FOOD POVERTY
It is estimated that nearly 420,000 citizens of Thailand (0.65% of total population) are affect by food poverty. Ironically, the majority of those affected are small-scale food producing farmers concentrated within the country's rural north and northwestern regions.
THE PROBLEM
Both the cost of living and farm maintenance shouldered by the small-scale farmers of Thailand exceeds their ability to produce adequate surpluses and subsequent income necessary for adequate food security. Despite price increases in agricultural produce.
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Statistics for The Office of Agricultural Economics, Bangkok, Thailand: 62.9% of value of production spent on operating costs, 10.9% received for produce sold.
ROOTS
1. Government expansion of irrigated areas, which would allow the production of adequate surpluses, is limited by both the cost of irrigation development, and growing concern regarding the environmental impacts of irrigation projects.
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2. The largest proportion of credit extensions offered by the Thai Bank for Agriculture and Agricultural Cooperatives (BAAC), which are designed to increase farmers adoption's of both modern technologies and crop diversification, are granted to large commercial farmers due to their superior income and decreased production risk.
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3. Prices of labor, machinery, fertilizer, seed, fuel, and land rental rates continue to increase due to price increases in agricultural produce. The cost of labor is further exasperated by higher economic growth in non-agricultural
districts, and subsequent diasporas of would be farm laborers to industrial, commercial, and service sectors.
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4. Increases in agricultural produce prices continue to drive inflation in food and beverages at a rate of: 12.6% in low income households and 16.9% in rural households.
POSSIBLE SOLUTIONS
1. Providing opportunities for non-farm work: through the attraction and development of small-scale enterprises within village areas:
- Less dependent upon crop price or price fluctuations
- Because payment for non-farming work is primarily monetary, it would allow small-scale farmers to earn cash income and accumulate savings
2. Low interest, micro-lending initiatives for small-scale farmers:
- Improve ability to obtain products such as fertilizer and seed, and subsequently increase production surpluses
3. Providing training programs aimed at disseminating knowledge of risk management:
- Could ensure the raising of a variety of crops, eliminating avoidable expenditures, and monetary saving to combat market fluctuations
4. Prioritization of allocating drought-tolerant seed varieties to small-scale farmers in rainfed environments:
- Decreasing risk of high yield reduction in drought conditions
