Thailand sees no direct oil supply impact from Venezuela conflict: NESDC
Officials will continue daily monitoring of prices, but the NESDC said Thailand’s outlook remains unchanged, with oil expected to trade broadly within the previously forecast range this year.
- Thailand's oil supply is not directly affected by the conflict because the country does not import any oil from Venezuela.
- According to the NESDC, global oil prices have not risen significantly due to a market oversupply and are expected to remain within their projected range.
- Thai authorities are closely monitoring the situation but see no immediate cause for concern for the economy unless the conflict escalates into a major war.
Danucha Pichayanan, Secretary-General of the National Economic and Social Development Council (NESDC), said Thailand has no significant economic ties with Venezuela.
He stressed this is particularly true in the energy sector, as Thailand does not purchase or import oil from Venezuela.
As a result, the conflict there has no direct impact on Thailand’s oil supply.
On global oil prices, Danucha said prices have not risen significantly because the world oil market remains in a strong oversupply situation.
Asked whether oil prices this year would still move within the NESDC’s earlier projected range of US$55–68 per barrel, he said they were likely to remain close to that estimate, adding that there are currently no factors pushing prices higher.
“Based on the prime minister’s instructions to monitor daily oil prices, we have seen that over the past two days, prices have risen by only about US$1, which is not a major impact,” he said.
He added that the US dollar appears to be strengthening slightly, a normal pattern during conflicts, particularly when the United States carries out operations of this kind.
Danucha said the NESDC will continue to closely monitor developments.
He added that as long as the situation does not escalate into a major war, there is no immediate cause for concern for Thailand’s economy.
Earlier, Energy Minister Auttapol Rerkpiboon said authorities must keep watching the situation as several developments could potentially have an impact.
However, he said that for now it has not led to a sharp rise in oil prices.
He added that Prime Minister Anutin Charnvirakul has instructed agencies to closely track oil prices.
Wasawat Odthavee
