Developing a grape production enterprise in Northeast Thailand: An individuals initiative to diversify.
A. D. Noble, IWMI-SEA, Bangkok, Thailand..

A farmer and his wife have over the past 2 years established a grape orchard on 5 rai. The total extent of the family farm is 50 rai of which the remaining 45 rai is least out to share croppers who grow rice of which 30% of the yield is paid to the farmer. The family unit consists of 5 children and the parents. What is unique about this farm is that it has not been sub-divided amongst the children and hence the integrity of the original farm has been maintained. This is of importance in assessing the overall viability of the farming unit. Three of the children have left the farm to take up positions in the civil service leaving the current farmer, his wife, brother and parents on the farm. The farmer is young, well educated having completed school and then undertook training in business administration. He then went and worked in a manufacturing company where he acquired practical skills in mechanics and metal working. On returning to the farm he decided to undertake a study tour to determine possible alternative options for the farm, all of which was funded from his own resources. He decided that grape cultivation was a viable option for the area as there were no other farmers in the area growing the crop. A study tour to southern grape growing areas of Thailand resulted in him acquiring skills in trellising and the cultivation of grapes along with planting stock for his farm. Using micro-jet irrigation he and his wife have established the orchard which is now coming into production. There has been a substantial investment (0.5 million Baht) in the project the funds coming from household savings. The harvested grapes are sold at farm gate to buyers hence no marketing of product is required. The farmer expects to make significant profits within the next 2 years.

Plate 1. The proud Farmer showing off his grape crop.

As a bright spot this example demonstrates the outstanding leadership and initiative capabilities of the farmer. The fact that he has undertaken this development of the farm considering his lack of experience in viticulture clearly indicates his high tolerance to risk. When questioned whether he would expand his grape growing activities further once the vines were in full production, he was emphatic that he would not expand current operation since it would require employing additional labor. This would affect his profit margins. An important characteristics of this viticulture operation it that it keeps both the farmer and his wife occupied for 12 months of the year. The majority of farmers in the area are confined to growing a single crop of rice that effective employs them for 6 months of the year. Significant out migration occurs as farmers move to Bangkok for employment on construction sites and driving taxis during the off season. The success of this Bright spot is based on the individual being highly motivated as well as having acquired significant skills and possibly more importantly the financial capital to invest in the development of the venture. Although this is a Bright spot it is highly unlikely that it could be replicated due to the lack of skills within the general community viticulture and the capital investment required.