Cabinet Meeting Synopsis - April 07, 2021

Politics News Wednesday April 7, 2021 17:18 —Cabinet Meeting Synopsis (English)

The cabinet met via a video conference on April 7, 2021. Some of the resolutions are as follows:

Title: Commerce Ministerial Announcement on certificate requirement and administrative measures for importation of salt into the kingdom, B.E. ?

The cabinet approved in principle the draft Commerce Ministerial Announcement on certificate requirement and administrative measures for importation of salt into the kingdom, B.E. ?, as proposed by Ministry of Commerce. The Ministry shall take into consideration comments of Ministry of Industry, and Office of Council of State.

Gist

The draft Commerce Ministerial Announcement on certificate requirement and administrative measures for importation of salt into the kingdom, B.E. ? has been approved with an aim to address price decline of domestically-produced salt and alleviate plights of sea salt farmers as a result of salt importation.

Title: Draft Cosmetics Act (No. ?) B.E. ?

The cabinet approved and acknowledged the followings:

1. Approved the draft Cosmetics Act (No. ?) B.E. ?, which was proposed by Ministry of Public Health, and has been scrutinized by Office of Council of State.

2. Acknowledged the drafting of secondary legistrations, timeframe, and gist of the secondary legistrations to be issued under the draft Cosmetics Act (No. ?) B.E. ?

Gist

The draft Cosmetics Act (No. ?) B.E. ? is an amendment to the Cosmetics Act B.E. 2558 on the provisions related to cosmetics approval process to enhance efficiency and speed of the process. The draft Act would also accommodate national economic mobilization and enhance national competitiveness in cosmetics and healtcare business at the ASEAN and global level.

Title: Request for the FY2021 contingency fund for emergency for repair of infrastructure damaged by flood disaster in the South

The cabinet approved the request for the FY2021 contingency fund for emergency (central budget), for the total budget of 726.25 million Baht for repair of road infrastructure damaged by flood disaster in 4 Southern provinces, as proposed by Ministry of Transport. The budget will be allocated to the Department of Highway (539.50 million Baht), and the Department of Rural Roads (186.75 million Baht).

Gist

Ministry of Transport reported that during January 4-16, 2021, flood disaster has caused widespread damage to 4 provinces in the South, namely, Narathiwat, Pattani, Yala, and Songkhla provinces, especially to highways and rural roads in the provinces.

The FY2021 contingency fund for emergency, at the total amount of 726.25 million Baht is requested for the repair of roads and other infrastructures, damaged by flood disaster in the 4 Southern provinces

Title: Report on the Industrial Economics Status in Q4/2020 and Outlook for Q1/2021

The cabinet acknowledged Industrial Economic Report in Q4/2020 and Outlook for Q1/2021 as proposed by Ministry of Industry.

Gist

Based on the report, manufacturing production index (MPI) contracted by 0.9% which is better than Q3/2020 (8.1%). Key industries that contracted were manufacture of sugar, textiles and wearing apparel, rubber and rubber products. Key industries that have expanded well during Q4/2020 were manufacture of automobiles, and manufacture of electrical equipment.

Key Industries Outlook for Q4/2020:

Electronics: MPI and export value are expected to grow by 3.2% and 4.7% respectively as most people worked from home or studied online, thereby, an increased use of electronic devices. This is coupled with the demand for HDDs in developing 5G technology and IT infrastructure products, resulting in higher demand for electronics.

Pulp, Paper, and Print Media: It is expected that paper products (cardboard, corrugated paper, and kraft paper) used for packaging boxes will increase in line with the expansion in food, processed food, and beverages. At the same time, paper packaging in the New Normal era is projected to expand sharply. The industry will also benefit from online delivery and in other downstream industries. Meanwhile, exports will slow down in paper and paper products, books, and publications

Pharmaceuticals: It is expected to expand from the same quarter last year by 5.0%, following the growth trend of domestic and overseas markets, especially Vietnam, Myanmar, and Laos.

Food: The overall MPI of the food industry is forecasted to expand due to an increase of raw materials of agricultural products, such as pineapples and cassava. Domestic consumption is projected to improve due to measures to stimulate consumption from the government sector. The export value is likely to expand as some food products may continue to grow, such as instant foods (instant noodles, canned tuna, and sardines), seasonings, and pet foods.

Source: Cabinet Meeting (Prayut Chan-o-cha) April 07, 2021

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