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Bangkok Suvarnabhumi airport closure: 3 billion baht and counting

December 1, 2008
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“Reports has shown that the closure of Suvarnabhumi airport is causing 3 billion baht of damages to cargo transportation per day; 1.8 billion baht to importers and 1.2 billion to exporters. While the biggest impact so far has been on shipments of food and other agriculture products, if the closure continues for as much as a week production at as many as 30 to 50 SMEs is likely to stop. With lost production and revenues, lost jobs are sure to soon follow, adding to the already bleak economic environment.The biggest impact of the closure of the Bangkok Airport must be felt at by high tech and medical industries. Electronics goods such as hard-disk drives and integrated circuits (IC) are shipped in and out of Thailand by plane. Shipping by plane takes about three days compared to more than a month by ship. At the moment, cargo is being rerouted through airports in Malaysia and Singapore. Trucks are being used to deliver goods out of the country. At this point in time, the hindsight of TNT to set up its Asia Road Network points out to the ever increasing need to ensure that there are credible alternative mode of transportation to support the growth of business in Asia, instead of relying on just air and sea mode”.

Source: Supply Chain Asia

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