Giant Australian department store eyes to open sourcing office in Thailand

BANGKOK, July 29 (TNA) - The Ministry of Commerce says that Woolworths Limited, Australia's giant department store, plans to open a new regional sourcing office in Thailand. Phusit Ratanakulsereroengrit, a specialist of the ministry's Department of International Trade Promotion, told journalists on Tuesday that representatives of Woolworths Limited want to discuss business deals with about 60 Thai business operators, as it plans to open a new sourcing office in Asia and the Pacific and it is particularly interested in Thailand. Phusit acknowledged that Woolworths has more than 3,000 branches in Australia and New Zealand and it is, therefore, a good opportunity for Thailand to develop long-term trade partnership to boost Thai exports. According to the senior official, more than 80 per cent of local operators in the business negotiation are in the Thai industries of frozen and processed seafood, chilled, frozen and processed fresh vegetables and fruits, and rice and the rest are in furniture, home decoration, toy, electronic product, health and beauty product and clothing businesses. The senior official revealed that the value of Thai-Australian trade exceeded 10 billion US dollars last year, a three-time increase from 2005 when both countries had started their free trade agreement (FTA), with major Thai exports to Australia including automobiles, auto parts and accessories, plastic pellets and plastic products, steel, stainless steel and steel products, air-conditioners and parts, canned and processed seafood, rubber products, gems and jewelries, cosmetics, soaps and skin care products. Meanwhile, Ampawan Pichalai, Director of the ministry's Trade Policy and Strategy Office, told reporters that a survey on 1,790 respondents last month found the Business Expectation Index at 43.0, higher than 38.0 in the previous quarter although the index remained below 50, showing some concerns over the domestic political situation, rising costs of business operations, global economic conditions and higher costs of living. Ampawan noted that the survey also showed the same index for business expectation in the next three months stood at 61.4 due to relieving domestic political problems, positive impacts from disbursed budgets and payments for pledged rice to local farmers. However, the surveyed business operators suggested foreign exchange rates be stabilized, the costs of living and public utility fees be capped, the next Thai general election to be held in the near future, production costs be lowered and measures be implemented to stimulate domestic consumption and the national economy. (TNA)