The Study on the Development of Potential Management of the Organic Farming Group, Ban Muang Village, Som Sa ard Sub-district, Det Udom District, Ubon Ratchathani Province

Abstract

The study on the development of potential management of the organic farming group in Ban Muang, Som Sa ard Sub-district, Det Udom District, Ubon Ratchathani province aimed to investigate appropriate management pathways since this farming group showed the strong sense of its leadership and active pathways. Moreover, this group can potentially produce approximately 900 tons of organic rice a year. The group also plans to build a paddy rice dehydrating silo but still needs knowledge on effective management. The second research goal was to shed light on the analysis of investment worthiness for construction project of the paddy rice drying silo. The findings have revealed the following significant issues. First, drying paddy rice reduced about 30 percent of its original weight, so the selling price should be increased by about 40 - 50% of the normal price of undried rice in order to gain more profit. Besides, in terms of selling patterns, organic rice should be sold as milled rice due to its higher price.  If the group sells organic rice unmilled, it will be mixed with normal rice, then its selling price would be lower.

            The most appropriate group management can be explained in several aspects. First, rice-producing plans must be consistent with the market needs. Second, the reserves should be sufficient to maintain cash flows in purchasing rice paddy from non members because the drying silo would need to run 24 hours. Third, in terms of marketing, there should be a base of a lot of customers to help the group determine the best selling prices. Fourth, in terms of personnel, the group needs to ensure that right people are put in the right position; especially technicians. Fifth, the best plan for rice drying business is to adjust the proportion of selling products: 30% of the sales should be of unmilled rice and 70%, milled rice. This will positively increases the sale values and a higher return of an investment than the loan—leading to the investment worthiness and a shorter payback period (PB).