Future of Thai rice and Thai farmers

This year is the fourth anniversary since Thailand designated today,
June 5, as National Rice and Farmers Day. As Thailand has been the
world's top rice exporter for a long time, questions about the future of
Thai farmers and their improved livelihood remain unanswered.

From the onset of the rainy season, farmers started ploughing to
prepare the soil for seasonal rice planting in hope for a good price for
their produce, which is now guaranteed by the government under the rice
mortgage scheme, beginning last year.

Despite some problems in implementing the plan, farmers are generally
satisfied with the government's project.

"Taking into account higher rice prices in the market, and farmer
satisfaction, I believe the government's rice mortgage scheme must be
considered successful," said Yanyong Puangrach, Permanent Secretary for
Commerce.

Losses that might be incurred by the government is not the point, as the
government aims to raise rice prices to increase farm income," Mr
Yanyong added.
The government is confident that Thailand will be able to retain the
status quo as the world's top rice exporter.

In the first four months of this year, Thailand ranked first, exporting
the largest volume of 2.7 million tonnes of rice. It is believed that
each year, there is demand for at least seven million tonnes of Thai
rice, so the country's target to export 8.5-9 million tonnes is possible.

"Farmers are satisfied—to a certain extent— but it must be admitted that
some problems remain, such as delays in issuing warrant documents in
many areas," said Prasit Boonchueay, chairman of the Thai Rice Farmers
Association.

"If the government cannot sell mortgaged rice, it won't have money to
buy rice in the next round. Then, farmers have to sell their rice
produce to rice mills at low prices," he said.
However, it needs more time to prove whether the rice mortgage policy
will be accomplished.

Under the rice mortgage scheme, management of rice reserves in
stockpiles is a difficult task as the government must strike a balance
between releasing rice in stock and preventing a drop in global rice
prices and at the same time, it must oversee rice prices in the domestic
market to prevent a rise that could hurt Thai consumers.

Although the National Rice and Farmers Day was designated to highlight
the importance of farmers, the so-called backbone of the nation, the
future of Thai farmers remains uncertain.

According to a survey by the Thai Rice Foundation, the number of farmers
continues to drop. And 90 per cent of farmer's children—the future of
Thai agriculture—said they would not carry on their forebear's work in
rice paddies.

Another threat to the future of agricultural occupations is the issue of
land. Rice paddies have changed into residential estates, commercial
buildings, and industrial factories. Many remaining rice paddies belong
to business investors and farmers become renters and workers on rice
farms that used to be their own.

Since the long ago past until now, Thai governments have always had
policies to increase farmers' income and improve their quality of living
but to achieve the goal, more needs to be done seriously besides price
guarantee and rice mortgage schemes and designation of the National Rice
and Farmers Day.