BANGKOK, 20 July 2011 – The Thai Industrial Sentiment Index (TISI) dwindled to 107.4 points in June from 108.3 in May 2011, according to the Federation of Thai Industries (FTI).
FTI Chairperson Payungsak Chartsutipol stated that the TISI slid last month due to entrepreneurs’ concern over flooding in the northern region of the kingdom, domestic political situation and global economic condition. Moreover, higher production costs are also worrying.
Nevertheless, the TISI standing beyond 100 points could indicate that entrepreneurs’ confidence remained strong as the domestic demand had been expanding continuously while prices of agricultural produce were also growing well.
As for the estimated industry confidence index in the next three months, it stood at 113.5 points, rising from 111.2 in May following the anticipated increase in purchasing orders, sales, production volume, operating costs and profits.
Entrepreneurs participating in the survey also advised that the public sector should urgently seek directions to reduce impacts from the minimum wage increase, enhance reconciliation, control the Thai baht appreciation, reduce cooperate income tax, solve labor shortage, and forge ahead with its investment in mega projects in order to stimulate the country’s economy.