New warehouses will be built in three major areas in Myanmar for the upcoming rice harvest season to help farmers get good price for their produce, Dr Soe Tun, spokesperson of Myanmar Rice Federation (MRF), said.
Farmers will no longer be forced to sell their rice at lower prices if the new plan is executed properly, he said.
Storehouses will also grant farmers assurance certificates, which they will be able to use to get bank loans, Dr Soe Tun said.
“We would like to address the issue of farmers getting undercut due to lack of warehouses. With enough warehouses they will be able to make good profit.”
The United Nation’s agricultural arm Food and Agriculture Organization (FAO) and experts from the agriculture sector are currently selecting the townships where the establishments will be made, Dr Soe Tun said.
U Tun Shwe, a farmer from Kauk Moo township, Yangon region, said, “Most of the time we are forced to sell rice at a lower price than the market rate because we don’t have storehouses.
“This initiative will address a big problem, but the warehouse renting charges should also be kept low so that farmers can full advantage.”
U Toe Toe Zaw, a rice entrepreneur, said: “FAO and agro experts are discussing this as a pilot project. We hope this system will contribute something significant for the farmers.”