Thailand Secures major Cassava Trade Deal with China, Boosting Farmers and Industry
In a significant move too strengthen agricultural trade, the Thai government has successfully negotiated a landmark deal with China, valued at over 5 billion baht, to export 440,000 tons of cassava products. This agreement is expected to absorb more than 1.68 million tons of fresh cassava roots, providing a much-needed boost to Thai farmers and the cassava industry.
The deal was finalized through the signing of a memorandum of understanding (MOU) in Shanghai and chengdu, marking a pivotal step in expanding thailand’s cassava market in China.According to Mr. Anukul Pruksanusak, Deputy Spokesperson of the Prime Minister’s Office, this collaboration will not only open new industrial markets but also reinforce existing ones.
“It’s a good sign that the government will accelerate cooperation to expand the trade market. That will push Thai cassava into new industrial markets in China and not just open old markets and expand new markets,” Mr. Anukul stated.
The negotiations saw participation from 51 top Chinese entrepreneurs and importers across various industries, including the alcohol, animal feed, adhesive, and paper sectors. Notably, the New Hope Group, one of China’s largest animal feed producers with a registered capital of 340 billion yuan, expressed strong interest in utilizing Thai cassava products for feed production.
Thai cassava has long been renowned for its world-class quality and superior nutritional value, making it a premium raw material in the animal feed industry. “Thai cassava products have long been famous for their world-class quality. Moreover, its outstanding nutritional value is superior to other cereals. It is indeed a strong point that makes Thai cassava a premium substitute raw material in the animal feed industry as well,” Mr. Anukul emphasized.
This agreement is expected to create long-term opportunities for Thai cassava in China’s growing industrial markets, especially in the animal feed sector. The government has pledged to continue monitoring and implementing measures to maximize the import market for Thai cassava in China.
Key Highlights of the Cassava Trade Deal
| Aspect | Details |
|————————–|—————————————————————————–|
| Total value | Over 5,314.95 million baht |
| Cassava Products | 440,000 tons |
| Fresh Cassava Roots | 1.68 million tons |
| Key Industries | Alcohol, animal feed, adhesive, paper |
| Major Chinese Partner | New Hope Group (animal feed production) |
This strategic partnership underscores Thailand’s commitment to leveraging its agricultural strengths to secure international trade opportunities.For more insights into the global cassava trade, explore the latest updates on the Asian cassava market and its implications for regional economies.
As the government continues to push for market expansion, this deal stands as a testament to the potential of Thai cassava to meet the demands of China’s diverse industries while supporting local farmers and boosting the economy.
Thailand-China Cassava Trade Deal: A Game-Changer for Farmers and Industry
In a landmark move to strengthen agricultural trade, Thailand has secured a major cassava trade deal with china, valued at over 5 billion baht. This agreement, which involves the export of 440,000 tons of cassava products, is set to absorb 1.68 million tons of fresh cassava roots, providing a significant boost to Thai farmers and the cassava industry. We sat down with Dr. Somchai Rattanakorn, an agricultural economist and cassava trade expert, to discuss the implications of this deal and its potential impact on Thailand’s economy and global trade dynamics.
The Importance of the Cassava Trade Deal
Senior Editor: Dr. Somchai, thank you for joining us today. This cassava trade deal between Thailand and China is being hailed as a landmark agreement. Can you explain why this deal is so significant for Thailand?
Dr. Somchai Rattanakorn: Thank you for having me. This deal is indeed a milestone for Thailand. Cassava is one of our key agricultural exports, and this agreement not only secures a stable market for our farmers but also opens up new industrial opportunities in China. The deal is valued at over 5 billion baht,which is a ample amount,and it will help absorb a significant portion of our fresh cassava roots,providing much-needed income stability for farmers.
The Role of the Memorandum of Understanding (MOU)
Senior Editor: the deal was finalized through the signing of an MOU in Shanghai and Chengdu. What role does this MOU play in ensuring the success of this trade agreement?
Dr. Somchai Rattanakorn: The MOU is a critical component of this deal. It formalizes the commitment between Thailand and China to expand the cassava trade.By signing this MOU, both parties have agreed to work together to ensure that the trade flows smoothly and that the quality of Thai cassava products meets the standards required by Chinese industries. This is particularly important for sectors like animal feed, alcohol, and adhesives, where Thai cassava is highly valued.
Impact on Thai Farmers and the Cassava Industry
Senior Editor: How will this deal directly benefit Thai farmers and the cassava industry as a whole?
Dr. Somchai Rattanakorn: This deal is a lifeline for Thai farmers. By securing a market for 1.68 million tons of fresh cassava roots, it ensures that farmers have a steady income, which is crucial for their livelihoods. Additionally, the deal will stimulate the entire cassava industry, from production to processing. It will encourage investment in better farming techniques and processing facilities, ultimately leading to higher quality products and increased competitiveness in the global market.
chinese Industries and the Demand for Thai Cassava
senior Editor: The article mentions that 51 top Chinese entrepreneurs and importers participated in the negotiations. Can you elaborate on which industries are most interested in Thai cassava and why?
Dr. Somchai Rattanakorn: Certainly. Thai cassava is highly sought after in several key industries in China. The animal feed sector, represented by major players like the New Hope Group, is one of the largest consumers. Thai cassava is known for its superior nutritional value, making it an excellent raw material for animal feed. Additionally, the alcohol, adhesive, and paper industries are also significant consumers.the high quality and nutritional content of Thai cassava make it a premium substitute for other cereals, which is why it’s in such high demand.
Long-Term Opportunities and Government Support
Senior Editor: What are the long-term opportunities this deal presents for Thailand, and how is the government planning to support this initiative?
Dr.Somchai Rattanakorn: This deal opens up long-term opportunities for Thailand to establish itself as a key supplier of cassava in China’s growing industrial markets. the government has pledged to continue monitoring the market and implementing measures to maximize the import potential for Thai cassava. This includes providing support to farmers, improving infrastructure, and ensuring that quality standards are met. By doing so, Thailand can solidify its position as a leading exporter of cassava and continue to benefit from this lucrative trade relationship with China.
Conclusion: A Bright Future for Thai Cassava
Senior Editor: Dr. Somchai, thank you for your insights. It’s clear that this cassava trade deal is a significant step forward for Thailand. What final thoughts would you like to share with our readers about the future of Thai cassava?
Dr. Somchai Rattanakorn: Thank you. I believe this deal is just the beginning.Thai cassava has the potential to become a cornerstone of our agricultural exports, not just to China but to other markets as well. With continued government support and industry collaboration, we can ensure that Thai cassava remains a premium product in the global market, benefiting our farmers and boosting our economy for years to come.
