Thailand Economy and Business

• GDP: US$246 billion (2007).
• Main exports: Rice, precious stones and jewellery, office equipment, textiles and clothing.
• Main imports: Chemicals, electrical machinery and crude oil.
• Main trade partners: USA, Japan, China (PR), Malaysia and the EU.

The Thai economy expanded very rapidly during the 1980s and early 1990s, with the average annual GDP growth between 1990 and 1996 being 8.5%. However, things slowed dramatically in the summer of 2007 when the Asian currency crisis struck, causing the economy to drop by 11%. After a strong initial recovery, the Thai economy suffered again in 2001/2 following 9/11, and in 2003 suffered because of the reaction to SARS, the war in Iraq and fears of terrorism.

Things took an upward turn in 2004 due to domestic demand and strong exports, giving the economy resilience to the outbreak of avian influenza and soaring oil prices. However, following the tsunami in December 2004, sharp rises in world oil prices and domestic political turmoil following the military coup in September 2006 affected growth. In 2007 the inflation rate was 2.2% with unemployment down to 1.4%.

Following the financial collapse in 1997 the government launched the Amazing Thailand campaign which increased tourist arrivals dramatically, all keen to take advantage of the favourable exchange rate. Arrival numbers peaked in 2002 but were down by 10% in 2003 with the occurrence of SARS. However, visitor numbers have improved steadily and were more than 14 million in 2007 - a 4.65% increase on 2006.

Most people in senior management speak English apart from in very small companies, or those situated outside the industrial belt of Bangkok, where English is not widely spoken. Most businesses of substantial size prefer visitors to make appointments. Business cards are essential. Punctuality is advisable.

Office hours: Mon-Fri 0800-1700.

Government office hours: Mon-Fri 0830-1200 and 1300-1630.

The Thailand Incentive and Convention Association was established to aid the growth of Thailand as a destination for meetings, incentives, conventions and exhibitions. Members include tour operators, hotels, airlines, advertising agencies, lawyers, convention centres, convention organisers and local attractions. Bangkok has the two largest venues for conferences and exhibitions - the Bangkok Convention Centre and the Impact Muang Thong Thani Exhibition and Convention Centre. There are also many other venues (including hotels) in Bangkok and elsewhere.

Department of Export Promotion
22/77 Rachadapisek Road, Chatuchak, Bangkok 10900, Thailand
Tel: (2) 511 5066.
Website: www.thaitrade.com

Thai Chamber of Commerce
150 Rajbopit Road, 2146, 10200 Bangkok, Thailand
Tel: (2) 622 1860.
Website: www.thaiechamber.com

Thailand Incentive and Convention Association (TICA)
99/7 The Legacy Vipawadee Building, Soi Lardprao 8, Lardyao, Chatuchak, Bangkok 10900, Thailand
Tel: (2) 938 6590.
Website: www.tica.or.th