BIOENERGY

KTIS Expects 2025 Sugarcane Supply to Rise, Boosting Performance across all Business Segments Including Sugar, Electricity, and Sugarcane Packaging

Mr. Somchai Suwachittanont, Director, Assistant to Chief Executive Officer, Cane and Sugar Business of the Agro-Thai International Sugar Corporation Group (KTIS),

Mr. Somchai Suwachittanont, Director, Assistant to Chief Executive Officer, Cane and Sugar Business of the Agro-Thai International Sugar Corporation Group (KTIS), stated that this year’s higher rainfall has provided sufficient water for sugarcane growth, resulting in healthier crops. Additionally, the cooler weather towards the end of the year is expected to further enhance the sugarcane harvest for the 2024/2025 production season, both in terms of quantity and quality. This improvement will enable increased sugar production, which in turn will boost farmers’ income share from sugar sales. Farmers are anticipated to receive a 70% share of the revenue, while sugar factories will retain a 30% share. 

“Based on our initial assessment, we expect sugarcane production to reach no less than 6.5 million tons, resulting in at least 7 million sacks of sugar. This is a significant increase compared to the 2022/2023 season, when three KTIS factories processed 5 million tons of sugarcane and produced 5.1 million sacks of sugar. The higher sugarcane yield will positively impact all business segments. More molasses will be available for ethanol production, increased sugarcane will supply biomass power plants, and there will be more sugarcane provided to pulp mills for paper production. We are confident that the financial results for the 2024 fiscal year (October 2023 – September 2024) will show substantial improvement across the KTIS group,” stated Mr. Somchai. 

The Assistant CEO of the KTIS group further mentioned that another business contributing significantly to the 2024 performance will be the project producing 100% Pure Sugarcane Bagasse Packaging, with a production capacity of 50 tons per day (equivalent to around 3 million pieces daily). With 50 machines capable of producing diverse eco-friendly packaging formats from 100% sugarcane bagasse, the project aims to meet various market and customer demands. It is anticipated that by 2024, sales in this segment will reach no less than 10,000 tons, generating a revenue of at least 500 million baht. Additionally, the Nakhon Sawan Bio-Complex (NBC) project, operated by GGC KTIS Bio-Industrial Co., Ltd. (GKBI)—a joint venture between the KTIS group and PTT Group—will also benefit from the increased sugarcane supply. This will enable the development of more products, contributing to stronger overall performance and profitability for the project. 

“The project producing 100% Pure Sugarcane Bagasse Packaging under Environment Pulp and Packaging Co., Ltd. (EPAC)—a member of the KTIS group—has generated significant interest in the market. EPAC stands out as a top-tier eco-friendly packaging manufacturer, meeting stringent food safety standards, including FSSC 22000 V.5.1, ISO 22000:2018, GHPs (Good Hygiene Practices), and HACCP certifications. The environmentally friendly production process avoids using chlorine for paper bleaching, resulting in pure sugarcane pulp that is safe for food packaging, whether for hot or cold items. Furthermore, before reaching consumers, all packaging undergoes UV sterilization, ensuring maximum hygiene and safety,” said Mr. Somchai. 

Additionally, EPAC products have received a global certification for compostable materials (Clamshell and Plate) from the Biodegradable Products Institute (BPI), an organization responsible for composability testing in the United States. These products have successfully met BPI’s rigorous four-step testing requirements, which include material identification and heavy metal analysis, decomposition testing, biodegradability assessment, and environmental toxicity evaluation. As a result, consumers can be confident that EPAC products are 100% compostable, environmentally friendly, and aligned with current and future global eco-friendly trends and sustainable packaging movements. 

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