Thread: Rubber Farmers Feel Betrayed By NCPO

Rubber Farmers Feel Betrayed By NCPO

Bangkok Post
August 26, 2014
Writer: Reuters

Thai rubber farmers who supported anti-government protests that led to a military coup in May say they feel betrayed because the ruling military is failing to help soften the blow of plunging rubber prices.

Thailand is the world's largest rubber producer and exporter, but falling prices and a decision by the military not to extend subsidies risks alienating rubber farmers, most of whom are in the south.

Rubber farmer Somkid Unping joined demonstrations that began late last year aimed at bringing down the populist government of then prime minister Yingluck Shinawatra. Somkid from Surat Thani said his hopes for a better deal for rubber farmers in return for their loyalty had been dashed.

"We stayed for months because we believed that a new government would not neglect us," Somkid said.

The National Council for Peace and Order has tried to step back from a culture of subsidies across the agricultural sector although coup leader Gen Prayuth Chan-ocha, who became prime minister on Monday, has said the government would offer some help, including soft loans for producers to buy fertilizer. But disgruntled farmers say that is not enough.

Six rubber farmers' associations are expected to meet Gen Chatchai Sarikalaya, an NCPO member, on Monday to voice their concern.

"We heard Gen Prayuth say on television last week that he cares about rubber farmers but the intention to help has come too late," Boonsong Nabtong, chairman of the Federation of Rubber Planters Association of Thailand and a supporter of the pro-establishment Democrat Party, told Reuters. There were no plans to protest, he said.

Falling global demand

Thailand produced 4.2 million tonnes of rubber in 2013, of which 3.7 tonnes were for export, generating about 200 billion baht. This year, because of falling global demand, physical rubber prices have fallen 24%, with the benchmark Thai smoked rubber sheet (RSS3) dropping to $1.85 per kg on Tuesday, from $2.45 early this year, far below the record of $6.40 per kg set in 2011 when demand from China was strong.

Ms Yingluck's government spent 22 billion baht building rubber stockpiles under state-funded price support programmes that included buying rubber at above-market rates. The programme mirrored a money-guzzling rice subsidy programme that cost taxpayers billions of baht and fuelled opposition to the government from the establishment.

The military's 2015 budget plan has already sparked criticism from some politicians for allocating too much money to compensate for the previous administration's failed populist policies.

But some farmers said they are not looking for hand-outs but instead wanted the military government to support prices by holding back stocks. The military government approved a plan on Monday to sell its 200,000 tonne rubber stockpile but farmer have gone to court to block it.

Rubber farmers feel betrayed by NCPO | Bangkok Post: news

Rubber Planters Send SOS

Bangkok Post
August 26, 2014
Writer: Post Reporters

Representatives of the rubber farmers' network will submit a letter to Prime Minister Prayuth Chan-ocha to propose measures for their survival. Gen Prayuth assigned Gen Chatchai Sarikalaya to talk with the representatives and accept the letter.

The six-group network suggested two emergency measures.

Leaders of four groups on May 16 sought an injunction from the Administrative Court to stop the sale of 210,000 tonnes of rubber in the government's stockpile, saying the move would further push down prices.

Local rubber prices fell from 55.89 baht a kilogramme on Aug 7 to 51.61kg on Aug 18.

The planters recommended the stock be liquidated in February 2015 when there is little tapping activity.

The court issued a temporary injunction but since the second inquiry on Aug 19, the injunction has not been renewed.

Related authorities in charge of the stock argued the sale was necessary to get the money for new supply. The inventory was the result of the previous government's subsidy which paid the planters 100 baht a kg.

According to their letter, the planters also want a solution to the 210,000-tonne stock.

They urge that all agencies think of how to process or add value to rubber such as adding latex to asphalt in road construction or building playgrounds or futsal field, etc.

The government should also keep track of the quantity and quality of the rubber in its stock, kept to stabilise prices.

Since production cost is 65.25 baht a kg at present, the government should continue to subsidise their farm essentials costs for another season at the rate of 2,520 baht a rai, but not more than 25 rai each, they said.

In the medium term, the farmers want a restructuring of the Thai rubber market so it can be used as reference prices for Asean and the world instead of foreign futures markets.

Full article: Rubber planters send SOS | Bangkok Post: news

Somkid from Surat Thani said his hopes for a better deal for rubber farmers in return for their loyalty had been dashed.
...
Ms Yingluck's government spent 22 billion baht building rubber stockpiles under state-funded price support programmes that included buying rubber at above-market rates.

Stupid foks... som num na.

Governments shouldn't exist to be in business....

Did Yinglick's govt. buy rubber and rice to help the farmers or to punish/force-out-of-business the establishment middle men? Making a certain Dubai business man the rice and rubber broker?

Farmers, in general, should feel betrayed by the NCPO.

^ OK but now the government/people have 200,000 tonnes that they paid for but are not allowed to sell?

Originally Posted by Sumocakewalk

Somkid from Surat Thani said his hopes for a better deal for rubber farmers in return for their loyalty had been dashed.

You fail to realise- your idol, Suthep, didn't win.
He was flushed out with all the other babies, along with the bathwater.
And if all the damage your ilk caused this country was just for that, shame on you.

Personally, as a rubber farmer, think the government should keep out, it's a world commodity, no government can control the price, let the market decide.

Originally Posted by Sumocakewalk

Thai rubber farmers who supported anti-government protests that led to a military coup in May say they feel betrayed because the ruling military is failing to help soften the blow of plunging rubber prices.

The could always organize a democratic protest or speak to their local MP to bring up questions in parliament, maybe get some local news outlets down to criticize the 'govt' policy; oh no...

The childlike quality most peasant Thai demonstrate is really quite touching. They actually do believe that whatever authority is in power they can be taken care of despite the big world out there. It really is akin to the infant who regards his parents as the foundation of his life and are omnipotent.

Of course, a profound ignorance, innate stupidity and complete lack of any decent education will obviously foster this puerile dependence but eventually even the dumbest will have to acknowledge the world decides where Thailand figures and not whichever national authority happens to be in power. It's just that for the common Thai we are nowhere near that point yet.

The only civilised country that also labours under this mass delusion is probably France but then, it is the last remaining free communist state in the world.

Originally Posted by Sumocakewalk

Rubber Farmers Feel Betrayed By NCPO

Just the first in a long list .....................

Originally Posted by zygote1

Originally Posted by VocalNeal

Did Yinglick's govt. buy rubber and rice to help the farmers or to punish/force-out-of-business the establishment middle men? Making a certain Dubai business man the rice and rubber broker?

No. It's simpler than that. As you recall our wonderful thugs from Suthep's powerbase of Surat Thani took the roads blockading them and running amuck. They were jealous over the support for the rice farmers and wanted their turn at the trough. Suthep encouraged them to engage in civil disorder. In plain language, they extorted the previous government which had no army with which to suppress the mayhem. Now that the army is in, they won't bend to blackmail.

I believe many are missing the bigger picture.
It really doesn't matter as to what ruling entity is in power - as they're, more or less all cut from the same cloth.

Government needs to stay out of the business of controlling farmers.

Originally Posted by Sumocakewalk

Thai rubber farmers who supported anti-government protests that led to a military coup in May say they feel betrayed because the ruling military is failing to help soften the blow of plunging rubber prices.

Originally Posted by jamescollister

it's a world commodity, no government can control the price

Indeed.