MPI increases for 6th straight month
published : 28 Nov 2020 at 04:00
newspaper section: Business
Thailand's manufacturing production index (MPI) in October dipped by 0.54% year-on-year, but authorities believe domestic industry is approaching its pre-outbreak momentum as monthly MPI has been rising since May.
The index in October rose slightly by 0.45% from September, a sixth consecutive increase, the Office of Industrial Economics (OIE) said yesterday, attributing the increase to more production in key areas such as electronics products, processed fruit and vegetables, and steel.
With the pandemic under control and a string of economic stimulus packages, "economic activities are gradually coming close to their level before the Covid-19 outbreak," said Thongchai Chawalitpichaet, the OIE's chief.
In October, electronics manufacturing expanded by 6.07% year-on-year as demand for products increased globally.
Production of processed foods, notably pineapple, increased by 20% year-on-year.
More canned pineapple output came from the rapid harvest of crops and growing demand domestically and overseas.
Steel manufacturing, especially chromium and tin-coated steel sheets, also expanded by 9.19% year-on-year, in line with more consumption of canned food.
This situation made producers breathe a sigh of relief after unimpressive earnings last year due to the economic slowdown and tougher competition caused by cheap imported steel.
Car manufacturing, meanwhile, fell by 2.24% year-on-year, which was a lower contraction from the previous month, said Mr Thongchai.
Imports of raw materials and partially finished goods also decreased by 1.63% year-on-year, compared with a 22.4% dip in May this year. This means factories needed more materials for production in October, he said.