This article was originally published on Prachatai.
Sugarcane farmers and mills in eastern Thailand are facing a deepening labour crisis as a shortage of workers threatens to derail this year’s harvest, with losses expected to exceed 3 billion baht, industry representatives said.
Farmers have struggled to replace Cambodian migrant workers, who traditionally dominate the workforce, after border closures halted cross-border labour movement. A government decision last year allowing refugees to work as a temporary substitute has failed to deliver sufficient numbers, largely due to complex administrative procedures.
Refugee labour falls short
Sakchai Yamkosum, a sugarcane farmer in Sa Kaeo province, said he requested 50 refugee workers but has received only 10 so far.
“They arrived with almost nothing, so I provided food, blankets and accommodation,” Sakchai said. “They are now working and helping a lot, but the numbers are far from enough.”
He said he usually employs hundreds of Cambodian workers and supplies about 20,000 tonnes of sugarcane to factories each year. This season, he has harvested only around 5,000 tonnes so far, raising fears he will miss contractual delivery targets before the crushing season ends in late March.
“Refugee workers are careful and work neatly. Some can cut up to 150 bundles a day. Although they are not yet as skilled as the workers we used before, they can still provide significant support,” he said. “We need more workers. I can assure them that living and working here is not difficult, and employers are still in urgent need of labour.”
Losses in sugarcane industry exceed 3 billion baht
KanokkanKhumpol, a representative of the Burapha Farmers Association in Sa Kaeo province, said labour shortages are causing severe damage to sugar mills in eastern Thailand.
One mill had projected sugarcane deliveries of 2.7 million tonnes this season but has so far processed only 630,000 tonnes, leaving more than 2 million tonnes uncrushed — losses estimated at over 1.8 billion baht. Another mill still has more than 1.28 million tonnes awaiting processing, valued at over 1.1 billion baht. Combined losses at the two mills are estimated to exceed 3 billion baht.
“Time is critical. If we cannot secure more workers this month, the damage will escalate,” Kanokkarn said, warning that rain could make harvesting impossible if delays continue.
She added that rumours of labour exploitation and low pay have spread fear among refugees, discouraging many from leaving camps, despite assurances from farmers and associations that accommodation, interpreters and complaint mechanisms are in place.
Structural labour crisis
Siwawong sooktawee, an adviser from Thailand Migration Reform Consortium (TMR), said the current situation reflects a broader “labour crisis” in Thailand, particularly in the agricultural sector, which relies heavily on seasonal workers.
He said procedures for employing refugees are currently under review by the interior ministry and the National Security Council. However, due to the ongoing political transition, any streamlining of these processes will require approval from a new government and is unlikely to be completed in time for this year’s harvest season.
“Thailand is rapidly becoming an ageing society, while the labour force is shrinking. Many businesses still lack the capacity to invest in labour-saving technologies,” Siwawong said. “The reality is that Thailand’s economy remains dependent on migrant labour. If Thai society fails to accept this fact, the problem will only worsen in the future.”
He added that instability in neighbouring countries, combined with negative attitudes towards migrant workers, is making labour market management increasingly difficult, despite the fact that migrant workers are not only a source of production but also consumers and a foundation for future economic growth.
“In the past, Thailand’s economic growth was driven by young workers from neighbouring countries,” Siwawong said. “Today, we are rejecting our own strengths through prejudice — a reality now clearly reflected in the labour crisis unfolding in eastern Thailand.”
Siwawong concluded that addressing labour shortages will be an urgent challenge for the next government after the election, particularly under tight time constraints. This includes managing seasonal labour needs in agriculture and renewing work authorisations for border-area workers whose permits are expiring, even as employer demand continues to rise while the workforce shrinks.