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MSME Profile

1) GDP MSMEs

The Royal Thai Government Gazette on January 7, 2020 announced a new definition of Micro,
Small and Medium Enterprise (MSME), which has implications on MSME GDP’s structure and volume.
The average contribution of MSME GDP to gross GDP decreased by 8.4% in comparison to
contribution of SME GDP ’s previous definition. MSME GDP average growth slightly increased
by 0.2% compared to the previous definition. However, the new definition enabled the calculation
of MSME GDP value in agricultural sector, which could not to be determined by the old definition.

The total value of MSME GDP in 2019 was 5.96 trillion baht, which contributed to the national GDP
by 35.3%. The ratios indicated an increasing trend with an average growth of 0.7% p.a. from 29.8%
in 2011, demonstrating a growing significance of MSME toward country’s economy.

In 2019, service and trade sector contributed to almost two-thirds of the total MSME GDP, by 41.8%
and 20.3% respectively. The other 31.1% came from manufacturing sector. The observation of
disaggregated data by firm size has shown that Small Enterprise (SE) and Medium Enterprise (ME)
were playing a bigger role in the economy.






2) Number of MSMEs and Employment

The number of MSMEs under the new definition in 2019 grew by 1.12%, with the total number
of 3,105,096 enterprises, contributing to 99.53%.

For the breakdown by type of business establishment, juristic person accounted for 733,334
or 23.62% of the total MSMEs in Thailand, ordinary person and others accounted for 286,326 
or 73.63%, and community enterprise accounted for 85,436.


The breakdown of MSMEs by sector indicated that trade sector is comprised of the highest
number of MSMEs, which is 1,280,741 or 41.25%. Apart from Bangkok, provinces with the
highest number of MSMEs were Chonburi, Chiang Mai, and Samut Prakarn respectively.


The breakdown of MSMEs by business type indicated the highest contribution in retail,
except for automotive, by 28.96%, followed by food and beverage sector and other personal
service activities at 10.75% and 6.74% respectively.







 

The total number of MSME employees was 12,060,369, which contributed to 69.48% at 3.30%
growth rate. Further breakdown showed 7,017,633 employees or 58.19% in juristic persons
and 5,042,736 employees or 41.81% engaged in personal service activities and others.


Employment data by sector showed the highest ratio in service sector, 8.18% in food and
beverage services, followed by 4.71% in construction sector. Provinces that enjoyed the highest
employment level were Chonburi, Samut Prakan, and Nontaburi.