Thai high-value sectors to boost economy, exports in 2024 says FTI

The Federation of Thai Industries (FTI) forecasted that the country’s high-value sectors such as agriculture, food, automotive, and bio-, circular and green (BCG) manufacturing will bolster the economy and exports in the coming year. The BCG initiative, launched as a national agenda in 2021, aligns with global environmental campaigns, encouraging manufacturers to adopt environmentally friendly technologies.

Kriengkrai Thiennukul, FTI chairman, predicts a surge in demand for products from these sectors.

“We anticipate the export sector will capitalise on this trend, given the widespread use of many products from these industries in everyday life.”

The Joint Standing Committee on Commerce, Industry and Banking projected a GDP growth of 2.8-3.3% for the coming year. The export sector is estimated to expand by 2-3%, with an inflation rate of 1.7-2.2%. This economic growth projection for 2024 also includes the government’s plan to roll out a 10,000-baht digital cash handout.

The FTI warns of potential price hikes in the agriculture and food industries due to the effects of drought and increasing raw material costs, Kriengkrai said.

“The prices will primarily rise due to a reduced goods supply. This situation could prove beneficial for exporters.”

The FTI anticipates the food export value to reach 1.65 trillion baht in 2024.

Between January and September this year, the value of food exports rose by 4.6% year on year to 1.16 trillion baht. The total value is expected to hit 1.55 trillion baht by the end of the year.

Furthermore, Kriengkrai noted that renewable energy development would likely gain traction in the coming year as foreign investors are increasingly seeking clean energy to power their Thai-based businesses.

“Tech companies are aiming for 100% renewable energy as part of their net-zero targets.”

The term net-zero refers to achieving a balance between the emission and absorption of greenhouse gases, reported Bangkok Post.