Northern Industry unfazed by floods

Heavy industrial factories located in northern Thailand are far from areas currently flooded and are expected to remain unaffected by the seasonal heavy rain and flash floods, says the Federation of Thai Industries (FTI).

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Northern Industry unfazed by floods

Pawee Sirimai

Heavy industrial factories located in northern Thailand are expected to remain unaffected by the seasonal heavy rain and flash floods, says the Federation of Thai Industries (FTI).

However, some agricultural-related and food processing industries might see an indirect impact from a shortage of raw materials as the floods are likely to destroy crops, said the FTI.

FTI chairman Chen Namchaisiri said Thai industries in northern provinces are braced for severe floods but are likely to stay put.

Thailand has entered the rainy season and the Meteorological Department warned residents in the northern provinces of Nan and Phayao to prepare for further damage in these areas amid persistent heavy rains and floods.

Yesterday the authority warned people in 13 northern provinces –- Mae Hong Son, Chiang Mai, Chiang Rai, Phayao, Nan, Phrae, Lamphun, Lampang, Tak, Sukhothai, Uttaradit, Phitsanulok and Phetchabun – to brace for more rains.

That means major food crops including rice, sugar cane, soybeans, corn and tropical fruit could be damaged by weather, said Mr Chen.

However, the FTI has not received any complaints about production disruptions from factories in the North, he said.

"We haven't received any news that our members in those provinces have stopped operations because of floods. However, we will monitor the situation closely," said Mr Chen. As most factories in the North are for food processing or are related to agriculture, the FTI will keep a close eye on its members in the region, he said.

The heaviest flooding thus far has been along the Nan and Yom Rivers. The Northern Region Industrial Estate is in faraway Lamphun near the Ping River. / Map credit: By Kmusser - File:Chaophrayarivermap.png using Digital Chart of the World and GTOPO data., CC BY-SA 3.0, https://commons.wikimedia.org/w/index.php?curid=4859342

Veerapong Chaiperm, governor of the Industrial Estate Authority of Thailand (IEAT), said the industrial estates it operates are well-protected and unlikely to be adversely affected by floods. The IEAT will monitor the situation closely to prevent any production disruptions from floods, he said.

"We are not worried about our industrial estate in Lamphun province because the province has not yet experienced flooding and the estate has an emergency plan to handle such seasonal incidents," said Mr Veerapong.

The IEAT's Northern Region Industrial Estate is located near the Muang district of Lamphun and accommodates over 80 factories, mostly in the electronics and manufacturing sectors.

Mr Veerapong said recent flooding that destroyed crops and cut off roads occurred in provinces located along the Nan and Yom rivers, which are far from the industrial estate.

The water level in the industrial estate will be cautiously monitored to reassure investors in the area, said Mr Veerapong.

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