Thailand Palm Oil Biodiesel Deep Dive
Thai palm biodiesel B5/B7/B10/B20 mandate. CPI, UVAN, PATO palm; Bangchak, PTT, Thai Oil, IRPC refiners; ~600-800k tonnes B100 annually; MOC farmer-income stabilisation.
Key takeaways
- 1
Thailand consumes ~2- tonnes CPO annually; biodiesel blending ~600- tonnes B100 methyl ester absorbs ~ of domestic CPO supply.
- 2
MOE biodiesel mandate: B5 β B7 β B10 β B20 ladder. Current standard B7-B10 depending on diesel category, season, CPO price.
- 3
Use mix: edible palm oil (food, FMCG) ~, biodiesel B100 methyl ester ~, industrial, oleochemical, surfactant ~, export, stockpile ~.
- 4
Thai palm operators: Chumporn Palm Oil Industry (SET: CPI), Univanich (SET: UVAN), Patum Vegetable Oil (SET: PATO), Southern, Ponglarp. Biodiesel blenders: Bangchak (SET: BCP), PTT, Thai Oil, IRPC, specialty plants.
- 5
Policy: MOC palm intervention, farmer-income floor, biodiesel mandate coordinated. RSPO Thai members, EUDR EU Deforestation Regulation, CORSIA aviation bio-jet drive sustainability, export pressure. Indonesia, Malaysia global competition.
Executive summary
Thailand consumes approximately 2-3 million tonnes of CPO (crude palm oil) annually. The biodiesel mandate absorbs roughly of domestic CPO supply β 600- tonnes B100 methyl ester β making biodiesel a key farmer-income stabilisation tool alongside food, oleochemical, export use. Use mix: edible palm oil (food, FMCG, restaurant) ~, biodiesel B100 methyl ester ~, industrial, oleochemical, surfactant, personal care ~, export, stockpile ~.[, , ]
Mandate ladder: B5 β B7 β B10 β B20 (B-number = % biodiesel blend in diesel). Current standard B7-B10 depending on diesel category, season, CPO price; MOE, DOEB (Department of Energy Business), ERC adjust blend level periodically based on CPO surplus, price vs crude oil, farmer income. B20 ( biodiesel blend) is supplementary fleet option, cargo truck, bus. Thai palm operators listed: Chumporn Palm Oil Industry (SET: CPI), Univanich Palm Oil (SET: UVAN, integrated grower, miller), Patum Vegetable Oil (SET: PATO, refiner). Private: Southern Palm Oil, Ponglarp Palm, Suwanchai. Biodiesel blenders, refiners: Bangchak Corporation (SET: BCP), PTT Public Company (SET: PTT), Thai Oil (SET: TOP), IRPC (SET: IRPC) plus specialty biodiesel plants (e.g. Verasuwan, Vega).[, , , , ]
Policy: MOC palm-intervention programme stabilises farmer income via biodiesel mandate (absorbs CPO surplus), stockpiling,, occasional direct procurement. Farmer income is politically sensitive β southern Thai provinces are major palm-growing regions; political cycle pressure affects mandate enforcement. Sustainability, ESG: RSPO (Roundtable on Sustainable Palm Oil) Thai members including major refiners, mills; EUDR (EU Deforestation Regulation, effective 2026 for palm exports to EU) requires geo-located, deforestation-free supply chain documentation. CORSIA (Carbon Offsetting and Reduction Scheme for International Aviation) aviation bio-jet pathway via sustainable palm potentially opens specialty export. Global competition: Indonesia (+ global CPO), Malaysia (+) dominate; Thailand ~ global supply but important domestic, regional player.[, , , , , ]
Thai CPO use mix (% of FY2024 domestic consumption)
Edible palm oil
Share %
Details
Food, FMCG, restaurant, cooking oil
Biodiesel B100
Share %
Details
Mandate B7-B10 typical; absorbs CPO surplus
Industrial, oleochemical, surfactant
Share %
Details
Personal care, soap, detergent, specialty
Export, stockpile, other
Share %
Details
Regional, Indian, Vietnamese export, buffer stock
| Use | Share % | Details |
|---|---|---|
| Edible palm oil | 45% | Food, FMCG, restaurant, cooking oil |
| Biodiesel B100 | 30% | Mandate B7-B10 typical; absorbs CPO surplus |
| Industrial, oleochemical, surfactant | 15% | Personal care, soap, detergent, specialty |
| Export, stockpile, other | 10% | Regional, Indian, Vietnamese export, buffer stock |
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Key figures
Selected anchors from the report evidence pack.
Thai crude palm oil (CPO) production (2024)
Office of Agricultural Economics, Palm Oil Industry Club Thailand, USDA PSD
Thai biodiesel blend mandate (B-series, 2024)
Energy Policy and Planning Office, Department of Energy Business
Thai domestic CPO reference price (2024)
Department of Internal Trade, OAE weekly CPO price survey
Thai oil palm fresh fruit bunch (FFB) yield
OAE crop yield surveys, Department of Agriculture, POIC
Thai refined palm product export value
Thai Customs Department, OAE, POIC export data
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