Tinned food exporters have asked the government to find measures to relieve their higher production cost hike after the decision to allow a sugar price rise of more than 5 baht per kilogramme.
Visit Limprana, vice chairman of the Federation of Thai Industries (FTI) Food Industry Club, said the government’s move to allow the sugar price surge caught the exporters by surprise.
In the past, sugar prices were normally allowed to increase gradually so that the canned food exporters could adjust to the situation themselves.
Now, he said, exporters are facing great difficulty because of purchase orders received since early this year, when the higher sugar prices were not anticipated. (TNA)
It’s typical of the old industrial elite of Thailand : when things start to stink, just call your friends… at the government for some help !
What a shame. The private sector should react, try to find solutions, instead of always crying for public help.
As for the “caught by surprise“, it’s total bullshit. Eveyebody knew that prices of sugar had increased on the world market… therefore the only “surprise” was the strange situation in Thailand, with a government trying to control the prices as long as possible… Until now : +37 % (read here) !
Ah, sure, of course, it’s going to hurt. But the government is responsible. And its stupid policy is going to back fire big time (all the businesses using sugar, soft drinks first, are going to increase their prices, simultaneously).
Even the canned food exporters… It’s unavoidable.
It’s the inflation tsunami on the move.
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