Farmers say rice stocking plan ineffective
Farmers say rice stocking plan ineffective
While the Ministry of Agriculture and Rural Development is drafting a plan on rice purchasing for temporary reserve to boost farmers’ profits, local farmers have cast doubt on the program, saying that the project will not bring about economic efficiency.
Under the draft, the ministry suggests three kinds of rice stocking. As such, farmers can stock rice at their homes or production facilities at a minimum volume of five tons each household, enterprises buy rice directly from farmers, or farmers stock rice at enterprises’ warehouses.
The goal of the program is to keep around one million tons of rice in reserve after harvest, preventing a decline in rice prices in the local market and exports.
However, despite many suggestions from managing agencies, the Department of Crop Production, the Agro-Forestry-Fishery Product Processing and Salt Industry Department, and the Vietnam Food Association, the nation has yet to find out a suitable method that will give direct supports to farmers.
Concerning the agricultural ministry’s plan, Huynh Thanh Son, a farmer in Long An Province, said keeping rice at farmer households would be difficult.
For a farmer with two hectares of rice, he will harvest around 10 tons of unhusked rice and obtain VND50 million given a price of VND5,000 per kilo. However, if rice is to be stocked at his house, he will have to spend an additional VND200 for a kilo, or VND2 million a ton, on transporting unhusked rice from his field to the rice mill plant and then to his home.
If the farmer husks and dries rice, keeps it at warehouse of the rice mill plant and then sells to the factory, he will not have to pay transport and husking fees, Son explained.
Besides, Son pointed out lower feasibility for farmers to stock rice at warehouses of appointed food enterprises. Farmers in Dong Thap Muoi region cannot transport and stock rice at an enterprise warehouse in Tan An, which is tens of kilometers away, Son said.
Farmer Huynh Cong Tien in Dong Thap Province said it is risky to keep rice at home due to huge loss. As a hectare of paddy yields around five tons of fresh unhusked rice, or four tons of dried rice, there will be a big loss if the rice is kept at home in three months.
A source from the Crop Production Department said the agricultural ministry is going to finish the draft to submit to the Government. As the program in reality is an economic policy, not a poverty reduction scheme, only a small group of farmers will benefit from it.
vietnamnet
