Bangkok: The Commerce Ministry is taking proactive measures to support rice farmers by accelerating the absorption of 1 million tons of off-season rice and implementing strategies to reduce fertilizer costs.
According to Thai News Agency, the Department of Internal Trade is intensifying its efforts to assist farmers affected by the Middle East crisis. The ministry is launching a project to absorb 1 million tons of paddy rice from the 2026 dry-season crop, effective April 1st, initially targeting five provinces. This initiative is coupled with cost-reduction measures through the 'Green Flag Plus Fertilizer' project, which offers up to 1,400 baht in assistance per farmer. Coordination with the Ministry of Energy is also underway to ensure a sufficient diesel fuel supply during the harvest season.
Mr. Witiyakorn Maneenet, Director-General of the Department of Internal Trade, disclosed after discussions with Mr. Pramote Charoensilp, President of the Thai Rice Farmers and Agriculturists Association, and officials from the Department of Internal Trade, that Minister of Commerce Ms. Supajee Suthamphan has directed the department to expedite measures to fully assist farmers. This comes in response to the tensions in the Middle East, which have impacted global production costs, particularly the volatile price of fertilizers affecting rice farming costs.
The Ministry of Commerce has initiated a project to absorb 1 million tons of unmilled rice from the 2026 dry-season crop. The Public Warehouse Organization will open purchasing points at rice mills and agricultural cooperatives, buying rice from farmers at a price 300 baht per ton higher than the market rate. This pilot program, starting April 1, 2026, will be implemented in five provinces: Nakhon Sawan, Phitsanulok, Phra Nakhon Si Ayutthaya, Kamphaeng Phet, and Sukhothai, to accommodate the harvest and incentivize farmers to sell their produce at a fair price.
Additionally, the Department of Internal Trade has organized "paddy rice markets" in off-season rice production areas, bringing external entrepreneurs to purchase rice directly from farmers. This initiative aims to reduce transportation costs, increase sales channels, and address buyer shortages in certain areas, offering purchase prices 200-400 baht per ton higher than the general market rate. The program runs from March to May 2026, with eight provinces confirmed as hosts for the event.
Mr. Witiyakorn emphasized that the Department of Internal Trade has instructed the Weights and Measures Offices, particularly at rice purchasing points, to closely supervise the buying and selling process. This includes verifying the accuracy of weighing, measuring moisture content, deducting impurities, and displaying purchase prices to ensure fair and transparent rice trading, thereby building confidence among farmers.
To further reduce production costs, the Department of Internal Trade is preparing the "Green Flag Fertilizer Plus" project, offering a 200 baht discount per bag of chemical fertilizer, up to five bags totaling 1,000 baht. Farmers with a "Good Soil Card" from the Department of Land Development will receive an additional 200 baht discount and a 200 baht coupon for organic fertilizer, providing a maximum total assistance of 1,400 baht per farmer, especially for rice cultivation.
Regarding diesel fuel allocation for areas experiencing dry-season rice harvesting, the Department of Internal Trade will expedite coordination with relevant agencies, particularly the Ministry of Energy, to implement measures providing energy assistance and reducing agricultural machinery costs for farmers during this crisis.
Mr. Pramote expressed gratitude to the Ministry of Commerce for prioritizing and expediting assistance to farmers, acknowledging the situation's impact on all sectors. He noted that the government's initiatives to purchase second-crop rice at market prices, with an additional 300 baht per ton price difference, and the organization of rice markets are essential mechanisms for increasing sales channels for farmers, reflecting the government's genuine concern and care.
Mr. Witayakorn reiterated that despite the Middle East crisis affecting the global economy and production costs, the Department of Internal Trade is closely monitoring the situation and utilizing all available measures to mitigate the impact on Thai farmers, particularly rice farmers. He affirmed the Ministry of Commerce's commitment to maintaining price stability for agricultural products and farmers' incomes.