Thai industrialists predict grim economic outlook

[webfact]

Thai industrialists predict grim economic outlook
By English News



BANGKOK, Oct 10 – Thailand’s economic index declined from -2 in August to -7 in September, reflecting the country’s sharp economic downturn, according to a survey jointly conducted by Dhurakij Pundit University and Krungthep Turakij newspaper.

The survey of 403 business executives between September 23 and October 2 predicted the situation to worsen this month at -8.

Five major factors which posed negative impacts to the economy in September and October were the general economic situation in the country, declining market demand, global economy, cost of raw materials and currency exchange volatility.

The business indices involve four aspects – the revenue index, the cost index, the liquidity index and the employment index.

Revenue index was -10 and could decline to -11 this month due to economic slowdown and higher cost of living which has a negative impact on the people’s purchasing power.

On the contrary, cost index rose to 54 points in September and it was predicted to decline to 47 points this month.

The decreasing revenue which contrasted to higher business costs resulted in a decline of the liquidity index to -3 in September and predictably -5 this month.

Employment index slipped for the first time to -3 points in September but it should slightly pick up to -1 this month – a sign of an improved employment trend in line with the economy and operation performance.

The survey concluded that the business challenges encountered by the private sector were directly due to the Thai economic slowdown, successive decline in purchasing power, global economic trend and liquidity problem.

Some industrialists have managed to find financial sources and adjust their management systems by such measures as a shortened debt collection period, speedy sales of products and increased manufacturing efficiency.

Business executives said they had to adjust their businesses to cope with the current economic situation but such an action was merely short term.

They expressed concern that unless the Thai and global economies improve in the next 3-6 months, the problem of liquidity will become a significant factor affecting the operating of their businesses as in the case in the first two quarters of this year. (MCOT online news)


-- TNA 2013-10-10

[trogers]

A breakdown of survey results based on industrial sectors would have been helpful.

[NongKhaiKid]

This is a hard one to understand as just who do we believe ?

On one hand we have industrialists who should know what's happening in their particular fields but a cynic will say are gilding the lily to get tax breaks and maybe even subsidies.

Against this we have government that is open and transparent, ignore the occasional white lie, and who would never mislead the public as in no flooding, no billions being wasted on rice pledging and planned mega-projects will save the nation to name but a few instances. All is therefore well otherwise tourists wouldn't be flocking here.

[JoeThePoster]

Hold that Bentley order, Jeeves.

[RickeyParkany]

Some Brit on this list was griping for pointing out that Thailand was in recession, last month: UPDATE!!! ;-} rap.

[nong38]

This good impact the exchange rates to our advantage, I shall not complain about that.

[jaltsc]

"The survey of 403 business executives between September 23 and October 2 predicted the situation to worsen this month at -8."

Then they should all be arrested for insulting the government and calling the PM and her economic advisors liars, since they seem to have painted a rosy economic picture for the future.

[h90]

"The survey of 403 business executives between September 23 and October 2 predicted the situation to worsen this month at -8."

Then they should all be arrested for insulting the government and calling the PM and her economic advisors liars, since they seem to have painted a rosy economic picture for the future.

As well some white lies are OK to keep the confidence.

[Suradit69]

"The survey of 403 business executives between September 23 and October 2 predicted the situation to worsen this month at -8."

Then they should all be arrested for insulting the government and calling the PM and her economic advisors liars, since they seem to have painted a rosy economic picture for the future.

"...painted a rosy economic picture for the future."

Hard to believe anyone would think the public that gullible. They must have a pretty low opinion of the intelligence of the masses.

Brown Predicts Quicker U.K. Economic Growth to Curb Deficit

By Gonzalo Vina - March 21, 2007 08:40 EDT

March 21 (Bloomberg) -- Chancellor of the Exchequer Gordon Brown, preparing to take over when Prime Minister Tony Blair retires, predicted the U.K. economy will grow quicker than most economists expect this year and next, helping the Treasury curb borrowing.

Bush Administration Forecasts Solid Growth, Lower Unemployment

Published June 08, 2007

Associated Press

WASHINGTON – The White House, in a slightly more optimistic forecast, predicted Thursday the economy will log solid growth and that the nation's unemployment rate will dip lower this year.

Edited October 10, 2013 by Suradit69

[BlackJack]

I dunno

but something tells me if you raise the min wage to 300 baht a day

it has to have some kind of knock on effect

ie for every action there is an equal and opposite reaction

[laocowboy2]

You forgot to add in a (probably) badly designed survey and non-neutral wording of the questions.

Businessmen are rather like taxi drivers - they always moan about how bad things are cexcept (a) when visiting a bank to get a loan or ( tring to sell either more shares or the whole company.

Governments (all of them) lie - simple as that.

This is a hard one to understand as just who do we believe ?

On one hand we have industrialists who should know what's happening in their particular fields but a cynic will say are gilding the lily to get tax breaks and maybe even subsidies.

Against this we have government that is open and transparent, ignore the occasional white lie, and who would never mislead the public as in no flooding, no billions being wasted on rice pledging and planned mega-projects will save the nation to name but a few instances. All is therefore well otherwise tourists wouldn't be flocking here.

[draftvader]

Some Brit on this list was griping for pointing out that Thailand was in recession, last month: UPDATE!!! ;-} rap.

It wasn't me and I'm a Brit. What is it with picking on nationalities rather than the individual. You could always use the very applicable word "somebody".

[cabanlit]

More evidence of things coming home to roost for Thailand.

Not at all saying it's rosy elsewhere, but economies in Europe have had some excellent forecasts of late. So, not much ground for them to blame global economy anymore.

GFC has certainly re-focused business eyes in Europe for the better.

[khunken]

It's not rocket science that inflation has increased and exports are in trouble. Idiots like Kittirat think that a weaker Baht is the solution when that just leads to higher import cost of raw materials & fuel. To get Thia rice in any way competitive would need the Baht to collapse.

Ah well, HSR will solve all the problems.

[Local Drunk]

Not only that... but now they are going to borrow trillions from banks. I'd say grim indeed.

[Local Drunk]

It's not rocket science that inflation has increased and exports are in trouble. Idiots like Kittirat think that a weaker Baht is the solution when that just leads to higher import cost of raw materials & fuel. To get Thia rice in any way competitive would need the Baht to collapse.

Ah well, HSR will solve all the problems.

Hey they passed a law for a minimum wage, it's good for for workers at the present and it gets politicians elected, but it will only hurt exports and the workers in the end. What the market will bear is what you get in the end. Sadly, many Thais are going to get it in the end. It's cheaper for many manufactures to reboot and move to another country than to continue doing business in Thailand. Even Thaksin would agree with this.

[hellodolly]

I dunno

but something tells me if you raise the min wage to 300 baht a day

it has to have some kind of knock on effect

ie for every action there is an equal and opposite reaction

That is a little to complimented for this Government.

[Thai at Heart]

It's not rocket science that inflation has increased and exports are in trouble. Idiots like Kittirat think that a weaker Baht is the solution when that just leads to higher import cost of raw materials & fuel. To get Thia rice in any way competitive would need the Baht to collapse.

Ah well, HSR will solve all the problems.

They need productivity not a cheaper currency.

[waza]

Pretty easy prediction to make

[scorecard]

It's not rocket science that inflation has increased and exports are in trouble. Idiots like Kittirat think that a weaker Baht is the solution when that just leads to higher import cost of raw materials & fuel. To get Thia rice in any way competitive would need the Baht to collapse.

Ah well, HSR will solve all the problems.

Hey they passed a law for a minimum wage, it's good for for workers at the present and it gets politicians elected, but it will only hurt exports and the workers in the end. What the market will bear is what you get in the end. Sadly, many Thais are going to get it in the end. It's cheaper for many manufactures to reboot and move to another country than to continue doing business in Thailand. Even Thaksin would agree with this.

And still not one word spoken / published / debated whatever from the pt clan in terms of long term policies that would get a large percentage of Thais into a better quality of life through their own productivity. Nothing!

[waza]

It's not rocket science that inflation has increased and exports are in trouble. Idiots like Kittirat think that a weaker Baht is the solution when that just leads to higher import cost of raw materials & fuel. To get Thia rice in any way competitive would need the Baht to collapse.

Ah well, HSR will solve all the problems.

Hey they passed a law for a minimum wage, it's good for for workers at the present and it gets politicians elected, but it will only hurt exports and the workers in the end. What the market will bear is what you get in the end. Sadly, many Thais are going to get it in the end. It's cheaper for many manufactures to reboot and move to another country than to continue doing business in Thailand. Even Thaksin would agree with this.

And still not one word spoken / published / debated whatever from the pt clan in terms of long term policies that would get a large percentage of Thais into a better quality of life through their own productivity. Nothing!

Productivity rises dont result in better quality of life for employees, just increased profits for employers. The 24 hour production cycle requires increased resourses, increase waste and is an unsubstainable business model. Substainable living is the only way to enjoy a resonable quality of life, promote social inclusion and cohesion and save resourses for our children. Rice and tourism have always been the finacial rocks of the Thai economy but now greed is jeopardising them.