Cabinet will see Isan bioeconomy proposal
The Industry Ministry plans to push forward the bioeconomy scheme in the lower Northeast for organic cassava farms at today’s mobile cabinet meeting in Ubon Ratchathani.
The bioeconomy scheme is part of the Pracha Rat (People’s State) initiative, whereby the government will promote value-added agricultural products and increase local household income.
Under the scheme, the biochemical project is a part of cooperation between the government and investors.
The government will promote and support the investors through incentives from the Board of Investment.
The government plans to develop the biochemical project until 2026.
The pilot project in the lower northeastern area covers Ubon Ratchathani, Yasothon, Amnat Charoen and Sri Sa Ket provinces.
Deputy Industry Minister Somchai Harnhiran said the cassava organic farms will help support local farmers in the long run, as agricultural processing for cassava creates a high-value product in the region.
“The biochemical project for the lower Northeastern region will also upgrade cassava to be a pharmaceutical-grade raw material, as well as food and feed products to serve the global market,” he said.
Mr Somchai said organic cassava farms will invite educated local farmers to join the project with local companies, planing to expand their business into organic farming.
Nonetheless, Daechapon Lersuwanaroj, president of Ubon Bio Ethanol Co, said the company has the capability to upgrade the processing of cassava to be used as an organic food ingredient.
The organic products include maltodextrin (a food additive), organic modified starch and pharmaceutical products.
Ubon Bio Ethanol expects cassava farmers to join the bioeconomy scheme through contract farming with a total area of 5,000 rai or a crop total of 20,000 tonnes.
“We expect an increase to 80,000 tonnes over 20,000 rai in 2019,” Mr Daechapon said.
Furthermore, Ubon Bio Ethanol is calling for the government to solve a city planning problem in Ubon Ratchathani regarding a green area that is designated solely for agricultural purposes.
Ubon Bio Ethanol wants the area to include agricultural processing business as well.
Separately, business operators in Ubon Ratchathani are calling for the government to set up a new industrial estate to serve economic growth in Indochina.
Industry Minister Uttama Savanayana said the new industrial estate will span 2,303 rai and have a development cost of 2.7 billion baht.
The project is waiting on state departments for approval in the near future.
Recently, the government’s city plans have allowed agricultural plantations to become manufacturing areas to serve the growing needs of agriculture processing products.
“Ubon Ratchathani has high potential to be a hub in the lower northeastern region, with the East-West Corridor and government infrastructure projects such as the double-track railway from Jira in Nakhon Ratchasima to Ubon Ratchathani,” Mr Uttama said.
The new industrial estate in Ubon Ratchathani will serve the industrial sector through agricultural processing, organic food industry and a centre for repair and maintenance of agricultural machinery in Indochina.