The Bank for Agriculture and Agricultural Cooperatives (BAAC) in Thailand has disclosed its strategic initiative to establish an e-commerce platform, integrating blockchain technology to ensure transparency and fairness, as conveyed by Deputy Finance Minister Julapun Amornvivat.
Addressing Profit Disparities:
Highlighting the prevailing issue where vendors disproportionately benefit from crop exports, leaving farmers facing financial losses, the deputy finance minister emphasized the need for corrective measures. The planned e-commerce platform aims to rectify this imbalance, envisioning a fair profit-sharing system between farmers and vendors.
Empowering Farmers Through Technology:
With the successful implementation of the blockchain-based system, expectations are high for mitigating farmers’ losses by enhancing control over production. The initial focus of the platform will be on coffee, recognizing Thailand’s prominence as a leading coffee producer, as reported by the Bangkok Post.
BAAC’s Vision for Agricultural Excellence:
Aligned with its vision, BAAC seeks to promote high-value agricultural practices by encouraging the adoption of technology and innovation to boost productivity and product quality. The ultimate goal is to meet global standards, fortify Thai competitiveness in the global market, and lend support to local agro-tourism initiatives.
Holistic Support for Sustainable Rural Development:
Positioning itself as a sustainable rural development bank, BAAC extends comprehensive support to farmers, encompassing aspects from production and value addition to marketing. The overarching objective is to elevate farming income to parallel that of urban occupations. Additionally, BAAC is dedicated to enhancing farmers’ skills to uplift their overall quality of life.
Global Connectivity Through the Office of Foreign Affairs:
In a parallel initiative, BAAC has established an Office of Foreign Affairs with the intent of elevating Thai farmers’ productivity and global connectivity. This includes product exports through collaborations with the Agricultural Development Bank of China (ADBC) facilitated by business-matching activities.
Fair Trade Practices and Sustainable Development:
Going beyond borders, BAAC provides direct access to raw material sources and fair-priced production for ADBC’s customers, directly from upstream producers. This strategic move underscores BAAC’s commitment to fair trade practices and sustainable development within the agriculture sector.
Conclusion:
BAAC’s announcement of a blockchain-based e-commerce platform signifies a significant step towards addressing disparities in the agricultural sector. By leveraging technology to create a fair profit-sharing system and promoting sustainable practices, BAAC aims to empower Thai farmers, elevate their global standing, and foster a more equitable and prosperous future for the agricultural community.