DCFT urges commerce minister to halt milk powder imports amid raw milk glut

THURSDAY, MARCH 05, 2026

Milk farmers say up to 15,000 producers have been hit, with about 211 tonnes of raw milk a day going unsold for three months since January, and want imports paused until domestic supply is fully absorbed.

  • The Dairy Cooperatives Federation of Thailand (DCFT) is urging the commerce minister to address a raw milk surplus, with 211 tonnes per day going unsold and affecting 15,000 farmers.
  • The federation is calling for a halt to milk powder imports, arguing they are the primary cause of the glut because they are significantly cheaper than domestic raw milk.
  • Imported milk powder is priced at THB 12–13 per kilogram, nearly half the cost of local raw milk at THB 23 per kilogram, prompting manufacturers to switch to the imported alternative.
  • The DCFT's main demand is that the government ensures all domestic raw milk is purchased from farmers before any milk powder is imported, specifically proposing a delay on imports under free trade agreements.

A reporter said that Dairy Cooperatives Federation of Thailand Limited (DCFT), led by Subin Pom-ocha, chairman of the federation, had gathered to submit a letter to the commerce minister, calling on the Ministry of Commerce to address raw milk prices.

Up to 15,000 farmers have been affected, with around 211 tonnes of raw milk going unpurchased per day for three months since January, with no buyers.

The group also raised related issues, including calls to delay milk-powder imports, saying these imports have affected raw-milk volumes.

They said import permissions allow milk powder to be priced lower than raw milk, prompting operators to switch to milk powder instead.

Subin said farmers are facing higher production costs and want relevant parties to ensure all raw milk from farmers is purchased first before importing milk powder.

At present, milk powder costs about THB12–13 per kilogram, while raw milk is THB23 (THB22.75 per kilogram as the announced reference price).

He said the group would today submit its demands to four bodies: (1) the Ministry of Commerce, (2) the Ministry of Agriculture and Cooperatives, (3) the Ministry of Public Health, and (4) the Bhumjaithai Party, reiterating its position that milk-powder imports should be delayed and farmers’ raw milk should be purchased first.

DCFT urges commerce minister to halt milk powder imports amid raw milk glut

The six proposals are as follows:

  • Delay imports of milk and dairy products under the Thailand–New Zealand FTA (TNZCEP) and the Thailand–Australia FTA (TAFTA) in 2026, until the issue of Thai farmers’ raw milk being unable to sell “every last drop” is resolved, in coordination with the Ministry of Commerce, the Ministry of Agriculture and Cooperatives, and relevant agencies.
  • Immediately fast-track the sale of raw milk under the 2025–2026 MOU for farmer organisations selling raw milk, where there are still no operators purchasing raw milk from 24 co-operatives and 4 private-sector entities, totalling 211.686 tonnes/day, by the Ministry of Agriculture and Cooperatives, the Ministry of Commerce, and relevant agencies.
  • Urgently help clear UHT carton milk, both commercial milk and school milk, packaged in large quantities to address the lack of outlets for raw milk, so that raw-milk payments can be made to dairy farmers, by the Ministry of Commerce, the Ministry of Agriculture and Cooperatives, and relevant agencies.
  • Review product labelling by operators, especially ingredient declarations, to clearly state whether the product uses fresh cow’s milk from Thai farmers or reconstituted milk powder from overseas, and ensure traceability, to ensure fairness and accuracy for consumers, by the Ministry of Public Health through the Food and Drug Administration.
  • For the School Milk Programme (supplementary food (milk)) in the 2026 academic year, ensure pupils can drink milk for a full 365 days, by the Ministry of Agriculture and Cooperatives and relevant agencies.
  • Request an urgent budget to pay outstanding raw-milk payments owed by the Dairy Farming Promotion Organisation of Thailand to farmers since September 2025 to the present, by the Ministry of Agriculture and Cooperatives and relevant agencies.

Wittayakorn Maneenetr, director-general of the Department of Internal Trade under the Ministry of Commerce, said he had accepted the farmers’ proposals.

He said officials had earlier met to prepare a plan to distribute co-operatives’ carton milk into the domestic market, including through modern trade retailers and industries that use raw milk as a key raw material.

Distribution would also be carried out through the Thong Fah (Blue flag) network, including 169,138 Thong Fah shops nationwide, and sold at Thong Fah events held in provinces under the department’s plan.

He added that the department had coordinated distribution through partner fuel-station networks as another channel to reach consumers directly, subject to conditions and each station’s capacity to handle the products.