Yutthasak Supphasorn, Director of the National Food Institute, has said that the food export from Thailand is expected to reach 750 Billion Baht in 2010, up 28 Billion Baht from 2009 estimate, as reported by Bangkok Post.

 

Mr. Yutthasak has projected a decline of 8.4% in food export for the current year (2009) from the previous year (2008), but the encouraging fact is that this projection is better than earlier forecast of 15-20% decline on account of return of overseas shipments.

 

Bright prospect for Thai food export is largely accredited to the recovery of world economy that has boosted demand for food and higher export values of processed food, agricultural products, animal feed and refined sugar.

 

Apart from the recovery of global economy, stimulus packages given by various governments have created strong food demand in the international market.

 

Food products manufactures are concentrating on increasing their production capacity in view of high demand during Christmas and New Year festive seasons. Manufacturers are expected to touch their peak production level next year (2010).

 

According to the market pundits, Thailand will center its attention on niche markets through organizations and institutions, such as hotels, concert venues, hospitals, sports stadiums, cruise ships, prisons and the US army.

 

The National Food Institute of Thailand has recommended manufacturers that they should give emphasis on food products for older generation, which seems to evolve as the world’s biggest consumer group. The demand for Thailand food products still intact in Europe, Japan and the Middle East but emerging markets like Africa and Russia have also shown their interest.

 

Despite the encouraging signs of food export, private sector has expressed its concern over appreciating value of Baht. Thus, the Food Institute has asked the government to take measures for stabilizing Thai currency. Manufacturers state that the competitiveness of food industry can only be maintained if the Baht value stayed at 36-37 against the US dollar.

 

According to a Research Analyst at RNCOS, “As the size of ageing population is increasing and people become more health conscious, consumer taste and preferences have been changing worldwide. Thailand should evaluate the transformation taking place at the international level and adapt to the situation for increasing its food export.”