Commerce Ministry Rejects Instant Noodle Price Rise

[webfact]

 

BANGKOK, Aug 16 (TNA) – The internal trade chief said he was aware that instant noodle manufacturers were facing higher production costs but he had to reject their request to raise the product price to eight baht per pack.

Wattanasak Sueaiam, director-general of the Department of Internal Trade, said he acknowledged the press conference in which the five instant noodle manufacturers jointly sought permission to increase their product price from six baht to eight baht per pack due to rising production costs.

 

He said that his department was carefully considering the matter to treat all parties fairly. However, it had not allowed any manufacturer to raise the price yet. If any operators increased it or hoard the products, they would be liable to a jail term of up to seven years and/or a maximum fine of 140,000 baht, Mr Wattanasak said.

 

Full story: https://tna.mcot.net/english-news-998468

 

-- © Copyright Thai News Agency 2022-08-16

 

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[JoePai]

Simple, keep the price at 6 Baht but put less in the packet

[ThailandRyan]

Mama noodle eaters will be happy.  That's going to save them 60 baht a month they can use to buy a few eggs which have increased in price recently.

[bradiston]

This always makes me laugh. 7 years or 140k fine. Wait, wait, I'm thinking. Err, think I'll go with the fine please guv.

[prakhonchai nick]

Simple solution. If the manufacturers cannot make ends meet. STOP PRODUCTION.

[Andycoops]

Easy solution, just reduce the amount of noodles per pack as I have seen in other produce and the Muppets can't do a thing.

[worldexpress]

Central Planning Committee has spoken. End of discussion. Long live hammer & sickle. Now on to a more important matter of a joint air exercise with the motherland.

[ThailandRyan]

1 minute ago, worldexpress said:

Central Planning Committee has spoken. End of discussion. Long live hammer & sickle. Now on to a more important matter of a joint air exercise with the motherland.

I was really looking forward to splashing more cash out for my noodles, oh well I guess the ladies in Soi 4 or Cowboy wont be able to charge more to play with customers noodles now.

[Rampant Rabbit]

Struth cant afford that, sod  it Im off  out  parot  fish hunting for me dinna

[Jumbo1968]

6 hours ago, JoePai said:

Simple, keep the price at 6 Baht but put less in the packet

Yep Chang initially reduced the size of the large bottle and now the abv to keep the price down.

[new2here]

7 hours ago, JoePai said:

Simple, keep the price at 6 Baht but put less in the packet

If I recall the Ministries list does specify the pack size/weight, so using shrinkflation isn’t probably going to work here… but i cede it’s a good idea.

 

What Id wonder is why not subtly reduce output?  they can’t artificially “stockpile” ...  so they can’t manufacture it THEN withhold it from sale to artificially create a supply/demand gap…  but if they are either loose money making it at this level (which i don’t think is going to be true) OR that their costs at these levels make producing the noodles essentially a lost-leader so-to-speak, then I might think about gradually cutting production of those noodles and divert their limited manufacturing capacity to items that aren’t price capped.

 

the only other way i might see is substituting lower price ingredients.. but i’ll bet that will require a whole lot of work internally (ie sourcing, production etc) and probably also trigger the need for a review of their food permit as well…

 

[freedomnow]

Phew, my days of sunshine continue.

[bradiston]

1 hour ago, new2here said:

If I recall the Ministries list does specify the pack size/weight, so using shrinkflation isn’t probably going to work here… but i cede it’s a good idea.

 

What Id wonder is why not subtly reduce output?  they can’t artificially “stockpile” ...  so they can’t manufacture it THEN withhold it from sale to artificially create a supply/demand gap…  but if they are either loose money making it at this level (which i don’t think is going to be true) OR that their costs at these levels make producing the noodles essentially a lost-leader so-to-speak, then I might think about gradually cutting production of those noodles and divert their limited manufacturing capacity to items that aren’t price capped.

 

the only other way i might see is substituting lower price ingredients.. but i’ll bet that will require a whole lot of work internally (ie sourcing, production etc) and probably also trigger the need for a review of their food permit as well…

 

How about they remove the little packets of seasoning and charge 5.50 or 6? Then charge 1 THB or 50 satang for them if required? Or, use your own. Or, oh just take me away...

[Lorry]

That's a 30% increase but obviously TV members don't see a problem. 

Wait until beer increases by 30% and see the reactions here. 

[hotchilli]

19 hours ago, JoePai said:

Simple, keep the price at 6 Baht but put less in the packet

Exactly what I was thinking... a private company held to ransom by the commerce ministry as to how much they can sell their product for.

14 years there has been no increase in sale price, yet in those same years the costs of materials and running costs have gone up.

The company is expected to absorb these costs and loose profitability?

Tell the commerce ministry, raise the price or we stop producing noodles and make something else or go bankrupt.

 

[hotchilli]

17 hours ago, ThailandRyan said:

Mama noodle eaters will be happy.  That's going to save them 60 baht a month they can use to buy a few eggs which have increased in price recently.

I used to buy 30 eggs size zero for 98 baht six months ago [street vendor]

Now 125 baht.

 

[bradiston]

Searched everywhere but can't find a complete list of price controlled goods and services in Thailand. I can't see the price of chicken being controlled, even though it's supposedly on the list. It's doubled in 6 months. Ditto pork. The RPI in the UK is made up of a shopping basket of supposedly typical everyday goods. Do they include dried squid/shrimps here? Fish sauce? Pla ra? Rice (surely?). Anyone got a link? I've seen the lists which start "goods such as...", but nowhere a definitive one. And can't link to BKK Post.

[bradiston]

1 hour ago, bradiston said:

Searched everywhere but can't find a complete list of price controlled goods and services in Thailand. I can't see the price of chicken being controlled, even though it's supposedly on the list. It's doubled in 6 months. Ditto pork. The RPI in the UK is made up of a shopping basket of supposedly typical everyday goods. Do they include dried squid/shrimps here? Fish sauce? Pla ra? Rice (surely?). Anyone got a link? I've seen the lists which start "goods such as...", but nowhere a definitive one. And can't link to BKK Post.

Here's a selection, FWIW:

 

https://www.thaipbsworld.com/thailand-freezes-prices-of-46-products-for-another-year/