Rice millers, exporters and traders who have more than 15 tonnes of rice in their warehouses must report their stockpiles to the Commerce Ministry as a measure to prevent them selling rice to the government under the pledging project instead of farmers.

The move came after the ministry was told that some millers and traders had scrambled to purchase rice for speculation before the pledging project starts on October 7. The government feared that those traders would take part in the pledging scheme on behalf of farmers and sell rice to the government that they bought at low cost.

The ministry's permanent secretary Yanyong Phuangrach said it would impose stringent controls to ensure that the government's subsidy will benefit farmers.

The new regulation is scheduled to be effective tomorrow.

Any traders refusing to inform the government on their stocks or provide incorrect figures will be subject to jail and/or fines.

Also, rice movements in 24 provinces on the country's borders will be controlled to prevent rice from neighbouring countries unlawfully benefiting from the government's pledging scheme.

Traders who want to move more than 5 tonnes of rice in those provinces must ask for the ministry's permission, to prevent unqualified rice being included in the pledging project.

Source: The Nation