November 15, 2006

Thailand to allow unlimited soymeal imports from WTO members

The Thai government has agreed to allow animal feed and livestock associations to import unlimited amounts of soymeal from WTO member countries next year.

To qualify for import permission, they must purchase soymeal from local vegetable oil refineries at THB 9.85 (US$0.26) programme. Imports from non-WTO members would be taxed at 119 percent.

Soy imports fall under Thailand's commitment to the WTO to open its market to agricultural imports from WTO members.

While soymeal from countries in the Asean Free Trade Area would face a 5-percent tax, it has been waived off for produce from Australia and New Zealand. The duo has free trade deals with Thailand.

Similarly, a 20-percent tax would be levied on maize import from WTO countries contrary to a 73-percent plus a THB 180 (US$5) per tonne surcharge on imports from elsewhere.

Thailand would use about 3 million tonnes of soymeal for the animal feed industry next year, with local production being just 1 million tonnes. Maize imports could go to some 300,000 tonnes to meet the demand of about 4.05 million tonnes next year.

The committee also agreed to allow unlimited imports of fishmeal with 60 percent protein. It would be taxed 10 percent in addition to a surcharge that accounts for 50 percent of the value of the paid tax.