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31.08.201005:21:00UTC+00Thai Manufacturing Output Growth Slows In July

Thai manufacturing output grew at a slower annual pace in July, the Bank of Thailand said in a report on Tuesday.

Output rose 16.3% year-on-year in July, slower than June's 21.9% rise. The central bank attributed the decline in growth to factory maintenance shutdowns in petroleum and chemical industries, as well as shortage of raw materials in food industry.

Agricultural sector continued to grow favorably mainly from price. Crop prices edged up by 44.5% in tandem with rising prices of vegetable, rubber, fruit, glutinous paddy and cassava due to strong world demand and supply shortage from drought and pest outbreak. Crop production grew by 1.1% annually following increases in production of oil palm and rubber, owing to an expansion of plantation area. Farm income therefore surged 46.1%.

The central bank said the Thai economy in July grew at a decelerating pace from the previous month in line with softening private consumption, export and production sectors due partly to temporary factors and recorded-high economic activities in June.

Private consumption index increased by 5.1% moderating from June's significant rise. Export growth slumped to 21.2% from 47.1%, while imports rose 36.5%.

However, tourism sector continued to expand particularly from resuming trips of tourists from ASEAN countries and China. The number of foreign tourist arrivals in Thailand, totaling 1,258,000 persons, grew by 14.9% year-on-year. Meanwhile, private investment improved constantly.

The Thai economy expanded 9.1% year-on-year in the second quarter following the 12% growth in the first quarter.

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