Thailand is the top exporter of coconut meat and shells to China, under the ASEAN-China free trade agreement (ACFTA), accounting for 80.02% of market share, with export value for the second quarter of this year estimated at US$187.91 million, an increase of 26.96% compared to the same period last year.
According to Ronnarong Phoolpipat, director-general of Foreign Trade Department, export of Thai coconut meat and shells to China is exempted from taxation under the ACFTA, compared to 60% (MFN rate) when there was no agreement.
For the first five months of this year, Thai exports under 12 free trade agreements amounted to US$33.46 billion, accounting for 76.7% of all exports.
Out of the 12 free trade agreements, the top five being utilized by Thailand are the ASEAN FTA, worth altogether US$12.165 billion; ACFTA, worth about US$10.410 billion; Japan-Thailand Economic Partnership Agreement (JTEPA), worth about US$2.740 billion; Thailand-Australia Free Trade Agreement (TAFTA), worth about US$2.3 billion; ASEAN-India Free Trade Agreement (AIFTA), worth about US$2,16 billion.
As far as the Regional Comprehensive Economic Partnership (RCEP) is concerned, Thailand exports for the first four months of this year to the 10 countries under this agreement amounted to about US$570.34 million, up 81.5% compared to the same period last year. The 10 countries are Japan, China, South Korea, Australia, New Zealand, Singapore, Malaysia, Vietnam, Indonesia and Myanmar. Major export products are lubrication oils, energy drinks, canned tuna, tapioca chips, sparking plugs, lens and motorcycles of 50-250 cc.
Ronnarong said the trade benefits under these free trade agreements are an important tool in reducing tariff barriers and boosting the capacity of Thai exporters to compete in the global market.
