Impact of Agricultural Certification for Silk Farmers: Case Study of Khon Kaen Province, Northeast Thailand

Abstract

Despite rapid economic growth, income inequality between rural and urban areas remains an important social issue in Thailand. In 2020, the disparity between the Northeast region, which has the lowest GRP per capita, and the East region, which has the highest GRP per capita, was approximately 5.05 times. Northeast Thailand is an agricultural area and is famous for silk production. According to the Queen Sirikit Department of Sericulture, in 2017 sericulture silk yarn production in the Northeast region was 520 metric tons and engaged 82,071 households (or approximately 80% of all households in the region). Improving the silk industry in the Northeast is essential for economic development in this region. Obtaining certifications that guarantee quality is considered one effective way to increase farmers’ income. Hence, this study aimed to clarify the factors that play a role in obtaining certification and the impact of obtaining certification on farmers’ profits from silk weaving. We examined the case of farmers in Khon Kaen province in Northeast Thailand and focused on four certifications: Organic Thailand, Geographical Indication (GI), OTOP, and Peacock. We conducted both quantitative and qualitative analyses based on the primary data collected through in-person interviews with 103 farmers from October to November 2022. The results showed that the important factors affecting profits from silk weaving are design, the type of dyestuffs, and the ability to access markets where products fetch high prices. To identify the key factors to obtain certification, we used logistic regression, and to evaluate the impact of the certifications, we conducted a two-sample t-test. Statistical analysis results revealed that joining a farmers’ community and the number of processes involved in sericulture are two important factors in obtaining certifications and that farmers who have certifications tend to earn more income compared to non-certificated farmers.