Excluded by e-commerce platforms, Thailand Post demands fair playing field
Thailand Post chief Danan Suphatthaphan has called for urgent government intervention to establish robust regulations and enforcement mechanisms within the country's logistics and e-commerce sector.
The aim is to create a fair playing field for all stakeholders, particularly Thai entrepreneurs, the president said.
Responding to ongoing concerns about fierce and unfair competition from foreign e-commerce platforms, he said, "You have to play with balance. If you don't, you will all die!"
He emphasised the need for government intervention, asking, "How to set a big challenge for Thailand to be a producer rather than a consumer?"
Danan highlighted the challenges faced by Thailand Post, citing its exclusion from e-commerce platforms where stores and customers are unable to choose their preferred shipping method. He proposed the establishment of a regulatory body to oversee competition and set clear, fair rules.
"There has been no amendment or the establishment of an agency to supervise," he said, noting that the situation remains unchanged. He also pointed out new challenges, such as the increasing role of TikTok in e-commerce, which primarily uses foreign shipping services like J&T Express.
While Thailand Post has made some progress in negotiations with platforms like TikTok, allowing a small number of merchants to use their services, Danan warned of tougher battles ahead.
He specifically mentioned Temu, a platform without a physical presence in Thailand, making it difficult for even the Revenue Department to monitor.
"Our TikTok shipping volume has decreased by around 50% per day since June," he said, highlighting the impact of these platforms on local logistics providers.
The Thailand Post president emphasised the delicate balance between competition and partnership in e-commerce. He warned that without proper government oversight, "the whole ecosystem will gradually disappear. The upstream is that Thai entrepreneurs will go first. Transportation operators such as Thailand Post will have less volume. Eventually, the transportation business will also die".
"We need a balanced approach. Failure to address this issue will have serious consequences for the entire industry," he said, adding that he supports the establishment of a regulatory body to oversee competition and ensure fair practices.
Danan called for a multi-faceted approach to regulation, involving various government sectors including the treasury, Revenue Department, and border control. He stressed the importance of supporting Thai entrepreneurs and fostering a production-oriented economy.
Meanwhile, he warned of the potential negative consequences of unchecked foreign competition, including a decline in domestic production, a reduction in transportation volumes for Thai logistics providers, and ultimately, the demise of the entire ecosystem.
"The question is whether Thailand is a producer or just a consumer," he said, urging the government to prioritise the development of local industries and export capabilities. He stressed that this shift would not only benefit the Thai economy but also contribute to the country's global competitiveness.
