Bangkok, Krungthai COMPASS Research Center states that Green Technology helps raise the sugar industry towards sustainability. Suggesting that the state is the main driving force
Krungthai COMPASS Research Center points out that investing in green technology will elevate the sugar industry to a sustainable green industry. It will help cope with the problem of Climate Change that is becoming more severe. Including reducing pressure on the measures of trading partners that focus on environmental issues. This will help increase the competitiveness of the sugar business in this era. Decarbonization It is expected that investing in green technology in each category will result in an ROI of around 20-30% with a payback period of 3-7 years and create benefits for the sugar industry of approximately 170 billion baht, suggesting that the government is the main focus. Principles of pushing the sugar industry towards a green industry
Mr. Apinan Suprasert, Senior Analyst, Krungthai COMPASS Research Center, Krung Thai
Bank, revealed that the sugarcane and sugar industries are one of the industries that are important to the Thai economy. Generate income from exports of over 100 billion baht per year. Accounting for approximately 9% of GDP, the agricultural sector is an industry with relatively high greenhouse gas emissions and pollution, with PM 2.5 emissions as high as 11% of Thailand’s total PM 2.5 emissions. And greenhouse gas emissions account for 9% of the total amount of greenhouse gas emissions in the agricultural sector. Therefore, it is one of the industries that many parties are aware of in pushing to accelerate the transition to a green industry. which if concrete action can be taken It will be one of the important sectors in the agricultural sector that will help Thailand achieve the country’s participation goal in reducing greenhouse gas emissions according to the Nationally Determined Contribution (NDC). ‘Every 1 ton of sugar production in the Thai sugar industry releases Emission approximately 7,150 kgCO2eq o
r equivalent to transporting goods by truck over a distance of approximately 10,000 kilometers. Including waste from the production process. This puts the sugar industry at risk from environmental policies and measures that are likely to become more stringent. In addition, the risk of climate change problems will intensify in the future. This may result in sugarcane production in 2046-2055 likely to decrease by 25-35%, affecting Thai sugar business operators to face the problem of raw material shortages,’ Mr. Apinan said.
Mr. Kritchanon Jindawong, analyst at Krungthai COMPASS Research Center, said that adapting to the transition to a green industry will help sugar business operators reduce pressure from trading partners’ measures. and helps entrepreneurs reduce costs from energy use In addition, it is easier to raise funds and have lower financial costs. Including being able to increase the opportunity to generate additional income from expanding into the renewable energy business. There is also support from
government and private agencies that want to move towards a green industry. ‘Green Technology will be a key enabler that will help medium-sized sugar business operators who have not yet had much of an adjustment to this matter to make the transition. Going to a green industry more easily, such as using sugar cane cutters instead of burning sugar cane, using Economizer Boilers in sugar factories. or expanding into the biomass power plant business Evaluating the worthiness of the investment, it was found that the ROI was 21.0%, 16.1%, and 27.1%, respectively, with a payback period of 3-7 years. And if all 63 sugar industries have raised the level of Using technology in a concrete way will result in benefits of around 170 billion baht from environmental value that reduces air pollution and saves on energy costs. Including generating additional income for the business,’ Mr. Kritchanon said.
Mr. Pramote Wattananusan, analyst at Krungthai COMPASS Research Center, said that if the Thai sugar industry wants to succe
ed in upgrading to a green industry. There should be emphasis on the value for money in investing in technology. and set clear and measurable goals, including a commitment to reduce greenhouse gas emissions Including the creation of cooperation in the ecosystem from farmers to the government sector. for the development of the entire industry together ‘The price and quantity of sugar exports are still likely to grow well. Therefore, government agencies It should be the mainstay in pushing the sugar industry towards a green industry, such as developing the Thai carbon credit market to meet international standards such as Gold Standard or VERRA, which are world-class standards. So that Thai entrepreneurs can fully benefit from the carbon credit trading market. Similarly, the financial sector is another key factor that helps support investment in Green Technology as well as encourage investment in new businesses. from the environmental transition To help support the entire Thai sugar industry to be able to adjust
to a sustainable green industry,’ said Mr. Pramote. –
Source: Thai News Agency