Exports drop in Oct as global demand slows
published : 28 Nov 2022 at 11:50
Exports unexpectedly fell in October as tight monetary policy to curb inflation in major trading partners affected purchasing power and economic activity, the Commerce Ministry said on Monday.
Exports, a key driver of Thai growth, dropped 4.4% in October from a year earlier, compared with a forecast rise of 6.0% year-on-year in a Reuters poll, and came after September's 7.8% increase.
While exports are likely to slow down later this year, the full-year growth should still nearly double the ministry's 4% growth target, Commerce Minister Jurin Laksanawisit told a news conference.
In October, exports of farm and agro-industrial products fell for the first time in 23 months, down 3.4% from a year earlier.
Industrial goods exports dropped 3.5%, the ministry said in a statement. Among major markets, shipments to the United States dipped 0.9% from a year earlier and those to Southeast Asia dropped 3.6%. Exports to China slumped 8.5% year on year. Imports also fell 2.1% in October from a year earlier, compared with a forecast 10% rise.
Thailand recorded a trade deficit of US$596 million in October, versus a forecast deficit of $1.15 billion.
In the January-October period, exports increased 9.1% from a year earlier while imports rose 18.3% and there was a trade deficit of $15.6 billion in the period.