The rice farmers' income guarantee scheme for the main crop of the 2022-23 season is scheduled to go before the cabinet for approval next week.
Speaking after the weekly cabinet meeting, Commerce Minister Jurin Laksanawisit said the Finance Ministry on Tuesday agreed to the proposed budget for the scheme which will run for the fourth year but required responsible agencies to readjust the budget to align with the current price situation.
According to Mr Jurin, the prices of paddy rice, especially for hom mali fragrant rice, have risen higher than the guaranteed prices offered by the scheme, resulting in a slight decrease in government spending on the scheme.
In September, the National Rice Policy and Management Committee approved providing 150 billion baht to support the rice farmers' income guarantee scheme for the main crop of the 2022-23 season.
The scheme will cover 28.5 million rai of rice farmland nationwide and 4.64 million households.
The scheme's criteria are the same as for the previous three years.
The committee also approved parallel supporting measures to ensure rice price stability, including plans to encourage farmers to slow their rice sales in the market by offering a grant of 1,500 baht per rai per tonne to registered farmers, and a 3% interest subsidy for loans to rice farming institutes that agree to slow rice sales.
In addition, a 3% interest subsidy is offered to millers that agree to keep rice stocks during periods of gluts in the market.
The committee agreed to support the cost reduction and rice management scheme for farmers at 1,000 baht per rai, limited to a maximum of 20 rai per household.
Under the income guarantee plan, farmers receive the difference between insured rice prices and benchmark prices that change every two weeks in line with market prices.
The scheme covers five main types of rice: white rice paddy with 15% moisture, hom mali rice paddy, fragrant Pathum Thani rice paddy with 15% moisture, glutinous rice paddy with 15% moisture, and provincial fragrant rice paddy.
Under the scheme, farmers are offered 10,000 baht a tonne for white rice paddy with 15% moisture, limited to 30 tonnes per family or 40 rai.
The guaranteed prices are set at 15,000 baht a tonne for hom mali rice paddy, limited to 14 tonnes per family or 40 rai; 11,000 baht a tonne for fragrant Pathum Thani rice paddy with 15% moisture, for up to 25 tonnes per family or 40 rai; 12,000 baht a tonne for glutinous rice paddy with 15% moisture, with a limit of 16 tonnes or 40 rai; and 14,000 baht a tonne for provincial fragrant rice paddy, with a limit of 16 tonnes per family or 40 rai.
In a separate development, Deputy Finance Minister Santi Prompat said on Tuesday the cabinet approved relief measures for people affected by recent flooding, with compensation of as high as 7,000 baht per flood-affected household.
Under the relief scheme estimated to cost about 7 billion baht worth of government spending, people who were affected by flooding for one month will be entitled to compensation of 5,000 baht per family, while those who were hit for two months will be eligible for a compensation of 6,000 baht per family, and those affected by three months will receive 7,000 baht per family.
"This handout aims to give moral support to people who were hit by natural disasters. This amount is a different portion to be offered later to compensate for damage caused by flooding per family," he said.
