The use of free trade agreement (FTA) privileges and the Generalised System of Preferences (GSP) by Thai exporters dropped by 4.14% in the first 11 months of last year, in line with the country's overall lower exports.
The Foreign Trade Department reported on Thursday the use of privileges under FTAs and GSP by Thai exporters totalled US$65.6 billion in the first 11 months of 2019, down by 4.14% from the same period the previous year.
FTA privilege use contributed $60.8 billion, down by 5.5% year-on-year from the first 11 months of 2018, with shipments under the GSP making up $4.85 billion, up 17.4% from 2018.
Keerati Rushchano, the department's director-general, said the drop was in line with lower exports because of the global economic slowdown, ongoing trade war and strong baht.
For the first 11 months of the year, exports decreased by 2.77% from the same period of 2018 to $227 billion, with imports dropping 5.22% to $218 billion, a surplus of $9 billion.
The Commerce Ministry reported on Wednesday that exports for 2019 fell by 2.7% to $246 billion, with imports dropping 4.7% to $237 billion, generating a trade surplus of $9.6 billion.
Mr Keerati said the top five export markets with the highest use of FTA privileges were Asean, China, Australia, Japan and India.
The Thai-Asean FTA continued to see the highest volume, totalling $22.7 billion during the first 11 months, with the Thai-China FTA tallying $16.6 billion, while Thai-Australia privileges were $7.28 billion.
The values for Thai-Japan and Thai-India FTAs totalled $6.97 billion and $3.96 billion, respectively.
The top five items that used FTA privileges were trucks; natural rubber mixed with synthetic rubber products; fresh durian; sugar from sugar cane; and fruit such as guava, mango, and fresh and dried mangosteen.
Thailand has 11 FTAs in place, excluding the Asean-Hong Kong FTA that took effect on June 11 last year and Thailand-New Zealand FTA which applies self-declaration for the proof of origin.
He said the US retained the highest rate of GSP utilisation, making up $4.41 billion, followed by Switzerland at $283 million, Russia at $129 million and Norway at $25.4 million.
The GSP is used for trade with the US, Switzerland, Russia and Norway. Japan removed preferential tariffs on Thai products on March 31 last year.
Products that saw the highest privilege usage of GSP were air-conditioner components, rubber gloves, processed food, drinks, and glasses and optical glass.
Mr Keerati said Thailand in 2019 faced a number of challenging factors such as the trade war, strong baht and impact of the GSP cuts by the US on Oct 25 last year, adding those factors may weigh on international trade this year.