Trade and markets
 

Detail

Area
Thailand
Commodity Group
Rice
Commodity
All
Date
20/06/2014
Policy Category
Production
Policy Instrument
Production support
Description
Approved new set of support measures to replace the paddy pledging program during the 2014/15 season. Following an agreement with input manufacturers, prices of fertilizers, seeds, pesticides, agricultural equipment and land-leasing costs are to be lowered, so as to reduce average production costs by Baht 432 per rai (USD 2 700 per hectare). Farmers will be availed with short-term credit for up to Baht 50 000 (USD 1 541), while the Bank of Agriculture and Agricultural Cooperatives (BAAC) will cut loan interest rates by 3 percent for a period of six-months. Additional credit assistance will be provided to cooperatives and farmer organizations to encourage improved production methods, as well as to purchase, distribute and develop rice products. Officials committed to stabilizing producer prices at Baht 8 000-9 000 (USD 247-277) per tonne, while continuing crop insurance programs for farmers affected by natural disasters and the agricultural zoning program.
Notes
Exchange rate as of 15 July 2013.