Thailand’s food export industry is threatened by migrant labor shortages

The tourism, service, industrial, and export industries in Thailand all need more workers. The Federation of Trade Unions has encouraged the government to address the labor shortfall as soon as possible by negotiating memorandums of understanding with neighboring countries in order to increase migrant worker inflows. As a result of Thailand’s reopening of its borders and the loosening of more controls against Covid, economic activity has expanded, resulting in a stronger demand for more labor. The export sector will play a big role in growing GDP this year. According to the National Food Institute, Thailand’s food export value is anticipated to exceed 1.2 trillion baht. The possibility of global food shortages as a result of the ongoing conflict between Russia and Ukraine has pushed many countries to purchase and stockpile Asian food. Thailand, according to the FTI, will be unaffected by the labor crisis because the country’s agricultural output is sufficient and it is a significant food exporter.

According to Kriengkrai Thiennukul, Chairman of the Federation of Thai Industries (FTI), the Thai food industry has experienced a surge in larger overseas orders, but the honeymoon period may be short due to a severe labor shortage in the sector. The Thai food sector has prepared raw materials to satisfy increased demand as a result of a raw material shortage caused by the war. The food sector employs a total of 500,000 Thai and foreign workers.The Covid19 pandemic produced low labor in Thailand, prompting a large number of migrant laborers to migrate to Laos, Myanmar, and Cambodia, causing challenges for the food industry and supply lines.