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Meeting between Thai and West African rice growers :

Why is it so hard for farmers
to earn a decent living from their work ?

From November 26th to December 6th I was in Thailand together with rice farmers from Ghana, Mali and Burkina Faso. We had been invited by Thai rice producers, who took part in the World Forum on Food Sovereignty in Mali last February. We were all eager to meet those farmers, the very ones who have submerged West African markets with their rice.

When arriving in Thailand, we had the idea that rice producers are doing well and that they make a decent living from their sales. Therefore, it was quite a shock to learn in the Chai Nat province (about 150 kms from Bangkok) that nearly all of them were indebted. Most of them even had had to sell off land to reimburse loans. At present only 20% of farmers still own their land.

We tried to find out why.

The farmers we met told us that they had become indebted, because in their region there were three harvests per year. Once the first harvest was over, they had to sell a substantial part immediately to earn cash to buy inputs for the new crop, chemical fertiliser and pesticides. But as their assets were not sufficient, they also had to take bank loans. If then, for one reason or another, the harvest turned out to be less than expected, they were unable to pay back.

We expressed our surprise at this, because we had believed that a guaranteed minimum price for paddy rice (rice with its husk) was set each year by the government. The farmers told us that such a price existed, but that it was not satisfactory, for two reasons. First, it was too low, often less than 70 CFA francs/kg, or 11 Eurocents, and secondly it was set too late, after the harvest, when farmers had already sold most of it, in their urgent need for cash, in particular those who brought in three harvests a year! It should be added that the guaranteed price is established in agreement with banks and traders – but not with the farmers!

The following day we headed north, to the Nenkam district, with farmers who grow rice on land with rainfall as the only water supply (therefore only one harvest a year, alternating with sugar cane.

Here as well farmers told us of their debts. Paddy rice sold for a very low price, 5-6 baht per kg (67 - 80 CFA francs). Moreover, they were entirely dependent on the local processing plant for their sales of sugar cane.

In fact, every farmer grows sugar cane on his land and delivers it to the local plant, which dictates the price. One farmer explained that last year he received 800 baht (about 16€) for 100 kg (?) but this year the only offer was 600 baht. The explanation for the price drop was an increase in production, as a result of the announcement of the opening of a new plant for converting sugar cane into fuel. But the plant has still not opened!

During our return, while talking over supper, we exchanged impressions of what we had seen and heard. We came to the conclusion that farmers all over the world are having a difficult life. There is a keen interest in their production, but little willingness to pay a fair price for it. And not just in this day and time. Did not Voltaire (1694-1778) already say Smart policy has the knack of letting those starve to death, who labour the land to feed the others”? Is there a single country in the world which really stands up for its farmers?

We also found that it is necessary to unite to defend our interests better. And to work out alternatives together, not just within a country, but at international level. All along our trip back, our wish to develop stronger links between Thai and West African farmers intensified. This quest for co-operation grew even stronger on the day when we met a farming community, which had abandoned all chemical products (fertiliser, pesticides) to turn to organic farming instead – with remarkable success. This will be the subject of a forthcoming bulletin.

Koudougou, 16th December 2007
Maurice Oudet
Director, SEDELAN
Returning from Thailand


 
 
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