Corn market shaken! After the government opens the way for importing 1 million tons with 0% tax

This import is not limited to government agencies only, but opens up opportunities for general entrepreneurs to participate under the supervision of the central committee, which must approve on a case-by-case basis and within the framework of the 3 to 1 measure (buying 3 parts of domestic corn to importing 1 part).

There is also a condition that import permit applicants must show evidence of domestic corn purchases from August 1, 2025 onwards, with a minimum purchase price of no less than 7.05 baht per kilogram for fresh corn with a moisture content of no more than 30%.

Opposition and concerns from the agricultural sector

Despite protests from farmer representatives and the association of field crop traders, especially on the issue of importing corn that may be contaminated with GMOs, which may affect the environment in the country, including causing domestic prices to fall and imbalance the free competition system.

If the price is lower than the minimum purchase price, a lawsuit may be filed with the Administrative Court to request a temporary injunction, referring to similar cases that have occurred in the palm oil market in the past.

Animal feed factories stop buying – traders lose money

Market traders reported that some animal feed factories have stopped buying corn, citing maintenance reasons, but it has not been verified whether this is the real reason.

This situation has directly affected corn traders. The stock cannot be sold or if it is sold, it is at a loss because the daily purchase price is set by the factory in the evening and traders have to bear the cost risk in advance.

Issues of tax exchange with trading partners

This import is also linked to the exchange of import tariffs between countries, especially products from Thailand that are targeted to be taxed as high as 36%. Therefore, allowing the import of corn within this framework is seen as a bargaining strategy in exchange for reducing import tariffs from Thailand.

Although Thailand still lacks more than 4 million tons of corn production, some parties believe that domestic development should be focused first, rather than importing in the short term.

World corn prices continue to fall

According to the latest CBOT market report (June 9, 2025), July corn prices fell 2.03% to settle at $4.3350/bushel on expectations of favorable planting weather, which has kept global prices from recovering. Wheat and soybeans also fell.

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Data source: Thansettakij