Thailand clothing manufacturers want the government to reduce taxes

A Thai domestic garment manufacturers urged Thai government tax cuts in overseas investment, it also can help clothing manufacturers to improve their work efficiency.

Thai garment manufacturers‘ association (TGMA) said, from April 1, 2012 minimum daily wages rise, these measures will reduce the burden of apparel manufacturers.

After the minimum wage, garment enterprises will have to pay workers 300 baht a day minimum wage.
Vallop Thailand clothing manufacturers association (TGMA) consultant, says Mr Vitanakorn raising the minimum wage is small business concerns, because higher wages make them in clothing manufacturers competition with other countries more vulnerable, such as Cambodia, India, Vietnam,

Bangladesh, Indonesia and Sri Lanka’s garment manufacturers.

However, some large garment enterprises have to establish production bases in neighboring countries, such as Cambodia, Vietnam and Laos, so skip the increased cost burden for higher wages.

Now, says Mr Vallop global market situation is not conducive to apparel manufacturers, because of the economic crisis and tough competition does not allow them to raise prices.

Because of fell 19% year on year, therefore, Thailand clothing textiles fell to $544 million in January, the main cause is a decline in cotton prices.
Foreign garment exports this year, says Mr Vallop expected more than $3.2 billion last year, because production costs are rising.
He said, adding that Thailand clothing manufacturers association (TGMA) will help domestic garment enterprises improve efficiency, enabling them to keep exports.