Thailand's floods draw TISI in November to lowest level in 29 months

BANGKOK, December 22 (TNA) - The Federation of Thai Industries (FTI) reported Thursday that the Thai Industries Sentiment Index (TISI) in November 2011 dropped for the sixth consecutive month and was at its lowest level in 29 months, standing at 87.5 from 89.0 in October, due to impacts from the country's flooding crisis over the past couple of months. FTI Chairman Payungsak Chartsutipol said that the TISI plunge resulted from overall orders, overall sales, production, operating costs and corporate performances having been affected by the massive flooding, particularly in the manufacturing and export of major industrial products including automobiles, automobile parts, electrical and electronic products and products in the supply chains of these industries due to their temporary suspension, as flooded plants and roads obstructed cargo transportation and business operations. Payungsak acknowledged if the TISI was below 100, it reflected local business operators’ concerns, noting although floods were relieved in some areas in late November, local firms remained too concerned to rehabilitate their businesses. According to the FTI chief, most local firms want the government to quickly help flood-affected industrialists and people and restore international investors’ confidence in Thailand with long-term flood prevention systems, as well as solutions to raw material shortages, product prices control, delay in implementing of its 300-baht daily minimum wage policy, provisions of soft loans for business operators and further stimulations of the national economy. The FTI chair conceded that local business operators' biggest concern rested with impacts from global economic problems, followed by unstable world oil prices, domestic political situation, foreign exchange rates and lending rates. (TNA)