Cheap Burmese rice
smuggled into Mae Sot, Thailand
Legal imports blocked
By Jon Fernquest 
Today's
Bangkok Post reports on the smuggling of cheap Burmese rice into
Thailand via Mae Sot. Why is the rice illegally smuggled and not legally imported?
...rice
imports require a licence
under the Rice Imports
Control Act of 1996.
But licences are never
granted as border security units have been asked
to work with administrative officials to block the inflow of foreign
rice.
So why is there a trade barrier to rice imports from Burma? Isn't Burma part of an ASEAN trade area in which rice imports and exports are permitted? How long has this been going on?
What happens to the smuggled rice?
About
70% of the smuggled produce is sold to Burmese workers. The other
30% is bought by rice traders who mix the cheap grain with Thai rice to
boost their stocks.
If the rice was legally imported wouldn't traders just sell the rice openly and not do this sneaky mixing with Thai rice?
(Photo on right of rice sacks piled beside the Moei river, the natural border between Thailand and Burma, in Myawaddy opposite Mae Sot)
Here is the article in full:
Burmese smugglers flood Thai rice market
Border surveillance operations stepped upBy SUPAMART KASEM
23/02/2009
Cheap Burmese rice is being smuggled into Thailand by the truckload to mix with local rice to boost stocks and sell to Burmese workers, a border source in Tak province says.
Border surveillance has been stepped up in an effort to thwart the smugglers.
The source said the smugglers enjoyed the backing of high-level politicians, including a former minister, and men in uniform.
He said the trade was run by parties from both sides of the border with the help of border officials in Mae Sot and Mae Ramat districts, where most of the rice enters the country.
stocks - amounts
stored for future use
boost stocks - increase the amount stored for future use
sneaky - doing secretly, in a hidden way that cannot be seen
a license - official permission to do something (like import goods into a country)
Rice Imports Control Act of 1996 - Thailand's official laws on rice imports
trade barriers - laws and regulations that prevent goods being imported into a country
smuggled - bring goods into a country secretly and illegally
smuggled by the truckload - trucks loaded with the good smuggled the good into the country
surveillance - carefully watching what someone does (by the police)
border surveillance - carefully watching what people do along the border between two countries
X stepped up - do more of activity X, do X more intensely
thwart - prevent someone from doing something
backing - support, help
enjoyed the backing of high-level politicians - helped by powerful politicians
men in uniform - soldiers, the military
boost stocks - increase the amount stored for future use
sneaky - doing secretly, in a hidden way that cannot be seen
a license - official permission to do something (like import goods into a country)
Rice Imports Control Act of 1996 - Thailand's official laws on rice imports
trade barriers - laws and regulations that prevent goods being imported into a country
smuggled - bring goods into a country secretly and illegally
smuggled by the truckload - trucks loaded with the good smuggled the good into the country
surveillance - carefully watching what someone does (by the police)
border surveillance - carefully watching what people do along the border between two countries
X stepped up - do more of activity X, do X more intensely
thwart - prevent someone from doing something
backing - support, help
enjoyed the backing of high-level politicians - helped by powerful politicians
men in uniform - soldiers, the military
How the smuggling works
Up to 40 trucks laden with Burmese rice have been caught passing a border crossing in just one night, the source said.Importers of the illegal rice reportedly pay officials up to 600 baht per sack - 2.2 million baht for 40 trucks - to cross the border, he said.
The source said there was a vast market for Burmese rice. About 70% of the smuggled produce is sold to Burmese workers. The other 30% is bought by rice traders who mix the cheap grain with Thai rice to boost their stocks.
Mae Sot district customs chief Pongthep Buasap said Burmese rice was cheaper than Thai rice mainly because Burma had a bumper harvest this year.
Also the demand for cheap rice among Burmese workers was rising.
laden with -
carrying or holding heavy things
vast - very large
a bumper harvest - a very large harvest
vast - very large
a bumper harvest - a very large harvest
Mr Pongthep said rice imports require a licence under the Rice Imports Control Act of 1996. But licences are never granted as border security units have been asked to work with administrative officials to block the inflow of foreign rice.
The Mae Sot customs office seized 27.6 tonnes of contraband rice worth almost 200,000 baht in the three months to Feb 5.
Col Padung Yingpaiboonsuk, commander of the Fourth Infantry Task Force, said his task force was issued a directive by the Third Army to assist in the crackdown on rice smugglers.
Rice Imports Control Act of 1996
- Thailand's official laws on rice imports
a license - official permission to do something (like import goods into a country)
contraband - goods taken into or out of a country illegally
a crackdown - strong official action taken to punish people who break laws (usually temporary)
a license - official permission to do something (like import goods into a country)
contraband - goods taken into or out of a country illegally
a crackdown - strong official action taken to punish people who break laws (usually temporary)
But he said the strict inspections of all rice shipments was troubling honest rice traders along the border.
The commander said rice companies should stop breaking the law and apply for import licences.
Security officials needed to be freed up so they could concentrate on patrolling the border.
import licenses - official
permission to import goods into a country
freed up - make a person or machine available for a new task (stop or finish what it is currently doing)
concentrate on Y - spend most of their time and resources doing
patrol - when police or soldiers move around an area to make sure there is no trouble in the area
patrolling the border - when border police move around the border area looking for illegal passage of goods or people
freed up - make a person or machine available for a new task (stop or finish what it is currently doing)
concentrate on Y - spend most of their time and resources doing
patrol - when police or soldiers move around an area to make sure there is no trouble in the area
patrolling the border - when border police move around the border area looking for illegal passage of goods or people
A rice importer said her request to the Commerce Ministry for an import licence was rejected, leaving her with no choice but to smuggle several truckloads at a time.
She said the Burmese rice retailed for 10 to 14 baht a kilogramme, compared with 20 baht a kilogramme for the cheapest Thai rice on the market.
The Tak-based Irrawaddy News run by an exiled Burmese group reported that Burmese rice began flooding into Thailand from Myawaddy, opposite Mae Sot district, in September.
leaving her with no choice but to
smuggle - smuggling was the only way to do it
exiled - living in another country (because they can't live in their own country for political reasons)
exiled - living in another country (because they can't live in their own country for political reasons)
The rice was trucked to Myawaddy from the city of Moulmein. Bribes and protection money were paid to Burmese soldiers as well as minority rebels along the route including the Democratic Karen Buddhist Army and the Karen Peace Force controlling the border zones.
The rice was hidden under piles of garlic and herbs, the report said.
In Myawaddy, the rice was put into sacks brought from Thailand before being delivered across the border.
Illegal Burmese rice was in great demand in Thailand last year because of high local prices, a source said.
bribes - money
given to someone to get them to do a favour for you (usually illegal or
against the rules)
protection money - money given to powerful people (usually gangsters) to ensure protection from harm
a minority - a small group of people of the same race, religion, or language who live in a place where most of the people are of a different race, relition, or language
a rebel - a group or person fighting against the government
minority rebels - a small minority group with an army fighting against the government
protection money - money given to powerful people (usually gangsters) to ensure protection from harm
a minority - a small group of people of the same race, religion, or language who live in a place where most of the people are of a different race, relition, or language
a rebel - a group or person fighting against the government
minority rebels - a small minority group with an army fighting against the government
(Source: Bangkok Post, 23/02/2009, Burmese smugglers flood Thai rice market, SUPAMART KASEM, link)
