Importers of wheat will be forced to purchase domestic maize as part of government measures to curb tumbling maize prices, under a cabinet decision.
Nattaporn Jatusripitak, an adviser to the commerce minister, said the cabinet approved the ministry's proposal on Tuesday that anyone who imports one portion of wheat must also purchase three portions of domestically grown maize at eight baht a kilogramme.
Imports of wheat for animal feed will also require a permit, he said, citing the cabinet's decision.
The move is aimed at helping maize farmers who are struggling following a significant drop in maize prices, he said.
Animal feed producers prefer wheat as a raw material to maize because the former is cheaper.
The global price of wheat has fallen due to the world's economic slowdown, while a zero tariff on imported wheat also encourages animal feed-makers to import it.
As much as 2.77 million tonnes of wheat was imported from January to September this year, compared to 3.9 million tonnes of wheat imported last year.
Mr Nattaporn said grain of domestically-grown maize with 14.5% moisture content is priced between 6.70 and 6.90 baht/kg, while Chicago wheat is 5.32 baht/kg.
A Commerce Ministry source said the supply of maize, which usually comes out from August to December, is expected to be more crucial this year.
In November alone, output is expected to reach 866,000 tonnes, while demand by animal feed producers is 500,000 tonnes a month.
At its regular Tuesday meeting,the cabinet also approved a fresh rice subsidy programme worth 18 billion baht for farmers who grow white rice and Pathum Thani fragrant paddy and store it in barns for a designated period.
Under the programme, 7,000 baht per tonne will be paid to white rice paddy growers and 7,800 baht to those who grow Pathum Thani fragrant rice.
Growers of both rice varieties will also receive 1,500 baht for storage costs and 2,000 baht for harvesting and quality improvement.