Showing posts with label LaoPDR. Show all posts
Showing posts with label LaoPDR. Show all posts

Saturday, January 25, 2020

Challenge

With the new year starting, there are a couple of articles looking at the year past and trying to see what the future could bring.

Khmer Times (Jan. 3) provides an excellent review of last year and future prospects. In short: the sector has lost track, production was slightly off, while growth in trade was non-existent. Possibly as China becomes the new market leader for rice exports, the market might see an upswing. Positive mentions also to organics:
'Cambodia’s rice sector is faced with the challenge of strengthening the quality of its fragrant rice, said Song Saran, president of the Cambodia Rice Federation (CRF), the recently appointed head of the milled rice export promotion body. “We have to compete,” he says. “The issues we can see include climate change, lack of pure rice seeds and sometimes lack of capital to buy paddy rice,” Mr Saran said.
Cambodia experienced a decline in milled rice exports to the EU this year because of tariff duties imposed by the European Union on Cambodia’s white Indica rice. However, the loss from the EU bloc, the biggest market for the country’s milled rice, has been replaced with increasing export to China and other new markets.
...
Cambodia shipped 174,397 tonnes of rice to the European market during the period, down 26 percent, the report read.
On the other hand, Cambodia exported 205,358 tonnes of milled rice to China during the first 11 months of 2019, up 34 percent over the same period last year, according to the report.
...
Cambodia has a quota of 400,000 tonnes that China allows Cambodia to export. According to the CRF, the quota will be implemented from early 2020.
Last week, the Chinese government allowed 18 new local rice millers to export to China, increasing the number to 44 rice millers exporting to China.
Cooperation with China is good, enabling export amounts to increases by 34 percent as of November 2019 compared with the same period last year, Mr Saran said, adding that almost of 80 percent rice export to China is fragrant rice.
Cambodia’s rice ranks fourth among rice exporters to China out of 12 countries, according to Saran.
...
Soeun, from Ministry of Agriculture, said that the ministry is preparing a policy for organic agricultural practices. We are applying the organic standard of Cambodia,” he says.“Cambodia’s organic rice ranks fifth in the EU and we are committed to competing to become number two or number three there,” Mr Saran said.
For Saran, although facing a number of issues that need to be addressed and enhanced, Cambodia’s ambition of exporting 1 million tons of milled rice would be within reach.
“We designate fragrant rice for promoting exports, which we register under the trademark Malys Angkor. Our rice is quality – our fragrant rice has won the world’s best rice award four times,” Saran said'.
Another attempt is made by Asia Times (Jan.) which sets the tone thus:
'Cambodia’s beleaguered rice sector is both literally and figuratively drying up, with drought parching crops and commercial banks refusing liquidity to farmers and millers in need of loans to stay afloat'.
Predicting future climate seems questionable, most of the analysis concerns the past:
'While the rice sector has long faced problems of underfunding and black market dealing, and is increasingly being impacted by environmental change and degradation, its woes have been compounded by European Union (EU) tariffs imposed last year on rice imports from Cambodia.
...
While the total tonnage of Cambodia’s rice exports fell by less than 1% last year, chiefly because of the uptick of exports to China, official data shows that the total financial value of rice shipments fell by 4.3%, down to US$501 million. In other words, exports to China aren’t nearly as profitable as exports to the EU'.
Looking back I see quite a few publications with similar conclusions. Asean Today (Jan. 13) for instance:
'Following the tariff introductions, rice exports from the Kingdom to the EU fell by 30% in 2019. Buyers are using falling exports as an excuse to drive rice prices down.
Choeun Socheat, a rice farmer in Cambodia’s Battambang province, told VOA that rice prices are down to US$232 per ton, US$60 less than the previous year’s rate. “The dealers told us that the price is low because they are buying rice to keep at the rice mills, but not for exporting abroad.”
However when looking at rice price changes (FAO, December 2019 report), export prices for Vietnamese rice (comparable?) were down 17-18% for the 12 months preceding, whereas FAO's own indices are down 5-7%.


So the loss of the aforementioned 4.3% in overall exported value doesn't seem too bad.

One should also note that exports are only a fraction of total production. The Asia Times article f.i. notes:
'The UN Food and Agriculture Organization (FAO) reported last year that some 44% of Cambodia’s rice exports are undocumented and smuggled out of the country, chiefly because millers cannot afford to purchase the entire harvest and growers look to informal brokers for quick cash'.
Let's conclude with what the Phnom Penh Post (Jan. 2) reports on 2019:
'Rice exports reached 620,106 tonnes last year, a drop of almost one per cent from the 626,225 tonnes the previous year, the Cambodian Rice Federation (CRF) said.
The total value of exports dropped more than four per cent last year from 2018, the Kingdom’s rice industry body added.
Coupled with the 1.43 per cent decline between 2018 and 2017, the modest drop marks the second consecutive year that exports have fallen.
According to a CRF report obtained by The Post on Wednesday, the total value of the Kingdom’s rice exports were valued at some $501 million last year, down 4.3 per cent from $524 million in 2018.
A breakdown of the data showed that the 202,990 tonnes to the Chinese market accounted for 40.73 per cent of rice exports, followed by 13.41 per cent, or 83,164 tonnes, to the Asean region and 13.84 per cent, equal to 85,847 tonnes, to other markets.
According to Ministry of Agriculture, Forestry and Fisheries data, Cambodia also exported 2.15 million tonnes of rice to Vietnam last year'.
Shipped
It should be noted that Cambodia is not the only rice exporter faced with a downward trend. 

The Bangkok Post (Jan. 16):
'Thailand's rice exports in 2020 are forecast to drop to their lowest in seven year, the country's rice exporters group said on Thursday, as the strong baht reduces the competitiveness against other shippers.
Exports from Thailand, the world's second-biggest exporter of the commodity after India, are expected to drop to 7.5 million tonnes this year, the Thai Rice Exporters Association said. That would be the lowest volume since Thailand exported 6.6 million tonnes of rice in 2013.
The grim forecast came after Thailand fell short of its initial 2019 target by exporting 7.8 million tonnes of rice last year'.
Reuters (Jan. 13) though notes that Vietnam is bucking the trend though only slightly:
'Rice exports from Vietnam, the world’s third-largest shipper of the grain, rose 4.2% in 2019 from a year earlier to 6.4 million tonnes, customs data showed on Monday.
However, revenue from rice exports last year dropped 8.3% to $2.8 billion, the Customs Department said in a statement'.
In other rice related news from the region, Thailand's Nation (Jan. 8) has a report on a particular niche:
'Netizens have widely shared a phenomenal photo of a pink rice field in Phitsanulok, wondering if it was for real. It certainly is.
The pink rice field is owned by Naresuan University alumnus Jaturong Chomphusa, who turned his back on an office job three years ago to become a farmer'.

Then an interesting find a vdo from Laos on a labour saving small-scale, low tech rice harvester.

Jumping
Back to Cambodia and some competitive crops.
Cassava. The Phnom Penh Post (Jan. 9) notes an upswing for cassava growing.
'Cambodia exported 3.29 million tonnes of cassava last year, up 27 per cent from 2018’s 2.59 million tonnes, a Ministry of Agriculture, Forestry and Fisheries report said.
Minister of Agriculture, Forestry and Fisheries Veng Sakhon wrote via Facebook that the Kingdom’s export of agricultural products last year reached more than 6.93 million tonnes, which he estimated to be worth more than $1.9 billion'.
It contrasts with maize. The Phnom Penh Post (Jan. 7):
'Total corn exports dropped by more than 40 per cent on 2018 due to last year’s drought and pest damage, industry insiders said.
Ministry of Agriculture, Forestry and Fisheries data showed that last year the Kingdom exported 119,993 tonnes of red corn – down 41.23 per cent on 2018’s 204,184 tonnes.
The exports were mostly to Thailand, Vietnam and Taiwan, according to the data'.
Not so closely involved in competition, there's also news from f.i. rubber growing. 

Phnom Penh Post (Dec. 31):
'The Kingdom’s rubber exports saw a 24 per cent increase over the first 11 months of last year compared to the same period in 2018, data from the General Directorate of Rubber obtained by The Post on Tuesday showed.
Pol Sopha, the director-general of the General Directorate of Rubber, who declined to comment on the reason behind the jump, told The Post on Tuesday that the Kingdom exported 233,677 tonnes of rubber with an export value of $311 million during the period.
The data also showed that 434,552ha of rubber had been planted in the first 11 months of last year, with more than 230,000ha of rubber having been harvested'.
Further rubber news from the Phnom Penh Post (Jan. 12):
'The General Directorate of Rubber announced a joint study on family-owned rubber plantations in three provinces to better understand how growers have responded to the sharp drop in rubber prices over the past nine years.
The average cost of rubber has fallen from around $4,600 per tonne in 2011 to about $1,350 per tonne in early 2020, according to its report'.
Bangkok Post (Jan. 20) though exemplifies that increasing rubber cultivation (as in Cambodia) is not the broader global trend:
'Rubber farmers are set to endure another year of low rubber prices as global uncertainty and a strong baht drive importers to turn off the taps.
The Economic Intelligence Center (EIC) forecasts a gloomy outlook for rubber prices in Thailand this year due to tepid demand from China and increased domestic supply in Thailand'.
Involved
Fruitier news then. The Phnom Penh Post (Jan. 20):
'As many as 300 tonnes of mango are processed every day in the Kingdom for export, the Ministry of Agriculture, Forestry and Fisheries said in a report.
It said the industry is dominated by five companies which together use 250-300 tonnes of the fruit per day.
Heng Sreng, the general manager of Boeung Ket Planting and Industrial Co Ltd, one of the companies highlighted in the report, told The Post on Sunday that it buys between 100 and 140 tonnes of mangoes per day at around 750 riel ($0.18) per kilogramme.
“Recently, we have had a chance to buy a lot of mangoes. There is a large supply now as companies in Vietnam and Thailand have temporarily stopped orders due to the holidays [Chinese and Vietnamese New Year],” he said.
Last year, Boeung Ket Planting and Industrial exported between 300 and 400 tonnes of dry mango products, mostly to China.
...
Last year, the Kingdom exported 58,162 tonnes of fresh mango to six markets – Vietnam, Thailand, Singapore, France, Russia and Hong Kong.
Ngin Chhay, the director-general of the General Directorate of Agriculture at the ministry, said Cambodia produces four million tonnes of mango annually, with 100,000ha dedicated to the crop'.
Phnom Penh Post (Jan. 5) on banana's:
'The export of yellow bananas to international markets last year reached 157,812 tonnes, most of which was exported to China and the rest to Vietnam and Japan, a Ministry of Agriculture, Forestry and Fisheries report showed.
There is no data on 2018 banana exports to international markets as it mostly comprised of informal exports to Vietnam. However, the ministry said Cambodia exported some 10,000 tonnes to international markets in 2018.
Hun Lak, the director of Longmate Agriculture Co Ltd, which plans to invest in 1,000ha of banana plantations in Kampot province by 2021, said over 400ha of plantations were harvested last year – with 10,000 tonnes of yellow bananas going to China'.
Nuts then. Phnom Penh Post (Jan. 13):
'Cambodia exported some 202,318 tonnes of cashew nuts last year to foreign markets, up nearly 100 per cent from 2018’s 101,973 tonnes, a Ministry of Agriculture, Forestry and Fisheries report said.
Khan Samban, director of the ministry’s Department of Agro-Industry, told The Post that the strong growth in exports is due to the ministry’s simplification of export procedure and the commodity’s improved standards.
“Our cashew nuts have a good taste and quality, so we’ve received increased demand from foreign countries,” Samban said.
He said he expects cashew nut prices to fall to around 5,000 or 6,000 riel ($1.23 or $1.48) per kilogramme in the early harvest season this year. “Cashew nut yield will increase this year due to an increase in cultivation.”
Oddly, news on Vietnam - the world leader in cashew growing and exporting - but from the Phnom Penh Post (Dec. 24):
'Vietnam's cashew sector aims to earn US$4 billion in export turnover next year.
According to the Vietnam Cashew Association (Vinacas), the sector will focus on deep processing, improving quality and diversifying products towards realising the goal.
This year, the sector imported over 1.5 million tonnes of raw materials, mostly from Africa, to meet its processing and production demand.
Mergers and acquisitions have also taken place this year with more and more large-scale enterprises operating in the industry, the association said.
By the end of November, Vietnamese businesses had shipped more than 418,000 tonnes of cashew abroad for almost $3 billion, while this year’s targets are 450,000 tonnes and $3.5 billion'.
Then the Phnom Penh Post (Jan. 6) on pepper growing:
'Pepper exports more than doubled last year despite Kampot pepper exports having dropped more than 27 per cent year-on-year, the Ministry of Agriculture, Forestry and Fisheries said.
Total pepper exports reached 3,693.25 tonnes last year – up 53.17 per cent from 2,411.20 tonnes over the same period in 2018, the ministry’s data showed.
Meanwhile, Kampot pepper exports fell from 69 to 50 tonnes over the same period, the Kampot Pepper Promotion Association (KPPA) said.
KPPA president Nguon Lay said farmers harvested 125 tonnes of Kampot pepper last year but were only able to export less than half of that due to “the lack of new export markets”
Noteworthy, Kampot pepper also gets reported on by the BBC (Jan. 16).

Finally in other news, Monsanto related. Reuters (Jan. 17):
'Bayer could be close to settling more than 75,000 cancer claims related to its Roundup herbicide, with mediator Ken Feinberg on Friday saying he was “cautiously optimistic that a settlement will ultimately be reached.”
Feinberg said the settlement negotiations were complex and difficult. Asked about a timeline, he said it would be “premature to state that a settlement is near or will be reached.
”Feinberg declined to discuss terms of the possible settlement, but told Reuters the group of plaintiffs’ lawyers involved in the negotiations had been expanded, suggesting a potential wide-ranging settlement'.

Friday, October 18, 2019

In line


Starting off with news on Thai struggles with noxious agro-chemicals. 
The Bangkok Post (Oct. 3) to the kick-off:
'Rifts within the Agriculture and Cooperatives Ministry over a proposed ban on three toxic farm herbicides are deepening amid claims the minister urged his staff to restrict the use of paraquat, glyphosate and chlorpyrifos, instead of banning them completely'.
So no ban, but restrictions. The pressure on the Ag Ministry though continues. The Bangkok Post (Oct. 7):
'Representatives of the government, farmers and consumers have unanimously voted to ban the use of three toxic farming chemicals in December in a decision that could end the months-long controversial issue.
Deputy Agriculture and Agricultural Cooperatives Minister Mananya Thaiset said on Monday the working group comprising the three groups voted 9-0 in favour of the ban on three chemicals — paraquat, glyphosate and chlorpyrifos — starting Dec 1 at a meeting at the ministry.
From that date, it will be illegal to have, sell, import or produce the substances'.
Bangkok Post (Oct. 12) notes more pressure:
'Ministers attached to the Bhumjaithai Party will quit their jobs if they fail to convince the authorities to ban three pesticides that have been used for farming despite their high toxicity, party leader and Deputy Prime Minister Anutin Charnvirakul said on Saturday.
Mr Anutin, who is also Public Health Minister, said that he and his colleague, Deputy Agriculture Minister Mananya Thaiset, are ready to show their spirit by tendering their resignations if the proposed ban is shot down by the National Hazardous Substances Committee (NHSC).
“We need to go because the failure means we have no power to rule,” Mr Anutin said.
Mr Anutin and Ms Mananya have spearheaded the campaign to ban the use of paraquat, glyphosate and chlorpyrifos, which are harmful to the environment and health'.
Meanwhile over in Laos, concern on pesticides has also been voiced, though the approach seems different.  The Vientiane Times (Oct. 17):
'The Ministry of Agriculture and Forestry has issued a new regulation that enables authorities to check the quality and safety of pesticides before they are used on crops in Laos.
...
The minister’s decision to issue the pesticide regulation came amid growing concerns over the safety level of pesticides, which are imported for use in agriculture. 
In the middle of this year, the government came under strong pressure, especially from the National Assembly, which demanded that the government stop the import of dangerous pesticides and chemicals and ensured that such products were of good quality before being used by crop growers in Laos.
In response to pressure from law makers and the public, the government announced it was suspending the cultivation of some cash crops after learning that the pesticides used in these areas had a harmful effect on farmers and local residents.
Observers believe that this regulation, which requires the producers and importers of pesticides to register their products, will enable the authorities to carry out checks on the quality and safety of pesticides used in Laos. The move is in line with the government’s policy to promote clean and sustainable agricultural practices'.
So despite all indications that a ban is required, the Lao authorities also prefer restrictions.
 
Lost
Cambodia's rice news revolves around statistics. 
For instance recapping the rice trade figures (Phnom Penh Post, Sep. 25):
'Cambodian rice exports to international markets were worth more than $265 million in the first eight months of the year, said Cambodia Rice Federation (CRF) secretary-general Lun Yeng.
Yeng told The Post on Wednesday that the Kingdom exported more than 340,000 tonnes of rice during the period. Rice exports last year, he said, reached more than 620,000 tonnes or more than $473 million'.
The outlook as always seems bright. The Phnom Penh Post (Oct. 14):
'After three consecutive quarters of decline, Cambodia’s rice exports to the European market are expected to grow in the fourth quarter following a Cambodia Rice Federation (CRF) working group’s visit to the EU to promote the produce, CRF president Song Saran said.
The exports dropped sharply in the first nine months after the EU imposed tariffs on the Kingdom’s rice at the beginning of this year.
Saran led the working group to several European countries to meet with various parties and look into issues related to Cambodian rice.
Following the EU’s import duty on Cambodian rice, price competition with other countries led to a decline in exports to Europe, he said.
...
A CRF report shows that the Kingdom’s rice exports reached 398,586 tonnes in the first nine months of this year – up 2.3 per cent from the same period last year, or 389,264 tonnes.
Rice shipments to the Chinese market stood at 157,793 tonnes during the period. This was up more than 44 per cent year-on-year. But exports to Europe fell to 135,471 tonnes, or down nearly 30 per cent.
The rest was exported to Asean markets, said the report'.
However despite the upbeat, the market in Europe for Cambodia rice imports (and Cambodian imports in general) is (as known) clouded by the Everything-but-arms-trade concessions that were revoked.  The Bangkok Post (Sep. 30):
'A World Bank report estimates [for Cambodia] lost export revenue of $654 million -- $510 million for garments and footwear and $144 million for milled rice -- if the European Commission (EC) ends the EBA privileges, which have been in place for 18 years.
...
Meanwhile rice traders are trying to direct the local market. The Phnom Penh Post (Sep 25):
'The Cambodia Rice Federation (CRF) has called on farmers to delay their paddy sales until after the Pchum Ben festival to avoid a drop in prices.
CRF secretary-general Lun Yeng said on Wednesday that more than 80 per cent of rice millers had postponed purchases of paddy since earlier this week, which has allowed brokers to buy it at prices lower than the market rate.
“If their paddy is not [at risk of being] affected by floods or destroyed by insects, farmers should not rush to harvest. Good paddy should not be priced below 1,150-1,200 riel [$0.28-$0.29] per kilogramme,” he said.
Narum, a rice farmer in Kratie province, said prices in the province were not as high as they were last year. This time last year, he could sell paddy for between 900 and 1,000 riel per kilogramme, but must now settle for between 700 and 800 riel'.
Polished
Over in Thailand, the Bangkok Post (Sep. 15) reports on the Thai rice price pay-off system:
'The rice price guarantee scheme will begin next month with farmers set to be paid the difference when the price falls below a predetermined benchmark, Deputy Prime Minister and Commerce Minister Jurin Laksanawisit said'.
And then in more detail. Bangkok Post (Oct. 16):
'The rice price guarantee scheme started on Tuesday, with eligible farmers set to receive the difference when market prices fall below the predetermined benchmark.
Commerce Minister Jurin Laksanawisit said the state-owned Bank for Agriculture and Agricultural Cooperatives (BAAC) transferred 9.4 billion baht in compensation directly to the accounts of 349,000 registered farmers.
The compensation will be paid mainly to growers of white rice paddy and fragrant Pathum Thani rice paddy if the market prices stay below a certain level.
Mr Jurin said the government is scheduled to pay the compensation every 15 days until the end of the harvest season'.
Vietnam has also been doing the numbers.  Vietnamnet (Oct. 8):
'According to Tran Thanh Hai, deputy director of the Import/Export Department under the Ministry of Industry and Trade (MOIT), Vietnam exported 5.4 million tons of rice in the first eight months of the year, an increase of 0.1 percent over the same period last year, but the export value was $1.96 billion, a decrease of 15 percent.
...
China, which was the biggest rice importer of Vietnam in previous years, has cut purchases. Exports to the market dropped by 65 percent.
In 2018, Vietnam sold rice at $500 per ton on average, but the price decreased in 2019. China, which imported rice in large quantities across border gates in previous years, began restricting imports through this channel in 2018.
Moreover, China has also begun applying the rice import quota scheme. It plans to import 5 million tons of rice this year, but in fact, it has imported 3.3 million only'.
Rice news from Laos.  Vientiane Times (16 Sep.):
'Many agricultural promotion companies in Laos have limited their rice exports because of the supply shortage in the domestic market despite high demand from overseas.
High rice prices and the impact of flooding within the country this season are the main reasons why farmers are storing rice for their own consumption, according to the industry and commerce sector.
Laos recently exported only 1,350 tonnes of polished rice to China as part of a 50,000-tonne export quota agreement between the Lao government and China National Cereals, Oils and Foodstuffs Corporation (COFCO)'.
So there's a shortage in the local market as there's also a need to export to China. Then the Vientiane Times (Sep. 27) reports on government measures to cool the market:
'The government has approved the sale of 2,000 tonnes of stockpiled rice to bring down the high market price after a shortage of supply meant the price of rice rose by over 20 percent above normal.
The move is aimed at cutting costs for consumers and easing the hardship of people on low and medium level incomes.
The Vientiane Industry and Commerce Department has directed the Khamphaengphet Chaengsavang Agriculture Promotion Co., Ltd. to sell the 2,000 tonnes of rice after the government and the company signed a contract to that effect.
Polished Grade B sticky rice is on sale at five locations in Vientiane for 6,500 kip per kg, from September 23-30. This price is 2,000 kip per kg less than the current market price. 
...
The government regularly stockpiles rice and has supplies available every year which can be put on sale when the market price of the staple becomes unacceptably high. This year, the price of polished sticky rice rose to an abnormally high level after a prolonged dry season followed by widespread flooding, meaning that rice yields were below the set target.
From January to June, the price of rice in Vientiane, mainly paddy sticky rice, rose by 3,425-3,500 kip per kg and the price of polished Grade B sticky rice by 6,335-7,000 kip per kg, according to the Vientiane Industry and Commerce Department.
From the end of June to September, the price of rice increased further to about 4,350 kip per kg for paddy sticky rice in the second week of September. Compared to June this was an increase of 1,500 kip or 24.28 percent, the Director of the Vientiane Industry and Commerce Department Director, Mr Berlin Phetchantharath, told the media.
The release of stockpiled rice is authorised by the Decree on the Management of Goods Price and Services No. 474/PM, dated November 18, 2010. The decree followed the appointment of a steering committee on the management of goods price and services in Vientiane'.
Tightlip
As an intermezzo, a feature from Nepal's Kathmandu Post (Oct. 13) on hybrid rice:
'There is a reason why Thakur is upbeat. This year, he is expecting to produce 9 tonnes of paddy on a hectare of land — three times the national average paddy productivity rate.
All this is because Thakur cultivated two high yielding hybrid varieties— Arize 6444 Gold and Arize Idea hybrids. He owns 1.7 hectares (2.5 bigas) of land. As the ripening period of these varieties is 125 days, Thakur is expecting to harvest his crop towards the end of October. The early ripening time has also given him ample time to prepare for a mustard farm in the next cropping cycle.
...
Thakur is expecting to at least double his income this year. “People, mostly my neighbors, had called me crazy when I decided to go for a hybrid variety,” remembers Thakur. “They are all tightlipped now.”
In Nepal, most farmers do not use hybrid paddy because they cannot produce the seed and have to buy them every year from the market.
But Thakur decided to take the risk. His hybrid journey began after he got a handful of hybrid paddy seeds from Nepal Krishi Company, Buddha Air’s corporate social responsibility initiative that works on farm mechanisation and commercialisation.
Thakur is a bit worried as well. “Since it’s a new variety, I don’t know what rate I will get for my produce. I don’t know if consumers will prefer eating these varieties.”
...
Farmers in the area say that hybrid varieties have many advantages but there are disadvantages as well. “We have to buy the hybrid varieties every year from the market as it cannot be reproduced,” she Khanal. “We are worried that it may make us dependent on seeds. “It’s expensive as well.”
The price for Arize 6444 seeds per kilo is Rs600 while Ranjit costs Rs70 per kg.
...
Nepal Krishi Company and Bayer BioScience of India had signed a memorandum of understanding last May to begin a pilot project to use two-hybrid paddy seeds this summer which have the potential to double productivity.
The company has piloted these hybrid varieties on 35 bighas of land. Out of the total land, these varieties have been cultivated with the latest technology and tools on a demonstration plot of 20 bighas owned by Birendra Bahadur Basnet, managing director of Buddha Air, who is also a board member of Nepal Krishi Company. The remaining 15 bigas are owned by the local farmers.
“By October end, we will see the result—the actual cost of production and productivity—of the hybrid varieties,” Basnet says. “The Krishi company’s objective is not only to produce paddy but we want to establish the fact that paddy farming can be done commercially.”
As always, it's about economics. It's also strange that a company uses a social initiative to push hybrid rice with a multinational company which only has one interest.

Dispersed
The Khmer Times (Oct. 7) reports on investment on Cambodian agriculture:
'Green Leader Holding Group Limited, a Hong Kong-listed firm, announced last week that it is increasing investment in the local market by building a new mango processing plant in Tboung Khmum province.
...
In May, Green Leader opened a $20-million cassava-processing factory in Kratie’s Snuol district
The company said the facility can process up to 130,000 tonnes of starch a year, absorbing 500,000 tonnes of raw cassava'.
More mango news. Khmer Times (Oct. 4):
'Cambodian mangoes are ready for export to the South Korea market with the first shipment officially kicking off in early November, Hyundai Agro, the Korean exporter, said.
...
Although the company got permission from the government, Chang Hoon Lee noted that there is another obstacle when it comes to competition with Vietnam, Thailand, Peru, and the Philippines.
Vietnam and Thailand have an air cargo connection with South Korea and enjoy a very low cost of transportation. Every day, Thailand sends more than 100 tonnes of mangoes to Korea and they are dispersed everywhere in one day, while Vietnam’s duties for mango exports are lower than for Cambodia because of the free trade agreement area, Mr Lee pointed out.
...
He noted that there are no cargo airplanes between Korea and Cambodia so the company is figuring out how to send 10 to 15 tonnes of mango by ship'.
Khmer Times (Oct. 2) looks at the evolving trade issues concerning Kampot's pepper:
'A lack of demand is driving a large number of Kampot pepper farmers to quit the crop, the Kampot Pepper Promotion Association said yesterday.
Many farmers are finding it difficult to sell their harvests, according to KPPA president Ngoun Lay. He estimates that 20 to 25 percent of small-scale farmers (those farming less than 3,000 square meters of land) have abandoned the crop after this year’s harvest season, which recently finished.
Mr Lay said an oversupply of the crop is causing farmers in Kampot and Kep provinces to switch to other crops like mango.
...
“For example, before a buyer would order 10 to 20 tonnes of pepper, but now they only need from 2 to 10 tonnes because they are also growing the pepper themselves. This is hurting farmers,” he said.
He noted that the crop is now grown in 290 hectares of land in both provinces by 445 farmers. Combined, those farmers produce a total of 100 tonnes a year on average, but buyers are demanding only about 70 tonnes a year.
A kilogram of Kampot black pepper fetches $15, while red pepper and white pepper sell for $25 and $28 per kilogram, respectively. However, some farmers have had to sell their black pepper for $13 a kilogram, red pepper for $22 and white pepper for $26, Mr Lay noted.
...
Low-quality pepper used to fetch $10 per kilogram, but now, due to oversupply, some farmers are selling it to Vietnamese merchants for as low as $2 per kilogram'.
Rubber. The Phnom Penh Post (Oct. 14):
'Cambodia exported $231 million worth of rubber in the first nine months of this year, a year-on-year increase of nearly 22 per cent from $190 million last year, a Ministry of Agriculture, Forestry and Fisheries official said on Monday.
Khuon Phalla, director of the Department of Administration and Legislation under the ministry’s General Directorate of Rubber, told The Post on Monday that Cambodia’s rubber exports during the period reached 173,072 tonnes, a year-on-year increase of 23.35 per cent from 140,303 tonnes.
...
However, Sopheak Nika Investment Agro-Industrial Plants Co Ltd director Men Sopheak said the rubber market during this period was not as strong as last year.
The current rise in rubber exports is merely due to an increase in the number of mature rubber trees, he said, which produce a larger harvest from year to year'.
Some news on evolving land issues. Taking a French company to a higher level. The Phnom Penh Post (Oct. 1):
'The group, from seven villages in Pech Chreada district’s Bou Sra commune, filed a lawsuit at a French court last year to claim damages and demand compensation from Bollore, a firm that funded Socfin-KCD.
They said they were under threat of losing their land, traditions and customs since the arrival of Socfin-KCD, which had received loans from Bollore to operate a rubber plantation in Mondulkiri since 2008.
...
He said some 800 families, mostly Bunong indigenous members, have been severely affected by the project after Socfin-KCD obtained investment rights to plant rubber trees and other cash crops on 2,368ha on a 70-year contract.
Of the more than 800 families, he added, 640 are directly involved in the land dispute. They turned to the French court after the provincial authorities claimed the dispute had been solved'.
Control
Couple of snippets from the region. 
Oddly, the Phnom Penh Post (Oct. 1) reports on sugar concerns:
'The Thai sugar industry has been hit by the twin crises of falling exports and sliding prices, industry experts have said.
The most imminent threat to the industry is the falling price of sugar in the global market, which has currently dropped by $0.22-$0.24 per kilogramme, the lowest price in six years'.
Then the focus shifts towards Vietnam. The Phnom Penh Post (Oct. 10):
'Vietnam is in the process of getting a licence to export avocado to the US, according to the Vietnam Trade Office in the US.
The Vietnam Trade Office’s branch in the US’ San Francisco said avocados are mainly sold at big supermarkets with large volumes, so they must meet the high requirements of the US market.
Avocado distribution companies must be responsible for controlling the stages of a supply chain, from production to distribution, while exporters need to have sufficient quality certificates.
To enter the US market, avocados must meet the minimum requirements of the regulations on maturity, colour and weight. Avocados must be intact, clean and without insects.
...
In Vietnam, avocado trees are now grown in many provinces and cities, but concentrated in the Central Highlands region with a total area of 8,000ha.
Dak Lak province – which borders Mondulkiri province’s northern Koh Nhek district in Cambodia – is the largest producer in Vietnam with a total area of more than 4,300ha.
Following are Dak Nong province – across the border from Mondulkiri’s southeastern O’Raing district – with an area of nearly 2,600ha, Lam Dong province and Gia Lai province – which borders Cambodia’s Andong Meas and O’Yadav districts in Ratanakkiri province'.

Tuesday, September 5, 2017

Why

Politics determine the lead of this months blog on rice in Cambodia and the larger area. But not necessarily in the same way.

In Thailand, the junta has placed itself above the law and used the courts to criminalize the democratic opposition. Using a flimsy accusation such as a rice policy gone wrong (with no personal gain made) it has failed to recognize that time is always at an advantage to people power: if change is not to come today then there's always a tomorrow. Oppression will never sustain.

Meanwhile the most vocal English voice based in Cambodia to see the shortcomings of the increasingly undemocratic Hun Sen regime, the Cambodia Daily, has been forced to close shop. 
An example of their typical reporting (Cambodia Daily, Aug.  31):
'The Land Management Ministry on Wednesday announced a plan to resolve a yearslong land dispute between thousands of villagers and well-connected sugar barons by early next month, though not all affected communities were included.
The long-running dispute centers on the owners of sugar plantations, including CPP Senator Ly Yong Phat, whom villagers have accused of overseeing violent evictions and land grabs. The E.U., an importer of Cambodian sugar, started work on a comprehensive compensation plan for the families more than three years ago.
...
Eang Vuthy, the head of Equitable Cambodia, who works with communities evicted by sugar plantations, said on Wednesday he had questions about the plan’s narrow scope.
Mr. Vuthy noted there were affected villagers in other provinces—including hundreds in Oddar Meanchey province,
...
Contacted about why those four districts were singled out, Mr. Laut, the ministry spokesman, said those were the only communities affected by evictions from sugar plantations.
About 40 ethnic Kuoy villagers who were affected by a sugar plantation in Preah Vihear province submitted a petition to the Chinese Embassy on Wednesday. The villagers asked the ambassador to request the Cambodian government cancel economic land concessions granted to Lan Feng and Rui Feng, as well as three other related sugar plantations, which stretch over 20,000 hectares and include more than $1 billion in investment.
More on agriculture and eviction by the Cambodia Daily. All in the name of development it seems, though me thinks it's transferring no-ones rights to a business person with a couple of free loaders profiteering along the way. The Cambodia Daily (Aug 29):
'More than 400 families have been ordered to remove their homes built next to a rubber plantation on land in Kratie province given to Hun Mana, the daughter of Prime Minister Hun Sen, or see them forcibly torn down without compensation.
...
The government granted 9,855 hectares of an economic land concession to Ms. Mana in 2008, including 700 hectares which has been cultivated into the rubber plantation, said commune chief Bun Nhal.
...
Meth Thy, 44, who moved onto the land in 2007 and farms on a 12-by-200 m plot, said he has no intention of leaving. “I will not move from the land because my family has stayed here for more than 10 years,” he said'.
If you can't ask these types of questions, the future for the kingdom seems bleak.

Discovery
Big news on the rice export news front. The Phnom Penh Post (Aug. 10):
'The Kingdom’s apex rice industry body has been meeting this week to discuss ways of nailing down a potentially massive deal with Bangladesh, which earlier this month inked a memorandum of understanding to purchase 1 million tonnes of Cambodian rice over the next five years'.
It gets complicated, as Bangladesh notes that the deal is done, though Cambodian exporters are still to determine what the costs are of exporting to Bangladesh. The Phnom Penh Post (Aug. 25):
'Cambodian officials and members from the private sector have refuted international media reports that claim the price for rice exports to Bangladesh will be set at $453 a tonne as part of a government-to-government deal that hopes to see 250,000 tonnes of white rice exported to Bangladesh by October.
A report released yesterday by Reuters cited two Bangladeshi officials from the Food Ministry as having set the price at $453 per tonne, adding that the purchase agreement was still waiting Cambodian government approval. Cambodia has been negotiating with Bangladesh on prices for a potentially massive deal after inking a memorandum of understanding earlier this month that could see 1 million tonnes of rice sent to the South Asian country over the next five years'.
More export news though not registering high in the Khmer news. UkrAgroConsult (Aug. 9):
'At the stage of inspection of containers on the bags of cereal was discovered dead insects – pests of grain stocks
Inspectors of Rosselkhoznadzor detained 4 of the container with rice grains "Jasmine" with a total weight of 100 tons, arrived from Cambodia, according to the website of the Supervisory authority. The reason for the import was the discovery of dead insects – pests of grain stocks'.
Policy news. The Phnom Penh Post (Aug. 15):
'The government announced yesterday that it would “intervene” to support the price that farmers receive for their paddy rice, though without instituting a price floor or direct subsidies that would jeopardise a free market.
Vongsey Vissoth, secretary of state at the Ministry of Economy and Finance (MEF), told representatives of the private sector and agricultural cooperatives that the government would take action to prop up the price that local rice farmers receive for their harvest. 
...
As part of a new initiative, the government will act as an intermediary in negotiating rice prices and will facilitate transport to help farmers lower their logistics costs.
“Provincial governors and authorities will actively intervene in the market failure,” he said. “Authorities will be responsible for keeping tabs on price-makers to ensure that the price they offer is fair to farmers, and also to provide assistance in transportation, building new infrastructure and preventing unofficial fees from being charged on transport.”
Vissoth said provincial authorities could dip into the provincial budget to provide these facilities to farmers, and should also provide free transport to help farmers get their rice paddy to local buyers or markets.
“This is a short-term intervention in order to stabilise prices for farmers,” he said. “The policy will put pressure on price-makers to raise the prices they offer farmers.”
Pumping
Earlier the Phnom Penh Post (Aug. 8) reported on more initiatives designed to strengthen the local market:
'The government is pumping more money into its emergency rice loan fund ahead of next month’s rice harvest, raising the fund’s total capital to $50 million despite millers showing little inclination to borrow from it last season.
Kao Thach, CEO of the state-owned Rural Development Bank (RDB), said yesterday that the government had officially signed off on an additional $23 million for the fund, which he said should be sufficient to prop up the struggling rice sector.
“The government recently approved another $23 million to help the rice industry, and the new budget will be used to support millers who have insufficient funds,” he said yesterday.
The government launched the fund with $27 million last September in response to private-sector demands for support following two consecutive years of drought and falling rice prices that threatened to collapse the local industry. 
...
Regardless of the additional financing, Tang Chhong Ngy, marketing manager of rice miller LBN Angkor (Kampuchea), said rice millers still had the same concerns over meeting the RDB’s collateral requirements.
“The loan is necessary for rice millers, but the collateral is not in line with reality, which is why many have not been able to access the funding,” he said. “The criteria for applying loans can work only for big rice millers and exporters, not for small shareholders.”
The crux of the problem, he added, was that “the loan is meant to help the rice sector, but it does not realise the reality and complexity of the industry”.
Sideline news. The Phnom Penh Post (Aug. 21):
'The Rural Development Bank (RDB) is seeking proposals from registered Cambodian agricultural firms to develop rice storage warehouses and rice-drying facilities in Kampong Thom, Prey Veng and Takeo provinces, each with the capacity to store 50,000 tonnes of paddy rice and dry approximately 1,500 tonnes of rice daily'.
Unchanged
Thailand and the region at large fail to come up with little news than these new rice data from Thailand (Bangkok Post, Aug. 22):
'Around 1 million rai of rice plantation in the Northeast was destroyed by the recent flood, but it is unlikely to have any severe effect on Thai rice production and export, with shippers and industry officials keeping rice export forecasts unchanged at 10 million tonnes. Flooding is expected to support Thai rice prices continuing to rise as global demand remains strong. The Agriculture Ministry said that although rice plantation was hit by the flood, the annual production forecast remained unchanged at 28-30 million tonnes of paddy, or around 18 million tonnes of milled rice. This amount is sufficient for domestic consumption and abundant exports, the agency said.
...
"The flooding would affect the production of glutinous rice, grown mostly in northeastern areas, but it would not hurt rice exports," Mr Chookiat [honorary president of the Thai Rice Exporters Association]. Glutinous rice makes up 10-20% of total Thai rice production'.
And the agriculture by decree in Lao. Vientiane times (Aug. 29):
'Vientiane is planning to reduce labour intensive rice cultivation with the number of labourers working on rice farms to be cut in half by 2020.
The capital's five-year plan began last year accompanying the Party's modernisation efforts around the country with increased mechanisation in agriculture including the use of rice planters and harvesters.
...
The Department Director Assoc Prof. Dr Linkham Douangsavanh said "The practice began on a 400 hectare rice farm in Hadxaifong district, and rice planters and combine harvesters are now used on more than 1,500 hectares of rice farms in the district and Xaysettha district".
According to him, labour intensive rice farming resulted in 850,000 kip profit per hectare, while a fully mechanised rice farm provided around 2,500,000 kip profit per hectare.
"The use of machinery can save time while providing additional jobs for the industrial and service sectors," Assoc Prof. Dr Linkham said.
Without use of machinery, 10 to 15 people were required to work one hectare, while only 2 or three people were needed when working with machinery, he added.
The department is expanding the use of rice planters and combine harvesters in Xaythany and Naxaithong districts.
Modernisation of the agricultural sector is included in the capital's five-year socio-economic plan with the reduction of intensive labour rice farming reaching 9.2 percent last year, the first year of the plan's implementation.
The capital is targeting to reduce around 2,700 workers in rice farming this year, with the total reduction to reach 13,500 at the end of the five years (2016-2020).
The Department of Labour and Social Welfare will be engaged to arrange training and allocate new jobs for the workers in the industrial and service sectors'.
Decimated
There's quite a bit of wider agro news. The Phnom Penh Post (Aug. 4) reports on the banana business:
'Hoang Anh Gia Lai (HAGL), which last month became the first company to officially export bananas from Cambodia, has secured more orders for the fruit and will ship another 100 tonnes of bananas from its plantations in Ratanakkiri province today, a company representative said.
The order will be transported overland to port facilities in Vietnam and then loaded onto a container ship bound for its buyer in China, according to Thach Quanh Tha, director of administration for HAGL.
..
The company delivered its first 100-tonne shipment of bananas to China late last month. Thach said bananas grow year-round and he expects to export similar-sized shipments on a weekly basis.
HAGL’s rubber and oil palm plantations sprawl over thousands of hectares of economic land concessions in northeastern Cambodia. The company has faced repeated allegations of land grabbing from indigenous communities and accusations of decimating ancient forests.
...
Hean Vanhan, undersecretary at the Ministry of Agriculture, confirmed that HAGL was the first company to officially export Cambodian bananas to international markets. However, he said the shipment was routed through Vietnam, and hinted that it might have been mislabeled as originating in that country.
He said the government was seeking direct access to China, but faced restrictions due to Beijing’s sanitary and phytosanitary requirements for food hygiene and safety'.
In contrast, the banana export from Laos to China has gone down. Vientiane Times (Aug. 25):
'The export value of bananas in the first six months (Q1 and Q2) of this year decreased compared to the same period last year and is expected to decline further.
The drop in exports comes after the government called a halt to the establishment of large scale banana plantations in a bid to prevent environmental impacts, with local authorities also taking stricter action against banana farms. Laos earned almost US$125 million from banana exports in Q1 and Q2 this year, while last year's figure for the same period was over US$137.5 million, according to the Ministry of Industry and Commerce.
...
Following the government's new controls, many companies have now abandoned their plantations and destroyed their banana trees, while some are waiting until the end of their contract with farmers.
...
Although the economic benefits of banana production are substantial, they are unevenly distributed according to preliminary research findings undertaken by NAFRI in 2016 on the commercial production of bananas.
Banana plantations are a good strategy in theory and have the potential to generate income for people in rural areas, but if not properly controlled they can adversely affect farmers' health and soil quality. Commercial production in Laos is generally carried out under the 2+3 model with agreements drawn up between farmers and the investor.
The agreement specifies that farmers contribute their labour and land, while the investor provides seeds and a market for the crop, as well as advising on production techniques'.
Earlier, the Vientiane Times (Aug. 5) explained how it should haven been done:
'Banana plantations in Laos can attract further investment if companies use a feasibility study to propose to the government for consideration.
The proposal should report the target of land concession, the kinds of banana to plant and the rate of fertilizer and chemical to use as well as herbicides and pesticides, Deputy Minister of Agriculture and Forestry, Dr Bounkhouang Khambounheuang commended.
The land concession should not be in rice fields or irrigation systems and the system of planting the fruit should follow the clean agriculture method as per government policy, he advised. 
he government has ordered a stop to banana plantation expansion projects in northern provinces found to have caused negative impacts on environment and local communities.
Importantly, the companies had not proposed the project to the government, and only signed the contract on land concession direct with local farmers. 
This impacts the quality of rice field soil by using large amounts of chemicals and many farmers got sick and ill by working on the project.
The issue is a major impact in food security affecting rice field numbers in Laos.
Many companies have stopped banana farming and destroyed their farmed banana trees because some of them failed to comply with requirements stated in the signed agreements as they have breached regulations on the import and employment of labour, imported and used controlled chemical substance, had poor environment protection planning as they have littered plastic bags, foams, causing air and water pollution.
All these have caused impacts on the livelihood of nearby communities and consequently attract criticism from local people according to the provincial authorities.
Some are waiting until the end of the contract between companies and farmers before harvesting their crops'.
Plotting
Away from banana business, there's another informative Cambodia Daily article (Aug. 25), this time on local grapes:
'Amid fields of rice in Battambang province, one family branched out into grapes, creating Cambodia’s first bottles of locally-produced wine. Now they have their sights set on conquering the juice market.
...
The couple produce about 10,000 bottles of wine annually, with each of the two batches taking six months to prepare, according to Mr. Thai Chheoung. It’s sold only onsite at a cost of $15 or $25, depending on a bottle’s age.
The couple are not the only Cambodians to challenge the status quo of fruit agriculture—although it is a rarity. Strawberries have also recently made an appearance.
In Pursat province, Ouch Sambo and his Spanish business partner began planting strawberries imported from the European country earlier this year, battling with a climate unfavorable to the fruit’s growth—which their first plot did not outlast—as well as international imports'.
From grapes (and strawberries) to pepper. More problems though with marketing. Phnom Penh Post (Aug. 17):
'The traditional supply chain dynamics for the renowned Kampot pepper are breaking down due to a market boom that has brought large-scale investment into pepper cultivation, while sidelining the small shareholders that rely on the benefits of being part of the association that represents them.
Ngoun Lay, president of the Kampot Pepper Promotion Association (KPPA), said that while the annual harvest is typically over by August with the product packaged and sold, about 30 tonnes of peppercorns remain stockpiled due to the increase in production. The increased harvest has put pressure on the association as larger producers have taken priority over their own orders. 
...
Lay explained that because Kampot pepper has the World Trade Organization’s coveted Geographical Indication status, a growing number of companies within KPPA have taken advantage of its reputation by breaking away from the association’s norms by investing in their own packaging lines.
“We have never been concerned with local packagers before,” he said. “Now we realise this is our point of weakness, and we have to look for new partners for packaging and exporting our products.” 
...
He [Hym Piseth, production director for local specialty food producer Confirel Co Ltd] added that even if KPPA members find new export and packaging partners, it would not disrupt the company’s existing production chain. Instead, he said that KPPA was to blame for continuously allowing new members to join without securing its own supply chain'. 
Better news for vegetable growers. The Phnom Penh Post (Sep. 1):
'East-West Seed Group, one of the world’s largest vegetable seed companies, has stepped up its presence in Cambodia by officially launching a local branch and taking over distribution operations in the Kingdom to better address local market conditions, a company representative said yesterday.
...
Rithea [Heng Rithea, country representative of East-West Seed (EWS)] explained that Cambodia’s agricultural industry faces numerous challenges, including a hot, humid climate subject to heavy rains and extreme weather conditions.
“This kind of environment results in high pest and disease pressure,” he said. “Farmers also lack access to technology, basic infrastructure like farm-to-market roads, irrigation and post-harvest facilities and lack of access to credit and finance.”
He said another challenge here was the amount of unregistered seeds that flow into the country from different channels and which, while sold at very competitive prices, are of dubious quality.
“Some farmers who used those seeds without any information or warranty wasted lots of time, money and labour as the seeds did not germinate or provided low yields,” he said'.
More good news, though for less farmers. The Phnom Penh Post (Aug. 24):
'An international certification body has granted its first European Union organic certificate to Cambodian fruits and vegetables, clearing a hurdle for their export to the EU market, German development agency GIZ announced yesterday.
Ten Ra, technical adviser for trade facilitation and standards at GIZ, said that the Khmer Organic Cooperative, a collective of smallholder farmers, was granted the organic certification earlier this month. He added that this recognition would help locally grown organic produce to reach international markets'.
Just to sum up these niches, here's a thought from Lao. The Vientiane Times (Aug. 19):
'After investing a great deal of money to develop their site, Phutawen Farm has reaped a healthy harvest of local and foreign tourists, Socio-Economic newspaper reported this week.
The farm located in Thaphabath district of Borikhamxay province received a lot of interest from visitors for its first official season from January 15 to February 15 this year with about 200,000 people coming through the front gate, far exceeding the owners' expectations, the newspaper reported citing Director of the farm, Ms Dalouny Duangpaseuth.
Based on their initial success Ms Dalouny expected the farm's second season from November this year to March next year to reach an amazing 1 million visitors'.
Mass
Niche markets beyond,  how commodities fare. Cambodia and rubber. The Cambodia Daily (Aug 23):
'Citing a big boost from Cambodia’s vast rubber tree plantations, Prime Minister Hun Sen on Tuesday said the country’s forest cover had been increasing, before blasting an NGO critical of the country’s illegal logging trade.
Mr. Hun Sen boasted of Cambodia having more rubber tree plantations than Vietnam, saying that the trees would become part of the total forest cover, despite the rubber forests belonging to production factories.
“Our forest cover is now 49 percent, and as other protected areas are included in the future, our forest cover will be vast,” he said during a national forum on protection and conservation of natural resources in Phnom Penh on Tuesday'.
An expansive article highlights the Thai choice to expand rubber growing and what this entails looking onward. The Bangkok Post (Aug. 27):
'Thailand is the world's largest rubber producer, with 4.47 million tonnes of it having been produced in 2015 alone. The country is responsible for one-third of the world's total output. Much of the industry's growth has happened over the last decade. The environment has felt the adverse effects of development, but rubber has also given farmers opportunities to invest in plantation land.
...
Between January and February 2015, rubber prices plummeted to the lowest figure in the past 13 years -- 36.95 baht per kilogram of natural rubber sheets. By contrast, the highest rate recorded was 174.44 
 baht per kilo in February 2011. Prices have failed to recover since. As of this month, prices remain between 50 to 54 baht per kilogram of natural rubber sheets. This might seem optimistic if it weren't for the fact that the cost of living across Thailand is increasing sharply, forcing the debts of rubber farmers to stack up.
The article highlights the various governments attempts at intervening in the domestic market with little effect other than expanding the business of storage'.
Seeking better times. The Bangkok Post (Aug. 16):
'Asia's top rubber producers will meet in Thailand next month, an official at Thailand's rubber authority said on Wednesday, with export curbs to help boost prices likely to be on the agenda.
...
Senior officers from the ITRC and the board of its operational arm, the International Rubber Consortium, met on Aug 3 in Bangkok, according to an ITRC press statement.
They expressed concerns "on the current downward rubber price trend" and discussed measures to improve the price of rubber, the statement said.
Officials expect rubber output from Thailand and Malaysia to decline this year due to low rubber prices and bad weather, including heavy rain and floods in northern Thailand'.
Sugar, another of those crops hoping to line the pockets of ex-rice growers is more and more in the doghouse. The Bangkok Post now reports (Aug. 26):
'Tax rates on drinks with a sugar-based sweetener will be gradually raised every two years of a six-year span to give time for producers to reduce sugar content in soft drinks, says Finance Minister Apisak Tantivorawong'.
Next up, cassave. The Bangkok Post (Aug. 21):
'Thai tapioca exporters have agreed to stop lowering prices to put a lid on the losses incurred by local farmers, industry officials said last week. Members of tapioca export agencies have agreed to work together to stop cutting prices for importers, mostly Chinese, in a bid to halt the domestic price from falling further, said Boonchai Srichaiyongpanich, president of the Thai Tapioca Trade Association.
...
Tapioca currently sells for 1.90 baht per kilogramme. However, some exporters who have bigger factories with lower costs previously sold it for 1.30 baht per kg, to the detriment of many Thai tapioca exporters and farmers.
...
The associations have also requested tighter surveillance along the border to keep tapioca products from being smuggled in from neighbouring countries. Such contraband leads to a boost in supply that pushes prices down'.
And then there's plam oil. The Bangkok Post (Aug. 14):
'A decline in the price of palm oil fruit was not caused by market manipulation but an oversupply, the Commerce Ministry says. Nuntawan Sakuntanaga, chief of the Department of Internal Trade, said officials had investigated the falling price and found that supply outweighs demand.
...
According to Ms Nuntawan, compared with the same period last year, the output of palm fruit from April to June this year has gone up'.
Switch
Finally back to the niches, a Lao report on organics. The Vientiane Times (Aug. 4):
'Lao small-scale farmers can now access Participatory Guarantee Systems (PGS), to help them to increase the supply of quality organic products to the local market.
...
Participatory Guarantee Systems (PGS) are locally focused quality assurance systems that certify producers based on active participation of stakeholders and built on a foundation of trust, social networks and knowledge exchange.
...
The project also helps to assess the country's national legal and regulatory framework and how to adapt to PGS to support for direct marketing through Google maps.
Presently, PGS for organic agriculture has been conducted with smallholder farmer groups in the capital and in provinces of Huaphan, Xieng Khuang, Savannakhet. 
...
Since 2011 Lao Organic Agriculture Group has welcomed farmers to set up booths to sell their organic products at That Luang Esplanade on Wednesday and Saturdays.
The organic market in Vientiane sells on average around 1.8 to 2.0 tonnes of organic fruit and vegetable and related items a month, helping members of the group to support themselves, families and communities.
They have seen larger sales annually, serving to attract more farmers to switch from growing vegetables using chemical fertilisers to organic methods'.