Thailand suffers calamities at both ends of the annual weather spectrum – both drought and flood. But as the demands on agriculture grow, with a growing population and the rise of tourists and development, the effects of these two extremes are becoming more apparent.

Which leads us to this year’s outlook of lower rains which is exposing the poor management of the Kingdom’s water resources. Greater development and growing population bases hasn’t been met with more or larger water catchments.

So Thai farmers are expected to face a tough 2019 as forecasters say the drought will be more acute than usual, lowering the water levels in reservoirs in the central and northeastern provinces especially.

Int eh south, Phuket, Thailand’s largest island and surrounded by water, has an acute water shortage as of Songkran and, without adequate monsoonal rain between now and November, will be facing a water crisis if it has to rely on its own island resources.

The Director General of Department of Agricultural Extension Samran Saraban says the drought this year is exacerbated by El-Nino weather cycle which causes temperature to rise 1-2 degrees higher than normal and cause the water levels in major reservoirs to drop to worrisome level. Higher temperatures mean more evaporation and more usage of reserves.

The Thai PM Prayut Chan-o-cha has called for farmers not to grow off-season rice as drought is predicted to spread into northeastern and eastern regions. That there will likely be a new administration coping with political instability will not help leaders focus on the country’s looming water shortage.

The long dry season will lower certain farm outputs, pushing up their prices. However, an overall farm income is set to decline because the drought will leave other negative affects to farmers who are also the consumers as well. This will affect the purchasing power of farm households, which account for one-third of Thais.

Etc, etc, etc.

Economists estimated the damage from the drought on the economy this year could be high. Kasikorn Research Center estimate the drought could cost at least 15.3 billion baht. Whilst Anusorn Tamajai, Dean of Economics Faculty, Rangsit University, estimates the drought to cost even more – 20-30 billion baht -because it would affect the outputs of off-season rice, sugarcane and tapioca.

“It will dampen the purchasing power of farmers in the second quarter.”

Siam Commercial Bank’s Economic Intelligence chief Yanyong Thaicharoen said that the lackluster farm income can slash the growth rate of domestic consumption this year to 3.5% versus 4.6% growth last year, in addition to other factors, namely, high household debt and slower demand for durable goods.

Spending power from farmers, according to SCB, is crucial to sustain the growth of the economy. However, the grassroots economy is bracing for negative outlook this year.

There will be intense pressure on this season’s management of Thailand’s valuable water resources, through the remaining hot season and as the catchments gather water during the monsoon.

SOURCES: Thai PBS | The Thaiger | Wikipedia

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