Home / Knowledge / News / Textiles / Thai textile industry shifting its production base
Thai textile industry shifting its production base
14
Jun '12

 

Several textile and garment industries of Thailand have decided to shift their production bases to neighbouring countries, te Federation of Thai Industries (FTI) has said. 
 
According to FTI Secretary-General Sommart Khunset, the Federation, along with many other industrial sectors of Thailand, has expedited its efforts to develop the potential of the workers in the neighbouring countries to facilitate shifting their production bases, as several entrepreneurs have decided to establish their units abroad to escape the impact of the 300-baht minimum wage hike, which is to be implemented across Thailand in 2013.
 
The FTI advised the industries like garment and textiles, which require massive manpower, to change their production methods by either cutting their manufacturing costs, particularly cost on energy front, or by adding more machines to substitute manpower to reduce labour costs.
 
However, the FTI cautioned that if it becomes difficult for these firms to bear the pressure, they would ultimately be forced to shift to a country with cheap labour availability.
 
Besides high cost of energy and minimum wage hike, the industrial sector, particularly in Ayutthaya province, is also enduring a labour crisis. It is because a lot many workers have migrated to the seven pilot provinces where the minimum wage hike has already been implemented.
 
Besides, several others factories have shifted to Chonburi and Rayong provinces, which have become a preferred choice of firms for setting up factories to avoid the problem of flooding. Such relocation of local workers to a few regions has compelled the firms in other regions to employ immigrant workers. 
 
On the other hand, large scale enterprises have increased the daily wage to 350-400 baht to attract workers. This may lead to a labour shortage for Thai SMEs in the near future, as the workers would get attracted to the higher paying large-scale enterprises, according to the FTI.
 

Fibre2fashion News Desk - India


Must ReadView All

Courtesy: Indorama Ventures

Textiles | On 17th Jan 2018

IVL, Huvis to enter JV for Low Melting Fibre plant in US

Indorama Ventures Limited (IVL), a global chemical producer, and...

Future Group to set up garment manufacturing in Bengal

Apparel/Garments | On 17th Jan 2018

Future Group to set up garment manufacturing in Bengal

Kishore Biyani-led Future Group is going to set up a garment...

Courtesy: Messe Frankfurt

Textiles | On 17th Jan 2018

Intertextile Shanghai to discuss opportunities in Asia

The spring edition of Intertextile Shanghai Apparel Fabrics will...

Interviews View All

Sonia Agarwal
Whitenife

‘The terms eco-friendly and organic are common but everyone perceives them ...

Nishank Patel
Shri Dinesh Mills Limited

Broad range of fabrics will sell well this financial year

Amit Jain
Shingora Textiles Ltd

‘In terms of fabric, the fastest growing category for us is a blend of...

Rikesh Mistry

Jupiter Comtex Pvt Ltd, established in 1973, started its textile machinery ...

Nitesh Mittal

Kusumgar Corporates is a leading manufacturer of technical textiles and...

Riddhi Jain

Conceived in Europe and curated in New Delhi, NeceSera is a...

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Nisha Chanda
Whistling Woods International School of Fashion

<div>A lack of upgraded courses in costume designing and fashion as per...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

January 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
68.8%
No
13.5%
Skip
17.7%

Total Votes: 96

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
63.5%
No
29.2%
Skip
7.3%

Total Votes: 96

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.5%
No
9.4%
Skip
3.1%

Total Votes: 96

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
82.3%
No
8.3%
Skip
9.4%

Total Votes: 96


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search