Thailand: 10 sectors promising in near term

Restaurants, accommodation and travel booking services, Mice (meetings, incentives, conferences and exhibitions), pharmaceutical products, health and beauty services, and medicinal plants are sectors that expected to see brighter prospects during the latter part of this year and into next year, in part because people have become more concerned about their health.

According to Deputy Commerce Minister Sinit Lertkrai, since the government lifted the state of emergency for Covid-19 on Oct 1 and downgraded the virus from a pandemic, the economy has gradually recovered.

“The latest study by the Business Development Department identified 10 outstanding businesses with promising prospects in the near term,” said Mr Sinit.

He said in addition to the sectors listed above, bars and nightlife, e-commerce, frozen food, and the auto industry, particularly electric vehicles (EVs), are also showing good potential.

Eateries, accommodation and travel booking services, Mice, and bars and nightlife should see a boost from the easing of restrictions on travel and businesses, as well as government stimulus measures such as the “Khon La Khrueng” co-payment scheme, the “We Travel Together” tourism stimulus campaign, and the year-end high season for tourism.

Mr Sinit said the pandemic prompted consumers to pay more attention to their health and use Thai herbs for treatment, including green chiretta (fah talai jone) and shallot extracts. The trend boosted retail pharmaceutical products; health and beauty; and spicy, herbal, aromatic and medical plants, he said.

According to Mr Sinit, the e-commerce and frozen food segments offer convenience, while the automotive sector, especially EVs are expected to attract greater interest from consumers who are environmentally conscious.

He said for the first nine months of 2022, new business registrations for the restaurant business rose by 59.7% from the same period of last year to 2,288. New business registrations for accommodation and travel booking services surged 261% to 722, with pub, bar and nightclub services rising 200% to 102. Registrations for Mice were up 10.2% to 1,202.

New registrations for retail pharmaceutical products reached 33, up 200% year-on-year, with healthcare and beauty edging up 1% to 506. Registrations for herbal, aromatic, spicy and medicinal plants were up 57% to 245.

In the same period, new business registrations for e-commerce reached 1,214, up by 12.5%, while frozen food and cars were up by 1% and 1.26%, respectively.