by Piyaporn Hawiset
October 5, 2001
ASEAN farm ministers have claimed they want their countries to muster the political will to eradicate poverty among the region's farmers through co-operation in marketing and production. Agriculture and forestry ministers of ASEAN met at the end of October 2001. Thailand's Agriculture Minister Praphat Pothasuthon made an urgent request for the ministers to consider the problem of plunging farm prices and the application of non-tariff barriers to the importation of farm products by developed countries.
Ampon Kittiampon, the assistant permanent secretary of agriculture in the Thai government, said Thailand proposed that the issue be handled regionally with all members co-operating to establish a regional framework on trade in farm products. The ministers said that with the success of the establishment of the ASEAN Free Trade Area (AFTA), ASEAN exporters could improve their performance and the region could attract more investment. However, AFTA had not yet succeeded in bringing prosperity to the 300 million farmers in the region. This is because the economic and political elite in the countries continue with their corrupt activities, effectively siphoning real wealth formation and leaving little for the countries' rural people.
ASEAN is a major exporter of at least five commodities. Thailand and Vietnam export about 11 million tons of rice or 60% of total world rice trade of 18 million tons. Indonesia, Malaysia and Thailand export more than 80% of rubber in the world. Vietnam was poised to be the world's second-biggest coffee exporter in 2000, Malaysia is the leader in palm oil exports and Thailand is the largest exporter of tapioca pellets.
Mr Ampon said the Thai premier would raise the issue at the ASEAN Summit in November. He said regional co-operation could be done through joint marketing by setting minimum prices for the export of common commodities, but the ties would not be as strong as the cartel of oil exporting countries. ASEAN could also co-operate in production so a member could focus on a product in which it had an advantage.
"It's time for ASEAN to join forces to have a framework on farm trade like the Common Agriculture Policy of the European Union," Mr Ampon said.