Despite geopolitical tensions in Europe and the Middle East, the Thai National Shippers' Council (TNSC) expects the value of exports to expand by 1-2% in the second half this year.
Chairman Chaichan Chareonsuk said the TNSC is maintaining its export growth forecast at 1-2% this year.
However, it is cautious about numerous unpredictable factors in the second half, including geopolitical conflicts in Europe and the Middle East; the trade war between the US and China; the US presidential election; rising production costs, including increases in the daily minimum wage, energy and electricity prices; higher freight and surcharge costs; and a shortage of containers as China ramps up production and exports.
Moreover, small and medium-sized shippers are facing a liquidity shortage for manufacturing meant for exports, he said.
In terms of exchange rate, the baht will continue to weaken against the US currency, falling to 36-37 per dollar, which increases the competitiveness of exports in foreign markets.
The TNSC recommended the government maintain energy and electricity prices, the daily minimum wage and logistics costs at a suitable level.
Exporters should manage annual freight contracts with carriers or freight forwarders to lock in rates, ensuring smooth operations and cost management during the lull and peak season, said the council.
The government should support and promote investment in industries with export potential, such as electronic components and electrical appliances, said Mr Chaichan.
Vulnerable groups and small and medium-sized enterprises need access to credit to expand exports, he said.
The TNSC also proposed supporting overseas trade promotion activities to enhance global recognition of Thai products, as well as restructuring the export sector to help Thai entrepreneurs adapt and remain competitive in the long term.
"Hopefully Thailand's political situation stabilises, as I'm confident the nation can meet its export growth target of 1-2% this year," said Mr Chaichan.
