Bangkok: The Ministry of Commerce and the private sector have confirmed that the supply of plastic pellets is adequate, ensuring no disruption to Thailand's industrial sector. This assurance comes as producers prioritize local sales over exports to prevent shortages, although price increases may occur following market trends.
According to Thai News Agency, the Ministry of Commerce and the petrochemical industry have implemented a "Domestic First" strategy, focusing on maintaining supply within the country. This measure aims to support domestic industries despite potential price hikes. Representatives from the private sector caution that prolonged issues could lead to heightened costs for downstream industries, suggesting diversification of raw material sources as a preventive step.
The Ministry of Commerce, alongside the Federation of Thai Industries (FTI), the Thai Chamber of Commerce, and the Board of Trade of Thailand, organized "Connecting Thai Petrochemical Supply Chains from Upstream to End Users." This event aimed to update the public on the current petrochemical landscape and enhance cooperation across the supply chain to ensure efficient management.
Ms. Arada Fuengthong, Director-General of the Department of International Trade, highlighted the volatile economic and trade situation, influenced by geopolitical tensions affecting energy prices and international transport. The Ministry is committed to supporting the industrial sector by monitoring global conditions and implementing measures to balance the supply chain, ensuring a stable supply of plastic pellets.
Mr. Kriengkrai Thianukul, President of the FTI, noted that the Middle East tensions have raised production costs across the petrochemical supply chain. Midstream industries face significant increases in plastic resin prices, impacting downstream sectors such as packaging, pharmaceuticals, and cosmetics. The FTI recommends government strategies to diversify raw material sources and promote bioplastics and recycling.
Mr. Saroj Phutthammawong of PTT Global Chemical Public Company Limited emphasized that the manufacturing sector is operating at full capacity, meeting domestic demand. While some shortages in polypropylene pellets may occur, the supply chain remains effectively managed despite geopolitical challenges.
The industry continues to prioritize domestic supply management, ensuring a steady supply of essential plastic pellets and promoting alternative materials to enhance resilience and meet market demands consistently.