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Pracharath: 76 provincial enterprises to boost rural economy

Prime Minister Prayut Chan-o-cha announces the launch of the 'Pracharath' policy to boost the grassroots economy in September 2015. Wisit Thamngern

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With focus on agricultural products, tourism & OTOP, first social enterprise already underway in Phuket & Chiang Mai, with end-of-year deadline for the rest.


Pracharath: 76 provincial enterprises to boost rural economy

Dumrongkiat Mala

The government is setting up 76 so-called "social enterprises" , one for each province, that will combine private sector expertise, community know-how, and government funding (public funding).

The focus of these new businesses will be on agriculture, agriproduct processing (food processing), and tourism.

The aim is to help develop the rural economy and improve local Otop (One Tambon One Product) products and put them on a more commercial footing.

A social enterprise is different from an ordinary business in that it "applies commercial strategies to maximize improvements in human and environmental well-being—this may include maximizing social impact alongside profits for external shareholders." Profits are usually reinvested in the business (Source: Wikipedia here). 


The private sector will provide management and marketing know-how.

Performance measures (Financial KPIs) will be used to track executive performance.

Thai Beverage Group chief executive officer (CEO) Thapana Siriwatnaphakdee who heads the working team (working group) on the Pracharath Raksamakkee model, said the idea of creating a social enterprise in each province is similar to the community cooperatives system.

However, the law governing cooperatives will not be used, which will allow management to be more flexible and effective.


The plan is to set up social enterprises in three phases.

Phuket, Chiang Mai, Phetchaburi, Udon Thani and Buri Ram will take part in the first phase.

Thirteen more social enterprises will be set up by September in the second phase.

The committee will set up social enterprises in all 76 provinces by the end of this year.


The first social enterprise has already been launched in Phuket. 

Phuket was chosen as the pilot project because the island already has many promising tourism sector products and services.

For Phuket, five products will be promoted for adding value (value-added) and branding.

The Phuket agriculture products to be promoted include pineapples, lobster, goat milk, organic vegetables and batik clothes.


The second project in Chiang Mai is in the planning stages and will feature ten products including rice, mango, coffee beans, longan, hand - woven textiles, woodcarving and silverware.

Local communities will be taught about business strategies and how to develop diversified revenue streams.

Chiang Mai Chamber of Commerce president Wiphawan Woraphuttiphong said the policy could help transform Chiang Mai's economy.

Ms Wiphawan said many Otop products have the potential to expand to bigger markets, but businesses, especially SMEs, need more support from the government sector and large companies to develop.


The social enterprises will be run on business lines with their own boards, managing director (MD) and advisers, and will come under a holding company, known as the "Pracharath Raksamakkee company".

The Pracharath Raksamakkee company will be run under the Pracharath, or people - state partnership model, initiated by the government.

While all social enterprises will come under one holding company, each social enterprise will work independently and generate its own income.

It will also have executive boards made up of members of the government and private sector, and a managing director (MD) working in civil society (NGOs) in the province.

The enterprises will also have advisory boards including officials from ministries and government agencies, including the Ministry of Agriculture and Cooperatives, the Ministry of Commerce and the Prime Minister's Office.


The enterprises will be operated as a legal business entity to develop rural businesses and communities.

Shareholders in the company will oversee the operation with the aim of benefiting society, not to maximise profits.

All profits will go back into improving the businesses, so no dividends will be paid to anyone.

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adviser (noun): a person who gives advice, especially somebody who knows a lot about a particular subject - ที่ปรึกษา

advisory : having the role of giving professional advice - ที่เกี่ยวกับการให้คำปรึกษา

agency (noun): a government department that provides a particular service - หน่วยงานราชการ

agriculture : the science or practice of farming - เกษตรกรรม, การเกษตร

aim : the thing you hope to achieve by doing something - เป้าหมาย

aim : to have as your purpose or goal - มีเป้าหมาย มีจุดมุ่งหมาย

allow : to let somebody/something do something; to let something happen or be done - อนุญาต, ยอมรับ

beverage : a drink of any type - เครื่องดื่ม

board : a group of people who have the responsibility of managing important business or government activities - คณะกรรมการ

branding (noun): the activity of giving a particular name and image to goods and services so that people will be attracted to them and want to buy them - การสร้างตราผลิตภัณฑ์

chamber of commerce : a group of local business people who work together to help business and trade in a particular town - หอการค้า

chief executive officer (CEO) : the person with the highest rank in a company or an organisation - ผู้บริหารสูงสุด, ซีอีโอ (ประธานบริหาร)

civil society (noun): organizations in a society outside the government that help and look after people and their rights, health, safety, well-being, etc - ประชาสังคม หมายถึง สังคมที่ประชาชนในระดับต่าง ๆ มีการรวมตัวกันอย่างแข็งแกร่ง เพื่อที่จะเข้ามีส่วนร่วมในกระบวนการตัดสินทางเลือกสาธารณะ ที่มีผลกระทบต่อพัฒนาการในด้านต่าง ๆ ของท้องถิ่นและประเทศโดยรวม

combine : to mix or be put together - รวมกัน

commercial : for business purposes - เกี่ยวกับการค้า

community : the people living in one particular area - ชุมชน

cooperative : a business or farm owned and run by the people involved, with the profits shared by them - สมาคมสหกรณ์

develop : to think of or produce a new idea, product, etc. and make it successful; to build new houses, factories, etc. on an area of land, especially land that was not being used effectively before - พัฒนา

diversified (adj): having developed a wider range of products, interests, skills, etc. in order to be more successful or reduce risk - ที่หลากหลาย

dividend : a share of the profits of a company, paid once or twice a year to the people who own the company’s shares - เงินปันผล

effective : producing the result that was intended - ได้ผลดี

enterprise : an organisation, especially a business - กิจการ, บริษัท,อุตสาหกิจ,วิสาหกิจ

entity (noun): something which exists apart from other things, having its own independent existence - บุคคล คณะบุคคล บริษัท องค์กร

executive : a senior manager in a business or other organisation - ผู้บริหาร

expand : to make or become larger - ขยาย เพิ่ม

expertise : a high level of knowledge or skill - ทักษะความรู้, ความคิดเห็นของผู้เชี่ยวชาญ

feature : to include someone or something as an important part - ทำให้เด่น

financial : involving money - เกี่ยวกับเงิน, ทางการเงิน

flexible : able to change to suit new conditions or situations - เปลี่ยนแปลงได้,แก้ได้

focus : to give attention, effort, etc. to one particular subject, situation or person rather than another - เพ่งความสนใจ

footing : basis; foundation; the idea or system that something is "based" on - พื้นฐาน,รากฐาน,หลักสำคัญ

funding : money given for a particular purpose - การให้เงินสนับสนุน

generate : to produce - ผลิต, ก่อให้เกิด

goat (noun): an animal with horns and a coat of hair, that lives wild in mountain areas or is kept on farms for its milk or meat - แพะ

group (noun): a business group, a large company that owns other companies -

head : leader; the person in charge of a group of people; who manages them and "leads" them in doing some activity - ผู้นำ

holding company : a company that is formed to buy shares in other companies which it then controls - บริษัทผู้ถือหุ้นใหญ่หรือเป็นเจ้าของหุ้นใหญ่ในบริษัทอื่น บริษัทที่ถูกจัดตั้ง ขึ้นมาเพื่อซื้อหุ้นของบริษัทอื่น

income : money that someone gets from working or from investing money - รายได้

independently : without help from others - พึ่งตนเอง

initiate : to start something or make it start - ริเริ่ม

know-how : knowledge; knowing how to do something - ความรู้และทักษะ; ความรู้หรือวิธีการ

launch : starting something - การเริ่มต้น

legal : allowed by the law - ถูกต้องตามกฎหมาย

local : in or related to the area that you live, or to the particular area that you are talking about - ท้องถิ่น

managing director (MD) : the top manager of a company, similar to a CEO, the member of a company's board of directors who is responsible for running a company on a daily basis -

maximise : to increase something as much as possible - ทำให้มีสูงสุด

measure (verb): to find the size, quantity, etc. of something in standard units - วัดขนาด (ความยาว, ความสูง, ความเร็ว ฯลฯ)

member : a person, a country or an organization that has joined a particular group, club or team - สมาชิก

ministry : a government department that has a particular area of responsibility - กระทรวง

model : something such as a system that can be copied by other people - น่าถือเป็นแบบอย่าง, ต้นแบบ

officials : people who have the power to make decisions or enforce the law - เจ้าหน้าที่ผู้มีอำนาจ

organic (adjective): produced or practised without using artificial chemicals - (เกษตรกรรม)เชิงชีวภาพ

partnership (noun): when a company owns and runs a business and shares profits, etc or with another company - หุ้นส่วน, ความร่วมมือ, ห้างหุ้นส่วน, ห้างหุ้นส่วนจำกัด

performance (noun): how well someone does some task or activity; how well they achieve their goals - การปฏิบัติงาน, การทำให้บรรลุผลสำเร็จ

phase : a particular period of time during the development of something - ตอน, ขั้นตอน, ช่วง, ระยะ

pilot project : a plan, product or system that is used to test how good something is before introducing it - โครงการ นำร่อง

policy (noun): a set of plans or action agreed on by a government, political party, business, or other group - นโยบาย

private sector : businesses and industries that are not owned or controlled by the government - ภาคเอกชน

processing (noun): adding chemicals or other substances to food, for example to keep it fresh for a long time - การแปรสภาพ

profit : money that you make from selling goods and services after all your costs have been paid - กำไร

project : a planned piece of work that is designed to find information about something, to produce something new, or to improve something - โครงการ

promising : likely to be successful or very good - มีอนาคตดี,มีความหวัง

promote : to encourage or support something - สนับสนุน

province : one of many divisions of the government of a country into smaller parts - จังหวัด

public (adj): belonging to the government -

revenue : income from taxes or business activities - รายได้

run on business lines : operate as a business that makes a profit and not as a non-profit charity -

rural : connected with the countryside outside big towns and cities  - ในชนบท, บ้านนอก

sector : a part of a country’s economy or business activity - ภาคเศรษฐกิจของประเทศ

set up : to create something or start it - ตั้งขึ้น

setting up : creating something or starting it - ตั้งขึ้น

shareholder : a person who owns some of the equal parts into which the ownership of a company is divided - ผู้ถือหุ้น

similar : like somebody/something but not exactly the same - คล้ายกัน

social enterprise : "an organization that applies commercial strategies to maximize improvements in human and environmental well-being—this may include maximizing social impact alongside profits for external shareholders," often almost all profits reinvested in business (Source: Wikipedia) -

stage : a part of an activity or process or a period of development - ช่วง, ระยะ, ตอน

state : government - รัฐบาล

strategy : a plan or method for achieving something, especially over a long period of time - ยุทธวิธี, แผนการ  

stream (noun): a continuous flow of something, e.g., liquid, gas, inflormation or even people - การไหลต่อเนื่อง, กระแส

support : to give help, encouragement or sympathy to somebody - สนับสนุน, เป็นกำลังใจ

take part in (verb): to join and be part of some activity; participate as a participant - เข้าร่วม มีส่วนร่วม

textile : involved in making woven or knitted cloth - สิ่งทอ, ผ้า

track : to follow the development or progress of something - ติดตาม

transform : to change from one form into another - เปลี่ยนไปสู่อีกสิ่งหนึ่ง

value-added (adj.): the "value" that is added to a product by a company during one stage in making the product - มูลค่าเพิ่ม

working group : an group of experts brought together to work on solving some problem and achieving specified goals -

woven : cloth, a carpet, a basket, etc. made by crossing threads or strips across, over and under each other by hand or on a machine called a loom - ถักทอ


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