Consumer goods makers, distributors and modern trade operators have agreed to lower goods prices by 5-58% to help reduce living costs during the coronavirus crisis.
The campaign starts with six categories covering 72 items from March 16 to June 30.
Commerce Minister Jurin Laksanawisit chaired a meeting on Thursday with representatives from 14 manufacturers, various modern trade operators and eight department stores to ask for cooperation on lowering prices of essential goods for consumers, with a focus on food and daily use products to reduce the cost of living for people hurt by the pandemic.
Mr Jurin said the ministry expects more manufacturers to participate in special sales campaigns to help reduce living costs for overall consumers who are being hurt by the pandemic.
The six categories in the campaign are food and beverage; frozen finished food; seasoning sauce; daily-use products; body care products; and cleaning products.
Mr Jurin said the special sales campaign is unrelated to lower retail oil prices, adding that lower oil prices affect manufacturers' production costs by just 1-3%.
Somchai Pornrattanacharoen, president of the Thai Retailers and Wholesalers Association, said the government normally doesn't allow a hike of goods prices simply because of higher oil prices. He said price rises are approved only when raw material costs rise.
"The Commerce Ministry's request for cooperation with the special sales campaign is considered a psychological tactic to stimulate people's consumption," Mr Somchai said. "In reality, whenever purchasing drops, operators will compete with one another through sales promotion activities to boost their sales."
In the wake of the outbreak, sales of food, tissue paper, drinking water and tinned fish surged, boosted by panic shopping, he said.
Nielsen Thailand, the market research firm, reported that Thailand's 800- to 900-billion-baht fast-moving consumer goods (FMCG) industry grew in the first two months of the year despite the pandemic escalating locally.
FMCG in terms of value rose by 1.3% and 1.5% in January and February, with volume gains of 0.9% and 1.2% versus the same period last year.
The Nielsen survey also found that 60% of consumers expect the pandemic to last another 4-6 months.