European rejection of palm oil from Malaysia and Indonesia due to environmental reasons has boosted Thailand’s potential to export the agricultural commodity, according to the Commerce Ministry.
Surasak Riangkrul, director general of the Foreign Trade Department, said European countries have become increasingly keen to import palm oil from Thailand due to the kingdom’s ecologically-standardised agricultural system and the country’s participation in the Roundtable on Sustainable Palm Oil (RSPO) organisation.
RSPO, established in 2004, aims to promote the growth and use of certified sustainable oil palm products. Demand in Europe for palm oil in industrial applications is high.
Mr Surasak said palm oil importing countries in Europe have become more aware of the environmental and sustainable production factors of palm oil, adding that six countries – Belgium, France, UK, the Netherlands, Sweden and Denmark – have announced a national commitment to import only sustainable palm oil by next year.
Germany recently issued a law which seeks to certify environmentally-friendly oil palm plantations – an imposition that has directly impacted Malaysia and Indonesia but will contribute to a higher market share for palm oil from Thailand, he said.
