Thailand plans to double subsidy on rubber: Agriculture minister
BANGKOK (REUTERS) - Thailand's Cabinet will discuss a proposal on Tuesday to double the subsidy paid to rubber farmers to compensate for low prices, the agriculture minister said, but that may not be enough to placate some farmers who plan further protests this weekend.
Farmers will get 2,520 baht (S$99.24) per rai, a measure of land equal to 0.16 hectare, Agriculture Minister Yukol Limlaemthong told Reuters, up to a maximum of 25 rai. The scheme would run until May 2014 and cost 21.29 billion baht (S$838 million).
The subsidy is double what was offered to farmers last week.
It should give farmers about 10 baht per kg of rubber produced which, on top of the market price of 81 baht for raw rubber, would give farmers the 90 baht per kg some have been demanding.