Prime Minister Yingluck Shinawatra to Visit the Republic of Korea and Hong Kong

(22/02/2013)

Prime Minister Yingluck Shinawatra will visit the Republic of Korea and Hong Kong Special Administrative Region from 24-26 February 2013. The visit to the Republic of Korea on 24-25 February is at the invitation of President-Elect Park Geun-hye. The Prime Minister will be in Hong Kong on 25-26 February as guest of Hong Kong’s Chief Executive Leung Chun-ying. In the Republic of Korea, she is scheduled to attend Ms. Park Geun-hye's inauguration as president, which is a significant event showcasing women’s empowerment in the administration of state affairs. Prime Minister Yingluck will take this opportunity to congratulate the first female President of Korea and will call on President-Elect Park Geun-hye to join hands in promoting women’s empowerment development in the region. She will also reaffirm the incoming President of South Korea as Thailand’s “strategic partner,” an initiative during the regime of President Lee Myung-bak, and Thailand’s intent to work with South Korea on the goal of 13-billion-US-dollar mutual trade volume in five years, as agreed earlier with the outgoing President. Furthermore, 2013 marks the 55 years of diplomatic relations between Thailand and South Korea. With South Korea’s considerable success in water management, Prime Minister Yingluck also plans to invite the new President to attend the 2nd Asia-Pacific Water Summit, to be hosted by Thailand in May 2013. On this occasion, she will also pay a courtesy call on the outgoing President Lee Myung-bak at the presidential residence to thank him for his constant effort to strengthen mutual relations between Thailand and South Korea and to bid farewell to the outgoing President. The Speaker of South Korea’s National Assembly, Mr. Kang Chang-hee, will host a dinner in honor of the Thai Prime Minister. During her state visit to Hong Kong, Prime Minister Yingluck will stress on investment opportunities in Thailand formulated under the national strategies, in order to attract leading investors and financiers from Hong Kong. She will also present Thailand’s potential as the regional connectivity hub. Apart from meeting Hong Kong’s executive-level bankers and financiers, the Prime Minister will also meet leading travel companies to promote Thailand’s tourism. She will hold discussion with Hong Kong’s Chief Executive Leung Chun-ying, who has recently assumed the position. During the discussion, she will reaffirm mutual relations and cooperation on trade and investment promotion. In addition, the Ministry of Finance and the Board of Investment of Thailand will hold a parallel event under the theme “Hong Kong Roadshow - Thailand’s Strategies: A Road Map for Real Opportunities.” Deputy Prime Minister and Finance Minister Kittiratt Na-Ranong will give a keynote speech on investment opportunities in Thailand. Other activities include a seminar to promote investment in Thailand and meetings between Thai executive bankers and financiers and their Hong Kong counterparts.

Internal Security Act Likely to Be Enforced in Certain Areas in the Three Southern Border Provinces

(21/02/2013)

The Government is considering the possibility of replacing the Executive Decree on Public Administration in Emergency Situations with the 2008 Internal Security Act in certain areas in the three southern border provinces. Security officials responsible for handling the southern situation have discussed the issue with Prime Minister Yingluck Shinawatra, who stressed the need for further discussions and assessment before the decision would be made. The decision is likely to be made before 19 March 2013, when the existing three-month emergency decree expires. The emergency decree was announced on 19 July 2005, covering Pattani, Yala, Narathiwat, and four districts of Songkhla (Chana, Thepha, Na Thawi, and Saba Yoi). Its enforcement lasts three months each time before it is renewed. The law was described then as a more adequate legal instrument with which state officials could deal with “emergency situations” in the deep South appropriately and with greater efficiency. In late 2009, the Internal Security Act was announced in the four districts of Songkhla to replace the emergency decree. Later, on 23 December 2010, the Cabinet revoked the emergency decree in Mae Lan district, Pattani province, replacing it with the Internal Security Act. Mae Lan was the first area in the three southern border provinces to be covered by the Internal Security Act. Violent incidents in Mae Lan dropped significantly from 12 in 2009 to only three in 2010, and no local residents have left their homeland to live elsewhere. Altogether, the Internal Security Act now covers five districts in the deep South. The Ministry of Interior, the Southern Border Provinces Administrative Center, and the governors of the three provinces will assess the situation before proposing the areas that should be replaced with the Act. Section 21 is considered the core of the Internal Security Act, as it provides a channel for misled militants to turn a new leaf by accepting to undergo re-education that will take no more than six months in lieu of facing trial. But this must be passed through a screening process to ensure that the perpetrators have been misled. The Act intends to seek ways to end the southern unrest that has continued for nine years now. On the occasion of his visit to Pattani on 20 February 2013 to inspect the southern situation, Commander-in-Chief of the Royal Thai Army General Prayut Chan-O-Cha discussed with local authorities and residents the enforcement of the Internal Security Act. He also met a group of 200 misled militants who have joined the authorities in peace-building in the South. General Prayut said that the tackling of southern problems was not only a matter of security. All agencies involved need to create better understanding among local people and encourage them to take part in problem-solving. Ensuring justice and respecting for human rights must be emphasized, as well, for the goal of restoring peace in the deep South.

Urgent Move to Cut Energy Use and Ease a Possible Electricity Shortage

(20/02/2013)

The Government has called on the public to cut energy use and electricity consumption to minimize impacts from a possible electricity shortage in April 2013. At the same time, Prime Minister Yingluck Shinawata has instructed all relevant agencies to urgently prepare measures to deal with the problem, resulting from an expected disruption of the natural gas supply from Myanmar. Energy Minister Pongsak Raktapongpisal told the Cabinet on 19 February 2013 that Thailand might face a nationwide power shortage, since Myanmar had announced a plan to halt the supply of natural gas from the Yadana-Yetagun gas field between 4 and 12 April. The disruption of the gas supply is meant to repair drilling rigs at the gas field. The Yadana block is able to produce 650 million cubic feet of natural gas a day, while the Yetagun can produce 460 million cubic feet a day. Since natural gas from Yetagun is of lower quality, it has been mixed with that at the Yadana block. The maintenance shutdown will cut off the daily supply of about 1.1 billion cubic feet of natural gas. It will affect the operations of several power plants in Thailand, namely Ratchaburi, Tri Energy, North Bangkok, South Bangkok, and Wang Noi power plants. These power plants have a combined capacity is 6,000 megawatts. Natural gas accounts for 70 percent of the fuel used in electricity generation in Thailand. The Energy Minister stated that natural gas from the Gulf of Thailand would be brought in to offset the shortfall, but it would not be enough. One of the solutions is that power plants that use diesel and bunker oil would be used for electricity generation during the period. These plants are expected to generate 2,000 megawatts of electricity. Moreover, he said, hydropower from various dams in Thailand and foreign countries, such as Laos, would be drawn on for extra electricity generation. Even so, between 100 and 1,000 megawatts of electricity would still be needed to meet the demand. In anticipation of the shortage, the Government is seeking cooperation from the public to help save energy and electricity. For example, they should set the temperature of their air conditioners at 25 degrees Celsius, rather than below 25 degrees Celsius. Their air conditioners should be cleaned from time to time to save electricity. The public have also been urged to cut oil consumption by turning to gasohol and natural gas for vehicles. The Ministry of Energy, the Ministry of Industry, and the Ministry of Interior were told to coordinate with all government agencies to cut energy use by 10 percent. Any agency with an increase of energy use by 15 percent would face a budget reduction in the next fiscal year. Hospitals and airports are exceptions to this strict measure.

Drought Problem to Be Tackled in a Systematic Manner, and More Power Plants to Be Set Up

(18/02/2013)

The Government is stepping up efforts to ease the pressing drought problem, while seeking ways to establish more power plants for electricity generation, to cope with the growing demand. Speaking in the weekly program “Yingluck Government Meets the People” on 16 February 2013, Prime Minister Yingluck Shinawatra expressed her concern about drought, saying that the problem must be tackled in a systematic manner to prevent recurrence of the impact of drought. The Prime Minister revealed that 29 provinces nationwide had been declared drought-stricken zones and that the problem was likely to become more severe in the next three months. So both short-term and long-term solutions to the problem must be reviewed and worked out. In the initial stage, the Government would ensure that there would be sufficient water for consumption. As for agriculture, she said, the Government would recommend that farmers grow crops that require a small amount of water. All relevant agencies have been instructed to provide more water sources for the people, such as the use of artesian water. The Prime Minister stated that information gained from the areas facing recurrence of drought would be used for sustainable water management. She pointed out that the 350-billion-baht national budget set aside for long-term water resources management and flood control would also cover measures to tackle the drought problem. Concerning the issue of electricity generation, Energy Minister Pongsak Raktapongpisal, meanwhile, stated that Thailand’s electricity demand is estimated to increase to 70,000 megawatts in the next 10 years. Today, since Thailand is able to generate only 32,000 megawatts, another 40,000 megawatts is needed. So the Government is seeking ways to set up more power plants, as electricity is essential for economic and industrial development. Mr. Pongsak stressed the need to seek low-cost energy sources, so that consumers, comprising 40 million households, would be least affected by electricity costs. He cited hydropower, nuclear power, and coal as low-cost energy sources, while natural gas and renewable energy resources are more expensive. He said that, at present, natural gas accounts for 70 percent of electricity generation in Thailand. The country is likely to face a shortfall of natural gas imports in April 2013, since a pipeline meant to transport natural gas from the Thailand-Malaysia Joint Development Area to Thailand has been damaged. Myanmar would also suspend delivery of 1,100 million cubic feet of natural gas per day to Thailand in order to repair drilling rigs at the Yadana gas field. For this reason, he said, the Ministry of Energy is seeking urgent measures to ease the problem, and a call would be made for the public to reduce electricity use in order to save energy.

Sukhothai and Associated Towns to Be Developed as Models for Thailand’s Cultural Tourism

(17/02/2013)

The Ministry of Culture plans to develop Sukhothai, Si Satchanalai, and Kamphaeng Phet historical parks as models for Thailand’s cultural tourism. The Historic Town of Sukhothai and Associated Historic Towns, which include Si Satchanalai and Kamphaeng Phet, are recognized as World Heritage Sites by the United Nations Educational, Scientific, and Cultural Organization (UNESCO). Culture Minister Sontaya Kunplome said that the Ministry of Culture was pushing for the implementation of the project to develop cultural towns for tourism. He said that the project would contribute to the country’s favorable cultural image and income generation from tourism. The Ministry of Culture plans to seek a budget of 325.2 million baht to carry out 25 projects for the development of cultural towns for tourism. The projects aim to renovate the three historical parks and improve the landscape there. The area-based development also includes management to facilitate the visit of tourists to the historical parks. Sukhothai was the capital of the first Kingdom of Siam in the 13th and 14th centuries. It has a number of fine monuments, illustrating the beginnings of Thai architecture. The great civilization which evolved in the Kingdom of Sukhothai absorbed numerous influences and ancient local traditions; the rapid assimilation of all these elements forged what is known as the “Sukhothai style.” The small historic park of Sukhothai constitutes a masterpiece of the first Siamese architectural style. Si Satchanalai was a very important town during the Sukhothai period as most of its rulers were the heirs to the Sukhothai throne. This town was regarded as the second capital and was a great rival of Sukhothai in terms of art and culture developments. The historic town of Si Satchanalai was famous for its ceramics. Excavations by a team of Thai and Australian researchers yielded evidence of the existence of an indigenous ceramic industry predating the establishment of Sukhothai and Si Satchanalai. Kamphaeng Phet, literally the Walls of Diamond, is an important archeological site and is famous for ancient ruins, such as walls, forts, and temples, reflecting the glory of this old city in the past. It served as a frontline city during the Ayutthaya period, providing a strong fortress to protect the kingdom. There are many things to see in Sukhothai, Si Satchanalai, and Kamphaeng Phet. Anyone wishing to know more about the birth of the Thai nation should visit the three historical parks, which are representative of the first period of Siamese art and the creation of the first Thai state. Because of their historical importance, Sukhothai and its associated towns were developed as historical parks and were added to the World Heritage List in 1991. Today, Sukhothai, Si Satchanalai, and Kamphaeng Phet historical parks are under the care of the Fine Arts Department, under the Ministry of Culture.

Agricultural Development in the Five Southern Border Provinces

(15/02/2013)

The Ministry of Agriculture and Cooperatives has allocated 1.47 billion baht in the 2013 fiscal year for agricultural development in the five southern border provinces. Minister of Agriculture and Cooperatives Yukol Limlamthong paid a visit to the deep South and discussed occupational development in agriculture with officials involved. The five southern border provinces consist of Yala, Pattani, Narathiwat, Songkhla, and Satun. These provinces cover an area of 20,810 square kilometers and have a combined population of more than three million. They have good potential for further development, especially in terms of agricultural production. Mr. Yukol said that various agencies under the Ministry of Agriculture and Cooperatives were joining forces with security units in conducting a survey to learn more about the real needs of local farmers, so that the project on occupational development in agriculture would be carried out in response to the local demands. The project focuses on rubber cultivation, fishery industry, livestock development, and other related activities. Moreover, the Ministry of Agriculture and Cooperatives will accelerate the rehabilitation of 15,000 rai, or 6,000 acres, of unattended farmland this year, in accordance with its plan worked out earlier. It will also consider the possibility of introducing cultivation zoning and marketing outside the special development areas. Mr. Yukol pointed out that beef cows are now in great demand, especially in the Malaysian market. In the initial stage, the Ministry of Agriculture and Cooperatives assigned the Department of Livestock Development to seek ways to develop Yala as an animal quarantine checkpoint before exporting beef cows to Malaysia. He said that the Ministry would also help develop animal breeds, promote production and processing, and seek markets for outstanding farm products in the South, such as Shogun oranges and durian. According to Mr. Yukol, the Ministry of Agriculture and Cooperatives attaches great importance to enhancing agricultural potential in accordance with the lifestyle of local people. The objectives are to upgrade the standards of living for local people, generate employment, and increase income for each family to an average of 180,000 baht a year. In addition, the project also aims to add value to agricultural products in the five southern border provinces. Today, agricultural value in the five provinces amounts to 104.9 billion baht. It comprises five major products: 73.3 billion baht, accounting for 69.8 percent, involves rubber; 11.5 billion baht, accounting for 12.9 percent, involves fishery products; 3.1 billion baht, accounting for 3 percent involves chicken; 2.7 billion baht, accounting for 2.6 percent, involves fruit, such as longkong, durian, and Shogun oranges; and 1.36 billion baht, accounting for 1.3 percent, involves rice.

Thai and Foreign Tourists Invited to Visit Lop Buri for the King Narai Reign Fair

(14/02/2013)

Dressed up in traditional Thai costumes, local residents in Lop Buri province are ready to welcome both Thai and foreign visitors to the King Narai Reign Fair 2013. The fair takes place at the Narai Ratchaniwet compound in the heart of the city of Lop Buri from 15 to 22 February 2013. It is a major cultural event of Lop Buri, held annually to celebrate the glorious days of the reign of King Narai the Great of the Ayutthaya period. Visitors are also encouraged to wear traditional costumes to make the event more colorful and enjoyable. One of the highlights is an ancient market where visitors should exchange their money for bullet coins to buy goods. The event features many cultural shows, folk games, a light and sound presentation, demonstrations of cooking Thai desserts, a contest of food preparation, and a bazaar of local products. Narai Ratchaniwet, the venue for the fair, is an old palace built by King Narai and it now serves as the National Museum of Lop Buri and has become a tourist attraction. Recognized as Ayutthaya’s most outward-looking and cosmopolitan ruler, King Narai, who ruled the Thai kingdom from 1656 to 1688, was accorded the title “the Great” for his contributions in many areas. He was best known for his promotion of diplomatic relations with European powers during the 17th century. His open-door policy led to trade contact between Ayutthaya and merchants from different parts of the world. French missionaries and merchants came to the capital, and during the 1680s, King Narai and Louis XIV established diplomatic ties. However, the French tried to convert King Narai to Christianity and also attempted to gain a foothold in the Thai kingdom. In 1687, they sent troops to garrison Bangkok. When a succession conflict broke out in 1688, an anti-French official seized power, drove out the French garrisons, and executed King Narai’s Greek favorite, Constantine Phaulkon, who had been championing the French cause. After 1688, Ayutthaya had less contact with Western nations, but there was no policy of national seclusion. Aware of the dangers of foreign invasion, as Ayutthaya was located close to the sea, King Narai decided to develop Lop Buri as the second capital of the Kingdom, with the help of French architects. Narai Ratchaniwet, often referred to as Lop Buri Palace, was the venue where King Narai received French ambassadors. It was built in a mixture of Thai and Western architectural styles. King Narai resided at this palace for eight or nine months each year and returned to Ayutthaya during the rainy season. About 150 kilometers north of Bangkok, Lop Buri province holds the King Narai Reign Fair not only to promote local tourism but also the preservation of local culture. Among major attractions in Lop Buri are the Three Pagodas, or Prang Sam Yot, a symbol of Lop Buri, and Pasak Jolasid Dam, which has emerged as a popular day trip for many tourists.

National Budget for the 2014 Fiscal Year Wins Cabinet Approval

(13/02/2013)

The Cabinet, during its meeting on 12 February 2013, approved the national budget for the 2014 fiscal year and budget allocation for local administrative organizations. The 2014 national budget has been set at 2.52 trillion baht, an increase of 125 billion baht, or 5.2 percent from the 2013 national budget. It will be a deficit budget, as the Government has set a deficit of 250 billion baht. Revenue earned by the Government in 2014 is projected at 2.27 trillion baht. Budget planning for the 2014 fiscal year places emphasis on Thailand’s national strategies for the realization of the ASEAN Community in 2015 and the continuation of the Government’s major policies. The new national budget also attaches great importance to the Government’s 16 urgent policies contained in the policy statement, delivered by the Prime Minister to the National Assembly in August 2011. It seeks to integrate work carried out by various agencies in response to the demands of local people. The objectives are to increase the people’s income, reduce their expenditure, provide them with greater opportunities, improve the people’s quality of life, and enhance Thailand’s competitiveness. In addition, the 2014 national budget takes into account a royal decree to allow the Ministry of Finance to secure loans for water resources management and future development and a draft bill seeking to empower the Ministry of Finance to secure loans for investment in transport infrastructure. The Cabinet told various ministries to review or scrap the projects that are not in line with the Government’s policies and the present situation, based on the “review, redeploy, and replace” principle, so that budget allocations would be used for projects that are more important. As for budget allocation for local administrative organizations, the Government focuses on enhancing the potential of these organizations and increasing their efficiency in income collection. In order to reduce fiscal disparity, the Government has allocated more funds for local administrative organizations with low income. The main objective is to enable them to carry out their activities for local fiscal sustainability. Moreover, budget allocation for localities also aims to provide public services to improve local people’s quality of life. Local administrative organizations represent the central administration in distributing monthly allowances to the elderly, disabled persons, AIDS patients, and village public health volunteers. They also help the Government in drug prevention and control, water management, and education management. The Government decided to allocate 256.5 billion baht in the 2014 budget for local administrative organizations. The amount represents an increase of 8.5 percent from 2013, when 236.5 billion baht was allocated for them. The implementation of the 2014 national budget will begin on 1 October 2013 and end on 30 September 2014.

Positive Trends for Thailand’s Economic and Investment Growth

(11/02/2013)

The Thai economy has enjoyed healthy growth and the Government is accelerating efforts to restore investor confidence and attract more investors. Speaking in the weekly program “Yingluck Government Meets the People” on 9 February 2013, Prime Minister Yingluck Shinawatra wants to see 2013 a year of prosperity for Thai people and a year of creating confidence in Thailand. She said that following the flood crisis in late 2011, the country’s economic figures have been showing positive trends, which reflect the improvement in the Thai economy, on the whole. For instance, the people’s purchasing power is on the rise and more spending has been seen among the public in both Bangkok and the provinces. More purchasing power is also a result of the introduction of the Government’s stimulus measures. Among the measures are the 300-baht minimum wage hike nationwide and the new minimum monthly salary of 15,000 baht for state officials with a bachelor's degree. Concerning investment, Prime Minister Yingluck quoted statistics, compiled by the Board of Investment, revealing that Thailand’s investment value in 2012 reached 1.4 trillion baht, an increase from 700 billion baht in the previous year. Many foreign countries have also announced their preparations for investment expansion in Thailand. She revealed that France-based Michelin Company had decided to increase its investment in Thailand by 3.5 billion baht. Alstom, a leading global company, will also invest in building a power plant here. Honda Motor, whose factory in Ayutthaya had been affected by severe floods in 2011, reaffirmed its readiness to invest about 17 billion baht in building a plant in Prachin Buri province. Its vehicle sales in Thailand in 2012 reached a new record, and the company intends to expand its production base here for exports. The Prime Minister said that the investment expansion plans indicated that various foreign investors remained confident in Thailand. Apart from labor skills that have encouraged them to expand investment here, the Government’s promotion measures have also led to a favorable investment atmosphere. She said that many projects and policies had been announced to prepare Thailand for the soon-to-be ASEAN Community, as well. Even so, she said, Thailand must not be complacent, as the country’s economy should continue with sustainable growth and stability. Both state and commercial financial institutions are considered the country’s mechanisms and must move forward in line with other mechanisms. The Bank of Thailand is one of the mechanisms moving together with other mechanisms for healthy growth. The Prime Minister said that what the Government wants to see is investment flow into the real sector and the sectors where Thailand has potential. This would enable the country to grow on a sustainable basis and with stability. As for the Government’s 2.2-trillion-baht investment plan on infrastructure development, she said, many countries have shown interest in the plan. The Government would explain its policy to the public, as well as to the transport and industrial sectors, in order to create better understanding about the plan, which aims to stimulate the economy, reduce production costs, and distribute wealth to the regional areas of the country.

Thailand’s Efforts to Ease Southern Violence Receive a Favorable Response from OIC

(11/02/2013)

The Thai government is satisfied with the Final Communiqué endorsed by the Organization of Islamic Cooperation (OIC) member states, who have shown their confidence in Thailand’s efforts to tackle violence in the southern border provinces. The statement was issued during the 12th OIC Summit, held in Cairo on 6-7 February 2013. According to the statement, OIC member states commend the efforts of the OIC Secretary-General in following up the situation of Muslims in southern Thailand. They were encouraged by the Thai government’s continued efforts to overcome the obstacles in the implementation of the commitments included in the 2007 Joint Statement. The member states also express hope that the Thai government will take further constructive steps. They request the Secretary-General to cooperate with the Thai government and to pursue constructive dialogue in the interest of Muslims in southern Thailand toward the achievement of peace and stability there. The Director-General of the Department of Information and the Spokesperson of the Ministry of Foreign Affairs, Mr. Manasvi Srisodapol, said that the statement showed that OIC member states were supportive of the Thai government’s efforts to overcome the challenges in the southern border provinces of Thailand. To find a long-term resolution, it is important to generate constructive momentum and support for the Thai government's determination to end the violence, improve people’s livelihoods, and promote greater participation by the local people. Importantly, he said, all parties should be united in expressing their opposition to those who have continued to commit violence in the deep South, especially against innocent civilians. In November 2012, the 39th Session of the Council of Foreign Ministers of the OIC issued a resolution criticizing the Thai government’s handling of the southern situation, while ignoring the acts of violence and terror that impeded the Government’s efforts in the area. In response, the Deputy Prime Minister and Minister of Foreign Affairs, Mr. Surapong Tovichakchaikul, sent a letter to the OIC Secretary-General expressing disappointment with the resolution and reaffirming that Thailand would nonetheless continue to work with OIC on the basis of mutual understanding and respect. Thailand also took other steps to improve OIC’s understanding of the southern situation. During official visits to Bahrain, Qatar, Kuwait, Bangladesh, and Pakistan, Mr. Surapong reiterated the Thai government’s determination to resolve the situation and requested OIC member states to lend their support. On 31 January 2013, he also led a delegation of 18 ambassadors and diplomatic representatives from OIC member states to visit Muslim communities and a Rohingya camp in the deep South for first-hand information.

Thai and Foreign Couples to Participate in the Trang Underwater Wedding Ceremony

(10/02/2013)

Since Valentine’s Day falls on 14 February, the whole month of February is regarded as the month of love in many places. A number of couples have chosen to tie the knot during this period of the year. Trang province in southern Thailand takes this opportunity to organize a mass wedding ceremony that differs from that held elsewhere, as it takes place underwater. Participating in this unique wedding ceremony are both Thai and foreign couples. The unique wedding ceremony is held annually and is also recorded in the Guinness Book of World Records as the world’s largest underwater wedding. Organized by the Trang Chamber of Commerce, in cooperation with the Tourism Authority of Thailand and other organizations, it is aimed at promoting Trang as a happy province and romantic destination. The event consists of some activities based on the traditional Thai wedding style. It also helps promote tourism in Trang, which is famous for pristine beaches and scenic islands. The Trang Underwater Wedding Ceremony 2013, the 17th of its kind, will be held for three days, from 13 to 15 February, under the concept "Sea through of True Love.” Upon their arrival at Trang airport on 13 February, 36 participating couples will be given a warm welcoming ceremony. They will be led to plant a “tree of love” at the Southern Thailand Botanical Garden, in commemoration of their wedding. Then a procession will lead the couples to a traditional water-blessing ceremony in front of the residence of the Trang Governor. Later, they will attend the kin niao traditional rite, to be held for the brides and grooms to take ceremonial glutinous rice, as it is believed that, with the ceremonial glutinous rice, they will stick with each other with love forever. On 14 February, the couples will slip below the water on Kradan Island, within the Hat Chao Mai National Park in Kantang district, to exchange rings and register in the presence of witnesses. Participating couples must be qualified divers. Kradan Island, one of the most beautiful islands in Trang, is located about 40 minutes by boat from the mainland. A special dinner will be held in a romantic and delightful atmosphere at the “Underwater Wedding” beach in the compound of Rajamangala University of Technology Srivijaya, Trang Campus. On 15 February, the couples will make a tour of the province to enjoy both natural and cultural attractions. Located about 800 kilometers from Bangkok, Trang is a popular place among divers and welcomes couples who want to celebrate very close to nature. It offers numerous attractions both on land and at sea. The Trang Underwater Wedding Ceremony is widely recognized as one of the most fascinating events of the province. Many Thai and foreign honeymooners have been impressed by the unique experience there.

NBTC Taking a Move to Help Consumers Switch to Digital Television Broadcasting

(08/02/2013)

The National Broadcasting and Telecommunications Commission (NBTC) is taking steps to help consumers switch from analog to digital television broadcasting services. It plans to hand out coupons for 22 million households nationwide, which they may use to get discounts when they buy digital set-top boxes and new digital television sets. The value of the coupons depends on the digital signal bidding on 24 commercial channels. The auction rules for the 24 digital channels have been approved by NBTC's Broadcasting Committee, and the digital television auction is expected to take place between July and August 2013, before licenses for commercial channels are issued. According to NBTC Vice Chairman Colonel Natee Sukonrat, NBTC is likely to issue licenses for 12 public service channels in May, while licenses for 12 community service channels will be issued in late 2013. Altogether, NBTC will increase the number of television channels to 48 in the first phase. There are currently six free-to-air channels, namely Channel 3, Channel 5, Channel 7, Modernine TV, NBT (Channel 11), and Thai PBS. On 3 December 2012, NBTC, Modernine TV, NBT, and Channel 5 signed a memorandum of understanding (MOU) on a trial of digital terrestrial broadcasting service. Under the MOU, they would coordinate in the trial and research and study on transmission of digital television. These agencies also agreed to promote better understanding among the general public about the reasons and advantages of moving to digital broadcasting. The six-month broadcast trial will end in June 2013, when Thailand is expected to officially launch digital terrestrial broadcasting service. NBTC reported to the Cabinet in May 2012 that it had decided to adopt Digital Video Broadcasting – Terrestrial Second Generation, or DVB-T2, as the terrestrial digital television broadcasting standard for Thailand. It attaches great importance to the use of broadcasting frequencies for the maximum benefit, in accordance with Section 47 of the present Constitution of Thailand, which states that transmission frequencies for radio or television broadcasting and telecommunication are national communication resources in the public interest. The effort to facilitate the process of moving to digital broadcasting is a focus of attention among the public. Minister to the Prime Minister’s Office Sansanee Nakpong, who supervises the Government’s media policy, stressed the importance of television broadcasting in providing people with news and information, which they may use to develop their quality of life and help creare a fair and equal society. She pointed out that Thailand is in its transition toward digital broadcasting. In this regard, the Government is ready to support the operations of NBTC, which is the single regulatory body for broadcasting and telecommunications, during this significant change in the history of the country’s broadcasting service.

Relevant Government Agencies Working Closely to Step up Safety Measures for Tourists

(07/02/2013)

All government agencies are joining forces in stepping up safety measures for tourists in all parts of the country, especially during festive seasons when Thailand welcomes a great number of international visitors. Apart from protecting tourists from assault, robbery, and other criminal acts, the measures also include services to facilitate their entry into Thailand. According to the Royal Thai Police, safety zones have been designated in 56 provinces, with 353 police stations, to protect tourists from accidents and criminal acts and from being cheated. Responsible police officials in these zones have also been assigned to help ease problems concerning the deterioration of tourist sites. The tourist police are increasing their personnel to cope with more work as a result of the growing tourist arrivals. More closed-circuit television cameras will be installed in various tourist destinations, and more volunteers will be recruited to help in ensuring safety for tourists. The Government is striving to achieve Thailand’s tourism revenue target of two trillion baht by 2015. It emphasizes tourism promotion, while stepping up efforts to prevent negative impacts on the country’s tourism industry, as well. In this regard, all Thais, especially those living in popular tourist destinations, have been urged to give a warm welcome to foreign tourists and see to their safety. The Ministry of Information and Communication Technology stated that free Wi-Fi routers have been installed at major tourist spots across the country to offer high-speed internet service for tourists. This project is in response to the Government’s tourism promotion policy. Meanwhile, the Association of Thai Travel Agents estimates that during the Chinese New Year celebrations, between 9 and 14 February 2013, around 100,000 tourists from China, Hong Kong, Taiwan, Malaysia, and Viet Nam will visit Thailand. In preparation for welcoming visitors during this period, the Bureau of Prevention and Assistance in Tourist Fraud, under the Ministry of Tourism and Sports, has doubled the number of Chinese-speaking officers on duty at international and regional airports throughout Thailand. The Office of Immigration has assigned additional immigration officers to international and regional airports to reduce the waiting time at immigration checkpoints for foreign tourists. The Office has also streamlined immigration formalities by shortening the time required to obtain a visa upon arrival and providing one-stop service at the checkpoints. The Airports Authority of Thailand has assigned additional officers to facilitate the arrival of foreign tourists and arranged more parking lots for tour buses at major international and regional airports. Useful information can be obtained at the following telephone numbers: - Tourism Authority of Thailand Call Center, #1672 - Thai Tourist Police Call Center, #1155 - Bureau of Prevention and Assistance in Tourist Fraud at the Ministry of Tourism and Sports (Operating hours: 08.30-16.30 hr), tel.: +662-356-0650, e-mail: touristcentre13@gmail.com - Bureau of Prevention and Assistance in Tourist Fraud, at Suvarnabhumi Airport (operating hours: 24 hours daily), tel.: +662-134-4077.

EU to Certify GI Protection for Thai Jasmine Rice, “Khao Hom Mali Thung Kula Ronghai”

(06/02/2013)

Thai jasmine rice, also known as “Khao Hom Mali Thung Kula Ronghai,” will become the first product in Southeast Asia to be registered under the European Union's Protected Geographical Indication (PGI) scheme. The Director-General of the Department of Intellectual Property, Mrs. Pajchima Tanasanti, said that the European Union would soon officially grant its recognition for the Hom Mali rice from Thung Kula Ronghai. It is now in the process of drafting the announcement in the various languages used in the European Union. PGI covers agricultural products and foodstuffs closely linked to the geographical area. At least one of the stages of production, processing, or preparation has to take place in the area. Thailand submitted its application for the scheme in 2008. It has spent almost five years campaigning in order to win the PGI recognition. Initially, five countries – Italy, Belgium, the Netherlands, the United Kingdom, and France – opposed Thailand’s PGI registration, saying that Thailand should not be the only country allowed to register Hom Mali rice as other countries could also grow it. Thailand explained that Khao Hom Mali Thung Kula Ronghai is a unique rice variety and can grow in a limited area only. Mrs. Pajchima said that Khao Hom Mali Thung Kula Ronghai would be the third non-EU product in the world, after Indian tea and Colombian coffee, to receive this form of geographical indication protection. The Ministry of Commerce will organize an activity to welcome the recognition of Thai jasmine rice during the visit of Prime Minister Yingluck Shinawatra to Belgium in early March 2013. According to Mrs. Pajchima, after the PGI registration, Thailand will be able to display the EU certification on Khao Hom Mali Thung Kula Ronghai, which will help make it better known internationally. This will also contribute to Thai rice exports and benefit Thai farmers. EU consumers attach importance to products with PGI, since they come from specific areas. The brand of Hom Mali is also well known worldwide, especially in the high-end market. Thung Kula Ronghai, or Weeping Prairie, in northeastern Thailand, is a major area for the cultivation of Hom Mali rice. The area spreads over five northeastern provinces: Roi-Et, Maha Sarakham, Surin, Si Sa Ket, and Yasothon. Two more Thai products are seeking PGI certification from the European Union. They are Doi Chang and Doi Tung coffee varieties grown in the northern province of Chiang Rai. If there are no objections, these two products are likely to be registered on the PGI list within the next six months. The Department of Intellectual Property also plans to apply with the European Union for geographical indication protection for Sang Yot rice from the southern province of Phatthalung.

Thailand and France Sign Five Agreements to Boost Bilateral Cooperation

(06/02/2013)

Thailand and France signed five accords and memorandums of understanding during the official visit of French Prime Minister Jean-Marc Ayrault to Thailand on 4-5 February 2013. The five agreements cover cooperation in defense, production of four vaccines, research and development in agronomics, vocational curriculum development, and education under which a number of French teaching volunteers will come to teach in various schools in Thailand between June and September 2013. Prime Minister Yingluck Shinawatra emphasized Thailand’s good potential for becoming a center in this region, saying that the country has many infrastructure development projects linking ASEAN with South Asia and East Asia. She stated that Thailand plans to set up an aircraft industrial estate, involving aircraft production, maintenance, and services. France was urged to join the bidding of various development projects in Thailand. France has shown interest in investing in Thailand’s infrastructure development projects, especially electric train and high-speed train systems. Both countries shared the view that a free trade agreement would lead to an increase in bilateral trade and investment between them. It is expected that negotiations on Thailand-European Union FTA will begin in the first half of 2013. France currently ranks eighth in direct investment from European countries in Thailand. Bilateral trade between the two countries in 2012 reached 150 billion baht, an increase of 22 per cent from 2011. Thailand’s imports from France amounted to 100 billion baht, while its exports to France came to almost 50 billion baht in 2012.

Assistance for SMEs Affected by the Minimum Wage Hike and Stronger Baht

(04/02/2013)

The Government has prepared measures to help small and medium-sized enterprises (SMEs) that might be affected by the 300-baht minimum wage hike and the stronger baht. Speaking in the weekly program “Yingluck Government Meets the People” on 2 February 2013, Industry Minister Prasert Boonchaisuk revealed that the Prime Minister had set up two working groups, one looking into impacts of the wage increase and the other looking into effects of the baht appreciation. The two working groups are closely monitoring the evolving situation in order to protect SMEs and enhance their competitiveness. There are currently 2.7 million SME operators across Thailand in the production, trade, and service sectors. SMEs have generated employment for 11 million people and earn the country 3.86 trillion baht annually. Mr. Prasert said that SMEs serve as the foundation of the country’s economy, so if they are strengthened and become more competitive, they will help stabilize the Thai economy and bring about sustainable growth. As for effects of the minimum wage hike on industries, he said, an assessment indicated that the production cost for small enterprises would be 5.75 percent higher. Medium-sized enterprises would see an increase in the production cost by 5.63 percent and large industries by 4.83 percent. Overall, the total production cost would increase by 5.38 percent on average. The Industry Minister pointed out that the increase was not considered high, saying that the most-affected industry is the textiles sector, which sees an increase in the production cost by 7 per cent, followed by food and beverages by 6 percent. In order to help affected enterprises, he said, the Ministry of Industry will send its mobile industrial clinics to provide them with counseling services concerning various issues, such as the replacement of old machines and the efficient use of raw materials. He said that during the flood crisis in late 2011, the industrial clinic project was successful in reducing the production costs of affected factories by 10 percent. As for the baht appreciation, the Board of Investment has a policy to encourage Thai companies to invest more in foreign countries to help maintain the balance of the Thai currency in the long run. Meanwhile, Minister to the Prime Minister’s Office Niwattumrong Boonsongpaisan, who was appointed by the Prime Minister to look into impacts of the wage increase on SMEs, said that the Government had introduced 19 measures to assist SMEs. Among these measures are the extension of low-interest loans, the improvement of machinery for higher productivity, and the opening of new marketing channels abroad. Additional measures will be issued, if necessary. Moreover, he said, SME assistance centers have also been opened in various provinces to provide operators with greater access to assistance. They may also send their complaints to the websites www.1111.go.th, or www.sme1111.opm.go.th, for more assistance.

Princess Maha Chakri Sirindhorn to Preside over the Bangkok Chinatown Festival 2013

(04/02/2013)

Her Royal Highness Princess Maha Chakri Sirindhorn will preside over the Bangkok Chinatown Festival 2013 in celebration of Chinese New Year. The opening ceremony will be held at 5:00 p.m. on 10 February 2013, which marks the beginning of the Chinese New Year 2013, the Year of the Snake. It will take place at the King’s Birthday Celebration Arch at Odeon Circle on Yaowarat Road. Organized jointly by the Bangkok Metropolitan Administration and Bangkok’s Chinatown community, the festival will run for two days, on 10 and 11 February. Traffic will be closed from the King’s Birthday Celebration Arch to the Chaloem Buri intersection, from 6:00 p.m. on 9 February to 6:00 a.m. on 12 February. Visitors to the festival are urged to take public transport in order to avoid traffic congestion. Many joyous activities will be held, such as a lion dance contest, a food fair, concerts, and cultural shows. One of the highlights will be a special performance from Tibet, prepared by the Chinese government as a special gift to promote Thai-Chinese relations. This will be the first time that Tibetan classical dance has been performed here. An exhibition in honor of His Majesty the King will also be held, featuring royal speeches on various occasions together with interesting pictures. Another exhibition is about the history of Bangkok’s Chinatown. Bangkok has been home to Chinese immigrants since before the beginning of the Rattanakosin, or Bangkok, period. After the establishment of Bangkok as the capital of Thailand 230 years ago, King Rama I ordered the construction of the Grand Palace as the new royal residence on the plot that housed a group of Chinese merchants. Chinese residents living there were asked to move to a new site, presently the Yaowarat area. King Mongkut (Rama IV) expanded this area by building three roads running in parallel with the Chao Phraya River. The three roads were Sampheng, Yaowarat, and Charoen Krung. As a result of the road expansion, Chinatown grew rapidly with the construction of more roadside buildings. Bangkok’s Chinatown is an old business center, covering a large area around Yaowarat and Charoen Krung roads. In this area, there are many small streets and alleys full of shops and wholesale and retail outlets selling all kinds of goods. Bangkok’s Chinatown is famous for its gold shops, restaurants, and food stalls offering numerous delicacies. Although it is normally a congested area and a busy part of town, the Chinese New Year Festival provides visitors a chance to walk along the streets without worrying about traffic. The festive season has become a major cultural event of the country, and the celebrations have not been confined only to Thai-Chinese communities, but are also enjoyed by tourists from various countries.

Visit of the French Prime Minister to Thailand

(02/02/2013)

French Prime Minister Jean-Marc Ayrault, accompanied by his spouse Madam Brigitte Ayrault, will pay an official visit to Thailand on 4-5 February 2013 at the invitation of Prime Minister Yingluck Shinawatra. It will be the first official visit to Thailand by a high-level representative from France in seven years, after former President Jacques Chirac visited the country in 2006, as guest of His Majesty King Bhumibol Adulyadej. The upcoming visit of the French Prime Minister follows that of Prime Minister Yingluck to France six months earlier, in July 2012. Also accompanying the French Prime Minister will be Cabinet members and leading business people. According to the Ministry of Foreign Affairs, this exchange of high-level visits underscores the commitment of both countries to cementing further the strategic partnership between the two countries initiated in 2004. It is also an opportunity to write another chapter in the long history of Thai-French relations, which began with the reciprocal dispatch of embassies in the 17th century. During the visit, the French Prime Minister will have a meeting with Prime Minister Yingluck on 5 February and deliver a speech on relations between Thailand and France at Thammasat University. He will also preside over the inauguration of the Franco-Thai Business Forum and meet the French community in Thailand. The Ministry of Foreign Affairs stated that the visit of the French Prime Minister would follow up on the outcomes of the previous visit of Prime Minister Yingluck to France, particularly with regard to enhancing economic partnership between the two countries in order to promote mutual growth and employment. To this end, discussions are expected to focus on exploring trade and investment opportunities and boosting cooperation in all areas of mutual interest, from infrastructure to education and research and to alternative energy. France currently ranks eighth in direct investment from European countries in Thailand. Trade between the two countries from January to November 2012 was 4,014 million US dollars. France has shown much interest in Thailand, whereas the Thai private sector has also begun to invest in France in such industries as seafood by Thai Union Frozen Products Public Company and by PTT Global Chemical Public Company in the plastics industry. Thailand and France are expected to engage in a dialogue on regional and global issues of common interest and concern. Other issues to be raised for discussion include developments related to the continued prosperity and stability of Southeast Asia, based on a competitive ASEAN Community and a more connected Mekong region, and the wider Asia-Pacific region, as well as on developments in Europe and the European Union. On the global front, possible cooperation on shared global challenges, such as closing development gaps and strengthening multilateral institutions, including the United Nations, are also issues expected to be explored together.

Diplomats from OIC Member Countries Observe Thailand’s Southern Situation and Assistance for Rohingya Migrants

(01/02/2013)

A group of 17 diplomats from the Organization of Islamic Cooperation (OIC) member countries has observed the situation in the southern border provinces and Thailand’s assistance for Rohingya illegal migrants. They expressed their satisfaction with the country’s good care for the Rohingyas. Deputy Prime Minister and Foreign Minister Surapong Tovichakchaikul led the group, comprising ambassadors and representatives of foreign embassies in Thailand, to the South on 31 January 2013. The objective of the visit was to provide them with first-hand information about the southern situation and better understanding of the Thai government’s firm determination to tackle southern unrest. The trip took them to Songkhla, Pattani, and Yala. In Songkhla, the diplomats observed the living conditions of Rohingya women and children at the home under the supervision of the Ministry of Social Development and Human Security. There are currently 105 Rohingya women and children in Songkhla, 13 in Trang, 18 in Narathiwat, and 22 in Pattani. Mr. Surapong said that Thailand and OIC member countries would discuss cooperation in finding third countries for the Rohingya migrants and helping develop Myanmar, their country of origin. According to the Office of the National Security Council, Thailand will provide assistance for the Rohingyas on a humanitarian basis and will not establish a refugee camp for them. The illegal Rohingya migrants will be allowed to stay in Thailand temporarily, not more than six months. About 1,400 Rohingyas have reportedly been detained at various shelters in southern Thailand. At the Sirindhorn Military Camp in Yarang district of Pattani, the diplomats were briefed about the Thai government’s policy of dealing with the southern situation. Mr. Surapong emphasized that the Government is making efforts to resolve the southern unrest, based on the royal advice of His Majesty the King to “understand, reach out, and develop.” The group was told that the Government attached great important to southern development in accordance with the local way of living and aspects of culture and identity. In Yala province, the group of diplomats visited Thamvitya Mulniti School, which is an Islamic school located in Mueang district. They met school administrators, teachers, and students for discussion on teaching and learning there. The school now focuses on equipping students with English proficiency to prepare them for the ASEAN Community, which will be in place in 2015. About 60 percent of students in this school continue their studies at various universities in Thailand, while 40 percent continue their education in foreign countries, especially Egypt, Sudan, and Malaysia. The Government is ready to develop and support human resources in the South to provide local residents with greater opportunities in all aspects.

Government Accelerating Efforts to Cope with Appreciation of the Baht

(31/01/2013)

All relevant agencies have been instructed to seek measures to cope with the ongoing appreciation of the baht, which has affected small and medium-sized enterprises (SMEs). Prime Minister Yingluck Shinawatra on 30 January 2013 called a meeting of economic ministers to discuss ways to deal with the stronger baht. Also attending the meeting were senior officials from the Ministry of Finance, the Ministry of Industry, the Ministry of Labor, the Bank of Thailand, the Office of the National Economic and Social Development Board, and the government-appointed committee to help SMEs. According to a report from the Bank of Thailand, the appreciation of the baht stemmed from an influx of foreign funds to invest in the Stock Exchange of Thailand and bond markets. The foreign direct investment inflow is likely to be a short-term activity. The central bank is closely monitoring the situation. Precautionary measures have been prepared and will be introduced if necessary. The meeting shared the view that Thai companies should be encouraged to invest more in foreign countries to help maintain the balance of the Thai currency in the long run. Thai investors invested about eight billion US dollars overseas in 2012. A meeting of economists and financial experts would also be held to discuss whether monetary measures would be necessary or not to deal with the short-term influx of foreign funds. However, there would be no interference in the market mechanism. As for SMEs, the Government and the Federation of Thai Industries, the Board of Trade of Thailand, and various financial institutions would come up with measures to provide more assistance to them. In this regard, financial institutions would be asked to extend the repayment period for SMEs. The Federation of Thai Industries had submitted a proposal to the Bank of Thailand to help SMEs cope with impacts of the stronger baht. It is confident that the central bank will be able to stabilize the Thai currency. The central bank explained that the baht strength was in line with regional currencies and that it has kept a close watch on the movements of the foreign exchange market. Since the appreciation of the baht will make Thai products more expensive for overseas buyers, the Bank of Thailand stated that exporters should be provided with more knowledge about the use of payments made in local currencies. Moreover, during the appreciation of the baht, imports of machinery and equipment should be accelerated to create a balance of capital outflows and inflows. The Government plans to invest in major infrastructure development, which will require imports of both machinery and equipment for many projects. The management of volatile capital flows and impacts of exchange rate fluctuations on the real economy have been cited as one of the major challenges in Thailand’s monetary policy for 2013.

Measures to Combat Forest Fires and Haze Pollution

(30/01/2013)

The Government is stepping up efforts to fight forest fires and haze pollution by applying stricter law enforcement, especially during the critical period from January to April. The Cabinet has approved measures to prevent forest fires and smoke haze for 2013 and instructed relevant agencies to work out an action plan to deal with the problem, with the participation of local people. Emphasis is placed on nine provinces in the North – Chiang Rai, Chiang Mai, Lampang, Lamphun, Mae Hong Son, Nan, Phrae, Phayao, and Tak. The measures in 2013 have been switched from the focus on “burning control” to “no burning.” The National Water Resources and Flood Policy Committee will handle the problem based on the “single command” system, while provincial governors will be responsible for the “forward command,” based on the area approach. The Ministry of Natural Resources and Environment has set the period from 21 January to 10 April 2013 to prohibit burning in all forest areas. Campaigns have also been launched to encourage local people to stop all kinds of burning in the forest. Thailand will seek cooperation from Laos and Myanmar in controlling forest fires along border areas. It will also join other ASEAN countries in enhancing capacity-building in an attempt to mitigate transboundary haze pollution. According to the Ministry of Public Health, haze pollution can cause such health hazards as respiratory problems and heart, eye, and skin diseases. Mobile units have been prepared to provide immediate health care to local residents in the nine provinces. The Department of Land Development is launching a campaign for agricultural leftovers to be plowed under, instead of being burned. The campaign is a new measure to combat the smoke haze problem, while increasing soil fertility. Around 540,000 tons of agricultural leftovers are found in Chiang Mai a year from about 1.8 million rai, or 720,000 acres, of farmland. The Department will cooperate with the Ministry of Energy to provide farmers with knowledge about how to turn weed into biogas and electricity, so that it will not be burned and create haze pollution. Apart from hot dry weather, the burning of solid waste and agricultural materials in open areas has been cited as a major cause of forest fires. Another cause involves the slash-and-burn farming technique employed by farmers to clear land in forested areas. Meanwhile, the Royal Rainmaking Operations Center in the North is launching its operations to reduce smoke haze in the northern region, especially Chiang Mai province. The rainmaking operations will also help ease the drought situation during the dry season, bring moisture to forest areas, and reduce the haze of harmful smoke particles.

Three Issues that Need to Be Addressed for Sustainable and Equitable Growth

(29/01/2013)

Governor of the Bank of Thailand Prasarn Trairatvorakul has cited social inclusion, ecology, and financial stability as three major issues that should be addressed properly for sustainable and equitable growth. The central bank governor touched on these issues in his remarks at the Conference on Economic Transformation and Inclusive Growth in Frontier Economies on 28 January 2013 at the Grand Hyatt Erawan Hotel in Bangkok. With regard to social inclusion, he stressed the need to create opportunities for everyone, so that people may contribute to and benefit from economic growth. In order to follow the principle of equality of opportunity, unbiased governance and a regulatory environment for businesses and the people are needed. By realizing that everyone is endowed with different capacities, he said, a supportive policy adapted for each social group is needed. For instance, as in the case of Thailand, research studies indicate that broadening financial access and promoting financial literacy have significantly raised the country's growth rate. Regarding ecology, Mr. Prasarn said that Thailand heeds the lesson of how to progress while supporting environmental sustainability. After Thailand’s period of rapid development, ecological problems have become more prevalent. Concerns have been raised over the sustainability of the environment and, more fundamentally, the socio-economic well-being of the people. Today, efforts have been made to maintain the balance between the ecosystem and growth. For instance, environmental protection and sustainable development have been included as integral parts of Thailand’s National Economic and Social Development Plan since 1997. Concerning the stability of financial system, he said, Thailand has improved its financial system, after learning the lesson of the 1997 financial crisis, which originated from large capital inflows. Legal and regulatory reforms have been made to ensure the stability of financial system. Today, Thailand’s efforts have paid off as its financial system is now resilient and in a good position to support growth. Speaking about the development experience of Thailand, Mr. Prasarn said that Thailand’s rapid growth between the late 1970s and 1997 was the result of the structural transformation. The country moved from primary production to industrial production, mostly manufacturing and high-value agricultural products. The combination of processed agricultural products, import substitution industrialization, and export promotion was the principal feature of economic development. He explained that moving up global production chains had elevated Thailand’s per capita income of 100 US dollars in the early 1960s to nearly 3,000 dollars after 1997. More importantly, the process has resulted in a dramatic fall in poverty and improved the living conditions of the Thai people. The rate of poverty had been reduced from 57 percent in the early 1960s to around 24 percent in 1981 and to 8 percent in recent years. Thailand’s economic development story has thus attracted broad interest from policy makers, multilateral agencies and academics. As in most transformed economies, economic transformation is often associated with rising income inequality and depletion of resources. In 1970s, the average household income in Bangkok was 2.6 times larger than in rural areas, and by 1998 it had increased to 3.4 times. And, during the transformation period, Thailand's forest cover rapidly depleted by nearly half. Therefore, environmental issues should not be discarded in the desire to achieve sustainable and equitable growth, since this can lead to the deterioration of social solidarity and the natural world, he said.

Production of Skilled Workers and Engineers for Thailand’s Investment in Infrastructure Development

(28/01/2013)

Prime Minister Yingluck Shinawatra has stressed the need to accelerate the production of skilled workers and engineers to accommodate Thailand’s huge investment in infrastructure development. Speaking in the program “Yingluck Government Meets the People,” the Prime Minister urged educational institutions to produce more personnel to prepare for mega-projects in the future. The Government is planning to invest in many mega-infrastructure projects, such as the construction of a high-speed train system, linking Thailand with neighboring countries, the expansion of electric train routes, and sustainable water resources management and flood prevention. The mega-projects on infrastructure development require a budget of two trillion baht and are expected to generate employment for 500,000 people in the next seven years. As for sustainable water resources management and flood prevention, the Government has issued a royal decree empowering the Ministry of Finance to seek a loan of 350 billion baht to be used for the scheme. It has also invited interested local and foreign consulting firms to submit the Conceptual Plan for the Design of Infrastructure for Sustainable Water Resources Management and Flood Prevention of Thailand. The Prime Minister stated that relevant agencies should also work with the private sector in producing qualified personnel in response to the demand in the labor market. The fields of vocational education and engineering should be focused upon. In this regard, curriculums must be adjusted, so that students will be able to keep pace with new technology. Moreover, personnel at all levels who are in great demand in the labor market should be provided with opportunities to exchange knowledge and experience with those in foreign countries, in order to enhance their potential. Meanwhile, the Ministry of Education is gathering information about labor shortages in various fields in order to adjust its plan for the production of engineers and other professional workers. It has conducted a survey for mapping out a 10-year plan, aimed at producing personnel at both vocational and tertiary education levels to cope with Thailand’s investment expansion, especially the construction of the high-speed train project. The move will also help Thailand prepare its workforce in an attempt to prevent labor shortages when the ASEAN Community is in place in 2015. Emphasis is also placed on three major industries: automobiles and auto parts, electricity and electronics, and construction and surveying. Statistics compiled by the Federation of Thai industries show that, from 2011 to 2015, demand for skilled workers in the three industries is higher than production by between threefold and fourfold. Around one million skilled workers will be needed in the transport sector alone.

Government’s Huge Investment Plan on Infrastructure Development

(28/01/2013)

The Government is planning to invest two trillion baht in infrastructure development, as part of its national strategy to move the country forward. In the weekly program “Yingluck Government Meets the People” on 26 January 2013, Prime Minister Yingluck Shinawatra and Transport Minister Chadchart Sittipunt provided explanations concerning the infrastructure investment plan. The Prime Minister said that the amount of two trillion baht would come from both domestic and foreign funding sources. The private sector would also be urged to co-invest in various infrastructure projects under the plan. The Government would issue a royal decree to seek loans for the plan, to be approved by the House of Representatives and the Senate. She stressed that the huge infrastructure investment should not cause concern about a negative impact on public debt, since the Ministry of Finance was told to adhere to fiscal discipline to ensure that the country's public debts would stand at not more than 50 percent of GDP. The Prime Minister said that Thailand now enjoyed fiscal stability and that its international reserves were also in a good position. She explained that, during her visits to various provinces, local people called for better transport networks to facilitate their travel. More convenience in traveling would help in wealth distribution to the provinces. So connectivity in the regions of the country is important. For example, if there is a high-speed train service between Bangkok and Chiang Mai, nearby provinces would also benefit from wealth distribution. The Prime Minister believed that the infrastructure investment plan would also reduce costs, shorten transportation time, and reduce social, political, and economic disparity between low-income and high-income earners. Moreover, the plan would generate employment and attract tourist arrivals and investments. She added that infrastructure would lead to a better quality of life, as well, and that the Government deemed it necessary to ensure that all groups of people would receive equal rights and opportunities. Among the investment projects are 10 electric train routes and double-track train service. In border provinces, there would be transportation networks linking with neighboring countries, which would promote tourism and facilitate business operation. According to Transport Minister Chadchart Sittipunt, the Government plans to increase the number of electric train routes in Bangkok to 10 by 2019. About 800,000 people are currently using two electric train systems in Bangkok. Among them, 600,000 use the Bangkok Mass Transit System (BTS), or the skytrain, and 200,000 use the Mass Rapid Transit (MRT), or the subway. Mr. Chadchart said that around four million commuters are likely to use the two systems by 2019 and the number is expected to increase to eight million in the future. He believed that the infrastructure investment plan would create job opportunities for at least 500,000 people, build new towns, and contribute to the growth of the country’s GDP.