Post on 29-May-2020
SMART FARMING in Chiangmai:
“Innovation through Inclusion”
Abstract: In February 2017, the Digital Economy Promotion Agency (under Thailand's Digital Economy and Society Ministry) announced US$1.2 million would be invested in developing Chiangmai into an innovation-driven “Smart City”, making it one of three model smart cities in Thailand. The “Smart City” outlook i.e. integrating Information and Communications Technology (ICT) with the Internet of Things (IOT), is critical for secondary cities with burgeoning urban population like Chiangmai. A key focus of Chiangmai’s “Smart City” initiative is “smart agriculture": some 80% of Chiangmai's population are farmers, mostly small-scale, and transforming the agricultural landscape through increased ICT use has the potential to meet policy objectives of increasing farmers’ income through difference sources, amongst others. Yet our literature review (existing “Smart Farming” initiatives in Chiangmai) and research methodology (field visits and interviews with select Chiangmai farmers) reveal digital literacy remains a key challenge for the older generation. Our project aims to address limitations of existing initiatives by designing a platform-enabled website to be owned and operated by a young generation of entrepreneurial, tech-savvy farmers, “Young Smart Farmers (YSF) Chiangmai”. The participation of such “change champions” is crucial for community inclusion, engagement and ownership of process and outcomes. Finally, our proposal envisages how the Sustainable Development Goals (SDGs), eg. SDG 2 (Zero Hunger) and SDG 12 (Sustainable production patterns), can be localized for a farmer-led digital transformation in Chiangmai.
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Contents Motivation for Study .................................................................................. Error! Bookmark not defined.
Policy Context ............................................................................................................................................... 3
Overview of Thailand’s Agricultural Goals ................................................................................................ 3
Institutional structures ............................................................................................................................ 3
Agricultural goals ................................................................................................................................... 6
Smart Agriculture and Sustainable Development Goals (SDGs)............................................................ 7
Background and overview of agriculture in Chiang Mai ............................................................................ 8
Distribution of agricultural sector ........................................................ Error! Bookmark not defined.
Consumers and markets ........................................................................ Error! Bookmark not defined.
Production and yield methods .............................................................. Error! Bookmark not defined.
Current challenges of small-holder farmers in Chiang Mai ........................................................................ 9
Low income and causes ........................................................................ Error! Bookmark not defined.
Smart Agriculture ......................................................................................................................................... 9
Chiang Mai as “Smart City” ....................................................................................................................... 9
Agriculture & Cooperative Ministry’s 20-year Plan (2017-2036) ............................................................ 10
How ‘smart agriculture’ can positively impact farmers ............................................................................ 10
Existing private sector initiatives in Thailand ........................................................................................... 12
Mobile farming apps ............................................................................................................................. 12
Internet of Things (IOT) solutions ........................................................................................................ 13
“Smart Farmer” Awards ...................................................................................................................... 14
Existing “Smart Farming” Initiatives specific to Chiang Mai .................................................................. 15
Department of Agricultural Extension (DOAE): Chiang Mai Office ................................................... 15
Young Smart Farmers (YSF) ................................................................................................................. 17
Scope for intervention: a ‘Cross-Learn’ Platform ................................................................................ 17
Thailand’s Unique Royal Projects ............................................................................................................ 18
Recommendations ....................................................................................................................................... 19
Proposal .................................................................................................................................................... 19
Estimated Cost .......................................................................................................................................... 21
SWOT Analysis ........................................................................................................................................ 21
Limitations ................................................................................................................................................ 22
Internet penetration rate ....................................................................................................................... 22
Digital literary of mainstream farmers ................................................................................................. 23
Conclusion ................................................................................................................................................... 24
Chiang Mai and the SDGs ........................................................................................................................ 24
Annexes ........................................................................................................................................................ 25
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Annex 1: DTAC video showcasing “Smart Farming” in Thailand ........................................................... 25
Annex 2: DOAE “Smart Farmer” assessment criteria form ..................................................................... 25
Policy Context
Overview of Thailand’s Agricultural Goals
1. Thailand is the second largest food exporter in Asia, with main products exported being
staples like rice and corn. As a major player in global agriculture, keeping pace with increasing
domestic and international demand for food production is a main driver behind Thailand’s
policy push into “Smart Farming”.
Key Institutional structures
2. The Ministry of Agriculture and Cooperatives (MOAC) has central oversight of
administration of country-wide agricultural policies. Its three-fold strategy includes: reducing
farmers’ risks price-wise (eg.from unstable production), developing/strengthening capacity to
meet production demand and facilitating marketing of products.
Figure 1: MOAC Agricultural Policies 1
1 Source: Ministry of Agriculture and Cooperatives, https://eng.moac.go.th/main.php?filename=main
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Figure 2: MOAC general strategic goals 2
Figure 3: MOAC 2016 Goals
2 Source: Strategy, Ministry of Agriculture and Cooperatives, https://eng.moac.go.th/ewt_news.php?nid=10
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3. Its Department of Agriculture then, through various provincial Extension Offices
(DOAE) (including Chiangmai), oversees the implementation of these policies on the ground.
Figure 4: Organizational chart of MOAC 3
Figure 5: Department of Agricultural Extension (DOAE) provincial offices 4
3 Source: Organization, Ministry of Agriculture and Cooperatives, https://eng.moac.go.th/ewt_news.php?nid=191 4 Source: Organization, Department of Agriculture: http://www.doa.go.th/en/?page_id=47
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Agricultural goals
4. Thailand’s long-term agricultural development directions and strategies for 2017-2021
are set out in The Twelfth National Economic and Social Development Plan (“the Twelfth
Plan”).5 They are formulated by the Office of the National Economic and Social Development
Board (NESDB) according to the country’s Sustainable Development Goals (SDGs), the
Thailand 4.0 Policy, amongst others.
5. Chiang Mai features in the Twelfth Plan as part of Thailand’s goals to develop its
Northern Region for creation and distribution of economic opportunities. Part of its
developmental guidelines include: “[to] improve agricultural productivity, value-added
products, safe and organic agriculture under Good Agricultural Practices (GAP), as well as to
develop various agro-processing products to serve market demand: developing the Upper
Northern Provincial Clusters to be an organic agricultural production base, and the Lower
Northern Provincial Clusters to be a safe agricultural production base (smart farms) by…
applying green technologies in the production process, and… supporting farmer groups or
cooperatives for effective joint production planning and marketing networks.” 6
6. Another important strategy relates to “behavioural nudges” for the children of existing
farmers to remain in agriculture and develop themselves as “new generation” farmers. Eg.
“Fostering the creation of smart farmer groups to become business managers, from downstream
production to marketing”, “[offering] the first priority to children of farmers who own farm
land to be developed as smart farmers”,7 designing practice-based curricula and setting up
“knowledge management” systems to keep them abreast of latest trends, “supporting
successful farmers to be role models for others…promoting the wide expansion of local
agricultural markets and e-commerce.”8
7. It is against this backdrop that we have chosen the “Young Smart Farmer” (YSF) group
in Chiangmai9 as one of the key stakeholders to work closely with on our proposal.
5 The Twelfth National Economic and Social Development Plan, Office of the National Economic and Social Development Board, http://www.nesdb.go.th/nesdb_en/ewt_dl_link.php?nid=4345 6 Ibid. p215. 7 Ibid. p112. 8 Ibid. p210. 9 “Young Smart Farmer Chiang Mai” Facebook page: https://www.facebook.com/YSF-Chiangmai-278899759307367/
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“Smart Farming” and Sustainable Development Goals (SDGs)
8. “There is fish in the water, there is rice in the fields”: this age-old Thai saying
underscores the proud link between Thailand’s strength in agricultural production and
achievement of SDG2.10 Yet agriculture accounts for nearly 40% of the labor force but only
12% of Thailand’s GDP.11 Low crop productivity has been identified as a critical factor to the
relative slower growth of agriculture.
9. The use of “Smart Farming” to improve crop productivity and thereby boost GDP is
therefore another core motivation for the Thai government.12 As part of “Thailand 4.0” policy,
agriculture is one target industry to be modernized using technology, endowed with some 10
million baht funding from the “National Competitive Enhancement Act for Targeted
Industries”.13
10. It is trite that a supportive policy environment is required to nurture “Smart Farming”.
While a 2017 World Bank study found that Thailand ranked below the global and regional
averages in providing an “enabling environment” for transport, water and markets for
agricultural products, 14 key national institutions have been instrumental in driving this
initiative in recent years.
11. In September 2017, Thailand’s Board of Investment announced “Production or Service
Providers for Modern Agriculture” as a new category to receive tax breaks for projects where
technology is employed in farm operations. Moreover, tax incentives are provided for using
technology to achieve “international standards and certifications as Good Agricultural
Practices or GAP and ISO22000 Food Safety Management”.15
10 “Thailand’s Voluntary National Review on the Implementation of the 2030 Agenda for Sustainable Development”, June 2017, http://www.peacewomen.org/sites/default/files/16147Thailand.pdf , p11. 11 Marimi Kishimoto, “Thailand’s new investment chief eager to spur smart farming”, Nikkei Asian Review, November 1, 2017, https://asia.nikkei.com/Economy/Thailand-s-new-investment-chief-eager-to-spur-smart-farming/ 12 “Thailand Investment Review”, Thailand Board of Investment, February 2017, Vol. 27 No. 2, http://www.boi.go.th/upload/content/TIR_Feb17_vF_93086.pdf 13 Priyankar Bhunia, “Thailand 4.0 means Opportunity Thailand: Government taking steps to attract investments in targeted industries”, Open Gov, June 1, 2017, https://www.opengovasia.com/articles/7386-thailand-40-means-opportunity-thailand-government-taking-steps-to-attract-investments-in-targeted-industries 14 “Enabling the Business of Agriculture 2017”, World Bank Group, http://eba.worldbank.org/~/media/WBG/AgriBusiness/Documents/Reports/2017/EBA2017-Report17.pdf , p5. 15 “Thailand Board of Investment (BOI) introduces new measures aimed at modernizing agricultural sector, enhancing Thailand competitiveness”, November 11, 2017,
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12. Core reforms in technology use have also been undertaken by MOAC: firstly, an “Agri
Map” will be created to identify different zones according to their unique climate and land
conditions, before recommending crops to grow in those zones. A “Learning Center” will be
set up in each district using data analytics to help farmers make better decisions and improve
efficiency. “Public-Private-People Partnerships” will be encouraged for collaborative farming.
Responsive production according to demand and use of technology to improve quality of
products will be encouraged. Geographic Information System tools will be utilized for
agricultural management and crop monitoring. Ways to decrease the production costs of crops
will be suggested. Finally, farmers will be trained in e-commerce and “agricultural
communities should have their own brands”.16
Background and overview of agriculture in Chiang Mai
13. Chiang Mai is the second largest province in Thailand and the largest province in
Northern Thailand. Agriculture is a core sector, constituting 22% of Gross Provincial Product.
Some 69.93% of the area is covered by forests, while 13.4% of the area is under agriculture.
14. Chiang Mai does not have a constitutional status as a ‘city’. The Governor of Chiang
Mai is a technocrat appointed by the Ministry of Interior, without budgetary decision-making
authority, and the provincial staff report to their respective Ministry instead of the Governor.
Unlike Bangkok which has an elected Governor, its own administration and an independent
budget, Chiang Mai lacks true autonomy and resources. This reflects a centralized and top-
down approach of the Government, which can make it challenging to implement an initiative
such as ‘Smart Agriculture’ which involves collaboration across levels of bureaucracy as well
as sectors.
https://en.prnasia.com/releases/apac/Thailand_Board_of_Investment_BOI_Introduces_New_Measures_Aimed_at_Modernizing_Agricultural_Sector_Enhancing_Thailand_Competitiveness-194624.shtml 16 Thailand Investment Review, p4.
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Current challenges of small‐holder farmers in Chiangmai
15. “Small-holder” farmers are defined as farm enterprises that produce crops in less than
two hectares of land. The average area of land per farmer in Chiang Mai is 1.6 hectares, which
is lower than the national average of 4.8 hectares.17
16. Challenges faced by small-holder farmers in general are: low productivity of crops, lack
of access to financial services, inadequate safety nets such as crop insurance, high cost of inputs,
institutional neglect of extension services and an inability to sell their produce at prevailing
market price.
17. Similar to other developing countries, small-holder farmers in Thailand are usually part
of an informal value chain – that is, they sell their products to a middleman or local market and
do not participate in further value-added components of the supply chain.
18. A longer-term pressing concern from the sustainability perspective is sustaining interest
of the younger generation to continue in agriculture instead of pursuing city jobs.
Smart Farming in Chiangmai
Chiangmai as “Smart City”
19. As part of Thailand 4.0, Chiangmai is being developed as a “Smart City”. One integral
aspect is promoting ‘Smart Agriculture”. The Digital Economy Promotion Agency (DEPA)
has committed some 36.5 million baht towards developing smart cities in Thailand, with
Chiangmai as the second site, alongside Phuket and Khon Kaen.18
20. Chiangmai is poised to be developed as a model ‘Smart City’ with special focus on
Smart Agriculture, as part of a national “Pilot Smart Cities Scheme” under Thailand 4.0 policy
(Ariffin 2018). This will be undertaken by the Digital Economy Promotion Agency or DEPA,
17 Based on oral interview at DOAE Chiang Mai. 1 Rai = 0.16 Hectares 18 Suchit Leesa-Nguansuk, “Chiang Mai to become smart city”, Bangkok Post, 11 February 2017, https://www.bangkokpost.com/tech/local-news/1196657/chiang-mai-to-become-smart-city
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a national agency formed under the Ministry of Digital Economy and Society to “promote and
support the development of digital industry and innovation and the digital technology
adoption in order to achieve economic, social, cultural and security benefits”.
Agriculture & Cooperative Ministry’s 20‐year Plan (2017‐2036)
21. Thailand’s 4.0 initiative envisages the shift of the economy from an industrial to a
value-based one. The Twelfth Plan aims to promote individual farm production plans (IFPP)
for Thai farmers to analyse, plan and standardize their products.
How ‘smart agriculture’ can positively impact farmers
22. We see “smart agriculture” best practices as a means towards enhanced agricultural
production and income levels of small-holder farmers in Chiang Mai. The advent of Internet
of Things (IOT) requires adaptive capability of the agricultural workforce to be prepared for
disruptions in the agriculture business.
23. We have identified about six Information and Communication Technologies to improve
inclusivity to value chains, as set out below.
Figure 6: Examples of ICTs to promote value chains
Current
Outreach Cost
Future
Potential
1. Traceability
(eg. Blockchain technology like AgriDigital to increase
information on origin of food)
Low Expensive High
2. Digital Credit Score
(eg. Database for smallholder farms on their credit
score: remove major barrier for smallholder farmers to
enter global value chains because of lack of access to
credit)
Zero Cheap High
3. Digital Extension Services Low Expensive High
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(eg. Linking farmers to data like weather advisory, data
from sensors and satellites, inputs to use for particular
crop etc)
4. Social Media
(eg. For farmers using smartphones to share
experiences and challenges)
Zero Cheap High
5. Mobile Wallets
(eg. Cashless transaction technology; remove
imperfections in payment to farmers because of
asymmetric information; allow them to plan crop
cycle)
Low Expensive Medium
6. SMS Updates
(eg. Providing farmers with information on input such
as seeds, market price of produce, advisory on weather
etc)
High Cheap Low
24. We note that some of these are already being implemented or explored in Thailand. For
example, Chiang Mai University is currently conducting research into traceability of food
products.
Figure 7: Evolution of agricultural technology in Thailand 19
19 Nicole Darabian, “How dtac is enabling digital transformation for Thai farmers”, GSMA, December 7, 2016, https://www.gsma.com/mobilefordevelopment/programme/magri/dtac-enabling-digital-transformation-thai-farmers
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Figure 8: Traceability research by Chiang Mai University 20
Existing private sector initiatives in Thailand
Mobile farming applications (app)
25. DTAC, one of Thailand’s largest mobile operators, has developed an app, “Farmer
Info”, that provides market information to farmers (available on the Apple store).21 This is on
par with other “smart farming” initiatives in the region (eg. Japan, Myanmar), and builds on an
earlier SMS alert function also by DTAC.
20 Photo taken by Ann Lervita. 21 https://itunes.apple.com/th/app/farmer-info/id541507104?mt=8
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Figure 9: Existing smart initiatives in Thailand 22
Internet of Things (IOT) solutions
26. DTAC has been actively involved in various projects with the Department of
Agriculture and NECTEC to introduce innovation and technology into agricultural
development, and increase productivity, quality control and reduce costs for Thai farmers. Eg.
They are jointly developing IOT solutions for temperature control, soil moisture, research and
production of sensors, data analysis and even cloud intelligence.
27. DTAC is also involved in educational courses for farmers, eg: (a) commercial farming
programs, which teach young farmers how to improve productivity in managing agricultural
products, develop online marketing channels and strengthen networks between farmers; and (b)
developing skills to use Internet applications on mobile phones to improve knowledge transfer
and increase access to information channels.23
22 DTAC Sustainability Report 2016, https://issuu.com/dtac/docs/20170227-dtac-sd2016-en/60 23 DTAC Smart Farmer website (translated from Thai): http://dtacsmartfarmer.com/
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“Smart Farmer” Awards
28. To incentivize “Smart Farmers” and to ascertain key trends of agriculture, a yearly
“Smart Farmer Awards” is organized by the DOAE, DTAC and Rak Ban Kerd Foundation.
29. This has proven a useful platform to showcase the latest trends in “smart farming”
including: (i) data-driven farming (the use of big data to supplement on-farm precision
agriculture, by having the right data at the right time to make better cost-reducing decisions,
raise product quality and improve long-term profitability); (ii) use of renewable energy
technology (to reduce vulnerability to rising oil prices and related sources of energy); and (iii)
development of bio-pesticides.
30. The 2017 Smart Farmer Awards were organized under the theme of integrated
agriculture by leveraging the use of technology. The ten finalists were selected based on criteria
such as: combination of innovation and local wisdom to raise the standard of their products,
access to information, transformation from traditional to “smart” production methods,
consumer-centric and eco-friendly consciousness, and use of “market-led” thinking and
readiness to share with their peers.
31. The 2017 winner was Jirawan Kamsow,24 a Chiang Mai farmer growing organic golden
cordyceps. She stood out for her research into agricultural planning, from upstream to
downstream. While traditional farmers usually focus on supply, she had a market-led strategy
that differentiated her from traditional farming. A PhD holder, she developed bio-fertilizer and
created her own brand. Her product is traceable using a Quick Respond (QR) code for
customers. She also networks with other farmers in the community.25
24 http://www.nationmultimedia.com/detail/Startup_and_IT/30340118 25 www.lifestyleinthailand.com/smart-farmer-awards-unveils-thailand’s-agricultural-trends/
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Existing “Smart Farming” Initiatives specific to Chiang Mai
Department of Agricultural Extension (DOAE): Chiang Mai Office
32. The DOAE Chiang Mai Provincial Office (“DOAE Chiang Mai”) oversees about
190,000 farmers in Chiang Mai (excluding the 20,000 farmers who are working with the Royal
Project Foundation). It is one of the offices under the Department of Agriculture.
Figure 10: Field session with ‘Smart Farmer’ representative at DOAE Chiang Mai 26
33. The DOAE Chiang Mai started its ‘Smart Farmer’ initiative around 2014. This initiative
receives funding from the Thai government to develops plans to help farmers farm smarter, by
categorizing them into three main groups:27
26 Conducted on 6 December 2017, between 9.30am – 12.00pm. 27 See also DOAE information for breakdown of “Smart Farmers” across different provinces: http://doc.doae.go.th/wp-content/uploads/2017/02/Data_DSF_SF_SFM_20160909.pdf
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Figure 11: Categorization of Chiang Mai farmers 28
Smart Farmer type Description Estimated number (%)
“Developing” Lowest income category 159,700 (84.05%)
“Exciting” Beginning to adopt smart farming
methods
(by income level)
30,000 (15%)
“Model” Successful farmers
(identified farmer in each district who
specialize in one area)
300 (0.15%)
34. The DOAE Chiang Mai categorizes the smart farmers according to certain assessment
criteria (Annex 2). 29 Amongst others, income level is used to differentiate between
“Developing” and “Exciting” Smart farmers. For example, a farmer with an income of not less
than 180,000 baht per year can apply to become a “Smart Farmer”.30 For “Exciting” Smart
Farmers to graduate to “Model” category, there are additional criteria such as assessment of
their leadership and how they share knowledge about technology with other farmers.
35. There is existing use of social media platforms to maintain connectivity between
farmers. The LINE mobile app is used to set up communication groups between farmers, based
on the type of crop grown.
36. Some of the ‘Smart Farming’ activities organized by DOAE Chiang Mai include
activities in a centre for the 300-plus “model” smart farmers related to knowledge transfer. For
example, there could be information dissemination about fertilizer and pesticide use, or
demonstration conducted by farmers with practical experience in solving specific problems.
We understand that sometimes videos are recorded of these sessions, but as of date they are not
collated in a single place.
37. We also learnt that although younger Thais in general are not interested in taking up
farming as a profession, there is a group of about 50 young Chiang Mai farmers with high
28 The information in this table is based on our oral interview at the DOAE Chiang Mai on 6 December 2017. 29 Annex 1: Smart Farmer Assessment Criteria. 30 https://www.technologychaoban.com/news_detail.php?tnid=1999
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digital literary. They are mainly involved in selling products in niche markets such as those for
organic products, and produce videos for publishing on Facebook and YouTube.
Young Smart Farmers (YSF)
38. Over the past nine years, both the DOAE and DTAC are working with Young Smart
Farmers (age group of 17-45 years) across Thailand’s different provinces in areas such as:
applying modern technology to enhance efficiency of management, marketing of agricultural
products, capacity building and strengthening cooperation networks. YSF are generally more
open to embrace the use of information technology and IOT for farm operations, from planning,
cultivating, harvesting to sales – marrying modern technology with the “local wisdom” from
past generations of farmers. Based on information from the DOAE website: as of 2016, about
83% of Chiang Mai’s YSF population are considered “Smart Farmers”.31
39. Our research indicates that there are existing YSF networks across the eight northern
provinces (including Chiang Mai) which are currently establishing “provincial incubators” to
develop more YSF.32
Scope for intervention: a ‘Cross‐Learn’ Platform
40. Our takeaway from the DOAE Chiang Mai was that any intervention should be bite-
sized. They impressed upon us that the concept of “smart” need not be limited to the use of
technology but could simply a “smarter” way of farming.
41. We envisage building on existing networks between farmers to improve connectivity
both amongst themselves as well as to the markets.
31 The Buddhist calendar is 543 years ahead of the Gregorian calendar, ie. year 2559 is year 2016: http://doc.doae.go.th/wp-content/uploads/2017/02/3.- -Young-Smart-Farmer- -59.pdf 32 YSF Chiang Mai Facebook page: https://www.facebook.com/YSF-Chiangmai-278899759307367/
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Figure 12: Photograph taken at DOAE Chiang Mai
Thailand’s Unique Royal Projects
42. Owing to the initiatives of His Majesty Late King Bhumibol erstwhile opium planters
from poor hill tribes in Chiang Mai were able to produce high value fruits and sell it to the
market. This development project known as Royal Project now has 20,000 farmers in 7
provinces of Thailand with a specific target of uplifting low income and marginalized
communities. The Project has monetary resources at their disposal which enables market
research, planning and extension services. Also, they are the first buyers or support farmers in
times of harvest losses and hence minimize risks of cultivators.
43. We visited two Royal Projects in Chiang Mai where we interacted with farmers,
management and understood their business model. Projects such as Royal Project have a long
gestation period with difficulties in scaling up. But it does teach us invaluable lessons about
how knowledge dissemination and market led interventions can bring about a transformative
change in agriculture. We kept these lessons in mind while devising our proposal to improve
farmer incomes in the province.
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Figure 13: Interviewing farmer at Nong Hoi Royal Project, Chiang Mai
Recommendations
Proposal
44. Our research indicates that there is currently no platform website where Chiang Mai’s
farmers can interact directly with potential buyers from a wider market, consolidate knowledge
about farming and access services from agri-businesses. Current knowledge-sharing is mainly
via Facebook, group chats and YouTube (Annex 1) with information available in a scattered
manner.
45. Our proposal aims to fill this gap by setting up a web-based platform, in Thai and
English, for Chiang Mai’s farmers to share information (eg. on best practices), access services
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and ultimately be empowered to scale up their business so as to sell their products to a wider
market.
46. The core aim of such a platform is to facilitate the connection of Chiang Mai’s farming
base to the single market envisaged by the ASEAN Economic Community, through marketing
on a one-stop website in the common language of English.
47. We have identified and engaged a potential group of “change champions”, namely, YSF
Chiang Mai, who have expressed some degree of interest in exploring this proposal, and whom
we hope can eventually take over ownership of the platform after our initial start-up.
48. Other potential features of the platform including the following:
(i) “Exciting” smart farmers can access information on various stages of farming from
“Model” farmers through online resources (eg. demonstration videos, site-based
chatbots).
(ii) Agribusiness companies can provide personalized farm management plans to
farmers if they share information about their cropping patterns and location. These
companies can also sell their products (eg. seeds, fertilizers) to farmers through
these farm management plans.
(iii) Buyers (eg. wholesalers and retailers) can directly purchase from the farmers
advertising their crops
(iv) Local agribusiness companies can connect with foreign companies.
(v) The platform will enable the company to collect more data of farmers like their
cultivation pattern whereby profiles of farmers can be created for accessing credit
and other financial services.
49. For the purpose of sustainability, a company (incorporated in Thailand) should be set
up for prudent management of the funds required for the initiative to continue in the long run.
We foresee that funds can come from at least three sources:
(a) Advertising fees from agribusiness companies who would like to market their services
through the platform.
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(b) Membership fees for wholesalers and retailers who wish to buy directly from member
farmers through the platform.
(c) Farmers who invest in the company through eventual listing of the company and buying
of issued stocks
Estimated Cost
50. Based on the given budget of US$17,000, we estimate that we would be able to cover
about four months of operating costs for the setting up of a company to administer the proposed
new platform. The breakdown of monthly expenses is set out below:
Item Unit
Price(baht) Units Months Subtotal(baht)
Subtotal (USD)
Staff salary 25,000 2 4 200,000 6,250 Computer 32,000 2 1 64,000 2,000 Smartphone 10,000 2 1 20,000 625 Desk 5,000 2 1 10,000 313 Office chair 4,200 2 1 8,400 263 Table 5,000 1 1 5,000 156 Chair 1,150 4 1 4,600 144 Office rent bill 10,800 4 1 43,200 1,350 Electricity 1,500 1 4 6,000 188 Water 200 1 4 800 25 Internet 1,000 1 4 4,000 125 Smartphone fee 300 2 4 2,400 75 Other costs - - - 60,000 1,875 Total (baht) - - - 428,400 13,388
SWOT Analysis
51. The key drivers, opportunities and limitations of our proposal are summarized in the
SWOT analysis below:
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(Existing) STRENGTHS (+) (Internal) WEAKNESSES (-)
Enhance the bargaining power of smallholder farmers in agriculture value chains
Solution complements government efforts to reach out to a younger generation of innovative farmers
Sustainable solution if current policy of smart farmer is discontinued in the next budget cycle
Leveraging on the current network of farmers
Low digital literacy of farmers Economies of scale in agriculture may not be
achievable in Chiang Mai Incentivizing farmers to switch from staple
crops to high value crops Rise in environment issues such as
contamination of groundwater if chemical inputs are used
(New) OPPORTUNITIES (+) (External) THREATS (-)
Helping local farmers to connect with ASEAN economies
High potential and low financial risk Encourage future young smart to cultivate
high value crops Provides a single window to reach a large
community of farmers to communicate government schemes, subsidies and SDG targets.
A rival platform is set up by agribusiness or private sector
Cheaper exports flood the market Alternate remunerative career opportunities
in Chiang Mai Extreme weather events such as drought can
reduce the potential of agriculture in the province
Limitations
52. We have identified the overall digital literary of farmers and the current internet
penetration rate in Chiang Mai as the main obstacles. There is also tepid response from the
stakeholders approached.
Internet penetration rate
53. Currently, the internet penetration rate in Chiang Mai is low. We understand that the
traditional way of receiving information is through the television and radio.
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Digital literary of mainstream farmers
54. Digital literary is another issue. Although Thailand has experienced rapid development
of mobile phone technology, most Thai people still use smartphones primarily for basic
communication (eg.calls, texting and Internet surfing).
55. Efforts have been made by the public and private sectors to empower farmers through
mobile technology.33 For example, cellular operator DTAC has signed a memorandum of
understanding with the Agricultural Extension Department of the Agriculture and Agricultural
Cooperatives Ministry and the Ruam Duay Chuay Kan Sam Nuek Kerd Foundation to promote
the use of communication technology for agricultural development. Under the three-year
collaboration guidelines, the parties aim to create smart farmers through mobile learning
centres in all regions.
Figure 14: Training sessions for farmers on digital technology 34
33 Patcharee Luenguthai, “Empowering farmers through mobile technology”, The Nation, Thailand Portal, August 14, 2016, http://www.nationmultimedia.com/business/Empowering-farmers-through-mobile-technology-30292574.html 34 Ibid.
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56. Our field research suggests that Chiang Mai farmers still see face-to-face interaction as
the main source of knowledge. During our interview at the Mae Sa Royal Project, the farmers
informed us that while they did browse YouTube for videos of farming techniques (Annex
2),35 they still rely on traditional physical communication methods with other farmers rather
than YouTube.
57. That said, we believe that the small but involved YSF Chiang Mai, who are savvy with
use of technology, can act as agents of change to inspire other forward-thinking farmers
through their success.
Conclusion
“Smart Farming” and the SDGs
58. The above proposal will help to achieve SDG 2 of Zero Hunger and SDG 12 of
Sustainable Production. For Chiang Mai context both the goals are important as agriculture
provides sustenance to the province both in terms of food security and livelihoods. Our solution
aims to improve agriculture productivity via digital technology in order to make small holder
agriculture profitable.
Word count: 3919 (excluding content page, footnotes and annexes)
35 Annex 2: DTAC YouTube video on “Smart Farmer” (in Thai with English subtitles).
25
Annexes
Annex 1: DTAC video showcasing “Smart Farming” in Thailand
Annex 2: DOAE “Smart Farmer” assessment criteria form Note: Translation into English of Thai forms by Monnaphat Jongdeepaisal (Sai).
‐1‐ Year of Evaluation ( )
Evaluation Form for Qualification of Smart Farmer Pilot (Dept. of Agricultural Extension)
Part 1 Basic information and information on agricultural activities of farmers
(Part 1 information is connected with Farmer ONE system)
1. ( ) Mr. ( ) Mrs. ( ) Others (identify) ………………………
First name …………………… Surname ……………………… Birth date/month/year………………..
2. Identification number ( ) ( ) ( ) ( ) ( ) ( ) ( ) ( ) ( ) ( ) ( ) ( )
3. Permanent Address No. …….. Moo ……. Village ……………………………………
Tambol ……………….. Amphoe ……………….. Province …………….. Postal code ………..……….
Tel no. ………………………. Fax ……………………….. Mobile no. …………………………….
4. Address coordinate: X = ………………………. Y = …………………….. Zone …………………………….
5. Household income from agriculture (previous year) ……………….. baht/year/household
6. Main agricultural activities (yield the highest income for household; choose one)
26
( ) Rice ( ) Vegetables ( ) Crops ( ) Flowering plants ( ) Ornamental plants ( ) Fruits ( ) Perennial plants
( ) Corn for animal feed ( ) Rubber trees
( ) Cassava ( ) Tea ( ) Sugarcane for factory ( ) Coffee ( ) Pineapple ( ) Oil Palm
( ) Beans
( ) Oilseed plants
( ) Herbs and spices (long life cycle) ( ) Herbs and spices (short life cycle)
( ) Integrated farming ( ) Salt pan ( ) Insect farming
( ) Aquaculture ( ) Livestock ( ) Sericulture
Part 2 Information on status of farmers
1. First income received from agriculture in year ………………
2. Status of farmer
( ) Village Farmer Volunteer (VFV)
( ) Excellent Farmers in sector …. Year awarded …. Level ..(national/district/province)
3. Membership status
3.1 Collaborative Farming
( ) 1) Not a member
( ) 2) Become a member in year …….. (starting year 2016)
( ) 3) In preparation stage to become a member
3.2 Agricultural Learning Center (ALC)
( ) Member ( ) Not a member
3.3 ALC Network under the Ministry of Agriculture and Cooperatives
( ) Member ( ) Not a member
‐2‐
Evaluation Form for Qualification of Smart Farmer Pilot (Dept. of Agricultural Extension)
Part 3 Evaluation on Qualification of Smart Farmer Pilot
Qualification / Indicator1 Yes No
1. Eligible for all the basic qualifications of Smart Farmer
2. Engaged on the activities by themselves
3. Experience on agricultural activities by sectors (evaluate by sector)
3.1 Rice sector (as indicated by the Rice department)
3.1.1 have at least 3 years of experience in rice farming
3.1.2 engage in rice farming by themselves and their family
3.1.3 produce a higher yield than the provincial average
3.2 Vegetable sector at least 3 years
3.3 Crops sector
3.3.1 Corn for animal feed at least 5 years
3.3.2 Cassava at least 5 years
3.3.3 Sugarcane for factory at least 5 years
3.3.4 Pineapple at least 5 years
3.3.5 Beans at least 3 years
3.3.6 Oilseed plants at least 3 years
27
3.4 Flowers sector at least 5 years
3.5 Garden trees sector at least 5 years
3.6 Fruits sector at least 7 years
3.7 Perennial plants sector
3.7.1 Rubber plants at least 10 years
3.7.2 Tea at least 3 years
3.7.3 Coffee at least 3 years
3.7.4 Oil palm at least 10 years
3.8 Herbs and spices (long life cycle)
3.8.1 at least 5 years with life cycle less than 4 years
3.8.2 at least 10 years with life cycle more than 4 years
3.9 Herbs and spices (short life cycle)
3.9.1 at least 3 years with life cycle less than 1 year
3.9.2 at least 6 years with life cycle more than 1 year
3.10 Integrated farming at least 3 years
3.11 Salt pan at least 10 years
3.12 Insect farming at least 3 years
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‐3‐
Evaluation Form for Qualification of Smart Farmer Pilot (Dept. of Agricultural Extension)
Part 3 Evaluation on qualification of Smart Farmer pilot (cont.)
Qualification / Indicator1 Yes No
4. Exercise good practices
4.1 produce a higher yield than the provincial average
4.2 use chemical products in a correct and safe manner
4.3 apply the concepts of Green Economy and Zero Waste Agriculture
5. Be distinguishable
5.1 develop new tools/techniques or apply appropriate tools or local wisdom to
solve problems
5.2 produce explicit tangible outcome from developed or applied tools
5.3 attract the interest or attentions from other farmers to use such tools
6. Be well‐prepared to become a role model
6.1 have a regular visitor to study activities
6.2 able to communicate with others and share their learning experience
6.3 be well‐prepared and volunteer as a learning center for other farmers
7. Be able to take a leadership role
7.1 participate or have a role in development activities in their village
7.2 be diligent, determined, generous and service‐minded
7.3 be respectable and credible figure in their village
Part 4 Conclusion of the evaluation
This farmer ( ) is not a Smart Farmer pilot by sector ( ) is a Smart Farmer pilot by sector 1 The selected farmer must be eligible to every indicators in each qualification
Note The selected Smart Farmer pilot by sector is required to be evaluated for the Smart Farmer pilot
by sector in Farm Account in Part 5 if they are also in the program.
Part 5 Evaluation on the qualification of Smart Farmer pilot by sector in Farm Account
Qualification / Indicator2 Evaluation
Yes No
The select farmer is also a farmer in Farm Record (if yes, please continue)
5.1 have continuously recorded their occupational costs
5.2 able to use the recorded account to do cost‐benefit analysis
5.3 make production plan to lower the productions costs and expenses
5.4 have higher income/savings
5.5 able to be a lecturer to share their farm record to others in community
This farmer ( ) is not a Smart Farmer pilot by sector in Farm Account
( ) is a Smart Farmer pilot by sector in Farm Account 2 The selected Smart Farmer pilot by sector in Farm Account must be eligible to every indicators in
each qualification.
(Name of evaluator …………………. Position …..….. Evaluation date …….) (updated Sept 2017)
‐1‐ Year of Evaluation ( )
Evaluation Form for Qualification of Smart Farmer Pilot
Part 1 Basic information and information on agricultural activities of farmers
29
(Part 1 information is connected with Farmer ONE system)
1. ( ) Mr. ( ) Mrs. ( ) Others (identify) ………………………
First name …………………… Surname ……………………… Birth date/month/year………………..
2. Identification number ( ) ( ) ( ) ( ) ( ) ( ) ( ) ( ) ( ) ( ) ( ) ( )
3. Permanent Address No. …….. Moo ……. Village ……………………………………
Tambol ……………….. Amphoe ……………….. Province …………….. Postal code ………..……….
Tel ………………………. Fax ……………………….. Mobile no. …………………………….
4. Address coordinate: X = ………………………. Y = …………………….. Zone …………………………….
5. Household income from agriculture (previous year) ……………….. baht/year/household
6. Main agricultural activities (yield the highest income for household; choose one)
( ) Rice ( ) Vegetables ( ) Crops ( ) Flowering plants ( ) Ornamental plants ( ) Fruits ( ) Perennial plants
( ) Corn for animal feed ( ) Rubber trees
( ) Cassava ( ) Tea ( ) Sugarcane for factory ( ) Coffee ( ) Pineapple ( ) Oil Palm
( ) Beans
( ) Oilseed plants
( ) Herbs and spices (long life cycle) ( ) Herbs and spices (short life cycle)
( ) Integrated farming ( ) Salt pan ( ) Insect farming
( ) Aquaculture ( ) Livestock ( ) Sericulture
Part 2 Information on status of farmers
1. First income received from agriculture in year ………………
2. Status of farmer
( ) Village Farmer Volunteer (VFV)
( ) Excellent Farmers in sector …. Year awarded …. Level ..(national/district/province)
3. Membership status
3.1 Collaborative Farming
( ) 1) Not a member
( ) 2) Become a member in year …….. (starting year 2016)
( ) 3) In preparation stage to become a member
3.2 Agricultural Learning Center (ALC)
( ) Member ( ) Not a member
3.3 ALC Network under the Ministry of Agriculture and Cooperatives
( ) Member ( ) Not a member
30
‐2‐
Note: 1. This farmer is in a group of:
DSF = Developing Smart Farmer; farmers not eligible for Smart Farmer and are over 45 years of age
(as indicated by the Department’s category).
DYSF = Developing Young Smart Farmer; farmers not eligible for Smart Farmer and are 17‐45 years
of age (as indicated by the Department’s category).
SF = Smart Farmer; farmers eligible for Smart Farmer (qualified for both income criteria and
qualification criteria, in which need to fulfill in at least 1 indicators in each qualification) and
are over 45 years of age (as indicated by the Department’s category).
Evaluation Form for Qualification of Smart Farmer (cont.)
Part 3 Evaluation on Qualification of Smart Farmer Pilot
Qualification / Indicator Before* After*
Yes No Yes No
Basic qualification
1. Be knowledgeable in the career
1.1 able to be a lecturer for technology transfer or give advices
1.2 able to be a learning center for others
2. Able to access information and manage the information
2.1 able to access information sources from both officers and other
information systems e.g., internet and mobile phone
2.2 record and use the information to analyze and manage the products
to match market demands
2.3 use the information to solve problems and develop their career
3. Be knowledgeable in product management along the supply chain
3.1 able to manage factors of productions, capital, etc.
3.2 able to link with markets to commercialize the products
3.3 able to operate effective waste management
4. Be aware of product quality and consumer safety issues
4.1 engage with the production that meets GAP GMP, organic farming, or
other production standards
4.2 engage with the production process that conforms with GAP GMP,
organic farming, or other production standards
5. Be responsible to the environment / society
5.1 engage with production process that does not create pollution and
harm the environment (Green Economy)
5.2 engage with activities that benefit community and society
6. Be proud to be a farmer
6.1 be determined in agricultural occupation
6.2 cherish the land and agricultural occupation for the next generation
6.3 be happy and satisfied with agricultural occupation
Part 4 Conclusion of the evaluation
This farmer is in a group of ……………. (by an automatic evaluation system).
31
YSF = Young Smart Farmer; farmers eligible for Smart Farmer and are 17‐45 years of age (as
indicated by the Department’s category).
2. *Before = before joining the program
After = after joining the program
‐3‐
Evaluation Form for Qualification of Smart Farmer
Part 5 Training history
Office of the Permanent Secretary for Ministry of Agriculture and Cooperatives
1. Growing rice with less water
( ) never train ( ) Trained in year ……...
2. Off‐season rice farming
( ) never train ( ) Trained in year ……...
Department of Cooperatives Auditing 1. Occupational cost account
( ) never train ( ) Trained in year ……...
Department of Fisheries 1. Aquaculture
( ) never train ( ) Trained in year ……...
Department of Livestock Development
1. Develop Smart Farmer pilot
( ) never train ( ) Trained in year ……...
2. Develop and create new generation of farmers
( ) never train ( ) Trained in year ……...
3. Develop farmers to become Smart Farmers
( ) never train ( ) Trained in year ……...
4. Increase income of farmers
( ) never train ( ) Trained in year ……...
Department of Agricultural Extension
1. Smart Farmer
( ) never train ( ) Trained in year ……...
2. Young Smart Farmer
( ) never train ( ) Trained in year ……...
Other Organization please identify …………………………………
1. Curriculum please identify ……………………………………
Trained in year ……...
2. Curriculum please identify ……………………………………
Trained in year ……...
Other Organization please identify …………………………………
1. Curriculum please identify ……………………………………
Trained in year ……...
2. Curriculum please identify ……………………………………
Trained in year ……...
(Name of evaluator …………………. Position …..….. Evaluation date …….) (updated Sept 2017)
32