Rice centralisation 'May increase corruption risk'

This is because, while it may increase efficiency for rice operations with the prime minister having full authority to manage all aspects of the system, this could cause greater corruption as many politicians will be involved. Many of those involved will also lack sufficient understanding of rice management, the trader said.

The source said the government should be wary of handing over any aspect of rice management to the Marketing Organisation for Farmers, as this body was known for a high level of corruption in the past.

The comments were made after Commerce Minister Chaiya Sasomsap failed to convince Samak to return responsibility for rice management to the ministry.

The government has set up three committees to manage the commodity: one each for pledging, polishing and release.

Samak wants the government to have authority for rice management on the grounds that it would lead to more trans¬parency and flexibility, Chaiya said.

Chaiya also said the government was considering releasing much of its huge rice stockpile on to the market in order to clear some of the warehouses for the upcoming harvest.

The main rice harvest starts in November, when more than 10 million tonnes of paddy rice enter the market, he said.