29/01/2011 (Bangkok Post) - The Commerce Ministry will seek cabinet permission to import another 100,000 tonnes of crude palm olien to further ease the domestic shortage.

The ministry says imports of 30,000 tonnes approved previously won't cover current shortfalls. Stocks of crude palm oil in December dropped to only 50,000 tonnes, half the normal level.

``The situation has not improved this month as demand remains the same and output is low at 50,000 tonnes,'' said Vatchari Vimooktayon, director-general of the Internal Trade Department.

She said the country needed to import 200,000 tonnes to maintain local reserves at appropriate volumes, between 120,000 and 150,000 tonnes at all times.

``We will first ask for approval to bring in 100,000 tonnes from the Palm Oil Policy Committee on Tuesday to solve the current problem, and will not [seek approval] for buffer stock yet,'' she said.

Mrs Vatchari said she also hoped that the new harvest of fresh palm nuts in the next few months would significantly lessen tight market conditions.

She said the shipments of 30,000 tonnes of palm oil from Malaysia began reaching Thai ports this week and would be completed on Monday.

The imported oil has been allocated to eight refiners: Morakot Industries, Lamsoon, Chumphon Industries, Oleen Palm Co, Pathum Oil, Pomala, P.S. Pacific, and Lao Thongsi for making cooking oil and distributing to the market.

Cooking palm oil from the imported crude will be available in markets sometime next week at a maximum price of 47 baht a litre in bottles and 45 baht in plastic bags. The imported product packages will be feature blue caps and their origin will be clearly stated.

Officials will track manufacture, delivery and distribution daily to ensure the products reach consumers without any hoarding, said Mrs Vatchari.