FTI calls for a gradual increase in energy prices

Mr. Tanit Sorat, Vice Chairman of the Federation of Thai Industries (FTI), has called on the government to gradually implement the planned increase in excise tax on diesel sales or to extend the THB5.03-per-liter excise tax waive, which will expire on January 31, for a few more months.

Mr. Tanit is worried that unless the government slow down the increase, local diesel price could go up by THB7-8 a liter to THB39 very soon.

He added that, in order to allow the private sector to adjust themselves for the cost increase, the government should consider raising the excise tax collection by THB1-2 per liter at a time until it reaches the target. By doing so, business operators will not be forced to accordingly adjust up goods prices by a hefty margin at one time too.

The FTI Vice Chairman went on to say that rising cost is now a major worry among various businesses due to the much-anticipated implementation of the THB300 minimum wage policy, the forecast rise in interest rates and the government’s planned transfer of THB1.14 trillion in debt from the 1997 crisis to the Financial Institutions Development Fund (FIDF).

(NNT : Nopparat Chaichalearmmongkol)

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