Soldiers have seized 19 bags of crystal meth after clashing with suspected smugglers along the Thai-Myanmar border in the notorious Golden Triangle.

The Pha Muang task force, a military contingent guarding Thailand's northern border provinces, stalked more than 20 individuals noticed 'walking suspiciously' in a forest in Chiang Mai province on January 1 evening.

The troops ordered them to submit to an inspection, but the suspects fired shots, resulting in a gunfight that lasted for more than 10 minutes.

Local media reported no soldiers were injured, but the alleged smugglers managed to escape.

The task force combed through the area the following morning, and found 19 bags of meth left behind.

Last December, a skirmish also ensued between soldiers and alleged drug couriers, also in Chiang Mai province.

At least 15 alleged dealers crossing into Myanmar had been killed, while 29 bags containing an unspecified amount of meth were confiscated.

Thailand has become a notorious hub for drug production and trafficking. In the north of the country, the ‘Golden Triangle' area shares borders with Laos and Myanmar, and has produced large amounts of opium since the 1950s but focus in recent years has shifted to the more profitable methamphetamine.

Officials believe most of the meth is produced in the Shan State of Myanmar before being distributed through neighbouring countries where prices are higher before ending up in the most expensive markets of Australia, Japan, Hong Kong, Taiwan, and Singapore.