Investigating the Miraculous Growth of the Thai Cassava Processing Industry

Thailand is the world’s No.1 exporter of processed cassava products, especially tapioca starch powder. Any other country pales in comparison. While it is well known that tapioca production and export have grown dramatically over the last several decades in Thailand, it is not widely known why this industry has grown so successfully only in Thailand. Our major research question is whether the growth and development of this industry were driven by substantial foreign direct investment. Qualitative interviews with selected factories were conducted in in Nakhon Ratchasima Province in November 2019. To further investigate the mechanism of growth, the project will conduct a structured questionnaire survey with owners and/or managing directors of various cassava processing factories in the nation in partnership with the Thai Tapioca Starch Association. Through the survey, we will collect information on their profile, practices, performance, relationship with other value chain actors as well as the Tapioca Starch Association. the operation size at present and in the past, sources of technology and market information, history of mergers and acquisitions, composition of nationalities of capital, and constraints on further growth.

Keywords industrial growth, cassava, tapioca, foreign direct investment, technology transfer

(more…)