Sourcing Products in Thailand
Planning to source products in Thailand? In this article, you will learn what importers must know about sourcing suppliers online, trade shows and sourcing agents. I also explain why factory inspections and quality checks are as important when buying from Thailand as from any other country in the region.
What are the benefits of sourcing in Thailand?
If youâre already importing products from Asia, youâre most likely making most of your purchases from suppliers in China. While many international buyers are mainly looking towards Vietnam and India as the ânext Chinaâ - Thailand is often a more realistic candidate.
Thailand is not exactly new in the game. The country was a major export hub before Mainland Chian became the worldâs top exporter.
While the days of the 90s era double-digit growth may be over for Thailand, it still retains a solid industrial base and expertise. This is different from, for example, Vietnam which currently experiencing rapid development of its own industry.
To put it in simple terms: Vietnam and India resemble China in the early 2000s, while Thailand is more on par with China today - in terms of industrial capacity.
This may seem irrelevant for importers, but itâs not.
1. Small to medium-sized buyers normally donât wish to set up their own factories. Instead, they buy from contract manufacturers. As such, they rely on existing manufacturing capacity.
2. Vietnam works well for big companies setting up their own factories to assemble products but is not as easy to navigate for buyers looking for contract manufacturers making goods on behalf of foreign buyers.
3. Thailand does have a lot of contract manufacturers offering this, which is why itâs a more realistic option for companies that donât want to or donât have the money to set up their own factory
US Tariffs
Thailand is not subject to the added US tariffs. If youâre based in the United States or shipping products there for domestic sales, then you have one more reason why Thailand is an interesting manufacturing country.
What kind of products can be sourced in Thailand?
When it comes to contract manufacturers in Thailand, youâll have better chances of finding suppliers if youâre looking for products that fall into one of these categories:
Furniture
Thailand is a leading furniture exporter in the region, with suppliers offering everything from high-end crafted furniture to aluminum office furniture.
Garments
While Thailand is not a big textile exporter compared to China and India, it does have many suppliers offering lower minimum order quantity requirements than other countries. Iâve also noticed that itâs relatively common that Thailand-based apparel and textile factories also offering design services, which is rare to find elsewhere.
In a way, their approach is more small buyer-friendly than their counterparts in other countries.
If you have previous experience manufacturing products in Asia you probably know that contract manufacturers expects you, as a buyer, to provide a complete set of product specifications.
Plastic Products & Machined Parts
Thailand has a large auto part and electronics industry. This has also spawned a manufacturing base of injection molding and CNC suppliers. As such, you can get most types of custom-designed plastic and steel products manufactured in Thailand.
Handicrafts
Thailand is also an interesting country if youâre looking for wooden handicrafts. Products include home decoration, jewelry and more.
How to find suppliers in Thailand
Sourcing suppliers in Thailand is not always as easy as browsing Alibaba.com or Globalsources.com for ten minutes. While that can work, you may need to look beyond the main B2B supplier directories.
Option A: Sourcing suppliers online
My first suggestion is that you actually start by searching for suppliers on Alibaba and Globalsources. This may sound like a contradiction to what I just wrote, but I still think that these supplier directories are the best options for sourcing suppliers even in Thailand.
Thereâs no local âThailand Alibabaâ that can compare to either of these platforms, which lists thousands of suppliers in the country.
That said, I donât think you should stop here.
Searching suppliers in Thailand on Google.com is often even more effective. In fact, thatâs how we created our supplier databank for our users.
Option B: Work with a sourcing agent
Another option is to work with a sourcing agent, rather than trying to buy directly from a factory. Experienced buyers should not have an issue dealing directly with apparel, furniture, CNC and mold manufacturers.
That said, sourcing agents can add a lot of value if youâre looking for handicrafts that are often produced by smaller workshop style factories, rather than big industrial facilities.
Option C: Trade shows
Attending one of the trade shows in Bangkok is perhaps the best way to source qualified suppliers in the country. That way youâll find far more suppliers compared to if you only source online.
Further, many nationalities can visit Thailand without a visa.
Thailand International Furniture Fair (TIFF)
The Thailand International Furniture Fair (TIFF) is held twice per year in Bangkok, first in March and later in October. This is the largest furniture trade show in Thailand and a must-visit if you're looking for furniture or household goods manufacturers.
- Furniture
- Household Goods
- Home decorations
- Handicrafts
- Interior design decoration items
- Furniture parts
Bangkok International Fashion Fair
Looking for apparel and textiles suppliers? Then this trade show held in Bangkok is for you. Held yearly in April and October, this trade show hosts more than 1000 suppliers from Thailand and nearby countries.
Further, this trade show is also held in conjunction with the Bangkok International Leather Fair.
Factory Audits and Quality Control
Keep in mind that risk management and quality control is as important when sourcing products in Thailand as in any other country. Luckily, many companies offer factory inspection and quality control services in the country.
My recommendation is that you book a factory inspection before you engage the supplier by ordering product samples and developing product tooling. This is even more important in Thailand as itâs not as easy to access verifiable company data there as it is in Mainland China and other manufacturing countries.
Quality inspections are also equally important, as thereâs no simple or straightforward way to return defective products to the supplier. As such, I recommend that you get every production run quality checked before shipment.