Wednesday, June 13, 2012

Makro tasked with Took Jai deliveries

The Commerce Ministry will ask Makro to help distribute products to Took Jai shops nationwide if Thailand Post cannot solve its delivery problems, says the Internal Trade Department.

Some 3,000 Took Jai shops including 500 in Bangkok sell low-priced goods to consumers nationwide.

The department is maintaining its target of 10,000 shops total in operation by the end of this month.

Santichai Santawanpas, the department's deputy director-general, said project delays stem from slow budget approval and Thailand Post's inability to deliver products to retailers.

Outsourcing firms have been hired to help speed up deliveries.

Retailers place their orders twice a month with an average order value of 7,000 to 8,000 baht.

The department has prepared a back-up plan by asking Makro to support goods distribution, particularly in Bangkok.

That company was selected due to its earlier work with the department, plus it has a database of retailers.

Makro will receive a fee from providing this service.

Applications on hand to operate Took Jai shops now number between 12,000 and 13,000.

The government wants at least one shop in each tambon.

The department will within the next two months evaluate a list of goods to be sold in Took Jai shops.

Mr Santichai said the department expects no shortages in the event of a recurrence of flooding this year, as companies have already set up distribution centres in major provinces such as Chiang Mai and Lamphun.

A Commerce Ministry source said the ministry has completed a study of the cost structure of goods from production to wholesale along with the retail system.

This will ensure there is no profiteering anywhere in the process.

Products whose prices have been analysed include cabbage, long beans, limes, pork, chicken, eggs, vegetable oil, fish sauce, instant noodles and soap.

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