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Thailand: Exports seen up 6% to 8% this year: shippers
THAILAND’S exports are expected to rise between 6 to 8 per cent this year, compared with a previous forecast for a 5 per cent to 8 per cent increase, helped by a weak baht and increased global food demand, the national shippers group said on Tuesday (Aug 2).
Exports, a key driver of growth, rose 12.7 per cent in the first half of 2022 from a year ago and the momentum should continue into the second half, Chaichan Chareonsuk, chairman of the Thai National Shippers’ Council, told a news conference.
However, shipments might increase 10 per cent this year if a shortage of semiconductors is resolved, he said, adding the issue had dragged down car exports.
In the January-June period, exports of food and agricultural products increased a yearly 17 per cent, while shipments of cars and car parts dropped 6 per cent, Chaichan said.
Rice exports surged a yearly 68 per cent in the first half of 2022 amid global food security, he said. Rice shipments might reach 7.5 million tonnes this year, more than a previous forecast of 7 million tonnes, he added.
Export competitiveness is also helped by the Thai baht that was at its weakest level in more than 15 years late last month, he said.
The group urged the central bank to gradually hike interest rates as the country’s economic recovery remains fragile, Chaichan said.
The Bank of Thailand is expected to start raising its key rate from a record low of 0.5 per cent next week to contain inflation. REUTERS