Strategy to tap core export markets via goods with strong potential

Commerce Minister Chatchai Sarikulya said yesterday that his ministry would adopt an aggressive export strategy with clear targets that show potential for growth in line with current global trends. 

A “cluster” marketing approach will be used to enter new industries and expand marketing channels creatively with the focus on four core markets: 

Highly economically developed: Markets such as the United States, the European Union and Japan, which account for 30 per cent of total Thai exports. The emphasis will be on the elderly, institutions, hotels, casinos, cruise ships, environmentalists, animal lovers and Hispanics, who make up a third of the US population. The export value growth target is 1.9 per cent. 

Mid-range economically developed: Markets such as China, India, South Korea, the Middle East, Latin America and Russia, which account for 36 per cent of total Thai exports. The focus will be on the “super rich”. The aim is to penetrate secondary sectors with potential, including encouraging exporters to utilise the e-commerce/online marketing channel, as well as the modern trade (retailers). The target is to expand this market by 6 per cent. 

Developing: Markets such as Africa and South Asia excluding India. The focus will be on tapping the agricultural goods industry, construction, sanitation and raw materials sources. 

Asean: The focus will be on consumer goods, service-related businesses, construction and investment. The growth target is 5.9 per cent. 

Large, established companies will be asked to coach and assist local SMEs by providing useful training and advice and accompanying SMEs abroad to help them explore overseas markets. 

Loxley has agreed to serve as a mentor for local SMEs to help them tap business opportunities in Hong Kong, while Charoen Pokphand Group and Central Group will do the same for SMEs interested in mining mainland China’s business opportunities. 

The ministry hopes to achieve the export target through an aggressive but cautious approach to prevent potential international trade problems or conflicts, as well as to restructure the export framework to support long-term economic goals. 

The ministry will expedite the sale and distribution of the government’s remaining rice stocks from this month to March. On March 15, Chatchai will visit Hong Kong to witness the signing of a purchase contract for about 100,000 tonnes of Thai jasmine rice. 

Next in his sights are mainland China, India and Russia, where Thai jasmine rice is popular with upper-income consumers.