CNI News

6 October 2023

Although the basic reference price has been designated as 1,300,000 to 1,500,000 kyats for 100 baskets of rice paddy, because traders and rice mills buy rice paddy at the price under basic reference price, farmers are unavoidably selling at the price under basic reference rate reportedly.

Although Myanmar Rice Federation has designated 1,300,000 to 1,500,000 kyats for 100 baskets of Aemahta rice paddy, a kind of rough rice, traders and rice mills pay only at the price under basic reference rate by reason of transportation charges. Basic reference price is the one for the rice paddy that arrives at the mill.

So, farmers currently get only between  1,200,000 and 1,300,000 kyats for 100 baskets due to the transportation charges, said U Thein Aung, chairman of the Farmers Development Association, to CNI News.

"They buy rice paddy at that price when it arrives at the mill. Transportation charges depend on the distance or on easiness or difficulty. So, some farmers get only 1,200,000 kyats. Some get 1,300,000 kyats. The highest price some farmers get is 1,400,000 kyats." he said.

People reaping rice paddy

Although 100 baskets of rice paddy are designated as 46 pounds according to international standard, 100 baskets are designated as 50 to 55 pounds and being bought in practice. 

At present, it is the period when Aemahta, type of rough rice appear and Aemahta is being bought in 18 townships in Ayeyarwady Region including Kyangin, Myan aung, Ingapu, Lemyethna, Yegyi, Kyaunggon, Hinthada, Zalun, Danubyu, Kyonpyaw, Einme and Pantanaw.

Because the Myanmar Rice Federation has designated the basic reference price, it is responsible to take action against the purchasing at the price under the basic reference price, said a farmer from Hinthada Township to CNI News. 

" It depends the yield of rice paddy. If the yield is less, we make a loss. Inputs such as fertilizer are expensive. Harvest fees are also about 1,300,000 kyats. If the practical price is under 1,300,000 kyats, who will be responsible for that. If a statement is released, those who release the statement need to take responsibility. If there's no action, who will comply?" he said.  

Although the current price is beneficial to farmers, the farmers whose rice paddy yield is less can make a loss, said farmers.

Moreover, most of the farmers are facing with lots of losses due to heavy rain this year.