Sugar refiners using efficient logistics management systems are expected to gain the most from the Thai-Queensland Sugar Industry Dialogue signed in Brisbane, the co-chairman of the talks said yesterday.

Prakit Pradipasen said the Thai and Queensland sugar industries had reached agreement in principle that the Kingdom would import raw sugar from Australia for re-export after refining it.

He said there would be further talks between the sugar industries of both countries to agree on profit sharing under the pact.

Prakit, who is chairman of Thai Sugar Millers Corp Ltd, said the industry had already sought approval from the Cane and Sugar Board to import raw sugar from Queensland.

He added he would set up a committee to determine the quota for imported raw sugar, adding that it would come into effect by the end of the year.

Prakit said both parties would benefit from the agreement.

The gap between raw-sugar and white-sugar prices is now about US$150 (Bt5,700) per tonne, which should leave a decent profit after deducting expenses.

He said that Queensland's sugar suppliers would gain more from exporting to Thailand than to other countries.

Thai sugar refiners will also benefit, as they will be able to operate at higher capacity.

Normally, Thai firms only spend three months a year refining sugar. But with the additional supplies, this could be increased to up to six months.

The Kingdom has sufficient spare capacity to process an additional 2 million-3 million tonnes a year. Queensland produces about 5 million tonnes of raw sugar annually.

Watcharapong Thongrung

The Nation