'Only minor impact' on European market
In spite of some concern over the flooding in Thailand and the euro-zone debt crisis, more traders and tourists from the European Union will go to Thailand next year, according to a Thai envoy
“The inundation has had a minor impact on the number of tourists and very little on trade or investment. Tourists and investors still have high confidence to visit and keep doing business with Thailand as they have always got clear information and acknowledge the government’s plan to prevent flooding in the future,” Apichart Chinwanna, the ambassador to Belgium and Luxemburg and head of mission to the European Union, said in a recent interview with The Nation.
Although fewer tourists from Belgium went to Thailand in the last few months due to the floods, more tourists are expected after the floods disappear, as Thailand is one of the favourite destinations of European travellers, he said.
More than 100,000 tourists from Belgium are expected to visit Thailand next year, up from this year’s expected 80,000 travellers.
The Belgium people and government have shown deep sympathy |for Thais during the flooding, while the EU gave €2 million (Bt82.5 million) to help flood victims in Thailand.
Although some European companies were also hit by the floods, European investors still have high confidence to continue operating in Thailand and even investing more in the country.
However, the EU’s meltdown may soften demand for some products from Thailand, particularly luxury goods. However, foods from Thailand, which are the main exports, should continue to grow in this market.
Thai and European businessmen are now looking forward to the free-trade agreement between both sides. The FTA should be considered by the Thai government, as it is an |efficient way to boost trade and investment in the near future, he added.
Trade between Thailand and the EU reached €27.16 billion last year. Thai exports to the EU increased 20.4 per cent to €17.18 billion, while imports from the EU surged 30.4 per cent to €9.98 billion.
Freya Lemcke, an international affairs adviser to the Association of European Chambers of Commerce and Industry, also reaffirmed that although some travellers were slightly worried about the flooding, it has not weakened European investors’ confidence.
“Europeans will keep on investing in Thailand and expect to invest more in the future as the country has good infrastructure and consistent growth,” the EU officer said.
