Bangkok: Thai citizens are bracing for an extended period of high food prices as the country grapples with the ripple effects of an ongoing energy crisis, which is exacerbating inflation and driving up the cost of living.
According to Thai News Agency, Associate Professor Dr. Wisanu Attavanich, Director of the Center for Applied Economics Research at Kasetsart University, explained on the Good Morning ASEAN program on MCOT News FM 100.5 that the food crisis in Thailand is beginning to manifest more clearly. The energy crisis is increasing costs throughout the supply chain, impacting fertilizers, fuel, transportation, electricity, and the cold chain. Although the global food supply remains sufficient, these rising costs are causing food prices to surge. In the immediate term, the public will experience an increase in living expenses. If energy and fertilizer costs persist, farmers might resort to using less fertilizer or opt for cheaper crops, potentially leading to reduced yields and quality. This scenario would result in consumers bearing higher costs without corresponding income increases for farmers.
In the long run, Thailand could encounter a 'new form of food insecurity,' characterized by an adequate food supply that is too costly and unstable, posing accessibility challenges for low-income groups due to the nation's heavy reliance on energy imports.
Experts advise against food hoarding and recommend that consumers manage their expenditures wisely by choosing seasonal foods, minimizing food waste, and conserving energy. The agricultural sector is urged to adapt by using fertilizers and water more efficiently, selecting climate-resilient crops, forming collectives to enhance bargaining power, and focusing on high-value crops.
It is recommended that the government swiftly establish a "war room" to effectively communicate the crisis, along with implementing two key measures: providing targeted assistance to vulnerable populations in the short term, and tackling structural issues in energy, water, and food over the long term to mitigate the country's susceptibility.