TotalEnergies Carbion Ltd., a 50/50 joint venture between TotalEnergies and Corbion, is a global leader in the marketing sales, and production of Poly Lactic Acid (PLA).

Headquartered in Europe, the company operates a 75,000 tons per year PLA production facility in Rayong, Thailand. Corbion already has a very important plant producing Lactic Acis integrated from sugar to produce PLA. Leveraging shared resources and synergies, Thailand is an ideal hub for bioeconomy growth.

Mr.Olivier de Linares, Plant Director of TotalEnergies Carbion Ltd said “Engaged in the development of business within the PLA bioplastics market, we consistently generate new ideas and projects. As the business landscape evolves, we maintain our anticipation for a fruitful relationship with BOI, who fosters a business-friendly environment conductive to sustained economic expansion and growth.”

Read more: Thailand Investment Review : PROPELLING THE CLEAN TRANSITION, GEARING UP THE GREEN ECONOMY

Among global companies betting on the country’s green potential are French energy major Total and Dutch biochemical giant Corbion, which in 2017 teamed up to build a factory in Thailand that uses responsibly sourced, locally-grown cane sugar to manufacture polylactic acid, or PLA, a 100 percent renewable and biodegradable bioplastic that can be used to replace polystyrene and other oil-based polymers while having a 75 percent smaller carbon footprint.

The joint venture, Total Corbion PLA, has built its plant at Rayong in Thailand’s Eastern Economic Corridor (EEC) adjacent to a longer-established factory operated by Corbion that makes lactic acid, on which PLA is based. Between them, the two partners have invested some $250 million in Rayong and within two years will have increased that investment to $500 million as the PLA plant increases production from 75,000 to 100,000 tonnes annually to address the growing demand, company executives say.

“We have the best technology in the world for PLA here in Thailand,” says Sander van der Linden, Corbion’s country manager and site director at Rayong. “We get great support from the Thai government, which is committed to developing the bio-based economy and agriculture sector and for that reason it is a very good environment for us to be in.”

Simon Goldney, Total Corbion’s plant director, points to numerous reasons why Total and Corbion chose to invest in Thailand. One obvious advantage is that Thailand is the world’s second biggest supplier of sugar, the raw material for PLA. Other attractions include good port infrastructure, corporate income tax breaks and import duty exemptions, and the quality of the workforce.

Read more: Thailand Powers Towards a Green Economy