Restructuring of Thai Agriculture under the Export-oriented Industrialization Process(PAPERS READ AT THE AUTUMN CONFERENCE SYMPOSIUM, 1992, Restructuring of World Agriculture and the Crisis in Japanese Agriculture)

Yamamoto Hiroshi

doi:10.20633/tochiseido.35.3_12

In spite of slowing down of the growth in the world economy, particulaly in leading industrial countries, Thai economy is continuing high growth sustainded by the rapid expansion of investment to suport industrialization. In the process of Thai industrialization, the status of agriculture in Thai economy is relatively going down, but agricultural sector still continue to occupy 60% of employed population. Thai Goverment (Boad of Investment) stimulates the Investment Promotion Policy including tax exemption for export-oriented food industries applying domestic raw materials. The 6th National Economic and Social Development Plan (1986〜91) emphasized agro-based industrialization and to convert from traditional agricultural products to new high value added agri. products. The 6th Plan also gave the high priority to private agri-business. Depend on this policy, Ministry of Agriculture and Cooperatives started the Agricultural Development Projects by private agri-business such as CP Group, the top agri-business dealing with compound feed, broiler and prawn integration. They are promoting the contract agri. system with farmers. Cntract agri. system by private agri-business exerted an infulence upon the other traditional agriculture including rice market. For long time, the measure of Thai rice transaction depended on the content ratio of broken rice only. But now it depends on the place of production and also on the brand. It might be said the historical change of Thai rice marketing system. During those agri-business got the best opportunities to expand their activities and also Thai economy got the high growth, CP Group became the first multinational enterprise in ASEAN Countries, most of Thai farmers, producers of raw materials for food industries, are remaining to suffer low income. Earning differentials between agricultural sector and non-agricultural sector has been expanded from 5.94 times (in 1980) to 9. 13 times (in 1987). More than 50% of income for farmers in North-east region have to depend on non-agricultural source. This is the main reason for their families to have to stay in Bangkok Metropolis or another oversea countries for work. It is another big problem that spacious best agricultural land in the Menam Chaopraya Delta has been left to be uncultivated.

Restructuring of Thai Agriculture under the Export-oriented Industrialization Process(PAPERS READ AT THE AUTUMN CONFERENCE SYMPOSIUM, 1992, Restructuring of World Agriculture and the Crisis in Japanese Agriculture)

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