
The Memorandum of Understanding on Cooperation on the Setting Up of the Blast Freezer and Cold Storage System under the Eastern Fruit Corridor Project was signed on 25 January 2021 at the Office of the Eastern Economic Corridor. The signing ceremony was presided over by Deputy Prime Minister and Minister of Energy Supattanapong Punmechow and was also witnessed by Minister of Industry Suriya Juangroogruankit. The MOU was jointly signed by Dr Kanit Sangsubhan, Secretary-General of the EEC, Mr. Auttapol Rerkpiboon, Chief Executive Officer and Managing Director of PTT Public Company Limited, and Ms. Somchint Pilouk, Governor of the Industrial Estate Authority of Thailand (IEAT).
Deputy Prime Minister Supattanapong disclosed that the implementation of the Eastern Fruit Corridor project was an important step in strengthening the agriculture sector and raising the incomes of the farmers and the livelihood of the local communities which constitute the grassroot sector of the country. The MOU would help in the realization of the project. He noted the PTT has the necessary technological knowhow in cold storage, utilizing the freezing capacity generated from LNG for the benefit of the agricultural sector. The IEAT would assist in securing land for the project and the Office of the EEC would coordinate with regard to providing investment incentives to the relevant government agencies and the private sector with a view to effecting cooperation in the development of the cold storage system that would provide services in preserving the quality, freshness and taste of the agricultural products in accordance with the demands of the market. It would also prevent the need for farmers to rush to store, sell and deliver their products, which had resulted in farmers not being able obtain fair prices as well as lowering the quality and affecting reputation of their products. The success of the project would ensure that farmers achieve stable and consistent incomes and add value to Thai agricultural products, making them more competitive and strengthening Thailand’s emergence as the global marketing center for fruits.
Minister of Industry Suriya said that the Ministry of Industry was ready to support the setting up of the cold storage system which was a key component under the Eastern Fruit Corridor project so that concrete progress could be achieved expeditiously. The Ministry has assigned the IEAT to provide land for the project in the Smart Park industrial estate. In the initial stage, 40 rais would be allocated. Minister Suriya was confident that the project would not only raise the incomes of farmers but also attract related investments and create jobs to help boost economic growth.
Dr. Kanit noted that the Eastern Fruit Corridor project was a main project in the plan to develop the agricultural sector in the EEC in order that business would be conducted in accordance to the demands of the market or what is called the demand-driven approach. This means designing the entire production and business chain starting from determining the kind of products and services to meet the demands of the market as well as the methods of planting, sale and transport in accordance with market needs.
At the same time, modern technology would be employed to improve the production process. Dr Kanit noted that the EFC would comprise 4 key components as follows:
- Study and follow up on the market demand. The Office of the EEC is currently studying the demands of the market, both domestic and abroad for durians, mangosteens and other fruits of the eastern region. This project is already include in the 2021 budget with the aim of better understanding consumer behavior and the products preferred by the market and consumers.
- Putting in place a modern trading system based on e-commerce and e-auction as well investing in packing that utilizes natural materials in order to make it easier for air transport and enabling the fruit products to have immediate access to the market mechanism.
- Investment in modern cold storage facilities as appear in the details of the signed MOU.
- The organizing of the system of membership of fruit growers and cooperatives participating in the project. This would involve the development of production technology in order to ensure premium quality of the products in accordance with market demands. This effort has been ongoing for some time and would yield benefits to farmers on a wide scale.
The tripartite cooperation comprises the following:
1.PTT will invest in the setting up of the 4,000 tons advanced cold storage facilities employing Blast freezer technology in order to preserve the quality of products as if they were just harvested from the orchards. The cold storage system will maintain the quality of the fruits for year-round sale precluding the need to rush to collect, sell and deliver the products as is the current practice.
2.The IEAT will provide the land which has been determined to be located in the compounds of the Smart Park in Map Ta Phut.
3. The Office of the EEC will be responsible of the laying down the administrative structure and coordinate with concerned parties to manage the project especially the private sector with the trading and marketing expertise, the local administrative authorities, cooperatives and other concerned parties so that the benefits are yielded to the local communities.
The project is to commence with the durian fruit which is considered the king of Thai fruits as well as other fruits and products such as seafoods in order that they can be kept in a way that preserve their freshness and attractiveness among consumers as well as ensure their availability for sale throughout the year. This would also help to ensure stable incomes for farmers and fruit growers in addition to developing other business activities such as agro processing, auction and export.
