Studying the Current Situation and Issues Faced by Entrepreneurs in the Herbal Product Manufacturing Industry Regarding the Implementation of the ASEAN Agreement

Abstract

The objective of this research article is to study the current situation and challenges faced by entrepreneurs in the herbal product manufacturing industry regarding the implementation of the ASEAN framework agreement. The research utilizes qualitative methods, collecting data through in-depth interviews. The sample group consists of seven entrepreneurs in the herbal product manufacturing industry in Thailand, categorized as follows: four entrepreneurs engaged in international exports and three entrepreneurs not engaged in international exports. The researcher conducted a qualitative analysis of the data.

The study findings reveal that the adaptation of ASEAN standards framework for herbal product manufacturing does not currently benefit the herbal product industry in Thailand. Entrepreneurs are not adequately prepared to adhere to this framework due to three main issues: (1) Increased expenses for compliance with laboratory testing and stability assessment criteria, including facility improvements and additional specialized personnel, without a corresponding increase in revenue. (2) Lack of knowledge resources, guides, and communication channels for providing appropriate information, consultation, or responses to inquiries from entrepreneurs. (3) Lack of motivation to comply with the ASEAN framework due to the predominantly small to medium-sized factories in Thailand with limited capital and no intention to export products internationally. Larger exporting businesses, while already following ASEAN guidelines, encounter trade barrier policies imposed by foreign countries, hindering true export support. Therefore, these entrepreneurs do not see a worthwhile investment in upgrading standards to meet the ASEAN requirements. Additionally, other issues include discrepancies between the standards applied to state-owned and private factories, advertising regulations, and the absence of measures to support domestic herbal product sales.