Farmers to get 46 billion baht soft loans to delay rice selling

 

 

BANGKOK: -- The Bank for Agriculture band Agricultural Cooperatives (BAAC) says it has set aside over 46 billion baht soft loan to extend to farmers to delay the selling of their paddy.

 

The loan extension is part of the government’s effort to help farmers who are currently facing falling rice prices to hold off selling their crops, in order to bolster prices.

 

Under the loan extension scheme, BAAC general manager Luck Wajananawat said  the bank has set aside 46.78 billion budget as soft loans to extend to farmers.

 

Breakdown of the loan will be 27.41 billion baht for farmers with white rice paddy harvest, and 19.37 billion baht for those with Hom Mali harvest.

 

He said farmers registering for the loan scheme will obtain 9,500 baht soft loans with no interest to delay sale of their paddy for a maximum of five months.

 

Full story: http://englishnews.thaipbs.or.th/farmers-to-get-46-billion-baht-soft-loans-to-delay-rice-selling/

 

-- © Copyright Thai PBS 2016-11-04

"Farmers to get 46 billion baht soft loans to delay rice selling,"  as soon as Yingluck pays up  
 

5 minutes ago, CelticBhoy said:

"Farmers to get 46 billion baht soft loans to delay rice selling,"  as soon as Yingluck pays up  
 

 

She's still crying which slows down the process of counting the payback money...have some patience please.

Isn't the problem that farmers are already over-indebted...how does more debt "help"?

39 minutes ago, OMGImInPattaya said:

Isn't the problem that farmers are already over-indebted...how does more debt "help"?

 

I don't expect the farmers will and can pay. As you said they already in debt. BAAC is taking a very high risk if the rice can't be sold at a higher price by next 5 months. I doubt rice price can moved up so dramatically to the level of the pledge price when we still have so much inventory. BAAC is not happy but can't refused. Likely the government will allow a debt moratorium. Bottom line, the tax payers will pay for this rice subsidy. 

1 hour ago, OMGImInPattaya said:

Isn't the problem that farmers are already over-indebted...how does more debt "help"?

Presumably the bank takes security for any loans with mortgages over assets including property. In which there will case there will certainly be some foreclosures and the vultures (usually "connections" of the bank) will be waiting on the sidelines ready to strip the carcase when the bank gives the nod. Thai banks are no different to banks the world over.

5 hours ago, OMGImInPattaya said:

Isn't the problem that farmers are already over-indebted...how does more debt "help"?

No, the problem is that they are only getting 5 baht per kilo for their produce.

5 hours ago, OMGImInPattaya said:

Isn't the problem that farmers are already over-indebted...how does more debt "help"?

 

 One more debt will be used for the debt that was paid with a debt from a debt that another dept covered. Isn't that easy to understand? 

 

      

1 hour ago, sambum said:

No, the problem is that they are only getting 5 baht per kilo for their produce.

Should go a long way in paying back all the new debt.

8 hours ago, Eric Loh said:

Bottom line, the tax payers will pay for this rice subsidy. 

 

Just like they paid for the last one...

 

I suppose one difference is that the entire Bt56 billion the "government" is spending on their scheme, and the entire Bt46 billion the bank is loaning the farmers will be used with absolutely zero corruption... 

 

The other difference is, I guess, this one will work...