20 Feed Associations Urge Deputy PM to Address Surging Corn Prices
Twenty animal feed associations have sent a third urgent letter to Deputy PM Supachai Sutthamphonthon demanding the Corn Policy Committee meet to address soaring corn prices caused by El Niño-related harvest delays and crop damage. Prices have risen nearly 2 baht above the government ceiling, while imports have dropped 15-20% due to quota timing and high global prices. The groups warn that policy delays for 2027 are forcing feed mills to buy at inflated prices with quality concerns, risking knock-on effects throughout the food supply chain.
Twenty animal feed ingredient associations have jointly submitted a third letter to Deputy Prime Minister and Commerce Minister Supachai Sutthamphonthon, in her capacity as chair of the Corn Policy and Management Committee, pressing for an urgent meeting. The federation had already sent two letters on August 24 and October 9, 2026, but received no response. The urgency stems from a severe Super El Niño causing floods and storms that have delayed harvests and damaged corn in some areas, tightening market supply and pushing prices above the Commerce Ministry's set 9.80 baht per kilogram by nearly 2 baht per kilogram, raising costs for feed users. Meanwhile, 2026 imports are trending 15-20% lower; for example, only 150,000 tonnes of the approved 570,000 tonnes of zero-tariff US corn quota were actually imported because import prices exceeded 10.50 baht after the government allocated quotas in July, leaving little time for orders. Federation Secretary-General Prasit Patcharintanakul said the three-month delay in setting 2027 import policies has prevented businesses from planning imports, forcing feed mills to buy raw materials at high prices while worrying about declining corn quality. He urged the committee to quickly clarify measures and relax rules to match the crisis, enabling the private sector to plan procurement, reduce shortage risks, and prevent rising raw material costs from cascading through the national food supply chain. Key requests include issuing the 2027 WTO corn import announcement early, extending the accumulation period for corn import rights from year-end to June of the following year, and temporarily adjusting the corn-to-wheat import ratio under WTO from 3:1 to 2:1 for February-August 2027. Domestic substitutes are unavailable: cassava chips are severely scarce and rice bran supplies have fallen due to reduced rice exports, all exacerbated by the government's 3:1 wheat-to-corn import measure intended to promote domestic ingredients, even though officials acknowledge cassava and rice bran cannot fully replace corn nutritionally. Yet the government maintains the measure without holding any review meetings. Importing corn from the US is not a shortage solution because the text ends abruptly.
