Thailand’s consumer price index has dropped for four months in a row, to 106.98 points in January this year, which is the lowest since February 2021, said Poonpong Naiyanapakorn, director of the Office of Trade Policy and Strategy.
For the entire year, it is forecast that inflation will range from 0.3% to 1.7%, or an average of 0.7%, based on the assumption that growth will be between 2.7% and 3.7%, Dubai crude oil prices will range from 80-90 US dollars per barrel and the exchange rate will be 34-36 baht per US dollar.
The main factors contributing to the continuous drop in the consumer price index are the government’s measures to cut energy prices and the falling prices of fresh food, such as vegetables and meat, due to increased supply.
Inflation for January dropped by 1.11%, due mainly to decreases in the prices of energy, including diesel, gasohol 91, E20 and E85 and electricity, garments and cleansing products, such as detergent and dish washing fluid.
Prices of electrical appliances continue to fall, as many shops hold sales promotions. Prices of food and non-alcoholic drinks dropped 1.06%. The escalating conflict in the Middle East could, however, put upward pressure on prices as it has sent freight charges higher, while the baht has a tendency to weaken, which will result in price increases on imported products.