Thailand's customs-based exports increased by 3.6% in February compared to the same period last year, the commerce ministry reported on Tuesday. However, this growth fell slightly below analysts' expectations.
According to a Reuters poll, analysts had anticipated a 4.4% year-on-year increase for February. This figure comes after January recorded a robust 10% rise in exports.
Imports also saw a modest increase of 3.2% in February year-on-year, surpassing the 1.5% growth expected in the poll. As a result, Thailand experienced a trade deficit of $0.55 billion for the month.
The ministry previously set a target of 1% to 2% export growth for the year, following a 1% decline in shipments in 2023.
Notably, rice exports surged by 33.4% year-on-year in February. Thailand, the world's second-largest rice exporter, forecasts a 14.4% decrease in rice exports for 2024, projecting shipments to reach 7.5 million metric tons due to lower production and increased competition.
The ministry attributed the steady export growth to the gradual global economic recovery and a resurgence in consumer confidence. Despite minor disruptions from the crisis in the Red Sea, exports to European and Saudi Arabian markets continued to expand.
However, uncertainties persist due to the slow recovery of major trading partners' economies, drought impacting agriculture, geopolitical risks, and exchange rate fluctuations.
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