Thursday, August 20, 2009

ETHANOL-MAKERS ASKED TO SUSPEND EXPORT SALES

       The Energy Ministry has asked the Thai Ethanol Producers Association to cease exporting until next quarter to help ensure domestic supplies.
       Petrogreen has already stopped selling overseas, permanent secretary Pornchai Rujiprapha said yesterday.
       The tight domestic supply should ease when three tapioca-based ethanol plants go on stream, he said.
       Some ethanol plants have retrofitted their equipment to make ethanol from tapioca. Three of them have completed the adjustment and are tendering for 280,000 tonnes of tapioca flour from the Commerce Ministry on Monday.
       "If the three plants win the bids, they will produce 100 million litres of ethanol, which is sufficient to satisfy demand for three months," he said.
       About 1.2 million litres of ethanol are needed per day. Ethanol has moved up to Bt25-Bt26 per litre, in line with the rising price of sugar molasses.
       Several companies do not belong to the association, like Petrogreen and Mitr Phol Group, with combined capacity of 600,000 litres a day.
       "Most producers are ready to offer their cooperation but some have seized the opportunity. So far, tens of thousand tonnes of ethanol have been exported daily, which worsens the situation," he added.

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