BANGKOK, Oct 23 – Thailand’s hard-disk drive (HDD) manufacturing sector, which earns export revenue of more than Bt400 billion annually, is encountering a critical shortage of technicians and engineers.
A source in the HDD industry said the new investment promotion policy announced by the Board of Investment (BoI) could affect suppliers of HDD parts some of whom may be bankrupt.
At least half of Thailand’s parts manufacturing companies may have to close down their business operations due to reduced investment privileges.
Sirirat Iewpadung, deputy chairwoman for operations of Seagate Technology (Thailand), said local HDD manufacturers wanted the government to support the industry to attract their mother companies to invest in research and development in Thailand.
She said industrialists have urged the government to develop education to strengthen the capability and skills of Thai technicians and engineers.
Singapore and Malaysia have been successful in its policy while Thailand should stimulate small and medium enterprises to locally produce machinery instead of solely depending on imported equipment, she said.
Sampan Silpanart, president of the Electronics and Computer Employers Association, said Thailand’s HDD manufacturing expanded 5-10 per cent with a 35-40 per cent market share.
Floods in 2011, the higher trend of tablet and smart phone market and the global economic slowdown have negatively impacted the HDD industry which shrank 25 per cent to only Bt450 million, he said.
He said HDD manufacturers have adjusted accordingly by enhancing their employees’ skills and using more automatic machinery in their production.
The HDD industry has created at least 100,000 jobs but the BoI’s new policy could jeopardise local manufacturing, he said.
