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Thai Coffee Lovers Cut Back as Economic Pressures Brew

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How Thailand’s Coffee Culture Adapts Amid Economic Squeeze

Amid rising costs and economic challenges, Thai coffee lovers are shifting their habits, ditching pricey cups in favour of more affordable options. Despite the hurdles, Thailand’s café culture remains resilient, with businesses adapting to meet changing consumer preferences.


The Decline of Premium Coffee Purchases

With coffee prices soaring past 100 baht per cup, many consumers are reconsidering their caffeine budgets. According to Korn Sanguankeaw, Vice President of the Specialty Coffee Association of Thailand, there has been a 60% to 100% growth in cafés offering brews priced between 60 and 80 baht.

“Consumers still indulge on special occasions,” Korn noted, but the shift toward affordability is undeniable.

Delivery Data Reflects Changing Preferences

Data from Grab’s delivery platform reveals a significant drop in spending per coffee order, from an average of 250 baht to 100-150 baht, showcasing the impact of tightened budgets.


Rising Costs Challenge the Coffee Industry

Global Coffee Prices on the Rise

The industry is grappling with a 74.3% increase in global coffee bean prices, fueled by:

  • Climate change affecting crop yields.
  • A staggering 90% import tax combined with a 7% VAT.
  • Rising transportation costs.

Imported coffee beans now cost around 200 baht per kilogramme, making it harder for café owners to maintain profitability.

Local Coffee Production Falls Short

Thailand’s local coffee production cannot meet growing demand, leaving café operators heavily reliant on imports. This dependency exacerbates the impact of rising global prices and high import taxes.


Adapting to Consumer Preferences

Diversification in Offerings

To attract cost-conscious customers, cafés are expanding their menus to include alternatives like:

  • Smoothies
  • Dubai chocolate drinks
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This diversification helps maintain customer traffic despite the economic downturn.

The Resilience of Thailand’s Café Scene

While many consumers are scaling back, the café culture remains a cornerstone of Thai social life. Operators are finding innovative ways to keep their businesses afloat, even as they face steep challenges.


Calls for Policy Reform

Korn Sanguankeaw stressed the urgent need for policy changes, particularly a reduction in the 90% import tax on coffee beans. Without such measures, many café operators risk losing profitability, threatening the long-term viability of Thailand’s thriving coffee scene.


Brewing a Balanced Future

The Thai coffee industry is at a crossroads. Consumers are adjusting their habits, and café owners are innovating to adapt. However, addressing the root causes of high costs—through policy reforms and improved local production—remains essential to sustaining the industry.

 

Ref – Thaiger

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Bangkok Faces Dim Skies and Rain as Northern Thailand Swelters in Extreme Heat

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Weather Forecast for Bangkok

Cloudy Conditions with Chance of Showers

Bangkok and its surrounding areas are expected to experience hot weather with dim skies throughout the day. There is a 10% chance of isolated thunderstorms, with temperatures ranging from 25-27°C at night to 34-38°C during the day. South winds are forecasted to blow at 10-20 km/h.

Northern and Northeastern Regions

Extreme Heat and Hazy Conditions

The northern and northeastern parts of Thailand are bracing for extremely hot weather with hazy conditions. Temperatures in these regions are predicted to soar between 35-40°C, with some areas potentially experiencing even higher temperatures.

Weather Patterns Across Thailand

Low-Pressure System Impact

A low-pressure system caused by heat is currently covering upper Thailand, resulting in generally hot and dim weather conditions. Some areas in the northern, northeastern, and central regions will face extreme heat, prompting health warnings for residents.

Precautionary Measures

Health Advisories Issued

Authorities are advising residents in affected areas to take care of their health due to the hot to extremely hot conditions. It is recommended to avoid prolonged outdoor activities and stay hydrated throughout the day.

Southern Thailand and Coastal Areas

Minimal Rainfall Expected

The Gulf of Thailand, southern region, and the Andaman Sea are experiencing weak easterly and southeasterly winds, resulting in minimal rainfall during this period. However, residents and tourists should remain vigilant for any weather changes.

Meteorological Department’s Recommendations

Stay Informed and Prepared

The Meteorological Department urges the public to stay updated on weather forecasts and follow any guidelines or warnings issued by local authorities. It is essential to be prepared for sudden weather changes, especially in areas prone to thunderstorms and gusty winds.

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Thai Prime Minister Heads to ITB Berlin 2025 to Boost Tourism

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PM’s Journey to Germany

Promoting Thailand on the Global Stage

Prime Minister Paetongtarn Shinawatra departed from Suvarnabhumi International Airport on Monday morning, embarking on a journey to Berlin, Germany. Her mission is to attend ITB Berlin 2025, one of the world’s premier travel trade shows.

ITB Berlin 2025: A Global Tourism Hub

Showcasing Thailand’s Tourism Potential

The event, scheduled from March 4 to 6 at the Berlin ExpoCentre City, serves as a leading platform for the global travel and tourism industry. This year’s convention theme, “The Power of Transition Lives Here,” will focus on sustainability, technology, and the evolving landscape of the travel sector.

Thailand’s Strong Presence

50 Years of Participation and Future Plans

The Tourism Authority of Thailand (TAT) marks its 50th participation in ITB Berlin this year. Leading a delegation of 160 Thai tourism business operators, TAT aims to promote the “Amazing Thailand Grand Tourism & Sports Year 2025” campaign under the concept of “Sustainable Thailand Soft Power.”

Beyond the Trade Show

Strengthening International Relations

During her visit, which extends until March 8, Prime Minister Paetongtarn will engage in discussions with prominent German business figures. She will also meet with Team Thailand officials from European Union nations to review their efforts in promoting Thailand across various sectors.

A Platform for Global Networking

Showcasing Thailand’s Tourism Industry

ITB Berlin 2025 provides an excellent opportunity for Thailand to showcase its tourism offerings to a global audience. With exhibitors from around the world representing various sectors of the travel industry, the event promises to be a hub of networking and innovation in the tourism sector.

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Thai PM Paetongtarn Defends Leadership Amid Opposition Criticism

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Prime Minister’s Response

Addressing No-Confidence Motion

Prime Minister Paetongtarn Shinawatra has responded to the opposition’s accusations of poor leadership, defending her administration’s performance since taking office. The People’s Party, led by Natthaphong Ruengpanyawut, filed a no-confidence motion against Paetongtarn, citing lack of qualifications and alleged submission to her father’s influence.

Economic Performance

GDP Growth Concerns

Paetongtarn countered claims about Thailand’s slow economic growth, emphasizing her government’s efforts to stimulate the economy. She acknowledged the challenges faced by the nation but highlighted initiatives aimed at boosting GDP and improving the country’s economic standing within ASEAN.

Governance and Decision-Making

Allegations of External Influence

The Prime Minister firmly denied accusations of being unduly influenced by her father, former Prime Minister Thaksin Shinawatra. Paetongtarn asserted her independence in decision-making and governance, stressing that her administration operates based on merit and the best interests of the Thai people.

Coalition Management

Addressing Internal Dynamics

Paetongtarn defended her ability to manage the coalition government effectively. She emphasized the strength of unity within the coalition and expressed confidence in surviving the censure debate, countering opposition claims of poor control over coalition votes.

Policy Implementation

Fulfilling Campaign Promises

The Prime Minister reaffirmed her commitment to implementing campaign promises and addressing key issues facing Thailand. She outlined progress made in various sectors, including tourism, which has shown positive growth under her leadership.

Future Outlook

Commitment to Transparency

Paetongtarn expressed readiness to answer all questions in the upcoming censure debate, demonstrating her commitment to transparency and accountability. She reiterated her dedication to solving the nation’s problems and improving the lives of Thai citizens.

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