Bangkok: The Office of Agricultural Economics (OAE) estimates that Thailand's agricultural sector will expand at a rate of 2-3 percent in 2026, similar to the 3.3 percent growth in 2025. This growth is expected to be supported by sufficient water resources, enhancing production capacity and boosting farmers' income.

According to Thai News Agency, Mr. Peerapan Kothong, Secretary-General of the Office of Agricultural Economics (OAE), stated that while the overall picture shows growth in 2026, the Thai agricultural sector still faces several challenges. These include the slowdown in the global economy, erratic weather patterns, reduced rainfall, and pressure from rising production costs due to reciprocal trade tariffs and stricter environmental regulations in foreign markets.

The new European Union Deforestation Regulation (EUDR), which came into effect in 2024, has become a significant challenge for Thailand's agricultural export sector. It mandates that products such as coffee, cocoa, rubber, palm oil, soybeans, beef, and timber exported to Europe must be traceable and prove not to be involved in deforestation after December 31, 2020.

Furthermore, EUDR is not just a new trade regulation, but a signal of the world's adaptation to environmental issues. There is a need to accelerate the development of traceability systems, upgrade production standards, and enhance innovation for Thai farmers, especially small-scale farmers who are a vital force in the agricultural sector.

The Secretary-General of the Office of Agricultural Economics (OAE) recommends that farmers should shift their farming methods from monoculture to diversified farming focusing on high-value crops. This will help diversify risk, increase income opportunities, and better cope with fluctuations in weather conditions and commodity prices.