Thai Ministries Move to Stabilize Shrimp Industry Amid Malaysian Import Suspension

Bangkok: The Ministries of Commerce and Agriculture are tackling problems in the Thai shrimp industry, accelerating the absorption of excess production and opening new markets. The Ministries have responded to the Prime Minister's directive to address the challenges facing the Thai shrimp industry after Malaysia suspended imports. They are accelerating efforts to absorb existing supply, open new markets, and prevent farm-gate prices from falling.

According to Thai News Agency, Ms. Ratchada Thanadirek, spokesperson for the Prime Minister's Office, stated that following Malaysia's announcement of a temporary suspension of imports of five shrimp species from Thailand, effective June 1, 2026, the Ministry of Commerce, in collaboration with the Ministry of Agriculture and Cooperatives, has expedited the development of measures to mitigate the impact on shrimp farmers. These measures include both immediate solutions and long-term approaches. The Prime Minister is deeply concerned about the hardship faced by shrimp farmers and instructed the Ministry of Commerce and the Ministry of Agriculture and Cooperatives at the Cabinet meeting on June 2, 2026, to urgently negotiate with Malaysia and prepare measures to mitigate the impact on shrimp farmers, particularly those in the southern region.

Ms. Rachada stated that the Prime Minister prioritizes preventing low farm-gate shrimp prices and managing production that may be continuously affected, as the shrimp industry involves farmers, collectors, processing plants, exporters, and a large workforce.

For the latest measures, the Ministry of Commerce has outlined 13 urgent measures aimed at absorbing approximately 400 tons of affected shrimp production per month, close to the average monthly export volume of Thai shrimp to Malaysia of 300-400 tons, or a value of around 44 million baht per month. Short-term measures will target both domestic and export markets. The Department of International Trade Promotion will accelerate market opening through activities in China, including Top Thai Brands in Kunming and Xiamen, Thailand Week in Dalian and Lanzhou, as well as online business matching and promoting Thai shrimp at the global food trade fair SIAL.

Meanwhile, the Department of Internal Trade will stimulate domestic consumption through the "Hroy Rim Rae" event in Phuket, coordinating with local department stores in tourist areas to open shrimp purchasing points in target provinces, connecting exporters, processing plants, and buyers to purchase directly from producers, and utilizing the Thai Help Thai Plus and Blue Flag projects to help distribute the products. For the long term, the Department of Fisheries and the National Agricultural and Food Standards Office will expedite discussions with Malaysian authorities to resolve the issue, while the Ministry of Commerce has instructed its Thai Trade Center in Kuala Lumpur to closely monitor the situation and prepare to escalate the issue to the WTO and ASEAN forums if necessary. "Relevant agencies are systematically working to resolve this problem. The government's goal is to protect farmers, maintain farm-gate prices, open alternative markets, and minimize the risk of oversupply," Ms. Rachada said.