Exports are crucial to Thai textiles and call for the establishment of an internal supply chain

Thai textile entrepreneurs are calling for the establishment of ASEAN's internal supply chain, providing support to the textile industry, making Thailand an export power, not just focusing on exports.

Bangkok Bank’s executive Kosit Panpiemras stated that Thai industry should work together to develop a strong supply chain that is something the private sector can achieve.

At the industry seminar organized by the Thai Textile Society, he pointed out that China reorganized the textile industry according to its 12th economic development plan. China’s goal is to maintain its export competitiveness and employability by transforming one exporting country into one exporting country.

Higher wages have reduced China's export potential, but China still sets a double-digit export goal.

Many countries in the world are trying to maintain the ability of the core industries to create jobs in the country. The Thai textile industry should survive by developing skilled labor, design and technology.

Dr. Kosit said that raising the minimum daily wage to 300 baht next year will likely affect the cost of production. Therefore, Thai entrepreneurs should seek cooperation with ASEAN partners to join the supply chain.

In the first seven months of this year, the total value of Thai textile exports was US$4.98 billion, an increase of 19% year-on-year.

The total export value in 2010 was US$7.68 billion. The textile industry employs 1 million workers.

Mr. Virat said that with the strong growth in Asia, this year, textile and apparel exports may increase by 17%. ASEAN orders will exceed 2.4 billion U.S. dollars this year.

By 2016, the ASEAN and Asian markets are expected to replace the U.S. and European markets because the economic crisis has caused the two traditional markets to reduce purchasing power.