Atchaka Sribunrueng Brimble, the office director-general, said the industrial sector was likely to expand at that rate, mainly because of a clear political direction, state spending on investment as well as an expected decline in interest rates.

According to Thai News Agency, she revealed that production in the food industry had increased by 12.6 per cent and food exports had grown around 5-10 per cent this year.

However, the textile and garment industry had grown at a slower pace due to stiff competition.

Next year, she said, Thailand would benefit from the United States and the European Union move to impose trade barriers with China.

Should negotiations for a free-trade agreement with Japan be successful, it would benefit the textile industry.

She projected the hard-disk, and radio and television equipment industries, would grow 23.9 and 7 per cent, respectively, while the electrical appliance industry would expand only 2 per cent.

Next year, the hard-disk industry is likely to expand 25 per cent as a result of further investment.

The steel industry is forecast to pick up in the second quarter of next year because of repairs to the basic infrastructure affected by major flooding and an implementation of some mega-projects.

For the auto industry, she revealed, local sales this year totalled 1.2 million units, up only 6 per cent from 1.13 million units last year after being affected by flooding and higher interest rates.

However, it is generally believed the auto industry will recover next year with an expected overall growth of 7-10 per cent.

At the same time, auto exports are expected to grow 30 per cent this year following the opening of two new manufacturing plants.