the rest payable upon redemption. Altogether each farmer will receive 11,525 baht/tonne.

 

Farmers who do not have their own storage facility will receive credits worth 10,995 bah/tonne, including 9,700 baht for Hom Mali rice and the rest for rice drying fee.

 

Commerce Minister Apiradee Tantraporn said the measure was intended to delay the arrival of about two million tonnes of newly-harvested Hom Mali rice to the market with the credits extended to farmers who are expected to redeem the rice once the rice has picked up.

 

The entire scheme will cost the BAAC 35,900 million baht. On top of that, the commerce minister said commerce officials would be sent out to check if millers had suppressed rice price or not.

 

Full story: http://englishnews.thaipbs.or.th/rice-board-agrees-on-11525-bahttonne-for-hom-mali-grains/

 

-- © Copyright Thai PBS 2016-11-01

Is this the global market price for this type of rice?

re: price looks like market.
But please note that I do not know whether this website draws directly from the Worldbank server, and whether the price outside of Thailand may be different.
http://www.indexmundi.com/commodities/?commodity=rice&months=120&currency=thb
 

Edited November 1, 20169 yr by KKr

I was bedazzled and bewildered by all the numbers bandied about. Storage costs, hope for a higher future price, credit to store the rice and that would involve spoilage and vermin infestations. Methinks you will get less not more than the going price. Coops might be the answer but that involves trust and well trust in oneself is OK here but extending it is a problem. 

farmer gets 5 baht / kg

 

supermarket sells it at 150 - 200 baht / 5 kg

 

seek the problem / solution

 

 

35,900 million baht is a lot of money ... isn't it ?

3 hours ago, adhd said:

farmer gets 5 baht / kg

 

supermarket sells it at 150 - 200 baht / 5 kg

 

seek the problem / solution

 

 

 

 

 

I am not sure.

5 bath per kilo

is sold between the 150/5 or 200/5  bath per kilo

 

Farmer gets 5 Bath per kilo for the raw product of rice

 

The supermarket 30 to 40 Bath per kilo for cleaned and sorted rice

 

Think the Thai rice mill is the overall winner 

Because the rice mill has the husk too to sell or use for free.

and that is also when the farmer not get.

and the brokers in between

 

Edited November 1, 20169 yr by Autonuaq

PM Prayuth was blabbing on about this the other day and pointing his evil finger at anyone he could find to blame for the latest rice stuff up.

I stand corrected but isn't this new proposal for a payment of 11,525 baht/tonne just a variation of the Yingluck formula of 15,000 baht per tonne. I realise there is a price difference but isn't the principal just the same. Support the farmers. 

So if this plan turns to cowplop then it follows that the PM should be held liable for any losses. After all he has set law based on the Yingluck precedent.

5 hours ago, Halfaboy said:

35,900 million baht is a lot of money ... isn't it ?

 

Ask Yingluck, she knows how much that is.

adhd ,,, while I agree with the context of your comment please first make sure that your figures are right

before posting as there is no sense adding fuel to the fire.

Sooner or later Thailand will need to adjust how much they grow, what they grow, what quality to grow.

Just growing because it is traditional to do so & they can is no longer a good enough reason.

It needs some urgent research to see what they can sell, not just keep storing rice for a world

shortage that may not come