Baby Gift calls for car seat tariff cut

Baby Gift Thailand Co, a distributor of child care products and accessories, is calling on the government to reduce import tariffs on baby car seats and enforce their use.

According to Aroonsri Piriyalertsak, the company’s chief executive, making baby car seats mandatory is the best way to protect children when travelling on the road.

“The current 20% import tariff on baby car seats in Thailand is too high,” Ms Aroonsri said. “We want the import tax to be reduced to 0% as soon as possible.”

She said waiving the tariff would significantly lower prices and lead to more widespread use, which in turn would reduce the risk of potentially fatal injury to babies and toddlers.

Ms Aroonsri urged the Public Health Ministry to pay more attention to children’s safety, in line with government policies in the US and Europe.

The number of new infants in Thailand has gradually declined in recent years. The number of new births was 670,000 in 2016, compared with 8.7 million in 1988.

The child care market is estimated at 34 billion baht, divided into five categories: powder milk, baby napkins, apparel, small accessories and furniture such as car seats.

“Premium baby products have become a red ocean so far, with more than 20 brands entering the market via online channels,” Ms Aroonsri said.

Spending on premium baby products remained sluggish in the first seven months of the year, she said.

“Demand for premium kid products was flat for the first time in the past 20 years against an averaged growth of 10% in the last two decades,” she said.

According to Ms Aroonsri, Baby Gift’s sales managed 5-10% growth in the first seven months.

Sales for the company totalled 120 million baht in 2017 and are forecast to grow by 20% to 144 million baht this year. Of the total, 80% of sales come from premium products and the rest from the company’s own brands.

Baby Gift aims to increase annual sales by at least 20% over the next five years.

To achieve that goal, the company will put more focus on selling its products via omnichannel as well as extend its product lines to new categories.

It plans to launch new electrical appliances for food preparation in the next two months.

The current 20% import tariff on baby car seats in Thailand is too high. AROONSRI PIRIYALERTSAK Chief executive of Baby Gift Thailand Co