focus on major

The Commerce Ministry will hold a meeting next week with the heads of Thai Trade Centres to discuss the further penetration of traditional markets, in a bid to boost overall export growth beyond the maximum of 3 per cent projected for this year.

The ministry will hold the meeting between officials, exporters and foreign buyers on February 25-26 in Bangkok. Foreign businessmen participating in the Bangkok Gems and Jewellery Fair, which will be held from February 25 to March 1, are also invited to take part.

The government is striving to boost exports amid all the negative factors arising from the global financial meltdown. In particular, exports to traditional markets such as the United States, European Union and Japan have been forecast in a worst-case scenario to face negative growth this year.

However, the ministry is looking at ways to get 2009 exports to these traditional markets up to at least zero growth.

The ministry's current projection is that the Kingdom's total exports will grow by 0-3 per cent to US$177.84 billion-$180 billion (Bt6.23 trillion-Bt6.31 trillion) this year, compared with the double-digit annual growth experienced for many years.

Somjin Plengkham, deputy-director general of the Department of Export Promotion, said yesterday that the agency had closely monitored exports to the US, EU and Japan. It found there was some room to turn the projected growth of minus to zero into positive territory.

Exports to Japan and the EU are currently forecast to experience growth of minus 3 per cent to zero, with minus 2-4 per cent for the US and zero growth for five major Asean nations. Shipments to these four major traditional markets account for 50 per cent of the Kingdom's export value.

Somjin added that the ministry had encouraged exporters to penetrate 'new' markets, for which more than 900 activities have been created to achieve the goal. Potential markets include India, China, the Middle East and Eastern Europe.

The ministry will also hold a special discussion with the US ambassador in Bangkok about how to maintain his country's level of imports from Thailand.

"If we can at least get zero growth from the US market, it will create a positive way forward for Thai exports," Somjin said.

Meanwhile, PM's Office Minister Virachai Virameteekul said yesterday that senior officials - including the commerce minister and agriculture minister - would visit China to boost trade next week.

They will hold talks with Chinese officials aimed at eliminating trade barriers between the countries.

China is the world's major importer of rubber, cassava, rice and fruit. However, exports of those crops from Thailand still face high obstacles.

Virachai said the delegates would ask China to consider reducing the level of value-added tax on imported fruit from the current 13 per cent, as well as cutting the import tariff on rubber.