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Home » News from Thailand » Thai fruit breaks sales record: Turnover 7,4 billion baht and durian popular in China
Sales of four fruits, including durian, have reached an all-time high this year with sales of more than 7,4 billion baht. Turnover increased mainly due to the high demand from China.
Besides durian, mangosteen, rambutan and longkong are also hard to get hold of, said Mongkhon Chomphan, an agricultural official in Trat.
Durian is the most valuable fruit for Thai farmers. More than 48.000 tons have been sold for a total value of 3,8 billion baht. This accounts for more than half of the total turnover of the four fruits. In second place comes mangosteen with a turnover of more than 2 billion baht.
In the first five months of this year alone, fruit and vegetable exports to China from Thailand exceeded US$1,1 billion, or about 36,5 billion baht.
Source: Bangkok Post
It is also noticeable in the price.
Last year the durian was around 120-130 Thb with us, now they ask 180-250 Thb.
Well here in Hua Hin just between 100 – 130 Baht…
here in sung noen isan from 70 to 120 bath
Dear Editor,
If I understand this correctly, many farmers would switch to this.
I think Durian is a delicious fruit to eat.
But this type of fruit will not be easy to grow (no idea).
Yet Durian is a very popular fruit in Thailand.
People will start copying this again and the market will die.
Given that rubber is also flat, I will be curious.
Does not alter the fact that there are several crops that have already been indicated that yield money.
Yours faithfully,
Erwin
Here on Samui 0 Bath for a durian. We live next to an orchard and if not we occasionally
If you say no, we have a durian from the owner every day. It is indeed where they currently deliver
a lot of money. We also get the mangosteen from him, bananas and pineapples we have ourselves.
How lucky we are!!
On the one hand, we should be happy that durian sales to the Chinese are going so well and that the farmers are making money. But there is a catch, at least in the long run.
The Chinese use a kind of contract farming. The farmer receives money before 1 durian is ripe and the risk of the harvest is shared. Now it is, but not in a few years I can assure you.
The monopolistic situation of the Chinese buyer will ensure that the buyer determines the price of the durian, not the farmer. They are forced to grow durian for the price the Chinese are willing to pay. In the long term, this could even lead to a situation where the Chinese (via all kinds of constructions) get their hands on land and buildings and the farmer becomes an employee or is fired. This process has been going on for a number of years in some African countries.
An additional consequence is that there is so little durian for the local market, the Thai itself, that the price goes up. In the north, farmers with their durian pick-ups on their way to the wholesaler are also stopped by buyers who also work for the Chinese. These durians also do not reach the local market.
The story goes not only for durian, but in due course also for longon, mangosteen and other fruits; perhaps even soon for rice.
You really won't get futures contracts longer than 1 harvest. Common in agriculture and horticulture worldwide to ensure supply. That doomsday thinking that people are obliged to rebuild is not based on reality. Suppose the farmer stops, nothing can happen to him, because money cannot be obtained, land is usually on loan from the government and a foreigner can hardly force a Thai to deliver something if it is not there (harvest or money). There are examples of futures contracts in every crop around the world, otherwise how do you think the commodity exchanges and various agricultural and horticultural exchanges will get their future trading prices? Don't just wait for the supply to arrive, but also actively control prices by buying in bulk over time. In Thailand I know about sugar cane and wood, corn and various fruits. It is logical that the buyer already offers a price in advance, because he also wants to trade because if the competitor buys up, there is no more trade.
Here is a very good story about the durian trade with China.
https://www.chinadialogue.net/article/show/single/en/11055-Riding-the-durian-Belt-and-Road-Risky-times-for-Thai-agriculture
No contract agriculture, such as with maize and Thai companies in the north, but with many Chinese intermediaries who can also determine the price.
For longan (lam yai in Thai) this has been true for 20 years. My ex had a 15 rai longan gardens. Twenty years ago the best quality fetched 20-25 baht per kilo, everyone started planting those trees, now it is only a paltry 5-10 baht per kilo. A combination of overproduction and the monopoly position of the Chinese (or Thai) middlemen.
It's really not just in Thailand.
as a boy of 14, now more than 40 years ago, the horticulturist where I worked on Saturdays and during the holidays started with chicory. Quite an investment, a large cold store is needed to harvest chicory.
He was one of the first and quickly earned back his investment. Four years later everyone went into chicory and the price plummeted. He then started with leeks and secretly laughed at the others.