AGRICULTURE

Farmers' call for new aid fund rejected

Piyaporn Wongruang

The Agriculture and Cooperatives Ministry has turned down farmers' call for the ministry to set up a new fund to resolve non-farm debts.

Deputy Agriculture and Cooperatives Minister Rungruang Isarangkura said yesterday the ministry could not help the farmers with a new fund to solve their debt problems, mostly incurred outside the farm sector, because it was beyond its authority.

The responsibility was the Finance Ministry's, he said.

"The farmers claim that our existing funds for solving farm debts could not help them, and we are examining why this is so. But to set up a new fund really goes beyond our responsibilities," he said.

The group, led by Northeastern People's Network chairman Prapas Ngoksungnern, has emerged as the latest farmer debt pressure group after the Indebted Farmers Network.

However, their debts are apparently different. While farmers under the Indebted Farmers Network claim they have debts involving farming, members of the new group have debts incurred mostly from non-farm activities.

As a result, existing funds for solving farmer debts - the Farmers Rehabilitation and Development Fund and the Farmers and the Poor Assistance Fund supervised by the ministry - could not provide assistance to these farmers because their authority limits them to only resolving debts involving the farm sector.

Mr Prapas justified the farmers' move in asking for state help, saying many had become indebted because some banks offered them housing loans. With little knowledge, they fell prey to the banks, and likely lost their assets for not being able to pay back the loans.

"Whatever they did, they are farmers who, once they plunge into debt, won't get out of the cycle easily. They just need help and a chance to get back on their feet," he said.

Bangkok Post

Friday April 06, 2007