Exports dropped almost five per cent in two months

[Thaivisa News]

Bangkok: – The Commerce Ministry has adjusted the economic report, conceding to the contraction of exports for two consecutive months due to the slowing down of the world economy.

The growth of exports has contracted 4.8 per cent for January and February.

Commerce Minister Chatchai Sarikalya said major exporting countries, including Thailand, see lowering demands in key markets.

India’s exports have dropped 13 per cent, followed by Indonesia (11.9 per cent), Singapore (8.5 per cent), Australia (8.4 per cent) and the United States (5.1 per cent), Chatchai said.

In January, the country’s exports declined by 3.46 per cent and last month saw the drop of more than 6 per cent.

The downward trend in Thai exports has been attributed to the slow recovery of world economies, the lowering commodity price and the drop in oil price.

The ministry is expected to revise downward the projection for the April exports because the major economies are still experiencing demand weakness.

The country’s earnings from exports amount to US$17.2 billion in January and US$17.5 billion in February.

The lower-than-expected recovery of the world economy is attributed to the country’s weak exports for this year.

In another development, the Commerce Ministry has instructed the Internal Trade Department to continue the “Blue Flag” campaign designed to cushion the impacts of rising prices for consumer’s products.

The campaign is a market intervention scheme for participating stores and the department’s mobile sale units to sell essential goods at discounted prices.

This has triggered complaints from independent retail vendors, saying the campaign has undercut prices and undermined their livelihood.

Responding to the complaints, the campaign has been adjusted to focus on remote areas and to relocate “Blue Flag” booths away from retail vendors.

[chooka]

Didn't realise that Australia manufactured or exported anything these days, thought everything was shutting down and moving off shore.

[asiamaster]

And how about the drop of the Euro? Europe is a major export market for Thailand.

[hobobo]

Could it be that the Baht is seriously overvalued? Drop the Baht by 10 percent and watch exports grow again - and tourists flock back!

[sfokevin]

Given that all the other neighboring countries experienced close or more than double digit declines I question the happiness math of the Thai 4.8% figure...

[bruceybonus]

Could it be that the Baht is seriously overvalued? Drop the Baht by 10 percent and watch exports grow again - and tourists flock back!

But then all the luxury goods would go up in price. The upper echelons of society would be most aggrieved!

[shirtless]

Car exports were up as of the tv report yesterday good news before bad Thainess at its best

[butch333]

it's just the beginning , let's see when the européan community will adopted the same incomes taxes for the thai goods as the thai-customs are doing for the the européans goods . let's see if many farangs will invest in thailand , and buy land make houses buy cars and motorbikes but on the name of their GF of course .

[anon467848]

The country’s earnings from exports amount to US$17.2 billion in January and US$17.5 billion in February.

In January, the country’s exports declined by 3.46 per cent and last month saw the drop of more than 6 per cent.

You just know that the "books are cooked" when they don't report correctly.... How can February's earnings be greater than January when it dropped to more than 6% compared to 3.5% in January

[topt]

The country’s earnings from exports amount to US$17.2 billion in January and US$17.5 billion in February.

In January, the country’s exports declined by 3.46 per cent and last month saw the drop of more than 6 per cent.

You just know that the "books are cooked" when they don't report correctly.... How can February's earnings be greater than January when it dropped to more than 6% compared to 3.5% in January

Quite easily if they are comparing it to the same month last year or any other comparison which is not specified

[Paul Henry]

If you do not want to recognise you have a problem you cannot fix it. Its always easier to look at others rather than in the mirror. Week after week we see figures being produce that keep contradicting themselves.

[Eric Loh]

A smart leader will find more ways to stimulate the domestic economy to made up for the export losses which will persist for a while longer. Thailand depend too much on export which is almost 70% of GDP. More fiscal policies needed to expend domestic consumption. Thailand is a big enough country to have the domestic economy sharing half of the GDP.

[elgordo38]

Didn't realise that Australia manufactured or exported anything these days, thought everything was shutting down and moving off shore.

Canada and the United States ditto. Only thing that will bring the jobs back is 3D printing and Robotics plus cheap energy in North America which is already there. The shale oil fiasco in the states suckered in all the major players who ran to the bank for huge loans and now these loans are coming due. They thought the oil musical chairs story would continue indefinitely but unfortunately they all got greedy producing more and more oil and it fell on its behind. Everybody rushed into shale oil and killed The Golden Goose. One only needs to look to the past to see the boom and bust cycles on oil. I hear that OPEC tried to get Russia and Mexico into a quota deal to raise the price of oil but they said nyet nada. Ah well the pain continues.

[Srikcir]

"The [blue Flag] campaign is a market intervention scheme for participating stores and the department’s mobile sale units to sell essential goods at discounted prices."

Good luck with that approach. Same approach as what the Venzuelan government did when oil prices collapsed a decade ago. The result was a run and hoarding of essential products like toilet paper. Now Venzuela has implemented a complex ID system to prevent people from overstocking items, then reselling them for profit.

[Srikcir]

There is more bad news to come. The KReaearch Center predicted on 2015-03-24 no growth for exports this year, down from 3.5 % projected earlier. Leave it to the government to nickle and dime their downward predictions to try to control panic.

PANIC PANIC PANIC PANIC

[rethaier]

Didn't realise that Australia manufactured or exported anything these days, thought everything was shutting down and moving off shore.

Don't forget the iron ore they have not yet found a way to move that offshore.

[phoenixdoglover]

Why are articles like this permitted, and why would the Commerce Ministry report this? Don't they know that this bad news likely will cause conflict in Thai society? Has not the PM made clear that this sort of wanton criticism will not be tolerated?

And finally, will the PM take part in Songkran festivities this year, if at least to give his adoring subjects a glimpse of his splendid clothes?

Edited March 26, 2015 by phoenixdoglover

[phoenixdoglover]

"The [blue Flag] campaign is a market intervention scheme for participating stores and the department’s mobile sale units to sell essential goods at discounted prices."

Good luck with that approach. Same approach as what the Venzuelan government did when oil prices collapsed a decade ago. The result was a run and hoarding of essential products like toilet paper. Now Venzuela has implemented a complex ID system to prevent people from overstocking items, then reselling them for profit.

Yes, the "Blue Flag" campaign raises a big Red Flag.

[emilymat]

Could it be that the Baht is seriously overvalued? Drop the Baht by 10 percent and watch exports grow again - and tourists flock back!

I'm afraid that would involve too much 'loss of face' to the General. Sorry, but true in my view.

[UDONJIM]

The world economy is slowing toward recession. Twenty six countries, including in S.E. Asia have devalued their currencies. I've said before on TV that it's only a matter of time before Thailand has to devalue the baht and I hold to that opinion.

[metisdead]

Posts containing comments and links to an external site containing comments on the Royal family have been removed. Linking to external sites which break these rules will be treated as if you yourself posted them.

[Thai at Heart]

Could it be that the Baht is seriously overvalued? Drop the Baht by 10 percent and watch exports grow again - and tourists flock back!

Better call Bernanke then

[Cake Monster]

It,s simple really ! Thailand is very quickly becoming non- competetive in a world that is now demanding more " bang for the buck ", along with more value added product.

A very simple concept, that Thai business appears to have very little, ( if no ) grasp of.

[morrobay]

Thailand is a big enough country to have the domestic economy sharing half of the GDP.

Thats going to be a problem with the skyrocketing Thai household debt approaching 90% GDP.

There is going to be a baht devaluation - one way or another.

[zierf1]

Could it be that the Baht is seriously overvalued? Drop the Baht by 10 percent and watch exports grow again - and tourists flock back!

Definitely overvalued against the Ringgit. Thailand looks like an old ripoff now.