Fresh produce prices skyrocket, inflation reaches new high

[Thai at Heart]

I had a chat with a Thai just recently and we came to the conclusion that 100 baht 12 years back was pretty much similar to 1000 baht now.

Biggest problem might be that people don't earn more money, but all has gotten much more expensive.

That's just not true, even if this Thai or you "feel" this way.

The inflation rate in Thailand is 1-5% per year, sometimes a bit more, sometimes less.

http://www.indexmundi.com/g/g.aspx?c=th&v=71

In any case, over 12 years prices might have gone up 40-50%, not 1,000%.

Of course if you look at one specific item, it might have gone up more, but inflation is measured for what they call "The basket of goods".

Well compound 3% a year for 10 years and see where it goes.

The system in Thailand isn't exact anyway

So much business is cash and off the books. How they can aggregate the price of vegetables is beyond me. Gas and fuel is probably the biggest change.

All those who wanted a weaker baht. Well here it is with higher fuel prices that feed into EVERYTHING.

I thought fuel was cheaper now, as before remember it was 150+ dollars a barrel.

Airlines complain because of the same thing now, notice they never deleted the extra fuel charges when fuel lowered in price, some even side kicked the surcharge and put it down to extra security charge--BS. this goes for many transport sections--they used it as an excuse to hype up the price-- another thing before the massive rise in fuel they had stocks at the very cheap price, but immediately upped the price because of the oil crises. Petrol prices are not too great to have airlines say they are suffering BECAUSE of oil prices.

Most problems are bad management- profits going elsewhere instead of plowing it back into new stock etc.

One year ago the USD was 28 baht. Now it 33.

There is 15% right there. Thailand has to import all of it. I don't know the ratio in Thailand but a 1% increase in fuel cost will have a given percent increase in prices.

15% is a lot. Price in USD has been around 100usd a barrel for a while. The minimum wage had an effect but for Thailand with poor logistics by road, the price of fuel is of prime importance. Electricity, boilers, logistics all need it.

[ginjag]

I thought fuel was cheaper now, as before remember it was 150+ dollars a barrel.

Airlines complain because of the same thing now, notice they never deleted the extra fuel charges when fuel lowered in price, some even side kicked the surcharge and put it down to extra security charge--BS. this goes for many transport sections--they used it as an excuse to hype up the price-- another thing before the massive rise in fuel they had stocks at the very cheap price, but immediately upped the price because of the oil crises. Petrol prices are not too great to have airlines say they are suffering BECAUSE of oil prices.

Most problems are bad management- profits going elsewhere instead of plowing it back into new stock etc.

One year ago the USD was 28 baht. Now it 33.

There is 15% right there. Thailand has to import all of it. I don't know the ratio in Thailand but a 1% increase in fuel cost will have a given percent increase in prices.

15% is a lot. Price in USD has been around 100usd a barrel for a while. The minimum wage had an effect but for Thailand with poor logistics by road, the price of fuel is of prime importance. Electricity, boilers, logistics all need it.

Thank you 3 times

3 years to improve rail NO, improve road traffic NO, improve water services NO, improve forward planning, non existent, improve education No, finally improve department for price control and trading standards non existent-------governance extremely poor with a further hype on corruption.

Suppose all these negative government responses are a contributory factor.

[Thai at Heart]

I thought fuel was cheaper now, as before remember it was 150+ dollars a barrel.

Airlines complain because of the same thing now, notice they never deleted the extra fuel charges when fuel lowered in price, some even side kicked the surcharge and put it down to extra security charge--BS. this goes for many transport sections--they used it as an excuse to hype up the price-- another thing before the massive rise in fuel they had stocks at the very cheap price, but immediately upped the price because of the oil crises. Petrol prices are not too great to have airlines say they are suffering BECAUSE of oil prices.

Most problems are bad management- profits going elsewhere instead of plowing it back into new stock etc.

One year ago the USD was 28 baht. Now it 33.

There is 15% right there. Thailand has to import all of it. I don't know the ratio in Thailand but a 1% increase in fuel cost will have a given percent increase in prices.

15% is a lot. Price in USD has been around 100usd a barrel for a while. The minimum wage had an effect but for Thailand with poor logistics by road, the price of fuel is of prime importance. Electricity, boilers, logistics all need it.

Thank you 3 times

3 years to improve rail NO, improve road traffic NO, improve water services NO, improve forward planning, non existent, improve education No, finally improve department for price control and trading standards non existent-------governance extremely poor with a further hype on corruption.

Suppose all these negative government responses are a contributory factor.

Huh? They just proposed an enormous logistics project that had been pilloried ever since.

Everyone on here was crying for a weaker currency,the exporters were crying for a weaker currency. Did it change anything?,,did exports jump?

Nope.

Why? Because the cost of inputs went up. And there is now inflation. The govt isn't the best, but they gave the exporters what they wanted, and ever since, they have missed their export targets by miles.

Innovation and efficiency is what's needed. Not a cheaper currency.

[Robby nz]

Those who buy their Veges at Tops Big C etc need to realize they are paying for the air con, all the staff, coat of big buildings on prime land, the warehouses, middle men and all the other bits that make up these organisations.

Sure they buy in bulk and sometimes can buy for lower prices but the prices will still be higher because of the need for profits and taxes.

Compare that to the local fresh markets where in most cases the produce comes straight from the farm.

This makes the local grown produce fresher and usually cheaper for the stall owners while they may pay a small rent for their stall and a small power cost will have not have the same tax to pay and very little other overheads and they do have competition from other stall holders.

Even in BKK there are fresh markets that are supplied daily, anyone who travels the roads into the city will see trucks and pickups loaded with fruit and veges.

Sure its convenient to get fruit and veg at supermarkets when you are shopping for other things but go have a look at the fresh markets if prices matter to you.

[HasipHasip5]

<script type='text/javascript'>window.mod_pagespeed_start = Number(new Date());</script>

Egg, Garlic and Mangoe diet it is then ! I wonder what an omlette with these ingredients would taste like ??? alt=sick.gif>

oily n greasy, yet to find an omlette not like this here.

tell them "mai sai naman"

[ginjag]

I thought fuel was cheaper now, as before remember it was 150+ dollars a barrel.

Airlines complain because of the same thing now, notice they never deleted the extra fuel charges when fuel lowered in price, some even side kicked the surcharge and put it down to extra security charge--BS. this goes for many transport sections--they used it as an excuse to hype up the price-- another thing before the massive rise in fuel they had stocks at the very cheap price, but immediately upped the price because of the oil crises. Petrol prices are not too great to have airlines say they are suffering BECAUSE of oil prices.

Most problems are bad management- profits going elsewhere instead of plowing it back into new stock etc.

One year ago the USD was 28 baht. Now it 33.

There is 15% right there. Thailand has to import all of it. I don't know the ratio in Thailand but a 1% increase in fuel cost will have a given percent increase in prices.

15% is a lot. Price in USD has been around 100usd a barrel for a while. The minimum wage had an effect but for Thailand with poor logistics by road, the price of fuel is of prime importance. Electricity, boilers, logistics all need it.

Thank you 3 times

3 years to improve rail NO, improve road traffic NO, improve water services NO, improve forward planning, non existent, improve education No, finally improve department for price control and trading standards non existent-------governance extremely poor with a further hype on corruption.

Suppose all these negative government responses are a contributory factor.

Huh? They just proposed an enormous logistics project that had been pilloried ever since.

Everyone on here was crying for a weaker currency,the exporters were crying for a weaker currency. Did it change anything?,,did exports jump?

Nope.

Why? Because the cost of inputs went up. And there is now inflation. The govt isn't the best, but they gave the exporters what they wanted, and ever since, they have missed their export targets by miles.

Innovation and efficiency is what's needed. Not a cheaper currency.

quote " they JUST proposed an enormous logistics project" that was a 50 year 2+ trillion borrowing spree. Why-to cash in on the trough, amazing how you can openly trust them on their 3 year record.

Looking at your post this reply is the age old excuse they were going to do everything good BUT Suthep stopped them.

posters were wanting what the government wanted -money in their pockets---same but different as the farrangs money would have been put back into Thai economy---PTPs money would be put only into a bottom drawer.

[GunterChiangMai]

My Mercedes doesn't care about the gas price!

Sent from my iPhone using Thaivisa Connect Thailand

[ignis]

My Mercedes doesn't care about the gas price!

Sent from my iPhone using Thaivisa Connect Thailand

Believe Mercedes are a lot cheaper then say 10 years ago ?

Edited May 4, 2014 by ignis

[GunterChiangMai]

My Mercedes doesn't care about the gas price!

Sent from my iPhone using Thaivisa Connect Thailand

Believe Mercedes are a lot cheaper then say 10 years ago ?

I don't know, I have only been here for about 2 years. But they are horrible expensive comparing to Germany!

Sent from my iPhone using Thaivisa Connect Thailand

[soomak]

I had a chat with a Thai just recently and we came to the conclusion that 100 baht 12 years back was pretty much similar to 1000 baht now.

Biggest problem might be that people don't earn more money, but all has gotten much more expensive.

That's just not true, even if this Thai or you "feel" this way.

The inflation rate in Thailand is 1-5% per year, sometimes a bit more, sometimes less.

http://www.indexmundi.com/g/g.aspx?c=th&v=71

In any case, over 12 years prices might have gone up 40-50%, not 1,000%.

Of course if you look at one specific item, it might have gone up more, but inflation is measured for what they call "The basket of goods".

Well compound 3% a year for 10 years and see where it goes.

The system in Thailand isn't exact anyway

So much business is cash and off the books. How they can aggregate the price of vegetables is beyond me. Gas and fuel is probably the biggest change.

All those who wanted a weaker baht. Well here it is with higher fuel prices that feed into EVERYTHING.

Just compounded 3% over 10 years, it comes up to 34%. But sirchai said 12 years, so that comes up to 42%.

As for gasoline prices in Thailand, they are tied to the market price of a barrel of oil, which has changed from around $30 per barrel in 2000 to around $100 per barrel nowadays. Nothing much they can do about that since they import almost all of it.

[soomak]

I had a chat with a Thai just recently and we came to the conclusion that 100 baht 12 years back was pretty much similar to 1000 baht now.

Biggest problem might be that people don't earn more money, but all has gotten much more expensive.

That's just not true, even if this Thai or you "feel" this way.

The inflation rate in Thailand is 1-5% per year, sometimes a bit more, sometimes less.

http://www.indexmundi.com/g/g.aspx?c=th&v=71

In any case, over 12 years prices might have gone up 40-50%, not 1,000%.

Of course if you look at one specific item, it might have gone up more, but inflation is measured for what they call "The basket of goods".

Does this " basket" include. WAS BEFORE motor bike price 29,000 baht------rental 75 per day-----guest house 150 per night------basic food/comparable portions--15 baht----hair cut 25 baht,--------20 kilo dog biscuit 300 baht------tin cat food 9 baht----milk 25 baht------eggs 2 baht each------wash powder 50baht----

My basket is across the board various things.

I have no idea what this "Basket of goods" includes in Thailand, but there is probably information about it in Thai if you can read it well.

And this basket is supposed to be hanged every few years, as people's consumption patterns change (examples in the past few years: internet, smartphones).

"Was Before" prices - when?

And please give context to the prices: milk - how much milk? hair cut - where? guest house - where? with aircon/tv? etc.

For everything there is always a price range, based on brand, quality, location.

[HooHaa]

The price of limes must have a huge bearing on this - the prices for them are getting out of hand, i saw shitty little ones in Tesco at the weekend 12 baht each!!

And yet my friends who like San Miguel light are still getting a wedge of lime stuffed into the tops of their bottles.

That could end soon!

At a watering hole I like to frequent, I used to get a slice of lime with my neer. A couple of weeks ago, they told me I could have my lime if I was willing to pay extra. I said no thank you, and enjoyed my beer, sans lime.

way to take a stand.

san mig light tastes like crap without lime and is too fizzy

[Thai at Heart]

I had a chat with a Thai just recently and we came to the conclusion that 100 baht 12 years back was pretty much similar to 1000 baht now.

Biggest problem might be that people don't earn more money, but all has gotten much more expensive.

That's just not true, even if this Thai or you "feel" this way.

The inflation rate in Thailand is 1-5% per year, sometimes a bit more, sometimes less.

http://www.indexmundi.com/g/g.aspx?c=th&v=71

In any case, over 12 years prices might have gone up 40-50%, not 1,000%.

Of course if you look at one specific item, it might have gone up more, but inflation is measured for what they call "The basket of goods".

Well compound 3% a year for 10 years and see where it goes.

The system in Thailand isn't exact anyway

So much business is cash and off the books. How they can aggregate the price of vegetables is beyond me. Gas and fuel is probably the biggest change.

All those who wanted a weaker baht. Well here it is with higher fuel prices that feed into EVERYTHING.

Just compounded 3% over 10 years, it comes up to 34%. But sirchai said 12 years, so that comes up to 42%.

As for gasoline prices in Thailand, they are tied to the market price of a barrel of oil, which has changed from around $30 per barrel in 2000 to around $100 per barrel nowadays. Nothing much they can do about that since they import almost all of it.

Big problem if your exporters aren't competitive and need a weak currency to compete.

[ginjag]

I had a chat with a Thai just recently and we came to the conclusion that 100 baht 12 years back was pretty much similar to 1000 baht now.

Biggest problem might be that people don't earn more money, but all has gotten much more expensive.

That's just not true, even if this Thai or you "feel" this way.

The inflation rate in Thailand is 1-5% per year, sometimes a bit more, sometimes less.

http://www.indexmundi.com/g/g.aspx?c=th&v=71

In any case, over 12 years prices might have gone up 40-50%, not 1,000%.

Of course if you look at one specific item, it might have gone up more, but inflation is measured for what they call "The basket of goods".

Does this " basket" include. WAS BEFORE motor bike price 29,000 baht------rental 75 per day-----guest house 150 per night------basic food/comparable portions--15 baht----hair cut 25 baht,--------20 kilo dog biscuit 300 baht------tin cat food 9 baht----milk 25 baht------eggs 2 baht each------wash powder 50baht----

My basket is across the board various things.

I have no idea what this "Basket of goods" includes in Thailand, but there is probably information about it in Thai if you can read it well.

And this basket is supposed to be hanged every few years, as people's consumption patterns change (examples in the past few years: internet, smartphones).

"Was Before" prices - when?

And please give context to the prices: milk - how much milk? hair cut - where? guest house - where? with aircon/tv? etc.

For everything there is always a price range, based on brand, quality, location.

I read the previous post, it was talking about 12 years or more, so I took across section, as I have lived it 10 areas of Thailand. 1 pint of milk---standard back and sides haircut, guest house Pattaya-Nong Khai, eggs local market, Honda dream basic kick start---and rent same bike. Any thing more ??? It is impossible to get an average because there are areas normal and areas rip off.

[Mousehound]

My Mercedes doesn't care about the gas price!

Sent from my iPhone using Thaivisa Connect Thailand

Neither does mine - broke down years ago and I swapped it for a far more efficient and cheaper jap job. Saved me a fortune.

[ginjag]

My Mercedes doesn't care about the gas price!

Sent from my iPhone using Thaivisa Connect Thailand

Neither does mine - broke down years ago and I swapped it for a far more efficient and cheaper jap job. Saved me a fortune.

The last Merc I had was a DINKY TOY. the old Wartburg was a lovely 2 stroke.

[northernjohn]

It's all relative though, well it depends how you have your money / income. I assume most of you guys have pensions so I hope you have it kept in your respective currencies.. I have an income most of GBP which is at like 54 baht to the pound now, which is the highest it has been for 4 years?

Well that's inflation for you. But all those people who were screaming 6 months ago that the currency was too strong and that exports needed a weaker currency to help.

So here we are. And the net effect is? Virtually zero. You cannot devalue yourself to export growth in the end. Efficiency, innovation to make savings is better than just cheapening the product.

Your assertion is clearly untrue. We know this because of what's happened in the Eurozone. Countries such as Spain and Greece were not able to devalue their currency and so are condemned to years of economic shrinkage or very very low growth. As for inflation, if, in fact, it is at 2.45% from a year ago, this is not bad news at all. What's more, basing your inflation figures on volatile items like food, particularly fresh food, is going to result in wild volatility and is not a useful measure of the inflation rate.

I believe there is a lot of commonly used commodities that are not included in the cost of living. But have still gone up.

As for the devaluation of money not my department. All I know is I get most of my money from Canada and it is not worth as much today and as it was 6 months ago.

[northernjohn]

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The price of limes must have a huge bearing on this - the prices for them are getting out of hand, i saw shitty little ones in Tesco at the weekend 12 baht each!!

And limes in North America (95% are imported from Mexico) are retailing for almost 300 baht.

Apparently there is a shortage there as well. http://www.huffingtonpost.com/2014/04/25/lime-shortage_n_5191607.html

I offer this to put your comment in perspective. Is the cost of living in North America 25X higher than in Thailand? I don't think so.

Every year in Thailand food prices of fresh produce go up and down depending upon the season, the weather and the impact of crop diseases.

We see the same in North America and the EU.

Your source of information is about as reliable as the Nation. Not quite that good.

Also it would help if you were to read the article. The cost in North America excluding Mexico is closer to 30 baht a lime not 300 baht a lime. I liked the way they blamed the cost on the Republicans. Defiantly not going to make the Fox News.

Live in The Past, it's Cheaper.

I like that.

funny thing is we will probably be saying it in ten years.

[GunterChiangMai]

My Mercedes doesn't care about the gas price!

Sent from my iPhone using Thaivisa Connect Thailand

Neither does mine - broke down years ago and I swapped it for a far more efficient and cheaper jap job. Saved me a fortune.

You see Ginjy Baby. Talking about the important topics, all your hate has gone! Praise Luang the Pooper! Chant the mantra!

The last Merc I had was a DINKY TOY. the old Wartburg was a lovely 2 stroke.

Sent from my iPhone using Thaivisa Connect Thailand

[ginjag]

My Mercedes doesn't care about the gas price!

Sent from my iPhone using Thaivisa Connect Thailand

Neither does mine - broke down years ago and I swapped it for a far more efficient and cheaper jap job. Saved me a fortune.

You see Ginjy Baby. Talking about the important topics, all your hate has gone! Praise Luang the Pooper! Chant the mantra!

The last Merc I had was a DINKY TOY. the old Wartburg was a lovely 2 stroke.

Sent from my iPhone using Thaivisa Connect Thailand

My hate for who ?? and what ??

If your referring to an off topic subject I don't know, trying to get the gist of your reply.

If it is my strong belief of an elected government that went outrageously overboard , and my objections to that --not sure. certainly not hatred--utter disgust.

And any one who props them up.

Tried to bring a little humour into TVF it needs it.

[ginjag]

My Mercedes doesn't care about the gas price!

Sent from my iPhone using Thaivisa Connect Thailand

Neither does mine - broke down years ago and I swapped it for a far more efficient and cheaper jap job. Saved me a fortune.

You see Ginjy Baby. Talking about the important topics, all your hate has gone! Praise Luang the Pooper! Chant the mantra!

The last Merc I had was a DINKY TOY. the old Wartburg was a lovely 2 stroke.

Sent from my iPhone using Thaivisa Connect Thailand

Why did you delete my post and insert yours, was it you excitement to answer ??

[GunterChiangMai]

Sorry honey! Was not my intention. Difficulties with my iPhone.

Sent from my iPhone using Thaivisa Connect Thailand

[connda]

I swear that is the exact same headline I saw in a Western main-stream news article, but it was talking about the US.

Yes!!! Fresh produce prices are skyrocketing!!! Gasp! I'm shocked...truly shocked!!!

Not.

Prices have been going up steadily since I came here over seven years ago. And Thais don't raise prices just a little. They generally raise them by about 25 to 35%. But it's all relative. Your half kilo of tomatoes use to cost 10 baht and now cost 15 baht. Your 5 baht of pakchii now costs 10 baht.

Now think of it this way. You 15 baht of tomatoes cost you $3.50 in the US or Canada. So -- don't worry, be happy (that you live here).

Dream on, go to the market yourself here and there and you will find out that food prices are the same or close here as in western Europe (I have not been in shops in the US or Canada).

I go to the market a few times a week. I'm well aware of the prices, and they are nowhere near the prices in North America. And many things are a fraction of the price. What hi-so, farang oriented market do you go to? I don't know where you shop, but you must be use to paying way too much for things, or your buying imported produce and products. But who am I to burst your bubble? Dream on...

Recycler must be talking about upmarket supermarkets like Rimping, in Chiang Mai. The fruit and veges can be just as expensive there as they are in western countries. I go there to buy treats that I cannot buy in the Wororot Markets, like the long bread sticks, some smallgoods, chocolate etc. Most of our stuff comes from the local markets which are a lot cheaper. I like going to both, for variety I suppose.

To base the prices found at Rimping to average food prices in Thailand would be silly.

I'm like you. I head to Rimping to get some the the 'farang' type food that I like, but I steer clear of the produce isle. The Rimping I shop at has a grapes display right at the entrance of the produce section. Their like, 380 baht per kilo. Ouch! I'll buy a medium size bottle of good olive oil for 380, but grapes? No way. Today we needed bananas, so I headed out to the market by the US Embassy. I got a large (about a kilo) bunch of bananas for 10 baht. If I was at our village that would be 5 baht (actually free, I grow them). Anyway, yeah. I believe Recycler is shopping upscale.

[watcharacters]

The price of limes must have a huge bearing on this - the prices for them are getting out of hand, i saw shitty little ones in Tesco at the weekend 12 baht each!!

.

Don't buy limes then.

Edited May 4, 2014 by watcharacters

[connda]

The price of limes must have a huge bearing on this - the prices for them are getting out of hand, i saw shitty little ones in Tesco at the weekend 12 baht each!!

.

Don't buy limes then.

I was driving down a back soi in Chiang Mai near where I live and someone was selling medium sized limes at 6 limes for 10 baht. Not bad.