Thai exports to ASEAN to grow by 5-10% this year

BANGKOK, February 20 (TNA) - The value of Thai exports to other member countries of the Association of Southeast Asian Nations is expected to expand by at least 5-10 per cent year-on-year in 2013, about half of Thailand's anticipated overall export growth of 10-11 per cent this year. Chairman of the Federation of Thai Industries or FTI Payuingsak Chartsutipol made the projection at a business seminar in Bangkok on Wednesday, noting that the expected 5-10 per cent Thai export growth to the ASEAN market this year is based on the value of Thai exports to the 10-nation bloc of 230 billion baht last year. At the seminar, aimed to encourage Thai business operators to do businesses in neighboring countries, which was jointly organized by the FTI, the Thai Ministry of Commerce's Department of Trade Negotiations and Department of International Trade Promotion, Payuingsak foresaw that the value of Thai exports should certainly increase after the formation of the ASEAN Economic Community (AEC) by 2015, as Thai small and medium-sized enterprises (SMEs) should be ready to invest in other ASEAN neighbours, after they have learned more about ASEAN. The FTI chief acknowledged that Thailand has posted a bigger trade surplus with other nine ASEAN member countries over the past two years. However, after the AEC is established, the FTI chief pointed out, part of Thai SMEs should face tougher competition from business operators of other ASEAN member countries who will arrive with huge funds and advanced production technologies, especially those in the textile and garment industry, recommending that the Thai SMEs cut their energy costs and improve their inventory management to deal with the greater competition. Meanwhile, Nuntawan Sakuntanaga, Deputy Permanent Secretary for Commerce, told reporters that her ministry is introducing Thai business operators to their potential partners in the region and is providing them with updated information on investment and laws of the neighboring markets, especially Cambodia, Laos, Myanmar and Vietnam. According to the senior official, Thai SMEs, especially those in the farm and consumer products businesses, appear to be more interested in investing in the AEC. The value of mutual trade between Thailand and other ASEAN markets amounted to some 97.07 billion US dollar last year, accounting for 20.35 per cent of the country's overall trade value, comprising of 56.73 billion US dollars worth of Thai exports to and 40.34 billion worth of Thai imports from the ASEAN neighbours. (TNA)