Lower production costs to mean cheaper soybean cooking oil

From December 10, a one-litre bottle of soybean cooking oil will cost Bt46, down from Bt49.50.

Some manufacturers may bring the price down even lower, depending on the costs of production.

Yangyong Phuangrach, director-general of Internal Trade Department, said yesterday that the price of soybean seeds was declining in the world market and was therefore bringing down production costs. However, manufacturers may want to get rid of their old stock before reducing retail prices, he said.

"The reduced prices will help consumers struggling with a rising cost of living," he said, adding that manufacturers of goods such as animal feed, rubber tyres, steel, battery and fertiliser are also thinking about bringing down their retail prices because their production costs are also dropping.

Sethsan Sethakaroon, president of the Soybean and Rice Bran Oil Manufacturers Association, said the price of soybean seeds had dropped to Bt16 per kilogram from Bt22 earlier this year.

However, manufacturers will be adversely affected by the government policy to cut the import tariff of soybean meal to 2 per cent next year.