The Lawyers Council of Thailand will assist unpaid rice farmers from Phitsanulok and Uttaradit provinces, to sue the caretaker government for the controversial rice pledging scheme that was implemented about two years ago reports the Bangkok Post. The farmers, represented by their union, the Thai Farmers Association claim that the rice pledging scheme, which allowed the government to buy rice from farmers at above market, subsidize price looked promising on paper but in the end, violates their constitutional rights under Section 84, “of encouraging a free and fair economic system thorough market mechanism”. Observers have noted that choosing to sue on constitutional grounds rather than based on Thai Business Law is an unusual strategy.
Under the rice pledge scheme, rice farmers are supposed to benefit greatly, but with the caretaker’s scheme of over stockpiling, the Thai rice trade took a hit due to several global and political factor, fell sharply, leaving government with little cash to pay out the farmers. Although Thailand has been attempting to increase exports with Free Trade Agreement, the trade generated by these agreements has not been sufficient to offset the full rice prices. Currently,Thailand has Free Trade Agreements with the following major countries.
1. USA
2. China
3. Australia
Chaninat and Leeds are a Thailand law firm who specialize in local and international business law
More on countries with Free Trade Agreement with Thailand
Comments on this entry are closed.