Production Cost Insurance

Abstract

Thailand is an agricultural country where, most farmers are still economically deprived. For instance, rice growers can cultivate rice only once per year. If flood or drought takes place, these farmers will lose capital and income. Despite the government subsidies, such assistance does not arrive in timely manner. Farmers usually apply for a loan to restore their rice paddy. Debts then pile up. A viable solution may be “Production Cost Insurance.”