Cassava industry in Thailand - statistics & facts
Cassava is an important cash crop in tropical and subtropical regions, thanks to its versatility as an industrial raw material and staple food. Even though African countries like Nigeria or the Democratic Republic of the Congo are leading producers of cassava, most of the crop is eaten there as fresh or processed goods, and production is primarily focused on meeting domestic demand. However, Thailand is the leading cassava export country worldwide. Besides exporting the majority of the cassava produced, the crop plays a significant role in Thailand’s agriculture as a contributor to the country’s biofuel and starch production. Due to its numerous industrial applications and ongoing cost competitiveness over other starchy crops, cassava has registered a sustained rise in demand on a worldwide scale. It is now one of the most produced crops in the world.
There are several uses for cassava; for instance, it is processed in factories into cassava chips or pellets, which are then used to generate ethanol as biofuel and a variety of products, including textiles, medicine, paper, and chemicals. It is also processed into animal feed and used as food for humans. Large international companies like Ajinomoto and Knorr are two major producers using Thailand as their manufacturing base since the country is rich in cassava. The cassava is then utilized as a raw material to process monosodium glutamate for the food industry.
Increased sales to China, the world's largest export market for Thai cassava products, are the primary driver of export growth. Sales are expected to be fueled further by a rebound in Chinese demand for cassava, particularly for use in the production of animal feed and ethanol. Additionally, rising prices of important cassava substitutes such as corn will increase the demand further.
Cultivation area and processing
Cassava is widely cultivated throughout central and northeastern Thailand, also known as the Isaan region. The Isaan region's favorable climate, with its hot and dry conditions, is suitable for cassava production. Farmers in this region benefit from the sandy soil and ample sunlight, which contribute to the successful cultivation of the crop. The increased demand for cassava worldwide led to a rise in cultivated area in the country and has consequently contributed to an increased number of farm households in Thailand over the last decade.There are several uses for cassava; for instance, it is processed in factories into cassava chips or pellets, which are then used to generate ethanol as biofuel and a variety of products, including textiles, medicine, paper, and chemicals. It is also processed into animal feed and used as food for humans. Large international companies like Ajinomoto and Knorr are two major producers using Thailand as their manufacturing base since the country is rich in cassava. The cassava is then utilized as a raw material to process monosodium glutamate for the food industry.
Cassava exports
Thailand is the largest cassava export country in the world. It produces 67% of its cassava for export, with the other 33% going to the domestic market, where it is both used for human consumption directly or utilized as a raw material for downstream industries.Increased sales to China, the world's largest export market for Thai cassava products, are the primary driver of export growth. Sales are expected to be fueled further by a rebound in Chinese demand for cassava, particularly for use in the production of animal feed and ethanol. Additionally, rising prices of important cassava substitutes such as corn will increase the demand further.
