It may not have significant affects to the people who are in remote areas that do not rely on industrially produced goods (i.e. electricity)….but obviously it will affec those who now needed those industrialized goods to survive.

hmmm…..why is the current government of Laos letting other nations depleting its natural resources (i.e. gold, copper, etc…)???

Despite this amendment to the statements of your previous correspondent, it is difficult to disagree with the core of his argument; Laos is unlikely (to say the least) to avoid being quite sharply impacted by world economic events. LXML contributed $US 140 million to the Lao exchequer in 2007-2008 and close to half the value of the country’s exports. Since copper prices have fallen by two-thirds since mid-2008 there is certain to be a major reduction in both government revenue and exports from this source in 2008-2009.

I wonder if there is (or ever was) a single example of a community that is ’subistent’ in the purest sense – that it is ’self-sufficient’ and does not have trade, barter or alternative economic (marriage, relatives, patrons) links to other communities? Seng’s examples are good evidence against the assumption that Laos is somehow ‘outside’ the global economy. Instead, Laos seems to be left out of global ‘recognition’. That is, recognition that its people are eager participants in world affairs. Lao labour (in the hundreds of thousands) is bound up in regional economic and trade networks (mainly in Thailand). Lao elites are shaped by regional and global educational opportunities (in dozens of countries). Remote rural Lao communities are impacted by resource development projects, even if they do not grow cash crops. Lao are affected by regional disasters such as the Asian Tsunami, in which dozens (possibly hundreds) of Lao working in southern Thailand were killed.

Whichever way you look at it, ’self-sufficiency’ is a message pushed by elites who are in no way interested in being self-sufficient themselves. And it is being pushed on impoverished communities who seem very interested in finding any way they can to participate in the global economy.

Lao Kips become stronger (11,000 kips per one US$ in 2007 to 8,400 kips per on US$ now). Looks promising Kips, but already giving troubles to some import export companies in keeping their contract commitments to the farmers, no longer afford to pay the farmers the promising prices for their crops especially for corns. Hundred thousands of corn grains stranded in the mountains of Laos just waiting to be destroyed by molds and storage pests. Good prices of corn in 2007 lured many farmers to grow corns in 2008 instead of traditional upland rice. The farmers are now facing tough challenge to cope with their need of rice.
Money economy is every where in this country. Rely on nature and forest products has become the story of the past as all have been exploited by the greedy Chinese and Vietnamese in the past decades.

The recessions direct hit the gold and copper mines mainly run by the Australians which caused resting thousands of the local staff and labors and canceling the contracts of the local suppliers to the mines. Garment factories pay is extremely low, 14 working hours a day can help less than US$ 100 a month to the factory worker.

Youths from the remote villages, all gone to the cities and to Thailand, leaving the villages with the elders and children and leave the paddy lands unploughed.

The cities in Laos are fulled with the internal migrants of youths, prostitution is booming, social instability need fast aids.

do they also ahdere to “sufficiency” principle ?
does Mr Somchit grow his own vegetables ?

Sounds about right for a Communist country.