FOOD SECURITY IN THAI SOCIETY* Sajin Prachason** 1. CONCEPT OF FOOD SECURITY 1.1 Food security in the global context 1.2 Food Security in the Thai context 2. THAILANDS FOOD SECURITY IN THE PAST DECADE 2.1 Availability 1) 2) 3) 2.2 Access 1) 2) Access to nutritious and balanced diets Food access among vulnerable groups: - The rural poor - The urban poor 3) 4) 1) 2) 3) 4) 2.4 Stability 1) Deterioration of natural resources 2) Changing characteristics of food producers 3) Social movements: - Community right - Sustainable agriculture 4) Anti-GMO campaigns 3. CHALLENGES AND POLICY OPTIONS IN THE NEXT DECADE 3.1 Availability 1) Balancing food security and energy security 2) Minimizing the impacts of climate change 3) Research and Development in Appropriate Technology 3.2 Access 1) Developing information or database on food security 2) Promoting food access for the poor Role of markets and hyper markets Governments policy to ensure food access Food hazards Bird flu outbreaks Food safety campaigns and linkages to agricultural policy Organic agriculture movements Food production and use Increasing role of imported food Food crops and energy crops
2.3 Utilization
*This report is submitted to the United Nations Development Programme (UNDP) Thailand as one of the six background papers for the drafting of Thailand Human Development Report 2009. For the full Human Development Report, Human Security, Today and Tomorrow, please go to http://www.undp.or.th/resources/documents/20100510_2009_Thailand_Human_Development_Repor t.pdf **She is working at the Sustainable Agriculture Foundation (Thailand).
times, have physical and economic access to sufficient, safe and nutritious food to meet their dietary needs and food preferences for an active and healthy life". Aiming at global
changes, the WFS set a target to halve numbers of the hungry and the mulnutritious by 2015. Although it is unlikely to meet this target by the deadline, the WFS focus on food security has triggered more interests from policy makers to ensure food security by promoting livelihood of people at all levels 6 .
Food and Agriculture Organization, 2006, Food Security, Policy Brief, June, Issue 2.
Hoddinott, 1999, cited in The City of Toronto. n.d. Chapter 1: Definitions of Food Security, p.20.
Food and Agriculture Organization, n.d., Food Security and Livelihoods, Thematic Brief, FAO Livelihood Support Programme.
Utilization: Utilization of food through adequate diet, clean water, sanitation and health
care to reach a state of nutritional well-being where all physiological needs are met. This brings out the importance of non-food inputs in food security.
Food and Agriculture Organization, 2000, Grossary, Food Insecurity and Vulnerability Information and Mapping Systems.
Food and Agriculture Organization, 2006, Food Security, Policy Brief, June, Issue 2, p.3.
Source: Food and Agriculture Organization, 2006, Food Security, Policy Brief, June, Issue 2. 1.2 Food security in the Thai context In the early 2008, food security entered a policy discussion in the wake of sudden surge of rice prices that followed soaring oil prices. The term food security by itself is quite new although the word has earlier appeared in some policy literatures. For example, the Department of Health and the World Health Organization (WHO)s jointly-supported proposal of the National Strategic Plan on Food Security in 2002 aiming to establish the national food safety master plan under the Public Health Act 1992, used the term food security to refer to availability, accessibility, sufficiency and stability dimensions; and regarded it as important to the countrys economic and cultural security 9 .
Drafting Committee of the Strategic Plan, 2002, Executive summary, Strategic Plan Proposal on Food Security, under the
Establishment of Food Safety Master Plan for Domestic Consumer in Thailand under the Public Health Act, 1992, Supported by the Health Department and the World Health Organization, Bangkok.
10
Office of National Economic and Social Development Board, 2004, An Assessment on Capacity and Living Quality
Development of Farmers in Sustainable Agriculture, Office of National Economic and Social Development Board Bangkok.
11
Ammar Siamwalla, 1996, Thai Agriculture: From Engine of Growth to Sunset Status, TDRI Quaterly Review, Volume 11,
No.4.
12
Ministry of Public Health, 1999, Proposals: National Food Safety Program, Nonthaburi. Strategy 1: Countries should develop their food safety policy integration with policies addressing food security, quality and 2004, 10-Points: Regional Strategy for Food Safety in the South-East Asia Region,
13
nutrition, and consistent with international requirements for participation in international trade. (see World Health Organization, http://www.searo.who.int/EN/Section314_4300.htm).
14
Pitaksit Chayapute, et al., 1999, A Study on Economic and Social Conditions of Ultra Poor Households and Households with
Unemployed Members as a Result of Economic Crisis in the Northeastern Region, In Narong Petprasert (ed.), Thai Poor
Ministry of Public Health, 1999, Proposals: National Food Safety Program, Nonthaburi, p. 6
16
Ministry of Development and Human Security, 2006, Thailand and Human Security: Positions and the Next Step, Report of
Source: Office of Agriculture Economics, The Data of Thailand, ASEAN Food Security Information System <http://afsis.oae.go.th/x_sources/index.php?country=thailand, 5 November 2008> Besides rice, many other agricultural and food products are also in excess supply (Table 3). In 2007, Thailands exports of rice, food crops, cassava, sugar, fruits, vegetables, vegetable oil, milk products, oil seeds and spices were estimated at almost 359 million baht. Unfortunately, the large export volume is not correlated with productivity. A concrete example is rice, of which productivity in 2007 was extremely low comparing with many countries in Asia and even lower than some of the poor neighbouring countries (see Table 5). From 1998-2007, paddy rice yields hardly increased. In 1998 and 2007, Thailands yields were only 65% of the worlds average. To rectify this situation, the government launched a structural adjustment strategy program for the agricultural sector in 2005, aiming to enhance the competitiveness of Thai agricultural products in international markets. The program divided agricultural commodities into 3 main groups: 1) rice, chicken, shrimp and rubber are classified as exporting cash crops; 2) fuel crops (e.g. palm oil and tapioca) are regarded as having business potentiality; and 3) fruits, garlic, onion and coffee are under the need restructuring category. The program then outlined different policy approaches and strategies for the three groups.
Source: Thailands Food Security Strategies in Focus, Prachatai, 2008. <www.prachatai.com/05web/th/home/1193, 29 October 2008> Table 4: Value of Selected Agricultural Exports, 2006-2007 (unit: 1,000 baht) Items Rice exports Food crops Cassava products Sugar and products Fruits and products Other food products Vegetables and products Vegetable oils Milk products Oil seeds Spices Total 2007* 119,215,430 18,660,006 48,640,194 48,796,711 48,067,448 30,078,533 21,846,913 12,662,974 9,164,185 1,114,615 721,166 358,968,175
*Excluded re-export Source: Office of Agricultural Economics, 2008. <http://www.oae.go.th/statistic/export/QVExp.xls, 15 October 2008> Table 5: Paddy Rice Yield in Selected Countries in Asia, 1998-2007 (tons/ha.) Cambodia 1.79 1.94 2.12 2.07 1.92 Indonesia 4.20 4.25 4.40 4.39 4.47 Malaysia 2.88 2.94 3.06 3.11 3.24 Myanmar 3.13 3.24 3.38 3.42 3.42 Philippines 2.70 2.95 3.07 3.19 3.28 Thailand 2.47 2.42 2.61 2.62 2.61
10
*Calendar year when the harvest takes place. **Includes Taiwan. Source: FAO, n.d., cited in International Rice Research Institute, 2009, IRRI World Rice Statistics. <http://beta.irri.org/statistics/images/stories/wrs/wrs_nov08_table03_yield.xls, 4 February 2009> 2) Increasing role of imported food
Thailands international trade has expanded rapidly after 2003. This is partly due to the governments policy to expand external demands through FTAs. By 2008, Thailand has already concluded FTAs with China, Australia, New Zealand, Japan, Bahrain, India with more agreements under negotiation. An impact assessment of the Thai-Chinese FTA that went into effect in late 2003, showed a steep increase in vegetables imported from China between 2001 and 2006, from 241 million baht to 2,563 million baht or a 961% increase. For fruits, import jumped from 1,010 million baht in 2001 to 3,530 million baht in 2006, a 249% increase. A large part of the import was carrots, fresh turnip, apples, pears, quinces and grapes (Figures 1 and 2) 17 . Although it is true that the increase in imported fruits and vegetables from China took place even before the FTA as a result of Chinas entry into the WTO, the FTA played a role in accelerating this trend. These figures converged with FAO data that showed the Thai peoples consumption trend of selected fruits and vegetables (See Figure 3). Figure 1 shows an upward trend for apple, grape, broccoli and carrot, largely imported from abroad, but a significant drop for onions and other vegetables 18 .
17
Faculty of Economics, Kasetsart University et al, 2008, Impacts of Thailand-China Free Trade Agreement (Under ASEAN-
China Framework) and Adjustment in Fruit and Vegetable Agribusiness System, Final Report No. 1, Report submitted to the
Office of Knowledge Management and Development, p. 30-31.
18
Faculty of Economics, Kasetsart University et al, 2008, Impacts of Thailand-China Free Trade Agreement (Under ASEAN-
China Framework) and Adjustment in Fruit and Vegetable Agribusiness System, Final Report No. 1, Report submitted to the
Office of Knowledge Management and Development, p. 31.
11
2544-2549
2001 2544 2002 2545 2003 2546 2004 2547 2005 2548 2006 2549
Fresh carrot and turnip Mushroom (Agaricus) Fresh or chilled garlic Fresh or chilled onion (new) () Other drymushroom Fresh or chilled cauliflower and broccoli Ear mushroom
Source: Faculty of Economics, Kasetsart University et al, 2008, Impacts of Thailand-China Free Trade Agreement (Under ASEAN-China Framework) and Adjustment in Fruit and Vegetable Agribusiness System, Final Report No. 1, Report submitted to the Office of Knowledge Management and Development, p. 31. Figure 2: Import of Fruits from China, 2001-2006
((baht) ) Value
1,800,000,000 1,600,000,000 1,400,000,000 1,200,000,000 1,000,000,000 800,000,000 600,000,000 400,000,000 200,000,000 0
2544-2549
2001 2544
20042547
2005 2548
2006 2549
12
Figure 3: Fruit and Vegetable Consumption in Thailand by Type, 1997-2005 (unit: gram/person/day)
3.5 3.0 1.52 2.5 2.0 1.5 1.0 1.40 0.5 0.0 40 41 97 98 42 99 43 00 44 01 45 02 46 03 47 04 48 05 1.36 40 1.48 1.56
1.44
97 41 98
42
99
43
00
44
01
45
02
46
03
47
04
48
05
A P P LE
BROCCOLI
1.6 1.4 1.2 1.0 0.8 0.6 0.4 0.2 0.0 40 41 98 42 9943 0044 0145 02 46 03 47 04 48 05 97 C AR R O T
99
43
00
44 01
45 02
46
03
47
04
48
05
GRAPE
12.8 12.4
35 30
97 98
99
42
00
43
01
44
02
45
03
46
04
47
05
48
40
97 98
41
42
99
00
43
01
44
02
45
46
03
47
04
05
48
O N IO N
OTHER_VE T
Source: Food and Agriculture Organization, 2008, cited in Faculty of Economics, Kasetsart University et. al, 2008, Impacts of Thailand-China Free Trade Agreement (Under ASEAN-China Framework) and Adjustment in Fruit and Vegetable Agribusiness System, Final Report No. 1, Report submitted to the Office of Knowledge Management and Development, p. 15.
13
Source: Office of Agricultural Economics, cited in Detcharut Sukkamnoed, 2008, Food and Energy Crisis: Road to the Balance. In southern provinces, where most of the palm oil plantations are located, the forecast of rapidly rising demand for palm oil used in biodiesel industry in the wake of the soaring oil prices has led to further encroachment of palm oil plantation into empty rice fields and wetland. The
19
Thai Oil Palm Pilot Crop Ready For Harvest; May Replace Tangerine Crops Wiped Out By Viruses, Biofuels Digest, 19 May
14
Two subcommittees were set up to promote the production of ethanol and biodiesel and several billion Baht was allocated to subsidize the production. The Ministry of Agriculture and Cooperatives five-year plan (2008-2011) targets to expand palm oil cultivated land to 6 million rai and to raise the productivity of sugarcane and cassava production 22 . The popularity of fuel crops has led to expanded private investments. For instance, the Mae Sot Clean Energy, a joint venture between the Phadaeng Industry and Thai Oil and Petrogreen, is constructing a sugarcane ethanol facility in the Mae Sot district of Tak 23 .
20
Sayamol Kaiyoorawong, From Commercial Forest Plantation Policy to Fuel Crop Policy: Food Security in the Southern
Region, Paper Presented at the Public Conference on Fuel Crop and Rubber Policies: Opportunities and Risks of Farmers, 1719 October 2008, p. 19. <http://www.sathai.org/images/Story_thai/022-pic/Annex1.pdf, 18 December 2008>
21
Northeastern Farmers Growing Tapioca in Rice Fields Were Not Convinced in Yields, Prachatham, 26 May 2008,
Government Pours 25 Billion Baht Loan for Fuel Crop Plantation, Naew Nar, 19 May 2008. Thai Oil Palm Pilot Crop Ready For Harvest; May Replace Tangerine Crops Wiped Out By Viruses, Biofuels Digest, 19 May
23
15
Source Thai Rice Miller Association and Thai Rice Exporters Association, cited in Vitoon Panyakul, 2008, Rice Supply Chain: Opportunities in the Crisis, or Crisis in opportunities, Powerpoint presentation at a conference on Food Crisis, Thai Economy Crisis: Expensive Rice, Farmers Gained Benefits?, Thai Consumer Foundation, 28 April 2008. A number of factors were responsible for this unprecedented phenomenon. They are crop failure in major rice exporting countries, declining global rick stock, and panic in the market. Increased corn cultivation in the US and other countries for ethanol industries was at the expense of wheat production, leading to dual price rises of wheat and rice as a substitution to wheat 24 . Such situation adversely affected poor people in many countries. Riots broke out in some countries. In April 2008, the Thai cabinet decided to tackle the food and energy crisis. Several subcommittees were set up. There were proposals to establish a zoning system for food crop and fuel crop. No concrete action was taken due to political instability and the sharp drop of oil and rice prices in late 2008.
2.3
Access Food access is a very important issue as food sufficiency does not guarantee adequate food
access for every one. In Thailand, although food is available in abundance, some level of food inaccessibility and malnutrition still persists in some population segments including infants and young children in rural areas, the urban poor, and landless farmers. Food access at individual or household level is not only a function of purchasing power. It also involves several economic and social factors.
24
Understanding the Global Rice Crisis, Business Week, Economics and Policy, April 28, 2008.
16
Source: Extracted from Ministry of Public Health, 2003, A Survey on Food and Nutrition of Thailand, the 5th Assessment, p. 158.
25
Food and Agriculture Organization, 2000, The State of Food Insecurity in the World 2000, p. 23. Food and Agriculture Organization, 2000, The State of Food Insecurity in the World 2000, p. 23-24. Ministry of Public Health, 2003, A Survey on Food and Nutrition of Thailand, the 5th Assessment, p. 147. Cited in Somying Piumsombun, 2003, The Impact of International Fish Trade on Food Security in Thailand, Report of the
26
27
28
Expert Consultation on International Fish Trade And Food Security, FAO Fisheries Report, No. 708, Rome. <http://www.fao.org/DOCREP/006/Y4961E/y4961e0j.htm, 20 October 2008>
17
Table 9: Thailands per capita consumption (kilograms) of animal protein, 1980-2000 Year 1995 1996 1997 1998 1999 2000 Average annual increase (%) Pork 6.83 7.05 8.45 8.04 7.06 7.32 1.53 Beef 2.12 2.12 2.13 2.11 2.07 2.05 -0.39 Chicken 10.00 10.90 11.50 10.78 11.25 10.70 2.00 Fish and Seafood 32.40 31.70 25.58 29.05 31.48 32.74 2.97
Source: Office Of Agricultural Economics and Department of Fisheries, cited in Somying Piumsombun, 2003, The Impact Of International Fish Trade On Food Security In Thailand, Report Of The Expert Consultation On International Fish Trade And Food Security, FAO Fisheries Report, No. 708, Rome. <http://www.fao.org/DOCREP/006/Y4961E/y4961e0j.htm, 20 October 2008> Nevertheless, malnutrition persisted among children under five years old. Pregnant and breast-feeding women still had iodine-deficiency anemia and vitamin B1-deficiency. Interestingly, the nature of the problem began to change as over-nutrition and overweight also became prevalent in all ages, especially among female adults aged 30-59 years old in urban areas. Obesity is linked to many non-communicable diseases; for instance, diabetes, high blood pressure and high cholesterol, which are the main causes of death of Thai population, especially among aged population in urban areas 29 . Overweight problem also affected the children. Some had higher blood pressure than adults (See Figure 4). In Nakhon Pathom and Bangkok, obesity in children was found to be associated with highincome families or mothers who were overweight during pregnancy 30 .
29
Ministry of Public Health, 2003, A Survey on Food and Nutrition of Thailand, the 5th Assessment, pp. 313-316. Uruwan Yamorisut and et. al., 2006, Factors Associated with Dual Form of Malnutrition in School Children in Nakhon
30
Pathom and Bangkok, Journal of the Medical Association of Thailand, 89 (7), July.
18
Underweight 2%
Normal 5%
Source: Mahidol University, 2004, cited in Institute for Population and Social Research Mahidol University and Thai Health Promotion Foundation, Thai Health 2005, p.25. 2) Food access among vulnerable groups
Despite improving nutrition, not a small part of the population still have limited food accessibility. This is shown by the substantial share of food items in household income. Table 10 shows that over half of Thai people spent 21-60% of their income on food. About 35% of the population spent 60% or more of their income on food. The means that as food prices rises or income drops, this group will be exposed to food insecurity. The most vulnerable group those who spent 80% or more of their income on food was largely located in the rural areas in all regions. Despite their proximity to the agricultural production base, rural residents face higher risk of food insecurity than urban residents. Table 10: Households food expenditure in total income per annum Number of households (%) Food share in total income (%) Less than 21 21-40 11.7 26.9 11.4 26.9 11.7 26.9 Total Total Urban Rural
19
Number of households (%) Food share in total income (%) 41-60 61-80 More than 80
Source: Extracted from Ministry of Public Health, 2003, A Survey on Food and Nutrition of Thailand, the 5th Assessment, p. 60.
Box 4: Thailands Development of Food Insecurity and Vulnerability Mapping Systems (FIVIMS)* The Thai government, supported by the FAOs Asia FIVIMS project, developed the National Food Insecurity and Vulnerability Mapping System (FIVIMS) as part of its commitment to the World Food Summit in 1996. The system was launched in 1997. It was later integrated in the regular national budget program in 2003, under the coordination of the Office of Agricultural Economics 31 . The map identifies vulnerable population in different parts of the country. The Thai FIVIMS classifies 76 provinces into 3 clusters based on food security and nutrition. Each cluster is divided into sub-groups (class) of provinces.
The first cluster, classified as the most vulnerable, is located in the Northeastern and the Northern regions. Population are characterized by high rate of low birth weight, underweight in children under 5 years old, and prevalence of iodine deficiency, in addition to other vulnerability factors such as low per capita income, high rate of inactive members and land ownership problems. This cluster is illustrated in red and pink colors. Provinces in the second cluster are in the Central, the East, the West and the South of the country. These provinces have more favorable environments for food security and nutrition with higher per capita income. But there are some vulnerability factors. This cluster is illustrated in yellow and ample green. The last cluster is the least vulnerable group, consisting of the remaining provinces in the
31
20
Poverty has decreased over the past decade, with an exception of a brief period following the 1997 economic crisis. population. A large part of the poor lived in the rural area and are involved in agricultural sector, either as farmer or agricultural worker. Northeastern and Northern regions have the highest numbers of poor population. The characteristics of poor households are small land tenure, low education, large family, and large number of dependants 32 . In 2000, 55% of the poor or almost 5 million people were farmers. Together with farm workers, approximately 70% of the countrys poor was in the agricultural sector. Farmers and farm workers are poor as they face many difficulties, many of which are structural, such as low bargaining power, low farm prices, high input cost, crop failure, lack of financial credits. Poverty among farmers is a stark contrast to the facts that Thailand is the top rice exporting country. This is because domestic paddy prices are determined by the global market. 33 Aside from qualitative factors such as moisture content, farm gate prices are based on the prices taken by rice millers and exporters. Farmers are price takers at the end of the reversed supply chain. The more farmers invest in agricultural chemicals to boost the production, the more they expose themselves to financial risks. Poverty and food security are not related in a straightforward manner because farmers are food producers, who have the ability to feed themselves despite financial constraints. This does not include landless farmers who are more exposed to food insecurity than farmers who work on their land.
32 33
Office of National Economic and Social Development Board, 2002, The Poor: New Opportunities for Self-Reliance.
The Agricultural Futures Trading Commission, 2007, Structure of Domestic Rice Market <http://www.aftc.or.th/itc/products_analyze_price_16.php?id=58&fgrp_id=5&fmnu_id=18, 4 February 2009>
21
Total income
34
Office of the National Economic and Social Development Board, 2007, Poverty Assessment Report, Chapter 3, p. 12. See the case of garlic farmers in Faculty of Economics, Kasetsart University et. al, 2008, Impacts of Thailand-China Free
35
Trade Agreement (Under ASEAN-China Framework) and Adjustment in Fruit and Vegetable Agribusiness System, Final Report
No. 1, Report submitted to the Office of Knowledge Management and Development, p. 57.
36
Prapart Pintobtang, 2007, Proposals on Social Welfare Development for Farming Communities, Research project on Social
Safety Net: Fundamental to Equity, Final report submitted to the National Economic and Social Advisory Council, part 2, p. 14
37
Piyanrt Imdee, 2004, Food security of rural community : a case study of Pa-Kha Village, Suak Sub-District, Muangnan
22
Farm income Non-farm income Consumption of farm products Food security rate (%)*
Source: Graduate School of Kasertkart University, 2006, A Study on Poverty in Farming Households, A report submitted to the Office of Agricultural Economics, Ministry of Agriculture and Cooperatives * Food security is the households food consumption acquired from its own farm, measured by utilization rate of farm consumption. The higher the utilization rate, the higher the food security of the household. The utilization rate of farm consumption Value of farm products used for households consumption x 100 Value of farm products used for households consumption plus food expenditure
There are different approaches to promote food security among farm households. The governments traditional approach is to raise farmers monetary income by improving market access and increasing productivity through chemical inputs, new seeds and technology. Since 1970s, an alternative to chemical-based mono-cropping has been pursued by the sustainable agriculture movement. Today, such movement has grown in strength and several variations of sustainable agriculture including organic agriculture, integrated agriculture, forestry agriculture, have been advocated and experimented in several parts of the country. In 2004, the Office of National Economic and Social Development Board (NESDB) conducted a study in 12 provinces and discovered that 79% of farmers under the study felt that they had low or moderate food sufficiency while practicing conventional chemical-based agriculture; only 9% said they had high level of food sufficiency. After shifting to sustainable agriculture, the percentage of farmers feeling that they have high food sufficiency jumped to 62%. Moreover, 66% of farmers felt they had better quality and variety of food, compared with only 10% under the chemical-based agriculture (Table 12). On average, household food expenses decreased by 30%. 38 Table 12: Food security before and after shifting to sustainable agriculture Numbers of farmers (%) Level High Before shifting to sustainable agriculture Food sufficiency Food quality and variety 9.2 10 After shifting to sustainable agriculture Food sufficiency Food quality and variety 62.3 66.2
38
Office of National Economic and Social Development Board, 2004, An Assessment on Capacity and Living Quality
23
11.5 11.5 8.5 8.5 Not indicated 100 100 100 100 Total farmers Source: Office of National Economic and Social Development Board, 2004, An Assessment on Capacity and Living Quality Development of Farmers in Sustainable Agriculture, p 57. The New Theory proposed by H.M. The King is also based on the principle of self-reliance specially among the farm sector. According to the theory, food security can be achieved at household level through diversifying crops, building water storage, expanding farming activities to cover aquaculture and husbandry. In practical terms, land use is divided into 30:30:30:10 for the purposes of digging up small ponds, growing rice, cultivating field crops or orchards, and housing. The theory received immense interests from the government and the public. Box 5: Free trade and food security for garlic farmers In 2003, Thailand and China agreed to implement the free trade agreement on fruits and vegetables. When the agreement went into effect, import and export tariffs of the two countries would be brought down to zero. Immediately, garlic farmers became victims of an influx of cheaper and bigger garlic from China, the worlds number one garlic producer. Many farmers were not aware of the FTA and were in shock. In the North where most of garlic production is based, many farmers continue to grow garlic after years of price fluctuation and the FTA because garlic is the main source of households income. Garlic cultivation is also regarded by most farmers as the way of life that they have been practicing for generations. The low price and lack of demand severely affects income security of garlic farmers especially poor ones. As a result of decreasing garlic prices, a garlic farmer in Chiang Mai province had to sell parts of her wooden house to raise enough money for her childs tuition. Although some argued that the FTA was not the main reason for the plummeting garlic prices, garlic farmers insisted that they noticed worsening market situations compared with pre-FTA period. In any case, a study concluded that the FTA was a turning point in the production, marketing, and consumption of garlic and several other agricultural produces. This is because it would have profound and long-term repercussion on the Thai agriculture, much more than any of the governments agricultural policies. 39
39
See Food and Agriculture Organization, 2008, cited in Faculty of Economics, Kasetsart University et. al, 2008, Impacts of
Thailand-China Free Trade Agreement (Under ASEAN-China Framework) and Adjustment in Fruit and Vegetable Agribusiness System, Final Report No. 1, Report submitted to the Office of Knowledge Management and Development, p. 31 and 109.
24
A large part of the urban poor are people living in slum communities and informal workers. Despite their obvious vulnerability, their food-related situation is rarely documented. This may be due to the fact that food is secondary to their other problems such as housing, basic infrastructures and working conditions. According to the Community Organizations Development Institute, in 2003 there were approximately 5,500 low-income urban communities with 8.25 million people living in poor conditions and often insecure housing. 40 In Bangkok alone, it was estimated to have 1,200 slum communities in 2004 41 . A survey on food situation of poor households in urban areas reported that in 2003 only 44% of the urban poor thought they had secured food access while the rest expressed some level of concerns (see Table 13). Among the latter, 14% and 3% could be classified as having moderate and severe hunger respectively. Moreover, many people had an average intake of only 1,200 calories per day, compared with 2,000 calories/day for women aged 20-59 years recommended by the Ministry of Public Health. The study pinpointed two major factors accountable for food insecurity, namely lack of disposable income at the end of the month and lack of time for cooking. Further investigation concluded that employment was not sufficient to ensure food security for the urban poor. Regardless of the numbers of employed members of the household, they are unlikely to have full time jobs and regular income. This makes them worried about insufficient food. According to a survey of low-wage urban communities by NSO in 2006, over half of urban poor households had low level of income of less than 1,501 baht per week or 6,004 baht per month 42 . When the food prices or other costs of living rise, women in the family are likely to be affected the most as they would cut their meals or eat less to save food for their children and the other family members 43 .
40
Somsook Boonyabancha, 2005, Scaling Up Slums And Squatter Settlements Upgrading In Thailand Leading To Community-
Driven Integrated Social Development At City-Wide Level, Paper Presented at the Arusha Conference on New Frontiers of Social Policy, 12-15 December 2005, p. 4. <http://siteresources.worldbank.org/INTRANETSOCIALDEVELOPMENT/Resources/Boonyabanchapaper.rev.1.pdf, 8 December 2008>
41
In the Frame. Siam Turakij, 1 June 2005. <http://news.utcc.ac.th/content/view/349/13/, 18 December 2008> National Statistical Office of Thailand , 2006,Summary of the Population and Social Survey on Low-Income Urban
42
See Noppawan Piaseu and Pamela Mitchell, 2004, Household Food Insecurity Among Urban Poor in Thailand, Journal of
25
Description of food eaten in the household Always enough Enough but not always Sometimes not enough Often not enough 64 115 10 10 32.2 57.8 5.0 5.0
Reasons for not having enough food Affordability Time Quality of food Health problems Too difficult to get food On a diet Availability No working stove available Others 96 55 15 13 12 9 2 1 4 71.1 43 11.1 9.6 8.9 6.7 1.5 0.7 2.0
Source: Noppawan Piaseu and Pamela Mitchell, 2004, Household Food Insecurity among Urban Poor in Thailand, Journal of Nursing Scholarship, Volume 36, Issue 2 3) Role of markets and hypermarkets
Ways and means to access food have changed during the past decade. People in the rural areas become more dependent on the market and less dependent on food acquired from the nature. From 1996 to 2000, the number of so-called mobile markets (Talad-nut, similar to weekend market) and other temporary markets increased from 995 to over 3,125. In line with the governments policy to promote tourism industry to earn hard currencies after 1997, the number of food shops and restaurants also rose quickly. But only a small number of markets and food establishments achieved the health standard set by the Health Department 44 .
44
Nutrition Plan Formulation Subcommittee, National Nutrition Committee, 2001, the 9th National Food and Nutrition
Plan(2002-2006), Document for the Conference on the National Food Commission Act 2008 and Food Management System of
Thailand, Bangkok, 19 March 2008, pp. 16-17.
26
Another aspect of the changes is found in urban areas; hypermarkets or large discount stores have largely replaced small grocery stores and supermarkets in shopping malls. A consumer survey in Bangkok showed that between 1999 and 2001, consumers reduced their average visits to supermarkets from 4.1 trips to 2.2 trips per month but increased their visits to hypermarkets from 1.9 trips to 2.1 trips per month, citing convenience, proximity, familiarity and friendly environment as most important reasons for this shift. Wet markets continued to be the place where consumers buy fresh food. But the visits dropped from 17 trips per month to 12 trips per month. 48 Hypermarkets have become powerful in influencing consumers choices as they are able to select and control suppliers, and determine the environment where people buy their food. For instance, a study on fruits and vegetables revealed that supermarkets and hypermarkets through promotions, special events, shelving positions, and educational campaigns 49 . from food-exporting business, 20% of which were fruits and vegetables 50 Some hypermarkets have expanded into food export business. In 2007, 8,000 million baht of Tesco Lotuss revenue was
45
Thai PR, 2008, Thai Consumers: the Worlds Biggest Fans of Ready-to-Eat Meals, 9 February,
Doctors Revealed Thais Eating Out 13 Meals a Week Made Them Fat!, Manager, 30 January 2008. Sawangdee, Yothin, et al., Summary of Economic Forecast Centers National Survey, in National Health Foundation , 2006,
47
Food and Water: Essential Factor for Thai Peoples Sustainable Happiness, Bangkok, pp. 337, 339.
48
Faculty of Economics, Kasetsart University et. al, 2008, Impacts of Thailand-China Free Trade Agreement (Under ASEAN-
China Framework) and Adjustment in Fruit and Vegetable Agribusiness System, Final Report No. 1, Report submitted to the
Office of Knowledge Management and Development, p. 78.
50
27
Box 7: Hypermarkets: New Comers in Thailands Food System Prior to the 1997 economic crisis, modern retail food was dominated by supermarkets located in department stores and convenient stores. The first few hypermarkets were established in late 1980s and early 1990s by Thai investors, in joint venture with foreign investors, namely Makro and Lotus by the CP Group, Big C and Carrefour by the Central Group. In 1996, hypermarkets started to take a lions share in the modern retail sector 51 . The 1997 crisis paved a way for foreign takeover of these businesses. Within 10 years, foreign-owned hypermarkets especially the 4 giants- Tesco Lotus, Big C, Carrefour and Makro- have expanded rapidly and drove traditional retailers out of business. In 2001 alone, according to the Ministry of Commerce, more than 900 local retail operators ceased operation because they could not compete with hypermarkets 52 . In 2002, a survey conducted by Thailand Development Research Institute (TDRI) concluded that within 1 kilometer of a hypermarket, there was a 15% net decrease of traditional retail outlets 53 . The four giant retailers expanded their outlets from 31 in 1996 to 196 in 2006 (Table 14). Total sale value of these retailers except Makro reached over 140,000 million baht in 2004 54 . But traditional wet markets continue to dominate the fresh food sector. As a result of head-on competition among different types of modern retailers, many supermarkets and hypermarkets have introduced small-scaled supermarkets
55
Tesco Lotus, Big C Compact of Big C, City Market by Tops. In addition, 7-Eleven convenient stores have developed a specialization in ready-to-eat and frozen food products while expanding into other consumer products, e.g. magazines and books. A proliferation of small-scaled shops with long opening hours does not leave much room for traditional grocery stores; they have to join the franchises.
51
Ruangrai Tokrisna, n.d., Thailand Changing Retail Food Sector: Consequences for Consumers, Producers, and Trade, 2005-
2006 Individual Economy Profiles, Pacific Economic Cooperation Council, p. 4. <www.pecc.org/food/papers/20052006/Thailand/tncpec-ruangrai-paper.pdf, 30 December 2008>
52
Sukanya Jitpleecheep, 2004, Enter the giants, Mid-Year Economic Review, Bangkok Post.
Ruangrai Tokrisna, n.d., Thailand Changing Retail Food Sector: Consequences for Consumers, Producers, and Trade, 2005-
2006 Individual Economy Profiles, Pacific Economic Cooperation Council, p. 10. <www.pecc.org/food/papers/20052006/Thailand/tncpec-ruangrai-paper.pdf, 30 December 2008>.
54
Cited in Siriporn Yodkamonsart and Visate Suchinpram, 2008, Empowering Small Retailers towards Equity in Income
Distribution, Document for the Conference on Empowering People Sector for Equity in Income Distribution, pp. 13-14.
55
Sukanya Jitpleecheep, 2004, Enter the giants, Mid-Year Economic Review, Bangkok Post.
28
Table 14: Numbers of major discount stores Discount Stores Tesco Big C Carrefour Macro Total 5 11 2 13 31 1996 1998 14 20 6 16 56 2000 24 23 11 19 77 2002 n.a. n.a. n.a. n.a. n.a. 2004 60 40 20 n.a. > 120 2006 91 53 23 29 196
Source: Cited in Siriporn Yodkamolsart and Wiset SuchinPrum, 2008, Countervailing Power of Small Retailers to Promote Income Equality, In Faculty of Economics, Chiang Mai University, The study on Countervailing Power to Promote Income Equality, Final report submitted to the National Economic and Social Advisory Council, p. 18. 4) Governments measures to ensure food access In the past, Thailands poverty reduction strategy was primarily based on income-generation and provision of social welfare, particularly education. Food welfare projects were usually under other social welfare or health programs. These programs were designed for specific groups such as school lunch and milk programs for young children and cash transfer program for elderly people. Under normal situations, the government applied domestic price control on certain products to ensure fair trade and consumers access to basic and necessary commodities such as cooking gas, students uniforms and medicines, the list of which is determined annually by the Central Committee on Goods and Services under the supervision of the Ministry of Commerce 56 . When consumer price index rose, the so-called Blue Flag Discount Project would be launched to offer food and consumer products at 20-40% lower than market prices on a temporary basis 57 . Between October 2004 and September 2005, the project operated in 168 related discounted corners, 32 mobile units and 553 participating restaurants and supermarkets throughout the country 58 . It was estimated that the project would reduce the peoples cost of living by 50,000 million baht in 2008 59 .
56
Duenden Nikomborirak and Saowaluk Chevasittiyanon, 2008, Price Control Policy during Food Crisis, Prachachart Turakij,
29 May.
57
Business withdrew from Blue Flag Project. Matichon, p. 19. Internal Trade Department, 2004, Consumer Product Price Control Measures.
58
Blue Flag Help Saving 50 Billion Baht, Post Today, 22 March 2008.
29
Food hazards can occur at any stage of food supply chain: from agricultural inputs, food production, processing, distribution, catering and storing, to domestic handling and preparation. Food hazards is caused by contamination of chemicals, heavy metals, germs and disease. Food inspections during the past decade revealed a disturbing trend. For example, in 1997, The Ministry of Public Healths inspection of over 20,000 restaurants and food shops in municipal areas found that the outlets, utensils, and mishandling of food were causing contamination and food poisoning 63 . Another investigation in 2005 by the Health Department reported contamination in 44% of ready-toeat food from food stalls and supermarkets in 15 provinces. During 2007-2008, several findings by the Ministry of Public Health confirmed chronic contamination of Coliforms, E.Coli and TPC as a result
60
David Dawe, Have Recent Price Increases in International Cereal Prices Been Transmitted to Domestic Economy: The
Experience in Seven Large Asian Countries, ESA Working Paper No.08-03, Food and Agriculture Organization, pp.6-7.
61
Finance Ministry Moves on the Poors Coupon Project, Post Today, 13 July 2008. Government Recalls Consumers Confidence- Exempted Oil Tax, Free Buses and Trains, Matichon, 15 July 2008. Nutrition Plan Formulation Subcommittee, the National Nutrition Committee, 1998, the 8th National Food and Nutrition
62
63
Plan(1997-2001), Document for the Conference on the National Food Commission Act 2008 and Food Management System of
Thailand, Bangkok, 19 March 2008.
30
vendors, food safety monitoring becomes more difficult. 65 The heavy use of chemicals in food production also contributes to this problem. For fruits and vegetables, pesticide use per area reaches the maximum limit 66 . From 1994 to 1999, the Ministry of Public Healths surveillance discovered chemical contamination in regular and chemical free vegetables sold in the markets. In some cases, the contamination was well beyond the safety standard. Between 2000 and 2001, a random inspection by the Ministry of Agriculture and Cooperatives also detected pesticide residues in 42% of the vegetables and beans. 11% including Chinese kale and asparagus bean contained residues in the amount that exceeded the Maximum Residue Limits (MRL) - the level of maximum chemical contamination acceptable in food. In recent years, although there was a drop in the import of chemical fertilizers, but import of herbicide has risen from 73,000 tons in 2003 to almost 102,000 tons in 2006 (see Table 15). Table 15: Volume and Value of Chemical Fertilizer and Herbicide in Thailand, 2003-2006 Import of chemical fertilizer Year 2003 2004 2005 2006 Source: Use of chemical fertilizer Import of herbicide Use of herbicide Average value Value (baht/ (million baht) rai) 0.55 76.07 0.76 78.63 0.60 80.20 0.77 98.76
Volume Value Volume Value Volume Value (millio (billion (kg/ (baht/ (thousa (billion n ton) baht) rai) rai) nd ton) baht) 4.72 26.40 36.0 200 73.03 10.04 3.88 33.24 29.0 252 99.84 10.37 3.59 35.95 27.2 272 78.65 10.57 3.68 35.38 27.9 268 101.79 13.02 National Committee of Organic Agriculture Development, 2008, Strategic Plan and
Box 8: Examples of food hazards in processed food in 2008 Case 1: Contaminated noodles In 2008, newspapers reported that rice noodles were contaminated with heavy metal. A research team that studied the noodle industry during 2006-2008 disclosed that used motor oil was used to make noodle soft, and less sticky so that it is easy to cut. Used motor oil is poisonous
64
Food and Drug Administration, Ministry of Public Health, 2008, Comments to the Drafted Policy Proposals for the 1st Health
Assembly, Letter submitted to the president of the National Health Assembly Organizing Commission. 21 October.
65
Ministry of Public Health, 2005, Executive Summary, Assessment Project of Food Safety Strategies in the First Phase
(2004), Nonthaburi.
66
Faculty of Economics, Chulalongkorn University, 2006, Organic Agriculture and Sustainable Trading Economy, Public Policy
Project for Food Safety and Sustainable Trading Economy, Bangkok, p. 58.
31
Domestic poultry consumption expanded at 3.1% per annum since 1970s, compared with the 3.4% global growth rate. By 1999, Thai people consumed more chicken than the global average. 69 . Frozen chicken becomes one of the largest export items. It is characterized by high consolidation and vertical integration, dominated by a few giant companies. Between 2003 and 2005, Thai consumers had to avoid poultry and egg at the reported bird flu outbreaks. The disease was first reported at a chicken farm in Nakhon Sawan province in the Central Region before spreading to other areas. In mid-January 2004, the epidemic extended to 32 provinces and seriously jeopardized both domestic and export markets. Over 63 million of poultry mostly chicken were slaughtered during 3 outbreaks in 2003-2005 (Table 16). The total number of chicken culled accounted for at least 25% of total poultry raised in the country. The Thai government was criticized for initially suppressing information about bird flu epidemic. To restore consumers confidence, the government started a campaign Eating Thai Chicken is 100% Safe, including a televised program showing prime minister and ministers eating cooked chicken. The industry distributed free chicken, organized chicken eating competition, etc. 70 By late 2004, a national bird flu committee was set up to develop a comprehensive plan to prevent and manage future risks. Thailand was not alone; the bird flu epidemic also affected several other countries. Regional and international collaboration was among important preventive and management strategies.
67
Thailand Research Fund Warned of Several Chemical Contamination in Noodles, Thai Post, 29 August 2008. Department of Agriculture, Research between 1996 and 2005, pp 2-3. ,<http://it.doa.go.th/apsrdo/research10.doc, 1
68
November 2008>
69
McKinsey Global Institute, 2002, Chicken Processing, Thailand: Prosperity through Productivity, pp.137-138.
Chanida Chanyapate and Isabelle Delforge, 2004, Politics of Bird Flu in Thailand, Focus on Trade, E-News Letter, No. 98,
32
The late 2003 190 in 42 60,000,000 12 8 to May 2004 provinces Second July 2004- April 1,542 in 51 3,000,000 5 4 2005 provinces Third July 200540 in 5 400,000 5 2 December 2005 provinces Source: Department of Livestock Development, Ministry of Agriculture and Cooperative; and Department of Disease Control, Ministry of Public Health, cited in Institute for Population and Social Research, 2006, Facing the Challenge of Bird Flu, Thai Health. An important measure is the introduction of industrial closed-door system (known as evaporative cooling system - EVAP) to protect animals from bird flu infection. This system was meant to replace the traditional open-aired system, e.g. raising poultry in the backyard commonly practiced by rural people. Most of 40,000 small and medium-sized poultry farms throughout the country were open-aired farms. The closed-farm policy was advocated by the government and some large chicken-raising companies. The government introduced a number of carrot and stick measures to advocate this transformation, for instance, requiring chicken raisers to register all chicken and to upgrade their farms; only those that adopt new chicken-raising would be entitled to compensation in times of epidemic. 71 Some raised doubt whether the closed farm system is an effective measure against bird flu as chicken in a closed farm system are not immune to the diseases 72 . 3) Food safety campaigns and linkage to agricultural policy
Compared with other dimensions of food security, food safety is the most popular topic that has been publicly discussed in details and at great length. This is due to the effort of those in the public health sector. In 1999, the FDA under the Ministry of Public Health launched the National Food Safety Program, with an aim to improve coordination among many government agencies through the newly set up National Food Safety Committee. The program and the committee were under a supervision of the National Food Commission set up in 1992. The committee was tasked to oversee food safety under normal circumstance and during emergencies. A taskforce and a working
71
Isabelle Delforge, 2004, The Flu That Made Agribusiness Stronger, <http://focusweb.org/content/view/363/28/, 9
December 2008>
72
See Isabelle Delforge, 2004, The Flu That Made Agribusiness Stronger, <http://focusweb.org/content/view/363/28/, 9
December 2008>
33
Food and Drug Administration, Ministry of Public Health, 1999, National Food Safety Program, Document for the
Conference on the National Food Commission Act 2008 and Food Management System of Thailand, Bangkok, 19 March 2008, pp. 25-28
74
National Health Commission Office of Thailand, 2008, Health Assembly: New Mechanism for Participatory Healthy Public
National Committee of Organic Agriculture Development, 2008, Strategic Plan and Implementation Plan on Organic
34
Organic agriculture, due to low productivity, is largely outside the Thai policy makers radar screen. But organic agriculture has long been part of farmers agricultural practices before the countrys agricultural development paradigm shift. Realizing the negative impacts of agricultural chemicals on farmers health and the environment, a number of non-governmental organizations have taken the lead in supporting small-scaled farmers to convert to organic agriculture since 1980s 78 . In 1995, they developed a guideline for organic agriculture standards and established the Organic Agriculture Certification Thailand (ACT), which was accredited by the International Federation of Organic Agriculture Movements (IFOAM) in 2001 79 . Organic farming remained outside of the policy forum until late in 2001 when the newlyelected government announced a policy to promote organic farming and other types of non-chemical agriculture 80 . By 2005, organic agriculture became a national agenda; the government aimed to use organic agriculture to capture the emerging organic food markets and to advance the Kitchen of the World policy. The organic agriculture policy circle was therefore broadened to include many new actors including the Ministry of Science and Technology that implemented a project called Strengthening the Export Capacity of Thailands Organic Agriculture with financial support from international organizations. In 2007, the National Organic Agriculture Development Commission was set up by a cabinet resolution under the authority of the Office of National Economic and Social
76
National Committee of Organic Agriculture Development, 2008, Strategic Plan and Implementation Plan on Organic
National Committee of Organic Agriculture Development, 2008, Strategic Plan and Implementation Plan on Organic
Green Net, and et. al, 2003, Mainstreaming Organic Trade New Frontiers, Opportunities & Responsibilities, Leaflet for the
Green Net, and et. al, 2003, Mainstreaming Organic Trade New Frontiers, Opportunities & Responsibilities, Leaflet for the
http://www.ldd.go.th/link_fertilizer/home.htm
35
Source: Green Net and Earth Net, 2006, cited in 1 National Committee of Organic Agriculture Development, 2008, Strategic Plan and Implementation Plan on Organic Agriculture Development (2008-2011), p. 9.
81
National Committee of Organic Agriculture Development, 2008, Strategic Plan and Implementation Plan on Organic
36
77 9,756
4.6 375.1
Source: Green Net and Earth Net, 2006, cited in National Committee of Organic Agriculture Development, 2008, Strategic Plan and Implementation Plan on Organic Agriculture Development (2008-2011), p. 10.
2.5
Stability
Food stability depends on several factors. Most important is the sustainability of natural resources; the sufficiency, accessibility and utilization dimensions of food security all depend on the quality and quantity of natural resources. Communities that are highly dependent on natural resources as source of food and production inputs are particularly vulnerable when these resources diminish or deteriorate. Both the 1997 and the 2007 constitutions empower local communities to take part in managing their natural resources. Several national and local movements are also pursuing this goal. Many have had frustrating experiences. 1) Deterioration of natural resources
Soil, water and marine resources are among the most important resources for food security. The past decade has seen continuous depletion of these resources in both quality and quantity due to excessive exploitation and mismanagement. Thailand has about 320 million rai of land. In 1998, it was estimated that 33% of the land had eroded surface and 60% had low organic matters. Moreover, 19% of total land especially in the forest area, high land and arable land were used for non-agricultural activities such as tourism, residential and commercial purposes. Due to salinity, acidity, sandiness, shallowness and slope complexity, 57% of total land was not suitable for cultivation 84. In 2006, 72% of farming communities experienced soil problems, mainly due to erosion
82
Tops Saw Brightening Organic Market, Post Today, 21 September 2008. National Committee of Organic Agriculture Development, 2008, Strategic Plan and Implementation Plan on Organic
83
Office of Natural Resources and Environmental Policy and Planning, 1998, Executive Summary, A Report on State of
37
85
Office of Natural Resources and Environmental Policy and Planning , Situation on State of Environment Online.
Office of Natural Resources and Environmental Policy and Planning, 1999, State of Environment 1999,
Thai National Health Foundation, 2005, Food and Water: Survival and Sustainable Happiness, Bangkok, p. 84. Office of Natural Resources and Environmental Policy and Planning, 2001, Executive Summary, State of Environment 2001,
88
Office of Natural Resources and Environmental Policy and Planning, 2001, Executive Summary, State of Environment 2001,
Pitsanu Chanwitan, 2008, Thai Fishing Boats and Non-Thai Water Fishery, National Defense College. <
38
Source: cited in Somying Piumsombun, 2003, The Impact of International Fish Trade on Food Security in Thailand, Report of the Expert Consultation on International Fish Trade and Food Security, Casablanca, Morocco, 27-30 January 2003, FAO Fisheries Report No. 708, ftp://ftp.fao.org/docrep/fao/006/y4961e/Y4961E00.pdf, 7 October 2008
2)
Small food producers constituted the majority of the food supply chain. Now, many of them, having experienced unstable farm income and rising cost of production, have left the agricultural sector. Farm income became a small part of the farming households revenue; the share dropped from 54% in 1976 to 35% in 2001 and 33% in 2004. 91 From 1999 onwards, the number of farm workers has continued to drop. Now they are outnumbered by non-farm workers 92 . A study of aging population in rural areas showed that in 1985, as many as 78% of young men (aged 1539) in the rural areas worked in agriculture. By 2003, the figure fell to 59%. A more drastic drop was observed among young rural women, from 80% to 53%. This resulted in almost 20% reduction of farmers under 40 years of age. As a result, the agricultural sector now has the oldest workforce, compared with other sectors 93 . Shrinking and aging farming population is a
91
Graduate School of Kasertkart University, 2006, A Study on Poverty in Farming Households, A report submitted to the Office
National Economic and Social Advisory Council, A Survey Found Constant Reduction of Farm Workers, 8 May 2008,
John Bryant and Rossarin Gray, 2005, Rural population ageing and farm structure in Thailand, Food and
Agriculture Organization of the United Nations, September, pp. 9-10. < http://www.globalaging.org/ruralaging/world/2005/fao.thailande.pdf, 30 December 2008>
39
Source, John Bryant and Rossarin Gray, 2005, Rural Population Aging and Farm Structure in Thailand, Food and Agriculture Organization of the United Nations <http://www.globalaging.org/ruralaging/world/2005/fao.thailande.pdf, p. 9> Note: 1) *Males per 100 females.2) Employed in agriculture refers to people working at least one hour a week in agriculture.
The loss of young farmers is partly due to the lack of governments policy to promote agricultural development. Several measures and mechanisms to enhance farmers income have proved to be costly and unsuccessful. One of the most important changes in the Thai agriculture is the penetration of business conglomerates into the food and agricultural sector. These business conglomerates have become very influential players in shaping the Thai agricultural sector. One of the changes is the production system based on contracts between farmers and business companies, known as contract farming. The success story of poultry contract-farming that propelled the poultry industry to become Thailands leading export led the Thai authorities and some development institutions such as the Asian Development Bank (ADB) 95 to regard contract farming as the way to address the problem of farmers poverty and income instability. 96 In the past decade, contract farming has gained acceptance at the policy level as a way for Thai agriculture to survive the intense global competition. A downside effect is unequal treatment between contract farming and non-
94
Agriculture and Education Ministries Joined Hands to Promote New Farmer Generation, Krungthep Turakij, 13 March 2008.
<http://www.bangkokbiznews.com/2008/03/13/news_25940785.php?news_id=25940785 >
95
Asian Development Bank, 2003, Private Sector Critical To Thai Agriculture, Says ADB Expert, News Brief, 27 March.
Budsara Limnirunku et al., 2006, MCCC Contract Farming and Opportunities for Small Farmers Development, 2006 Annual
40
the FTA on the Northern farmers was primarily designed for the contract farming sector. As a matter of fact, contract farming and the increasing role of business conglomerates in agricultural development does not always produce positive outcomes. Several cases of unfair contracts and unfair practices provide testimony to the asymmetric power between the two sides. Some written contracts forced the farmers to accept risks beyond their shares of responsibility. For instance, some pig-raising contracts reserve rights for the company to include additional requirements, and to cancel the contract without advance notice to the farmer. 97 In addition, contract farming by large business companies does not guarantee good agricultural practice. Waste from intensive culture of fish raised in cages on contract farming polluted rivers. As far as contract farming is concerned, it is important that the government carefully balance its role as promoter on one hand, and regulator on the other 98 . Box 11: New Player in the Rice Sector The rise of staple foods prices in early 2008 brought foreign investors to the Thai rice fields. The Thai agricultural sector has long been under protection for security reasons. Invited by a few business-minded politicians who held high-ranking positions, foreign investors from the oil-rich Middle East countries were interested in investing in rice production in Thailand and other countries in the region to ensure the security of rice import. Without any public consultation, the politicians proposed joint investment and export projects that involved land rental. The proposal met strong opposition from academics, civil society, and the business sector on ground that rice farming is central to the countrys economic, social and cultural security and should not be open to foreigners. Nonetheless, it was difficult to prevent foreign investment through nominees. Hence, the Rice Department, the Ministry of Agriculture and Cooperatives, proposed to amend the legislation on land rental and protection of agricultural land by strictly prohibiting the use of nominees. Source: Rice Department Ruled out Farm Rent, Naewnar, 26 May 2008.
97
Chatupon Wangsuwattana and Chonlatee Wattanawetwichit, 2007, Legal Guidelines for Protection of Farmers in Contract
Farming System, Research Paper, Quality of work Life for Informal Worker Programme, pp. 11-12. < http://sadathai.org/Download/report.pdf, 29 December 2008>
98
Sukhpal Singh, 2005, Role of the state in contract farming in Thailand: experience and lessons, ASEAN Economic Bulletin,
41
Natural resources and food security are closely linked at the community level as rural people depend on natural resources such as river, forest, and land, as sources of food. One of the interesting developments since 1997 was the strengthening of community-based movements. Section 46 of the 1997 constitution recognized the right of local communities to conserve and rehabilitate their tradition, wisdoms, arts and cultures, and to participate in the management, usage and maintenance of natural resources. Section 79 stipulated the role of the state in protecting and promoting peoples participation in resource management. These two sections provided a policy space for local communities to keep up their pressure on the government for the decentralization of resource management, and for the introduction of a system of open access resources under which important natural resources such as forests and rivers are regarded as common resources 99 , which local communities can use and manage in a sustainable manner. Box 12: Food Resources Affected by Misguided Policy: Pak Moon Dam Government policies are instrumental for ensuring the stability of food resources. At times, misguided policies brought about opposite impacts. A classic case is the Pak Moon dam in Ubon Ratchathani province. During and after the dam construction, local people whose livelihoods depended on fishes from the Moon river had to endure floods over their rice fields and loss of fishing catches as the dam blocked off natural river flows. Several fish species disappeared. Some villagers had to migrate to work as waged labor in the cities. Others switched to other jobs to stay in their villages. In both cases, income and wage were insufficient to feed the families. Before [the dams construction] when rice cultivation was not enough for consumption, [I] went to catch fish and exchanged them for rice. Now, I cant catch fish, so I dont eat anything and go hungry. By myself, I can probably bear it but how about my wife and kids? Can I let them go hungry? Even if I have to beg for food, I have to do. (Dum, dam-affected fisherman, p. 49) In 2001, after painstaking struggles, affected people along the Moon River, with support from NGOs and academics, successfully pressured the government to open all the dam sluice gates for 4 months in order to observe changes in the eco-system. A research conducted by affected
99
Buntoon Sertsirote et al., 2004, Community Right and Resource Base in the Green Constitution: Hope and Way Out,
Environment 04, Paper presented at the 8th Conference on Natural Resource and Environmental Conservation in Thailand, 5-6
June 2004, Bangkok, p. 275.
42
After years of advocacy work, sustainable agriculture was included in the 8th National Economic and Social Plan (1997-2001). The plan explicitly set concrete targets of expanding sustainable agriculture practices by at least 20% of total agricultural areas (about 25 million rai). The key implementation strategy was the participation of private and non-governmental sectors. An assessment at the end of the plan revealed several constrains in promoting sustainable agriculture, namely farmers lack of land ownership, financial support, and genuine belief in alternative agriculture, the government agencies overemphasis on quantitative outputs, and the stakeholders inconsistent collaboration 101 . Despite these obstacles, more financial support was allocated to support farmers initiatives at local levels. For example, during 2002-2004, a pilot project undertaken by the Alternative
100
Rajesh Daniel, 2002, Thailand: Senate blocks draft community forest bill, WRM's Bulletin, No. 57, April.
Office of National Economic and Social Development Board, 2004, An Assessment on Capacity and Living Quality
Development of Farmers in Sustainable Agriculture, Office of National Economic and Social Development Board Bangkok, p 15.
43
Genetically-modified organism (GMO) is related to food safety as much as food stability. In Thailand, consumers, farmers, business people, environmentalists, academics and some government agencies joined force to oppose the penetration of the GMO into the cultivation system. A survey on peoples perception during 2002-2004 revealed that the majority of farmers and consumers were aware of the GMOs through media coverage. Most consumers, academics and farmers felt that the country was not ready for GMO cultivation while many other groups were undecided due to lack of information. Almost all academics believed safety and impact prevention measures are needed to ensure the confidence of domestic consumers and export markets 103 . Thailands experiment with GMO started in 1982 when the National Center for Genetic Engineering and Agricultural Biotechnology (BIOTEC) was set up to conduct research on genetic engineering and biotechnology. The first GMO ringspot virus-resistance papaya was developed in collaboration with the Department of Agriculture and the Cornell University, USA. Since 1994, the government allowed field trials of imported GMOs such as FLAVAR SAVR tomatoes of the Upjohn; and Roundup corns and BT cottons of the Monsanto. The leakage of Monsantos BT cottons outside the experimental fields turned up the heat in the GMO debate. Opposition pointed out that the government failed to control bio-safety impacts on the environment and failed to prevent unexpected consequences which might occur in food and agricultural markets. The government eventually gave in to the pressure and passed a resolution on 3 April 2001 to halt a project for GMOs import and cultivation for commercial purposes, except under laboratory and greenhouse conditions. Measures to assure both food safety and environmental safety are still weak. In 2003, the Ministry of Public Health issued an announcement to limit GMO use in corn and soy bean products to 5%. It also proposed the labeling of GMO products on a voluntary basis 104 . Although several committees and subcommittees have been set up since 1992, the agricultural authorities only issued
102
Sustainable Agriculture Foundation, n.d., Pilot Project for Small Farmers Sustainable Agriculture Development, <
Sutjai Jongwornkijwattana, 2005, A Study on Genetically Modified Organism (GMO) and Thai Agriculture, Office of
Ruud Valyasevi, 2003, Current Status of Biosafety of Genetic Modified Foods in Thailand, pp. 51-53.
44
Box 13: A Brief Chronology of Policies Related to Food Security Year 1972 1992 1999 Policy The First National Food and Nutrition Plan was integrated into the 4th National Economic and Social Development Plan. National Food Commission headed by high-ranked official in the Ministry of Public Health was set up. National Food Commission approved an establishment of the National Food Safety System and the National Food Safety Committee. Two working groups were set up to operate under normal circumstances and crisis situation. 2001 The National Food and Nutrition Plan 2002-2006 envisioned Thailand to have food security and safety; Thai children to have good nutrition and growth with full capacity development; Thai people to have good health, talent and selfdependence, which will lead to sustainable development 106 The cabinet resolution on 3 April 2001 suspended a project to import and cultivate GMO for commercial purposes, except under laboratory and greenhouse conditions. 2002 2003 2004 Proposal of the National Strategic Plan on Food Security, jointly supported by the Department of Health and the WHO, was launched. The government concluded the first FTA with China to eliminate import and export tariffs of fruits and vegetables. The government launched the Food Safety Year. A set of human security indicators, including a component on food security, was launched by the Ministry of Social Development and Human Security. Food security indicators were dropped from the revised version in 2005 due to the lack of data. The National Health Assembly adopted Agriculture and Food for Health as the thematic focus in 2004.
105
45
By and large, food security situation in Thailand is very different from most countries, given the abundance of food supply. Nevertheless, the country has faced several constraints and setbacks and recently revealed its own vulnerability as food prices reached unprecedented level. In the coming decades, situation of food security will be more uncertain as climate changes will be more severe and the resurgence of oil prices will affect many people in the food chain. A range of policies have been developed, or implemented. The situation and policy impacts needed to be monitored closely and adjusted to meet new challenges. Thailands experiences showed that most problems, including food security, could not be tackled effectively by any one agency. Collaboration and networking at all levels is important for mobilizing insights, knowledge, skills and other necessary resources to strengthen food security. The role of local administrative organizations, communities and non-governmental organizations is particularly vital in the localization and implementation of national policies. and constructively in policy making and implementation. In the next ten years, Thailand has a lot to do to address its vulnerability and prepare for new challenges. Below are selected policy options for the promotion of food security. The government should also empower and enhance the capacity of these stakeholders so that they can participate effectively
106
Nutrition Plan Formulation Subcommittee, National Nutrition Committee, 2001, the 9th National Food and Nutrition
Plan(2002-2006), Document for the Conference on the National Food Commission Act 2008 and Food Management System of
Thailand, Bangkok, 19 March 2008, p 2.
46
47
48
49
107
For more information, see Sukran Rojanapraiwong, 2008, Self-Reliance Action, Rewriting from Research Study on
50
51
52
53
Aside from food production, small-scaled farming should be recognized for their social, cultural and ecological roles. This is seldom accounted for in the policy makers and consumers balance sheet. These roles include keepers of local knowledge and seed varieties, to name just a few. There is room for policy intervention. But action is urgently needed, considering the age factor of the current generation of farmers. By and large, the intervention should aim to redress the imbalance in the food and agriculture system, improve welfare and social status of people in the farming sector through education, health, and other assistance programs. But first and foremost is to restructure the agricultural policy process to be more inclusive and decentralized, to avoid ineffective, mismanaged and unsustainable policies and implementation.
54
Biofuels Digest. 19 May 2008. <http://www.biofuelsdigest.com/blog2/2008/05/19/thai-oilpalm-pilot-crop-ready-for-harvest-may-replace-tangerine-crops-wiped-out-by-viruses/, accessed on 15 November 2008> Thailand Research Fund Warned of Several Chemical Contamination in Noodles. Thai Post. 29 August 2008. Tops Saw Brightening Organic Market. Post Today. 21 September 2008. Understanding the Global Rice Crisis. Business Week. Economics and Policy. April 28. 2008. The Agricultural Futures Trading Commission, 2007, Structure of Domestic Rice Market <http://www.aftc.or.th/itc/products_analyze_price_16.php?id=58&fgrp_id=5&fmnu_id=18, 4 February 2009> Asian Development Bank. 2003. Private Sector Critical To Thai Agriculture, Says ADB Expert. News
Brief. 27 March.
<http://www.adb.org/media/Articles/2003/1869_Thailand_Private_Sector_Critical_To_Thai_A griculture_Says_ADB_Expert/, accessed on 28 December 2008> Boonyabancha, Somsook. 2005. Scaling Up Slums And Squatter Settlements Upgrading In Thailand Leading To Community-Driven Integrated Social Development At City-Wide Level. Paper Presented at the Arusha Conference on New Frontiers of Social Policy. 12-15 December 2005.
55
Food Security. A report as part of the Establishment of Food Safety Master Plan for Domestic
Consumer in Thailand under the Public Health Act. 1992. Supported by the Health Department and the World Health Organization. Bangkok. Faculty of Economics. Chulalongkorn University. 2006. Organic Agriculture and Sustainable Trading
Economy. Public Policy Project for Food Safety and Sustainable Trading Economy. Bangkok.
Faculty of Economics. Kasetsart University et al. 2008. Impacts of Thailand-China Free Trade
Agreement (Under ASEAN-China Framework) and Adjustment in Fruit and Vegetable Agribusiness System. Final Report No. 1. Report submitted to the Office of Knowledge
Management and Development. Food and Agriculture Organization. 2000. Glossary. Food Insecurity and Vulnerability Information
56
District. Muangnan District. Nan Province . Thesis for the Master Degree at Thammasart
University. Internal Trade Department. 2004. Consumer Product Price Control Measures. <http://www.dit.go.th/uploads/6E6C7_1150.doc, accessed on 4 November 2008> International Rice Research Institute, 2009, IRRI World Rice Statistics. <http://beta.irri.org/statistics/images/stories/wrs/wrs_nov08_table03_yield.xls, 4 February 2009> Jitpleecheep, Sukanya. 2004. Enter the giants. Mid-Year Economic Review. Bangkok Post. <http://www.bangkokpost.com/midyear2004/retailing01.html, accessed on 2 November 2008> Jongwornkijwattana, Sutjai. 2005. A Study on Genetically Modified Organism (GMO) and Thai Agriculture. Office of Agricultural Economics. <http://www.oae.go.th/model/GMOs.pdf, accessed on 14 November 2008> Kaiyoorawong, Sayamol. From Commercial Forest Plantation Policy to Fuel Crop Policy: Food Security in the Southern Region. Paper Presented at the Public Conference on Fuel Crop and Rubber Policies: Opportunities and Risks of Farmers. 17-19 October 2008. <http://www.sathai.org/images/Story_thai/022-pic/Annex1.pdf, accessed on 18 December 2008> Limnirunku, Budsara et al. 2006. MCCC Contract Farming and Opportunities for Small Farmers Development. 2006 Annual Conference. Multiple Cropping Center. <
57
and Nutrition Plan(2002-2006). Document for the Conference on the National Food
Commission Act 2008 and Food Management System of Thailand. Bangkok. 19 March 2008. Office of National Economic and Social Development Board. 2002. The Poor: New Opportunities for Self-Reliance.
58
Environment Online.
<http://www.onep.go.th/soe%5Fonline/default2.asp?active_page_id=110, accessed on 12 November 2008> Office of Natural Resources and Environmental Policy and Planning. 2001. Executive Summary.
59
60