BANGKOK, Thailand – Commerce Ministry temporarily banned the export of raw palm oil, focusing on effective stock management after the production is reduced due to the drought and plant diseases, Oct 31.
He asks for cooperation from the department stores to fix the selling prices and organize sales promotion for the customers.
Commerce Minister Pichai Naripthaphan said there was a significant decrease in oil palm output at the moment, forcing the prices to be increased. The Ministry has to intervene to make the balanced market conditions, to take the necessitating measures to protect both farmers and consumers from inflated prices.
Mr Pichai said the short term measure that he instructed the Department of Internal Trade to implement was the delay of raw palm oil export. If necessary, more measures would be taken including to reduce the use of palm oil in biodiesel production to make the surplus palm oil available to produce refined palm oil for household consumption.
The Minister said the reasons the palm oil production is reduced because of the earlier drought and plant diseases, forcing the prices are at 8-9 baht per kilogram. It was expected that the situation would return to normal from January 2025. As for the bottled palm oil prices is selling between 43-48 baht per bottle, depending on the old or new stock.
There were the voices from the food shop owners who use palm oil for cooking. Surachai Sukprom, who sells fried banana and fried potato at a market at the Ministry of Commerce, said the palm oil prices are increasing continuously. He used to buy a carton of 12 pouches of 1-liter palm oil at 520 baht which is 43 baht for one pouch. Now the princes in adjusted to 690 baht or 57 baht for one pouch.
At Lamphun, a woman shop owner cries foul because of the increased prices, causing the higher cost of the raw material but she have to sell the product at the same prices for fearing that the higher selling price will drive the customers away. She urges the government to take care of the prices.
At Khon Kaen, a food shop owner is worried that if the palm oil price keeps increasing it will affect the production cost and will eventually drive the customers away.
At Songkhla, the price of palm oil is skyrocketing from 40 baht to more than 50 baht per bottle. The palm oil price affects the Hat Yai fried chicken stalls but most of them maintain the normal prices for fearing that it will impact the customers and the sales. (TNA)
