Price Increases Across The Board

[sbk]

CR forum sponsor Don of Don's foods had this interesting post to make in the CR forum as people up there complain about rising prices as well.

Many of you have noticed that there has been a 30-40% increase in the price of pork. Watch for chicken and beef to also go up. I think that it is safe to relate these price increases to the following:

• Claim of pig Cholora by at least one grower.
  
• Increase in oil prices
  
• Big increase in animal food prices due to the people using corn and tapioca to make gasahol. This creates a shortage of animal food.
  
• Suppliers testing the new government and their will to inforce the price controls
  
• Shortage of palm oil as it is also being used to make gasahol.
  

Overall for this year you may expect general food prices to increase from 15-30%.

The government is trying to bring pork prices down but I don't think they will be able to do so.

Many things in Thailand are expensive now.

Don

[Tony121]

This is called inflation and with oil now pushing $110 a barrel expect everything to start rising. The same is going on all over the world farms are disapearing all over China to make way for factory's that use water from rivers polluting them, then you have bio fuels replacing traditional crops like wheat, which is used in animal feed.

It isn't just a Thai problem this is global

[sbk]

Well, there are some who argue that the islands shouldn't be any worse off than anywhere else, but I guess I just don't see how that can be. Added on to the cost of trucking it down here, there is the cost of bringing it over on the boat and then the empty return trip would have to be factored in as well.

To me, anyway, it makes sense that islands would be more expensive. But I do think that there is price gouging going on as residents here are a captive market.

[Mark Wolfe]

But I do think that there is price gouging going on as residents here are a captive market.

That was my entire point. It is the fact that everyone now sees a "viable" excuse for raising prices, regardless whether or not their costs have risen (or risen in any appreciable way). The term here is profiteering.

Palm oil, corn and tapioca to make gasahol causing food prices to rise? Uh, yeah, and the cost of green cheese is rising because it costs more to get it from the moon and deliver it to Thailand....

This is an urban myth. While some of the above commodities are being used/experimented with for fuel, I know of no reliable statistics proving that this is anything more that media hype and supposition.

If Don wishes to publish some hard evidence, I'm all ears.

Edited March 16, 2008 by Mark Wolfe

[LaoPo]

Well, there are some who argue that the islands shouldn't be any worse off than anywhere else, but I guess I just don't see how that can be. Added on to the cost of trucking it down here, there is the cost of bringing it over on the boat and then the empty return trip would have to be factored in as well.

To me, anyway, it makes sense that islands would be more expensive. But I do think that there is price gouging going on as residents here are a captive market.

True; but not just the islands in LOS.

Cost of living on islands, worldwide, is always more expensive than on the mainland. It's NEVER cheaper.

LaoPo

[misterman21]

My water recently went up from 10 baht per unit (expensive as it was) to 15 baht - village supply.

Car park in royal garden up from 20 to 30 baht per hour.

Coffeeworld - small americano 45 to 65 baht

Ill not mention butter!

I hear many local thais complaining about sharp price rises in everyday items - accepted reason being the cost of petrol/gasoline.

I also hear my dear old mother complaining bitterly about food price increases in the Uk. Electricity and gas have risen by 70% in the past 3 years - yet funnily enough inflation remains at 2 to 3 percent.

Are we so dumb to believe these figures?

[sbk]

Well, there are some who argue that the islands shouldn't be any worse off than anywhere else, but I guess I just don't see how that can be. Added on to the cost of trucking it down here, there is the cost of bringing it over on the boat and then the empty return trip would have to be factored in as well.

To me, anyway, it makes sense that islands would be more expensive. But I do think that there is price gouging going on as residents here are a captive market.

True; but not just the islands in LOS.

Cost of living on islands, worldwide, is always more expensive than on the mainland. It's NEVER cheaper.

LaoPo

Mark sees what he wants to see, Lao Po sees something different. Same post. My point was, that I think gas prices are forcing costs to rise, but I also think some people are taking advantage of this to raise them even more. Not that it is one or the other, but both. Anchor cheddar cheese more than doubled in cost in a month. Not a 10 baht price rise but a 900 baht price rise. It has since subsided a tad but not much. Whats that all about? New import tax? It rose at Makro too, I checked. Not as much as here, mind, but still double what we used to pay, in December.

[LaoPo]

Well, there are some who argue that the islands shouldn't be any worse off than anywhere else, but I guess I just don't see how that can be. Added on to the cost of trucking it down here, there is the cost of bringing it over on the boat and then the empty return trip would have to be factored in as well.

To me, anyway, it makes sense that islands would be more expensive. But I do think that there is price gouging going on as residents here are a captive market.

True; but not just the islands in LOS.

Cost of living on islands, worldwide, is always more expensive than on the mainland. It's NEVER cheaper.

LaoPo

Mark sees what he wants to see, Lao Po sees something different. Same post. My point was, that I think gas prices are forcing costs to rise, but I also think some people are taking advantage of this to raise them even more. Not that it is one or the other, but both. Anchor cheddar cheese more than doubled in cost in a month. Not a 10 baht price rise but a 900 baht price rise. It has since subsided a tad but not much. Whats that all about? New import tax? It rose at Makro too, I checked. Not as much as here, mind, but still double what we used to pay, in December.

OK, got your point SBK.

Yes, of course some people (shops, businesses) try to take advantage and raise prices. That's always short sighted since people will immediately react and not buy/accept it anymore, apart from the ABSOLUTE necessary items like gasoline, electricity, water etc.

If Cheddar cheese goes up that dramatically it won't be sold anymore or at least demand will drop.

Every single person in the world has a limit....a limit at a point that he/she says: "OK, enough is enough...I refuse to pay/buy that-or-that anymore" .

Prices are rising dramatically worldwide due to not only the oil price (now some $ 110/barrel) but commodities in general.

Only a worldwide recession (NOT unlikely.....!!!) will make prices drop substantially.

But then........tourists will stay away also....

Not a pretty sight

LaoPo

[ClaudeFeller]

Well, there are some who argue that the islands shouldn't be any worse off than anywhere else, but I guess I just don't see how that can be. Added on to the cost of trucking it down here, there is the cost of bringing it over on the boat and then the empty return trip would have to be factored in as well.

To me, anyway, it makes sense that islands would be more expensive. But I do think that there is price gouging going on as residents here are a captive market.

Believe it or not, shipping to Samui or KPN is not a cost pushing factor. Look at my examples here:

And a truck that goes to Songkla or to Surin or to Chiang Sen will return empty the same. Or not??

We are a farang place, we are a rip-off place, thats the deal.

One more example?

I deal u.o. with water pipes, manufacteur and wholesale is in BKK. If I buy in Samui at "Samui Water Tech" I pay 30 % more than if I order in BKK - including the terrible expensive shipping.

SBK, more questions about your daily rip-off??

[Mark Wolfe]

Mark sees what he wants to see, Lao Po sees something different. Same post.

(Giant sigh...)

LaoPo (means husband in Mandarin) states that costs on an island will always be more than on the mainland.

Yes, of course! I never denied this; what I have been saying is that the rises in some prices are artificially tagged to events (oil, tapioca) that are either unrelated or in effect irrelevant.

I see what is apparent and reasonable.

Look at it this way, apropos my point-- the finger-pointing at the high price of oil -- what should be the most seriously affected? The price of petroleum products on the islands. Has the price of gasoline risen 900 percent? No. Depending on how far back you want to go in time, it has risen roughly 10 to 15 percent at the pumps. AND this gasoline must be shipped here from the mainland. So the very "cause" of these rises (its increased cost + shipping) is still significantly less than many other products.

Unless there are some other factors at work here, that person selling the cheese is profiteering.

(I just bought a 250g piece of cheddar -- "Mainland" brand (how ironic) -- at a non-chain convenience store for 160 baht. The country of origin is New Zealand (isn't Anchor a kiwi brand too?)

[sbk]

Yup, it is NZ. I just find it odd that it was only Anchor that went up. And not just at local shops, but even at Makro. So, to me that suggests it is not just local shops and small merchants inflating the prices.

Apropos, now we buy our cheese from Don's Foods, reasonable prices, good quality and his staff put it on the boat and send it over here for us.

[LaoPo]

Mark sees what he wants to see, Lao Po sees something different. Same post.

(Giant sigh...)

LaoPo (means husband in Mandarin)

Giant sigh.... ???

Mark, you need to improve your Mandarin..

LaoPo means "my wife'

&

LaoGong means "my husband"

LaoPo...that's MY wife but I'm the LaoGong......

[Mark Wolfe]

Right, two years away and I can't even get the gender right. I guess I am getting too lao myself. ...

(but if I wanted to split hairs, they both mean wife or husband, but not "my husband/wife")

Edited March 17, 2008 by Mark Wolfe

[LaoPo]

Right, two years away and I can't even get the gender right. I guess I am getting too lao myself. ...

(but if I wanted to split hairs, they both mean wife or husband, but not "my husband/wife")

Correct; I'm glad I have hair enough to split...

LaoPo

[Rooo]

Cheese 250 Gram from 99 to 170 Approx.

Milk 55 to 73.

Butter large block 78 to 150.

Tub butter 78 to 169.

All these increases within a week & not gradual.

[emmezeta]

Cheese 250 Gram from 99 to 170 Approx.

Milk 55 to 73.

Butter large block 78 to 150.

Tub butter 78 to 169.

All these increases within a week & not gradual.

Resorts and farang restaurants every january go up 10/15%, every year.

in 5 years Samui will be more expensive than Greece, just for staying of course.

For flying i'm already getting price above 1000 euro for Taipei and a bit less for Hong Kong and Bangkok....

And we are going toward a recession everywere, so don't count on more tourists next high season, the rich one are limited and there are much better beaches than Samui around the world....

Just look at my photo of a 5 star resort on Lamai last month....

[sbk]

Actually, we are talking about purchasing food and goods in stores, not in restaurants and resorts.