WORLD TRADE  
ORGANIZATION  G/STR/N/11/THA 
17 August 2006 
 (06-3935) 
Working Party on 
State Trading Enterprises Original:   English 
 
 
 
STATE TRADING 
 
New and Full and Updating Notificatio ns Pursuant to Article XVII:4(a)  
of the GATT 1994 and Paragra ph 1 of the Understanding on  
the Interpretation of Article XVII  
 
THAILAND 
  
 The following communication, dated 15 August 2006,  is being circulated at the request of the 
Delegation of Thailand.  
_______________ 
 
 
 In accordance with Article XVII:4(a) of the GATT 1994 and paragraph 1 of the 
Understanding on the Interpretation of Article XVII as well as the recommendation adopted by the 
Working Party on 11 November 2003, I have the honour, upon instructions of my authority, to submit 
the new and full notifications covering Tha iland's state trading activities as attached. G/STR/N/11/THA 
Page 2  
 
  Enumeration of state trading enterprises
 
  The notification covers the following enterprises:  1. Public Warehouse Organization (PWO) 
2. Liquor Distillery Organization (LDO) 
3. Thailand Tobacco Monopoly (TTM)    1. Public Warehouse Organization (PWO)  
Reason and Purpose
 
  The Public Warehouse Organization (PWO) is a st ate enterprise attached to the Ministry of 
Commerce.  The objective is to “engage in all activities concerning agricultural goods and consumer 
products, as well as in service business connected with agricultural goods and consumer products”, according to the Royal Decree Establis hing the Public Warehouse B.E.2498. 
 Description of the functioning of the state trading enterprise
 
 
 PWO does not conduct direct import operati ons, but allocate quantities to import under in-
quota tariff.  Importers will have to perform import operations them selves and then submit an import 
request to PWO.   Reason why no foreign trade has taken place
 
 
 Each year PWO have allocated such quota to  private sectors who intend to import, however, 
so far no imports have taken place.    
   G/STR/N/11/THA
 Page 3TABLE I  
 
STATE TRADING:  PUBLIC WAREHOUSE (PWO) 
STATISTICAL INFORMATION, IMPORTS  
 
Description of product Year Total quantity 
imported 
(kilogram) Quantity imported 
by state trading 
enterprise 
(kilogram) Average import price 
(Baht/kilogram) Average representative 
domestic sales price Mark-up National 
production (ton) 
2004 N/A N/A N/ A N/A N/A N/A Rice 
2005 N/A N/A N/ A N/A N/A N/A 
 
 
TABLE II  
 
STATE TRADING:  PUBLIC WAREHOUSE (PWO) 
STATISTICAL INFORMATION, EXPORTS  
 
Description of product Year Total quantity 
exported 
(kilogram) Quantity exported by 
state trading enterprise 
(kilogram) Average 
procurement price  Average representative 
domestic sales price Average export 
price 
(Baht/kilogram) National 
production (ton) 
2004 N/A 104,480. n.a. N/A 16.56 N/A Rice 
2005 N/A 215,000 n.a. N/A 9.82 N/A 
 
 
TABLE III  
 
STATE TRADING:  PUBLIC WAREHOUSE (PWO) 
STATISTICAL INFORMATION, DOMESTIC ACTIVITIES  
 
Description of product Year Domestic purchases by 
state trading enterprise National production (ton) Domestic sales by state 
trading enterprise National consumption 
2004 N.A. N.A. 35,623,370 N/A Rice 
2005 N.A. N.A. 25,965,580 N/A 
 
 G/STR/N/11/THA 
Page 4  
 
  2. Liquor Distillery Organization (LDO)  
 
 Liquor Distillery Organization Excise Department   is empowered by the Excise Department, 
Ministry of Finance, to be the sole producer of ethyl alcohol 95 per cent.  
Reason and purpose
 
  The Liquor Act, B.E. 2493, authorized Liquor  Distillery Organization Excise Department to 
be the sole producer and distributor of ethyl alcohol  95 per cent.  The purpose of such an arrangement 
is to prevent illegal trade. 
 
Description of the functioning of state trading enterprise
 
  Liquor Distillery Organization Exercise Department only deals with the production of ethyl alcohol 95 per cent to be distributed within the country.   
 
Reason why no foreign trade has taken place
 
  Production quantity of ethyl alcohol 95 per cent is not enough to sell for foreign trade.    
  
   G/STR/N/11/THA
 Page 5TABLE I  
 
STATE TRADING:  LIQUOR DISTILLERY ORGANIZATION EXCISE DEPARTMENT 
STATISTICAL INFORMATION, IMPORTS  
 
Description of product Year Total quantity 
imported Quantity imported 
by state trading 
enterprise Average import 
price Average 
representative 
domestic sales price Mark-up National 
production 
Ethyl alcohol 95 per cent 2003-2005 n.a. n.a. n.a. N/A n.a. N/A 
Note: n.a. = not applicable  N/A = not available 
 
TABLE II  
 
STATE TRADING:  LIQUOR DISTILLERY ORGANIZATION EXCISE DEPARTMENT 
STATISTICAL INFORMATION, EXPORTS  
 
Description of product Year Total quantity 
exported Quantity exported by 
state trading 
enterprise Average 
procurement price Average 
representative 
domestic sales price Average export 
price National 
production 
Ethyl alcohol 95 per cent 2003-2005 n.a. n.a. n.a. N/A n.a. N/A 
Note: n.a. = not applicable 
 N/A = not available 
 
TABLE III  
 
STATE TRADING:  LIQUOR DISTILLERY ORGANIZATION EXCISE DEPARTMENT 
STATISTICAL INFORMATION, DOMESTIC ACTIVITIES  
 
Description of product Year Domestic purchases by 
state trading enterprise 
(litres) National production 
 Domestic sales by state 
trading enterprise 
(litres) National consumption 
2003 N/A N/A 8,655,837.60 N/A 
2004 N/A N/A 7,900,996 N/A Ethyl alcohol 95 per cent,  
99.8 per cent 
2005 N/A N/A 8,028,897.60 N/A 
2003 N/A N/A 5,284,880 N/A 
2004 N/A N/A 6,124,680 N/A  
Impure alcohol 
2005 N/A N/A 6,277,720 N/A 
Note: n.a. = not applicable 
 N/A = not available G/STR/N/11/THA 
Page 6  
 
  3. Thailand Tobacco Monopoly (TTM)  
 
 TTM is empowered by the Ministry of Finance.  The organization is the sole producer of cigarettes in Thailand.  
Reason and purpose
 
  The Tobacco Act, B.E. 2509, authorized TTM to be the sole producer of cigarettes in order to 
reduce negative consequences of cigarette cons umption by controlling the domestic supply of 
products. 
 
Description and functioning
 
  To prevent cigarette quantities from exceeding cer tain limits that are specified by the Excise 
Department, under the Ministry of Finance, TTM is authorized to be the sole importer of tobacco, 
which is used for producing cigarettes in Thailand.  There is no restriction for private companies to 
import or export cigarettes.   
   G/STR/N/11/THA
 Page 7TABLE I  
 
STATE TRADING:  THAILAND TOBACCO MONOPOLY (TTM) 
STATISTICAL INFORMATION, IMPORTS (YEAR 2005)  
 
 
Description of 
product(s) Total quantity 
imported 
(kilograms) Quantity imported by state 
trading enterprise 
(kilograms) Average import 
price 
(per kg.) Average 
representative 
domestic sales 
price Mark-
up National 
production 
American Tobacco        
Flue-cured - - - - - - 
Burley - - - - - - 
Brazil tobacco        
Flue-cured 471,000  471,000  US$7.60 CFR N/A N/A N/A 
Burley 596,800  596,800  US$3.59 CFR N/A N/A N/A 
China Tobacco        
Flue-cured 439,000  439,000  US$9.60 CFR N/A N/A N/A 
Burley - - - - - -  
  G/STR/N/11/THA 
Page 8  
TABLE I  
 
STATE TRADING: THAILAND TOBACCO MONOPOLY 
STATISTICAL INFORMATION, IMPORTS (YEAR 2006) 
 
 
Description of 
product(s) Total quantity 
imported 
(kilograms) Quantity imported by state 
trading enterprise 
(kilograms) Average import 
price 
(per kg.) Average 
representative 
domestic sales 
price Mark-
up National 
production 
American Tobacco        
Flue-cured 1,364,400  1,364,400 US$15.44 CFR N/A N/A N/A 
Burley   971,808 971,808 US$8.20 CFR N/A N/A N/A 
Brazil tobacco        
Flue-cured - - - - - - 
Burley - - - - - - 
China Tobacco        
Flue-cured 230,400  230,400. US$4.86 CFR N/A N/A N/A 
Burley 267,300 267,300 US$4.895 CFR N/A N/A N/A 
  
   G/STR/N/11/THA
 Page 9 
 
TABLE II  
 
STATE TRADING:  THAILAND TOBACCO MONOPOLY (TTM) 
STATISTICAL INFORMATION, EXPORTS  
 
 
Description of 
product(s) 
(including HS) Year Total Quantity 
exported 
(Million pieces) Quantity exported by 
state trading 
enterprise Average 
procurement 
price Average representative 
domestic sales price 
(USD) Average export 
price  
(USD) National production 
2004 19.84 N/A N/A N/A 0.19 Krongthip 90, Falling 
Rain 90 
2005 12.1 N/A N/A N/A 0.19 Krongthip 90, Falling 
Rain 90 Cigarettes 
4202.20.10 
2006 
(Jan-Apr.06) 6.9 N/A N/A N/A 0.19 Krongthip 90, Falling 
Rain 90, Blue Wave,  
Blue Wave Menthol 
 
Note:  n.a. = not applicable 
           N/A = not available 
 
 
 
  
  G/STR/N/11/THA 
Page 10  
  
TABLE III  
 
STATE TRADING:  THAILAND TOBACCO MONOPOLY (TTM) 
STATISTICAL INFORMATION, DOMESTIC ACTIVITIES  
 
  
Description of products Fiscal 
 Domestic purchases by 
state trading enterprise National production Domestic sales by state 
trading enterprise 
(Million pieces) National consumption 
2004 n.a. N/A 34,758.4 N/A 
2005 n.a. N/A 31,989.1 N/A Cigarettes 
(HS 2402.10) 
2006(Jan-April) n.a. N/A 9,009.9 N/A 
 
Note: n.a. = not applicable 
 N/A = not available 
 
 
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