Thailand wants to increase free trade agreements (FTAs) to cover 80% of its global trade, spanning more than 50 countries, by 2027.
Auramon Supthaweethum, director-general of the Trade Negotiations Department, said it is planning to develop a number of new FTAs with several countries that should improve the competitiveness of exports and create trade and investment opportunities for Thai entrepreneurs.
The department is studying the feasibility of trade negotiations with countries and blocs such as Israel, Bhutan, South Korea, the Pacific Alliance (Chile, Peru, Mexico and Colombia), and the Southern African Customs Union, which comprises Botswana, Eswatini, Lesotho, Namibia and South Africa.
The department is also exploring the possibility of an FTA with the Gulf Cooperation Council (GCC).
The GCC is a regional, intergovernmental, political and economic union comprising Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates (UAE).
Furthermore, there is interest from the private sector in establishing an FTA between Thailand and the Mercosur trade bloc in South America.
Mercosur is an economic cooperation group that comprises Argentina, Brazil, Paraguay, Uruguay and Venezuela. The department is studying the feasibility of a trade pact.
Thailand already has an FTA with Peru.
The implementation of these suggested FTAs would enable the Thai government to achieve its goal of having FTAs covering 80% of its trade worldwide by 2027.
Thailand has 14 FTAs in place with 18 countries, accounting for 60.9% of its total trade.
In 2022, the value of trade between Thailand and its 18 FTA partners reached US$360 billion, an increase of 5.1% from a year before. This figure includes exports to FTA partner countries totalling $172 billion, up 2.7% from 2021, accounting for 59.8% of Thailand's total exports.
According to Mrs Auramon, the goal this year is to conclude negotiations for the Thai-UAE FTA, while next year Thailand wants to finish negotiations for three FTAs: Thai-Sri Lanka, Thai-European Free Trade Association, and Thai-Turkey pacts.
Negotiations for a Thai-EU FTA are expected to conclude by 2025, she said.
In addition to opening FTA negotiations, some countries want to establish a strategic partnership agreement with Thailand, which involve targeted trade agreements on a sectoral basis.
Australia already has an FTA with Thailand, but it wants to deepen cooperation in certain sectors such as agriculture, tourism, services, healthcare, education, energy and digital.
Australia and Thailand are in the process of preparing the details of an agreement, which are expected to be completed this year, she said.
Thai-UK FTA negotiations are using a Joint Economic and Trade Committee, which is scheduled to hold a meeting in the fourth quarter to promote trade and investment opportunities, especially in sectors of mutual interest and potential, such as agriculture, food and beverages, technology and financial services.
The UK is also interested in establishing an economic partnership agreement with Thailand as a basis for future FTA negotiations.