16 March, 2010 Beijing, China THAILAND REGIONAL AND PROVINCIAL PRODUCT 1 National Accounts Office, National Economic and Social Development Board : THAILAND

Thailand 513,115 Sq.Km. 7 regions  Northern : 17 provinces  North eastern : 19 provinces  Southern : 14 provinces  Eastern : 8 provinces  Western :6 provinces  Central : 6 provinces  Bangkok Metropolis and vicinities : 6 provinces 76 provinces 2 National Accounts Office, National Economic and Social Development Board : THAILAND

Gross Provincial Product : GPP National accounts for the country 3 approaches : Production, Expenditure and Income GDP estimation via the production approach is necessary for the country. Top-down approach is used to disaggregate VA of each activity of the country level to regional / provincial level. GPP estimation normally bases on 2 methods 3 National Accounts Office, National Economic and Social Development Board : THAILAND

First method Use only for agricultural sector Because of basic data is relatively perfect Production, price are available in provincial level But intermediate cost structures are available in regional level Compute VA of each agricultural commodity at regional level and then disaggregate to provincial level VA region i = GO region i - IC region i VA province j = VA region i x Prod. ratio ij 4 National Accounts Office, National Economic and Social Development Board : THAILAND

Second method Use for all commodities in other sector No have data on production, price and intermediate consumption at regional and provincial level VA of each commodity at the country level are disaggregated to each province by proportion of relative production indicators to the country VA province k = VA country x Prod. Ratio k 5 National Accounts Office, National Economic and Social Development Board : THAILAND

GPP & GRP presentation ISIC rev. 3 has been used 16 economic sectors (exclude: Extra-territorial organization) Current prices Constant prices at 1986 prices GRP i = sum of GPP in region i Population and per capita GPP are presented 13 months lag for dissemination 6 National Accounts Office, National Economic and Social Development Board : THAILAND

Problem National Accounts Office, National Economic and Social Development Board : THAILAND 7 It’s not technically perfect Because of o Not reflect prices in difference region / province o IC is same proportion in every region / province Accounting system can not be completed due to unadequate data Many activities do not have a clear boundary, producing places and marketing spots are far away from each other. o Transportation : mobile from one boundary to another, railroad o Electricity generating, marine fishery, mining in the sea o Mobile phone

Bottom-up approach National Accounts Office, National Economic and Social Development Board : THAILAND 8 In order to get the economic situation in each area correctly. Since 2004: NESDB encourage each province (exclude BKK) to do GPP for themselves. NESDB provide GPP concept and compilation methodology to local agency’s staff. Little by little of quality of GPP-Bottom up are observed. NESDB still publicizes GPP officially (Top down). GPP statistics of each province can be utilized for his own provinces in term of primary economic report.

Problem of Bottom-up approach National Accounts Office, National Economic and Social Development Board : THAILAND 9 Incomplete of data collection Hard to get data in some activity eg. Trade: head office locate at BKK, the branch which in another province no have accounting data Very often changing the local staff who are responsible for GPP compilation Budgetary constraint

Thank you National Accounts Office, National Economic and Social Development Board : THAILAND 10