Govt cheap meal plan offers little relief, critics say
The Commerce Ministry's proposed 40-baht rice-and-curry scheme has come under fire, with critics saying its benefits would be limited and that it would amount to a stopgap measure rather than a long-term growth policy.
The Commerce Ministry's proposed 40-baht rice-and-curry scheme has come under fire, with critics saying its benefits would be limited and that it would amount to a stopgap measure rather than a long-term growth policy.
However, on Monday, no representative from the Ministry of Commerce came out to defend the matter.
Voravongsa Ramangkura, a former vice-minister of commerce, said rising food prices are caused by higher costs across the production chain, including raw materials, electricity, cooking gas, fuel, transport, labour and financing.
If the government does not reduce these underlying costs, subsidising restaurants will not solve the problem at its source, he said. He expressed concerns that the scheme could encourage restaurants to adapt their operations to qualify for government subsidies rather than compete by improving quality.
Some participating restaurants may offer only one or two dishes at the subsidised 40-baht price while reducing portion sizes, lowering food quality or switching to cheaper ingredients to keep costs within the programme's conditions.
"In the end, people may find that only a limited number of dishes are available at 40 baht and only at participating restaurants. At the same time, the quantity or quality of the food may decline," Mr Voravongsa said. "The businesses receive direct financial support from the government, while consumers receive only indirect and temporary benefits. That raises the question of who truly benefits from the scheme -- the public or the participating restaurants."
Criticism is growing as the Commerce Ministry prepares to seek cabinet approval for the programme under which participating restaurants would sell meals for no more than 40 baht. The programme aims to recruit 100,000 restaurants and provide each with subsidies of 3,000-10,000 baht. It is intended to complement the Thai Help Thai Plus co-payment programme and is expected to begin in August.
Mr Voravongsa also warned that the subsidy could distort the market by creating an uneven playing field between restaurants participating in the programme and those operating without government assistance.
He said the economic problem is about weak household purchasing power and persistently high production costs across the economy.
The government's priority should be to lower business costs, raise household incomes and create conditions that support sustainable economic growth rather than introducing project-based price subsidies, he said.
He also questioned the effectiveness of several Commerce Ministry initiatives, saying they have so far produced no tangible results in supporting prices or strengthening farmers' bargaining power.
Mr Voravongsa also said there are no major new policies from the commerce minister that clearly generated positive economic impacts beyond the ministry's routine work.
People's Party deputy leader Sirikanya Tansakun said many of the Commerce Ministry's programmes benefit only a limited number of people despite using public funds. She cited previous initiatives, including the Blue Flag scheme and mobile grocery trucks, saying that their limited budgets meant relatively few consumers benefited.
Ms Sirikanya said the proposal appears more like a PR exercise than a policy addressing people's cost-of-living problems.
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