Why Have Imported Goods Risen In Price?

[thaimate]

maybe ime not the brightest of economists but i thaught that when your currency went down by 20% exported goods became cheaper .not in Thailand it seems ,doing the shopping today nearly all imported goods from Britain and oz have gone up ,why?

[londonthai]

many of them are considered luxury products, so higher taxes as well as a larger profit margin for the retailer. Another factor is that in crisis the importer can't afford large volume shipments and good prices for bulk buying from the UK, hence unchanged or even higher prices in thailand.

when in Thailand I rarely buy anything which is more expensive than in the UK, I just use thai substitutes or just go without them altogether.

[thaimate]

many of them are considered luxury products, so higher taxes as well as a larger profit margin for the retailer. Another factor is that in crisis the importer can't afford large volume shipments and good prices for bulk buying from the UK, hence unchanged or even higher prices in thailand.

when in Thailand I rarely buy anything which is more expensive than in the UK, I just use thai substitutes or just go without them altogether.

unfortunatly i just cant go without marmite or heinze salad cream ,nothing like it here.

[peterrabbit]

maybe ime not the brightest of economists but i thaught that when your currency went down by 20% exported goods became cheaper .not in Thailand it seems ,doing the shopping today nearly all imported goods from Britain and oz have gone up ,why?

Its very simple. When the Thais see that business has slowed and they are making less profit they increase their prices to compensate. The fact that this act may further reduce their sales dosn't cross their minds. After all the "stupid falang" will pay.

[barryofthailand]

many of them are considered luxury products, so higher taxes as well as a larger profit margin for the retailer. Another factor is that in crisis the importer can't afford large volume shipments and good prices for bulk buying from the UK, hence unchanged or even higher prices in thailand.

when in Thailand I rarely buy anything which is more expensive than in the UK, I just use thai substitutes or just go without them altogether.

unfortunatly i just cant go without marmite or heinze salad cream ,nothing like it here.

All Heinze products are manufactured in Thailand. They are not imported.

Barry

[tropo]

when in Thailand I rarely buy anything which is more expensive than in the UK, I just use thai substitutes or just go without them altogether.

I buy imported products often. It's no big deal that they are more expensive because you save a lot on other things when living in Thailand.

[Mattd]

"All Heinze products are manufactured in Thailand. They are not imported.

Barry"

Barry, the Heinz salad cream, some Tomato Ketchup etc. are indeed imported, hence the need for the import sticker on the back of them and the inflated cost.

[thaimate]

"All Heinze products are manufactured in Thailand. They are not imported.

Barry"

Barry, the Heinz salad cream, some Tomato Ketchup etc. are indeed imported, hence the need for the import sticker on the back of them and the inflated cost.

the salad cream made by heinz in Thailand is far to sweet ,only the imported one is any good ,however roza tomato ketchup is exactly the same as heinz at a fifth of the price.

[loong]

the salad cream made by heinz in Thailand is far to sweet ,only the imported one is any good ,however roza tomato ketchup is exactly the same as heinz at a fifth of the price.

Agree re sweet salad cream and Mayo.

But if I remember rightly Heinz tomato ketchup is about 17 Baht for a small bottle and Roza is 15 or 16 Baht, so hardly a fifth of the price.

[Guderian]

Rampant profiteering by unscrupulous owners doesn’t help.

A small example: the NZ Dollar has dropped from a high of 25 Baht last year to below 19 Baht now. That’s about a 25% decline. Yet imported Anchor NZ butter still costs 110 Baht in Foodmart, Jomtien, the same as it did in the middle of last year when there were 25 Baht/NZD. Tesco-Lotus and Friendship have both brought the price down to 90-95 Baht.

[Humphrey Bear]

many of them are considered luxury products, so higher taxes as well as a larger profit margin for the retailer. Another factor is that in crisis the importer can't afford large volume shipments and good prices for bulk buying from the UK, hence unchanged or even higher prices in thailand.

when in Thailand I rarely buy anything which is more expensive than in the UK, I just use thai substitutes or just go without them altogether.

unfortunatly i just cant go without marmite or heinze salad cream ,nothing like it here.

Can't help you with the Marmite, but you can always make your own salad cream - a thousand recipes on the web - and another web-site that shall remain anonymous has a very good recipe section.

[Digger]

Probably just reflects increased shipping costs - moving large quantities is done invariably by sea - so your probably seeing price increases based on huge increases in container costs due to the fuel cost spike a few months ago. having said that, dont expect anything to come down - Thailand seems to never reduce prices, when conditions change.

[LennyW]

Probably just reflects increased shipping costs - moving large quantities is done invariably by sea - so your probably seeing price increases based on huge increases in container costs due to the fuel cost spike a few months ago. having said that, dont expect anything to come down - Thailand seems to never reduce prices, when conditions change.

Got to disagree there Digger, diesel came down from around 42 Bt / litre to around 19 Bt / litre, always made a mental note that Thailand was much quicker to adjust the pice of fuel than the UK, !!

[thaimate]

Probably just reflects increased shipping costs - moving large quantities is done invariably by sea - so your probably seeing price increases based on huge increases in container costs due to the fuel cost spike a few months ago. having said that, dont expect anything to come down - Thailand seems to never reduce prices, when conditions change.

actually shipping costs have plumeted ,containers are being stored here in thailand by the thousands as they are not required and its cheaper to store them here.

[thaimate]

the salad cream made by heinz in Thailand is far to sweet ,only the imported one is any good ,however roza tomato ketchup is exactly the same as heinz at a fifth of the price.

Agree re sweet salad cream and Mayo.

But if I remember rightly Heinz tomato ketchup is about 17 Baht for a small bottle and Roza is 15 or 16 Baht, so hardly a fifth of the price.

i was quoting for the imported variety of heinz toato ketchup ,about 115 baht a bottle

[Digger]

Probably just reflects increased shipping costs - moving large quantities is done invariably by sea - so your probably seeing price increases based on huge increases in container costs due to the fuel cost spike a few months ago. having said that, dont expect anything to come down - Thailand seems to never reduce prices, when conditions change.

actually shipping costs have plumeted ,containers are being stored here in thailand by the thousands as they are not required and its cheaper to store them here.

Yes they have NOW, but the goods your seeing on shelves will have been shipped when cost per container was much higher - lead time for an imported product is probably 3 months on average - the costs are based on what was paid when they contracted the container, not the cost now. However as I say, I doubt you will see a reduction in price of such an imported commodity in the near future.

[Digger]

Probably just reflects increased shipping costs - moving large quantities is done invariably by sea - so your probably seeing price increases based on huge increases in container costs due to the fuel cost spike a few months ago. having said that, dont expect anything to come down - Thailand seems to never reduce prices, when conditions change.

Got to disagree there Digger, diesel came down from around 42 Bt / litre to around 19 Bt / litre, always made a mental note that Thailand was much quicker to adjust the pice of fuel than the UK, !!

Yes - your quite right on fuel however its a highly visible item - the same cannot be said for a squeezy import bottle of ketchup.

[easyride]

maybe ime not the brightest of economists but i thaught that when your currency went down by 20% exported goods became cheaper .not in Thailand it seems ,doing the shopping today nearly all imported goods from Britain and oz have gone up ,why?

Its very simple. When the Thais see that business has slowed and they are making less profit they increase their prices to compensate. The fact that this act may further reduce their sales dosn't cross their minds. After all the "stupid falang" will pay.

You've got the Thai financial ethos down to a T.

[mamanoodle]

I would just like to know who the 'stupid farang' are(if any) who pay 300baht+ for a smallish(compared to UK sizes) turnip or swede in Friendship, see many there(veggies, not stupid farang) that gradually become rubbery and inedible looking, prices ever reduced though?-no, so obviously must bump up prices elsewhere to offset unsold extortionately priced turnips and swedes!

[tropo]

I would just like to know who the 'stupid farang' are(if any) who pay 300baht+ for a smallish(compared to UK sizes) turnip or swede in Friendship, see many there(veggies, not stupid farang) that gradually become rubbery and inedible looking, prices ever reduced though?-no, so obviously must bump up prices elsewhere to offset unsold extortionately priced turnips and swedes!

They do put older items on sale.

Supermarket items cannot be "extortionately priced". Nobody's holding a gun to your head to force you to buy them. You sound bitter over turnips and swedes which you desire but cannot afford.

Edited March 14, 2009 by tropo

[londonthai]

same story with thai fruits in the UK supermatkets - they are very expensive and part of them end up on the skip.

grow your own turnips, if you really need them, or bring them from europe (as I do take rare thai food ingredients to the UK). Otherwise there are many locally grown, dirt cheap vegies.

as to theory, that price rise of imported foods is due to high fuel costs last year - I don't think is valid. Shipments from europe to thailand take only a week, I would think takes 2 weeks from leaving the warehouse in the UK to the supermarket shelf in bangkok.

[naawyjai]

many of them are considered luxury products, so higher taxes as well as a larger profit margin for the retailer. Another factor is that in crisis the importer can't afford large volume shipments and good prices for bulk buying from the UK, hence unchanged or even higher prices in thailand.

when in Thailand I rarely buy anything which is more expensive than in the UK, I just use thai substitutes or just go without them altogether.

I think import licences are awarded to companies who have the sole rights to bring in a certain imported brand. They are distributed to merchants in whatever quantity. We won't get a break on prices even if their profits have increased. That is not the way the Chinese do business,rapacious and greedy one might say. They are really not that smart though when it comes to business overall though whether they are wholesalers or retailers. The things they could do to increase business on the retail end is glaringly obvious but at the end of the day is it that they just don't care or are they a bit dense?

[tropo]

That is not the way the Chinese do business,rapacious and greedy one might say.

So other nationalities are not greedy or rapacious in business....only the Chinese?

I do some business with a Chinese company and they bend over backwards to strike a good deal. They really know how to do good business.

Perhaps you don't like the way some people conduct their businesses, but to dam_n the Chinese as rapacious and greedy as though its an exclusive Chinese trait is ridiculous.

Imported goods are a top-end market. I don't think they'll lose too much business if they don't adjust prices according to daily currency fluctuations.

[sheff_mick]

Probably just reflects increased shipping costs - moving large quantities is done invariably by sea - so your probably seeing price increases based on huge increases in container costs due to the fuel cost spike a few months ago. having said that, dont expect anything to come down - Thailand seems to never reduce prices, when conditions change.

Got to disagree there Digger, diesel came down from around 42 Bt / litre to around 19 Bt / litre, always made a mental note that Thailand was much quicker to adjust the pice of fuel than the UK, !!

Yes - your quite right on fuel however its a highly visible item - the same cannot be said for a squeezy import bottle of ketchup.

A genreral observation and not a personal attack.

Yes indeed the fuel has gone down significantly from it,s high, which in turn when it was, called for all the product increases ( not imported ), transporting goods, taxis, samlows ect. ect. by everyone effected by them.

Tesco from my experiences of late seem to be putting prices up continually as against reductions on most of their products W. T. Heck ****

WHY haven,t they reduced their costs accordingly.

??????

Thank you

Edited March 15, 2009 by sheff_mick

[soundman]

Tesco from my experiences of late seem to be putting prices up continually as against reductions on most of their products W. T. Heck ****

WHY haven,t they reduced their costs accordingly.

??????

Thank you

Why should they, if they are happy with the sales they are achieving?

It's not like they have a moral obligation to anybody, except maybe holders of their stock....

[grahamhc]

unfortunatly i just cant go without marmite or heinze salad cream ,nothing like it here.

A picture to make you happy

A friend brought me out a half kilo plastic catering tub. Never managed to see one in the UK shops, before or since. Being plastic was good, as Marmite / Bovril jars weigh more that the contents.

On price rises:

Maybe it is something in the Thai Phychi that anything "Paid by Farang" must go up every year no matter what (Ask the girls in Pattaya ). Here is an example of Thai Logic.

I asked the Thai Doctor at Bangkok Hospital Pattaya why her fees were up from 400 Baht to 500 Baht. She replied, in all sincerity, "But it is January" meaning everything MUST increase in January.

[Humphrey Bear]

many of them are considered luxury products, so higher taxes as well as a larger profit margin for the retailer. Another factor is that in crisis the importer can't afford large volume shipments and good prices for bulk buying from the UK, hence unchanged or even higher prices in thailand.

when in Thailand I rarely buy anything which is more expensive than in the UK, I just use thai substitutes or just go without them altogether.

I think import licences are awarded to companies who have the sole rights to bring in a certain imported brand. They are distributed to merchants in whatever quantity. We won't get a break on prices even if their profits have increased. That is not the way the Chinese do business,rapacious and greedy one might say. They are really not that smart though when it comes to business overall though whether they are wholesalers or retailers. The things they could do to increase business on the retail end is glaringly obvious but at the end of the day is it that they just don't care or are they a bit dense?

The most competitive markets in the world are Singapore and Hong Komg.

I have seen Chinese merchants in both places, quite often.

[rixalex]

Tesco from my experiences of late seem to be putting prices up continually as against reductions on most of their products W. T. Heck ****

WHY haven,t they reduced their costs accordingly.

??????

Thank you

Why should they, if they are happy with the sales they are achieving?

It's not like they have a moral obligation to anybody, except maybe holders of their stock....

Spoken like a true shop-keeper.

[tropo]

Tesco from my experiences of late seem to be putting prices up continually as against reductions on most of their products W. T. Heck ****

WHY haven,t they reduced their costs accordingly.

??????

Thank you

Why should they, if they are happy with the sales they are achieving?

It's not like they have a moral obligation to anybody, except maybe holders of their stock....

Spoken like a true shop-keeper.

Well put Soundman.

Imported items are a luxury, so people buy them out of desire, not need.

The only gripe people on here seem to have is that the prices are not going down. I doubt it would be sound business practice to drop prices just for the sake of keeping prices in line with current exchange rates. It's more likely that the importers will drop lines which are not moving than lower prices.

When I shop for imported items I don't keep a currency exchange rate history for various countries on me to calculate if the item is overpriced according to recent currency fluctuations in the various countries of product origin. I check the price and decide if my desire for the imported item is in line with the price of the item.

[Beachbunny]

many of them are considered luxury products, so higher taxes as well as a larger profit margin for the retailer. Another factor is that in crisis the importer can't afford large volume shipments and good prices for bulk buying from the UK, hence unchanged or even higher prices in thailand.

when in Thailand I rarely buy anything which is more expensive than in the UK, I just use thai substitutes or just go without them altogether.

unfortunatly i just cant go without marmite or heinze salad cream ,nothing like it here.

All Heinze products are manufactured in Thailand. They are not imported.

Barry

Hey Barry, no "e" on the end of Heinz. All Heinz salad dressings in thailand are sweet, yuck!