The final draft for incentives to help rice farmers switch crops will soon be sent to the NRPMC for approval.

The final draft of incentives to encourage farmers to plant other crops will soon be sent to the National Rice Policy and Management Committee (NRPMC) for approval, a well-informed source from the Commerce Ministry has said.

The source stated that the draft was prepared in line with the resolution of the NRPMC meeting, which was chaired by Finance Minister Pichai Chunhavajira on 26th February.

During the meeting, the NRPMC agreed in principle to pay 1,000 baht per rai to farmers in exchange for not planting off-season rice, as a measure to address falling rice prices.

The source added that Wutthikrai Leeviraphan, Permanent Secretary of the Commerce Ministry, had completed the draft to implement the NRPMC’s resolution and would soon send it to Pichai for approval and signature at the next meeting.

According to the source, farmers would be eligible for the compensation with a limit of no more than 10 rai per household, provided they sign a contract with the Agriculture Ministry to switch from rice cultivation to other economically viable crops.

The source further explained that the contract would be flexible regarding the crops to be planted, depending on the decisions of officials who would inspect the farming areas.

The source mentioned that Commerce Minister Pichai Naripthaphan would like rice farmers to switch to growing bananas for export to Japan, while the finance minister suggested that farmers could turn to shrimp farming, as there is still high demand in the market.

It was also noted that farmers in certain areas might be advised to plant other strains of rice that have higher value and are in strong demand.

Recently, the commerce minister revealed that Thailand’s rice exports in February had shrunk by 34.3%. As of 19th March, the price of rice in Ayutthaya with 15% humidity had fallen to 7,800-8,200 baht per tonne.

Published Date: March 25, 2025