11:40 | 10/10/2015 Economy
Vietnam has been seen as an attractive market to Thai cosmetics businesses as local people are showing a preference for made-in-Thailand products.
Illustrative image (Photo: Internet)
Thai Consul General to Ho Chi Minh City Malinee Harnboonsong said with high quality and reasonable prices, Thai cosmetics and personal care products are becoming more popular among Vietnamese consumers, especially the youth.
According to the official, Thailand shipped 2 billion USD worth of cosmetics abroad in 2013, 26 percent of which was delivered to the Southeast Asian region.
As the world’s second largest shampoo supplier and 12th largest skin care product exporter, Thailand earned 250 billion THB (nearly 7 billion USD) from the cosmetics industry in 2014.
The figure is projected to climb to 275 billion THB (7.6 billion USD) this year, said Ketmanee Lertkitcha, President of the Thai Cosmetics Manufactures Association.
She said the ASEAN Economic Community, scheduled to be formed by the end of this year, will present an ideal opportunity for the country to expand its market to Vietnam, Laos, Cambodia and Myanmar as well as on a global scale.
Economists suggested Vietnamese and Thai businesses cooperate in this field, since Vietnam’s cosmetics market has notably developed over the past years and Thailand boasts cutting-edge technologies, innovations in cosmetics production and personal care, as well as experience in spa and massage services.
While young Vietnamese people are turning towards natural and organic cosmetics, Thailand has an abundant resource of materials and self-contained production chains.
To promote its products, Thailand has organised numerous exhibitions and trade fairs annually in Vietnam, including COSMEX, which features cosmetics manufacturing and packaging machinery.
The COSMEX 2015 is due to take place in November, aiming to seek cooperation opportunities for Vietnamese and Thai businesses active in the field.
Trade between Vietnam and Thailand has increased by 13 percent annually over the past five years. In the first five months of this year, the figure stood at 9.8 percent./.