The Ministry of Commerce, in collaboration with the Thai Retailers and Wholesalers Association and over 90 networks of modern trade and malls nationwide, will hold the “Local Low Cost” campaign from Nov 1 to 15, offering essential items at discounts of up to 60%.
Commerce Minister Suphajee Suthumpun said the ministry has joined forces with the association and over 90 modern trade and mall operators that operate more than 800 branches in total across the country to provide the heavily discounted essential items, including consumer products, cosmetics, pet food and electronic items.
The campaign aligns with the “Khon La Khrueng Plus” co-payment scheme and also allows state welfare cardholders to access the discounts.
“The 15-day campaign is expected to generate at least 5 billion baht in economic circulation and help reduce living costs by over 1 billion baht. The discounts will be available at both large retailers and community grocery shops,” Mrs Suphajee said.
Somchai Pornrattanacharoen, honorary president of the Thai Retailers and Wholesalers Association, said over 400,000 grocery stores have been struggling amid weakening consumer purchasing power and the rapid growth of online commerce.
He urged grocery store owners to adapt by integrating digital channels and passing the business on to younger generations familiar with e-commerce.
Mr Somchai believes the current Khon La Khrueng Plus co-payment scheme will boost income for small grocery stores more effectively than previous phases as it comes at the right time to address current challenges.
He said the scheme is expected to benefit small grocery stores that are not registered as legal entities, while those operating as legal entities will gain advantages through the “Blue Flag” programme, which supports spending by state welfare cardholders who receive a subsidy of 1,700 baht.
However, he said the Khon La Khrueng Plus co-payment scheme is just a short-term stimulus measure, adding that long-term support such as tax incentives and business training is required to improve entrepreneurs’ capabilities and help their transition to legal entities.
Mrs Suphajee added that the ministry has collaborated with the Digital Economy Promotion Agency (depa) and the Small and Medium Enterprise Development Bank of Thailand (SME D Bank) to enhance the competitiveness of independent retailers.
Depa will focus on enhancing skills for small and medium-sized enterprise entrepreneurs and local grocery stores, enabling them to fully adapt to the digital economy.
The initiative offers free trials for store management software and provides up to 50% financial support, capped at 200,000 baht for digital adoption.
Meanwhile, the SME D Bank has introduced a special loan programme with a fixed interest of 3% a year for up to three years. Small businesses can apply for loans of up to 1 million baht while larger enterprises get a maximum loan of 30 million baht.