The Character and
Structure of The Economy
Traditionally
an agrarian nation, today
Thailand boasts a complex, multi-faceted economy embracing
industries employing the latest and most sophisticated technology.
Several important factors have contributed
to the country's enviable growth. Its principal comparative
advantage has been the abundance and diversity of its natural
resources. Blessed with large expanses of fertile land and
ideal growing conditions, Thailand not only enjoys agricultural
self-sufficiency but is also the only net food exporter
in Asia and one of the largest food exporters in the world.
Growth and diversification into new industrial areas have
to a large extent been initiated by the dynamic private
sector. Innovative private enterprise broadened the nation's
agrarian base by exploiting the value-added potential of
basic staple crops, and at the same time expanded into new
product areas in response to world demand. With the government
providing infrastructural support and exerting relatively
limited control over private industry, a free enterprise
system has emerged which has allowed development to take
place at a rapid rate consistent with the needs and resources
available.
With its agrarian base as the bedrock,
the economy has experienced steady growth. The introduction
of improved technology and marketing expertise has made
Thailand a world leader in the sales of staple commodities.
It has also transformed the country into a fast-rising manufacturer
of sophisticated products built to international standards
which find ready acceptance in world markets.
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The arduous rice-field work is year-long. In
April or May, farmers start planting seedlings in
their well-ploughed fields. By late November or
early December, cooperative work groups use sickles
to harvest the crops. Cut rice is threshed, and
the paddy is then ready to be winnowed and taken
to market. |
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Thailand's primary money earners in the late 1970s were
the crops grown on its rich land. Today agricultural products
are produced in such quantities that in many commodities
the country ranks as the world's number one supplier. Thus
besides being the world's foremost exporter of tapioca and
rice, it is a leader in the production of frozen shrimp,
canned pineapple, natural rubber and sugar. Moreover, Thailand's
industrial sector produces a wide number of goods ranging
from textiles including the famous Thai silk and ready-made
garments to integrated circuits, plastics, jewellery, footwear,
knocked-down furniture and fibre-glass yachts. In recent
years in fact, manufacturing has surpassed agricultural
products in Thailand's GNP, while tourism has replaced agricultural
products as Thailand's largest source of foreign exchange.
The country's rich reserves of minerals are eagerly sought
by the world's industries. In recent years, local factories
have been established to manufacture industrial goods from
the ores and thereby enhance their value.
