BANGKOK, 12 Nov 2014 -The Ministry of Commerce has urged Thai exporters to turn their focus on niche markets due to signs that the country is likely to lose market shares in Europe to new EU members.
Studies by the Trade Policy and Strategy Office over the past 10 years have found that trades within the European Union has grown speedily, while the market share for Thai exporters has steadily shrunk.
From 2004 to 2013, the trade value between members of EU15 and those of EU12 jumped by 9.6 percent, from USD 314 billion to USD783 billion. During the same period, Thailand’s market share in the EU shrank from 1.16 percent to 0.82 percent. China, Vietnam, Cambodia and EU candidates meanwhile have been enjoying a boost in export to the region.
Thailand is in the process of negotiating with the EU over Thai-EU Free Trade Agreement. However, the EU is terminating the Generalised System of Preferences (GSP) for the country in January 2015. Exports to the EU mainly comprise electronic devices, vehicles and auto parts, jewelry and rubber.
The Ministry suggested that Thai exporters stay updated on the new EU regulations, so that they could adjust to the changes. At the same time the exporters should switch their attention to niche markets, such as food, fruit and vegetables, as well as organic and health products, which were less competitive
