Thai HoReCa Thrives: From Street Food to Multi-Billion Dollar Businesses
BANGKOK, Sept. 22, 2023 /PRNewswire/ -- During the 2022 APEC (Asia-Pacific Economic Cooperation) Summit in Thailand, President Emmanuel Macron of the French Republic was spotted taking a leisurely evening stroll through Bangkok's culinary cauldron – Chinatown, where he sampled a diverse array of street food delights.
Mr. Macron is just one of many global celebrities who have been irresistibly drawn to Thailand's abounding culinary treasures. This national heritage has contributed significantly to the emergence of a burgeoning domestic economic sector labelled HoReCa, encompassing hotels, restaurants, and catering establishments.
With the surge in tourism and a growing popularity of culinary exploration, the HoReCa industry has witnessed tremendous growth, evolving as an engine of growth for local economies and job creation on a global scale. According to Market Research Future, the global HoReCa market will reach a value of USD 3,575 billion in 2023, and is forecast to climb to USD 6,449 billion by 2032, maintaining a robust Compound Annual Growth Rate (CAGR) of 6.77% throughout the 2023-2032 forecast period.
Amidst this dynamic landscape, Thailand has emerged as aD frontrunner in the HoReCa sector, by expertly leveraging its rich cultural heritage, vibrant street food scene, and world-renowned hospitality. The nation's unique fusion of traditional flavors and modern gastronomy has solidified its position as a premier global culinary destination.
Mr. Sanan Angubolkul, Chairman of the Thai Chamber, predicts that the expected influx of 30 million visitors to Thailand in 2023 will contribute a substantial USD 16 billion in spending, predominantly in the accommodation and food services sectors. When accounting for investments, restaurant expenses, furnishings, and the broader expenses encompassing the HoReCa ecosystem, the cumulative figure approaches an impressive USD 26.5 billion.
Thailand's HoReCa sector is poised to expand its global influence with the hosting of THAIFEX-HOREC Asia. This event is a spin-off from the renowned THAIFEX-Anuga Asia, recognized as the largest and most comprehensive food and beverage trade exhibition in Asia. Jointly organized by Thailand's Department of International Trade Promotion in collaboration with Koelnmesse (KM) Germany, THAIFEX-HOREC Asia is scheduled for 6-8 March. Organizers expect to draw over 300 leading brands as exhibitors and 20,000 trade visitors.
The HoReCa industry in Thailand has not only significantly boosted the domestic economy but has also led to the exporting of hospitality, catering, and tourism-related products and services. Thai hospitality brands and management groups have extended their reach abroad, exemplified by the Dusit Thani Group, which oversees more than 300 properties across 19 countries.
The group's operations encompass various facets of the hospitality industry, including food and beverage outlets. Thai cultural assets and culinary heritage have played pivotal roles in exporting the brand, gaining global recognition in the process.
"To support our expansion," said Ms. Manisa Mitpaibul, Managing Director at Dusit Foods Co., Ltd., "we must uphold on our brand promise. It is imperative that the authentic taste of Thai cuisine we offer maintains the same high standard, regardless of our global locations."
In addition to ensuring quality consistency through scalable food solutions and adept supply chain management, the industry confronts challenges stemming from technological disruptions, evolving customer preferences, and commitments to sustainable practices.
While plant-based foods have gained global momentum, Thailand, (a global leader in agricultural exports and food processing), possesses a competitive edge. Another future trend is the development of lab-grown meat products. Ms. Manisa noted, "We must remain vigilant and adapt to these rapidly changing trends."
Endowed with its culinary heritage, while fostering innovation, and extending its warm hospitality to the world, Thailand is poised for a prolonged period of growth within the HoReCa industry.
SOURCE DITP
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