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Cabinet approves rice guarantee programme



Cabinet approves rice guarantee programme

Korbsak Sabhavasu

The Cabinet on Wednesday approved the National Rice Policy Committee's pilot price guarantee programme for 200,000 tonnes of Hom Mali rice in the 2009 harvest season, said Deputy Prime Minister Korbsak Sabhavasu.

 

 Korbsak said the target would cover output from Thung Kula Rong Hai plain, to test the effectiveness of the programme. The guarantee programme is designed to replace the pledging programme, which is inducing huge costs to the government.

 Under the price guarantee programme, each farmer is entitled to maximum guarantee of Bt500,000. The premium in the initial stage is set at 0.01 per cent of the coverage amount.

 However, according to Korbsak, the rice pledging programme will stay with the offer that is Bt1,000 per tonne above the guaranteed price.

 On farmers' requests to extend the pledging quota for off-season rice, Korbsak said that the rice committee will convene on Friday having the prime minister as chairman.

 



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