weak thai baht please, NO WEAKER

[watso63]

65,000 × 2.7 ÷ 100 = 66,755 an increase of 1,755/month. Anyway, it is just an exercise to show that getting the minimum pension requirement for a retirement visa based on a pension paid in the UK means it's quids in even if inflation is high in Thailand. Doesn't reflect my personal circumstances even though I do have a retirement visa for Thailand. I am just trying to point out that even at the MINIMUM amount the benefits of a weak baht is a good thing. Living in Thailand is not the same as visiting for 2 weeks and there is nothing I or anyone else can do about Thai government policy, big business or the markets influencing the currency. Go with the flow and enjoy the ride while you can...still feeling good after watching Carabao in my local town tonight! Feeling drunk? a little, just in case someone needs to presume :-)

Edited December 22, 2013 by watso63

[watso63]

Gazzpa, I never get bitter or jealous. Just reading some posts made by certain people urged a response. If someone wishes to change their life, for whatever reason, it is their choice. Why someone has to belittle another person for having a Thai "partner"...house, car, gold or whatever is nothing but spiteful. Sure, many a fool has been had, but many more are happy with their lot. He without sin...cast the first stone, but certain people just like their little games and will carry on playing no matter what. Oh, by the way I am not suggesting it is you...just in case.

[malcoml]

5 years ago, 3 large chang classic with a bucket of ice was 129bht.

Today it's 139bht ........ not much inflation there.

Diesel 30bht, same now.

Gas cylinder 300bht, 320bht last week.

I'm not seeing this inflation, where are you guys shopping?

Diesel and (I believe) domestic gas are subsidized by the government hence not very good examples.

In 2009 I would buy small milks for 18.5 baht whereas now they are 27 baht.

Lady Soi 6 500 baht now 1000

[amerasian]

The weaker THB means more money in volume from every country. Into Thailand through every specter, export, tourism, foreign investment, more money gets around to the working people not just the ultra rich Bankok Elite.

For example the family who could afford maybe a two week vacation is more likely to spend more money on a three week vacation. That thai furniture is now affordable and competitive in overseas markets. And every agricultural product in Thailand competes with Cambodia,Myanmar Laos, now all those products are more competitive in the foreign market and will sell better. Everything made in Thailand becomes a better competitor on the foreign Market.

For example Thai Silp a 70 yo silk exporter with over 2000 employees was forced to close because it was no longer competitive on the open market, this happened with hundreds of very well known and quality Thai companies....I think 40 THB to the Dollar is a good equitable exchange rate on the open market.

At 30 THB to the dollar the only people making money are people worth millions of THB doing day trading on the stock market. That's a fact.....

[David48]

In 2009 I would buy small milks for 18.5 baht whereas now they are 27 baht.

Lady Soi 6 500 baht now 1000

Resist ...

Resist ...

Bah, Humbug ... resistance is futile ...

In 2009 I would buy small milks for Bt 500 now Bt 1,000 ...

.

[David48]

The weaker THB means more money in volume from every country. Into Thailand through every specter, export, tourism, foreign investment, more money gets around to the working people not just the ultra rich Bankok Elite.

For example the family who could afford maybe a two week vacation is more likely to spend more money on a three week vacation. That thai furniture is now affordable and competitive in overseas markets. And every agricultural product in Thailand competes with Cambodia,Myanmar Laos, now all those products are more competitive in the foreign market and will sell better. Everything made in Thailand becomes a better competitor on the foreign Market.

For example Thai Silp a 70 yo silk exporter with over 2000 employees was forced to close because it was no longer competitive on the open market, this happened with hundreds of very well known and quality Thai companies....I think 40 THB to the Dollar is a good equitable exchange rate on the open market.

At 30 THB to the dollar the only people making money are people worth millions of THB doing day trading on the stock market. That's a fact.....

This one ... much easier to resist ... that's a Fact !

Khun Naam ... wish to let rip?

.

[Thai at Heart]

I don't understand how people are better off.The baht loses value so imports cost more, and that includes the raw materials or parts for manufacturing. Look around and everything seems to cost more in the stores. Even the street sellers surprised me with smaller portions, less meat or fish or lower quality in the dish.

The Thais get a raise in the minimum wage but things begin to cost more to pay for it. Go to the market and buy a week's worth of groceries and ask yourself it they cost more.

Maybe I am dreaming, but I think prices are rising as fast as the baht is falling. Maybe someone who already has everything he needs such as a condo and car or scooter and furnishings, etc. will see some temporary relief until he needs to replace it.

Yes, I can buy more baht with dollars, but will those baht buy more in the long term when they are worth less?

Just asking...

Indeed, the policy of devaluing to enhance wealth creation is a little lost on me.

Just look how well Thailand did out of 1997 or the uk did out of the ERM. Things seem cheaper for a while but reality is productivity gains are what drive wealth creation not devaluing the currency.

[Thai at Heart]

The weaker THB means more money in volume from every country. Into Thailand through every specter, export, tourism, foreign investment, more money gets around to the working people not just the ultra rich Bankok Elite.

For example the family who could afford maybe a two week vacation is more likely to spend more money on a three week vacation. That thai furniture is now affordable and competitive in overseas markets. And every agricultural product in Thailand competes with Cambodia,Myanmar Laos, now all those products are more competitive in the foreign market and will sell better. Everything made in Thailand becomes a better competitor on the foreign Market.

For example Thai Silp a 70 yo silk exporter with over 2000 employees was forced to close because it was no longer competitive on the open market, this happened with hundreds of very well known and quality Thai companies....I think 40 THB to the Dollar is a good equitable exchange rate on the open market.

At 30 THB to the dollar the only people making money are people worth millions of THB doing day trading on the stock market. That's a fact.....

How much more competitive will these exports become?

The local components get cheaper in baht but the imported component gets more expensive in baht.

Give with one and take with the other.

[Naam]

The weaker THB means more money in volume from every country. Into Thailand through every specter, export, tourism, foreign investment, more money gets around to the working people not just the ultra rich Bankok Elite.

For example the family who could afford maybe a two week vacation is more likely to spend more money on a three week vacation. That thai furniture is now affordable and competitive in overseas markets. And every agricultural product in Thailand competes with Cambodia,Myanmar Laos, now all those products are more competitive in the foreign market and will sell better. Everything made in Thailand becomes a better competitor on the foreign Market.

For example Thai Silp a 70 yo silk exporter with over 2000 employees was forced to close because it was no longer competitive on the open market, this happened with hundreds of very well known and quality Thai companies....I think 40 THB to the Dollar is a good equitable exchange rate on the open market.

At 30 THB to the dollar the only people making money are people worth millions of THB doing day trading on the stock market. That's a fact.....

This one ... much easier to resist ... that's a Fact !

Khun Naam ... wish to let rip?

.

not really David. i am sick and tired commenting BS.

[wilcopops]

The weaker THB means more money in volume from every country. Into Thailand through every specter, export, tourism, foreign investment, more money gets around to the working people not just the ultra rich Bankok Elite.

For example the family who could afford maybe a two week vacation is more likely to spend more money on a three week vacation. That thai furniture is now affordable and competitive in overseas markets. And every agricultural product in Thailand competes with Cambodia,Myanmar Laos, now all those products are more competitive in the foreign market and will sell better. Everything made in Thailand becomes a better competitor on the foreign Market.

For example Thai Silp a 70 yo silk exporter with over 2000 employees was forced to close because it was no longer competitive on the open market, this happened with hundreds of very well known and quality Thai companies....I think 40 THB to the Dollar is a good equitable exchange rate on the open market.

At 30 THB to the dollar the only people making money are people worth millions of THB doing day trading on the stock market. That's a fact.....

How much more competitive will these exports become?

The local components get cheaper in baht but the imported component gets more expensive in baht.

Give with one and take with the other.

This process is of course not evenly balanced.......Thailand is reliant of exports for its income so a cheap baht benefits the larger sector. Thailand still has relatively cheap labour, this is an internal resource and coupled with a largely export economy, it reinforces the benefits of a cheap baht.

A company I worked for employing 3500 souls nearly went under a few years back with the Western crisis and strengthening baht.....their product was 100% export (it put about 30% on the cost of their products). Happy to say that with some severe "streamlining" they are now back in profit, but they will always welcome any reduction in the value of the baht.

the motor industry is the 9th largest in the world and exists largely on exports - rather than importing parts for assembly,t hey are increasingly manufactured here too,, again a reason for a cheap baht.

At present the baht has lost about 5% of it's value....the political situation is unlikely to help it rise....so the overall international perception is of a country that over the next few months couldn't organised a piss-up in the brewery, which is quite a different kettle of fish.

Edited December 23, 2013 by wilcopops

[i claudius]

I feel so angry at people ... srry

This isn't your country and never will be, why would you care anyway.

Come the revolution (very soon now) they will throw you out without a second thought.

And the girl you sleep with, all she cares about is the money you give her.

I feel sorry for guys like you ,you must live such a sad life,worried you are going to be thrown out of a country and nobody in your life except women who care nothing for you and have always to pay them to sleep with you merry xmas ,

But no worries from the chucking out.

First because, I will be one of the last told to leave.

Second because, I have plenty of money, and there are plenty more countries for me to try.

What are you gonna do?

Oh, and don't tell me yours is different, not when you can't even talk her language.

Wow You really are a sad individual , No i won't tell you mine is different ,she is just a normal woman ,we have been married 21 years and have a son in university here ,we do and always have lived a normal married life both here and in the UK and i do understand most Thai when it is spoken by my familly ,i just have problems understanding strangers accents.

it is obvious from your posts that you have little regard for Thai people especially women ,so i am not surprised that they have little for you ,still if all you know is how to buy a womans favours with your loads of money,what more can you expect. as for you havingplenty more countries for you to go to ,why don't you ? as for me i have a house in Britain if ever we want to go back.

[Naam]

65,000 × 2.7 ÷ 100 = 66,755 an increase of 1,755/month. Anyway, it is just an exercise to show that getting the minimum pension requirement for a retirement visa based on a pension paid in the UK means it's quids in even if inflation is high in Thailand. Doesn't reflect my personal circumstances even though I do have a retirement visa for Thailand. I am just trying to point out that even at the MINIMUM amount the benefits of a weak baht is a good thing. Living in Thailand is not the same as visiting for 2 weeks and there is nothing I or anyone else can do about Thai government policy, big business or the markets influencing the currency. Go with the flow and enjoy the ride while you can...still feeling good after watching Carabao in my local town tonight! Feeling drunk? a little, just in case someone needs to presume :-)

66,755 = correct

667,550 = incorrect

One last thing my pension is linked to the UK RPI, so April 2014 I get a 2.7% increase 65000 + 2.7% = 667,500.

[watso63]

Yeah, got that...fingers too big for txtg on my "smart" thingy 555

Sent from my GT-N5100 using Thaivisa Connect Thailand mobile app

[HUAHIN62]

The economy is about balance. At present the Baht is down due to the protest and US tapering. This will increase Thai exports which over time will decrease the value of the Baht (remember earlier in the year at B 28 to the $). In the end currencies will fluctuate according to economic and political conditions. The poor doesn't gain from a lower or stronger Baht, they are locked into a survival mode. These people have very little to lose which makes Sutheps actions the more stupid. If the poor's voting rights are taken away they will go to war it's a matter of self respect. The middle class and elites have plenty to lose but they are out of touch with the poor and think they can step on them without any negative reaction. By the time the middle class and elite realise they have gone too far it maybe too late and many of them if not most will flee the country leaving the mess they created behind. The poor will kill each other for causes that is not to their advantage but to those with money.

[GAZZPA]

Gazzpa, I never get bitter or jealous. Just reading some posts made by certain people urged a response. If someone wishes to change their life, for whatever reason, it is their choice. Why someone has to belittle another person for having a Thai "partner"...house, car, gold or whatever is nothing but spiteful. Sure, many a fool has been had, but many more are happy with their lot. He without sin...cast the first stone, but certain people just like their little games and will carry on playing no matter what. Oh, by the way I am not suggesting it is you...just in case.

Ok, understand. There are many people who like to belittle others for having a Thai partner I agree and it's stupid.

Nuff said,, Merry Christmas to you and your partner..

[worgeordie]

Inflation has been on a tear in Thailand these last 3 or 4 years with an extremely strong baht.

5 years ago, 3 large chang classic with a bucket of ice was 129bht.

Today it's 139bht ........ not much inflation there.

Diesel 30bht, same now.

Gas cylinder 300bht, 320bht last week.

I'm not seeing this inflation, where are you guys shopping?

Mostly on cost of food,prices in last year or two have risen a lot,

not all of us base cost of inflation on price of beer !

regards Worgeordie

[Thai at Heart]

The weaker THB means more money in volume from every country. Into Thailand through every specter, export, tourism, foreign investment, more money gets around to the working people not just the ultra rich Bankok Elite.

For example the family who could afford maybe a two week vacation is more likely to spend more money on a three week vacation. That thai furniture is now affordable and competitive in overseas markets. And every agricultural product in Thailand competes with Cambodia,Myanmar Laos, now all those products are more competitive in the foreign market and will sell better. Everything made in Thailand becomes a better competitor on the foreign Market.

For example Thai Silp a 70 yo silk exporter with over 2000 employees was forced to close because it was no longer competitive on the open market, this happened with hundreds of very well known and quality Thai companies....I think 40 THB to the Dollar is a good equitable exchange rate on the open market.

At 30 THB to the dollar the only people making money are people worth millions of THB doing day trading on the stock market. That's a fact.....

How much more competitive will these exports become?

The local components get cheaper in baht but the imported component gets more expensive in baht.

Give with one and take with the other.

This process is of course not evenly balanced.......Thailand is reliant of exports for its income so a cheap baht benefits the larger sector. Thailand still has relatively cheap labour, this is an internal resource and coupled with a largely export economy, it reinforces the benefits of a cheap baht.

A company I worked for employing 3500 souls nearly went under a few years back with the Western crisis and strengthening baht.....their product was 100% export (it put about 30% on the cost of their products). Happy to say that with some severe "streamlining" they are now back in profit, but they will always welcome any reduction in the value of the baht.

the motor industry is the 9th largest in the world and exists largely on exports - rather than importing parts for assembly,t hey are increasingly manufactured here too,, again a reason for a cheap baht.

At present the baht has lost about 5% of it's value....the political situation is unlikely to help it rise....so the overall international perception is of a country that over the next few months couldn't organised a piss-up in the brewery, which is quite a different kettle of fish.

Of course. But of course fuel which is imported for example has an effect on both the exported price and the consumer because he can be an end consumer.

I would hope that the bank of Thailand knows the inflationary effects of 1 baht change in the value of the baht to USD.

It's not entirely true to say the larger sector benefits. GDP is made up of c+I+g(x-m). Exports are just one of 5 parts.

I read up quite a lot about the car industry and whilst the pick ups have a lot of local components cars much less so and also as an example most of the steel is imported. At the end that comparison is also skewed because the transfer pricing mechanism hides a myriad of sins.

The ex factory price of a Toyota from Thailand barely registers a blip in the dealership.

Exports may get a boost but who benefits if all the employees in the export sector have to pay more for fuel to get to work for example? Productivity improvements are needed to get the country moving more than devaluing the currency, as your explanation of the company you quoted.

Edited December 23, 2013 by Thai at Heart

[paymaster]

I'm 20000 baht better off every month from when it was 43 baht to the pound.. So I hope it sinks and sinks..

Oh dear! Is that "I was" or "I'm"?

[FiftyTwo]

Inflation has been on a tear in Thailand these last 3 or 4 years with an extremely strong baht.

5 years ago, 3 large chang classic with a bucket of ice was 129bht.

Today it's 139bht ........ not much inflation there.

Diesel 30bht, same now.

Gas cylinder 300bht, 320bht last week.

I'm not seeing this inflation, where are you guys shopping?

Mostly on cost of food,prices in last year or two have risen a lot,

not all of us base cost of inflation on price of beer !

regards Worgeordie

Food costs are a small percentage of my monthly spend (I don't think that is unusual for a foreigner), about 10%.

If they doubled, which they haven't, it would only make a very small difference to my total monthly outlay.

But, as I previously explained, my pension is index linked +, so in the past 5 years I am quids in.

understand?

Edited December 23, 2013 by FiftyTwo

[SailingHome]

The average citizens in any given country do not care about exchange rates. They only see the current cost of goods and services where they live in relation to their local income.

Sent from my MyPhone A919 Duo using Thaivisa Connect Thailand mobile app

[Noi657]

The weaker the Thai Baht, the more Foreign Tourists will come here and spend money to keep Thai Nationals Employed.

Plus the weaker Thai baht means lots more exports again keeping workers employed.

The weaker Thai baht encourages expats to live in Thailand.

And so it is that a weaker Pound encourages Romanians to live in England, does that still sound like a great idea!

[Noi657]

No, no, no.... That's the free housing, benefits, free NHS, and the money to be made from pick pockets and other scams coming our way!

[TommyUK1960]

Thai government want weaker Baht. It will weaken but the problem is all the other currencies are in a nose dive at the same time. Not sure where this is going to end up.

[MrWorldwide]

The average citizens in any given country do not care about exchange rates. They only see the current cost of goods and services where they live in relation to their local income. Sent from my MyPhone A919 Duo using Thaivisa Connect Thailand mobile app

True - it really only hits you if you want to buy imported goodies like car parts or audio gear. Back when the Pacific Peso was down around 65 cents to the (very strong) USD, we just accepted that everything from airfares to books cost us more than the rest of the world - now that Australians have access to much more competitive prices across a range of industries, we have our retailers and manufacturers bleating that they can no longer compete. They want a return to the days of the 65 cent dollar, seemingly without any acceptance of the fact that today's greenback is just a shadow of its former self. Interesting times ahead.

http://www.politico.com/story/2012/12/fiscal-cliff-2014-budget-already-delayed-85145.html

[chiang mai]

There's several types of inflation, factory gate, wage, asset etc plus there's several modes for it, cost push, imported inflation, temporary factors and so on - at this time we're considering imported inflation as a result of currency depreciation. But historically that's the most damaging kind since it ignites other forms of inflation also, it provides an excuse for factory gate push inflation as the cost of component/materials increase and it leads to increased asset values (housing for one) plus wage inflation as general inflation takes hold. The end result of all of that is that virtually every segment of society gets hurt by inflation, regardless of what they might buy, especially when its origins are in the value of the home currency.

[blabth]

The exchange rates do only have an indirect impact to the consumer as imported product and raw materials are becoming more expensive. Short ups and downs are normally harmless as that is linked to foreign currency trades. Long term lowering the baht value will only make the tourist happy and the expatriates which get their money in $£€. As Thailand has little resources on raw material and most of the products need the items from overseas an increase of export due to lower exchange rates will be only short term. The inflation rate will increase (as it has a lot in the the past) therefore salaries will increase etc.

the control of the exchange rate is not in the hand of the Thais but with the present political situation and uncertainty the chances of a lower Baht value is eminent.

[chiang mai]

A related thread that talks about the price of diesel being increased by 25% thus loosing its subsidy, if when that happens the price of everything will increase.

http://www.thaivisa.com/forum/topic/691433-diesel-prices-set-to-rise/#entry7198401

[SailingHome]

A related thread that talks about the price of diesel being increased by 25% thus loosing its subsidy, if when that happens the price of everything will increase.

http://www.thaivisa.com/forum/topic/691433-diesel-prices-set-to-rise/#entry7198401

Yup Absolutely everything is dependent on energy. If energy were free worldwide, everything would be, basically, free. Ponder that a while.

[imjmn]

A weaker baht doesn't really affect the local as they are being paid in baht and buying in baht. I had a friend back in 1997/98 when the financial problem hit Thailand say it didn't really affect her as she was paid in baht and bought in baht. It would have made a difference if the money was to be sent out of the country and converted to a different currency.

Those in the import/export business had problems back in 97/98 and retail goods got priced in US$ for a period of time in some retail shops in Phuket.

For an Expat living in Thailand the weaker baht means that you get more baht for each time you use the ATM or transfer money into the country. For each 1 baht os movement against the US dollar I get 1,000 extra bhat per $1,000 that I bring in.

MJ

[chiang mai]

A weaker baht does affect the locals since the cost of imported goods is higher plus it means higher inflation.ultimately they will pay more as a result.