“Paddy prices have dropped to a very low rate [but] there are no buyers at all. As a result, the farmers are having a hard time returning money that was borrowed from the government’s Agricultural Bank,” said U Hla Aung Sein, one of the leaders of the February 25 demonstration. At the gathering, farmers from 20 villages called on the government to help bring up the market price for paddy or oversee more favorable loan conditions.

“If the price continues to fall, the farmers would like to deliver the paddy directly to the Agricultural Bank,” U Hla Aung Sein told Narinjara News. “Last year, Shwe-wah-tun paddy was worth K300,000 for a hundred baskets. This year, the price is K240,000 for the same paddy. Yet even though the price has decreased, we have no buyers at all.”

In Mrauk-U township there are 59,302 acres of paddy fields across 97 village tracts.  Over 8,700 farmers grow paddy on a regular basis. According to Agricultural and Development Bank manager U Moe Zaw Che, more than K8.9 billion in loans have been paid out to farmers for this season, with only K729 million, or 8.1 percent, paid back so far. Up to K150,000 is loaned per acre.

“The farmers have to pay back all their rainy season loans no later than April 15. If they fail to return the borrowed money on time, then they have to pay it back with 8% interest annually and 12% additional interest as a penalty fee,” he said.     

Mrauk-U township is the biggest paddy growing district in Rakhine State.

Translated by Zin Linn
Edited by Laignee Barron