The Commerce Ministry has vowed to beef up its export promotion plans, with the signing of mini-free trade agreements and the projection of soft power around the world among its objectives.
Export promotion will be particularly focused on secondary export markets in 38 cities in 25 countries.
According to Commerce Minister Jurin Laksanawisit, Thai exports to secondary markets saw strong year-on-year growth of 13.2% in June, led by shipments to South Asia, Australia, the Middle East, Africa and Latin America, which grew by 49.5%, 4.9%, 24%, 12.1% and 17.2%, respectively.
Thailand's exports to secondary markets are outstripping its export performance in primary markets, which saw year-on-year growth of 11.9% in June.
Primary markets include the US, EU, China, Japan, and much of Asean.
"With respect to the export outlook, the Commerce Ministry expects Thai exports to expand further and reach the ministry's goal [4-5% growth] thanks to proactive work in promoting both primary and new markets," said Mr Jurin. "Supporting factors include higher global food and agricultural demand, an expansion of the world manufacturing sector, the stable Covid-19 situation, and increasing volumes of shipping vessels and containers. The depreciation of the baht also helps Thai exports compete in the global market."
Nevertheless, Mr Jurin noted that inflationary risk may put downward pressure on future exports, and hence has to be monitored.
The ministry yesterday reported that the customs-cleared value of Thai exports continued to expand for 16 consecutive months in June, with a growth rate of 11.9% from June last year to US$26.5 billion (907 billion baht).
The export growth exceeded the 10.5% uptick in May and the 9.9% increase in April, but was lower than the 19.5% gain in March, which was the highest level since records began in 1991.
Thai exports of the real sector (excluding gold, oil-related products, and weaponry) rose by 10.4% in June after an 11.1% year-on-year rise in May, and 6.9% and 8.9% growth in April and March, respectively.
A major contribution was the export of agricultural and agro-industrial products, which reflected Thailand's ability to supply food products to the global market. At the same time, exports of industrial products grew in line with world production.
According to the Commerce Ministry, Thai exports of agricultural and agro-industrial products rose for the 19th consecutive month with a growth rate of 24.5% year-on-year in June to $4.96 billion.
Industrial product exports increased for the 16th consecutive month with a growth rate of 6.7% over June last year to $20.2 billion.
Imports, meanwhile, increased by 24.5% in June to $28 billion, resulting in a trade deficit of $1.53 billion.
For the first half of 2022, Thai exports expanded by 12.7% to $149 billion while imports rose by 21% to $155 billion, resulting in a trade deficit of $6.25 billion.
Chaichan Chareonsuk, chairman of the Thai National Shippers' Council, said Thai exports for the whole year could grow by 8% in 2022 if the sector grows by 5% year-on-year in the second half after 12.7% growth in the first half.
"We're now hoping Thai exports achieve 10% growth this year," he said. "And the chance to achieve such a growth rate is highly likely because of the weak baht and continued export expansion of agro-industrial products."
