Thai exports drop again in Jan as trade pain forecast for first half of year
Thailand's exports dropped for the fourth month in a row in January amid the global slowdown, the Commerce Ministry said on Thursday.
Thai exports in January fell 4.5% year on year – more than expected – to US$20.24 billion (705.45 billion baht). Imports rose 5.5% to $24.89 billion (867.53 billion baht), generating a deficit of $4.64 billion (162.08 billion baht). Reuters’s forecast for January was a 1% drop after the country recorded a 16.4% fall in exports in December.
Deputy Commerce Minister Sinit Lertkrai said exports of agricultural, agro-industrial and industrial products dropped 2.2%, 3.3% and 5.4% respectively. Border trade in January was down 3.68% yoy to 140.16 billion baht.
Sinit blamed the fall on inflation and a global manufacturing slowdown but was upbeat over export potential.
"Thailand's exports to many countries have expanded despite the economic slowdown and baht volatility," he said, citing ministry-private sector collaboration to promote exports.
He said Thailand's exports face pressure from the economic slowdown due to rising living costs, trade barriers and geopolitics.
"However, the Commerce Ministry has maintained its target of a 1-2% rise in value of exports this year," he added.
Thai National Shippers’ Council chairman, Chaichan Charoensuk, said Thai exports are expected to decline in the first half of this year.
"Exports are forecast to fall by 5-10% in the first quarter and another 5% in the second quarter," he said.
He expects exports to rebound in the second half driven by recovery in China's economy and other positive factors.
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