Border tensions affect Thai economy

Wipa Sunate, Chairwoman of the Trat Chamber of Commerce, recently said the eastern province of Trat has seen a drop in investor confidence and is facing a weakening economy.

The province’s exports to Cambodia are valued at 30 billion THB (909.5 million USD) while imports from the country are worth 3–4 billion THB, she said.

However, this trade arrangement is facing a decrease due to political instability and restrictions on border operating hours.

A decline in product flow and sales will further hit businesses and manufacturing, she said, adding if the border were to be permanently closed, the consequences would be even more severe.

Wipa added fruit farmers in Trat are unable to export their products to Cambodia due to bans on cross-border fruit transport. Tourism has also been affected as travellers face restrictions entering Cambodia.

The Thai-Cambodian Border Operations Centre on June 21 announced plans to support fruit farmers affected by border restrictions.

These include organising the "Thai Fruit Festival 2025" with malls and wholesale markets, distributing mangoes as gifts at 1,097 gas stations in Bangkok and nearby provinces, selling fruit at state-run stores.

Other steps are promoting corporate social responsibility purchases by government and private organisations and partnering with companies like Tao Bin, the vending machines operator, and AirAsia to buy fruits for smoothies and in-flight meals.

Meanwhile, Commerce Minister Pichai Naripthaphan instructed the Foreign Trade Department to tighten import controls on cassava from Cambodia due to the border tensions. The ministry also aims to protect Thai farmers and stabilise local prices that might be affected by the low-quality products imported from Cambodia, he added./.