Connect with us

Economy

Thailand tries 2-prong strategy to get perishables to China

Jack Burton

Published

 on 

FILE PHOTO

Thailand is bypassing supply-chain roadblocks to deliver its perishables – mainly agricultural and food products – to China, its biggest market in Asia. Since Thailand shares no border with China, perishable goods like fruit and vegetables have traditionally been sent from Thai farms and warehouses by truck, going through either Vietnam or Laos. Ships and planes are also used, but the Covid-19 crisis has wrecked global logistics, causing border delays, fewer flights and difficulty handling items that aren’t suitable for sea vessels.

This month Thailand began a 2-stage system, trucking products to Vietnam, where they’re moved into containers on trains, which complete the deliveries to China. It sounds simple, but it’s a first for Thai shipments, according to the vice minister for agriculture.

“Transporting by rail is now cheaper and faster than by truck, so we have essentially reduced overall costs and delivery time. This could become a new system for our shipments. We can build on this idea and export more products at lower cost.”

Currently, there’s no direct train route between Thailand and China, but the plan to connect the two countries via rail is in the works.

China is Thailand’s number 2 export market after the US, according to data from the Commerce Ministry. About 80% of farm products from Thailand are normally transported by land to China. Tropical fruits like durian, mangosteen and longan are among the crucial, and most vulnerable, items.

Exports to China increased 15.3% by value in May year-on-year, compared to a 22.5% drop in total exports. Thailand’s economy, heavily reliant on trade and tourism, is facing its deepest contraction in more than 2 decades, with the Bank of Thailand predicting gross domestic product will shrink by a record 8.1%.

SOURCE: Bangkok Post

 

Get more from The Thaiger

📱 Download our app on Android or iOS
👋 Have your say on our Thailand forums
🔔 Subscribe to our daily email newsletter
📺 Subscribe / Join YouTube for daily shows
👍 Like/Follow us on Facebook
🐦 FOLLOW us on Twitter
📷 FOLLOW us on Instagram

image

Join the conversation and have your say on Thailand news published on The Thaiger.

Thaiger Talk is our new Thaiger Community where you can join the discussion on everything happening in Thailand right now.

Please note that articles are not posted to the forum instantly and can take up to 20 min before being visible. Click for more information and the Thaiger Talk Guidelines.

2 Comments

2 Comments

  1. Avatar

    Toby Andrews

    Sunday, July 19, 2020 at 11:35 pm

    I hope they are putting the truck drivers into two weeks of quarantine.
    Naw there is no chance of that. When there big money is involved, rules on covid will be ignored.
    Hypocrites.

  2. Avatar

    ron

    Thursday, July 23, 2020 at 9:52 am

    Forget doing business with China. The world will completely decouple from China before 4 years time.

Leave a Reply

Your email address will not be published. Required fields are marked *

Jack Burton is an American writer, broadcaster, linguist and journalist who has lived in Asia since 1987. A native of the state of Georgia, he attended the The University of Georgia's Henry Grady School of Journalism, which hands out journalism's prestigious Peabody Awards. His works have appeared in The China Post, The South China Morning Post, The International Herald Tribune and many magazines throughout Asia and the world. He is fluent in Mandarin and has appeared on television and radio for decades in Taiwan, Mainland China, Hong Kong and Macau.

Follow Thaiger by email:

Transport1 hour ago

August flight plans: Bangkok Airways, Nok Air, Thai Lion

Coronavirus (Covid-19)3 hours ago

New site for foreigner vaccine; Mor Prom deletes appointments

Politics4 hours ago

Facebook fake news post suggesting a coup faces prosecution

Welcome back to Thailand!

Thaiger is getting behind local businesses for the restart of tourism in Thailand - up to 50% discounts across all advertising packages!

Koh Samui8 hours ago

UPDATED: Samui Covid-19: 14 new Black Club infections, 2nd small cluster

Thailand10 hours ago

40,000 cases a day could happen by September, says projection

Phuket10 hours ago

Phuket Sandbox Covid-19 infections: 35 today, 209 this week

image
Join the conversation on the Thaiger Talk forums today!
Thailand11 hours ago

Prayut says he will not resign, warns politicians to behave

Thailand11 hours ago

Bangkok Train market to possibly close for good

Coronavirus (Covid-19)12 hours ago

Border between Kanchanaburi and Myanmar closed until…

Thailand13 hours ago

Covid UPDATE: 18,912 infections, provincial totals

Coronavirus (Covid-19)13 hours ago

PCD says don’t throw away used masks in water bottles after infections linked to bottles

Thailand14 hours ago

Government says it’s okay to criticise them, if it’s fact based

Thailand16 hours ago

Bangkok volunteer group “Sai Mai Will Survive” overwhelmed with calls

Coronavirus (Covid-19)16 hours ago

Phuket reservations slow down for August

Thailand20 hours ago

Covid UPDATE Saturday: 18,912 infections, news briefs

Thailand5 months ago

Thailand News Today | Thai Airways in rehab, All go for Songkran | March 4

Tourism5 months ago

Phuket’s nightlife. Yes, bars and clubs are still open | VIDEO

Phuket5 months ago

Thailand News Today | Covid passport talks, Thai Airways heads to court | March 2

Tourism5 months ago

Phuket Thai food treats you need to try | VIDEO

Thailand5 months ago

Thailand News Today | Bars, pubs and restaurants ‘sort of’ back to normal | Feb 23

Tourism5 months ago

In search of Cat & Dog Cafés in Phuket Town | VIDEO

Thailand6 months ago

Thailand News Today | Gambling crackdown, Seafood market to reopen, Vlogger challenge | Jan 21

Thailand6 months ago

Thailand News Today | Covid testing for visas, Business impact, Vaccine approval | January 19

Thailand6 months ago

Thailand News Today | Weekend Bangkok bombs, Thailand fires, Covid update | January 18

Thailand7 months ago

Thailand News Today | Stray car on runway, Indonesian quake, 300 baht tourist fee | January 15

Thailand7 months ago

Thailand News Today | Governor off respirator, sex-trafficking arrest, condo prices falling | January 14

Thailand7 months ago

Thailand News Today | Chinese vaccine, Thailand ‘drug hub’, Covid update | January 13

Thailand7 months ago

Thailand News Today | Bangkok may ease restrictions, Phuket bar curfew, Vaccine roll out | January 12

Thailand7 months ago

Thailand News Today | Covid latest, Cockfights closed down, Bryde’s Whale beached | January 11

Thailand7 months ago

Thailand News Today | Southern floods, Face mask fines, Thai Air Asia woes | January 8

Trending