October 28, 2011
Thai Feed Weekly: Corn prices rise on heavy damage to plantations (week ended Oct 17)
An eFeedLink Exclusive
Price Summary
Thai corn prices rose by THB0.20-0.50 a kilogramme this week as floods continue to wreak havoc in many parts of the country.
The latest survey by the Internal Trade Department shows the buying rates for corn at feed factories at THB9.20-9.30/kg, up THB9.00-9.15/kg from last week. But CP Feed's marketing department reports a sharper increase of THB.50/kg to THB9.75/kg, from THB9.25/kg a week earlier.
With rice production similarly in trouble, the price of broken rice has risen by US$3/tonne to US$504/tonne.
However, soymeal dropped by THB0.30-0.40/kg, thanks to weak global soy prices.
Market analysis
The Thai government has yet to release a final assessment on the damage caused to local corn crops by the country's worst flooding in 50 years. Feed industry leaders expect the damage to be substantial.
A corn producer in Chiang Mai province says that in Northern Thailand alone, about 1,600 hectares of corn plantations have been inundated. Estimates are being floated that corn production this year could decline by 20-30% in the aftermath of the severe flooding across the country.
Initial estimates by the Ministry of Agriculture place the damage to rice plantations at close to 2,000 hectares. The ministry expects this year's rice production to fall by 6-7 million tonnes, causing the price of broken rice, a major Thai feed ingredient, to swing up during the last few days.
After weeks of free fall, the price of cassava, meanwhile, appeared to have stabilised after the government promised to include cassava in its mortgage programme.
Deputy Commerce Minister Poom Sarapol said this week the cassava mortgage programme would begin Nov 15 and run for six months, with tiered prices starting from THB2.70/kg in November until they reach THB3/kg.
Cassava prices have been declining during the last two months after local ethanol producers had scaled back production following the government's decision to cut pump prices of fossil fuel.


PRICE as of  October 10
(in Thai baht/kg)

PRICE as of  October 17
(in Thai baht/kg)

(in Thai baht/kg)

Corn (Delivered to feed factory)

9.00 - 9.15

9.20 - 9.30



2.15 - 2.25

2.10 - 2.25


White Broken Rice A.1 Super (US$/tonne)




White rice bran

8.90 - 9.00

8.90 - 9.00


Rice bran residue 

7.70 - 7.80




20.00 - 21.00

20.00 - 21.00


Soymeal (imported)




Soymeal (local)

14.20 - 14.50

13.90 - 14.10

-0.30 to -0.40

Fishmeal (shrimp grade)




US$1=THB 30.54 (Oct 28, 2011)



All rights reserved. No part of the report may be reproduced without permission from eFeedLink.