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Rice Storage Scheme to Stockpile Rice by BAAC

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Some farmers in pledging scheme can store their own rice, BAAC decides


The Bank for Agriculture and Agricultural Cooperatives (BAAC) is allowing farmers participating in the pledging scheme to stockpile rice in their own silos.

The BAAC board agreed to the move to make the subsidy programme more flexible, Boonchuay Chiadamrongchai, executive vice president of the bank, said yesterday.

Farmers in the North and Northeast are eligible for this new rule, which will apply from December 1 to February 29, he said. The bank targets purchase of 1 million tonnes of rice from these farms.

Farmers can redeem their rice within four months after they pledge it with the government, he said. However, they generally will not do so as they will get higher prices from the government than the market.

The new rule was put in place after fewer millers participated in the rice-subsidy scheme than anticipated. Previously the government required farmers to sell their produce to it via millers and targeted buying 25 million tonnes of unmilled rice, which would be stored in the millers' silos.

The government has agreed to pay Bt20,000 per tonne of Hom Mali fragrant rice, Bt16,000 per tonne of long-grain sticky rice and Bt15,000 per tonne for short-grain sticky rice.

In a related development, 341,496 farmers have asked for flood-damage compensation from the government via the BAAC for a combined amount of Bt6.74 billion, Boonchuay said. Each will get compensation of Bt1,437 per tonne of damaged rice.

The bank also pledged to offer farmers new loans for flood recovery and a debt moratorium for three years, he added.

The Nation

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