Agricultural GDP in first quarter grows 1.4%
Thailand’s agricultural gross domestic product (GDP) in the first quarter of 2021 increased 1.4 per cent year on year, the Office of Agricultural Economics said on Wednesday, while estimating the agricultural GDP for the whole year could expand by 1.7 to 2.7 per cent.
Office secretary-general Chantanon Wannakejohn said the factors behind this are the increasing rainfall in the second half of 2020, which has boosted agricultural output, and the rising prices of several agricultural products in both domestic and overseas markets.
“Furthermore, the government’s measures to expand marketing channels both online and offline, the price guarantee scheme, and aid programmes for farmers affected by the Covid-19 fallout have helped significantly increase output and sales,” he said.
Chantanon said that in the first quarter, crops GDP blossomed by 3.6 per cent year on year while that of livestock grew by 0.5 per cent and agricultural services 0.7 per cent. Only the GDP of fishery products fell by 7.3 per cent due to variable weather and the impact of Covid-19.
“Crops that saw increasing output were in-season and off-season rice and sugarcane, while oil palm witnessed decreasing output due to the lasting impact of drought in 2019,” he added.
The office estimates that the agricultural GDP of 2021 will expand by 1.7 to 2.7 per cent compared to that of 2020, as it forecast that total rainfall this year will be higher than that of last year, while the Covid-19 situation is expected to improve and the economy likely to gradually recover.
The negative factors that could impact growth include unfavourable weather conditions, the fuel price and the strengthening of the baht, the office added.