Soaring costs sink famed plastic factory after 50 years
Comos Corporation will shut by end-April after 50 years, hit by surging oil-linked plastic costs, falling sales and more than THB40 million in debt
A major Thai manufacturer of plastic tanks and boats is set to close down after more than 50 years in business, as soaring costs and weakening demand finally pushed the company beyond its limit.
On April 9, Sudjai Jirayapakorn, chairman of Comos Corporation Co Ltd, announced that the business would cease operations by the end of April, bringing to a close a company that had built its name over decades but could no longer withstand the mounting economic pressure.
A key factor behind the decision was the relentless rise in production costs, especially the price of plastic pellets, which has climbed in line with oil prices and struck directly at the core of the company’s business. As raw material costs surged, the burden became increasingly difficult to manage.
The company tried to adjust product prices in an effort to stay afloat, but that in turn led some customers to delay purchases. Others were unable to repay what they owed, worsening the strain on cash flow. The combined effect was shrinking sales, rising bad debt and a financial burden that eventually grew to more than THB40 million.
Sudjai said the oil market had become a problem far beyond the energy sector, describing oil as the country’s economic lifeblood. But instead of bringing stability, he said, high and volatile prices had rippled through the economy, affecting everyone from ordinary households to business operators.
He also questioned the broader management of the situation, saying that although there had been assurances over adequate oil reserves, the reality on the ground was one of unstable prices and harder access.
After stepping away from business, Sudjai said he intended to devote himself fully to social and charitable work. He said whatever money remained would not be left in a bank, but would instead be set aside in the form of merit-making for the future.
He plans to continue making donations to temples and welfare institutions, with the aim of helping others at a time when the country is facing growing hardship.
