Baht upheaval carries across industries
Agriculture, electronics, and food and drink have been hit hardest by the baht’s 6% year-to-date appreciation, according to Asia Plus Securities (ASP). Porranee Thongyen, ASP’s head of research, said the stronger than expected baht hurt exporters like Sri Trang Agro Industry Plc, which earns most of its income in US dollars and mostly baht-denominated expenses. Exporters with large dollar expenses, such as Thai Food Group Plc, benefited from the currency’s gain. Most exporters, including those that make parts and ship agriculture food products, will lose about 5% in profit for every additional baht the dollar loses in its exchange rate, Mr Porranee said.
