Discussed: 16 Apr 2024 at 06 :49
State firms are being advised by the Ministry of Commerce to prepare plans to deal with a potential spike in energy costs if the Iran-Israeli issue becomes worse.
Prime Minister Srettha Thavisin has carefully monitored the Middle East situation regarding the impact on Thailand, according to a Government House cause, and given him the instructions to file a report if the situation worsens more.
The action comes in response to Iran’s missile and drone assault on Israel on Sunday in response to Israel’s alleged assault on Iran’s consul in Damascus on April 1.
Following a long shadow war between the two adversaries in which Iran frequently attacks Israel through terror proxy, this was the first time Iran had attacked Israel immediately.
In reply, Commerce Minister Phumtham Wechayachai on Monday he claimed he has instructed the government, the Trade Policy and Strategy Office, the International Trade Promotion Department, and foreign officials to assess the potential effects of Thai business.
First, Thai-Iran industry has not been affected by the week’s events as they occurred in Israel.
Additionally, Mr. Phumtham requested that the Strait of Hormuz, which separates Iran from the Arabian Peninsula, been monitored for action.
Saudi Arabia, the United Arab Emirates, Iran, Qatar, and Kuwait are just a few of the Middle East’s major coastal exporters of oil and natural gas, according to the UN.
Every morning, about 21 million barrels of oil travel through the sea.
If the issue escalates, leading to the industry route being closed, it was severely impact fuel purchasing, resulting in an increase in travel costs and a rise in global energy costs.
According to him, state authorities have been instructed to investigate the negative effects of these situations and come up with strategies to stop them from having an impact on Thailand and the country’s imports.
The cost of fuel and liquefied petroleum gas ( LPG) could be affected by the conflict between Israel and Hamas, according to the National Economic and Social Development Council earlier.
According to the assessment, the capability of the nation to control fuel prices appears to have weakened, while Electric prices may continue to rise as the petrol fuel fund is fast running out.
The Federation of Thai Industries (FTI ) Chairman, Kringkrai Thiennukul, suggested the government create a risk management strategy.