Rice Garden Economics

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Bonanza
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Rice Garden Economics

Post by Bonanza » January 12, 2022, 10:03 am

My wife has a Rice garden of 9 Rai where she grows 'sticky' rice for the extended family. There is one summer crop per year. Various family and friends help with the preparation of the land, the planting, maintenance and harvesting, and for this work they are 'paid' in rice from the harvest. I do not know who is paid what.

At harvest time the rice is 'bagged' unweighed, but I estimate about 20Kg per bag, and bags disappear (unchecked) at regualar intervals as various helpers claim their dues. My wife is unable to tell me how many bags are taken! At the end we take 100 bags to our rice store - and then for threshing by the village machine.

Presently, the local Government is offering 11baht per kilo of raw rice.

So, it appears that her 9 Rai garden yields 100+ bags @ 20kg ea @ 220baht = 220,000 baht.

OR a bit more than 220kg per Rai for a value of 2,420 baht per Rai

This seems rather a poor yield. Does anyone have any yield figures that I can use as a comparioson?? :D



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Laan Yaa Mo
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Re: Rice Garden Economics

Post by Laan Yaa Mo » January 12, 2022, 10:09 am

The middleman who takes the rice to market must take a large chunk of the profit.
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Bonanza
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Re: Rice Garden Economics

Post by Bonanza » January 12, 2022, 4:30 pm

Please note the maths - total yield should be 22,000 bath !!

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deankham
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Re: Rice Garden Economics

Post by deankham » January 13, 2022, 12:54 pm

I'm no expert, in fact all I know about rice is going to the farm every so often and watching the outlaws working.

Is there not some additional costs to be factored in such as the seeds, fertilizer, machinery (even if its owned it needs fuel, oil and fixing), fuel for the pump, etc, etc.

I know also the outlaws pay people in hard cash instead of in Rice and normally there is a party or two on the way with booze and often a pig thrown in, which all costs.

So that 22,000 baht will surely take a hit (15, 20, 50%, I could not say).

I know my wife has been slowly convincing the outlaws to give up on the rice and focus on growing fruits and vegetables to both sell and of course to live off. The old Dragon now has a table at the local bigger town where she sells this stuff once or twice a week. Every year they grown less rice (of course enough for themselves as a minimum) and use the land for other crops.

Good luck.

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rick
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Re: Rice Garden Economics

Post by rick » January 13, 2022, 7:09 pm

Yes, they never give a financial breakdown of the rice growing costs. Also sometimes the harvest is bad - this year our irrigated one rai patch for jasmine rice produced just 3 bags.... that means after milling it will cost about (very vague about) 40 baht a kilo - assuming all family labour was free. I think F-in-L mainly does it for government subsidies.

Sticky rice is grown on some other land but it is rented out. This year we got about 30 sacks as rent.

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Re: Rice Garden Economics

Post by Doodoo » January 13, 2022, 7:47 pm

As I have said before
and told the wife I have seen rich implement dealers, rich dealers in selling pesticides, reach dealers in selling fertilizers, but never a rich farmer have I seen in many a country.

The benefit of a rice farm in Thailand is that it keeps variuos relatives busy and out of my hair

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deankham
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Re: Rice Garden Economics

Post by deankham » January 13, 2022, 8:07 pm

Good point about the Government Subsidies. Does anyone know what they are?

Slightly changing topic. Since first visiting the family farm 15 years ago I've seen little shift from hard labour to automation / machinery with the recent exception of solar powered pumps for irrigation.

Has anyone seen these Rice Transplanters used out in the villages of Issan? Any reason why they are not used more? Just cost?

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jackspratt
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Re: Rice Garden Economics

Post by jackspratt » January 13, 2022, 8:22 pm

Doodoo wrote:
January 13, 2022, 7:47 pm
As I have said before
and told the wife I have seen rich implement dealers, rich dealers in selling pesticides, reach dealers in selling fertilizers, but never a rich farmer have I seen in many a country.

The benefit of a rice farm in Thailand is that it keeps variuos relatives busy and out of my hair
Not been to Oz recently, Dd?

Plenty of rich cockies there. Have a bumper season - plough (excuse the pun) the bumper profits into the latest and greatest machinery.

Have a poor season - stick your hand out for a government subsidy. Their political party - the LNP in Queensland, and Nats elsewhere - are not known as the agrarian socialists for nothing.

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Re: Rice Garden Economics

Post by Doodoo » January 13, 2022, 11:05 pm

Well Jack you are mentioning one counry How about the other remaining 194 countries

glalt
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Re: Rice Garden Economics

Post by glalt » January 14, 2022, 2:23 pm

You cannot figure profit (if there is profit) and not know the cost of planting and harvesting. It is very labor intensive and farm labor is no longer cheap.

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Bandung_Dero
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Re: Rice Garden Economics

Post by Bandung_Dero » January 14, 2022, 2:41 pm

Yes, it was a very labor intensive, non profit making exercise 90 % of Mrs Dero's and her extended families land has been converted to sugar. Rice grown is only for family use (TW thinks it's crap and buys hers 5555). She is still doing Eucalyptus on a high ground acreage.
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Bonanza
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Re: Rice Garden Economics

Post by Bonanza » January 15, 2022, 2:20 pm

Thanks for the feedback, not very much detail but it would appear that wives like to have their own 'rice garden', but don't care about the economics.

The Min. of Ag. give the average yield as 450kg per Rai which the Government will purchase at 4 Baht per kilo (Hom Mali), and 11 Baht per kilo for 'sticky' rice. So gross income per Rai is either 1,800 or 4,850 Baht (double if you have two crops per year). This is GROSs earnings. :(

On the other hand - both types of rice currently retail for about the same at about 45 Baht per kilo. The rice loses about 20% weight during threshing, so net weight per Rai is 360 kg which is 16,200 Baht. :shock: So, this is your GROSS SAVING by growing and eating your own rice.
My missus cooks 500grams of rice per day (two large mugs full) - so I'm happy to believe she is saving me money. It's just that I can't quite work out how much!!! :D

One Rai of rice field (double harvest) recently sold here for 200,000 Baht. On the above figures they get their money back in about six years.

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Giggle
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Re: Rice Garden Economics

Post by Giggle » January 15, 2022, 4:04 pm

Sticky rice is very unhealthy. If Biden were Thailand's prime minister, I'm confident it would be banned. Diabetes on wheels!
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rick
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Re: Rice Garden Economics

Post by rick » January 15, 2022, 11:08 pm

Average Thailand yield may be 450kg per rai (but that has only been achieved recently) but on the poor Isaan soils will rarely be. This year for us it was about 70kg, last year about 140kg. No or very little artificial fertilizers and pesticides were used.

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