NEWS
THAILAND STOCK EXCHANGE MULLS ENDING DECADES-LONG BAN ON ALCOHOL STOCK LISTINGS
By Staff Reporter
20-1-2026
Source: Unsplash
The Stock Exchange of Thailand (SET) is weighing a landmark policy shift to allow alcoholic beverage producers to list on the bourse, a move aimed at revitalizing the country’s stagnant equity market and retaining major conglomerates amid a wave of overseas listings.
The proposal, championed by SET Chairman Kiti Pong Urapeepatanapong, would end an informal decades-long restriction rooted in social and religious sensitivities in the predominantly Buddhist nation.
Thailand’s alcohol sector—home to industry giants like Thai Beverage (Thaibev), Boon Rawd Brewery, and Carabao Group—has long been excluded from domestic public trading.
The ban traces back to 2005, when Thaibev aborted its planned SET IPO following widespread protests by Buddhist monks and public health activists, who argued such listings conflicted with Buddhist principles.
The company later listed on Singapore’s stock exchange (SGX) and remains one of Southeast Asia’s largest beverage groups. Now, SET leaders believe shifting social attitudes and regulatory easing—including a December 2025 pilot program allowing afternoon alcohol sales for the first time since 1972—have created a new window for change.
“These companies have strong fundamentals and resilient earnings,” Kiti Pong stated, emphasizing that alcohol producers could become a “new growth engine” for the SET.
“We urgently need to adjust ourselves before we lose those companies to other overseas stock exchanges.” The chairman noted that Thaibev is positioned as the first potential listing candidate, likely through a spirits-focused subsidiary rather than its parent company, with timing dependent on market conditions.
For Thai investors, a domestic listing would reduce forex risk and transaction costs compared to trading Thaibev shares on the SGX or via existing depositary receipts.
The proposal comes as the SET grapples with significant headwinds: 2025 marked Asia’s worst-performing benchmark index, and local firms like crypto exchange Bitkub have increasingly opted for listings in Hong Kong and other regional markets.
Allowing alcohol listings is seen as a strategic bid to boost liquidity, diversify investment options, and expand market capitalisation.
Thailand’s alcohol market, valued at USD19.8 billion in 2025, is projected to grow at a 2.2 percent compound annual rate through 2034, fueled by robust tourism and evolving consumer lifestyles.
Yet the plan has drawn mixed reactions. While some analysts, including Krungsri Securities’ Koraphat Vorachet, view it as a “positive catalyst” for the lackluster IPO market, others remain skeptical. UOB Kay Hian’s Kit Pon Prai Paisarn questioned the sector’s growth potential, arguing the SET should prioritsze high-growth “S-curve sectors” over mature alcohol businesses.
Concerns about renewed public protests also linger, though Kiti Pong suggested opposition has eased significantly in recent years.
As SET leaders deliberate the policy’s formalisation, the move signals a broader effort to modernise Thailand’s capital market. With no timeline yet set for implementation, investors and industry observers are closely monitoring whether the decades-old taboo will finally be lifted—potentially reshaping the country’s financial landscape while balancing economic ambitions with cultural values.
(the writer can be contacted at: info@thewinechronicle.com)
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