11 July 2024

Thailand’s Industrial Sentiment Index (TISI) was at its highest for a decade in March, boosted by a rebound in domestic demand, production increases and improved performance, with the exception of production costs, said Government Spokesman Anucha Burapachaisri on Sunday.

The index rose to 97.8 points in March, up from 94.1 points and 96.8 points in January and February respectively, and was the highest since January 2013, he said, adding that he expects the index to pass 100 to 106.3 in the next three months.

A reading above 100 indicates optimism, while a reading below 100 indicates pessimism.

Anucha said that the March index was based on an opinion survey of 1,322 industrial entrepreneurs, covering 45 industrial groups, who agreed that domestic demand has improved, boosted by increased purchasing power in the farm sector and tourism sector recovery.

He said businesses are, however, concerned about the effects on production costs of increases in the prices of raw materials, fluctuations in energy costs, the rising inflation rate and fluctuations in the baht currency.

He also said that there remain many downside risks, which could undermine industrial recovery, such as global economic fluctuations and geopolitical conflicts.

The spokesman said that the government is ready to respond to recommendations from the private sector by addressing production cost issues, such as high energy prices, and securing new markets for Thai products.