April 22, 2008

Thailand to produce more corn for feed, curb import dependence

Thailand's government urged farmers to expand corn plantation to cut imports and maximize profit potential from high corn prices.

The agriculture ministry anticipates that corn acreage will increase 48,000 hectares.

Local reports cited that the agricultural land reform office already signed a contract-farming agreement with EM Agriculture encouraging farmers in five provinces, namely Phitsanulok, Phetchabun, Loei, Nong Bua Lamphu and Uttaradit, to grow corn.

Industry observers said that the increased corn production will also support animal feed meal as the grain makes up for 50 to 60 percent of poultry, pig and other livestock feed.

The move to boost corn production in Thailand is seen to stabilize domestic corn prices.

The agricultural office will set up 750 enterprises with a total membership of 15,000 farmers.