Thailand
Thailand: Border trade forecast upgraded
The government expects cross-border trade to grow by as much as 8-9% this year, propelled by the global economic recovery, baht weakness, and ongoing efforts by the Commerce Ministry to speed up the reopening of border checkpoints, as well as cooperation with the private sector.
Commerce Minister Jurin Laksanawisit said on Wednesday overall cross-border trade, including transit trade, is likely to grow by 8-9% this year, up from an estimate of 4-5% growth made last month.
Transit trade involves the passage of goods through more than one country.
Mr Jurin said cross-border trade including transit trade tallied 1.42 trillion baht between January and October, up 31.7% year-on-year. Of the total, exports made up 860 billion baht, up 37.4%, while imports rose 23.9% to 564 billion baht.
Last year, overall border trade including transit trade declined 1.7% from 2019 to 1.31 trillion baht. Last year’s drop was attributed to the pandemic and border checkpoint closures in an effort to curb the spread of Covid-19, in addition to the strong baht.
Examining last year’s figures in detail, exports represented 766 billion baht, down 2.16% year-on-year, while imports shrank by 1.05% to 553 billion baht, resulting in a trade surplus of 213 billion.
“Despite the pandemic, cross-border trade fared quite well this year,” said Mr Jurin. “Factors expanding border trade include the global economic recovery, baht depreciation, and quick reopening of border checkpoints.”
Thailand has reopened a total of 48 checkpoints, including those at Tak Bai and Buketa in Narathiwat in the middle of last month. Some 49 are still closed due to the pandemic.
Another checkpoint expected to reopen soon is Ban Nong Ian in Sa Kaeo province, at the Cambodian border.
In a related development, Mr Jurin said he ordered the Commerce Ministry’s permanent secretary to speed up talks with related agencies to make the best use of the Laos-China Railway, which connects Kunming in China’s Yunnan province with Vientiane, the capital of Laos, and officially opened to traffic on Dec 3.
Source: https://www.bangkokpost.com/business/2228955/border-trade-forecast-upgraded