Thailand: Stop Chinese Land Grabs

Via Bangkok Post, commentary on growing Thai concerns around Chinese land purchases:

The latest report on Chinese investors buying protected forest land to expand their durian plantations is worrying. This is more than just an illegal land grab, however. Soon, the whole durian supply chain will feel the impact. As such, these blatant land grabs must be stopped with a sense of urgency.

Clearly, the government has been slow to respond. Foreigners, especially Chinese businessmen, who are major durian importers, integrated with the local supply chain over a decade ago. They opened loeng, a Chinese word for warehouses, where middlemen buy directly from local farmers. Now, some of these foreign investors are moving into the farming sector upstream of the supply chain.

The level of land grabs taking place in Chachoengsao and, more recently, in Chanthaburi are startling. Both provinces are known for their fruit plantations, and both have large swaths of protected public forest.

In one case in Chachoengsao, 500 rai of protected forest land has been converted into a durian farm by a company owned by a Chinese investor with Thai partners. These investors are reported attempting to grab another 300 rai by paying local taxes — a pretext to justify their land occupancy.

In another case in Chanthaburi, over 900 rai of protected forest has seen some Sor Por Kor land converted into durian farms.

Thailand’s durian industry is worth over 82.8 billion baht (US$2.4 billion), with China the biggest buyer. Chinese investors already control 90% of local durian export hubs.

The question is whether local fruit growers are reaping the full benefits. With foreigners and Thai businesses controlling the supply chain, how can they compete?

The bigger question is how much Thailand will benefit from its durian exports if foreign investors become part of the supply chain.

Without its own supply chain, the country and its native farmers lack bargaining chips. Investors and foreign exporters in the supply chain will ultimately set the prices and determine the market. Meanwhile, Thailand’s forests are quickly disappearing.

So how are these foreigners gaining access to the land? Needless to say, without local officials either being hoodwinked or complicit, these investors and their Thai proxies would not be able to get their hands on public forest land.

Poor law enforcement is equally to blame. Officials are quick to point the finger at local villagers for giving up their land to outsiders. It remains to be seen whether these foreign investors and their proxies will be arrested for their crimes. Moreover, will the officials responsible for approving these land transfers face any investigation?

Such foot-dragging by the authorities merely emboldens unscrupulous investors and their local partners to snatch more of our national resources while corrupt officials turn a blind eye. Land grabs have become easy, lucrative, and unchecked.

Meanwhile, clearing forests for plantations is ruining our ecosystems. Deforestation erodes soil, dries up water sources, and displaces wildlife. Heavy use of toxic farm chemicals contaminates soil and water sources.

If the government wants to save Thailand’s durian industry, it must stop blaming villagers and start tackling these foreign land grabs. Officials who allow such deals to take place should be punished.

Equally important, the government needs to protect local farmers by ensuring fair competition.



This entry was posted on Wednesday, March 19th, 2025 at 8:11 pm and is filed under Uncategorized.  You can follow any responses to this entry through the RSS 2.0 feed.  Both comments and pings are currently closed. 

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About This Blog And Its Author
Seeds Of A Revolution is committed to defining the disruptive geopolitics of the global Farms Race.  Due to the convergence of a growing world population, increased water scarcity, and a decrease in arable land & nutrient-rich soil, a spike of international investment interest in agricultural is inevitable and apt to bring a heretofore domestic industry into a truly global realm.  Whether this transition involves global land leases or acquisitions, the fundamental need for food & the protectionist feelings this need can give rise to is highly likely to cause such transactions to move quickly into the geopolitical realm.  It is this disruptive change, and the potential for a global farms race, that Seeds Of A Revolution tracks, analyzes, and forecasts.

Educated at Yale University (Bachelor of Arts - History) and Harvard (Master in Public Policy - International Development), Monty Simus has long held a keen interest in natural resource policy and the geopolitical implications of anticipated stresses in the areas of freshwater scarcity, biodiversity reserves & parks, and farm land.  Monty has lived, worked, and traveled in more than forty countries spanning Africa, China, western Europe, the Middle East, South America, and Southeast & Central Asia, and his personal interests comprise economic development, policy, investment, technology, natural resources, and the environment, with a particular focus on globalization’s impact upon these subject areas.  Monty writes about freshwater scarcity issues at www.waterpolitics.com and frontier investment markets at www.wildcatsandblacksheep.com.