Prospective of silk yarn production in Thailand
1992
Somboonsri Kaensuwan
Silk yarn is a principle raw material used in a silk weaving industry. Silk production is a traditional industry which plays an important role in generating income and employment for rural people. But a shortage of domestic silk yarn has existed for many years, resulting in increases in silk imported and losses of foreign earnings. The objective of this study was to analyze a structure of production and market as well as factor affecting silk yarn production in Thailand. Based on the secondary data, 1970-1989, a descriptive analysis and econometric analysis were employed in this study. The study found that an existing structure of production and markets is a barrier to the growth of silk yarn industry. Silk yarn production by small farmers, with using traditional technology and low investment has created a sluggish growth of production. In addition, the silk yarn supply positively responded to prices in the previous year. The price elasticities are 0.7540 and 3.0849 for the native and the factory silk yarn respectively. The imported silk is negatively related to the supply of silk yarn production. A technology or trend and industry protection have positive effects on silk yarn production. The increase in prices and technology by improving quality of silk will stimulate production of Thai silk yarn.
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