In Thailand, an immediate nationwide reduction in prices has been announced for over 150,000 products and services, with discounts of up to 87%. This initiative is part of the government’s Quick Win policy, aimed at cutting costs, stimulating the economy, and expanding business opportunities. Commerce Minister Phumtham Wechayachai made this announcement.
The agreement, which was reached recently, involves 288 businesses agreeing to lower their prices for the next three months. These businesses include 88 essential consumer goods manufacturers, 83 distributors (including modern trade malls, local shopping centers, home decoration and equipment stores), 110 service providers (such as hospitals and car service centers), 110 logistics companies, and seven online platforms.
The affected products fall into three categories: food and beverages (including processed food, rice, seasonings, and beverages), essentials (daily necessities, electrical appliances, home decoration, tools, medicines, and medical supplies), and agricultural inputs (fertilizers, agricultural chemicals, and animal feed).
The services are also divided into three categories: medical services, car maintenance and repair services, and logistics and courier services.
Phumtham expects that these price reductions will reduce the cost of living by 2-3 billion baht and stimulate spending, thereby boosting the economy in the crucial end-of-year period.
The impact on the fourth-quarter inflation rate remains uncertain, and the ministry is committed to helping manufacturers and businesses with cost-reduction strategies and regulatory challenges.
Pun Paniangvait, from the president’s office of Thai President Foods Plc, the producer of Mama instant noodles, explained that these price cuts are possible due to the collaborative efforts of various parties. He mentioned that any decrease in the factors contributing to the cost of producing a packet of instant noodles, such as flour, palm oil, electricity, transportation, and labor, could lead to lower product prices. However, he emphasized that reducing prices is not solely the responsibility of manufacturers.
Pun also noted that consumer purchasing power had declined before the new government took office. However, various policies of the new government have boosted public confidence, which is expected to increase consumer spending in the final quarter.
