Prices for casava in Thailand might rise due to the latest move of the country’s Agriculture and Cooperatives Ministry and several agricultural firms: they are encouraging the country’s farmers to grow casava.
The move is the result of the growing global demand for biofuels. Casava is a natural product of Thailand.
However, due to the increased demand of maize, several pig producers in Thailand switched to feeding their animals casava, as this had become less expensive.
New deals, announced this week, however, could mean prices for casava will go up as well.
The ministry’s Agricultural Land Reform Office signed agreements with three firms to encourage farmers in six northern provinces to grow casava for producing ethanol.
Ethanol production is expected to start in about March 2008. Altogether, the demand could be approximately two million tonnes of casava annually.
* Thai Agriculture and Cooperatives Ministry