BANGKOK, 12 May 2015 – In an effort to solve the problem of a price decline, the Ministry of Commerce is to ban sales of palm fruit with an oil content of less than 17%.
According to the Commerce Minister, General Chatchai Sarikalaya, a recent meeting held between the Ministry of Commerce and representatives of palm tree growers was to hear their opinions before the new ban was to take effect.
The Ministry previously raised to 4 baht per kilogram the buying price of palm fruit with a minimum oil content of 17%.
General Chatchai believed the ban would prevent a price decline in the long run, encouraging farmers to produce palm fruit of better quality.
The majority of the representatives are content with the new buying price, although some farmers have shown their disagreement.
Further surveys will be conducted among consumers, palm oil manufactures, and farmers to find out whether such a measure has any real impact on the industry.