Thailand Approves 1 Million Tons of US Corn at Zero Tariff for 2026, With Rules to Protect Farmers

A Bigger Corn Quota With a Five Month Window

Thailand's cabinet has approved imports of up to 1 million tons of United States feed corn at a zero tariff between February 1 and June 30, 2026, sharply expanding access while retaining purchase requirements intended to protect Thai growers. The previous allowance was 54,700 tons and carried a 20 percent duty.

The decision, part of ongoing tariff talks with Washington, addresses a large gap between Thailand's corn production and the needs of its livestock industry. Thailand consumes about 9 million tons of corn annually for animal feed and typically imports 4 million to 5 million tons to meet demand. Officials said the expanded quota would help secure raw materials as livestock production and feed requirements rise.

The new allowance is more than 18 times the previous quota. If fully used, its 1 million tons would equal about 11 percent of annual feed corn consumption and between 20 and 25 percent of the country's usual corn imports. Those comparisons show why the decision matters to both overseas suppliers and domestic farmers.

Feed mills must continue buying three tons of locally grown corn for every ton imported. The cabinet also confined imports to February through June, avoiding the main domestic harvest in the final quarter of the year. Agriculture Minister objections helped secure that shorter window, while the prime minister instructed agencies to prepare assistance for growers who might be affected.

A parallel decision approved soybean meal imports through 11 importers at a 2 percent duty for 2026 to 2028. Together, the measures cover two central ingredients in animal feed: corn for energy and soybean meal for protein. They sit alongside new requirements, beginning January 1, 2026, for proof that imported corn comes from sources that do not use burning.

How the Tariff Change Works

Thailand has long used a combination of tariffs and quotas to control feed grain imports. A quota sets the volume eligible for particular terms, while a tariff is a tax charged on imports. Under the previous framework, 54,700 tons could enter at a 20 percent duty, with higher taxes outside the quota.

The cabinet's new arrangement increases the eligible volume to 1 million tons and removes the tariff for that volume during the specified period. Even relatively small changes in import taxes can affect the cost of bulk grain shipments, so removing a 20 percent duty changes the calculations facing buyers.

Large buyers, including businesses that operate both feed mills and livestock farms, can use the allowance to secure supplies while meeting domestic purchase obligations. A defined import period also gives mills a basis for arranging tenders, freight and inventories before local grain becomes more plentiful later in the year.

The quota provides an option to buy, with actual purchases depending on price and quality. Mills will compare domestic offers with the landed price of American corn, meaning its cost after transport and other expenses needed to bring it into Thailand. Attractive overseas prices could allow mills to combine imported and Thai corn in their feed formulas.

Why Farmers Still Have a Guaranteed Place

Thai growers remain central to the policy through the 3 to 1 purchase rule. Government spokesperson Siripong Angkasakulkiat said the measures formed part of discussions with the United States and described the obligation attached to imports:

Importers will have to buy three parts of local corn for every part imported.

The requirement links access to overseas supplies with purchases from Thai farms. It is intended to maintain demand for domestic corn when a large import allowance opens, providing a buffer for farm incomes.

The import calendar is a second protection. By allowing arrivals from February through June, the cabinet aims to limit competition during the main harvest in the final quarter, when farmers bring much of their crop to market. Mills will need to manage stocks through the second half of the year as domestic supplies become more available.

Farm groups nevertheless worry that cheaper imports could weigh on prices, particularly if substantial stocks remain in the third quarter. The timing of arrivals and the amount carried forward in storage will therefore matter alongside the headline quota.

The agriculture minister formally objected to the larger allowance because of the possible harm to farmers and pressed for a shorter import period. The cabinet adopted the February to June window. The prime minister also directed agencies to prepare price support projects, marketing programs and production improvement schemes for the 2025 to 2026 season, including measures to stabilize prices and expand markets.

What Lower Feed Costs Could Mean for Food

Feed is the largest cost in producing chicken, pork and eggs. Corn provides energy in animal diets, while soybean meal supplies protein. Changes in the prices of those ingredients move through the production chain, affecting mills, livestock farmers, processors and eventually consumers.

Lower input costs give processors room to hold down or reduce retail prices. Rising costs can reach households at the meat counter. The expanded corn quota is intended to give mills access to competitively priced grain during a period when domestic supply is tight and to smooth seasonal price spikes that have affected feed makers in recent years.

Poultry and pig producers would benefit from steadier feed costs. Both sectors are important to Thailand's food exports and domestic protein supply. Officials have linked trade concessions with the United States to broader economic goals, including keeping farms operating through cost shocks and helping exporters respond to changes in external demand.

World corn prices still depend on harvests in major producing countries, including the United States, Brazil and Argentina. Freight charges and exchange rates also influence what Thai buyers pay. The quota gives mills more purchasing flexibility within those conditions.

A weaker baht raises the local currency cost of imported grain even when the tariff is zero. A stronger baht makes foreign supplies more attractive. Vessel availability and bunker fuel, the fuel used by ships, can also change freight costs. Buyers must weigh all these expenses when deciding whether to use the allowance.

Burning Rules Add a New Test for Imports

Thailand will require feed mills to show proof from January 1, 2026, that imported corn comes from sources that do not use burning. The measure is part of a campaign against seasonal haze affecting northern Thailand and Bangkok, much of it linked to agricultural burning across borders.

Duangarthit Nidhi-u-tai, a deputy director general at the Department of Foreign Trade, explained the requirement at a recent briefing:

Feed mills will have to present proof that imported corn is from burn free sources beginning January 1, 2026.

During a transition period, certification may come from importers, government agencies in exporting countries or recognized international bodies. Officials plan to accept several forms of evidence while the Clean Air Act is finalized. Once the law is in force, documentation standards will tighten, and violations could lead to temporary bans for importers. No date was given for the law to take effect.

The policy targets slash and burn farming methods common in parts of Myanmar, Laos and Cambodia. Those countries have been major corn suppliers to Thailand, often shipping grain during seasonal gaps in Thai production. The requirement places greater value on supply chains able to verify that fields were neither cleared nor managed through burning.

Certification will become part of purchasing decisions alongside price, quality and delivery timing. A supplier able to explain where corn was grown and how it was produced may be better placed to meet the new standard.

How Regional Corn Trade Could Shift

United States suppliers stand to gain from the combination of a large quota at zero tariff and the new environmental requirement. American corn exporters have extensive export infrastructure, established documentation systems and inspection protocols that can make verification more straightforward.

Mexico, Argentina, India and Pakistan could also benefit where suppliers can provide credible certification. The environmental rule is expected to direct trade toward origins able to document production without burning.

Suppliers in Myanmar, Laos and Cambodia may lose market share unless they can provide the required evidence. Traders could need to reorganize sourcing networks, invest in traceability or move into other commodities. Traceability means keeping records that allow a shipment to be followed back through its supply chain to its origin.

Some exporters will face higher documentation costs. Thailand's intended environmental benefit is cleaner air if the policy reduces agricultural burning in the border region. Its commercial effect will depend in part on which suppliers can satisfy the verification requirements.

Thai feed mills and businesses combining feed production with livestock farming gain additional buying and risk management options. Access to a substantial volume of imported corn during a tight supply season could strengthen their position in price negotiations. Growers face the competing concern that overseas supplies and stored grain could weaken domestic prices, making procurement rules and support measures important to their incomes.

What Importers Need Before Cargoes Arrive

Importers will need records covering three main areas: purchases of Thai corn under the 3 to 1 rule, certification of production without burning from January 2026, and sanitary and phytosanitary paperwork. The latter covers requirements intended to protect animal and plant health.

Quality checks include moisture, foreign material and mycotoxins, harmful substances produced by certain molds. Meeting those requirements is part of securing usable feed ingredients, alongside obtaining the tariff treatment available under the quota.

The five month import window also makes shipping schedules important. Voyages from the United States Gulf or Pacific Northwest to Southeast Asia can take several weeks. Buyers will need to coordinate tenders, vessels and port discharge slots so cargoes arrive and clear customs within the permitted period.

Contracts may need to specify arrival windows, laytime and penalties. Laytime is the period allowed for loading or unloading a vessel. Coordination with port operators and customs officials can reduce the risk of delays pushing shipments beyond the quota window.

For environmental verification, traders may use systems that keep grain from identified origins separate, together with rail or barge documentation and farm origin records. Where an exporting country's agency provides certification, importers should confirm its procedures and their audit rights. A clear chain of records can help buyers handle disputes as verification tightens under the clean air law.

Soybean Meal Supports the Other Half of the Ration

The cabinet's approval for soybean meal imports through 11 companies at a 2 percent duty covers 2026 to 2028. It broadens the supply base for a major protein ingredient and gives mills greater predictability alongside the new corn allowance.

Soybean meal is used alongside corn in almost every Thai feed mill. Lower protein ingredient costs can help mills formulate diets that meet animal growth targets at a lower price. Poultry businesses that manage several stages of production are particularly sensitive to protein prices because feed choices affect breeding, growth rates and final yields.

Thailand's feed sector serves chickens raised for meat, laying hens, pigs, aquaculture and dairy producers. Each requires a different nutritional balance. Mills adjust their formulas according to both ingredient prices and the needs of the animals they feed.

More affordable soybean meal can allow changes in the protein portion of a ration. When corn is scarce, mills can increase the share of feed wheat where nutritional requirements allow. More predictable corn and soybean meal supplies help businesses plan purchases, manage inventories and support steadier livestock output.

Rising Demand Makes Supply Planning More Pressing

Thailand's feed demand is projected to reach around 21.8 million tons in 2025, compared with an estimated 21.1 million tons in 2024. That is an increase of about 700,000 tons, or roughly 3.3 percent. About 60 percent of feed ingredients, mostly corn, soybean meal and wheat, are imported.

The feed demand figures cover a wider basket than the roughly 9 million tons of corn consumed annually for feed. Mills need both energy and protein ingredients, and their ability to switch between some inputs depends on prices and nutritional limits.

A predictable import window gives buyers a planning anchor. If global grain supplies are adequate, access to corn at zero tariff could help restrain seasonal price spikes. If weather or transport problems lift world prices, mills still have another purchasing route to compare with domestic offers.

The policy balance is between securing raw materials, protecting farm incomes, supporting trade negotiations and controlling pollution linked to sourcing. The quota and soybean meal decision address supply costs; the local purchase rule and import calendar support growers; certification adds an environmental condition to trade.

The Dates That Matter

The decisions involve several overlapping periods. Environmental paperwork becomes necessary before the American corn window opens, while soybean meal approval runs across three years.

• 2025: Feed demand is projected at around 21.8 million tons, up from an estimated 21.1 million tons in 2024.
• 2025 to 2026 season: Agencies are to prepare assistance for corn growers, including price stabilization, marketing and production improvement measures.
• January 1, 2026: Feed mills must begin presenting proof that imported corn comes from sources that do not use burning.
• February 1 to June 30, 2026: Up to 1 million tons of United States feed corn can enter at a zero tariff.
• 2026 to 2028: Soybean meal imports through 11 approved importers carry a 2 percent duty.

For mills, the immediate preparation is to align purchasing, certification and transport with those dates. For farmers, the domestic procurement requirement, seasonal timing and planned assistance are the main protections accompanying the expanded access.

The Bottom Line

• Thailand approved up to 1 million tons of United States feed corn at zero tariff from February 1 to June 30, 2026, compared with a previous allowance of 54,700 tons at a 20 percent duty.
• Importers must buy three tons of Thai corn for every ton imported, and the window avoids the main harvest in the final quarter.
• The agriculture minister formally objected to the larger quota, and the prime minister ordered preparations for grower assistance.
• Proof that imported corn comes from sources that do not use burning becomes mandatory on January 1, 2026, with tighter standards planned under the Clean Air Act.
• United States and other exporters able to document production practices could gain business, while regional suppliers face new verification demands.
• Soybean meal imports through 11 importers were approved at a 2 percent duty for 2026 to 2028.
• Thailand imports about 60 percent of its feed ingredients, making grain prices, shipping costs and the baht important to livestock production costs.