Bangkok: Kobsak Srivaddhanaprabha is spearheading efforts to enhance Thai agricultural products and small and medium-sized enterprises (SMEs) by engaging the private sector to establish markets for agricultural producers across the nation. This initiative includes improving processing methods, scaling SMEs, minimizing unprofitable production, opening up imports, and advocating for Young Smart Farmers. Concurrently, Wisit Vejjajiva has unveiled plans to expedite plant breeding innovations and drone technology to address the labor shortage crisis.
According to Thai News Agency, Mr. Kobsak Pootrakul, who serves as the Chairman of the Agricultural Products, Food Security, and High-Value Agriculture Committee, as well as the Chairman of the Community Economy and SMEs Committee within the Sub-Committee on Trade, Tourism, and Community Economic Development, disclosed that a recent meeting on agricultural products and SMEs marked the inaugural gathering of the working group. Key discussions centered around Quick Win and Big Win policies as directed by Deputy Prime Minister and Minister of Commerce, Ms. Supajee Suthamphan. The meeting covered the agricultural sector comprehensively, from production to downstream processing, and aimed to leverage the private sector's support in marketing producers nationwide.
Mr. Kobsak elaborated on discussions regarding plant breeding research, enhancing various plant varieties, and driving innovation in agricultural products. These discussions, which followed his recent appointment, yielded several promising proposals.
In terms of SME development, the focus was on the SME-GP program designed to provide SMEs with a competitive edge amidst an influx of foreign goods. The talks explored solutions to this challenge, including software support, upscaling, and facilitating SME growth through SMS (Semi-Programmed Learning). The objective is to support SMEs in evolving into larger companies and becoming industry leaders. Emphasis was placed on expanding mentorship programs, skills training courses, online training, AI consulting, and coding programs, with more details expected on August 19th.
Regarding agricultural products, discussions aimed to identify problems and solutions within the sector. The committee emphasized the need to individually address concerns and propose solutions, with insights from the Chamber of Commerce informing these efforts. Considerations include identifying profitable and unprofitable agricultural ventures, focusing on high-value products, and encouraging young farmers to embrace change.
Mr. Wisit Limluecha, Vice Chairman of the Thai Chamber of Commerce, highlighted the necessity of ensuring food security and enhancing export opportunities for Thailand's agricultural products. The meeting concluded that analyzing the supply chain from the upstream and identifying products with competitive potential are vital steps forward.
For products lacking international competitiveness, imports may be required. Additionally, trade negotiations must protect domestic farmers by identifying sensitive products. A critical challenge is the slow upstream development in Thai agriculture, necessitating swift adoption of high-quality plant breeding research to boost productivity and reduce costs.
The labor shortages and aging society in the agricultural sector call for promoting machinery rental systems, such as agricultural drones, to help farmers meet production targets without increasing the workforce.
Mr. Wisit also recommended shifting production methods from mass exports to value addition through key substance extraction, which would enhance product value, reduce transportation costs, and expand global market opportunities. Continuous development of key products like cassava and rubber, alongside discovering new cash crops, is essential.
In the realm of international trade, Mr. Wisit stressed the importance of preparing for market regulations, particularly concerning tariffs and requirements at the 12.5% level. Addressing labor law amendments and excess production capacity are critical issues, with potential impacts on Thai exports if US tariffs return to their peak levels of 36%. Proactive planning is essential to mitigate these long-term impacts.