Thai Footwear Association Chief Says Quality Upgrade Offers Key to Survival.

Byline: Somporn Thapanachai

Sep. 5--Shoe exporters that want to stay in the market must make high quality products and move away from mass-produced items if they want to avoid competition from China, Indonesia and Vietnam, according to Surasak Pongtawewirat, president of Thai Footwear Association.

His warning follows footwear industry projections that export growth will be only 1 percent to 1.5 percent this year, up from 37 billion baht in revenue last year, despite an expected increase in orders until the end of this year.

The export of sporting footwear, especially for foreign brands, had expanded greatly and Thailand should continue developing the market, he said.

Thai designs were accepted in the European Union but turnover had been limited by global economic weakening.

Shipments of leather shoes had declined in value as buyers looked for lower-priced synthetic products.

This trend reflected a wider problem, Mr Surasak said, as 40 percent of small and medium-size shoemakers in Thailand had closed down in recent years because they could not compete with products made by cheaper labour in other parts of Asia.