Clipping News : Ceramics fret on LPG prices

     Thailand's ceramic and glass industry faces a growing threat from rising liquefied petroleum gas (LPG) prices, higher minimum wages and a flood of products from neigh bouring countries.
     Amnart Yasothorn, secretary general of the Federation of Thai Industries' Ceramics Industry Club, said the Asean free trade agreement that went into effect in January 2010 flooded the market with products as tariffs were eliminated for ceramic products. "In 2015 when the Asean Economic Community takes effect, it will not impact the industry since we're already flooded with cheaper products from Malaysia, Indonesia and Vietnam,"said Mr Amnart.

     The value of Thailand's imports of ceramics rose significantly over the last three years, from 13.96 billion baht in 2008 to 18.56 billion 2010. Exports dropped to 19.87 billion baht in 2010 from 31.39 billion in 2008.
    Anurak Napawan, executive director of Indra Ceramic, said a hike of LPG prices by 12 baht this year is a major burden for his company, in which fuel costs represent almost 20% of total production costs.
    The company produces tableware,home decorative items and gifts with a capacity of 500,000 pieces or 250 tonnes per month. With capital of 250 million baht and employing 600 workers, 75% of its products are exported to markets including the United Kingdom, Germany, Europe and the United States.
    Mr Anurak said the company, as well as many others in the Lampang Ceramic Association, are currently not accepting pre-orders.

BANGKOK POST  26/7/2554 หน้า B8
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