The 2022 (Thailand) Inflation Thread

[2009]

America just put out their CPI as 7.9% though folks are saying bread is up 20%, rentals up 10% and chicken is up 50% etc etc.

 

 

So, I thought I would start this thread so the observant members here can post how much more things are costing in Thailand.

[FritsSikkink]

Don't care much about inflation

[Pravda]

No inflation in Thailand. 

 

Slava Tailandi

[soi3eddie]

Beer still same price in my favourite bar (80 Baht SMG Light). B/F, S/T and L/T still same price as 2020 so I can conclude that inflation is a myth here in Thailand...

 

[Kenny202]

54 minutes ago, soi3eddie said:

Beer still same price in my favourite bar (80 Baht SMG Light). B/F, S/T and L/T still same price as 2020 so I can conclude that inflation is a myth here in Thailand...

 

As silly as that sounds therein lies the problem. People already stretched with probably 50% (at least) downturn in sales and near the same increase in overheads are trying to keep their sell prices the same. Thais dont do the math and these will be the first wave of people that go under

[2009]

1 hour ago, soi3eddie said:

Beer still same price in my favourite bar (80 Baht SMG Light). B/F, S/T and L/T still same price as 2020 so I can conclude that inflation is a myth here in Thailand...

 

Is it on Soi 3 per chance?

[2009]

27 minutes ago, Kenny202 said:

As silly as that sounds therein lies the problem. People already stretched with probably 50% (at least) downturn in sales and near the same increase in overheads are trying to keep their sell prices the same. Thais dont do the math and these will be the first wave of people that go under

Yeah, but if they wack the price up sharply it just communicates to their customers, "I lost business due to a pandemic, now I'll claw back my losses from you" and they'll likely lose a lot of customers.

[soi3eddie]

19 minutes ago, 2009 said:

Yeah, but if they wack the price up sharply it just communicates to their customers, "I lost business due to a pandemic, now I'll claw back my losses from you" and they'll likely lose a lot of customers.

My comments were somewhat in jest however it seems that the nightime industry has a more realistic outlook on supply/demand and pricing. Quite frankly how any businesses have survived is testament to resilience of Thais. This is not just a Thailand issue but also many other countries worldwide. Maybe the current Russia/Ukraine war and energy costs will bring things to a head.

 

[Kenny202]

8 hours ago, 2009 said:

Yeah, but if they wack the price up sharply it just communicates to their customers, "I lost business due to a pandemic, now I'll claw back my losses from you" and they'll likely lose a lot of customers.

Well that's the catch 22. If it were me though I think I would be risking losing a few customers rather than go out a$$ backwards losing money. Sales are no good without profit and many of these businesses exist hand to mouth. If they don't make money they don't eat. They don't have the capital to wait it out and it's looking like this is going to be a long wait 

[Kwasaki]

It's not so much inflation in our village it's lack of work to as shops and restaurants are shut up because of covid and people using takeaway. 

My wife has problems with people not being able to pay their rent because of the the lack of customers.

[arithai12]

I have noticed that many things have the same nominal price.... like a dish at the restaurant or a slice of cake or a chicken satay at the stall... but the servings or the quality are decreasing.

[khunPer]

If your income comes from abroad, currency exchange rate might be more of concern - fuel price increase is Worldwide, so not much to do about it - specifically looked over a two year period, i.e. just before Covid-pandemic began, as price fluctuation during the pandemic don't say much about real annual inflation rate.

I compared with my Scandinavia home-country from end of February 2020 with end of February 2022, where the consumer price increase was 5% while in Thailand it was 4%, on top currency exchange rate was almost unchanged, so little cheaper to remain in Thailand.
However, looked over af 10-year period until end of February 2022 the Thai inflation was 12%, so was my home country inflation - I disregard minor decimals, less than .25 - however the currency exchange rate had changed so my Thai baht became 12% more expensive, meaning that if income is based on foreign currency the consumer price increase was up by the double, i.e. around 24%.

 

What happens due to the crises - or whatever it might be called - in Ukraine, and price increase will probably affect many parts of the World, but in slightly different levels; Thailand might not be as bad to stay as some other places; however currency exchange rates might be the Joker for some...????

[Kenny202]

4 hours ago, arithai12 said:

I have noticed that many things have the same nominal price.... like a dish at the restaurant or a slice of cake or a chicken satay at the stall... but the servings or the quality are decreasing.

Also noticed a lot lately the food isn't too fresh either. I guess they are not turning it over like they were before

 

[4MyEgo]

4 hours ago, khunPer said:

however currency exchange rates might be the Joker for some...

Aussie $ been on the up up and up of late, however I don't send money over here till it's time for my my extension, and I live off of the money I send over for the remainder of the year.

 

As for inflation, if your earning an income from investments, I don't see inflation effecting oneself, that said, I have seen things go up 10% here and there, for some it's not noticeable, e.g. bread usually 40 baht, now 44 baht, imported item usually 150 baht, now 175 baht, so just under 12%.

 

For me personally inflation doesn't effect me, I also like to look for sales, e.g. chocolate that I like costs 98 baht, today on special 53 baht, so I choc-ed up, that's my hedge against inflation and it tastes just divine.

 

Those on fixed pensions and low exchange rates will notice the difference,

[Kenny202]

Aussie dollars been going up because our raw materials, iron and minerals suddenly have greater demand. My Super in Oz seems to still be going down though

[Whale]

It will hit us in the coming months, current goods orders have been paid for, new goods will be at newer prices. Being the cynic I am I always wonder if some companies raise product prices because they have an excuse to rather than proportionate to the cost of commodities. 

 

Just remember which two countries produce a huge amount of the worlds barley and wheat. Hint, ones embargoed and one is decimated from attack by the other. Hence beer will go up as well.

Edited March 11, 2022 by Whale

[bunnydrops]

We grow our own rice and vegetables so I don't notice the price on those. We bake and have seen the price of flour go up over 10%. Packaged chicken sold at Tesco went from 300g to 250g, I think to hide the price increase. I also see less butter croissants, and more margarine croissants being sold at the old price of the butter. The butter ones are at least a third more now. Seasonal price differences makes it hard to know what is what.

[Kenny202]

9 hours ago, bunnydrops said:

We grow our own rice and vegetables so I don't notice the price on those. We bake and have seen the price of flour go up over 10%. Packaged chicken sold at Tesco went from 300g to 250g, I think to hide the price increase. I also see less butter croissants, and more margarine croissants being sold at the old price of the butter. The butter ones are at least a third more now. Seasonal price differences makes it hard to know what is what.

That is a very common tactic here. Wife buys hot dogs for her shop in bulk. They started off 120 baht pure pork. 100 baht chicken blend. After a few months pure pork became 50% chicken (same price). Then 100% chicken, and still 95 baht. Now they are slowly going up in price. Apart from that I find everything in Makro / Tesco going up a few baht every month. Turn around in 6 months a few baht a month means an overall increase of 20 - 40%. You only have to look at the recent pork prices. I still haven't seen any real justification for it...and the pork and chicken they are selling has been pre frozen. They are just doing it because they can

[BritManToo]

16 hours ago, khunPer said:

If your income comes from abroad, currency exchange rate might be more of concern - fuel price increase is Worldwide, so not much to do about it - specifically looked over a two year period, i.e. just before Covid-pandemic began, as price fluctuation during the pandemic don't say much about real annual inflation rate.

I compared with my Scandinavia home-country from end of February 2020 with end of February 2022, where the consumer price increase was 5% while in Thailand it was 4%, on top currency exchange rate was almost unchanged, so little cheaper to remain in Thailand.
However, looked over af 10-year period until end of February 2022 the Thai inflation was 12%, so was my home country inflation - I disregard minor decimals, less than .25 - however the currency exchange rate had changed so my Thai baht became 12% more expensive, meaning that if income is based on foreign currency the consumer price increase was up by the double, i.e. around 24%.

 

What happens due to the crises - or whatever it might be called - in Ukraine, and price increase will probably affect many parts of the World, but in slightly different levels; Thailand might not be as bad to stay as some other places; however currency exchange rates might be the Joker for some...????

Before COVID I was having 4+ foreign holidays a year, lots of trips to coffee shops/bars.

Since COVID I've had ZERO foreign holidays and outings.

Dumped my Gik (saving 2000bht/week).

And my mortgage repayments have dropped from 11kbht/month to 9kbht/month.

 

.............. I'm quids in.

Edited March 12, 2022 by BritManToo

[4MyEgo]

15 hours ago, Kenny202 said:

Aussie dollars been going up because our raw materials, iron and minerals suddenly have greater demand. My Super in Oz seems to still be going down though

Have you told them what you wanted YOUR money invested in, most just let the fund invest it and do what they want, not me, when I had super I told them where I wanted it invested and saw the improvements, i.e. you have to change your super investment plan when permittable, e.g. every year, 2 or 3, otherwise it could keep going down.

 

Now I manage my own investments and gold and minerals have been returning excellently over the past month or so, sadly, all due because of a war. That said, I believe they will keep moving upwards due to inflation and interest rate hikes, time will tell.