The Economist Asia - 20.01.2018

(Greg DeLong) #1
The EconomistJanuary 20th 2018 23

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1

“W

E vote for policies, not for a party,”
declares Jutamas Kamsomsri, a
housewife in a farming family in the vil-
lage of Nakam. “We aren’t stupid, we
watch the news on Facebook,” the bespec-
tacled matriarch adds. This in itself may be
news to those who assume that voters in
Isaan, a poor region in north-east Thailand
that is home to roughly a third of the coun-
try’s 69m people, are blindly loyal to Thak-
sin Shinawatra, a former prime minister
deposed in a coup in 2006, and to his sister
YingluckShinawatra, who ran the country
for almost three years until another coup
ousted her in 2014.
Parties associated with the family have
won every election since 2001, thanks to
votes from Thailand’s north and north-
east. Their supporters call themselves “red
shirts” and are stalwarts of the Shinawa-
tras’ current political vehicle, the Pheu Thai
party (PT). Given that history, however,
Isaan’s farmers are surprisingly ambiva-
lent about how they will vote if the mili-
tary regime allows thrice-delayed parlia-
mentary elections to be held in November,
as promised.
Isaan is vast and carpeted in paddy-
fields. Hunks of cassava are spread out on
the roads to dry. Locals grumble over the
prices they receive for their grains, sugar
cane and tapioca, as almost everyone
works on the land (just over a third of Thai

clude the 30-baht scheme, which allowed
the poor and sick to consult a doctor for
about $1. Across Isaan women working at
looms and men tapping rubber also speak
of their appreciation for Mr Thaksin’s bru-
tal anti-drugs campaign (a model for the
current one in the Philippines), his support
for student loans and his glitzy internation-
al connections. “Thaksin’s good for ex-
ports!” reckons one.
But the enthusiasm isnot ubiquitous—
not even in Nakam, where PTtriumphed at
the most recent election. Titipol Phakdee-
wanich, a professor of politics at Ubon
Ratchathani University, reckons the party
“can’t take Isaan for granted”. For one
thing, the ruling junta has kept many of the
Shinawatras’ mostpopularpolicies. Subsi-
dies to rice farmers are still doled out: in
September the government approved
$2.2bn in loans and handouts to help sta-
bilise prices ahead of the harvest.
Critics say such policies encourage
households to take on more and more
debt. However, unlike under MsYingluck,
the spending is curtailed. For example, if
farmers registertheir land properly, they
can get 1,200 baht for each rai of land they
farm (one rai is equivalent to 1,600 square
metres). But the payoutsare only available
to smallholders. A woman who farms a
tiny plot believes that this arrangement is
better than previoussubsidies. Farmers
benefited from PT’s generous prices for rice
only if they had excess rice to sell. The
smallest, poorest farmers, who harvest the
fewra ithey own to feed their families, did
not benefit at all, she says.
The junta also wants to move beyond
this kind of handout. In a popular step,
new social welfare cards appeared in Octo-
ber. These provide 200-300 baht ($6.26-
9.39) a month to those who earn less than

workers do overall). A surge in agricultural
prices between 2001 and 2012 is remem-
bered fondly. They have wobbled ever
since. Dogs and children thread through
the streets of forlorn villages while the el-
derly gossip. Almost everyone of working
age is in Bangkok; the region has little in-
dustry of its own. A quarter of households
are headed by an old person, a much high-
er share than in the country as a whole.

Money can buy you love
The Shinawatras’ popularity was the result
of populistpolicies. Isaan’s love was dear-
ly, and ingeniously, bought. Take rice subsi-
dies. Mr Thaksin introduced payments for
farmers which became more generous un-
der his sister. Six years ago Ms Yingluck’s
government began to buy the grain di-
rectly from farmers at roughly 50% more
than the prevailing international price.
This hoarding was supposed to create scar-
city abroad (Thailand was the world’s big-
gest exporter at the time), allowing the gov-
ernment to offload its stock without big
losses. But other exporters filled the gap.
The scheme, fraught with corruption, end-
ed up costing the government $16bn. The
army used the fiasco as an excuse to seize
power. Ms Yingluckfled the country in Au-
gust before the verdict was delivered in a
related case against her for negligence.
Other beloved Shinawatra policies in-

Politics in Thailand

Home truths


Ubon Ratchathani
The rice-growing heartland harbours unexpected support for the military regime

Asia


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