Effectiveness

(1) Chronological changes in production volume and price (farm-gate,

wholesale, retail) of GI product and non-GI product (if available)
(2) Chronological changes in cost of production for GI products and non- GI
product
(if available)
(3) Change by year in population of the production area, and the number
of people who are involved in the production of GI products and engage in
related businesses (processing, tourism, or so).
Answer :
In 2549 BE (2006 CE) Mr.Boonmee established on the concept of the integration of a
sustainable organic agriculture group is BUSRCE and he is a chairman. Its started
from 600 members, growth 20 % each year till now is 1,258 members. (He stopped
getting more members since year 2557 BE, he has planned to get more members in
year 2560 BE)
In 2554 BE (2011 CE) Ban Um Sang Rice Community Enterprise (BUSRCE) in Sisaket
province was also supported by Siam Kubota Corporation CO., Ltd. that has been
working with farmers to join together to share ideas to solve problems, promote
agriculture through the process and learning projects by resources the farmers and
interested parties have learned the ways of farming that contribute to sustainable
development. To help reduce costs, increase productivity, eco-friendly. Farmers in
community welfare. To develop a model community and expand into other
communities further and to help farmers at Rasi Salai district, Si Sa Ket province.
The project aims to build community vitality Agricultural happy Siam Kubota.
Siam Kubota is a company that has been selling the farming machineries to
Mr.Boonmee and other farmers in BURRCE for quite a long time.
In 2557 BE Since Thai Prime Minister Yingluck Shinawatra was charged with neglect
of duty over a rice subsidy scheme program, all farmers in Doo sub-District became
BUSRCE members.
In 2558 BE BUSRCE produced 8,000-9,000 tones, in 2559 BUSRCE produced more
than 10,000 tones because of new machineries and rice-mill.
The small and micro community enterprise is make farmers feel proud and achieve
business success. From the beginning BUSRCE was faced with problems such as the
lack of specific knowledge in terms of accounting, marketing, product development,
marketing analysis etc. Until Mr. Boonmeeson who is a bachelors degree in
physic and daughter is a doctors degree in Chemistry come to help few year ago.
Through a small and micro community enterprise, government give BUSRCE to
participate in an International Trade Exhibition for Food & Beverages, Food
Technology and Retail & Franchise or THAIFEX-World of Food Asia at IMPACT
Exhibition and Convention Center, Bangkok, Thailand. Mr. Boonmee met a lot of
people from all over the world that gave him an opportunity to promote his organic
rice products to trade visitors from all over region at the booth as well. In order to
export the product to Europe and America, he needs a certificate of origin in
International Trade. GIEU is one of the requirement to push unique Thailands Jasmin
rice to EU exports. DIP (Department of intellectual Property, Ministry of Commerce)
was helping Thailands premium jasmine rice "Khao Hom Mali Thung Kula Ronghai
under this scheme in March 2013. The Thai rice variety is the first product in
Southeast Asia to be registered and be able to use GI mark. Mr. Boonmee stated
that after particularly having been granted the GI EU mark, it did not affect the
price before and after the selling price was charge higher from the expedition of
other marks before such as USDA, Fair trade, IFOAM etc.

(4) Other social effects

Note: Definition of effectiveness
Based on literature review and objective of Japanese GI laws, effectiveness of GI is
defined as:
Economic and social effects that was cause in the producing area through
obtaining GI registration
Economic effect: Increase in price, increase in production and sales amount,
increase in cost, increase in gross income and net income, changes in profit,
creation of new business
Answer: Since year 2556 BE He gained USDA and IFOAM certification, he has an
expedition 80,000 baht each year such as an application fee, annual renewal fee,
assessment on annual production or sales, and on-site inspection fees.
Social effect: employment creation, decrease in out-migration, and other effect on
related industries and to local community
Answer: When BUSRCE attended in Thai FEX 2015 for the first time, it met a lot of
traders from oversea, since then BURCE can export more rice that has a social
effect.

Factors that cause the effects

(1) Products and production area (before GI)
Production capacity of producers before GI registration, and their market channels
and amount sold.
Answer: For BUSRCE, GIEU does not give much affect to the change but marketing
opportunity is more affect.
Differences in production method depending on the size of production
 Process in organizing GI product producers association (cooperative) and the
internal consensus and rules
Answer : All rice farms in BUSRCE need to be examine from a private(1 in 10 out of
BURSCE members) and foreign entity that has been accredited by the USDA,
certifying agents are responsible for ensuring that USDA organic products meet all
organic standards assurance of the organic products integrity.
What has been the issues of debate in registering the product as GI among
stakeholders (objective of registration, and how consensus was formed?)
Answer: Mr. Boonmee and his son who decided to apply for GIEU and later gave a
report to BUSRCEs members.
What are the enabling laws that supported the registration of GI? Is there any
scheme to register GI?
Answer: with help from DIP to registration in the EU. First, five EU countries objected
to the use of the word jasmine rice for the produce. The director-general insisted
the name Khao Hom Mali Thung Kula Rong Hai must be used since it signified the
produces origin and the word Khao Hom Mali, meaning jasmine rice, was not an
English word.
Second, the rice must have packed only in its production location to make sure that
the rice met quality standards. If the rice is packed in other areas, it might be mixed
with other kinds of rice. In order to get a certificate from the EU would guarantee
that the rice was a premium product and would add more value to it. Mr. Boonmee
had to use rice-mill in Surin Province for EU registration and he have his own rice-
milk afterword.
(2) Marketing (after GI)
What are the marketing channels that the group put particularDomestic market
and/or export market [in detail], retail market and restaurants and other sales
points, processing to sell, etc. )
Answer: Domestic market 20% and export market 80% by traders
The total rice production : 2559 BE 2,000 tones, 2558 BE 1,000 tones, 2557 BE 500
tones, 2556 BE 200 tones, 2555 BE 50 tones, 2554 BE 20 tones.
Farmers income (paddy rice) per ton per year: 2549 BE 9,500 baht/ton/year 2554
BE 14,000-15,000 baht/ton/year 2557 BE 18,000-20,000 baht/ton/year
Main marketing strategy promoting in media, demonstration shops, trade fairs
targeting retailers, event for restaurants, participate in trade fairs domestically and
overseas, use of website, linkage with tourism, etc.)
Answer: Thai FEX exhibition and create a new product line such as rice soap,
cosmetic product.
 After registering GI, how has the marketing channel and its sales amount, price,
and total sales changed (if possible, get data by day, by month, by year, on average
price and amount)
Answer:
Usage of GI mark and its trademark
Answer: Mr.Boonmee has many rice products (such as Rice Berry, Red cargo, Black
Rice and Sticky Rice), but he use GIEU mark only on Thai Hom mali Rice Milled
(3) Price and production amount and quality
How prices are decided (for producers, wholesale, retail)
Paddy price: decided by trader and BUSRSE members. Wholesale price 10%
discount
Who/what kind of people represents the quality of GI in the particular producing
area?
Answer: Mr.Boonmee and DIP
Strategies that producers took to control production amount and quality
Answer: keep improve quality of rice production, milling and processing.
(4) Business entities and its organizations/associations
List business entities related to GI and its organizations/ association (including
inter- professional organizations). Identify their types and forms (production,
processing, sales, retail, logistics, etc.)
Answer:
Roles that the business association (BUSRCE) play in sales promotion and
coordination mechanism if they play a role, elaborate how and why they have
been able to play such a role
Answer: the sale price is respectively depend on the world rice price, trader and
BUSRCE.
(5) Cost and price (before and after GI)
Price of raw material (per kg)
Answer: 2559 BE rice paddy 14 baht/kg and rice 45 baht/kg (retail price) and rice
40 baht/kg (wholesale price)
Breakdown of costs for GI production and marketing
Farm-gate price
Answer:
Gross income and net income (comparison; annual changes)
Answer:
Changes in retail price
Answer: no change in retail price after GIEU
Control over production process (ex. is there any internal audit by the producers
association itself?)
Answer: BUSRCE has their internal audits who are selective members (the ratio is 1
to 10)
(6) Any other effect and influence that GI brought about to the local
community, culture, economy and environment.
Answer: people in the community feel proud of themselves and more want to come
back to work on their land and live together with their families.