A former president of Thailand Development Research Institute (TDRI) has urged the government to conduct a research and development of rice genus to increase values in the long run.
According to National News Bureau of Thailand, TDRI distinguished fellow Nipon Poapongsakorn said the low rice prices resulted from a profiteering mechanism in the domestic market as many rice millers earlier projected the price of jasmine rice to go up, prompting the storing of jasmine rice and the drop in the rice price incurred a loss to those who may have overstocked the produce.
He said some rice millers which had participated in the previous government's rice subsidy scheme had closed their mills, reducing the volume of rice purchase though the volume of harvested rice has risen this year.
The TDRI academic said the cut in the rice price by the millers was considered a normal market mechanism while the government's aid measures to provide pays for the costs of harvesting and improving the rice could help some two million farmers.
On the long-term basis, the TDRI academic suggested the government should focus on the research and development of the rice genus which will have a higher market value and meet the diversity in market demands.
Source: Thai Public Broadcasting Service (Thai PBS)