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Thailand restricts palm oil exports to address the global energy crisis triggered by the Middle East conflict
As the energy crunch triggered by the Middle East war drives up demand for alternative fuels, Thailand will begin regulating exports of crude palm oil to ensure a supply of raw materials for biofuels.
On Monday, Thailand’s Ministry of Commerce said in a statement that, starting April 7, exporters must obtain prior approval before shipping. The statement said the measure will be implemented for one year, allowing the government to better manage domestic palm oil inventories—“to adapt to a changing energy situation and prevent shortages.”
Wittayakorn Maneenetr, director-general of the Internal Trade Department of Thailand’s Ministry of Commerce, said the global rise in oil prices may increase demand for biodiesel due to heightened tensions in the Middle East. The statement said that palm oil consumption and exports within Thailand are also holding strong, so the authorities are taking steps to stabilize edible oil prices and ensure sufficient raw material supply for energy uses, without harming farmers’ incomes.
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