 and politicians still would say, let's do some more, let's do some more. Now how can a country like Thailand manage this rice economy if you have five and a half million times unsold that cannot be sold because you set it too high, you see, the price is way above the market? Now, that tells me, politicians, when they believe in something, they use political instinct to manage the rice economy, not economic thinking there. Dr. Moate, you were thinking economically, but they do not, they use political instinct to manage. And when I say this, you can think of what India is going to do, you can think of what Philippines is going to do and maybe Indonesia is going to do also. You see, politicians have power there and they use political instinct to direct them which way to do. Now, I say in Thailand we are not likely to go the rice economy because they are complacent. They do not invest in the research, they do not invest in infrastructure for irrigation, without irrigation, without seed technology, you do. No way that you can continue to be the champion. Now, the research amount that they give allocated to the Ministry of Agriculture is so small. I'm sure in the audience somebody was kind of Thailand, and you know, it's so small, it's so bad that I say Thai government is unfair to Thai people because when you do not invest in research, when you do not expand irrigation, production cannot increase. The most is stabilized. And you know that we are the largest rice exporter but our yield in Thailand is the lowest. That's known for decades. And move up very slowly, not like in Vietnam. In the good year 2007 or 2008, your total production went up 8% in a year. Can you believe that a country like Vietnam increased 8% in a year? The area improved nearly 3% yield 4% something. So after that, about 8, Thailand you would never see that. Actually, the former prime minister had seen that. At one time, this is a go back, I don't remember how many years now. I remember I was appointed to be the president of the rice exporter for the first time. And maybe the first few days I was invited to attend this meeting where prime minister, taxiing was sitting at a table and he invited two ministries, Ministry of Agriculture and Ministry of Commerce to come to the meeting and he said, you guys have done your whole work. What right policy do you recommend to me to do? And the Ministry of Agriculture said, let's reduce acreage for the second crop by a million rice. And the reaction that was, if you reduce the rice acreage, the production will be small, prices will go up. And then his secretary who happened to sit next to me in front of me, he said, could which I do you agree with that? They're not inviting me to speak today, I just couldn't listen. Please come and take my seat. So he asked me to come and take his seat and then the prime minister looked up, there's an exporter here, just give him a chance to talk. So I talked and said, if you want to cut acreage, don't cut the acreage for the second crop. Second crop is where we have irrigation, the yield is high. If you cut where we have high productivity, how could we do that to our country? That's how we export from this second crop. You have to cut somewhere where the yield is so low when there is no irrigation. Now, Mr. Taxi then, he listened to me and he said, ah, could which I have a point? You guys go do some more homework, tell me where you want to reduce the acreage. Oh, and the ministry of commerce said, sir, please announce it because we have deal with the Vietnamese government. If we reduce our acreage, they will keep the price high and then we don't have to fight. Taxi said, you asked me to lie, are you not? He's a good man then. Very good. I felt so good. I said, ah, this prime minister is fine. But after that something happened which I don't want to tell you. So the thinking is not to expand production. The thinking is to somehow do whatever you have to do to get price for the farmer to be high. That's all they're interested in, because politically that's what you need to do to stay in office. Now, I tell you this much and I'm pretty sure you agree that Thailand, if Thailand walk this way, do not invest in research, do not invest in irrigation, and besides, Jack, the exporter, the private sector, my thinking keeps switching back and forth. I'm thinking of India. There are poor Indian exporters. Their government say no export. They invest so much in the facility, you know, rice milling and exporting facility and the government say no, say no since 2007 until now. Just block like this. How do you think exporter will survive? Now in Thailand, the Thai government do the same to us and say we want higher prices, we want higher prices for the farming. You cannot export too bad, but at least they didn't close the door. They still opened the door for us to continue that. And actually, our export to increase one million times every four to five years. Now the step align around eight million times or so for many years now and I can see the sign. I see that this is the end of the supremacy of Thailand as far as right export goes. That's my prediction. We have a new prime minister. Akuna Pissing is our new prime minister. A very well educated man and a clean politician. He came in and he looked except for the final one time prices and yet the mountain of rice stock is five and a half million times. It's as big as Vietnam exported in a year. So he said he could do something different and he came up with the income support instead. How the farmers get higher income, you know, let's say per time you will get so much and so much and allow the exporter to play with the demand and supply twice and move up and down so that government stock will not go up and go up anymore. That's a very good job. Now with this kind of policy perhaps, perhaps we can see support Thailand will continue to be there. But being a politician is tough not to help the farmers get higher and higher price because there is a belief in Thailand that farmers are poor and business folk like Thailand is rich. And they say well the fact that you are rich that means that you have taken advantage of the poor somehow. Otherwise majority of the farmers cannot be poor and you, just a few business people how come you are so rich? That's a thinking and it's believed by the government believed by the media that one time I got confronted with this issue and the deputy prime minister had a conference like this you know, I shared the panel and he asked me, he said could we Thailand you have to be able to explain to me that why you are so wealthy and the poor farmers are so poor and then I could not answer him because I know what the hell did I do wrong I could not a few years later again the Chinese proverb helped me the Chinese have another proverb they say if your investment is small your margin is big you are not wealthy if your investment is big and margin is small you really make lots of money they said thousands of years ago it's an economy of scale that give you the wealth you know Thai farmers will make on the average in the central plane where we have good communication they make something like 50% to 100% margin profit margin can you imagine that 50% to 100% margin cost of production is per rider which is about 4,000 baht and they can sell in the market today over 8,000 baht so that mean 100% return thanks nobody warned me normally you will show me the sign on the back that's fine I said there is some misunderstanding on the concept of who is rich and who is poor it's not the magic we export it we make little magic 2-3% magic but we are rich because our wallet is so huge the largest exporter in Thailand can manage 1 million times if you make 1% it's 5 dollars a day put to 5 million dollars a year which is very good income farmers make 100% but on the average they have about 15 lives of land no matter what you do you cannot be rich because the economy of scale is too small that's why I want to leave it to you the economy of scale is something explained who has money and who doesn't have money it's not the magic sorry thank you