Data figures released this week have revealed that Thailand’s industrial output dropped for the fourth consecutive month in January amid the global economic slowdown.
According to Ministry of Industry reports, the manufacturing production index (MPI) for January saw a 4.35% decline from the previous year, following an 8.45% year-on-year fall in the preceding month. The slump was largely due to the continued slow production of furniture, computer hard drives and plastic pellets.
Warawan Chitaroon, Director-General of the Office of Industrial Economics, said during a recent news conference that although the country has seen an increase in foreign tourist numbers and government stimulus measures, the MPI is expected to fall further in February due to slowing global demand and a high comparative base last year.
The ministry had earlier projected an industrial output growth rate of 2.5% to 3.5% for the year. However, Warawan said the outlook has been revised to a 1.5 % to 2.5% increase, aided by steady growth in the tourism sector, private consumption, government support measures and spending during the upcoming general election.
Despite these measures, Warawan warned that the impact of weakening exports is expected to persist, causing further concern for Thailand’s manufacturing sector. (NNT)
