A farmers' leader has welcomed the government's move to foil rice traders he says conspired to keep paddy prices low in expectation of making a big profit later.
Wichien Phuanglamjiak, former president of the Thai Agriculturalists Association, said in Ayutthaya province rice traders had conspired to buy as much paddy as possible from farmers at low prices. They expected to make a big profit from the government's price guarantee scheme.
Traders had also planned to use farmers as their proxies to cash in on any rice price scheme, he said.
Wichien Phuanglamjiak, former president of the Thai Agriculturalists Association
"Rice brokers from the Central Plain bought paddy cheaply in the Northeast. Now why would they do that, with the ongoing complaints about the low price for rice exports?" Mr Wichien said.
He expressed appreciation for the government's move to deal with such traders through a rice-pledging scheme that lets farmers store paddy in their own barns. That surprised the speculators, he said.
Mr Wichien said officials from the Prime Minister's Office visited his home in Phak Hai district, Ayutthaya, to discuss farmers' problems and the pros and cons of past assistance schemes for rice growers, including rice-pledging schemes. He told them all he knew.
Deputy army spokeswoman Col Sirichan Ngathong said on Wednesday soldiers were meeting with rice millers nationwide, asking them to show sympathy for farmers and their problems and needs, and to pay fair prices for their paddy. They were also asking about the criteria the millers use in deciding how much to pay.
Farmers could also seek assistance from any military unit in their area if they had problems, she said.
"We are ready to help farmers sell rice directly to consumers, without having to rely on the millers. We believe that people nationwide are ready to help farmers," Col Sirichan said.
Representatives of rice millers have announced a media conference on Thursday to reply to allegations.
Finance Minister Apisak Tantivorawong said on Wednesday the market price of Hom Mali paddy stood at 11,000 baht per tonne for top grade dry grain, which was about the same as the growers' production costs, and it was unlikely to go lower.