Export growth goal revised up to 5% on key supports

After meeting with Thai trade officials from 64 overseas posts and representatives from private-sector organisations, Deputy Prime Minister Somkid Jatusripitak said the ministry should raise the growth target to 5 per cent, as the government will work more closely with the private sector on this matter.
“Five per cent is a challenging target. But with recovering crop prices, higher oil prices, and strong economic growth of many trading partners, Thai exports should grow more stronger this year,” he said.
He added that exports to all markets should grow more strongly than last year, but especially to countries with which Thailand has free-trade agreements or other strategic partnerships.
Somkid said the government would emphasise conducting bilateral trade negotiations as part of its effort to boost exports.
Countries that Thailand will form strategic partnerships with include the United Kingdom, France, Germany, Italy, India, and those in the CLMV (Cambodia, Laos, Myanmar and Laos) subregion.
While uncertainty remains over US President Donald Trump’s policies, Somkid said Thailand would continue to form closer cooperation with the United States through the private sector, as the Kingdom is still “off the US’s radar”.
He said Thailand’s trade with the US should continue to rise at least in the short term under Trump’s policy to promote domestic growth.
 However, in the longer term, Thailand should closely monitor unexpected non-tariff barriers.
To drive exports of agricultural and food products, which create high income for local people, Somkid has encouraged Thai private enterprises to set up trading outlets in important overseas markets such as New York or major cities in China to market such products. This strategy will increase trading opportunities for Thai products while reducing some expenses by cutting out middlemen, the deputy prime minister added.
Vallop Vitanakorn, vice chairman of the Federation of Thai Industries, said the 5-per-cent growth target was quite a challenge but there were good signs that government officials and the private sector would strongly support the goal.
He said exports from some industries might not increase strongly, such as garments, as many Thai private enterprises had begun manufacturing such products overseas, so export by those investors would benefit other countries’ export figures, not Thailand’s.