17:18 | 05/11/2016 Global Economy
Thailand’s government has decided to increase subsidy for Hom Mali (jasmine) rice farmers and take other measures to stabilise the rice market as the product’s price dropped to the lowest level in a decade.
Illustrative image (Source: Internet)
The extra fund for Hom Mali farmers will be raised from 11,525 THB (328 USD) to 13,000 THB (370 USD) per tonne, Minister of Commerce Apiradi Tantraporn said after a cabinet meeting on November 2.
Two million farmers will be eligible for the subsidy programme, which runs from November 1, 2016 to February 28, 2017, providing that they store the grain in five months to avoid an oversupply glut, he added.
The Ministry of Commerce will also check warehouses of rice exporters across the country to ensure they are able to receive rice in the new harvest.
Earlier, Thailand’s Committee for Rice Policy and Management asked the government to offer a loan of 35.8 billion THB (1.02 billion USD) with an interest of 3 percent to jasmine rice farmers struggling with falling price.
Meanwhile, Thai Prime Minister Prayut Chan-ocha stressed that the state’s support is temporary due to a limited budget and called on citizens to cooperate with the government in tackling the issue.
Data released by the Thai Rice Exporters Association showed that jasmine rice made up 25 percent of the country’s total rice exports from January to August this year./.