Untenable Thai rice scheme puts Shinawatra in a bind

Thailand’s government is under growing pressure to cut its guaranteed price for rice which is so high exports have slumped, and even some farmers accept a cut might be needed, but it may find it politically hard to back down.

The government is paying farmers 15,000 baht (US$490) per tonne for their rice and, since exporters are unable to find buyers at that level, it has ended up with about 12 million tonnes in state stockpiles, more than it exports in a good year.

via Business feed http://www.scmp.com/business/economy/article/1057765/untenable-thai-rice-scheme-puts-shinawatra-bind