Presiding over the opening ceremony of the Asia-Pacific Rural and Agricultural Credit Association (APRACA) Regional Policy Forum under the theme ‘Transforming Agriculture through Value Chain Development, Brand Building, and Cross-Border Trade’ on Monday, caretaker finance minister Ekniti Nitithanprapas said agricultural products must be upgraded by using digital technology to strengthen the production value chain and promote wider adoption of modern agricultural technologies.
"As the global environment has become increasingly volatile, more precise and technology-driven farming will help reduce costs for farmers," he said, adding strong production must be paired with access to markets, reports the Bangkok Post.
APRACA is a regional international organisation that aims to strengthen agricultural finance, using financial mechanisms to enhance national agricultural products through international cooperation.
This year, the Bank for Agriculture and Agricultural Cooperatives (BAAC) is hosting the event. Discussions at the forum focus on developing agricultural products into premium products.
Financial mechanisms can be used to upgrade agricultural products to the premium segment.
Mr Ekniti said he hopes the forum outcomes can be used to develop national agricultural product policies and green finance initiatives that raise the value of Thai crops.
BAAC president Chatchai Sirilai said the bank, a specialised financial institution responsible for supporting Thailand’s agricultural sector and a member of APRACA, is ready to support farmers, communities and agribusinesses with comprehensive financial products and services, strengthening farmers and agricultural entrepreneurs in a sustainable manner over the long term.
BAAC focuses on agricultural value chain development from upstream to downstream, enhancing production processes as well as processing and logistics systems through the use of digital technology.
The bank also improves market connectivity to raise productivity, reduce production costs, upgrade product standards and strengthen farmers’ ability to cope with future business risks.
BAAC promotes strategic brand building, which is essential for competitiveness in global markets, through policy tools such as geographical indication, organic standards, Good Agricultural Practices and sustainable agriculture, said Mr Chatchai. These policies build consumer confidence, create added value and elevate agricultural products to the premium segment, he said.
In addition, the bank emphasises cross-border trade for the agricultural sector through trade facilitation, infrastructure connectivity and reductions in non-tariff barriers to support intra-regional trade, said Mr Chatchai.