Minister of Agriculture and Cooperatives Yukol Limlamthong quoted a report, prepared by the Office of Agricultural Economics, that the drought situation and floods in certain areas did not cause heavy damage to the country’s agricultural sector overall in 2012.
According to the report, the crop sector has grown by 5.5 percent, and
major crops with increased output include rice, tapioca, rubber, oil palm, and
fruit, while the production of sugar cane, pineapple, maize, and soy bean has
dropped. Tapioca, sugar, and fruit exports have increased as a result of the
growing demand in foreign markets. Exports of rice, maize, oil palm, and canned
pineapple are on the decline.
Mr. Yukol cited lower demand in the international market as a reason for
falling rice exports. Another reason is that buyers have turned to Vietnam and
India, where the rice price is lower than that of Thailand.
The livestock sector in 2012 has grown by 3.2 percent, with more production
in chicken, pork, eggs, and raw milk. Chicken, egg, and pork prices have
dropped because of larger amounts available in the market, while the raw milk
price is higher because of better quality.
The agricultural service sector has grown by 2.9 percent, mainly due to the
expansion of planting areas for major cash crops and the use of farm machinery
to ease labor shortages.
Production in the fishery sector has dropped by 2.7 percent, especially
shrimp production, and exports to major markets, such as the United States and
the European Union, have fallen since March 2012. Deputy Minister of
Agriculture and Cooperatives Siriwat Kajornprasart said that Thailand had also
lost some market shares to India and several countries in Latin America, where
shrimp production has increased.
He believed that Thailand’s shrimp production in 2012 would be
480,000-500,000 tons, worth 100 billion baht. A target has been set for shrimp
production in 2013 at 500,000 tons, and new markets, such as China and
countries in the Middle East, would be explored. Mr. Siriwat said that impacts
from non-tariff barriers and the arrival of the ASEAN Economic Community in
2015 are likely to lead to greater competition in shrimp exports.
Secretary-General of the Office of Agricultural Economics Apichart Jongskul
said that Thailand’s agricultural economy in 2013 is expected to grow by
3.5-4.5 percent. The crop sector is likely to expand by 4-5 percent and the
livestock sector by 1.8-2.8 percent. The fishery sector is expected to decline
slightly, while the agricultural service sector is likely to expand by 2.5-3.5
percent.
The Bank for Agriculture and Agricultural Cooperatives has forecast that
prices of agricultural goods in 2013 would increase, as Thailand may face risks
from variable climatic conditions.
(thailand.prd.go.th)