January 26, 2005

Thai shrimp, chicken outlook 2005 to improve - CPF

The outlook for the local shrimp and chicken industry looks set to brighten brighter this year, according to Adirek Sripratak, president and CEO of Charoen Pokphand Foods Plc, Thailand's leading farm producer and exporter.

Mr Adirek said Thai shrimp exports to the European Union would soon be eligible again for tariff privileges under its Generalised System of Preferences, thanks in part to the assistance package the EU has provided to tsunami-hit countries, including Thailand. Thai shrimp exports will benefit from lower tariffs of between 4.2% and 4.3%, as opposed to 12% now, starting in April. The EU imports about 700,000 tons of shrimp each year.

Also, the US is likely to cut its anti-dumping duty on Thai shrimp exports, as part of aid measures to tsunami-hit countries.

As for chicken, he said, consumption in the domestic market was back to normal, which helped stabilise prices. Prospects for cooked chicken exports remain promising this year as manufacturers are focusing more on such products.

CPF shares closed yesterday on the Stock Exchange of Thailand at 3.68 baht, unchanged, in trade worth 6.69 million baht.