Dominated by entrepreneurs

Thailand with its dynamic economic growth, strong export orientation and expanding domestic market has been making German and other trade fair companies sit up and take notice over the last decades.

Thailand's economy, which up to 1997 grew by an average of 9 % a year, will continue to expand by about 5 % per annum until 2010. The economic power of the country comes from the broad diversification of its production structure, which embraces both a strong agricultural sector and competitive traditional economic sectors, such as foodstuffs, furniture and textiles, modern technology-intensive industrial sectors such as automotive and IT products as well as a wide range of services.
The high productivity levels and international competitiveness in the food, food processing, furniture and furniture manufacturing industries, prompted Koelnmesse to get involved in the Southeast Asian market with two tradeshows, the Thaifex - World of Food and the Thailand International Furniture Fair. Through collaboration with the Department of Export Promotion, they succeeded in internationalising. The Thaifex - World of Food powered by Anugasaw its number of exhibitors grow by 20 % to 855 companies and exhibition space increase by 25 % to 42,000 m2. It has become established as one of the largest events in the Thai and Southeast Asian exhibition calendar. The Thailand International Furniture Fair (TIFF) which is staged together with Interior Design Asia (IDA) also expands.
The dynamic development of the two shows is characteristic of the entire Thai market. Since 2000, the number of exhibitions taking place has almost doubled (85 in 2003), while the net exhibition space sold has increased 60 % to around 171,000 m2. The number of exhibition facilities available also saw strong growth. Since 2003, the overall surface area available has increased by approximately 50 % and is set to reach 190,000 m2 by the end of this year. 2006 will see this figure rise by another 5 to 10 %, when the exhibition centres in Phuket and Chiang Mai currently under construction are completed. This rapid increase over the last few years has resulted in a relatively low utilisation of existing capacity, leaving the Thai market struggling with sizeable overcapacity.
The most important trade fair and exhibition centre in Thailand is the Impact Muang Thong Thani in Bangkok. It is easily accessible due to its close proximity to Bangkok's old airport, Don Muang. By the end of the year, the centre will provide 137,000 m2 of exhibition space. The Bangkok International Trade and Exhibition Center (BITEC) with around 36,000 m2 is the country's second largest exhibition site, followed by Queen Sirikit National Convention Center (QSNCC) with 4,850 m2.
The Department of Export Promotion, the collaborative partner of Koelnmesse's Singapore subsidiary, is the largest trade fair organiser in Thailand, followed by Reed Tradex, the joint venture company set up by Reed with local partner Tradex and CMP Media Thailand, a subsidiary of CMP. The Department of Export Promotion organises for example the Bangkok Gems and Jewelry Show, BIG Bangkok International Gift and Houseware Show, BIFF Bangkok International Fashion Fair and the Thailand Health and Beauty Show. Reed Tradex also organises two top-ten events. The tradeshows Metalex und World Tech are now well established and take place annually. Also amongst the top ten are CMP's international metalworking, automation and machine tool fair, Intermach, and the international trade fair for intensive animal production VIV Asia, which is staged by VNU Exhibitions Europe.
The government also actively supports the trade fair industry and in 2002 set up the Thai Convention & Exhibition Bureau precisely for that purpose. From a foreign exhibitor's viewpoint, the Thai trade fair market stands out for a variety of reasons: Thailand's history is characterised by its resolve to remain independent. So, for example, the country was never subjugated by an Asian or European colonial power. It has developed an independent business culture that differs greatly from that of other Southeast Asian countries. Its economic, social, and political life is dominated by entrepreneur personalities. As almost all large international companies either have subsidiaries or agents in the country who operate quite independently, it is also important to have a strong sales team in Thailand: Many decisions are made locally. Michael Dreyer

m+a report Nr.8 / 2005 vom 08.12.2005
m+a report vom 8. Dezember 2005