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Home » BioRefineries, Business News/Analysis, Field Crops, Funding/Financing/Investing, Thailand

BAAC, Bangchak to Grow Oil Palm Trees

Submitted by on January 28, 2011 – 10:58 amNo Comment

(Bangkok Post)  The Bank for Agriculture and Agricultural Cooperatives (BAAC) and Bangchak Petroleum Plc have teamed up to grow oil palm for a biodiesel project.

The state bank will allow the oil company to lease 1,200 rai of degraded tangerine orchards in Nakhon Nayok province to grow oil palm for its biodiesel production facility at Ayutthaya.

…BAAC president Luck Wajananawat said the bank had more than 150,000 rai of land it could use as palm fields if needed.    Most of the soil is highly acidic as the degraded tangerine orchards in Ongkharak and Thanyaburi were owned by BAAC clients that defaulted on debts.

The 1,200-rai site will also house an intensive oil palm learning centre, including a research unit and cultivation site where experts can assist growers to use advanced technology and certain palm breeds to ensure high productivity.

…Bangchak president Anusorn Sangnimnuan said the project would help about 6,000 indebted farmers to grow oil palm, a higher-value crop with strong market potential.

He added that growing oil palm on the outskirts of Bangkok was a prudent method to prevent floods from ravaging the capital because the tree is a thirsty crop that needs proper water management for a high yield. READ MORE

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