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Consumer confidence plunged to a 16-month low in September because of the slow economic recovery, according to the University of the Thai Chamber of Commerce.

“Thai consumer confidence remains weak but people are optimistic on future growth after the [government] stimulus package. Confidence could bottom out and recover in the fourth quarter of this year,” Thanavath Phonvichai, director of the university’s Economic and Business Forecasting Centre, said yesterday.

Confidence in travel, investment and purchasing power hit a 123-month low in the month.

However, consumers are more positive on the three-month economic outlook thanks to the government’s economic stimulus package.

The Consumer Confidence Index slid to 72.1 points in September from 72.3 in August. That was the ninth straight month of declining confidence. Confidence in the future rose from 79.3 to 79.8. Scores below 100 indicate low confidence.

Pulling down confidence last month was a litany of bad news.

The Bank of Thailand decided to cut its 2015 economic growth projection. The global economic situation continues to hurt Thailand’s exports.

Agricultural-product prices are persistently low. Domestic fuel prices increased slightly.

The stock market plunged, the baht depreciated and the cost of living rose.

New export-import act

The Commerce Ministry’s Foreign Trade Department will enforce the amended Export and Import Goods Act to control the import, transit and trans-shipment of goods, such as coin-operated game cabinets, rice, cassava, palm oil and weapons.

The aim is to ensure national security, promote safe health and protect sensitive local farming and some industries, the department says.

Adul Chotinisakorn, deputy director-general of the department, said yesterday that the amended act would help business and prevent problems under trade liberalisation and Asean integration.

The amendment is scheduled to come into force on December 14.

Under the act, any transit or trans-shipment of 30 controlled goods to Thailand is prohibited, while about 70 general products will be allowed for transit or trans-shipment to a third country. Some items such as wood products may be allowed to transit to a third country.

Since Thailand wants to become a transport hub, the new law will also facilitate the operations of logistics providers, Adul said.

Je Festival spending

Spending during the Je Vegetarian Festival is expected to rise by 2.9 per cent to Bt42.2 billion from Bt41 billion at last year’s event, according to the University of the Thai Chamber of Commerce.

The festival is slated for October 13-21.

Respondents to the university’s survey said they would budget more this year because of the increase in food prices.

Spending per head during the period is estimated at Bt9,669.

Flight checks urged

Bangkok Airways yesterday advised its passengers to contact its 24-hour call centre at 1771 to check the status of all flights, especially those to and from the South, which has been blinded by smoke blowing in from Indonesia.

Indorama issues Singapore bonds backed by ADB

Indorama Ventures, a producer of polyester-value-chain products with a listing on the Stock Exchange of Thailand, issued 10-year senior unsecured bonds worth 195 million Singapore dollars (Bt5 billion) at a 3.73-per-cent fixed rate on Wednesday.

This marks the company’s first offshore bond issuance, and it is the first Thai company to receive an unconditional and irrevocable guarantee from the Credit Guarantee and Investment Facility (CGIF), a trust fund of the Asian Development Bank.

The deal represents a big step for a Thailand-based entity in tapping the foreign currency debt capital market with the collaboration of an international organisation like CGIF, Indorama says.

Indorama Ventures is the first Thai corporate and the seventh Asean+3-based company to receive an unconditional and irrevocable guarantee from CGIF for its bond issuance.

The bonds have been accorded an “AA” issue rating by Standard & Poor’s and will mature on October 7, 2025, said Sanjay Ahuja, senior vice president of Indorama Ventures.

Exec sentenced for fraud

The Criminal Court has sentenced Ratchasak Susewi, former executive of Power-P responsible for the company’s operations, for corporate fraud.

Ratchasak permitted Power-P to pay Bt45 million more than actual value as a deposit for the shares purchase of another company. In addition, he permitted false records or no record of important information in the company’s accounts and documents, and also prepared incorrect accounts with intention to deceive others about those fraudulent actions, said the Securities and Exchange Commission.

The SEC had received a complaint concerning Power-P’s suspicious investment in LVC Development Co, that there might be falsification of documents on the purchase of LVC shares in 2005 to siphon benefits out of Power-P.

After the SEC’s probe revealed such wrongdoings, a criminal complaint was filed with the Department of Special Investigation (DSI) against Ratchasak on December 30, 2010. The DSI then proceeded with the case and collaborated with the Department of Economic Crime Litigation 4 of the Office of the Attorney-General. This resulted in a legal case filed against the defendant.

SEC deputy secretary-general Vasant Thienhom said listed companies’ financial information was very important for investors’ ability to make decisions. Hence the law requires the information to be disclosed sufficiently, correctly, fairly and timely.

Listed companies’ executives or board members who disclose falsified information or conceal facts that should be revealed to the public are liable to criminal sanctions. More severe penalties will be imposed if the act is done with an aim to deceive investors or the general public.

The SEC thus urges executives and board members to perform their duties with honesty and due care in disclosing listed companies’ material information.

 

Belink Media eyes 25% growth

Belink Media, a provider of out-of-home media at 33 universities, targets Bt150 million in revenue next year, up 25 per cent from this year.

Managing director Krissana Tanomsap said the growth in 2016 would be partly fuelled by two new businesses, a public relations service and a wedding management service.

Meanwhile, its core business would continue to focus on campus marketing strategy, which would allow brands to communicate with students in contracted universities and engage with them via on-ground marketing at each location.

Joint discount offer

The operator of the Barbecue Plaza restaurant chain has collaborated with CIMB Thai Bank to launch a 50-per-cent-discount campaign for CIMB credit-card holders. With an eye to the business opportunities offered by the Asean Economic Community after this year, this marketing initiative covers three countries – Malaysia, Indonesia and Thailand – in the initial phase.

The joint regional discount campaign between the Barbecue Plaza Co and CIMB Group is geared towards the mutual expansion of their customer bases and their marketing communication channels.

The campaign was launched in Thailand, and has made an immediate impact on the local food scene. Because of that success, Barbecue Plaza felt the potential for a broader campaign, appealing to more credit-card customers in other Asean countries and opening the way for new promotions, said Chataya Supanpong, assistant managing director of the Barbecue Plaza Group of Restaurants.

Currently, Barbecue Plaza has 16 branches in Malaysia and two in Indonesia.

The campaign began on October 1 and will run until November 15.