Impacts on Thai Cassava Market Prices due to Ethanol Demand for Vehicles in Thailand

DOI: 10.5176/2251-189X_SEES51

Authors: Orathai Chaisinboon, Chumnong Sorapipatana and Jaruwan Chontanawat

Abstract:

This study assesses the economy of cassava market tosatisfy the increased demand for ethanol production for vehiclefuel based on the recent 15 years ethanol development plan andtarget (year 2008–2022) of the Thai government. The cassavamarket is modeled and the cassava prices analyzed based on twoscenarios including the demand as if there is no change in policydriving ethanol development and the demand to meet the targetset within the ethanol policy. The increasing use of cassava asfeedstock contributes to energy security, better air quality, andsupplements farmer’s income through increases in cassavaprices.

Keywords: cassava; ethanol; food prices; social benefits;Thailand