UTCC says damage caused by drought will be significant this year



BANGKOK, 25 March 2016 (NNT) - The University of the Thai Chamber of Commerce (UTCC) has forecast that the drought crisis will cause as much as 119 billion baht in damages by the end of this year.

Director of the UTCC Center for Economic and Business Forecasting Thanawat Polwichai said a recent survey by the university revealed that the drought has driven up water expenses incurred by farmers, eating into their profits.

The number of farmers currently in debt has risen by 12% from last year. The survey indicated that the average agricultural household owes 167,000 baht in either formal or informal loans. Mr. Thanawat added the drought crisis will likely continue to ravage Thailand's agriculture until June.

The damage on rice, cassava and corn fields is projected to increase to 78 billion baht, while the business sector stands to lose around 41 billion baht to water shortages. The Center has revised down its forecast on Thai economic growth to 0.85% from 3.5%, due to the impact on the agricultural and business sectors.

Most survey respondents agreed that Songkran holidays should be shortened to conserve water, but maintained that it is still important to celebrate the water festival.

-- NNT 2016-03-25

Many Industrial processes use water in the manufacture of goods for export from Thailand.

For example the textile and garment industry uses a lot of water to wash the garments as they are produced and cut and sewed.

People don't think about it, but washing and cleaning is a normal part of most industrial processes.... with much of the dirty wash water simply thrown away afterward.

The water used is not "used up"....it is still there but often polluted and not useable for drinking due to the industrial waste from the washing process.

That water could be reclaimed for drinking water.... but that is expensive and most industries can't afford the "cost" of reclaiming the water.

it is a illusion that water is "free" or cheap.

Just a part of the "great Capitalist delusion" that the "future" will always be better and more profitable.

But that is another subject.

"Most survey respondents agreed that Songkran holidays should be shortened to conserve water, but maintained that it is still important to celebrate the water festival."

That's like telling adolescents that they should do their best to only engage in a little sex and then hold back once they have started.

Ain't gonna happen.

"The reform should help the Thai economy expand by 3-3.5% year on year," Deputy Prime Minister Somkid Jatusripitak said at the "Thailand Moving Forward to Sustainable Growth" event in Seoul.

Less than 48 hours later, the University of the Thai Chamber of Commerce (UTCC) has revised down its forecast on Thai economic growth to 0.85% from 3.5%.

I wonder if the South Korean businessmen who were so satisfied with Somkid's assessment are going to be updated??

Happy Songkran!

In a Monsoon region where they have massive floods annually, they still haven't figured out a way to reclaim the fresh water.

Edited March 25, 201610 yr by iReason

Undoubtedly with any problem like a drought you attract a penalty, that penalty compounds as the drought returns year in year out , the economy suffers, the people suffer , so what is being done for the long term ,for the people , for the Thai economy , such things like a little planning for the next 25 years................................

Understatement!

Undoubtedly with any problem like a drought you attract a penalty, that penalty compounds as the drought returns year in year out , the economy suffers, the people suffer , so what is being done for the long term ,for the people , for the Thai economy , such things like a little planning for the next 25 years................................

It must be about time the Junta summonses Mother Nature for some attitude adjustment.

She seems to have missed the memo on the required weather, maybe she has mislaid her glasses.

Surely the government should stop buying weapons, stop the silly wasteful mega projects and start thinking about the drought, the farmers, the illiterate students, the state of the nation.

the drought crisis will cause as much as 119 billion baht in damages by the end of this year.

Prayut knew about the occurence of droughts in Thailand.

He knew the kind of damage they can cause if inadequate measures were taken.

But he obviously didn't take proper measures to avoid its affects.

His failed drought policies cost the nation Bt119 billion.

Should he not be at least banned from public office for at least five years?

Let's have some accountability.

Undoubtedly with any problem like a drought you attract a penalty, that penalty compounds as the drought returns year in year out , the economy suffers, the people suffer , so what is being done for the long term ,for the people , for the Thai economy , such things like a little planning for the next 25 years................................

It must be about time the Junta summonses Mother Nature for some attitude adjustment.

She seems to have missed the memo on the required weather, maybe she has mislaid her glasses.

It just might be that the attitude of mother nature dose not like the attitude of the Junta , and is adjusting accordingly.