The atmosphere at the Thai Rak Thai Party headquarters yesterday was gloomy and emotional as caretaker Prime Minister Thaksin Shinawatra said a tearful goodbye to his loyal supporters.

Thaksin, who announced he would not seek another term as premier on Tuesday night, arrived at his party's headquarters with son Panthongtae and senior Thai Rak Thai figures.

Hundreds of Bangkok residents gathered outside, shouting "Thaksin fight on!" and "We love Thaksin!"

Thaksin thanked them and offered his own words of encouragement.

"Many people embrace me and weep today and many who haven't come here weep too. However, I want to say that the tears show a certain spirit, and it reflects a message to society that Thai people share this love."

He added that no matter what duty he performed, he would do it to the best of his ability.

"As a Thai who loves the motherland, my greatest duty is to give back to the country."

Thaksin apologised once again to the 16 million people who voted for the Thai Rak Thai Party, and asked for national reconciliation so the country could enjoy the 60th anniversary of His Majesty the King's accession to the throne this year.

"It doesn't mean I give up, but if I fight on the country will be the loser according to His Majesty the King's speech about the bloody political turbulence of May 1992," he said.

"I am willing to do everything to restore love and harmony in the country. Therefore, I want to tell people that if you love and care for me please re-establish harmony."

After Thaksin addressed his supporters, he met with people who were gathered at the building, some carrying banners reading: "Thaksin you are a democracy hero!"

The Caravan of the Poor also provided a show of support. More than 300 members of the group, which has been camping out at Chatuchak Park for weeks, gathered at the ruling party's headquarters yesterday.

Atthawit Singlor, a leader of the caravan, said that although Thaksin had decided not to accept the premier's post in the next government, the group would wait for his return to help solve the problems of poor farmers across the country.

People in the North also expressed sadness over Thaksin's decision. In Thaksin's hometown of San Kampaeng, Chiang Mai, residents said they were upset by his decision and angered by comments made by Sondhi Limthongkul and Chamlong Srimuang, both leaders of the People's Alliance for Democracy (PAD).

"We can't accept the PAD leaders' announcement that Thaksin's decision was due to the rallies," said one San Kamphaeng resident.