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'Anti-Palm World': Thailand's New Bet in Global Aviation Fuel Market

'Anti-Palm World': Thailand's New Bet in Global Aviation Fuel Market

Thansettakij•Economy•11d ago

Reader Briefing

Thailand's palm oil industry faces challenges and opportunities in the global Sustainable Aviation Fuel (SAF) market, primarily due to international perceptions and policy slowness.

  • •Thai palm oil faces an international "anti-palm" perception, hindering its entry into the Sustainable Aviation Fuel (SAF) market despite significant investment.
  • •Malaysia is actively positioning itself as a regional hub for SAF and green aerospace, highlighting the urgency of sustainability as a business requirement.
  • •While Thailand has invested billions in SAF production, it lags behind competitors like Malaysia in regulatory speed and faces challenges in raw material sourcing and international image.
  • •Innovative solutions for SAF production from palm oil wastewater and agricultural waste are being explored, offering potential for Thailand's agricultural sector and energy industry.

Overview

  • •The Thai palm oil industry is at a turning point, aiming to enter the Sustainable Aviation Fuel (SAF) market, a global trend.
  • •Thailand sent representatives, including palm oil farmers and media, to attend the 'MyAero Sustainable Aviation APAC Symposium 2026' (MSAAS 2026) in Malaysia.
  • •The MSAAS 2026 event took place from June 29 to July 2, 2026 (2026) in Putrajaya, Malaysia.
  • •Dr. Burin Sukpisal emphasized that sustainability and SAF are currently 'Business Requirements', not just future plans.
  • •Malaysia's Minister of Investment, Trade and Industry, Liu Zhi Dong, warned that economic growth ignoring the environment leads to disaster.
  • •Global aviation emissions are around 2-3% of CO2, with airlines needing to reduce them.
  • •Dr. Burin Sukpisal suggested unlocking sugarcane, cassava, and palm oil for energy and urged the government to accelerate policy adjustments.
  • •Malaysia has announced its goal to become a 'Regional Hub for Sustainable Aviation Fuel' and green aerospace production.

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Key Quotes

Dr. Burin Sukpisal
"Whether it's Sustainable Aviation Fuel (SAF), carbon reduction strategies, or ESG reporting, these are no longer just future plans but have become 'Business Requirements' today."
ไม่ว่าจะเป็นเชื้อเพลิงอากาศยานยั่งยืน (SAF) กลยุทธ์การลดคาร์บอน หรือการรายงาน ESG สิ่งเหล่านี้ไม่ใช่แค่แผนในอนาคต แต่กลายเป็น ‘ข้อกำหนดทางธุรกิจ’ (Business Requirements) ในปัจจุบันไปแล้ว
Liu Zhi Dong
"Economic growth that ignores the environment will lead to disaster."
การเติบโตทางเศรษฐกิจที่เมินเฉยต่อสิ่งแวดล้อมจะนำไปสู่ภัยพิบัติ
Dr. Burin Sukpisal
"The biggest obstacle for Thai palm is not technology, but its image."
อุปสรรคที่ยากที่สุดของปาล์มไทยไม่ใช่เรื่องเทคโนโลยี แต่คือภาพลักษณ์
Dr. Burin Sukpisal
"No matter where palm comes from, Westerners already see it as the villain. Even though we try to explain that Thai palm does not encroach on forests or burn them like elsewhere, in practice, they are still hesitant to accept it."
ไม่ว่าปาล์มจะมาจากประเทศไหน ฝรั่งมองว่าเป็นผู้ร้ายไปแล้ว แม้เราจะพยายามชี้แจงว่าปาล์มไทยไม่ได้บุกรุกป่าหรือเผาป่าเหมือนที่อื่น แต่ในทางปฏิบัติเขาก็ยังลังเลที่จะยอมรับ

Key Entities

Law

Sustainable Aviation Fuel (SAF)
A sustainable aviation fuel type that is a focus of global industry and policy changes.
ESG
Environmental, Social, and Governance reporting, which is now a business requirement.
Carbon Capture and Storage (CCS)
A technology and project in development by Petronas aimed at capturing carbon from heavy industry.
CORSIA
Carbon Offsetting and Reduction Scheme for International Aviation, a standard set by ICAO that currently has reservations about palm oil products.
POME
Palm Oil Mill Effluent, which is being explored as a source material for SAF, though still viewed skeptically due to its origin.
Rice Straw(ฟางข้าว)
Agricultural waste material being utilized for SAF production through cellulosic processes, supported by Japanese technology in Thailand.

Person

Dr. Burin Sukpisal(ดร.บุรินทร์ สุขพิศาล)
An expert in bioeconomics and former qualified committee member of the National Palm Oil Policy Committee.
Dr. Chamzuz Kamar Abu Samah(ดร. ชามซุล กามาร์ อาบู ซามะฮ์)
Chief Executive Officer of NAICO Malaysia.
Liu Zhi Dong(นายหลิว ชิน ตง)
Deputy Minister of Investment, Trade and Industry (MITI) of Malaysia.
Orangutans(ลิงอุรังอุตัง)ℹ️
Wildlife affected by habitat loss due to historical deforestation and forest fires linked to palm oil cultivation.

Organization

Office of Industrial Economics, Ministry of Industry(สำนักงานเศรษฐกิจอุตสาหกรรม กระทรวงอุตสาหกรรม)
A Thai government agency involved in economic analysis and policy for the industrial sector.
National Palm Oil Policy Committee (กนป.)(คณะกรรมการนโยบายปาล์มแห่งชาติ (กนป.))
A Thai national committee responsible for formulating policy related to palm oil.
House of Representatives(สภาผู้แทนราษฎร)ℹ️
The lower house of the Parliament of Thailand, involved in legislative and oversight functions.
NAICO Malaysia
An entity under the Ministry of Investment, Trade and Industry (MITI) of Malaysia.
Ministry of Investment, Trade and Industry (MITI)(กระทรวงการลงทุน การค้า และอุตสาหกรรม (MITI))
A Malaysian government ministry responsible for investment, trade, and industrial policies.
Petronasℹ️
A Malaysian oil and gas company involved in the development of Carbon Capture and Storage (CCS) projects.
APECℹ️
Asia-Pacific Economic Cooperation forum, whose member countries are expected to follow Malaysia's lead in achieving emission-free aviation.
ICAOℹ️
International Civil Aviation Organization, which regulates standards for Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA).

Place

The Everly Hotel
A hotel in Putrajaya, Malaysia, that hosted the MyAero Sustainable Aviation APAC Symposium 2026.
Putrajaya City(เมืองปูตราจายา)ℹ️
A planned city and federal administrative centre in Malaysia.
Soviet Union(สหภาพโซเวียต)ℹ️
A former country whose environmental disaster with the Aral Sea was cited as a historical lesson.
Aral Sea(ทะเลสาบอารัล)ℹ️
A former lake which became a victim of environmental disaster due to economic expansion, serving as a cautionary tale.
Borneo Island(เกาะบอร์เนียว)ℹ️
An island where historical deforestation and forest fires associated with palm oil cultivation have negatively impacted its perception.
Suphan Buri(สุพรรณบุรี)ℹ️
A province in Thailand where Japanese technology for converting rice straw into SAF is being supported.