On December 9, 2022, Jurin Laksanawisit, Deputy Prime Minister and Minister of Commerce issued a statement after chairing a meeting of the Joint Public-Private Committee for Trade (FOR. Commerce) to jointly discuss, both government agencies and private sectors , to solve trade barriers together with Kirati Ratchano, Permanent Secretary of the Ministry of Commerce, Poonpong Naiyanapakorn, Director of the Office of Trade Policy and Strategy (TPP) and executives, high-level representatives of the Ministry of Commerce and the private sector at the Kitiyakonvoralaks Hall, 4th Floor, Office of the Permanent Secretary, Ministry of Commerce
Mr. Jurin said today is the meeting of the Ministry of Commerce, with the participation of the private sector, which is made up of the Thai Chamber of Commerce, the Federation of Thai Industries. Council of Shippers of Thailand The Bankers Association of Thailand and the Federation of Thai SMEs To prepare export next year to support the global economic situation tending to slow down and other problems, such as the year 2021 issue, the economy world +6% this year, the IMF expects a trend of +3.2% and next year +2.7% is likely which will clearly slow down next year The second issue is the long Russian-Ukrainian war. It affects energy prices and global food security. third point China’s zero-covid policy that China is Thailand’s largest trading partner It is the second largest export market in Thailand. Fourth point Thai baht exchange rate affecting the cost of importing raw materials for further production and export And all these fifth issues will affect Thailand’s exports next year.
Today there is a meeting to consider this issue as a special case for next year’s exports, the numbers are still the best to join hands between Thailand’s public and private sectors to move forward together. Today the meeting decided to set up a warehouse as a warehouse, the Ministry of Commerce, composed of relevant government agencies. Ministry of Commerce and all private sectors To work together closely throughout the year 2023 to cope with the global economic slowdown and protracted problems from 2021 to 2022, the meeting had a preliminary conclusion. Aiming to penetrate markets with potential, increase exports from normal pre-determined measures in specific cases, penetrate 3 major markets with potential including Middle East. South Asian markets and CLMV
With these 3 big markets, in 2022, total exports are expected to be around 1.7 trillion baht and in 2023 will rise to 2 trillion baht, an additional 300,000 million baht, the target of 3 markets.
1. Middle East market, focused on 3 big markets, Saudi Arabia UAE and Qatar The main target products are food, automotive parts. air conditioners and building materials, etc., aiming for 2023, increasing the number of exports of these 3 countries by 20% from 8.9 billion in 2022 to 10.3 billion in 2023 (350,000 million baht), and the South Asian market. Focusing on 3 major countries: India, Bangladesh and Nepal. Aiming to export next year to these 3 countries, South Asian market +10%, up from this year to 12,000 million, up to 13,200 million in 2023 (450,000 million baht), major products such as chemicals, plastic resin, vehicles and auto parts 3. CLMV market consists of Cambodia, Laos, Myanmar and Vietnam, targeting +10-15% from $28,000 million this year to $33,500 million next year (1.14 trillion baht) Important target products such as building materials. household appliances, plastic beads, fabrics, clothing, and expedite cross-border trade such as food, fruit, vegetable and other commodities, etc. From now on it is Warroom’s duty to market and increase sales of the regular set. It helps to evaluate next year’s export data in collaboration with the Ministry of Commerce.
Regarding the meeting, it was agreed that it should take the delegation to visit the necessary countries, namely 1.The United Arab Emirates (UAE) will be another important port besides Saudi Arabia to send cargo to Middle East 2. India only from Gujarat There is the city of Ahmedabad. with India’s third largest economy There is a large industrial zone 3. Yunnan province, which Thailand needs to speed up Mini FTA is the location of the important Chinese checkpoint, which is the Mohan checkpoint, now the Chinese government approved the opening of the checkpoint. There may be obstacles in practice. It will be an opportunity to negotiate with the provinces to facilitate the export of Thai products to China through the leaner Yunnan province.
Finally, the meeting proposed that, in addition to the FTA plan going forward, pending an FTA with the UK, a Mini FTA be done with a British city or major economic area. It is also urgent and Mini FTA with Pakistan especially Lahore. Which is an important economic city of Pakistan and finally the Gulf group or JCC. If you are waiting for a free trade agreement, it will take some time. If we can penetrate the Mini FTA sooner, it will help export numbers faster.
