Prime Minister Jacinda Ardern dumbfounded by Thai Prime Minister's 'sheep placenta cream' compliment

A strange compliment from the Thai Prime Minister has baffled Jacinda Ardern.

At the Association of Southeast Asian Nations (ASEAN) summit in Bangkok, Thai leader Prayut Chan-o-cha congratulated New Zealand on producing sheep placenta face cream.

He said it was as an example of the country's success at moving up the agricultural value chain.

But neither Ardern nor Agricultural Minister Damien O'Connor had ever heard of the cream. 

"That's not something that's specifically been raised with me before, but perhaps he noticed the youthful look of our delegation," said Ardern on Tuesday. 

"Generally of course, the point he was making was that we've added value through our agricultural products," she continued.

O'Connor was equally as mystified.

"Look, no I wasn't familiar with it," he told Fairfax.

"The Prime Minister might use it, I certainly don't, or can't you tell?"

The placenta cream is supposed to reduce signs of ageing and make skin appear smoother and firmer.