BANGKOK, 18 August 2011– The Thai Industrial Sentiment Index (TISI) for 1,104 enterprises in 40 industrial groups dwindled to 105.2 points in July from 107.4 in June 2011, according to the Federation of Thai Industries (FTI).
FTI Chairperson Payungsak Chartsutipol stated that the TISI slid last month due to rising production costs, the daily minimum wage hike policy, high energy cost and rising trend of policy interest rate plus the appreciating Thai baht currency and the US economic fragility.
As for the estimated industrial confidence index in the next three months, it stood at 107.4 points, down from 113.5 in June following the anticipated decline in purchasing orders, sales, production volume, operating costs and profits.
Nevertheless, the TISI and estimated industry confidence index in the next three months the standing beyond 100 points could indicate that entrepreneurs’ confidence remain strong as the domestic demand has been expanding continuously.
Entrepreneurs advised that the minimum wage hike policy should be implemented gradually while the government should solve lack of skilled labourers and rising production cost, boost the government stability for continuous economic development and create national reconciliation.
