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Unthinkable Turnaround: Thai Fruit Exports to China Skyrocket by 365%! The China-Laos Railway Initiating a New Trade Era!

Between January and May, Thai fruit exports to China experienced an unprecedented rise, skyrocketing by an astonishing 365%. According to sources, this drastic surge is largely attributed to the adoption of the China-Laos Railway for transportation of goods. This effective use of the railway has not only remarkably decreased the transport duration but has also tapped into the advantages of free trade agreements. The impact of this transport mode has been seen in the boosted presence of Thai products in the highly competitive Chinese market.

Thanks to the railway route, the transit time has plummeted to below 15 hours, a substantial reduction from the traditional two-day journey by road, noted Auramon Supthaweethum, Director-General of the Department of Trade Negotiations (DTN), Thailand’s Ministry of Commerce. Her remarks were captured during an interview with ThaiRath Online, as documented by the Bangkok Post.

Auramon further added that the luscious variety of Thai fruits exported to China noticed a noticeable uptick since the operationalization of the China-Laos Railway back in December 2021. The data revealing the shipments directed via the northeast dry port of Nong Khai, close to the Lao border within the Southeast Asian country, illustrated a gargantuan leap. The reported numbers swung from 90.41 million baht (equivalent to US$2.55 million) in the prior year to an astounding 1.96 billion baht (roughly US$55 million) this year.

On top of this, Auramon predicted that Thai fruit exports, along with other products shipped to China, have a significant scope to reap the benefits under the comprehensive guidelines of the Association of Southeast Asian Nations (ASEAN)-China Free Trade Area. In a similar context, she also extolled the merits of the Regional Comprehensive Economic Partnership.

In the span from January to May, Thai consignments directed to China via the China-Laos Railway touched upon a value of 2.84 billion baht. The lion’s share of these exports was occupied by the fresh durian shipments, claiming a robust 72% as revealed by the DTN’s analysis.

In associated developments, the incredible popularity of Thai fruit was seen in the opening five months of the year, as mirrored by the exporters maximizing the free trade agreement benefits. Shipments destined for China, in particular, showed an increased momentum. You can get to know more about this engaging trade trend by clicking here.

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