President Niyom Chulaserekul said cassava prices were expected to top Bt1.70 per kilogram this year, from last year's average of Bt1.35 to Bt1.60.

China has a high demand for tapioca products, to support its ethanol production and for domestic consumption. Tapioca-chip exports to China should surge to 4.5 million to 5 million tonnes this year.

Thailand is the world's largest tapioca exporter, with total export value jumping 27 per cent to Bt42.9 billion last year.

The EU, Vietnam, Taiwan, Malaysia and Indonesia will also have to import more tapioca from Thailand, because of unfavourable weather conditions.

Thailand's total tapioca production is projected to reach 24 million tonnes this year. Niyom said the country's production could not serve rising demand in the world market. Of the country's total production, 90 per cent is for export, and the remainder supplies the domestic market.

To facilitate tapioca exports, the association also called for the government to reopen a closed seaport in Chon Buri's Sri Racha district. The port was ordered shut in 2003, because it was damaging the environment.

Niyom said the port would increase export opportunities by up to 100 tonnes a year. However, as the port is in a mangrove forest, the Department of Natural Resources will have to consider whether to allow it to operate.

Commerce Minister Krirk-krai Jirapaet said the government fully supported all exporters. However, the association must be able to declare to the government that operating the port will not affect the environment.

Petchanet Pratruangkrai

The Nation