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Published on April 11, 2008

Thailand's first Safeguard Measure Act came into effect on April 6, but no private enterprise had filed a complaint with the Commerce Ministry that imported goods were destroying domestic industries.

Unchana Withayathamthat, the department's director-general, has suggested that local enterprises should create safety nets to protect their industries from non-tariff trade.

The law aims to prevent products flooding into the country. The measure can temporarily impose high import tariffs or set import quotas to protect domestic industries over four to 10 years.

If Thailand imposed the measure on any goods, it must comply with the rules of all exporting countries for those particular goods.

Unchana said that so far Thailand had not imposed the regulation on any products, but if a firm in the private sector found an irregular amount of imported goods flooding the domestic market, companies could ask the government to investigate.

Pornsilp Patcharintanakul, deputy secretary-general to the Board of Trade of Thailand, said the private sector was soon aware of any irregularities regarding imports and was ready to gather information to protect their markets.

However, if there are instances of cheap imports flooding in, the private sector prefers the government to negotiate with the exporting country to ensure better understanding, Pornsilp said.

He said the world trading system still resorted to anti-dumping measures rather than the new safeguard process.

The new measure should increase in popularity as world trade moves to greater liberalisation, Pornsilp said.

Petchanet Pratruangkrai

The Nation