Problemsread more ↓

-Thailand exports mostly food: Due to Thailand’s main and almost only export being food, if there are changes to the market it will have a huge negative impact on the Thai economy and style of living.

-Rice Is Harder To Export: Currently, Thailand is the 2nd largest rice exporter in the world. However, due to water shortages and the strength of the Baht (Thai currency), it is harder to export rice to other nations. The majority of Thais depend on rice for their livelihoods for food for their families and to sell to make money for their families. Competition from other surrounding SE Asian countries has also adversely affected how rice is used and sold.

-Thailand cannot export palm trees, rubber trees, fruit or other vegetables anymore: Thais have lost jobs and income because the country has stopped exporting palm trees. The government changed the law in Thai agriculture and have increased the price of the farm land they rent out to the Thai farmers. The government has also made it illegal to use the land on the mountain side and have made the land that can be used unaffordable. As a result, the farmers cannot rent the land and cannot afford the chemicals and supplies needed to grow the palm trees, para rubber trees, and tapioca.

-Tourism Is Low: The strength of the Baht has also affected tourism. Tourists are going to other countries where it is cheaper and easier to enter the country. As a result, business owners have been forced to close their doors, farmers have an excess of crops and people have lost their jobs.

-Government does not help find new export markets: Thailand is well known for its specialized fruit like durian. China has had interest in buying it from Thailand; however, China has made it more difficult to sell. They want a 3 tier system stating the quality of the fruit from worst to best. Instead of agreeing to China’s offer, the Thai government decided to seek trade with other countries. Thais are now left with an abundance of the expensive fruit with no buyer.

-Water Shortage: The Royal Irrigation Department is advising farmers to skip the second crop cultivation of rice because there will not be enough water to support a second crop.

Statisticsread more ↓

-The rice industry supports as much as 30% of the country’s 69 million people.

-The baht has grown 9% in strength against the USA dollar in the last year.

-The price per ton of rice is now $425 USD; whereas, last year it was $380 USD/ton. The rise in cost of rice has made it more difficult to sell, which is affecting the income of the farmers. European countries and America have begun to buy their rice from China

-Rice exports have declined 44.7% in 2019

-Based on advance bookings, hotels have dropped from 50% to 30%

-In 2019, Durian is estimated at about 860,000 tons, (about 25% increase over last year); however, even with a high demand for it, the government is not helping farmers find a market to sell their crops.

-Thailand is facing its worst water shortage in the last 2 decades

-Chao Phraya River covers area of 20,125 sqm. In this region, the demand for water is usually 12.15 billion cubic meter/year, but this year only about 6 billion will be available (50%).