Bangkok: The National Corn Policy Committee has announced the extension of the buyback price for animal feed corn, maintaining the current rate at 9.80 baht/kg until further notice. The decision comes as part of a broader initiative to review production costs by August 31, following differing opinions on these expenses. Minister Supajee has directed the Ministry of Agriculture to focus on cost reduction, yield improvement, and support for farmers starting from the production phase.
According to Thai News Agency, Deputy Prime Minister and Minister of Commerce Ms. Supajee Suthamphan, who also chairs the National Corn Policy and Management Committee (NCPMC), led a meeting involving representatives from various sectors, including the National Farmers Council and animal feed manufacturers. The meeting aimed to assess appropriate strategies for managing the animal feed corn sector and its pricing in light of current circumstances.
The committee agreed to prolong the validity of the Ministry of Commerce's announcement regarding the domestic purchase price of animal feed corn for the 2025/2026 crop year, which was due to expire on July 31, 2026. The existing purchase price criteria will remain unchanged to avoid a price vacuum and protect farmers while awaiting a resolution on new pricing.
The current pricing structure dictates that the purchase price for dried animal feed corn with 14.5% moisture content at factories in Bangkok and nearby areas is set at 9.80 baht/kg. For fresh corn with 30% moisture content, sold at collection points in specific provinces, the price is 7.05 baht/kg. Prices in other areas will be adjusted based on the existing structure, considering transportation costs and moisture content.
Ms. Supajee highlighted the differing opinions on production costs, emphasizing the need for a review to ensure data accuracy and mutual acceptance. Farmers have reported increased costs, whereas the Office of Agricultural Economics (OAE) data suggests a decrease, necessitating a comprehensive review by August 31, 2026. This review will involve collaboration between the OAE, the National Farmers Council, and other relevant bodies.
The Ministry of Agriculture and Cooperatives has been tasked with overseeing improvements in farmers' production capabilities, focusing on seed quality, production efficiency, and cost reduction strategies. This initiative aims to enhance farmers' competitiveness and reduce reliance on purchase price increases.
Should the review confirm increased production costs for the 2026/2027 season, the Ministry of Agriculture will explore direct assistance measures for farmers to prevent cost burdens from affecting consumers. Ms. Supajee emphasized the importance of developing a strategic plan to address the animal feed corn issue comprehensively, beyond short-term price adjustments.
The National Farmers Council and the Livestock and Aquaculture Federation will also work to clarify purchase price criteria for farmers, aiding in their production and sales planning. Additionally, a sub-committee will monitor market conditions to guide import measures as needed.
Ultimately, Ms. Supajee underlined the goal of ensuring sustainable income and competitiveness for farmers through improved production efficiency and cost management. Addressing these core issues will help sustain the animal feed corn system and mitigate future price fluctuations.