THURSDAY, March 28, 2024
nationthailand

Private companies operating on reserves as incomes nosedive: survey

Private companies operating on reserves as incomes nosedive: survey

The incomes of private companies have plummeted by up to 50 per cent due to the impact of the new coronavirus (Covid-19) outbreak, a survey showed.

The survey was undertaken by the Office of National Higher Education, Science, Research and Innovation Policy Council (NXPO).
“About 100 companies submitted their responses and they said their income had gone down by 50 per cent since the outbreak,” council director Kittiphong Phromwong said on Thursday (March 19). “Most of the respondents said they were running on their reserves or rotating funds, which could be depleted in the next 3-6 months if the situation still persisted.”
Kittiphong added that among the major business obstacles are decreasing number of customers, cancellation of product orders, suppliers unable to deliver raw materials which must be imported from countries that have high rate of infection.
“Business entrepreneurs are urging the government to support them by providing additional subsidy, loans and tax breaks, including both corporate tax and import tariff for raw materials and machinery,” he said. “Furthermore, they need technological support such as in using digital technology to support business operations and promote market expansion to new territories.”
When asked about plans after the Covid-19 situation improves, most respondents said that they would need to train their new and existing personnel in market research, inventory management, product development and online trade channels.
“The survey is still in the early stage and NXPO will continue to expand the study to cover larger groups of respondents nationwide,” said Kittiphong. “We hope that it will help both the government and business sectors in policy planning and strengthening Thai entrepreneurs with education, science, research and innovation in the future.”

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