Agriculture Ministry drawing up plan after US trade privileges suspended

Chantanont Wannakhajorn, secretary-general of the ministry’s Agricultural Economics (OAE) office, said the office is studying the impact on the agricultural sector after the US cut GSP privileges in retaliation for Thailand not opening its pork market.
The GSP suspension will affect 44 Thai agricultural products, including vegetables, fruits, nuts, spices, seeds and spores, and vegetable fats and oils.
US import tax on these goods has now been raised from zero to between 1.9 and 9.6 per cent, costing Thai importers an estimated extra Bt17.72 million and making their goods more expensive.
Prices will rise for five products: live crops, fats and vegetable oils, processed vegetables, glucose syrup, and spices. In addition, nine other agricultural products are now subject to specific-rate taxation.
The ministry will focus on expanding trade in other markets to reduce dependence on the US, for example by accelerating trade talks with the European Union and the Regional Comprehensive Economic Partnership (RCEP).
Minister of Agriculture and Cooperatives Chalermchai Sri-on has ordered Thailand’s agricultural ambassador to gather information so the ministry can adapt policies for foreign demand next year after the Covid-19 crisis. The information includes rule adjustments by trading partners on illegal, unreported and unregulated fishing and on the EU’s Green Deal policy.