Clip News Channel

Government to boost benefits for companies locating regional operating headquarters in Thailand

2010-02-07T03:37:00.001-08:00

Dep Minister of Finance Pradit Phataraprasit to lead an Open Forum on Wed 10th Feb to solicit direct input from private sector on how government can help them operate more competitively in the region

Deputy Minister of Finance Pradit Phataraprasit, today, (Wednesday 3 February) announced that the government is formulating plans to boost tax and non-tax benefits to companies that locate their regional operating headquarters in Thailand.

“We aim to reinforce Thailand’s position in the region as an important manufacturing and services hub,” said Deputy Finance Minister Pradit who chairs a committee charged with developing a set of recommendations that can make Thailand a more attractive location for the regional operating headquarters of companies.

He said, “The establishment of a regional headquarters in Thailand by giant foreign companies can generate enormous benefits for our country and accelerate economic growth. It results in the location in Thailand of many high-salaried expatriate managers; it means more demand for housing, more shopping and other spending, and more business for hotels and restaurants with a greater number of international events being organized in Thailand. It also means that Thai staff have more opportunity to become regional managers with much higher salaries and responsibilities.”

Mr. Pradit said that he is organizing an Open Forum meeting on Wednesday 10th February at the Queen Sirikit National Convention Center for the private sector to give direct input to him on how they believe Thailand could become more attractive as a regional operating headquarters for their companies.

“I want this to be a collaborative effort that gets the best ideas on the table, and to weed out what isn’t important to the private sector,” said Mr. Pradit.

He said that, “multiple government agencies are working together and all key people responsible for developing and submitting these recommendations for Cabinet approval will be present at the session to listen to the views of the private sector, including the Board of Investment, the Bank of Thailand, the Revenue Department, the Fiscal Policy Office, as well as the Federation of Thai Industries, and the Thai Chamber of Commerce, in addition to himself and the Permanent Secretary of the Ministry of Finance.”
HOW TO REGISTER TO ATTEND

Attendance is free. To book a place, please email or fax representatives’ Name, Title, and Company to ROHforum@gmail.com , or fax: 02-664 9515, Attention: Khun Pairoj. Reservations should be made no later than Monday 8th February. Seating is limited and available on a first come, first served basis. Presentations will be in English and Thai.

“THAI CONSUMER CONFIDENCE IN FOURTH QUARTER OF 2009 REACHED THE HIGHEST LEVEL SINCE 2008” SAYS NIELSEN

2010-02-07T02:13:00.001-08:00

THAI Consumer MORE OPTIMISTIC ABOUT PERSONAL FINANCES AND JOB SECURITY IN 2010 But Spending Still Restrained

Consumer confidence in Thailand during the fourth quarter 2009 reached its highest level since mid 2008, driven by improved job prospects and better personal finances, according to the Global Consumer Confidence Survey released today by The Nielsen Company.

An increase in consumer confidence in Asian markets, as well as Brazil, continues to reflect signs that the economy is emerging from a global recession and, in some markets, the recovery is accelerating, according to the latest survey. Results of the Nielsen survey highlighted that consumer confidence gains in markets recovering fastest from recession – including Hong Kong, China, Singapore, India and Brazil – have fueled renewed willingness to spend by many consumers as they head into 2010.

While eight of the top 10 most confident markets in the fourth quarter of 2009 came from Asia Pacific, including emerging markets Indonesia (ranked 1st) and India (ranked 2nd), consumers in two of Asia’s most developed markets, South Korea and Japan, were the least confident. Brazil (ranked 3rd) and Canada (ranked 10th) were the only countries outside of Asia to make the top 10.

In Asia Pacific, Hong Kong recorded the highest consumer confidence increase for the second consecutive quarter in quarter four (Q4) – up seven index points from 93 in Q3 2009 to 100 (on a scale of 0 to 200 Index points) in Q4. Confidence in Hong Kong rose a total of 21 points since June 2009.

Globally, between June and December last year, the Nielsen Global Consumer Confidence Index rose five points from 82 to 87 while consumer confidence in Thailand increased nine points from 86 to 95.

The Nielsen survey shows that consumers in the past six months have become more optimistic about their country emerging from recession with better job prospects and personal finances. This is another sign that global recovery is heading in the right direction.

In Thailand, Nielsen found consumers became more optimistic about the economy in the fourth quarter of 2009. The percentage of Thais who said they believe the country is currently in a recession dropped for the fourth consecutive quarter– down from 91 percent in Q1 to 70 percent in Q4 of 2009.

Aaron Cross, Managing Director of The Nielsen Company, Thailand said “A year ago the world was in free-fall and consumer confidence hit an all time low in Nielsen’s global index. Thai consumer confidence also plummeted to it lowest record in Q1 2009. Since the Thai government reacted quickly to implement a significant stimulus program we have seen the consumer confidence index continue to rise throughout the year of 2009 showing an increase from 81 in Q1 to 86 in Q2 and 94 in Q3”.
Thai Consumers More Optimistic About Personal Finances

More than half (55%) of Thai consumers surveyed said their personal financial outlook for 2010 will be excellent or good compared to 45 percent last June.

Asia is also leading the way in increased discretionary spending. Chinese consumers topped global rankings (in discretionary spending) for investing in stocks and mutual funds and new technology products, and are ranked second globally for spending on new clothes and holidays. Thai consumers, however are not ready to start spending yet with 64 percent saying now is not a good time to spend - up from 60 percent in Q3.
Job Prospects Looking Up

The economy remains the top concern of Thai consumers however the concern for job security continued to decline in Q4 2009. In December 2009, 40 percent of Thai consumers described job prospects for 2010 as excellent or good compared with only 15 percent in Q1 2009, 27 percent in Q2 2009 and 38 percent in Q3 2009.
How do Thais utilize spare cash?

Thai consumers are cautious about discretionary spending. After covering necessary living expenses, Thais continue to put their spare cash into savings (59%). This has been the favorite mode of spare cash utilization for Thais since the year of 2006. After savings, holidays/vacations (47%) investing in retirement funds (30%), and home improvement and decoration (28%) were the three most popular spending options.
Discretionary spending

According to Nielsen’s survey on consumer behavior, Thai consumers will cut back on the following expenses

Spend less on new clothes (64%)Cut down on out of home entertainment (58%)Try to save on gas and electricity (55%)Delay upgrading technology, e.g. PC, mobile phone (44%)Cut down on holidays/ short breaks (42%)
About the Nielsen Global Consumer Confidence Survey

The Nielsen Global Consumer Confidence Survey was conducted between December 4 -18, 2009 and polled over 17,500 consumers in Asia Pacific, Europe, Latin America, the Middle East and North America about their confidence levels and economic outlook. The Nielsen Consumer Confidence Index is developed based on consumers’ confidence in the job market, status of their personal finances and readiness to spend. The sample has quotas based on age and sex for each country based on their Internet users, and is weighted to be representative of Internet consumers and has a maximum margin of error of ±0.6%.
About The Nielsen Company

The Nielsen Company is a global information and media company with leading market positions in marketing and consumer information, television and other media measurement, online intelligence, mobile measurement, trade shows and business publications. The privately held company is active in more than 100 countries, with headquarters in New York, USA.

Momentum likely to fade in second half of 2010, making stock picking increasingly important

2010-02-07T02:02:00.001-08:00

Asian markets rallied strongly last year, spurred by government stimulus measures and liquidity-driven buying. While this trend is likely to carry through into the first half of 2010, Aberdeen Asset Management believes that the second half of 2010 will be altogether more challenging.

The key risks are in the timing of governments as they exit unorthodox stimulus strategies and what happens as monetary policy tightens across the region in response to rising inflation, according to Adam McCabe, Senior Portfolio Manager on the fixed income.

He believes that the consequences of any mis-step could be huge and predicts policy-makers would rather wait too long than do the opposite and risk a ‘double-dip’ recession. Easy money is leading to the risk of asset bubbles, for example in various property markets across Asia, and elsewhere across emerging markets as policy makers maintain loose monetary policy.

Although rising interest rates are outwardly negative for bonds, Aberdeen sees selective opportunities because not every development appears priced in.

“We are long Asian currencies generally, with any short term periods of USD strength providing an entry point for our preferred trades in the Korean won, Indonesian rupiah and Indian rupee. We also find relative value in Asian investment grade bonds versus US and European investment grade bonds. And Asian banks in particular look cheap versus European and US banks, leading us to take an overweight position on financials,”
Mr Adam summarised.

His theme of greater discrimination was echoed by Kwok Chern-Yeh, Investment Manager on the Asian equity team, who says stock-picking will gain in importance as buying momentum fades.

“We’re seeing investors start to pay more attention to company fundamentals. It’s really not yet clear how the recent pick-up in earnings may have been flattered by the inventory bounce and cost-cutting. Valuations suggest the markets are due for a pull-back. The trouble is the weight of money coming in, or waiting to do so, remains considerable and may lead to new highs in the near term.”

Mr Kwok Chern-Yeh affirmed Aberdeen style was to focus on defensive, cash rich names with strong franchises. BHP Billiton and Hindustan Lever, for example, were new additions to its model regional portfolio in 2009.

Mr.Chaikaseam Vadhanasiripong , Head of Funds Distribution, Aberdeen Asset Management Company Limited said “Overall Aberdeen anticipates more subdued asset market returns in 2010 versus 2009 because global recovery will be constrained by G3 delevering, ensuring that export levels won’t return to pre-crisis levels for a long time. It foresees growth in emerging market economies leading that of developed economies over the next three to five years, and Asia in turn leading emerging markets

The company aims to offer an outstanding pure asset management business that is well-diversified by territory, channel, and product. Our investment expertise is the management of client portfolios in equities and fix income from a fundamental perspective. This forms the basis of our core investment competence. Our business direction is to build long-term relationships with our clients and partners through strong performance and first-class client service”

For Thailand, Aberdeen will continue to reinforce our position as the leader in equity funds, especially FIF funds, by providing superior products, services, and direct accessibility to our fund managers from around the globe. Also, we've launched several services such as Monthly Investment Plan, Multi-redemption accounts, Internet Online Channel redesign to provide more convenient and to enhance clients' experience.

Mr. Chaikaseam added “For new business opportunities, we intent to develop our investment capability and distribution platforms in order to enter new markets and segments where we may have a competitive and sustainable edge. Last but not least, we will continue to educate investors on fundamental-driven long term investment approach via articles, interviews, mass media, and public seminars.”
About Aberdeen Asset Management Group

Aberdeen Asset Management manages over US$232.2 bn* of third party assets from its offices around the world. At Aberdeen, asset management is our sole business. We operate independently and only manage assets for third parties, allowing us to focus only on their needs, without conflicts of interest. Our clients access our investment expertise across the three asset classes: equities, fixed income and property. We package our skills in the form of segregated and pooled products across borders. We invest worldwide and follow a predominantly long-only approach, based on fundamentally sound investments – we do not chase market fads.

THAI and Thai Government Hold Thai Rice Donation Ceremony to Haitian People

2010-02-05T22:26:00.000-08:00

Thai Government and Thai Airways International Public Company Limited, as well as the government and private sector cooperated together in transporting 100 tons of Thai rice on a THAI freighter aircraft. The humanitarian donation of Thai rice will benefit the people of Haiti who have been affected by severe earthquake. Mr. Abhisit Vejjajiva, Prime Minister of Thailand, presided over the donation ceremony witnessed by representatives from the government and various organization in the Ramp Area of THAI Air Cargo, Suvarnabhumi Airport.

Mr. Piyasvasti Amranand, THAI President, said that transporting 100 tons of Thai jasmine rice from the Government of Thailand to the Republic of Haiti was possible due to cooperation from the government and various organizations, in order to provide assistance as quickly as possible. THAI provided relief aid by conducting a humanitarian freighter flight to transport 100 tons of Thai rice that was donated from the Government of Thailand to the Republic of Haiti, on board THAI freighter flight 9S888 at a flight time of 36 hours on the route Bangkok to the Republic of Haiti. Transport by ship takes approximately 5 to 6 weeks, therefore through cooperation between the Thai Government, THAI, and various organizations, this humanitarian relief effort was possible. In particular, the donation of Thai rice reflects on Thailand’s national identity as a country that is known as a “world kitchen” and one the world’s largest sources of rice production.

The aircraft utilized in transporting 100 tons of Thai rice from the Government of Thailand to the Republic of Haiti is a THAI cargo freighter Boeing 747-300F, which the Company obtained for cargo freight transport. THAI’s cargo freighter flight departed from Bangkok’s Suvarnabhumi Airport on Monday, 1 February 2010 at 14.00 hours, with refueling at Incheon Airport in Korea, Anchorage, Alaska and Miami, Florida in the United States of America, and arrival at Port au Prince Airport in the Republic of Haiti on Tuesday, 2 February 2010 at 08.00 hours (local time), at a total flight time of 36 hours.

DEP eyes BIFF & BIL 2010 as springboard for Thai fashion industry to be more competitive and visible in global marketplace

2010-01-30T00:03:00.001-08:00

The effectiveness of the ASEAN Free Trade Agreement (AFTA) is believed to help drive the overall trade volume between the ASEAN countries and their partners.

The Bangkok International Fashion Fair & Bangkok International Leather Fair 2010 (BIFF & BIL 2010) organized by the Department of Export Promotion, Ministry of Commerce of Thailand during 1 - 4 April is expected to encourage the rise of Thai and ASEAN fashion products in the global marketplace, especially in one of the world’s most vibrant fashion markets like Japan.

Riding on the theme, Look East, the BIFF & BIL 2010 will be a vivid showcase of great potential of the ASEAN fashion industry, from upstream to downstream. The mega event will bring together the best fashions and accessories of the ASEAN region, capitalizing on hot new trends, signature styles, textiles and leather products supported by the synergy of local expertise and regional cooperation.

By highlighting the fashions of all 10 ASEAN member countries, BIFF & BIL continues its campaign to bring ASEAN Fashion to, and stay more competitive in the global stage.

“With the ASEAN Free Trade Agreement (AFTA) become effective from January this year, the overall trade volume between the ASEAN countries and their partners is growing at rapid pace,” said Srirat Rastapana, Director General, the Department of Export Promotion (DEP). “The BIFF & BIL 2010 therefore will provide the region’s exhibitors and buyers from Japan, India, China, Korea and Taiwan with a promising platform for trade and cooperation. It is the only fair that offers a complete range of products and services related to the fashion industry supply chain, with greater trade negotiation and sourcing opportunities ever for everyone involved.”

More than 1,000 selected domestic and overseas exhibitors in diverse fields from clothing, textile, leather and fashion accessories to textile equipment & machinery, software & services related to the fashion industry will participate. Potential visitors include importers, manufacturers, traders, distributors, wholesalers, retailers, boutiques, department stores, buying agents, designers, international press and related others.

“The extensive profile of visitors will make the Thai fashion industry more visible, and get broadened access to international fashion markets,” commented Mrs. Srirat.

Speaking at a recent press conference during the BIFF & BIL road show in Tokyo, the DEP Director General also invited manufacturers, buyers and relevant institutes and organizations in the Japanese fashion industry to join BIFF & BIL 2010. The road show was organized in conjunction with JFW International Fashion Fair 2010 (JFW-IFF) in Tokyo, in which 12 Thai textile, apparel and leather products manufacturers, exporters and brand owners participated,

With exports to Japan continuing to increase, Thailand’s textile and apparel industry is expected to see steady growth and development. Relevant organisations led by the Association of Thai Textile Bleaching Dyeing Printing and Finishing Industries (ATDP) has recently cooperated with Japan’s Ministry of Economy, Trade and Industry to develop and manufacture fabrics that meet Japanese standards and market requirements. These textile innovations will be presented to Japanese importers at this year’s BIF & BIL in Thailand.

“The textiles, apparel, and leather exports to Japan are now worth nearly 500 Million US Dollars. Within this, textiles and apparel exports account for more than 420 Million US Dollars and leather goods account for 50 Million US Dollars. Thanks to the Japan-Thailand Economic Partnership Agreement (JTEPA) and the expanding opportunity for Thai exporters in the Japanese medium market as local Japanese manufacturers focus on high-end segment,” said Mrs Srirat.

She added, “Our success at JFW-IFF reflects the high interest of Japanese importers and buyers in Thai fashion products. Japan has expressed its support for Thailand to become ASEAN’s textile and apparel manufacturing base due to its unmatched capacity for integrated production. We are looking forward to see more an increase in number of Japanese visitors to the upcoming event.”

Among highlights at BIFF & BIL 2010 include seminars and conferences, 48 fashion shows, ASEAN Design Congress, Thailand Designer Contest as well as ASEAN Pavilion and Japan Pavilion.

THAI Flies Humanitarian Freighter Flight to Haiti

2010-01-29T23:35:00.001-08:00

Thai Airways International Public Company Limited announced that it will conduct a humanitarian freighter flight, transporting rice that has been donated from the Government of Thailand to the Republic of Haiti, on 1 February 2010.

Mr. Piyasvasti Amranand, THAI President, said that THAI is supporting the transport of 100 tonnes of rice from the Government of Thailand to the Republic of Haiti. THAI’s humanitarian air shipment will be transported on THAI’s cargo freighter Boeing 747-300F aircraft, which the Company obtained for cargo freight transport, on the route Bangkok-Incheon Airport-Alaska-Miami-Dominican Republic.

THAI’s freighter will depart from Bangkok’s Suvarnabhumi Airport on 1 February 2010, operating at approximately 36 hours flight time.

Once THAI’s humanitarian freighter flight lands at Santo Domingo Airport in the Dominican Republic, UN humanitarian assistance teams will dispatch donated goods to those in need of relief aid in Haiti. Haiti was struck by severe earthquake on 12 January 2010.

THAI’s humanitarian support is valued at the equivalent of USD 632,000 dollars.

Moody's says Asia-Pacific sovereign ratings demonstrating resiliency

2010-01-29T22:59:00.001-08:00

Moody's Investors Service says in its just-published "Asia-Pacific Regional Outlook - January 2010" that regional sovereign ratings will likely remain resilient to economic risks coming to the foreground as the global economy recovers from the crisis that emanated from the US and Europe.

Regional rating trends were generally positive in 2009 with no downgrades originating exclusively from the global crisis. Indeed, Indonesia and the Philippines were upgraded to Ba2 and Ba3, respectively, last year, while A1 China, Aa2 Hong Kong, and India (its Ba2 local currency government rating only) have positive outlooks.

The three countries with negative outlooks -- Baa1 Thailand, Ba3 Vietnam and B1 Fiji -- have long-standing underlying imbalances or political tensions which precede the onset of the global crisis.

Growth potential in the Asia-Pacific remains robust, benefiting from fiscal and monetary stimulus programs, liquid banking systems capable of extending credit, intra-regional trade, and foreign exchange reserve defenses built up after the Asian financial crisis of late 1990s.

"Moreover, recovery from the global crisis is appearing similar to previous recovery periods, in contrast to prospects for a sluggish rebound in the US and EU," says Tom Byrne, a Senior Vice President and Regional Credit Officer in Moody's Sovereign Risk Group.

"Despite the crucial role played by fiscal stimulus programs in supporting growth in 2009, most Asia-Pacific countries (ex-Japan) have begun or will likely start to wind down expansionary policies this year," says Byrne.

"Because of relatively less encumbered public finances in the region, with the exception of Japan, the build-up in debt over the past couple of years has been relatively moderate, a key factor in supporting the generally positive trend in ratings in Asia-Pacific," says Byrne. "Also, most countries' fiscal positions can absorb a moderate rise in interest rates in the year ahead," Byrne added.

Moody's notes that China is playing a lead role as a driver of growth in the region, while Japan sits on the sideline as it struggles to overcome stubborn deflation and lackluster domestic demand.

Despite the subdued outlook for Japan, the weakest in the region, Asia-Pacific GDP growth may reach 4.9 percent in 2010, up from 1.2 percent in 2009 and slightly stronger than previous recovery periods in
1999 and 2002.

Accordingly, the growth outlook for Asia-Pacific is more robust than that of Europe or Latin America. Excluding Japan, regional GDP growth is expected to be even stronger at 6.6 percent in 2010. This economic robustness has also underpinned the relatively positive rating trend in the region.

Risks to the economic outlook for the region include a relapse in the recovery in external trade and a rise in inflation. The latter could prove challenging to regional policymakers with the return of risk appetite and strong capital inflows, and could prompt more urgent exit strategies from counter-cyclical policies.

In addition, an endogenous risk to the regional outlook is an asset bubble which careens into a boom-bust cycle in China. Moody's central scenario, however, is that regional governments and monetary authorities will maintain a grip on policy, squeezing as tight as needed to prevent an inflationary destabilization.

The January 2010 edition of the "Asia-Pacific Sovereign Outlook" is the first of a regular publication explaining Moody's views and perspectives on sovereign ratings in the region. It is one of three regional outlooks being published by Moody's Sovereign Risk Group this month, the other two covering Latin America and Europe.

Two other regular reports further detail Moody's perspectives on sovereign ratings, the quarterly "Aaa Sovereign Monitor", which focuses on the highest-rated sovereigns, and the annual "Sovereign Risk Outlook", which provides a year-end review of global sovereign ratings activity and perspectives for the coming year. The latest editions of these reports were published in December 2009.

Stimulus for Thailand’s hospitality industry

2010-01-24T07:00:00.001-08:00

The Office of Small and Medium Enterprises Promotion (OSMEP), Impact Exhibition Management and Thailand Restaurant News magazine are inviting local and international players in the hospitality business, and entrepreneurs interested in this sector, to Thailand International Restaurant and Bar 2010 at Impact Muang Thong Thani in June 2010.

This international expo is designed to raise the standard of Thailand’s hospitality industry and giving encouragement and support to new entrepreneurs now that the economy is recovering.

Yuthasak Supasorn, OSMEP’s Director-General pointed out that the restaurant and service industry was one of Thailand’s vital sectors, with a value of two hundred thousand million baht each year, and that new business ventures were continually opening.

“As the economy continues to improve, everyone involved in this sector needs to be ready to take advantage of emerging opportunities,” he said.

“However, sustainable success in this business depends on many factors, such as location, financial support, market insight, product and service quality, customer base and network of business alliances. The Thailand International Restaurant and Bar 2010 has been organised to give players in this sector, whether they’re actual or potential, the support they need to go for that success.”

Pornphan Bulner, Assistant Director Exhibition Project of Impact Exhibition Management, explained that the expo would integrate products, services and technologies relating to restaurants, hotels, bars, coffee shops and catering to meet the needs of entrepreneurs.

“It will showcase raw materials, equipment and machinery, as well as new techniques and skill trainings for all roles in the hospitality industry. At the same time it will provide a platform for negotiation, networking and exchanging information,” she said.

“At least 150 local and international companies will exhibit their products and services on a combined space of 10,000 square meters. We’re expecting to receive more than 10,000 Thai and foreign visitors -- owners, managers, suppliers and business consultants, as well as people who are interested in running their own business.”

Thailand International Restaurant and Bar 2010 will be arranged in three zones: Cuisine for Change, World of Wine & Spirits, and Coffee (Tea & Bakery) Culture. It will also include seminars, demonstrations of recipes and cooking techniques, competitions for chefs, sommeliers and bartenders and an Asian barista championship.

Chatthaporn Yolao, Managing Director of Thailand Restaurant News magazine, said that the event would present new food trends and the latest technologies as business opportunities, and marketing information from experts. Thai SME’s would also benefit from the new relationships they make with other entrepreneurs and service providers.

“We are hoping that Thailand International Restaurant and Bar 2010 will be instrumental in raising the standard of the food and beverage and hospitality industries in Thailand, and in doing so benefit the Thai economy,” she said.

THE THAI PROPERTY MARKET TRENDS IN 2010

2010-01-24T06:46:00.001-08:00

2009 was a challenging year for the Thai property market, but CB Richard Ellis (CBRE) sees positive signs for 2010. Whilst 2009 has been a tough year, it was not as bad as many expected.

2010 has begun with a more positive market sentiment. The improving economic outlook globally and perception of Thailand’s political situation, together with low market prices compared to other mature property markets, have had a positive impact on consumer confidence in property investment in Thailand.

Following the economic crisis, the supply of new office, retail and industrial space is at an all-time low. These sectors are expected to improve this year, in line with the global and local economic recovery.

Thailand’s residential market in 2009 was primarily driven by local demand. This year, CBRE believes that local demand will continue to be strong and that individual foreign property investors will start to return to the market. Thai condominium prices remain attractive compared to other cities in the region, such as Shanghai, Hong Kong and Singapore where prices have risen sharply in the last six months.
Average Price of Luxury Residential Units in the Region (THB per sq.m.)
City 2008 2009 %Change
y-o-y
Shanghai THB 176,032 THB 189,659 7.7
Hong Kong THB 622,549 THB 722,376 16.3
Singapore THB 479,327 THB 555,481 12.8
Bangkok THB 117,875 THB 124,539 5.6
Source: CBRE Research

However, there are continuing concerns about Thailand’s political stability and the strength of the global economy. If Thailand’s economy and politics are stable in 2010, the residential sector will see consistent positive growth.
Government Policy

The Government stimulus package will expire in March 2010 and it remains uncertain whether it will be extended. CBRE believes the extension of this package will benefit buyers and developers of large condominium projects launched during the crisis which are due for completion and transfer within this year.

The initiative of this government to reform property and land taxation with a view to creating fairness sounds positive, but it will only be possible to determine the effect on the property market once the details of the proposed legislation have been finalised. “So long as the new tax legislation is on a fair basis and the tax rate not so excessively high as to discourage investment, CBRE sees this reform as beneficial for the market,“ Ms. Aliwassa Pathnadabutr, Managing Director of CBRE Thailand said. An additional measure that CBRE urges the government to consider is the extension of the long lease term from the current 30 years up to a maximum of 90 years. This will help improve the market mechanism and make large-scale commercial projects viable which would not be feasible if such developments were freehold due to the high land cost or if they were on a 30-year lease due to the limits on lease terms. The extension of the lease term will also have a direct benefit for resort destinations such as Phuket and Samui where the property markets are primarily driven by foreign demand.

Looking at 2010 and beyond, environmental issues are a key consideration for all industries including the property market. There will be more restrictions which may increase the cost for developers. The Environmental Impact Assessment (EIA) process is one of the key concerns and risks for developers as there are uncertainties in the details and timing required to obtain such a permit. This is one of the factors which are likely to delay the emergence of new supply.

Any additional incentives that would attract foreign direct investment in both manufacturing and the service industries would be welcomed, in order to enable Thailand to compete with rival destinations.
Office : The Market Should Improve in 2010
Bright future due to limited new supply

In 2010, there will be very limited new supply in the office sector. Only 78,380 sq.m. are due to be completed, including Sathorn Square (72,500 sq.m.) and Sivatel Wireless Road (5,880 sq.m.). CBRE sees the limited increase in new supply as a positive indicator for the office market because any increase in take-up will reduce vacancy rates and lead to rental increases. At the end of 2009 the vacancy rate stood at 12%.

Even though net demand in 2009 dropped by more than 50 % to only 52,000 sq.m., average grade A CBD office rents fell by 7.26% to THB 690 per sq.m while grade B CBD office rents fell by 12% to THB 509 per sq.m. This is considerably better than in other markets. Rents fell by 52.6% in Singapore and 49.9% in Hong Kong in 2009.
Average Grade A CBD Office Rents in the Region (THB per sq.m.)
City 2008 2009 % Change
Y-o-Y
Hong Kong THB 4,107 THB 2,255 -49.09%
Singapore THB 4,041 THB 1,913 -52.66%
Bangkok THB 744 THB 690 -7.26%
Source: CBRE Research

Following the recovery of the global economic, CBRE believes that companies will be less cost conscious and that 2010 will be a good time to take advantage of the low rents to relocate to newer buildings.

Sathorn Square – the only new grade A office building to be completed in 2010.
Condominium : The Most Exciting and the Most Competitive
Supply Outlook : More competitive market in 2010

The total supply of downtown condominiums increased to 61,522 units by the end of Q3 2009, up 14% year-on-year. In total, there are 17,664 units under construction in downtown Bangkok, of which 78% of which have been reportedly sold, leaving 3,879 units being marketed (completed and under construction).

In 2009, there were 3,912 units in 15 projects launched in the downtown area, with the majority being one-bedroom unit types. In 2010 CBRE expects a much more competitive market, with an increasing number of project launches as there is pent-up supply from developers who have delayed their projects since the onset of the economic crisis in late 2008 and also new supply from large developers who acquire plots of land for new developments.
Newly Launched Condominium Projects* Broken Down by Unit Type

Year Studio 1 B/R 2 B/R 3 B/R 4 B/R PH Total

2008 243 2,270 1,090 194 19 10 3,826

2009 54 1,284 694 10 0 0 2,042

Total 297 3,554 1,784 204 19 10 5,868
Source: CBRE Research

* Include 18 selected projects in 2008 and 11 selected projects in 2009 as of Q3 2009.
Demand Outlook : Demand continues to be strong

CBRE sees a growing demand for condominiums driven primarily by a change in lifestyle which has led to the need to own a first or second home in the CBD or near mass transit routes to reduce the need to commute. From an investment perspective, investors also increasingly recognise condominium purchases as an appreciating long-term investment asset. In the past, there were few Thai investors in the market. However, with lower interest rates and proven returns, investing in condominiums has become a popular investment choice for many Thais. It is also considered a safe and secure investment compared to the equities market which is much more volatile.
New Trends : Good locations, small furnished units with affordable prices

From the development side, developers need to ensure they are ahead of the game in trying to predict future location trends. The danger is that a popular location can quickly become saturated with new supply. The key to success is either to be the first to launch in an upcoming location, or to find a location with high barriers to entry.

New supply especially for the middle income market will focus on smaller units at affordable prices. In a competitive market with experienced buyers, products must offer quality as well as innovative and functional design in order to be successful. The reliability and reputation of the developer is another key consideration for buyers.
Luxury and Super Luxury Segments : Limited future supply

The luxury and super luxury condominium segment is expected to slowly recover and develop into a niche market. Prime downtown land is rarely available for sale and prices will remain high, CBRE, therefore, does not expect many new launches for luxury condominiums in prime downtown locations.

With a wave of new launches focusing on smaller one-bedroom units along mass transit routes with prices ranging from THB 3 to 8 million, the majority of unsold two to three-bedroom units priced at over THB 15 million and developed before the crisis should soon be absorbed. There will then be a shortage of two-bedroom units in the luxury market especially in prime locations. Short-term investors will speculate on one-bedroom units whereas long-term investors will focus on two and three bedroom units which are in demand among expatriates in the rental market, while smaller units are driven by local demand. With a limited supply of newly launched larger units CBRE believes the existing supply of such grade-A units in prime locations will continue to appreciate in value.
2010 Pricing Trends : Completed prime condo prices on the rise

In terms of price movement, CBRE sees no significant increase in prices per sq.m for mid-market condominiums as the economic recovery is still underway with the prevailing political problems which continue to concern buyers. The best selling segment is priced at THB 50,000 – 80,000 per sq.m in mid-town locations or within 15 kilometres of the CBD. Prices in this segment are unlikely to increase as the purchasing power of the target market is limited. The developers have to compete on cost control and pricing.

Prices for completed high-end and luxury downtown condominium have increased slightly by 5.6% from THB 117,875 per sq.m from Q4 2008 to THB 124,539 per sq.m in Q3 2009 and CBRE believes that the prices of completed buildings in prime locations will continue to rise in 2010.

Prices of the future supply of high-end and luxury downtown condominium in 2009 fell slightly by 6.3% from THB 142,133 per sq.m in Q4 2008 to THB 133,134 per sq.m in Q3, 2009 due to the slow market conditions. New launches in 2010 are likely to see an increase in price per sq.m due to the higher construction costs but, as unit sizes are smaller, total unit prices will be on par with current levels.
Retail : More Focus
Improvement expected following return of consumer confidence

In the first three quarters of 2009, the supply of retail space grew by 6.6% or 327,125 sq.m. Whilst occupancy was stable throughout the year, rents were flat and even fell in some cases during the earlier part of 2009. The fourth quarter showed signs of consumer confidence and spending returning.

The trend for new retail centres in Bangkok is evolving from one-stop mega shopping complexes to more focused community malls and medium-sized lifestyle and entertainment complexes such as Esplanade Rattanathibet.

The major players in the retail market are Central, The Mall, Siam Future and Major Cineplex. Retail developments to note this year are Terminal 21 which is currently under construction and located in Sukhumvit at the Asoke junction, Central Rama 9 and Mega Bangna which will house Thailand’s first IKEA store.
Serviced Apartments : Highly Competitive
Occupancy rates are likely to be flat and downward pressure on rents

The serviced apartment sector, which partially depends on tourists and business travellers as well as expatriates working in Bangkok, has suffered from growing supply which led to an overall drop in occupancy and rates in 2009.

Total supply increased to 12,392 units, up by 6.84% year-on-year, with a further 610 units expected to be completed by 2010 and approximately 2,000 units by 2013. Occupancy rates remained at 75% in Q3 2009. Occupancy was partly protected by a number of long-term contracts which are less volatile than the daily rate market. Average rates, however, fell by about 20% year-on-year.

The biggest challenge faced by this sector is the volume of new supply targeting both long-stay expatriates and short-stay businessmen and tourists.

Serviced apartments compete against apartments and particularly small condominium units for rent in the long-stay market and the rapidly growing supply of hotels in the short-stay market. The influx of new supply of both serviced apartments and hotels will continue to exert a downward pressure on both rates and occupancy.
Expatriate Rental Apartments

The total supply of expatriate-standard rental apartments in Bangkok increased to around 11,151 units, up by 4.5% year-on-year

Occupancy remained high at 91%. CBRE has not seen a dramatic drop in the number of expatriates in 2009 but, since companies are trying to maintain or reduce costs, so CBRE does not expect any increase in housing allowances.

Multinational companies continue to be cautious on their expansion plans given that the global economy is yet to fully recover. Thailand’s political problems are also an added factor which has restrained business expansion plans in Thailand.

CBRE does not expect that there will be a significant increase in the number of expatriates in 2010. There will be increased competition from individual “buy-to-rent” condominium owners seeking to lease out units in recently completed developments. There are about 620 apartment units under construction but there are also 17,664 condominium units under construction and CBRE expects that up to 50% of the new condominiums have been bought by purchasers who want to lease out their units on completion. This increase in supply combined with little or no growth in demand will dampen any potential for overall rental growth.

New well-designed condominium and apartment buildings will continue to perform better than older buildings that have not been refurbished or redecorated.
About CB Richard Ellis

CB Richard Ellis Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services firm (in terms of 2008 revenue). The Company has approximately 30,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 300 offices (excluding affiliates) worldwide. CB Richard Ellis has been named a BusinessWeek 50 “best in class” company for three years in a row.

CB Richard Ellis established an office in Bangkok in 1988, followed by Phuket office in 2004, and Samui office in 2007. CB Richard Ellis (Thailand) Co., Ltd. has grown to be a leading real estate services provider, offering strategic advice and execution for sales and leasing for all types of property, property and facilities management, valuation and advisory, and research and consulting.

THAILAND CONTINUES TO EARN KUDOS FOR ITS TOURISM PRODUCTS AND SERVICES

2010-01-24T06:13:00.000-08:00

In spite of the global tourism slump in 2009, Thailand and the Thai travel and tourism industry continued to win numerous awards and be rated highly in survey rankings, a clear indicator of the high level of confidence in the quality of the kingdom’s travel products and services. Mr. Suraphon Svetasreni, TAT Governor said, “The Thai travel and tourism industry is very proud to be recognised thus. Thailand is known the world over for its hospitality, friendly people and excellent service standards, all factors which contribute towards making it one of the most popular global destinations.”

A listing of the awards and rankings:

1. Thailand was ranked Number One on the list of the most friendly places for expats to live by the HSBC Bank International’s survey in 2009. It was also rated among the top countries in terms of quality accommodation.

Launched in 2008, the Expat Explorer survey positions itself as “the largest independent global survey of expats.” Commissioned by the HSBC Bank International and conducted by a third-party research company, the survey covered more than 3,100 expats living in 50 countries about the opportunities and challenges they experience living away from home.

Conducted between February and April 2009, the survey revealed that expats enjoy a better life in their new country, with the majority claiming an increase in the quality of living compared with life back home.

Thailand was one of the best performing locations for expats, ranking third overall. Expats residing in Thailand reported being “more satisfied with their quality of life than the majority of their counterparts elsewhere.”

More than half (53%) reported that the quality of their social life has increased since they moved to Thailand and almost one third (29%) said that the quality of their working hours had improved. Entertainment, food quality, accommodation, social life, and health and well-being all rated significantly higher than the worldwide averages.

Thailand also rated very favourably in terms of luxury products, when compared with other parts of the world.

2. Tourism-Review.com, a travel news gateway for the industry professionals, conducted a survey of the Top 10 Country Brands for Friendly Locals. In the survey, Thailand ranked number 4.

Recognising Thailand by its long-held epithet, “The Land of Smiles”, the Tourism-Review.com survey said the kingdom was hailed by respondents for the “warm hospitality and generally happy dispositions of the Thai people.”

It said, “As well as being friendly and welcoming, Thais are known for their incredible sense of humour and lighthearted spirit—qualities that make it easy to make new friends.”

3. Thailand was voted the Most Popular Destination in Asia 2009 by users of www.hotelclub.com, an accommodation reservation service provider which claims to have more than 6 million viewers. The website claimed votes were cast by more than 52,000 people.

4. Readers of the New York-based Travel + Leisure Magazine, a leading magazine in North America, voted for the World’s Top 50 Hotels and 500 World’s Best Hotels 2010. 19 hotels in Thailand were on the list, as follows:
World’s Top 50 Hotels:
- Four Seasons Tents and Camp in Golden Triangle, ranked no. 7
- Mandarin Oriental, Bangkok, ranked no.20
- Four Seasons Chiang Mai, ranked no. 21
500 World’s Best Hotels: Mandarin Oriental, Bangkok
- The Peninsula Bangkok
- Le Meridien, Bangkok
- Shangri-La Hotel, Bangkok
- Four Seasons Hotel, Bangkok
- Dusit Thani Bangkok
- Conrad Bangkok
- Banyan Tree Bangkok
- JW Marriott, Bangkok
- Four Seasons Resort, Chiang Mai
- Mandarin Oriental Dhara Dhevi Chiang Mai
- dusitD2, Chiang Mai
- Four Seasons Tented Camp Golden Triangle
- Anantara Golden Triangle
- Anantara Hua Hin
- Anantara Koh Samui Resort and Spa
- Le Meridien, Phuket
- Amanpuri, Phuket
- JW Marriott Phuket Resort and Spa, Phuket

Travel + Leisure claims to be the world's leading travel magazine with a circulation of almost one million readers.

The TAT Governor said that this year promises to be a better year for the Thai travel and tourism industry, which is quickly recovering from the downturn of last year. “There is no doubt that the continuing improvement of our tourism products and services will see Thailand garnering more honours and awards in 2010.”

Least developed countries conclude high-level UN meeting with call for greater say in global financial structures

2010-01-24T06:03:00.001-08:00

Climate change also significant issue for Asia-Pacific nations

Fifteen least developed countries (LDCs) meeting at a high-level United Nations forum today concluded their review of a decade’s worth of international assistance efforts with suggestions that such countries be given a greater voice in the international financial structures and extra consideration on climate change concerns.

The proposal came at the High-level Asia-Pacific Policy Dialogue on the Brussels Programme of Action (BPoA) for the Least Developed Countries held in Dhaka , Bangladesh. The meeting was held to assess and develop a unified position for Asia and the Pacific ahead of a global review next year in Turkey on progress made in implementing the BPoA, which seeks “to make substantial progress toward halving the proportion of people living in extreme poverty and suffering from hunger by 2015 and promote the sustainable development of the LDCs.”

In the Dhaka Outcome Document, ministers and senior officials agreed that the food-fuel and financial crises, along with climate change, exposed the acute vulnerabilities of the Asia-Pacific LDCs to external shocks which could derail their development gains.

They said LDCs need to be assisted with enabling them to benefit from the opportunities arising from trade, investment and financial flows. LDCs also must be represented on the Financial Stability Board established by the G20 and that the reform of the international financial architecture must ensure greater representation of LDCs in the international financial institutions.

Among other provisions in their statement, the officials noted that LDCs are at the frontline of the effects of climate change and should be given due priority in the provision of resources promised in the Copenhagen climate talks last December.

Noeleen Heyzer, UN Under-Secretary-General and Executive Secretary of the Economic and Social Commission for Asia and the Pacific (ESCAP), said the Dhaka meeting represented a turning point in addressing the development issues and challenges facing the Asia-Pacific region.

“It constitutes a regional position in support of the interests and aspirations of the Asia-Pacific LDCs to build an inclusive and sustainable development part in partnership with their development partners from the region and beyond,” she said.

The three-day meeting discussed issues and concerns related to reducing poverty and hunger by promoting sustainable and inclusive development in the LDCs; promoting food security through sustainable agriculture; and enhancing the share of LDCs in global trade, aid and financial flows and promoting their productive capacity. Talks will also look at protecting the environment and reducing the vulnerability of the LDCs to climate change, and developing human and institutional capacities to support inclusive and sustainable development of the LDCs.

The 14 LDCs in the Asia-Pacific region for the purposes of Brussels review include Afghanistan, Bangladesh, Bhutan, Cambodia, Kiribati, Lao PDR, Maldives, Myanmar, Nepal, Samoa, Solomon Islands, Timor-Leste, Tuvalu and Vanuatu. Yemen , the lone LDC in the Middle East , also participated in the meeting.

KBank and J.P. Morgan team to guarantee one-day U.S. dollar transfers to China

2010-01-24T05:28:00.001-08:00

KASIKORNBANK has announced that it is the first Thai bank to provide U.S. dollar-denominated funds transfers service through the use of J.P. Morgan’s U.S.Dollar Clearing – Asia Direct, an intelligent routing technology that allows the funds transfer to directly reach the destination branch in key economic zones throughout China within the same day. If the banks in China cannot receive the funds within one day, KBank will refund the transfer fee. The excellent servicing standards of the two Banks will facilitate exporters to manage their time, expenses and liquidity without any difficulties.

Mr. Songpol Chevapanyaroj, Executive Vice President, KASIKORNBANK, said China is currently one of the key trading partners of Thailand. The trading volume of the two countries measured 1.19 trillion Baht in 2009, and has grown an average of 27 percent per annum since 2003. However, funds transfers have constrained trade between Thailand and China due to complications in funds receipt times caused by geography, organization, and time zone differences. China has more than 50 cities in 34 provinces with an earlier time zone than Thailand. This has made it difficult to know exactly when funds would reach recipients.

KBank has been aware of this problem and developed operations that allow U.S. dollar-denominated funds transfers from Thailand to bank branches in China within one day, with the cooperation from J.P. Morgan, one of the world’s leading banks in international funds transfer.

Thus, KBank can now provide a time guarantee for customers who transfer U.S. dollar-denominated funds to around 700 bank branches in China. If a customer completes the transaction before noon, the bank branch in China will receive the funds within one day. If the funds are not received within one day, the Bank will refund the transfer fee to the customer.

Mr. Percy Batliwalla, Managing Director and Asia Pacific head of financial institutions - banks at J.P.Morgan Treasury Services said that “As a result of the increasing intra-Asia trade flows, enhancing the efficiencies of U.S.Dollar payments, particularly within the Greater China region and Japan has become essential for all banks within Asia.

Mr. Batliwalla added that Thailand remains an important market for J.P.Morgan, and we are confident that our unique U.S.Dollar Clearing - Asia Direct solution will enable KASIKORNBANK to provide greater efficiencies to its existing and potential clients, thereby enhancing the bank's competitiveness.

In addition, this service, developed in cooperation between KBank and J.P. Morgan, will increase potential of businesses that need to make funds transfers to China, as they will more efficiently manage liquidity without the need to wait several days for transfers to be completed. Such businesses will be able to more easily control their spending without the need to submit funds transfer orders through several branch layers.

Mr. Songpol added that KBank’s network in China includes leading banks covering key economic zones throughout the country, with a total of 700 outlets. The Bank hopes the new service will match customer needs and further build confidence in the Bank as a trusted business partner. Businesses that wish to use the service can contact any KBank branch nationwide, or ask for more information at the K-BIZ Contact Center, tel. 0 2888 8822.
About KASIKORNBANK

KASIKORNBANK (KBank) has for over 60 years of operation been regarded as Thailand's premier banking institution, and a renowned forward thinking bank which always continues to deliver innovative financial services to customers. The founding of KASIKORNBANKGROUP in 2005, raised the Bank to a comprehensive financial service provider with one singular brand of quality service - K Excellence. For more information, visit www.kasikornbank.com.
About J.P. Morgan

J.P. Morgan is the world's largest U.S.Dollar clearing and commercial bank. J.P.Morgan Treasury Services leverages the services and products of its Worldwide Securities Services division, as well as its Investment Bank, Asset Management and Private Bank lines of business to provide its clients with integrated banking solutions.

BIFF & BIL 2010 Scheduled for 1 – 4 April 2010

2010-01-21T05:41:00.001-08:00

The Department of Export Promotion (DEP), Ministry of Commerce of the Royal Thai Government has announced that BIFF & BIL 2010 – Bangkok International Fashion Fair and Bangkok International Leather Fair will be organized during 1 to 4 April this year at Challenger Hall 1 – 3, IMPACT Muang Thong Thani, Nontaburi, Thailand.

Riding on the theme, Look East, the BIFF & BIL 2010 will be a vivid showcase of great potential of the ASEAN fashion industry, from upstream to downstream. The mega event will bring together the best fashions and accessories of the ASEAN region, capitalizing on hot new trends, signature styles, textiles and leather products supported by the synergy of local expertise and regional cooperation.

More than 1,000 selected domestic and overseas exhibitors in diverse fields from clothing, textile, leather and fashion accessories to textile equipment & machinery, software & services related to the fashion industry will participate. Potential visitors include importers, manufacturers, traders, distributors, wholesalers, retailers, boutiques, department stores, buying agents, designers, press and others in fashion business.

Among highlights at BIFF & BIL 2010 include seminars and conferences, 48 fashion shows, ASEAN Design Congress, Thailand Designer Contest as well as ASEAN Pavilion and Japan Pavilion.
For more information please visit www.biffandbil.com or contact:-
BrandComm Consultants Co., Ltd. : Official PR Agency for BIFF & BIL 2010
Email : info@brandcomm-pr.com
BIFF & BIL 2010 Profile

Event name : Bangkok International Fashion Fair & Bangkok International Leather Fair 2010
Duration : 1 - 4 April 2010
Trade day : 1 – 2 April 2010 (10.00 – 18.00 hrs.)
Public day : 3 – 4 April 2010 (10.00 – 21.00 hrs.)
Venue : Challenger Hall 1 - 3, IMPACT Muang Thong Thani, Nontaburi, Thailand
(40,000-60,000 sq.m)

Article Looks At The Long-Term Effects Of The Recent Credit Crisis

2010-01-17T04:44:00.001-08:00

In the wake of the 2007-2008 financial crisis, there has been much discussion about the prospects for an economic recovery over the next few quarters. But an article published yesterday by Standard & Poor's says that the more important issue is: What will happen over the next few decades? The article, which is titled "The New Normal (The Future Isn't What It Used To Be)," says that Standard & Poor's believes it will be a decade or more before the world and U.S. economies can hope to grow as rapidly as they did during the half-century or so preceding the recent crisis because they will have to bear increasing burdens. These will likely include:

--High personal debt and lower wealth in the U.S., which--combined with a rebounding though still-low saving rate--will slow the consumer spending that has powered much of U.S. and world growth.

--International trade and financial imbalances that are leading to a weaker dollar and a move away from dollar reserves.
--Stricter but inconsistent financial and other government regulation.

--A global financial system that has lost much of its capital and will need to operate with lower leverage, restricting loan availability.

--More risk-averse investors (some suddenly conservative because of recent losses, others approaching retirement and husbanding their wealth).

--Fiscal deficits in many countries, especially the U.S., the deficit of which could grow larger as the retirement wave hits.

--Rising health care costs that threaten the competitiveness of U.S. companies versus their overseas counterparts.

"We expect that the world economy will recover," said Standard & Poor's Chief Economist David Wyss. "But we think it's likely that it will look different once it does." For example, the events of the past two years likely have accelerated the relative decline in U.S. economic influence, as Asian economies have continued to grow while America's has contracted. In past decades, however, the U.S. and world economies have proved resilient. So while the future isn't as bright it seemed during the bygone boom, neither is it as bleak as it seemed only a year ago.

This article is part of a special report titled "The New Normal," which also will be published in the Jan. 27, 2010, edition of Standard & Poor's CreditWeek. The special report examines how certain industry sectors and financial markets could fundamentally change as a result of the recent credit crisis.

The report is available to RatingsDirect on the Global Credit Portal subscribers at www.globalcreditportal.com and RatingsDirect subscribers at www.ratingsdirect.com. If you are not a RatingsDirect subscriber, you may purchase a copy of the report by calling (1) 212-438-7280 or sending an e-mail to research_request@standardandpoors.com. Ratings information can also be found on Standard & Poor's public Web site by using the Ratings search box located in the left column at www.standardandpoors.com. Members of the media may request a copy of this report by contacting the media representative provided.

Asian Sovereigns Will Step Up Borrowing In 2010 While Considering Exit Strategies From Stimulus Programs, Says Article

2010-01-02T04:36:00.001-08:00

Asian sovereigns are likely to remain active borrowers in 2010, with a 5% year-over-year rise in commercial issuance, according to a recently released report by Standard & Poor's Ratings Services titled, "Asian Sovereigns To Remain In Debt Markets."

Standard & Poor's survey of borrowing and debt suggests sovereign requirements for 2010 are likely to bring commercial issuance in the region to US$2.2 trillion. But, as sovereigns in Asia consider exit strategies from economic stimulus programs, Standard & Poor's anticipates that they will seek to strike a balance to prevent a derailing of the still-nascent economic recovery.

"We believe that the test for sovereigns in the coming year will be managing macroeconomic crosscurrents while stimulus-based policies are still in place, despite worries over asset and consumer price trends," said Standard & Poor's credit analyst William Hess.

The article adds that in the longer term, the prospect of lingering deficits, combined with the significant downside risks of a second slowdown in global growth, raises questions about debt sustainability for a number of sovereigns in the region and the implications of borrowing plans on ratings.

"We believe that sovereigns in the region are not yet ready to retreat from capital markets either for the own funding purposes or for general economic support programs. For sovereigns in Asia during 2010, this could mean remaining active issuers in markets that they may otherwise like to tame, with the result of this balancing act being important for medium-term fiscal trends," said Mr. Hess.

Asian Countries Agree to Pursue Treaty on Dry Ports to Promote Regional Integration

2010-01-02T01:53:00.001-08:00

Transport Ministers Forum concludes first session at ESCAP in Bangkok

Transport ministers from across Asia have agreed to work on a treaty to promote the development of dry ports – inland transport and logistics hubs – to spur intraregional trade and growth.

The agreement came at the end of the first session of the Forum of Asian Ministers of Transport, which concluded today at the United Nations Economic and Social Commission for Asia and the Pacific (ESCAP) in Bangkok.

In the Bangkok Declaration on Transport Development in Asia, the ministers agreed to develop an intergovernmental agreement on dry ports to provide connectivity and integration of the Asian Highway and the Trans-Asian Railway networks, creating an international integrated intermodal transport and logistics system.

Under the auspices of ESCAP, countries in the region have already adopted two intergovernmental agreements - on the Asian Highway and the Trans-Asian Railway networks - to promote the development and standardization of 141,000 kilometers of roadways and 114,000 kilometers of railways, linking the continent with Europe and serving as arteries for international trade, especially for landlocked countries in the region.

Dry ports will play an important role in integrating modes of transport, reducing border crossing and transit delays, facilitating the use of energy-efficient and lower emission means of transport, and creating new clusters of economic growth and job creation in local areas.

The first session of the Forum brought together 27 countries in Asia. In his opening message on Monday, UN Secretary-General Ban Ki-moon stated that “enhanced regional connectivity is especially important” in addressing development issues.

In her opening address, Noeleen Heyzer, UN Under-Secretary-General and Executive Secretary of ESCAP, spoke of the vital role of the transport sector in providing physical connectivity required for promoting domestic demand and intraregional trade as new sources of growth.

“The economic crisis has shown that relying mainly on exports to western markets comes with inherent risks. Our region will need to diversify the drivers of growth. This must include strategies for promoting increased intra-regional trade and domestic consumption,” said Dr. Heyzer.

The Forum was created by member governments of ESCAP at their annual meeting last April. During the week-long session, delegates discussed issues pertaining to transport development in the region, including the implementation of the Busan Declaration on Transport Development in Asia and the Pacific, and the Regional Action Programme for Transport Development in Asia and the Pacific.

Money &Banking to celebrate the 10th Money Expo with the theme “The Road to Wealth”

2009-12-16T20:07:00.001-08:00

Money and Banking magazine organizes Money Expo 2010 with special theme “The Road to Wealth” to celebrate its 10th year anniversary and support Thailand economic recovery to distribute wealth to all Thais. The first event, bringing great wealth to Eastern Seaboard, is Money Expo PATTAYA 2010.

Mr.Santi Viriyarangsarit, Money and Banking magazine editor and president of Money Expo 2010 announces that “after its 9 successful years in 2009 with total 5,185,500 visitors and transactions value of 646,000 million baht, Money Expo 2010 will celebrate its 10th anniversary in 2010 in 4 regions in the country with the theme “The Road to Wealth”.

Money Expo brings together best investments and finance offers from nation’s leading commercial banks, financial institutions, along with varied life insurance options available in the market so that retail customers and SMEs can access directly to “funding source” and “Investment Choices”. At the same time, opportunities are opened for Bank and financial institute to expand both retail and SMEs base.

The first Money Expo 2010 The Road to Wealth, the roadmap to achieve wealth for all Thais, will be held in Pattaya of Chonburi province with title “Money Expo Pattaya 2010” during 5-7 February 2010 at PEACH, Royal Cliff Beach Resort Hotel where 22 organizations, including commercial banks, financial institutions together with leading organization from private sector and government agencies will participate.

These organizations will roll out golden promotions for their quality products and services, ranging from low-interest lending rate, special mortgage rate, auto loan, education loan, SMEs loan, credit card, cash card to attractive deposit rates. The best conditions will be offered for investment in stock market, bonds, derivatives, life insurance. Meanwhile, investment guidance and consultancy services will also be provided to those interested. Moreover, liveStage performances from leading superstars are scheduled to entertain visitors.

Commercial banks participate in Money Expo PATTAYA 2010 are Krung Thai Bank Pcl. , Bangkok Bank Pcl. , Kasikorn Bank Pcl. , Siam Commercial Bank Pcl. , Bank of Ayudhya Pcl. , TMB Bank Pcl. , The Siam City Bank Pcl. , CIMB Thai Bank Pcl. , The Thai Credit Retail Bank Pcl. , Commercial banks participate Government Housing Bank , Islamic Bank of Thailand , Muang Thai Life Assurance Co. Ltd. , Ayudhya Capital Auto Lease Plc. , AEON Thana Sinsap (Thailand) Pcl. , Asia Forestry Management Co., Ltd. , Profitable Group , Bank of Thailand , The Revenue Department , The Stock Exchange of Thailand , Securities and Exchange Commission , Office of Insurance Commission and The Agriculture Futures Exchange of Thailand

Chonburi province is the economic, commercial and tourism center of the East given purchasing power of 1.2 million population. At the end of 2008, Gross Provincial Product (GPP) stood at 492,051 million baht, rose by 38,165 million baht from end 2007, while GDP per Capita was 416,003 baht, increase by 27,829 million baht from the end of 2007.

As of September 30, 2009, Chonburi shelters 280 of Banks’ branches. All of which provided 153,324 million baht net credits and raised 191,457 million baht net deposits. From January to October 2009, there are 35 projects applied for investment privileges from BOI.

In addition, there are positive signs of economic recovery given the revised 2010 GDP growth forecast to 3.3 to 5.3% from previous 3.0 to 3.5% by the The Bank of Thailand.

“All indicators show that there are strong demand for loans in Chonburi and the whole Eastern region and consumers still look for better yields in deposits and investment. I’m confident that Money Expo PATTAYA 2010 will again succeed as highly as the first Money Expo PATTAYA held during 6-8 February 2009 that has attracted 45,000 visitors and generated 19,213.68 million baht worth of transactions” Mr.Santi said.
Three other Money Expo 2010

Central - Money Expo 2010 at Queen Sirikit National Convention Center, 6-9 May 2010

North Eastern - Money Expo KORAT 2010 at MCC Hall, The Mall Korat, 8-10 October 2010

North - Money Expo Chiangmai 2010 at Chiangmai University Convention Center, 12-14 November 2010

Seven local SMEs win “Bai Po Business Awards by Sasin” A Thai SME Success Story

2009-12-16T20:01:00.001-08:00

Siam Commercial Bank (SCB) and the Sasin Graduate Institute of Business Administration of Chulalongkorn University are presenting the prestigious “Bai Po Business Awards by Sasin” to 7 local SMEs. Award winners include Black Canyon (Thailand) Co., Ltd., Narai Intertrade Co., Ltd., Masterkool International Co., Ltd., Teera-Mongkol Industry Co., Ltd., Accurate Technology Co., Ltd., Aruna Co., Ltd., and Papop Co., Ltd. These awards reflect the strong potential and high quality of Thai SMEs. The award presentation ceremony will be held at the Siam Commercial Bank Talad Noi Branch, and presided over by Mr. Anand Panyarachun, Siam Commercial Bank Chairman of the Board of Directors. SCB Business Banking Group Senior Executive Vice President Sirichai Sombutsiri noted that "The Bai Po Business Awards by Sasin are a collaborative effort between Siam Commercial Bank and the Sasin Graduate Institute of Business Administration of Chulalongkorn University. Established in 2007 to recognize successful Thai companies demonstrating distinction among peers, the award aims to inspire local business operators to be more active in continuously enhancing their capabilities, and to assist them in becoming role models for other local small and medium enterprises in setting good standards and boosting sustainable economic growth. This is the fourth time in a row that these award ceremonies have been organized. To date 15 outstanding companies have received the awards, bringing great pride to the SME community."

Sasin Academic Affairs Deputy Director Kittiratt Na Ranong explained that, "Award winners must pass primary evaluation criteria and demonstrate distinctive qualifications critical to competitiveness, including customer focus, innovation, quality, adaptability to change, value creation, branding, efficiency, leadership & team building, social responsibility, and entrepreneurship. These criteria are considered critical to the development of SME business in order to withstand an unfavorable business environment and current economic woes. In selecting award winners, the Evaluation Committee Panel will judge qualified award recipients from candidates, with no limit to the number of candidates receiving the award each year."

Honorary Chairman of the Thai Chamber of Commerce Dr. Ajva Taolananda, in his capacity as the Chairman of the Evaluation Committee Panel, disclosed that this is the forth time that the Bank and Sasin have organized the award presentation ceremony. This year the committee selected seven companies to receive the awards, out of more than 150 applicants or nominated candidates, namely:

Teera-Mongkol Industry Co., Ltd.: A leading manufacturer and distributor of ballast and lighting equipment, the Company has introduced innovative technology emphasizing energy savings and manufactures products that offer an effective substitute for import products. The Company was awarded for its distinction in terms of adaptability to change and quality.

Narai Intertrade Co., Ltd.: A designer, manufacturer, and distributor of fabric bags and accessories under the "Naraya" brand, the Company is distinguished for its quality and efficiency.

Black Canyon (Thailand) Co., Ltd.: The Company operates coffee shops and restaurants famous worldwide and has distinguished itself through branding and value creation.

Papop Co., Ltd.: An environmental engineering consultant company helping businesses reduce their costs, while also generating more revenues. Its two-in-one technology effectively treats wastewater and generate biogas as renewable energy at the same time. The Company was awarded for its distinction in innovation, value creation, and social responsibility.

Masterkool International Co., Ltd.: A manufacturer and distributor of outdoor cooling system products that employ a natural water evaporation process, the Company has distinguished itself through its innovation, customer focus, and branding. Accurate Technology Co., Ltd.: A leading manufacturer, distributor, and exporter of industrial laundry equipment under the “Image” brand, distinguished for innovative technology and reduced production costs. As evidence of its branding, innovation, and quality leadership, the Company is No. 1 sales in the ASEAN region and No. 14 in the world.

Aruna Co., Ltd.: An OEM exporter of regular and polychromos color pencils, Aruna Co. is Thailand's first and only company with a special integrated bonding technique for producing lead with certified quality standards, safety, and a friendly environment. The Company was awarded for its distinction in terms of quality and customer focus. The “Bai Po Business Awards by Sasin” awards presented to these 7 companies will certainly help create business opportunities, boost creditability for trading partners and customers, and inspire other firms to demonstrate their competitiveness and growth.

Previous Bai Po Business Awards by Sasin award winners include Rukluke Edutex Co., Ltd., Officemate Co., Ltd., Bathroom Design Co., Ltd., Business Online Public Co., Ltd., General Hospital Products Public Co., Ltd., Taokaenoi Food and Marketing Co., Ltd., Bertram Chemical (1982) Co., Ltd., Botanique Co., Ltd., Ubis ( Asia) PCL, Interlink Communication PCL, Yothaka International Co., Ltd., Nandee Inter-Trade Co., Ltd., VPP Progressive Co., Ltd., Perm Poon Patana Industry Co.,Ltd., and Twin Lotus Co., Ltd.

The “Bai Po Business Awards by Sasin” aim to support the stable growth of local companies. Entrepreneurs can apply, or nominate other companies for the award program, by obtaining details from the Sasin Management Team at 02-218-4009 ext. 181-183, the SCB Business Call Center at 02-722-2222, www.baipo-business-awards.org, or by E-mail at baipo@sasin.edu.

The Sasin Graduate Institute of Business Administration of Chulalongkorn University

Forecast Article Looks At The Different Paths The U.S. Economic Recovery Could Take

2009-12-16T19:51:00.001-08:00

Each month, Standard & Poor's Ratings Services publishes its economists' best estimate of where the U.S. economy could be heading. However, financial market participants also want to know how we think things could go worse--or better--than what our baseline scenario calls for. As a result, we have been publishing a quarterly feature called "Risks to the Forecast," in which we project two additional scenarios, one worse than the baseline and one better. Standard & Poor's published the latest version of this article, which is titled "U.S. Risks To The Forecast: Half Speed Or Full Speed?," earlier today.

According to the article, our baseline forecast assumes a gradual recovery after a few quarters of bouncing along the bottom, which looks like a stretched-out "U." But the risk of another downward leg on the recession remains real, producing a "W." The optimistic scenario is that we could again be underestimating the American consumer, and a stronger recovery could still turn into a more typical "V"-shaped expansion. However, the Japanese experience of the 1990s suggests that the risk of a fourth scenario, an "L"-shaped recession where years rather than months are spent bouncing along the bottom, should not be ignored.

It should be noted that our baseline scenario is far weaker than would be consistent with historical averages. On average, real GDP rises 5% in the first four quarters of a recovery and tends to rise even more sharply after deep recessions. Our baseline scenario shows a rise of only 2.3%, less than one-half the historical average, while our downside case shows an even weaker recovery of just 1.5%. Even our optimistic scenario implies an increase of only 4.7%. "We believe that the imbalances in the world and U.S. economies will keep the expansion slow," noted Standard & Poor's Senior Economist David Wyss. "The question is how slow."

The report is available to RatingsDirect on the Global Credit Portal subscribers at www.globalcreditportal.com and RatingsDirect subscribers at www.ratingsdirect.com. If you are not a RatingsDirect subscriber, you may purchase a copy of the report by calling (1) 212-438-7280 or sending an e-mail to research_request@standardandpoors.com. Ratings information can also be found on Standard & Poor's public Web site by using the Ratings search box located in the left column at www.standardandpoors.com. Members of the media may request a copy of this report by contacting the media representative provided.

ESCAP, Myanmar development partnership seeks to boost agricultural sector and enhance rural livelihoods

2009-12-16T19:32:00.000-08:00

Nobel laureate Stiglitz leads expert discussions on restoring country as rice bowl of Asia

The United Nations Economic and Social Commission for Asia and the Pacific (ESCAP) and the Government of the Union of Myanmar today held a wide-ranging dialogue aimed at boosting the countrys agricultural sector and to help it reclaim its status as the rice bowl of Asia.

At the invitation of ESCAP, Nobel Prize-winning economist Prof. Joseph Stiglitz and other eminent experts discussed strategies for Myanmar to cut poverty in light of Asias regional and subregional experiences.

It is my hope these ideas and analysis will open a new space for policy discussion and a further deepening of our development partnership, UN Under-Secretary-General and ESCAP Executive Secretary Noeleen Heyzer said at the event held in Myanmars capital, Naypyitaw.

These development objectives can only be achieved through the successful engagement of local experts and people who know what is happening on the ground. This development partnership, requested by the Government of Myanmar, provides a unique platform for eminent international scholars and local researchers to exchange experiences and ideas with government agencies and civil society, Dr. Heyzer added.

This is the second in a series of events launched by Dr. Heyzer during her visit in July to Myanmar, and was organized by ESCAP with the countrys Ministry of Agriculture and Irrigation and Ministry of National Planning and Economic Development.

In his presentation, Towards a more productive agrarian economy for Myanmar, Professor Stiglitz noted that Myanmar was well-positioned to learn from other countries in the region that have developed on the back of gains in agriculture. There are large opportunities for improvement. Myanmar should take a comprehensive approach, he said.

He urged the Government of Myanmar to: promote access to appropriate agricultural financing; take measures to boost access to seeds and fertilizers; dramatically boost spending on health and education; and create well-paid jobs in construction of rural infrastructure in order to stimulate development and raise incomes and spending.

Professor Stiglitz also noted that well-functioning institutions were critical to success, and that Myanmar could learn from the mistakes made by other resource-rich countries. Revenues from oil and gas can open up a new era, if used well. If not, then valuable opportunities will be squandered, he said.

Economics and politics can not be separated, Professor Stiglitz added. For Myanmar to take a role on the world stage and to achieve true stability and security there must be widespread participation and inclusive processes. This is the only way forward for Myanmar.

Maj. Gen. U Htay Oo, Minister of Agriculture and Irrigation of Myanmar, noted that climate change has had significant effects on the countrys agriculture and livelihood, particularly in the dry zone. To mitigate such pressure we are implementing short-term and longer term measures, such as promoting access to irrigation water to increase productivity, and developing resource-based as well as knowledge-based sustainable agriculture and livelihoods built on existing infrastructures, he said.

We are adopting a holistic approach informed by the human development perspective to address the needs of the most vulnerable, he added. We cannot afford to be complacent thus the tasks for agriculture and rural development must be implemented through mass movement.

The Minister also welcomed and supported the continued close cooperation and collaboration of ESCAP in the development partnership series. I look forward to the joint activities to come in 2010, in particular the regional development programme for sustainable agriculture towards inclusive rural economy development, he said.

Col. Thurin Zaw, Deputy Minister of National Planning and Economic Development, delivered a presentation on Myanmars National development plans and the implementation of the Millennium Development Goals (MDGs).

The meeting was organized into two segments: The morning roundtable was devoted to expert discussions and included presentations on Recent socio-economic development, by Daw Khin Ma Ma Swe of the Ministry of National Planning and Economic Development, and on Approaches for agriculture and rural development, by Daw Dolly Kyaw of the Ministry of Agriculture and Irrigation.

There were also presentations on Establishing the virtuous cycle of food security, sustainable agriculture and rural economy development, by U Tin Htut Oo and U Tin Maung Shwe of the Academy of Agriculture, Forestry, Livestock and Fisheries Sciences, and on Enhancing Myanmars rural economy, by Ikuko Okamoto of the Institute of Developing Economies-JETRO.

The afternoon high-level development forum covered, Economic policies for growth and poverty reduction: lessons from the region and beyond.

On 21 December in Singapore, Professor Stiglitz and Dr Heyzer will hold a press conference about the forum at the Singapore Foreign Correspondents Association. The press conference will take place at the Singapore Management University, Administration Building, from 9am-10am.

THAI President on Roadshows with Overseas Investors lays out Tough Measures To meet Challenges of Difficult Operating Climat

2009-12-07T11:48:00.000-08:00

THAI President on Roadshows with Overseas Investors lays out Tough Measures To meet Challenges of Difficult Operating Climate

Thai Airways International Public Company Limited’s new President Mr. Piyasvasti Amranand is on roadshow meetings with international investors to lay out his vision for THAI and to strengthen relationship with the investment community.

Mr. Amranand laid out a tough, but realistic, recovery plan encompassing the reduction of the level of debt, enhancing internet sales, reviewing loss-making routes, seeking options to increase capacity, reducing non-fuel costs and reducing staff benefits.

Laying out his vision for THAI, which he called “a national treasure that we must help protect,” Mr. Amranand said his aim is to lower the Company’s debt to-equity ratio from 3:1 to 2:1 [outstanding debts now total THB 160 billion]. Consideration of a recapitalization will be dependent on planned investments, operating results and other financing options.
THAI is expected to cut non-fuel expenses by THB 11 billion this year.

Mr. Amranand also warned that challenges being posed by the economic slowdown, political uncertainty in Thailand, fuel price fluctuation and the higher level of competition “will be difficult with the increase in number of regional competitors, increased competition from Middle East airlines as well as the rapid growth of low cost airlines.”

THAI is also focusing on measures to enhance revenue – yield management, niche marketing, enhance customer data mining, inflight product enhancements while strictly controlling operating costs. Mr. Amranand also pointed that with fuel constituting a major part of THAI’s cost and is subject to many global economic factors largely beyond THAI’s control, fuel hedging ratio should be appropriate to cushion fuel cost impact. Fuel cost for THAI in 2009 is expected to be THB 48 billion against THB 90 billion last year.
Other major financial measures Mr. Amranand wants to implement include:
- More leasing rather than outright purchasing of aircraft.

- Increasing proportion of internet sales from 4% to 15% of total sales by the end of 2010. Ticket prices to better reflect demand and supply.

- More cooperation with Star Alliance partners and Nok Air, THAI’s low cost subsidiary carrier to increase passenger numbers.

- Senior executive and staff benefits are all on review including seat perks and other benefits.

Mr. Amranand said the four year strategic plan includes a fleet and capital plan which are to be completed in December 2009 for implementation in 2010.
Mr. Amranand laid out five strategies for THAI’s recovery and growth:

- Aligning customer service to better suit customer needs, such as inflight menus to be more in line with customer preference and to take greater care of customers affected by cancelled/delayed flights.

- Better cooperation between THAI business units through a restructured business plan to deliver an outstanding customer experience compared to peers.

- A more dynamic and responsive organization structure improving response to rapid changes in the industry.

- A focus on revenue enhancement by improving sales distribution effectiveness and a revised pricing policy offering more standardized fares through both direct and agency sales.

- Introducing of a “whistleblower policy” to enhance internal governance.

"The 26th Thailand International Motor Expo 2009” is confident of pulling 1.6 million visitors 32 car companies ready with promotions to boost year

2009-12-07T11:47:00.000-08:00

“The 26th Thailand International Motor Expo 2009” has been launched at IMPACT, expecting 1.6 million spectators. 32 car brands offer appealing promotions to raise bookings to 15,000 cars. Organizer delighted Prime Minister Abhisit Vejjajiva will give Special Talk at the Expo.

Mr. Kwanchai Paphatphong, President of Inter-Media Consultant Co., Ltd. and Organizing Chairman of “The 26th Thailand International Motor Expo 2009” revealed, “The Expo is held this year under the concept “Driving…for Sustainability” as the Organizer wishes that all stakeholders co-operate in “driving” Thailand’s automotive industry to prevail over the economic crisis and attain sustainable success in the future. The symbol depicts light at the end of the tunnel, signifying the waiting success, led to by lines connoting the committed drive towards the destination”.

The 32 car brands participating in “The 26th Thailand International Motor Expo 2009” comprise Audi, BMW, Chery, Chevrolet, Citroen, DFM, Fiat, Ford, Grand Carryboy, Honda, Hyundai, Isuzu, Kia, Land Rover, Magnate, Mazda, MINI, Mitsubishi, Mitsuoka, MTM, Nissan, Peugeot, Polarsun, Proton, Skoda, SsangYong, Subaru, Suzuki, Tata, Toyota, Volkswagen, and Volvo.

Visitors can also see many Concept and Outstanding cars, on exhibition only and not for sale.

- Ford Fiesta the popular small car with worldwide sales of more than 12 million units.
- Chevrolet Camaro High-performance sports coupe, rival of Ford Mustang.
- Honda Insight A mild hybrid featuring Integrated Motor Assist system.

- Hyundai ix-onic The 6th Concept Car from Hyundai Design Center in Rüsselsheim, Germany that introduces a whole new look for Hyundai 's new series of compact SUVs replacing the Hyundai Tucson.

- Suzuki Swift Super 1600 JWRC The rally car used in Junior WRC with widened body based on the 3-door Suzuki Swift Super.

- Toyota Prius The latest third generation 5-door hatchback hybrid in wedge-shaped, more aerodynamic body with only 0.25 coefficient of drag. It looks distinctly updated both outside and inside.

And the Honda PCX 125 cc high-end scooter will also be shown in the Expo, by A.P. Honda for the first time.

“The number of car bookings in the Expo this year is likely to reflect the recently recovering economy at about 15,000 units, close to the 17,000 last year. Anyway, in the Expo last year, we initially forecast 15,000 cars and then along came a political strife so we revised the target down to 13,000 but the final number turned out to be as high as 17,000 units. So we hope the number this year will be close to or even better than last year”, said Mr. Kwanchai.

“We expect the number of visitors from December 2-13 will reach 1.6 million persons as car companies have prepared so many attractive promotional offers to boost their last-quarter sales. In addition, the Organizer also launches a campaign with AIS called Motor Expo Gift Voucher whereby customers can send SMS to win gift vouchers worth 600,000 Baht in total, plus many other special activities to add colours to the Expo and return profits to the visitors.”

“What is very special is the Prime Minister, H.E. Mr. Abhisit Vejjajiva, will do the Motor Expo the honour of giving a Special Talk on the topic “The Way Forward for Thailand’s Automotive Industry and Energy Usage” on Friday 11, December 2009 at 1400 hrs. followed by an open forum for car companies to exchange views on development of the Thai automotive industry” said Mr. Kwanchai.

Regarding enhancement of convenience for Expo visitors and customers, IMPACT, Muang Thong Thani, has co-operated in adding car parking spaces and locations for food & beverage services, as well as installing thermal scanners to scan visitors as measure to suppress the new strain of influenza virus 2009 from spreading. The Organizer has also developed a noise management system to keep the noise level down within the specified standard limit so that it will not spoil the ambiance of the Expo.

The Organizing Chairman also disclosed that the Grand Charity Night has been cancelled this year as the economy has been ebbing for most of the year adversely affecting the majority of car companies.

Nevertheless, the Organizer will still continue the social program by donating all proceeds from admission ticket sale on the ”Grand Charity Day” (December 2) to the Uncontaminated Breath Project.

Ausiris hails a new era in gold investments with “Gold Savings” program” to please investors. Launching website for internet trading

2009-12-07T11:46:00.000-08:00

Ausiris, Thailand’s leader in gold investment unveils a new form of investment with its “Gold Savings Investment” program together with the launching of a new series of Ausiris gold coins to usher in the New Year. A new service is also being provided to facilitate online gold trading on the internet.

Mr. Boonlert Siripatvanich, President and CEO of Ausiris Co., Ltd. unveiled that the company’s business plans in 2010 would respond to the needs of investors by developing and increasing diverse investment channels. In the next year, investors will be able to select from a variety of options, be it in the form of gold bars, gold savings investment or gold coin collections. The company will offer diverse channels that customers can invest in, while at the same time offering a full service options for Gold Savings Investment.

Mr. Boonlert explained that the first saving option is the “Gold Savings Investment” a program that helps promote greater savings discipline while increasing chances of attaining prosperity for gold investors. The investors can choose either Program 1 Saving with Gold Coin. This type is good for those who prefer saving incrementally through the accumulation of coins that will lead to future prosperity. Simply start from a minimal sum of only 1,000 baht. Program 2 Gold Bar Savings is ideal for those who wish to instill a discipline in saving gold bars starting from the sum of 10,000 baht.

“For the gold coin savings option, investors can start at the minimum of 1,000 baht while for those investing in gold bars, the minimum requirement for investment is 10,000 baht. Both types of investment should be done on a regular basis. The monthly investment amount can be adjusted according to investor’s goals and financial status. The program will bring the money you invest to purchase gold on a daily basis in accordance with each member’s savings period. The operator will deduct money directly from the bank account on the first working day of each month. Your status of savings in terms of money invested and gold ownership will be updated each month free of charge.

Mr. Boonlert also added that the savings program would help promote prosperity by creating discipline through regular savings. He emphasized that there should be a stipulation of the amount being saved each month no matter what the price of gold may be since continuous investments can help lessen the fluctuation in the price of gold. If gold prices increase the ability to purchase gold would increase as well while if prices decreased then one could buy more – all this is dependent on prevailing market conditions.

Since the New Year festivities are drawing near Ausiris has launched a brand new gold coin depicting the sign for the Year of the Tiger for customers who might like to collect coins depicting their birth year signs. There is also the special “Gold Coin for Gift” option with a floral design of Cattheleya orchids or Thai jasmine garlands that make a very meaningful gift.

Mr. Boonlert noted that Ausiris is taking this opportunity to increase its sales channels through online trading on their website. The internet trading system has undergone testing for a period of time and is now ready to offer services to its buyers.

According to Mr. Boonlert, gold has now become a popular new option for investors from several groups or levels who view gold bars as a tangible asset they can be confident in. At the same time the results are also satisfactory especially when compared with investments in other types of assets in the current economic situation we are faced with.

“The demand for gold bars here in Thailand is constantly on the increase since gold is an asset that never diminishes in quality. It has a value in itself that only increases with time and is therefore an attractive asset for investors since the risks are relatively low.”

Mr. Boonlert also offered advice on gold investment strategies congruent to today’s situation reminding investors to be cautious in their moves. Purchasing large quantities of gold at this time is not advisable and it is best to stick to 10-20 baht worth in weight of gold per purchase so as to reduce the risks involved in such transactions. Investors should pay close attention to the movements of the markets and the global economic situation. Most importantly investors should target their purchases in accordance with their individual needs corresponding with the type of god merchandise whether gold bars, gold coins, gold futures etc.

“With the fluctuation we are seeing in today’s economy, investment in gold is still attracting much interest as evident in the increase of purchasing power from the investment sector, the weakening dollar as well as the importation of gold by the central bank for its federal reserves. This means that gold prices will continue to surge until the next year. It is a safe form of investment. The price of gold in the first half of 2010 should remain at around $1000-1,200 per ounce.”

DELL joins VPP to take on projector market using latest DLP technology

2009-12-07T11:45:00.000-08:00

Company to highlight after-sales services and superior warranty to rise to the top in 3 years

DELL has once again made an important development in Thailand’s IT industry with the latest cooperation with VPP Systems and Engineering as distributor to promote the sales of projector products among retail customers after enjoying overwhelming responses from commercial customers. The company is confident in its superior warranty and after-sales services with latest projector technology DLP, which is developed to replace the conventional LCD, to attract buyers. The new technology helps make projector more compact and light weight to pave way for Dell to reach the market’s top spot within 3 years.

Mr. Anothai Wetyakorn, Managing Director of DELL Corporation (Thailand) Co., Ltd., one of the leaders in Thailand’s IT industry, disclosed that DELL had selected VPP Systems and Engineering Co., Ltd., leader in sales and distribution of projector products in Thailand to handle distribution of DELL projectors in attempt to break into retail consumers after enjoying tremendous acceptance from commercial buyers. “We are planning to offer products to retail customers starting late this year. The introduction of DELL projector products in Thailand is part of the company’s expansion of product line to cover greater consumer needs. We have so far done well with large corporate customers and this time we would like to reach out to retail customers with 4 quality projector models. With excellent product quality and warranty, along with strength of VPP Systems and Engineering, we are confident in becoming the leader in DLP technology projector in the Kingdom within 3 years,” he said.

As for details of DELL projectors, Mr. Krittawit Kritiyarunegroj, Marketing Manager, South Asia, DELL Corporation, said: “DELL will offer 4 projector models using the latest DLP technology. These models are namely M109S at 16,900 baht; 1210S at 18,500 baht; 1410X at 22,700 baht and 4310WX at 39,000 baht. These new projectors are priced similarly to the LCD projector but with better picture clarity, compact design and light weight feature to attract modern consumers. Most important of all, DELL is highly recognized for its superior after-sales services and service warranty of free repair for 2 years. The bulb also comes with warranty of 2,500 hours, which is 2.5 times longer than the conventional 1,000-hour warranty,” he explained.

During the introductory period, DELL Corporation (Thailand) will offer a special promotion, which includes 2-year free repair at site, bulb warranty of up to 2,500 hours, free 70” X 70” projector screen and premium designed projector bag.

Christmas in Copenhagen

2009-11-08T03:49:00.001-08:00

       The 19th century Danish storyteller Hans Christian Andersen once described Christmas time in his country as "magnificent,incomparably magnificent." A visit to Copenhagen in the run-up to Christmas is proof that this has not changed with the city looking its most festive. An enormous decorated Christmas tree stands in front of the mayor's house and half a million Christmas lights can be found blinking in Tivoli park which hosts the biggest Christmas market in Scandinavia fromNov 20 to Dec 30. Stall owners sell everything from Christmas gift ideas to homemade wooden items.
       Also on sale are festive foods such as cakes and sweets and needless to say there is plenty of Jule Glogg, Denmark's Christmas punch, to be had. Glogg is a mixture of red wine and schnapps with raisins, almonds and cinnamon. Children can ride a carousel or a pony in Tivoli and there's ice skating on the park's small lake with its Chinese tower.
       The Danish capital is very pedestrian friendly and easy to find your way around. Stroget pedestrian zone, for example, is a kilometre long and most shops stay open until 8pm at the weekends in December.

Central to expand fashion-watch range

2009-11-08T03:48:00.001-08:00

       Central Trading, importer and distributor of brand-name goods, will be expanding its portfolio fo wathches next year to serve increasing demand.
       The company currently sells five fashion watch brands, including Casio G-Shock and Guess. The segment increases by 30 per cent per year on average and the sale of Casio and Guess models is expected to ries by the same level this year.
       Central Trading is holding a "Shock the World" global campaign from December 9 to sell the Casio G-Shock series in several major cities, including Berlin, London, Paris, Hong Kong and Bangkok.

Flower extravaganza set to return

2009-11-08T03:44:00.000-08:00

       The floral extravaganza Ratchaphruek Festival returns to Chiang Mai next month from Dec 1-10 to celebrate the 82nd birthday anniversary of His Majesty the King, the world's longest reigning monarch.
       Organised by the Ministry of Agriculture and Cooperatives,the provincial administration and the Tourism Authority of Thailand (TAT), the festival is expected to draw more than 200,000 visitors.
       According to Juthaporn Rerngronasa, TAT's deputy governor for marketing communications, on Dec 5,which is the King's birthday,there will be a grand ceremony involving the lighting of candles and offering of prayers wishing His Majesty sound health,followed by fireworks and light and sound presentation.
       Prime Minister Abhisit Vejjajiva will preside over the festival opening on Dec 1 when he'd join local notaries to release 999 floating lanterns, followed by Thai classical dances from the four regions of the country,with 99 performers from each region.
       Taking place at the same venue that played host to the Royal Flora Ratchaphruek held to celebrate the 60th anniversary of His Majesty's accension to the throne in 2006, the festival is an exhibition of flowers, plants and fruits,sale of farm products, handicrafts and OTOP goods, and contests featuring farm commodities.
       The event three years ago featured roughly 2.5 million plants and flowers,including some rare orchids, and drew about as many visitors.
       "The festival should help boost tourism and raise hotel occupancy in Chiang Mai," said the deputy governor.
       A first in Chanthaburi
       Launched on Oct 26 in Chanthaburi,the first training centre for management of shipwrecks and underwater cultural heritage brings together 16 archaeologists from across the Southeast Asia region.
       The training programme is a part-nership between Unesco, the Ministry of Culture and the Underwater Archaeology Division of the Department of Fine Arts.
       "Thousands of historical items have already been stolen by treasure hunters and if preventative measures are not put into place to combat the illegal trade,even more priceless treasures will disappear from Asian waters," said Ricardo Favis of Unesco's Bangkok office, adding "Asian maritime archaeologists are still in their infancy, so we must improve their knowledge and skills."
       The first batch comprises trainees from Cambodia, Indonesia, Laos, Malaysia,the Philippines, Sri Lanka and Thailand.The course runs until Dec 5. It is conducted by experts from Australia, England and Holland, and covers subjects such as maritime law,in situ preservation of shipwrecks and underwater sites, museology, treasure hunters and monitoring techniques, shipbuilding technology and ethnographic boat recording.
       The Chantaburi facility is one of the best-equipped in the region and located in proximity of shipwreck sites, allowing the trainees to field-test practical skills.
       Major TAT push in Moscow
       The Tourism Authority of Thailand's (TAT) office in Moscow has embarked on a major offensive after the number of Russians visiting Thailand dropped 29.43 per cent in the first four months of this year.
       In 2008, Russian visitors to Thailand totaled 319,587, up 14.23%over the previous year, and generated 16.24 billion baht in tourism revenue. During 2002-08, the number of Russian visitors to Thailand grew by an annual average of 28.79% while their spending grew by 32.76% annually. However, the global financial crisis saw their number drop by 29.43% during January to April this year.
       Therefore TAT's Moscow office launched the "Welcome to Thailand Mega Fam" campaign last week, reining in 70 Russian travel agents and media representatives to its cause."Our research shows many opportunities for growth," said Juthaporn Rerngronasa, TAT's deputy governor in charge of marketing communications."Russia is mainly a winter-season market as Russians love our warm weather, the beaches and the sea. Many also enjoy learning diving and exploring underwater treasures around the Andamans and the Gulf of Thailand."
       TAT is targetting high-end tourists and meeting delegates through tour packages to Bangkok with a detour to neighbouring countries, and expects the campaign to generate 293,000 visitors from Russian alone, not to mention the Central Asian republics, for a turnover of roughly 14.03 billion baht this winter.
       Park encroachment
       The Department of National Park,Wildlife and Plant Conservation last week raided a marine park in Trang Province,the site of a private resort, and seized 20 workers before ordering a halt to further construction.
       Almost 80 per cent complete the resort,valued at 20 million baht, belongs to a Songkhla businessman. Located in Hat Chao Mai Marine Park, it's built on a strip of land where construction is forbidden.
       The raid followed complaints from locals. Somchai Masathien, director of the Forest Fire Control Division led a 50-strong force to the construction site and arrested the workers, after which he told the local media that the building will be demolished.
       Tiger resumes flights
       Anticipating a rise in passenger traffic during the upcoming tourist season, Tiger Airways has resumed flights between Singapore and Krabi.
       "We are very excited about the resumption of Krabi flights. With four flights a week you now have an additional choice of a holiday destination," said Tiger Airways Managing Director Rosalynn Tay.
       All of them are afternoon flights available Monday, Wednesday, Friday and Sunday. The start-up price is at 535 baht excluding surcharges.
       Visit www.tigerairways.com for more information.

Fitness for the office-bound

2009-11-08T03:42:00.000-08:00

       Sports Mall's latest marketing campaign, "Get Fit with Sports Mall", is expected to generate sales of more than Bt700 million this quarter.
       Sports Mall is the trendy sports apparel and equipment section in every The Mall branch, Emporium and Paragon.
       Suntorn Sureeleungkhajohn, assistant general manager for merchandise, said yesterday that the initiative focuses on office employees and fitness-minded individuals, especially those who are too busy to exercise.
       Sports Mall wants office employees to concentrate on their physical well-being and exercise more and also wants to inspire people to exercise and participate in sports.
       Sports Mall spent Bt2 million on this campaign along with the two largest fitness centres in Thailand. Fitness First has 17 branches and at least 80,000 members and California WOW has at least 160,000 members. The cross promotion seeks to provide value-added benefits to customers, including a strategy for using the M Card, Sports Mall's membership card with at least one million members.

Magnificent seven

2009-11-04T05:15:00.001-08:00

       In the most important, most revered event since the invention of the brontosaurus trap,Microsoft shipped the most incredibly fabulous operating system ever made; the release of Windows 7 also spurred a new generation of personal computers of all sizes at prices well below last month's offers.The top reason Windows 7 does not suck: There is no registered website called Windows7Sucks.com
       Kindle e-book reader maker Amazon.com and new Nook e-book reader vendor Barnes and Noble got it on; B&N got great reviews for the "Kindle killer"Nook, with dual screens and touch controls so you can "turn" pages, plays MP3s and allows many non-B&N book formats, although not the Kindle one;Amazon then killed the US version of its Kindle in favour of the international one, reduced its price to $260(8,700 baht), same as the Nook; it's not yet clear what you can get in Thailand with a Nook, but you sure can't (yet) get much, relatively speaking, with a Kindle;but here's the biggest difference so far,which Amazon.com has ignored: the Nook lets you lend e-books to any other Nook owner, just as if they were paper books; the borrowed books expire on the borrower's Nook in two weeks.
       Phone maker Nokia of Finland announced it is suing iPhone maker Apple of America for being a copycat; lawyers said they figure Nokia can get at least one, probably two per cent (retail) for every iPhone sold by Steve "President for Life" Jobs and crew via the lawsuit,which sure beats working for it -$6 (200 baht) to $12(400 baht) on 30 million phones sold so far, works out to $400 million or 25 percent of the whole Apple empire profits during the last quarter;there were 10 patent thefts, the Finnish executives said, on everything from moving data to security and encryption.
       Nokia of Finland announced that it is one month behind on shipping its new flagship N900 phone, the first to run on Linux software; delay of the $750(25,000 baht) phone had absolutely no part in making Nokia so short that it had to sue Apple, slap yourself for such a thought.
       Tim Berners-Lee, who created the World Wide Web, said he had one regret:the double slash that follows the "http:"in standard web addresses; he estimated that 14.2 gazillion users have wasted 48.72 bazillion hours typing those two keystrokes, and he's sorry; of course there's no reason to ever type that, since your browser does it for you when you type "www.bangkokpost.com" but Tim needs to admit he made one error in his lifetime.
       The International Telecommunication Union of the United Nations, which doesn't sell any phones or services, announced that there should be a mobile phone charger that will work with any phone; now who would ever have thought of that, without a UN body to wind up a major study on the subject?;the GSM Association estimates that 51,000 tonnes of chargers are made each year in order to keep companies able to have their own unique ones.
       The Well, Doh Award of the Week was presented at arm's length to the United Nations Conference on Trade and Development; the group's deputy secretary-general Petko Draganov said that developing countries will miss some of the stuff available on the Internet if they don't install more broadband infrastructure; a report that used your tax baht to compile said that quite a few people use mobile phones but companies are more likely to invest in countries with excellent broadband connections; no one ever had thought of this before, right?
       Sun Microsystems , as a result of the Oracle takeover, said it will allow 3,000 current workers never to bother coming to work again; Sun referred to the losses as "jobs," not people; now the fourth largest server maker in the world, Sun said it lost $2.2 billion in its last fiscal year; European regulators are holding up approval of the Oracle purchase in the hope of getting some money in exchange for not involving Oracle in court cases.
       The multi-gazillionaire and very annoying investor Carl Icahn resigned from the board at Yahoo ; he spun it as a vote of confidence, saying current directors are taking the formerly threatened company seriously; Yahoo reported increased profits but smaller revenues in the third quarter.
       The US House of Representatives voted to censure Vietnam for jailing bloggers; the non-binding resolution sponsored by southern California congresswoman Loretta Sanchez said the Internet is "a crucial tool for the citizens of Vietnam to be able to exercise their freedom of expression and association;"Hanoi has recently jailed at least nine activists for up to six years apiece for holding pro-democracy banners. Iran jailed blogger Hossein "Hoder" Derakshan for 10 months - in solitary confinement.

TWO HELD OVER RUMOURS

2009-11-04T04:49:00.000-08:00

       Police yesterday presented two Thais with reported brokerage backgrounds who have been charged with spreading rumours that led to panic selling on the local stock market earlier this month.
       Thiranan Vipuchanan, 43, who reportedly used to work as a securities executive, was arrested at Suvarnabhumi Airport on her return from a European tour. Katha Pajajiriyapong, 37, also working for a securities firm, was arrested in Silom.
       Both were charged with violating the computer law after allegedly disseminating incorrect information that could threaten national security or cause public panic.
       An initial police report said Katha worked for KT ZMICO securities. There remained confusion about Thiranan's workplace, and a securities company linked with her strongly denied she was working for them.
       After she was arrested, a smiling Thiranan told reporters she was only relaying a foreign news report concerning Thailand on the first day of the two-day stock turmoil.
       "People were wanting to know why the market fell like that, so I translated news from a foreign media website. It wasn't my intention to cause the stock index to dive [further]," she said.
       Police searched her home in the Ratchadaphisek area and seized a computer notebook, mobile phone, digital camera, memory card and desktop computer hard disk. Similar evidence was also taken from Katha.
       Thiranan allegedly posted her "translation" on the Prachathai news website, under the user name "BBB". The other suspect, Katha, allegedly posted his contentious information on the "Under the same sky" website.
       Both websites are known for their strong political stance and sympathy for former prime minister Thaksin Shinawatra.
       Thai authorities blamed rumours concerning His Majesty the King's health for the stock plunge earlier this month, which not only unnerved the stock market but also caused great anxiety for the Thai public in general. Calls were made for the government to conduct an inquiry into the source of the rumours, which some thought came from abroad.
       Yesterday's police press conference on the arrests was brief. The suspects were said to have been apprehended for allegedly violating Article 14 of the computer law by circulating false information concerning His Majesty. They face five years in jail or a Bt100,000 fine, or both.
       The suspects, who looked calm, said little to reporters.
       Police, however, claimed they had confessed to the initial charge of publishing information about the King's medical condition on the Internet. This was despite Thiranan telling reporters she was reacting to the stock market's deep dip rather than causing the sell-off.

See you in Bangkok!

2009-10-29T20:05:00.000-07:00

       Nation editor THanong KHanthong Has an exclusive interview with Rakesh Saxena before the Canadian Supreme Court rules on his extradition.
       It was quite some time ago when we last talked. When I placed a call to Rakesh Saxena on Wednesday night, I was expecting that he might not be in any mood to talk to me. I had heard about his deteriorating health from his oversize and his drinking habit. The long course of his legal battle against the extradition charge from the Royal Thai Government was due for a decisive outcome in the following day.
       I always have his Vancouver number in my mobile. One of his bodyguards answered the phone.
       "Excuse me, who's speaking?" he asked. He was very polite.
       "I would like to talk to Mr Rakesh. Please tell him that my name is Thanong and I am calling from Bangkok. He knows me very well."
       "Ok, wait a moment."
       There was a series of slight beeping sound as my line was being transferred to Rakesh's phone. He picked up the phone. Over the next 10 minutes, he fired his words like a machine gun. I had a hard time keeping track with his rumbling over words in his throat.
       He still sounded like Rakesh, the same old Rakesh that I have known for almost two decades. As always, he was upbeat, straight to the point, daring and unemotional. His trademark is his boyish laugh "hehehehe" at the end of his "youknowwhatImean" sentence.
       He did not show the slightest sign of any worries. Everything he said was just a matter of fact.
       I asked him about the prospect of the extradition case. "The police and Thai authorities are making a big fuss in Bangkok. They are expecting to have you back in Bangkok," I told him.
       Indeed, the Thai authorities had staged a big PR stunt over this extradition case as if the Supreme Court of Canada (Ottawa) would not grant him leave to appeal the deportation order. If Rakesh were to lose his appeal, he would be whisked away in his wheel chair to Bangkok immediately.
       Rakesh kept his cool. He was not worried at all.
       He said the Supreme Court of Canada would render its decision on the "application for Leave to Appeal" the lower court's decision on Thursday at 10.00 am Vancouver time.
       In June, the B.C. Court of Appeal rejected his bid to overturn earlier rulings upholding his removal.
       "If Leave is granted, then it will take another 47 months to pursue the Leave," he said. "If Leave is not granted, the legal process technically comes to a close."
       "That means I am going to see you in Bangkok," I said.
       "Yes, then nobody can do anything about it," he said.
       But he went further to explain that the decision is on Leave, in the first place; it is not a guilt or innocence decision.
       "The Supreme Court of Canada (Ottawa) only grants leave if the case is of national importancea different criteria altogether," he said.
       If Rakesh win his appeal for yet another time, chances are that he can delay the process until the statutory limitation of the case expires in July 2010. He has been arguing that he would be killed if he were sent back to Bangkok. Prison conditions in Thailand are also poor.
       Representatives from the police, the public prosecutors and the Foreign Ministry have already flown off to Vancouver to hear the verdict. Some Thai reporters have also flown to Beijing, hoping to join Rakesh and the Thai team on the conฌnecting flight back to Bangkok.
       For the Abhisit government, it is waiting for a big show time. Many members of the coalition partners (Phi Ban, Phi Ne, Phi Su, Phi Nan, for instance) have ties to BBC.
       BBC went into rampant high finance, sweet heart loans to the politicans and takeover deals until it lost its steam. The banking authorities eventually had to pay off almost Bt200 billion for the damage of BBC.
       Rakesh left Thailand in 1996, never to return. He is now being held as a "house arrest" in his luxury residence worth US$1.5 million. From his residence, before his health deteriorates, he continued to be active in making financial deals and write his columns in Cross Border Reports.
       If Rakesh were to make his presence in Bangkok, the politicians would not have any good sleep. The Democrats would have an upper hand over them.
       Rakesh has been fighting this protracted battle since 1996. Many people in Thailand, including me, have written off this case as something that would not make any progress nor would it ever end. Two other high profile extradition cases involve Pin Chakkaphak of the now defunct Finance One Group and Thaksin Shinawatra. Pin prevailed over the extradition charge in the UK court of justice. The peripatetic Thaksin has refused to become a sitting target, and the Thai authorities are reluctant to proceed with the extradition charge against him.
       "I have heard that your health is not good and that you have suffered from a stroke," I said.
       "Since suffering a stroke this March, the left side of the body is paralyzed and I am under heavy stroke-related medication and physiotherapy treatment," he said.
       As Rakesh is the Money Wizard, he can move the financial markets at his fingertip. If he loses his appeal at the Supreme Court, he might touch the "send" button from his computer screen since he has nothing else to lose.

China's Sany Heavy Industry plans Thai showroom, factory

2009-10-29T20:02:00.000-07:00

       Sany Heavy Industry, a Chinese manufacturer of engineering machinery, plans to spend US$40 million (Bt1.34 billion) to open a showroom and plant as a production base for Southeast Asia.
       Engineering machinery is used in such activities as general construction, road construction and hoisting.
       This project is in line with China's efforts to expand businesses outside of the country.
       The company has already established Sany Heavy Industry (Thailand) as a regional office.
       Yang Zhihua, assistant to the president of the company, yesterday said Thailand was chosen at this time for several reasons.
       Thailand is centrally located in Southeast Asia. Regional sales have shown impressive growth of more than 50 per cent a year, even during times of recession. And the region has suffered less from the global crisis.
       The business environment here, including infrastructure and skilled labour, is conducive to investing, and Thailand and China have had good relations for several decades.
       Southeast Asia this year is expected to contribute $40 million out of Sany Heavy Industry's targeted worldwide revenue of 30 billion yuan (Bt147 billion), up from 20 billion yuan last year.
       The Sany Group, parent of Sany Heavy Industry, has been ranked as a top-10 competitive and trusted listed company in China for three years running. It markets in 130 countries.
       The first phase of Sany's investment plan involves setting up a showroom in Bangkok next year at a cost of between $5 million and $6 million, while the second phase will entail building a plant in the Amata City Industrial Estate within three years.
       "The Thai production base has the capacity to sell a wide range of machinery worth a combined $50 million per year. Besides Thailand and China, we already operate in the US, India and Germany. We're establishing plants in many destinations, including Europe and South America," he said.
       Zhihua expects Sany (Thailand) to generate revenue of Bt500 million next year.
       Xia Feng, general manager of Sany Heavy Industry (Thailand), said the market for engineering machinery was worth about $400 million, with Caterpillar the leader. Sany expects to acquire a 30-per-cent share within three years.
       Sany's customers include Sino-Thai Engineering and Construction.

SAXENA DENIED CANADIAN APPEAL

2009-10-29T19:53:00.000-07:00

       Rakesh Saxena, a former executive at the Bangkok Bank of Commerce (BBC), whose collapse signalled regulatory failures that led to the 1997 Asian financial crisis, has lost a bid at Canada's highest court to avoid extradition to face fraud charges in Thailand.
       The Supreme Court of Canada yesterday denied Saxena's requast for a hearing at which he would have tried to oveturn a lower-court's decision upholding the extradition. The high court gave on reason for its decision.
       Saxena, 57, fled to Canada in May 1996 shortly after the Thai government seized the bank to stop a run on deposits triggered by a central bank report that about Bt78 billion of the bank's loans were delinquent. Many of the loans were extended to top executives, their families and friends and politicians, the report said.
       The seizure forced the Bank of Thailand's governor to resign and portended a region-wide financial crisis a year later, when the baht's devaluation caused Asian currencies to tumble. Half of the loans at Thai banks went bad.
       "Bangkok Bank of Commerce was one of the first cases that exposed problems with Thailand's regulatory environment," said Virapong Boonyobhas, director of the Business Crime and Money Laundering Data Bank at Chulalongkorn University.
       Saxena is accused of conspiring to embezzle Bt1.6 billion from the bank, according to a 2006 British Columbia Court of Appeal ruling upholding his extradition.
       NOT GIVING UP
       Citi Trading, led by Saxena, obtained the loan fraudulently, Judge Kenneth Mackenzie wrote, citing government documents used to support the extradition request. Saxena used the money to pay personal debts as well as those of his other companies, the judge said. Saxena repaid about Bt650 million.
       Saxena told bloomberg News in a 1997 telephone interview that he had taken no money from the bank, because as an adviser, he had no authority.
       Saxena cannot be prosecuted in Thailand, because there is not enough evidence, his lawyer, Amandeep Singh, said in a telephone interview on Tuesday.
       "We haven't given up at this point," Singh said, adding that he would consider his options after the ruling.
       To force Saxena onto a plane and send him to Thailand immediately after the ruling would be "draconian", Singh said. Saxena had a stroke in March and is confined to a whellchair, the attorney said.
       He did not immediately respond yesterday to a request for comment.
       LONG PROCEEDINGS
       "To say that the proceedings in Canada have been protracted would be an understatement," Mackenzie wrote three years ago.
       Thailand sought Saxena's extradition soon after he arrived in Canada. The 13-year battle has been the longest in Canadian history. Karlheinz Schreiber, a former arms-industry lobbyist, this year lost a 10-year fight against extradition to Germany.
       Saxena was free on bail for the first eight years, under what Mackenzie called unusual terms. He was required to pay the cost of supervision, estimated at US$40,028 (now Bt1.34 million) a month.
       The fugitive argued that he could not get a fair trial in Thailand and would face possible danger because of alleged human-rights violations in the country, according to Canadian court files.
       "There has never been any evidence adduced by the aplicant that he, a criminal defendant, faces the risk of maltreatment," British Columbia Judge John Hall wrote on May 15 on the behalf of a three-member panel that upheld the extradition.
       NO MISCONDUCT EVIDENCE
       "Allegations that foreign authorities are going to misconduct themselves in relation to a fugitive should not be given credence in the absence of evidence," the judge wrote.
       In 2005, Thailand's Criminal Court sentenced Krirkkiat Jalichandra, the bank's former president, to 50 years in prison and fined him $472 million.
       A year later, the Anti-Money Laundering Office seized plot of land owned by Saxena worth $2.9 million, the first of his assets to be seized in the country.

Work starts on Trump's Scottish golf resort

2009-10-29T19:50:00.000-07:00

       Work on a new golf resort in Scotland being built by US tycoon Donald Trump started on Wednesday, despite fierce opposition from local people.
       The 1-billion pound (Bt55-billion) coastal resort in Balmedie, near Aberbeen in northeast Scotland, will feature two golf courses, a hotel and around 1,000 holiday homes.
       But several local people are still refusing to sell their homes to make way for the site amid a high-profile campaign backed by Oscar-winning actress Tilda Swinton, who lives in the region.
       Trump's son Donald Trump Junior, who was at Balmedia as the work started, said he hoped golfers would be able to tee off between 18 months' and two years' time.
       Earlier, he described the protestors as "teenage people", accusing them of "little childish stunts".
       "We are trying to deliver a golf course that can really be looked at as the greatest golf course anywhere in the world," he told BBC radio on Wednesday.
       "The vast majority of the people of the northeast want this project to go forward and have been incredible supporters of us."
       But opponents say the local council is giving Trump favaourable treatment because of his wealth and fame, boosted in recent years by his role as host US reality television show "The Apprentice".
       The "Tripping Up Trump" group is threatening legal action against the plans, which they say will also be bad for the local environment.
       Officials insist they have acted within the rules.
       Initial work on the site, which got the green light from councillors on Tuesday, will involve planting marram grass in a bid kto stabilise a large area of sand, erecting fencing on dunes and carryifng out preparatory earthworks.
       The golf development is backed by Scotland's devolved government, run by the pro-independence Scottish National Party.
       Scotland's tourism and economic development agencies also support it, saying it will attract high-spending visitors from aroung the world.

Central bank dusts off more than 20 Saxena cases

2009-10-28T19:00:00.000-07:00

       The Bank of Thailand is preparing to dust off more than 20 lawsuits against fugitive financier Rakesh Saxena in light of his potential return to Thailand.
       Saxena: May be extradited tomorrow
       Mr Saxena, a former adviser to the collapsed Bangkok Bank of Commerce (BBC), is expected to arrive back in Bangkok tomorrow if the Supreme Court of Canada rejects his latest appeal against extradition.
       The court is scheduled to hand down its verdict today.
       BoT assistant governor Arkabusk Krairiksh said the statutes of limitations for most of the cases the BoT planned to file against Mr Saxena had not expired.
       "All of the cases pending for Mr Saxena will be resumed if he is brought back," Mr Arkabusk said.
       Chanchai Boonritchaisri, the central bank's senior director of the Legal and Litigation Department, said Mr Saxena had been involved directly and indirectly in several legal cases related to BBC.
       He said there were more than 20 cases pending for Mr Saxena involving BBC, which collapsed in 1995 under the weight of its non-performing loans.
       Seksan Bangsombun, chief prosecutor for economic and resource cases, said he had assigned a team of prosecutors to work on cases in which Mr Saxena was named as a suspect. This was so prosecutors could indict Mr Saxena in these cases once he arrived back in Thailand.
       Sirisak Tiyapan, chief prosecutor for foreign affairs, will be in charge of returning Mr Saxena to Thailand if he fails in his appeal against extradition.
       Police spokesman Pongsapat Pongcharoen said Mr Saxena would be held at the Crime Suppression Division prison pending interrogation if he was extradited from Canada.
       Central Investigation Bureau chief Tha-ngai Prasajaksatru said a new investigating team headed by Pol Maj Gen Panya Mamen, the deputy CIB chief, had been appointed to work on criminal cases against Mr Saxena. Pol Lt Gen Tha-ngai said police investigators had forwarded cases of alleged embezzlement involving Mr Saxena to the public prosecutor for indictment in 1996, but Mr Saxena fled the country before police could issue an arrest warrant for him.
       Mr Saxena is accused by the public prosecutor of colluding with BBC executives to defraud the bank of more than 20 billion baht.
       Mr Saxena has sought asylum in Canada for more than a decade.

BOON TURNS TO CHINA AFTER SELLING HOSPITAL STAKE

2009-10-28T18:58:00.000-07:00

       Property tycoon Boon Vanasin recently unloaded shares in Piyavate Hospital to Red Bull owner Chaleo Yoovidhya so he can focus more on hospital investment in China.
       "China will be my latest country for investing in healthcare. I believe revenue from that industry in that country will exceed revenue from all of my businesses in Thailand, both healthcare and property, within five years," Boon said.
       He said he spent much of his time in China now, overseeing construction of his hospitals. Despite the opportunities afforded by the world's most populous country, investment in China is quite difficult for foreigners, and so he finds he must be on hand there.
       Boon's hospital arm, the Thonburi Hospital Group, sold its entire 40-per-cent stake in Piyavate Hospital, although he maintains his personal 5-per-cent holding and remains a director.
       The group generates annual revenue of Bt3 billion from 17 hospitals, while Boon's property business generates about Bt2 billion per annum.
       Boon's foreign-investment arm, WJ International Healthcare, is constructing three Chinese hospitals at a combined cost exceeding Bt1 billion, with a different Chinese partner for each one: the military, the Foreign Ministry and the Red Cross Society of China.
       Boon plans to open three hospitals a year in China, serving mainly foreigners.
       He said the Thonburi Hospital Group agreed to sell its shares in Piyavate Hospital roughly five months ago, obtaining Bt400 million from the deal. The money will go towards the Bt900-million expansion of Thonburi Hospital 1 and Thonburi Hospital 2.
       The group will spend Bt400 million to build new outpatient and inpatient buildings at Thonburi Hospital 1, after which capacity will double in the outpatient building to serve 3,000 patients a day, while inpatient beds will increase 25 per cent to 500.
       A budget of Bt500 million has been earmarked for a new outpatient building at Thonburi Hospital 2 that can serve 1,500 outpatients daily, up from 800 now.
       Boon said another reason for selling the Piyavate shares were his and Chaleo's conflicting opinions on the business's direction. He wanted to embark upon a major Bt2-billion upgrade of Piyavate, in order to make it more competitive with other private hospitals, but Chaleo wants the 16-year-old hospital to grow more slowly.
       Boon resigned as Piyavate's chairman but signed an agreement with Chaleo retaining the right to become Piyavate Hospital's major shareholder within three years. If he does return in that capacity, he may let his heirs hold the stake.
       Piyavate CEO and president Nithi Mahanonda said Chaleo planned to bring in more doctors from several fields, cut unnecessary costs and make the most beneficial use of the hospital's facilities. After five years of losses, the hospital is expected to post a net profit next year, with revenue increasing 15 per cent.
       Nithi expects revenue of Bt1 billion this year, up 25 per cent from last year. The company will book a net loss estimated at Bt60 million, an improvement from last year's Bt300-million loss.
       Piyavate expects to take six years to clear its accumulated losses of Bt800 million.
       Nithi said with the transaction, Chaleo's children and grandchild now hold 75 per cent of the hospital's registered capital of Bt2.1 billion, while 19 per cent is held physicians.
       He said Piyavate had spent nearly Bt200 million on renovating its building and would increase the number of beds from 100 to 150 within six months. It is also adding more full- and part-time physicians to attract more patients, especially foreigners, who are higher margin.
       Piyavate plans to become a top-five private hospital in the near future.

PM denies influencing ruling

2009-10-28T18:55:00.000-07:00

       Prime Minister Abhisit Vejjajiva is distancing his government from a Council of State recommendation that ousted prime minister Thaksin Shinawatra be stripped of his police rank and royal decorations.
       Thaksin Shinawatra first wore the police uniform in 1973.
       Mr Abhisit Wednesday said the government had not influenced the council's ruling on this matter, which was strictly between the Royal Thai Police and the government's legal advisory body.
       "The Royal Thai Police asked the Council of State about the matter, and now the ruling has come out it will have to comply," he said.
       The Council of State recommended on Tuesday that the fugitive prime minister be stripped of his police rank and royal decorations because he had been convicted and sentenced to two years in jail. Thaksin was a police lieutenant colonel before he built his business empire and entered politics.
       The Supreme Court's Criminal Division for Holders of Political Positions found him guilty in October of last year of a conflict of interest in relation to the sale of a prime piece of real estate on Ratchadaphisek Road to his then wife.
       Mr Abhisit said the revoking of Thaksin's police rank would be handled by the Royal Thai Police while the recall of his royal decorations would be undertaken by the relevant agencies.
       Procedures call for the Secretariat of the Cabinet to propose the recall of the decorations to the prime minister for endorsement and then forward the matter to the Office of His Majesty's Principal Private Secretary. The recall, once it has royal endorsement, would be announced in the royal gazette.
       The former prime minister has received nine royal decorations, the highest being the Knight Grand Commander (Second Class, higher grade) of the Most Illustrious Order of Chulachomklao, bestowed in 2002.
       Thaksin wrote on his Twitter page yesterday that "it is a normal practice for this government... if they could find a law to kill me, they would have done.
       "Law should be enforced for peace of society, justice, and equality, but this government chooses to enforce for political outcomes. Now I have to sing the song Khob Khun Thi Some Term (Thanks for repeatedly hitting me)."
       Thaksin supporters have also come out to criticise moves to revoke his police rank and royal decorations.
       Core Puea Thai Party member Chalerm Yubamrung said the move appeared to be politically motivated. It came just days after Cambodian Prime Minister Hun Sen offered Thaksin a refuge and a job as his economic adviser.
       "The government may or may not take advice from the Council of State," he said. "It depends whether or not the advice is useful to the government."
       Mr Chalerm said the offence of which Thaksin was found guilty does not justify stripping him of his rank under the police's code.

Morgan eyes China, HK

2009-10-28T18:53:00.000-07:00

       Morgan De Toi (Thailand) will export its lingerie to China and Hong Kong next year and import a new French brand to tap the mass market in Thailand.
       The company produces and distributes lingerie and leather bags, and imports women's clothing for sale in Thailand.
       It was set up by Morgan, a French apparel-maker, and Saha Group, Thailand's largest and most diverse textile and garment manufacturer.
       China is expected to become the largest market for lingerie, Morgan director Marin Leelanuwatana said yesterday.
       The domestic market generates 70 per cent of Morgan's lingerie sales and exports 30 per cent, but if the company succeeds in the China market, that ratio will be reversed, she said.
       Lingerie contributes 60 per cent of the company's total sales, follow by women's apparel at 20 per cent and leather bags at 20 per cent.
       Morgan now expects its sales to increase 11 per cent to Bt170 million this year. It had targeted sales growth at 15 per cent but the economic crisis has throttled its exports.
       "Exports witnessed a drop of 20 per cent this year, especially to Taiwan and South Korea, because both countries rely on the US economy. Even if the global economy recovers, the export situation will not improve like the domestic market, which started to pick up in the third quarter. That helps the company to see some sales growth," she said.
       The company forecasts no progress in the export situation next year, so it will have to depend on the domestic market.
       Morgan's projection of sales growth of 15 per cent next year does not include China because the company has to wait and see the results of its attempt at market penetration there.
       The company will also start selling leather bags in the Asian market after achieving its sales goals in Thailand.
       "We have adjusted the price structure for bags to match our competitors. Our price was higher than theirs but when we reduced prices by 10 per cent, sales shot up 54 per cent, from 10-per-cent growth in previous years," she said.
       The company will launch Cache Cache, a French apparel brand from its parent Morgan that is produced in China, for the mass market in Thailand.
       The latest brand is priced lower than local brands, as in the company's experience, consumers are more cautious with their spending and will purchase those products that represent value for their money.
       The company is also considering cutting women's apparel prices by 20 per cent after the Asean Free Trade Agreement (Afta) ends duties on imports and exports among Asean countries. The company now pays 30 per cent on imports of women's clothing.
       However, Afta will also open the market to many Asean lingerie brands. Morgan has to quickly build brand awareness for its products especially lingerie because consumers are less familiar with Morgan's lingerie than its women's apparel.

Rail bosses crack down on strikers

2009-10-28T18:50:00.000-07:00

       Sackings begin as SRT tries to get trains going The head of the state railways has ordered the dismissal of six staff at Hat Yai station and two leading members of the railway union.
       And a State Railway of Thailand source said yesterday more union members were likely to be sacked.
       The eight were dismissed over the blockage of railway services in the lower South.
       SRT governor Yutthana Thapcharoen issued the order for the dismissal of Thawatchai Boonvisoot, Soravut Porthongkam, Sarote Rakjan, Prachaniwat Buasri, Wirut Sakaekhum and Nitinai Chaiphume on Tuesday. The six work at Hat Yai station. None of them belong to the union and so could be fired straight away.
       Mr Yutthana said it was clear the six were in the wrong. They had left their posts without good reason and acted in a way that disrupted normal rail services.
       He said their actions carried a serious penalty and they could be punished without an inquiry. However, they could appeal the dismissal order within 15 days.
       The six are also prohibited from entering Hat Yai railway station.
       Two executive members of the railway union, Pinyo Ruenpet and Banjong Boonnet, will be taken to the Labour Court to hear an application to terminate their employment, Mr Yutthana said.
       The two were seen speaking through loud hailers encouraging staff at Bang Sue to stop work on Tuesday, he said.
       The SRT will also file a suit with the court demanding 70 million baht in damages from Mr Pinyo and Mr Banjong over the blockage. A court hearing into the case has been set for Nov 26.
       The source said the SRT governor decided to go on the offensive starting with action against the six staff and two union members after getting the green light from the government.
       The SRT was buoyed by the negative public reaction to the railway stoppage, which caused trouble for passengers, the source said.
       The eight had connections with union leader Sawit Kaewwan, he said.
       Another four Hat Yai rail staff are under investigation for their alleged involvement in the disruption of train services. If they are found guilty, they also will be punished, the SRT chief said.
       Another six union committee members are suspected to be involved in the train blockage. They have yet to be investigated, Mr Yutthana said.
       The source said the ultimate target of the SRT was Mr Sawit but the railway agency would check the union and public reaction first before taking action against other union members and leading staff over the stoppage.
       Mr Sawit said the union would call a meeting to prepare to fight the court battle and insisted the union did nothing wrong.
       He stressed the union's position that locomotives must be repaired to ensure safety. The Khao Tao derailing early this month was proof of that, he said.
       Mr Sawit said SRT management had never taken responsibility but shifted the blame to train drivers.
       He said the union would propose setting up a tripartite committee to find a long-term solution to the problem. The panel would be made up of members from the union, SRT executives and outsiders.
       Meanwhile, all trains in the lower South will resume operations today after talks between Deputy Interior Minister Thaworn Senneam, SRT executives and the Hat Yai railway union. They reached an agreement to break the deadlock during talks in Hat Yai yesterday.
       Mr Thaworn said the Hat Yai union had agreed with some conditions to resume rail services.
       The union demanded locomotives be repaired and kept in working order, substitute railway staff from Bangkok leave so rail staff at Hat Yai could return to their jobs, and an impartial committee be set up to inspect the conditions of the locomotives and carriages before they are allowed to operate.

SRT to seek funds for infrastructure

2009-10-28T18:48:00.001-07:00

       State Railway of Thailand chairman Tawalyarat Onsira is planning to propose a five-year investment plan, worth nearly Bt80 billion, to the Transport Ministry soon.
       The budget is for improving railway infrastructure.
       It is believed the move will help reduce conflicts between SRT top management and the labour union as well as ensure the smooth running of services in the South.
       Tawalyarat, who is also deputy permanent secretary to the Transport Ministry and chairman of a panel responsible for improving the SRT's infrastructure, revealed yesterday that of the Bt80 billion, Bt42 billion would be used to construct double-track rail routes.
       In addition, about Bt17 billion would be spent on improving railways, sleepers, bridges, crossing points and signalling to ensure safety, while the remaining roughly Bt20 billion would be for improving locomotives, cargo carriages and passenger bogies.
       "It is a five-year plan and is expected to be completed by 2014," Tawalyarat said.
       In addition, he said there would be a 10-year railway development plan worth Bt708.86 billion for four high-speed rail projects. The high-speed trains, expected to run at 250 kilometres per hour, will be earmarked for the Bang Sue-Chiang Mai, Bang Sue-Nong Khai, Makkasan-Chanthaburi and Bang Sue-Padang Besar routes.
       Tawalyarat said the private sector would be invited to invest in all projects and be granted operating concessions in return.
       "Transport Minister Sophon Saram will propose this plan to investors in China who are interested in Thailand's railway," he added.
       However, he said the SRT would continue with its plans |to procure additional loco-motives. Of the locomotives bought, 80 per cent will be |owned by the SRT, while the remainder will be part of a |joint venture with the private |sector. Initially, the authority expected to procure more 100 locomotives.

SERVICE RESUMPTION ON TRACK DESPITE FIRING OF SIX WORKERS

2009-10-28T18:45:00.000-07:00

       The State Railway of Thailand yesterday evening fired six of its workers stationed at Hat Yai Junction for allegedly instigating a strike and disrupting train service, throwing into doubt the relaunch of normal services today.
       The move followed a breakthrough in negotiations between protesting workers and management, which would have allowed all suspended southern trains to resume running today.
       Deputy Interior Minister Thaworn Senneam expressed worry that the dismissal might prolong the problem, especially after it was announced after the agreement to break the stalemate was reached.
       However, he would work further to end the dispute, as the Democrat Party and the prime minister assigned him to directly sort out the problem.
       To punish any protesting worker, a committee should be set up to look into individual cases before a decision to penalise them is reached, he said.
       Wirun Sakaekhum, head of the Hat Yaibased SRT labour unions, which staged the strike, said before he was sacked that the 10 union members marked for discharge would fight the decision in court because they did not violate SRT regulations.
       The other five fired workers were Thawatchai Bunwisoot, Sorrawuth Phorthongkham, Saroj Janrak, Prachaniwat Buasri and Nitinai Chaiyaphum.
       Thaworn had brokered the twohour talks at the Hat Yai Junction in Songkhla, where the worker walkout has paralysed operations since October 17.
       Management agreed to six demands, including that all 11 defective locomotives pass basic safety tests, only local engineers operate local trains and SRT management promise in writing to take responsibility for any accidents.
       Another one was that an independent committee be set up to inspect the safety features installed on locomotives.
       A crucial condition insisted upon all along by the protesting workers - that they must not be punished for staging the strike - was not mentioned in the six conditions.
       The suspended trains will do their normal daily trips and the entire operation will be fully restored by Saturday, Thaworn said before the six workers were expelled.
       In the morning, Train No 463, one of many providing free service, had all eight cars packed with passengers on its way to Sungai Kolok.
       Onboard were 10 police, double the regular guard, while 200 police and defence volunteers patrolled Hat Yai platforms to prevent a reoccurrence of confrontations between protesting workers and Bangkokbased replacement engineers that had happened on Tuesday.
       Later in the afternoon, five longhaul trains bound for Bangkok - Nos 170, 172, 42, 38 and 36 - resumed service, but not every run.
       Wirun said No 463's departure in the morning was made possible by a threepoint agreement between unionists and deputy SRT governor WirojTriamphongphan. These three conditions became part of the final agreement mediated by Thaworn.
       Before the agreement was reached, 56 engineering cadets were readied to operate the suspended trains. Some of them served as crewmembers on No 463.
       Democrat MP Akhom Engchuan had earlier hinted at organising local residents opposed to the suspension of train service to rally for an end to the strike.
       "Initially I will course my efforts on the issue through parliamentary channels, otherwise it will look like we're interfering with the Transport Ministry, which is not under the supervision of the Democrat Party.
       "And if that doesn't work, I will use negotiations with the SRT union. This process will not involve only MPs but also villagers. And I cannot guarantee that there won't be any violence involved by then," he said.
       The strike "coincidentally moved along" with the activities of a certain political party, he said.
       "I don't want to give the name, but I believe you media people are aware of what has happened," he said, without going into detail.
       Thaworn said Akhom's statement would have no bearing on his agreement.
       "All disputes and problems have been settled and sorted out," he said.
       Local residents hailed the return of No 463 and the other five train trips, saying it was a good sign that their frequent travels would return to normal.
       They complained about the high cost of going by bus and taxi and all the delays as well as the school closures caused by students missing classes.

Council gives ruling on Thaksin's rank

2009-10-27T21:36:00.000-07:00

       The Council of State believes the sentencing of ousted prime minister Thaksin Shinawatra to two years in jail is enough justification to strip him of his police rank and royal decorations.
       The council ruling has been sent to the Cabinet Secretariat along with guidelines to strip Thaksin of his rank of police lieutenant colonel and the royal decorations bestowed on him.
       The ruling came after the Royal Thai Police queried whether Thaksin's conviction was sufficient to strip him of his rank.
       It claimed Thaksin was sentenced to prison for violating the rule on conflicts of interest under the anticorruption law. He was cleared of malfeasance charges under articles 152 and 157 of the Criminal Code.
       The police's position was that the offence was political, and so might not be enough to warrant revoking his rank under police regulations.
       The Council of State, the government's legal arm, yesterday said the prison sentence handed down by the Supreme Court's Criminal Division for Holders of Political Positions met all the conditions required to revoke Thaksin's rank and royal decorations.
       As long as the jail sentence imposed on Thaksin was considered final, he should lose his rank regardless of the court in which he was tried.
       The council cited PM's Office regulations on royal decorations which stipulate that a person can lose them if a jail sentence is considered final.
       It said the police could only seek to revoke the royal decorations associated with Thaksin's police rank.
       The Cabinet Secretariat or other agencies could seek to revoke the other decorations.

Rice trading schemes pushed forward

2009-10-27T21:33:00.000-07:00

       The government is preparing to buy paddy from farmers starting early next month and will accelerate sales from its huge rice stocks through governmentto-government contracts to stabilise prices, according to Commerce Minister Porntiva Nakasai.
       She said the ministry would start buying paddy for the 2009-10 main crop from Nov 2, initially in Phitsanulok,Kamphaeng Phet and Nonthaburi, using 20 billion baht from the Thai Khem Kaeng economic stimulus budget.Buying prices would be based on the government's reference prices set at 8,460 baht per tonne for paddy with 15% moisture.
       In light of heavy rains during the last several weeks, local paddy prices have fallen to between 6,000 and 6,500 baht for paddy with moisture exceeding 30%.
       However, exporters said the overall Thai rice prices were not all that bad,with the benchmark Thai white rice now around 14,800 baht per tonne freeon-board, or about 8,400 to 8,500 baht per tonne for paddy of 15% moisture.
       According to Mrs Porntiva, the government plans to sell 950,000 tonnes of rice from its stocks through governmentto-government deals in the remaining two months of this year and would release another 1.77 million tonnes in 2010."Our strategy is to drain rice out of the country in a bid to lift domestic prices during the harvesting season,"she said.
       The government is estimated to have the equivalent of six million tonnes of milled rice, bought from farmers in previous price intervention schemes."We plan to negotiate with several countries,including the Philippines, Malaysia, Indonesia and Iran," said Mrs Porntiva.
       On Monday, the Philippines said it was in talks to buy at least 250,000 tonnes of rice from Thailand in a governmentto-government deal.
       Thailand was expected to produce around 23.5 million tonnes of rice from its main crop.
       The government had planned to end its rice-buying intervention in favour of a scheme under which it would subsidise farmers without buying grain itself.However, it has been forced to run both schemes in parallel in the face of farmers'protests.
       Mrs Porntiva said to lift rice exports next year, the government planned closer partnerships with private exporters to negotiate with potential buyers including Nigeria, Angola, Libya and Algeria. As of Oct 26, Thailand had exported 7.065 million tonnes of rice worth $4.06 billion. Volume was down 20.7%with value dropping 25.9% from the same period last year.

Rail staff accused of train sabotage

2009-10-27T21:29:00.000-07:00

       The State Railway of Thailand plans to sack 10 union members and is threatening legal action against them after a train was allegedly blocked from leaving Hat Yai by another train.
       SRT executives considered the situation as dangerous as the first train had left the key southern station on the Songkhla to Narathiwat route yesterday.
       SRT governor Yutthana Thapcharoen said railway management had decided the staff allegedly responsible would have to be fired for severe misconduct.
       SRT union members at Hat Yai station have refused to operate train services to the deep South since Oct 16, citing health and safety concerns.
       An SRT source said about 10 key union members were singled out for dismissal. They were accused of persuading railway workers in the South and the Central Plains to strike.
       The source said the Hat Yai incident happened at 10.30am yesterday and involved the No.463 PhatthalungSungai Kolok service.
       The train driver, who is from Bangkok, was forced to stop the locomotive about 300 metres from Hat Yai station when he saw the Padang Besar-Hat Yai train parked on the same track.
       Union members at the station then surrounded his train and called on him to get down from the cabin.
       The confrontation ended after an hour when more than 100 railway police arrived to escort the driver to safety.
       Mr Yutthana blamed the Hat Yai staff for allowing the No.463 to run on the same track as the stationary Padang Besar-Hat Yai train.
       A crash was only avoided because the driver was able to stop the train in time, he said.
       Mr Yutthana said he had ordered a full investigation into the incident.
       The driver, Saroj Suksamran, said he was given the green light to pull out of the station but rammed on the brakes when he noticed something wrong with a signal.
       He said the SRT management ordered him to file a complaint with police against local union members.
       He accused the union members of using another train to block his route and of tampering with a switch that could have derailed his train.
       Wiroon Sakaekhum, head of the Hat Yai union, said the departing train almost collided with the other train because it jumped a red light that was switched on to show there was another train on the same track.
       The next signal switch was not in the right position for the train to move out of the station and the train would have derailed if it had continued for another 50 metres,he said.
       After the Hat Yai incident, SRT deputy governor Itthipol Praphawasit abruptly ended negotiations with SRT union president Sawit Kaeowan at the state enterprise's offices in Bangkok.
       The SRT's management blamed the union of failing to cooperate and resume services.
       Mr Sawit said the union was sticking to its demands that the SRT management ensure all trains are safe and properly maintained.
       Transport Minister Sohpon Zarum said those involved in the Hat Yai rail blockage would be arrested.
       The cabinet yesterday approved an SRT request to recruit 171 new train drivers and engineers to cope with a staff shortage.
       The railway union blames substandard equipment and a shortage of drivers for a fatal train derailment in Prachuap Khiri Khan on Oct 5.
       Members of the State Enterprise Relations Confederation yesterday urged Prime Minister Abhisit Vejjajiva to step in to solve the conflict between the railway union and the SRT management.
       Railway union members yesterday filed a complaint with the senate committee on human rights, liberty and consumer protection.
       The panel will discuss the complaint tomorrow.

EXPORT SALES OF CHOCOLATE FEEL THE HEAT

2009-10-27T21:26:00.000-07:00

       Mrs Flowers, manufacturer and distributor of home-made chocolates, expects its export sales to be flat or even down this year.
       Buyers in the US and Europe are delaying their orders during these tough economic times.
       Marketing manager Taras Sudhikam said the economic slowdown had affected chocolate consumption, especially in the US and some European markets.
       "This is a big concern, foreign buyers not ordering our chocolates due to the poor state of their economies. This has affected our exports, which are expected to be stagnant this year," he said.
       Taras said exports normally accounted for 60-65 per cent of Mrs Flowers' sales revenue, with foreign buyers placing orders in May or June for local availability in October and November.
       "But a lot of buyers are not placing orders this year until October and November, and it's quite difficult for us to deliver on time, due to our home-made system and principle of freshness," he said.
       Taras expects next year's exports to be flat or up slightly growth.
       He pointed out the company had achieved 80-90 per cent of its domestic sales target.
       "We have two months left in the year to boost our domestic sales, and it's our peak season, with individuals and corporate customers purchasing chocolates as gifts for friends and customers for New Year's," he said.
       Taras said that up to half of company sales were generated in the final two months of any given year.
       "That will allow us to achieve full-year growth of 5-10 per cent in domestic sales this year," he said.
       Mrs Flowers yesterday introduced its first-ever gift sets of chocolate and Thai snacks for the local market, targeted at individual and corporate customers alike. Prices range from Bt1,189 to Bt3,589.
       The company expects to sell as many as 5,000 gift sets by year-end.
       Mrs Flowers also announced a revamp of its business strategy to cope with the economic slowdown, which has affected overall chocolate consumption.
       "We set up a new subsidiary earlier this year named King Arthur. It delivers chocolates for use as ingredients to corporate customers like ice-cream manufacturers and bakeries," said Taras.
       He said the company also produced house-brand products for some retail clients, including Tops Supermarkets.

Ministry gets prepared for second wave of influenza

2009-10-27T21:22:00.000-07:00

       The Public Health Ministry is bracing for a second round of type-A (H1N1)influenza attacks in coming weeks.
       Reports of a second flu wave and a sharp jump in patients in the US and Mexico have prompted health authorities to issue an alert of a potential new strike as the weather cools and the new school term gets under way.
       People attending crowded activities,such as the Loy Kratong festival on Monday, are urged to protect themselves from the virus.
       "We have to carefully watch out for a flu outbreak over the next two to three weeks as 12 million students will return to school," said Kamnuan Ungchusak,a Public Health Ministry disease control expert.
       "Also, the cooling weather and festivities enable the virus to stay in the environment longer and transmit to more people without proper protection."
       Students were among the first group to contract the type-A H1N1 influenza when the first flu wave hit in late April.Thousands of schools in Bangkok were ordered closed for a week to contain the outbreak.
       About 40% of schools in Bangkok and 20% of more than 30,000 schools under the Office of the Basic Education Commission reported flu cases during the first round of the flu, Dr Kamnuan Paijit: Hospitals said.ready and waiting The epidemiologist believed schools in rural areas were at greater risk this time because the flu virus had spread to local communities.
       "It is worrying that local flu cases will increase rapidly if the new flu wave strikes," Dr Kamnuan said.
       Permanent secretary for public health Paijit Warachit said he would call a meeting today of provincial public health chiefs and livestock officials in the lower North and upper central provinces on preventing H1N1, seasonal flu and bird flu outbreaks.
       Health authorities are also working with medical schools and the Emergency Medical Institute of Thailand to build a network of emergency units to help cut mortality rates and ensure beds are available for critical patients.
       There have been 182 deaths in Thailand from H1N1 as of last Saturday.
       Hospitals are equipped to handle a possible surge of new patients from the second flu wave, Dr Paijit said.
       Lessons learned during the peak period of July and August show that both outpatient and ICU wards became quickly overwhelmed.
       An estimated 16,000 patients a day sought hospital treatment for flu-like illnesses during the peak period.
       Government Pharmaceutical Organisation managing director Witit Artavatkun yesterday said it was possible the clinical trial of the type-A (H1N1) vaccine could be undertaken by mid-November as experts had almost completed studying the product's stability.

EVIDENCE OF CONTINUED RECOVERY

2009-10-27T21:18:00.000-07:00

       Thailand's economic recovery continues, with a rebound in domestic consumption, private investment and exports convincing official the economic contraction will be limited to only 3 per cent this year.
       As a sign of recovering domestic demand and export markets, the Federation of Thai Industries, Automotive Industry Club yesterday also revealed vehicle output exceeded 100,000 units last month for the first time in a year. The 103,000 units produced were down 16 per cent year on year but up 22 per month on month.
       Last month's automobile exports were also the highest in a year at 49,500 units, down 33 per cent year on year but up 14 per cent month on month. Their combined value of Bt23.8 billion was down 30 per cent year on year.
       Finance Ministry spokesman Ekniti Nitithanprapas said gross domestic product was expected to show a drop of 3.5-4 per cent in the third quarter, against declines of 7.1 per cent and 4.9 per cent in the previous two quarters.
       Several indicators predicted a smaller contraction - value-added tax, commercial-lorry sales, imports of capital goods and consumer procucts and exports, all of which revealed a rebound in domestic consumption, new investment and a recovery in exports. Export value is also expected to drop only 17.7 per cent year on year in the third quarter, to US$41.1 billion (Bt1.37 trillion), against a 23.5-per-cent decline in the first half, due to recovery in emerging markets like China and Vietnam.
       "These figures are in line with Standard & Poor's estimates that despite huge public debts, the economic recovery continues. But S&P is concerned about policy continuity, particularly in the medium term," Ekniti said.
       "If the red shirts resume meeting in late November and political tensions flare back up, it could slow further recovery in domestic consumption and investment and affect the continuity of government measures."

THAI AUTHORITIES CLOSE TO LAYING HANDS ON SAXENA

2009-10-27T21:15:00.000-07:00

       After more than a decade-long legal struggle, authorities now smell victory at hand in their bid to bring back bank fraud suspect Rakesh Saxena from Cananda to stand trial.
       "We don't know yet what the ruling will be, but we're getting prepared to bring Saxena back to Thailand," National Police spokesman General Pongsapat Pongcharoen said yesterday.
       In the morning, representatives from the Office of the Attorney-General, the National Police Office and the Foreign Ministry left for Vancouver with high hopes they would escort Saxena back on Friday after the Supreme Court there delivers its final decision tomorrow on Saxena's appeal against extradition.
       Pongsapat said Saxena could arrive at Suvarnabhumi Airport Friday night.
       Once back in Thailand, he will be held in custody at the Crime Suppression Bureau under tight security and 24-hour surveillance.
       During his detention, he will be questioned in order to build up the case against him, with Pol General Pansiri Prapawat assigned as chief interrogator.
       Public prosecutors will then take on the case and are expected to have him arraigned in Criminal Court.
       Acting National Police chief Patheep Tanprasert held a half-hour staff meeting to discuss how to handle Saxena once he entered the country.
       Thailand requested Saxena's extradition in 1996 to stand trial for fraud in connection with an US$88-million (Bt2.94 billion) loan that was never repaid. He was ordered to surrender for extradition in 2003, but in 2006 the order was suspended while Ottawa reconsidered the case in the wake of Thailand's military coup on September 19 of that year.
       Saxena, an international financier, was accused of playing a key role, together with Krirk-kiat Jalichandra, in the collapse of Bangkok Bank of Commerce (BBC). Banking authorities had to contribute Bt100 billion to pay for the damage to BBC. Krirk-kiat has faced a dozen lawsuits over the BBC scandal and still goes to court to defend himself.
       Saxena's extradition case has been running for so long that most political observers have written it off. Next July will see the statue of limitations expire in the case.
       Saxena, who has been kept in house arrest at his luxury residence in Vancouver, has been arguing in court that his safety would be at risk if he were to be ruturned to Thailand.
       Last year, a top British Columbia judge feared Canada might suffer a "black eye" if the "notorious extraditon case" passed tha cut-off date, said a report in an online Canadian newspaper.
       If the longset-running extradition battle in Canadian history is not completed by next July, when the charges become statute-barred, he'll walk free, Canada.com said.
       "Noting that the case has dragged on for 'years and years', BC Appeal Court justice Edward Chiasson said he was worried it would be an embarrassment to Canada if the July 2010 deakline passes and there was no resolution," Canada.com said.
       A political source said the presence of Saxena back in Thailand would become an embarrassment for some key members of the coalition government, who allegedly benefited from the failure of BBC.
       "It seems that the Democrats are trying to keep the Bhum Jai Thai Party at bay by trying to bring Saxena back to Thailand," the political source said.

Unionists rolled as big wheels keep on turning

2009-10-26T22:51:00.001-07:00

       More than 100 armed railway police and security volunteers have released a train held at Hat Yai station by State Railway of Thailand unionists.
       The train was the first of 14 locomotives which operate on lower southern services to resume operations.The services have been hampered by a 10-day strike.
       A driver sent from Bangkok took the empty train from Hat Yai to Khok Pho in Pattani before returning again after being warned he might be breaking the law by driving the train.
       Hat Yai railway union head Wiroon Sakaekhum said the driver had violated SRT regulations because he operated the train alone and had no experience on the track.
       The regulations state drivers on the southern lines must have at least 10 years of experience and be accompanied by at least two support staff.
       The SRT management resolved to take a forceful approach and legal action in a bid to resume the rail service after southern staff who are members of the SRT labour union halted services on Oct 16 and blocked the passage of trains which serve the lower South.
       Armed railway police and security volunteers took 10 minutes at 3pm yesterday to free train No.175 from SRT union members.
       Union members who had surrounded the trains at the station booed but did not resist attempts to get the train running.
       In Bangkok, SRT governor Yutthana Thapcharoen yesterday said he had obtained a Songkhla provincial court order which prohibited anyone from blocking normal rail services.
       He said copies of the order had been posted at railway stations nationwide.
       He also issued an order demanding that 65 railway staff members who took leave from Hat Yai station return to work or risk dismissal.
       He also placed 72 train drivers and engineers from Bangkok on standby in case the 65 employees refused to work.
       "The court order is the green light for management to move and allows police to arrest those who block railway services," Mr Yutthana said.
       "SRT staff must follow the orders of the management. If they resist the order intentionally to damage the organisation,they can face the harshest punishment,which is expulsion."
       The SRT governor said 65 union members had taken leave and refused to operate trains, claiming the vehicles were not well maintained.
       As all 14 lower southern trains later passed checks, the union members returned to work in Hat Yai but yesterday continued to refuse to drive the trains,claiming they were worried about safety along the tracks to the insurgency-torn far South.
       The governor said police and soldiers had confirmed protection for the trains,so the safety claim was irrational. Besides, 12 locomotives running in the South were bullet-proof, Mr Yutthana said.
       Prime Minister Abhisit Vejjajiva yesterday said rail workers who left their duties without a good reason would be held responsible for the halted public service.

Wood-fuelled plant set for operation

2009-10-26T22:48:00.000-07:00

       Thailand's first wood-fired power plant is expected to start operations early next year as part of the government's policy to promote alternative energy sources, said the Energy Policy and Planning Office.
       A Plus Co, wholly owned by the Thammarak Niwet Foundation, will operate the 1.5-megawatt station, said EPPO secretary-general Viraphol Jirapraditkul.
       The wood-fired plant is a pilot project supported by the EPPO and Suranaree University of Technology (SUT).
       There are a number of suitable fastgrowing trees that act as carbon sinks while being farmed that can be used as clean energy sources once harvested.
       There are three fast-growing tree varieties - acacia, acacia mangium and leucaena - that are commercially viable for use in Thailand, a SUT study found.
       A Plus established a 1,000-rai leucaena plantation to supply its plant with fuel.The firms plans to increase the plot size by another 2,000 rai next year.
       The EPPO and the Energy Ministry supported the project yesterday by providing it with one million leucaena trees for the plantation.
       Leucaena is a fast-growing nitrogenfixing tree with many uses that grows well in tropical conditions. It removes nitrogen gas from the air and make its usable for plants and animals.
       A Plus's power plant will be Asia's second wood-fired power plant, following the launch of a similar project in India.
       The cost of producing power at the wood-fired plant is 1.60 baht per kilowatt hour (unit), slightly higher than 1.25 baht per unit at a coal-fired plant.
       Thai energy policymakers hope the fuel-wood plantations would help reduce both greenhouse gases and coal-fired power production, as well as slowing the pace of deforestation.
       "As the government is promoting biomass and biogas, we might succeed in reducing the use of mainstream fuel,but we deforestation has increased as farmers tend to cut down forests to plant trees that can be used as fuel," said Mr Viraphol.
       The EPPO offers an adder rate of 30-50 satang per unit on top of the unit cost of producing power from renewable fuels,which allows power producers to sell such energy to the Electricity Generating Authority of Thailand at a higher rate.
       However, the EPPO is considering further increasing the adder rate for fast growing fuel-woods to encourage investment in wood-fired power, said Mr Viraphol.
       "The wood-fired power project not only reduces deforestation but it will not reduce the area used for food crops,"said Energy Minister Wannarat Channukul. Using fast-growing trees for fuel will help Thailand achieve its target for renewable energy to account for 20% of local power production by 2023.
       Policymakers are pushing for the use of fuel-wood due to a severe shortage in other biomass resources, such as rice husks, corn waste and chipped rubber wood, said Weerachai Arjharn, chairman of SUT's Center of Excellence in Biomass.
       The Natural Resources and Environment Ministry plans to plant fuel-wood in deforested areas. It plans to increase the current 37,000 rai of fuel-wood plantations to 50,000 rai in the near future, he said.
       "If we turn deforested areas into fuelwood plantations, we could have 300MW of wood-fired power capacity," he said.
       TPI Polene and Mitr Phol Group have also announced plans to start growing leucaena trees near their production plants so they can use the fuel-wood for future power production.

King may "leave hospital soon"

2009-10-26T22:46:00.001-07:00

       Her Royal Highness Princess Chulabhorn says His Majesty the King will be discharged from hospital soon.
       "His Majesty can now rise from the bed by himself and can stand with the aid of a walker," Princess Chulabhorn told an audience of Thai people in Italy yesterday."I think His Majesty will leave hospital soon."
       The Princess's remarks were televised on the Television Pool of Thailand.
       She said it would take a while for the King to be able to walk. His Majesty is now receiving physical therapy at Siriraj Hospital.
       "His Majesty is very resolute and determined to undergo physical therapy regularly, many times a day," the Princess said.
       She said Her Majesty the Queen was constantly at the King's bedside and HRH Princess Maha Chakri Sirindhorn also spent her nights at the hospital.
       "We're trying to find ways to make His Majesty laugh by telling him jokes, bringing comedy movies for him to watch and playing music for him. We're trying to keep His Majesty entertained."

LG makes Thailand LED TV base

2009-10-26T22:43:00.000-07:00

       The South Korean electronics giant LG has chosen Thailand as the first Asean production base for its latest range of televisions.
       The company will spend about 200 million baht next year on molds, a clean room and other facilities at its Rayong factory to produce the LED and LCD sets locally, said Heegol Lee, general marketing manager for home entertainment at LG Electronics (Thailand) Co.
       Exports will account for about 25% of total output. The Thai-made products will initially be shipped to Laos, Cambodia and Burma.
       Another 340 million baht will be spent locally next year on promoting LG televisions, with a focus on LCD sets.
       Overall demand for the brand's televisions in Thailand this year is estimated at about 3.2 million sets, or 32 billion baht, said Alongkorn Chujit, deputy managing director of LG Electronics (Thailand). LCD sets account for about one million sets, or 19 billion baht, followed by 65,000 plasma sets worth 23 billion baht, with other technologies accounting for the remaining 11 billion baht.
       Overall demand for televisions shrank by 4.3% over the first eight months of the year. But demand for plasma TVs grew by 40% in the period and the LCD segment surged by 80%, while demand for conventional and flat-screen sets slid.
       Sales of LG LCD sets increased by 80% over the period.
       LED units currently account for just 2% of sales, but this is forecast to rise to 20% next year.
       The company will spend 80 million baht promoting LED and LCD products,said managing director Hyun Woo Lee.
       The new LED TV should lift the company's market share of the LCD TV segment to 25% by the year-end, up from 21% last year. The company aims to sell 3,000 units over the next three months.
       The two new products in the LG Live Borderless TV range are priced at 32,990 and 109,990 baht.
       It expects overall sales this year will grow by 15% to 15 billion baht.

Chavalit draws govt ire

2009-10-26T22:40:00.000-07:00

       Puea Thai Party chairman Chavalit Yongchaiyudh has sparked a furious backlash from the government by insisting he will embark on trips to Burma and Malaysia in the wake of his remarks about ousted prime minister Thaksin Shinawatra being welcome "any time"in Cambodia.
       The government, which insists Gen Chavalit discredited the Thai administration by his visit with Cambodian Prime Minister Hun Sen, has made it clear the opposition party politician should not meddle in diplomatic affairs.
       Prime Minister Abhisit Vejjajiva and Foreign Minister Kasit Piromya yesterday asked Gen Chavalit to put the national interest before personal benefits ahead of his plans to visit other countries.
       The government had no authority to block his travel plans but it would not succumb to pressure from other countries as a result of his visits, the prime minister said. Gen Chavalit will visit the lower South on Nov 3 followed by unscheduled trips to Malaysia and Burma, his close aide, Lt Gen Piratch Swamiwas, said yesterday.
       Gen Chavalit's first foreign trip after assuming the chairmanship of the opposition party was to Cambodia last Wednesday. Cambodian Prime Minister Hun Sen told him he welcomed Thaksin to Cambodia.
       Hun Sen also said on Friday after coming to Thailand for the Asean summit that the Cambodian government would not hand over Thaksin if Thailand sought his extradition.
       Mr Abhisit responded by asking Hun Sen to decide between personal relations and bilateral benefits with Thailand.
       Deputy Prime Minister Suthep Thaugsuban met Hun Sen on Saturday to discuss issues involving Thaksin.
       Hun Sen promised to stop saying anything that might damage Thailand,Mr Suthep told reporters yesterday in Cha-am district in Phetchaburi.
       Mr Kasit also sent a stronger message to Gen Chavalit in his bid to have the Puea Thai chairman reconsider his diplomatic strategy.
       "You should ask Gen Chavalit whether his visits to neighbouring countries will benefit Thailand," the foreign minister told reporters."He should ask himself about what he is doing. Is it serving somebody?"
       After the talks on Saturday between Mr Suthep and the Cambodian leader,the Foreign Ministry will submit evidence to Phnom Penh regarding the legal action taken against Thaksin.
       It would be "factual" regarding the legal process the government was taking on the ousted prime minister, the foreign minister said.
       Mr Kasit said he hoped that after the formal explanation, there would be no conflict between the two countries over Thaksin.
       Lt Gen Piratch shrugged off the government's criticism and insisted Gen Chavalit had no plan to scrap his visits to Burma and Malaysia.
       "He will meet leaders and will criticise no one," the aide said."What Gen Chavalit is doing is not for anybody in particular. He used to give suggestions to the government but the government never listened to him."
       Gen Chavalit said last week he would use his personal connections with leaders of neighbouring countries to clear their misunderstandings about Thailand.
       He claimed the foreign policy under the Democrat-led government had caused strains.
       The Cambodian prime minister's remark favouring Thaksin continued to upset a group of 40 senators who urged the government take a tougher diplomatic line on Cambodia.
       HUN SEN FACTOR
       How Bangkokians see recent comments by Cambodian Prime Minister Hun Sen on ousted premier Thaksin Shinawatra affecting bilateral ties:
       More 7 1% strained relations Uncertain 23% No effect 6% *Poll conducted on Friday and Saturday among 1,847 respondents in Greater Bangkok Source: Rajabhat Suan Dusit Poll

HM recovering well

2009-10-26T22:38:00.001-07:00

       His Majesty the King was recovering sufficiently from his illness to be likely able to leave Siriraj Hospital soon, one of his daughters said yesterday.
       "His Majesty has already got out of his hospital bed and walked around by himself," HRH Princess Chulabhorn Valayalaksana said.
       Since entering Siriraj on September 19, His Majesty appeared in public for the first time last Friday to the delight of his loyal subjects across the country.

Firms see Asean as second base

2009-10-26T22:36:00.001-07:00

       Leading companies operating both in Asean and outside the region have eyed the regional grouping as a second base for their investment next to their homeland, thanks to the area's strength not only in manufacturing but also service and investment.
       At an Asean Business Forum seminar titled "Doing Business in Asean", Toyota Motor Asia Pacific Engineering and Manufacturing president Mitsuhiro Sonoda said his company considered Asean as its second mother country and an export base for alternative-energy vehicles.
       "The region contributes more in developing Asean business and supports affiliated companies in other regions to ensure that Southeast Asia can be a great base for production, engineering and human-resources management to serve business growth," said Sonoda.
       He described Asean as a strong export base for alternative-energy vehicles and a new energy-supply base rich in resources and technology development. However, some barriers have hampered it from serving as a second investment centre for Toyota, including national schemes to promote the auto industry.
       Asean member states on their own may have limitations on the availability of capable second- and third-tier suppliers. To achieve real localisation, they must further develop suppliers' capabilities and set up a regional alternative-fuel policy, said Sonoda.
       Anon Sirisaengtaksin, chief executive officer of PTT Exploration and Production, said Asean would be a new emerging destination as the company's production base for serving business growth in the region. "As car factories or other service industries have expanded their business in the region, the firm must also comply with other industries in order to serve those businesses' growth," he said.
       Aloke Lohia, chairman of the executive committee of Indorama Polymers, said Asean's economic integration would make the region more attractive for foreign direct investment (FDI)
       "Business sectors are looking forward to integration as it will create greater opportunity for sustainable business growth," Lohia said.
       He said that to accomplish the goal of an Asean Economic Community (AEC), the region must have a mindset focused more on innovation and have strategic policies to draw more FDI into the region.
       William Heinecke, CEO of Minor International, said the region has high potential as a base for service and tourism businesses. With 580 million people, it is rich in natural resources and has high capability in service business development. But Heinecke said the lack of cooperation between agencies and the plethora of red tape had hindered movement toward the AEC, and that could affect Asean's FDI attractiveness.

PROBE URGED INTO RUMOUR-MONGERS

2009-10-26T22:32:00.000-07:00

       Senator Somchai Sawangkarn yesterday pressured the government to launch an investigation into four groups of people suspected of spreading the rumours about His Majesty the King's health, which led to a recent sell-off of shares in the stock market.
       Somchai said the attack was planned in a series, starting in June, when a Thai-Vietnamese reporter at Bloomberg wrote an article on the issue. While the article was rerun, more such articles appeared in the foreign media this month when the red-shirts staged a rally and activist Ji Ungpakorn released a written piece. The government must file charges against those behind the rumours and get the Anti-Money Laundering Commission (AMLO) to chase the money trail and find the beneficiaries, he added.
       "It violated the security laws and the government needs to arrest the culprits. Never again should the institution be used to crash the stock market," he said. He also pointed a finger at some university lecturers who were in-volved in the October political demonstrations in 1973 and 1976, political activists opposed to the |constitutional monarchy, those who want to discredit the present government and attain a House dissolution, and those who are seeking funding for their political campaigns.
       The process also involved some investors with political connections with the initials Por, Yor, Wor, Sor and Phor, he said, who had worked with stock analysts in dictating the stock market. He said AMLO's help was necessary to support the Department |of Special Investigation and the Securities and Exchange Commis-sion (SEC) probes.
       Finance Minister Korn Chatika-vanij echoed Somchai's concerns that inauspicious rumours were having a negative psychological impact. He said the SEC and the Stock Exchange of Thailand had been negligent in finding out the source of the rumours. Both have been reprimanded for insisting on probing only rumours involving listed companies, as stock prices also moved on other news.

Ball in your court, PM tells Hun Sen

2009-10-26T22:29:00.000-07:00

       Good relations with Cambodia are up on Phnom Penh, according to Prime Minister Abhisit Vejjajiva, who said yesterday that the "ball is now in Cambodia's court".
       His remark suggests it's up to Prime Minister Hun Sen to strengthen bilateral ties or allow them to suffer after the verbal spat between him and Abhiisit over the weekend.
       Speaking to Nation Multimedia Group's editor-in-chief Suthichai Yoon on the World Pulse TV show - being aired nationwide this evening, Abhisit said there would be no diplomatic protest or recalling of Thai ambassadors at this point in time.
       Diplomatic relations went into a tailspin last week after Hun Sen said his "old friend" Thaksin Shinawatra, the former Thai PM, would be welcome to live in Cambodia.
       Hun Sen said he would not extradite Thaksin to face prison terms in Thailand because he considered his crimes were political in nature. He later said he would make the fugitive premier an economic adviser.
       Hun Sen made the statement shortly after arriving in Thailand to attend the 15th Asean Summit in Cha-am over the weekend.
       Abhisit said Hun Sen needed to hear all the facts before any conclusion could be reached. The Cambodian needed to know what laws Thaksin had violated and then decide as to whether the former PM should be sent back to Thailand, if and when he arrives in
       Cambodia.
       Abhisit dismissed suggestion that Hun Sen's remarks spoiled the Asean Summit, hosted by Thailand in Hua Hin and Cha-am over the past weekend. The PM said he was satisfied with the outcome of the summit.
       No other leaders at the summit asked about Hun Sen's statement, Abhisit said.
       When asked about Chavalit Yongchaiyudh's trip to Phnom Penh, which sparked Hun Sen's remarks, Abhisit suggested the Pheu Thai politician needed to re-evaluate whether his actions had hurt or helped relations with Cambodia.
       Abhisit said he was willing to talk to Thaksin about national reconciliation provided the fugitive premier returned to the country and accepted findings from the country's justice system, which had convicted him of fraud and corruption.
       "If he is not willing to abide by our law then what's the use of talking to him?" he asked.

Questionable drug decision

2009-10-25T19:21:00.001-07:00

       Portions of the US public and media have praised the unilateral decision by President Barack Obama to partially legalise possession, use and sale of so-called ''medical'' marijuana. The legal issue is a local matter, but the fallout will not remain inside US borders. The sudden turn-around on an important drug issue by the US leader will have ramifications in many other countries, including Thailand and its neighbours. As the public debate over this controversial step shows, the issue goes well beyond the intent of the Obama government to put anti-drug agents to work on more important cases than people trying to alleviate their pain through a drug.
       First and foremost is the question of whether the term ''medical marijuana'' is warranted and deserves recognition by a government. Thousands of anecdotes attest that sufferers of advanced glaucoma, back pain and other often untreatable symptoms feel better after smoking marijuana. But hundreds of medical studies have found no physiological support for the claims. In addition, hundreds of herbal and medical drugs are available over the counter or through prescription to treat pain. The available scientific evidence hardly supports the decision by the US federal government to legalise a prohibited drug for the first time in many generations.
       Sale and use of medical marijuana in the US and other countries has already become a joke. In Europe, Canada and in several US states, marijuana shops sell tonnes of the drug annually. Prescriptions allowing purchase, storage and use are simple to obtain from licensed ''medical workers''. There is no reason to believe that more widespread licensing of marijuana shops is likely to end the fraud: a tiny number of pain sufferers targetted for benefits from marijuana are almost lost in the crowd of scammers who simply want to smoke marijuana.
       The debate about marijuana _ whether it is harmful, whether it is rightly part of the worldwide ''war on drugs''' _ is beside the point. The decision by the US government, especially after President Obama specifically promised there would be no moves towards drug legalisation, will reverberate in many quarters. At the least, the effective if restricted legalisation will encourage illegal marijuana farming. The most ignored question in western countries which have blithely and unilaterally legalised recreational drugs is where the supplies come from. The US, like other governments, has made it legal to use a product that remains largely illegal to grow, harvest, package or sell in wholesale lots.
       In Thailand, of course, the US government's decision has no legal effect. Possession, sale in drugstores and use of marijuana may now be legal under government supervision in the US. But it remains illegal here. In both countries, it is illegal to grow, harvest, ship across borders or sell marijuana in large quantities. The profits for illegal drug dealing are therefore not going to be reduced, in Thailand and other countries, or in the US.
       While drug legalisation is a domestic US issue, there is great danger in the actions of the Obama government. The decision to support, rather than to target, the sellers and buyers of medical marijuana might deserve support except for one problem. By assuming control of the market, the US government now becomes both the regulator and more importantly the tax collector in a portion of the illicit marijuana trade in the US. This is potentially a dangerous and slippery slope. A government dependent upon taxes from the drug trade will naturally extend the scope of that business. One need only look at the virtual explosion of gambling in the US, let alone the expanding gambling business under the Thai government's supervision, to envision a government with a ''drug dependence'' and deeply involved in such a morally controversial subject.

Asean leaders back Japan's EAC

2009-10-25T19:17:00.000-07:00

       "There is no need to decide now whether we should include the United States or not."YUKIO HATOYAMA JAPANESE PRIME MINISTER
       PM rules out rushing into rigid structure
       CHA-AM:Asean leaders have backed Japan's East Asian Community concept but cautioned that it will not become reality overnight.
       The Japanese-proposed idea overshadowed the meeting of the East Asia summit yesterday which brought together 10 Asean leaders and their six partners from China, Japan, South Korea,India, Australia and New Zealand.
       Prime Minister Abhisit Vejjajiva said after the meeting of 16 leaders that Asean agreed with Japan's East Asian Community (EAC)proposal but said it would not be realised in the next two or three years.
       The EAC needed more study starting with a meeting of officials in early December in Australia to seek more details of the concept, a government source said.
       Although the road to the EAC needed more debate, Mr Abhisit said the EAC should not be separated from existing cooperation with Asean.
       Asean secretary-general Surin Pitsuwan said the Japanese concept showed that East Asia would become a significant community. Both the Japanese and Australian prime ministers also agreed on the importance of Asean, he said.
       In the chairman's statement released at the end of the meeting, Japan said the EAC would be based on the "principle of openness, transparency and inclusiveness and functional cooperation".
       An issue which remains to be debated
       is the role of the US in the EAC.
       Under President Barack Obama, the US wants to play a bigger role in Asia.The new Japanese government has also made clear its position that its alliance with the US is the cornerstone of its policy.
       Japanese Prime Minister Yukio Hatoyama said on Saturday the EAC concept should have some room for the US to play.
       But Mr Hatoyama reacted cautiously to the US involvement yesterday.
       "It's not a matter of who will be included or not. There is no need to decide now whether we should include the United States or not," he said.
       "I think my long-term vision of forming an East Asian Community was largely welcomed by participants."
       Malaysian Prime Minister Najib Razak told the Bangkok Post "we are quite open" to a US role."The whole concept of an East Asian Community should be open in the sense that we should be able to relate to other countries as well.
       "We engage with them and we should see to what extent we can integrate them within the concept of the East Asian Community," he said.
       Mr Najib said advancing the concept should be done in stages.
       Malaysia looks forward to the vision of the EAC, he said, adding that the notion of "this viable economic grouping" has already taken root.
       He said apart from the Asean plus three (China, Japan and South Korea)summit, free trade agreements have already been signed by Asean on one hand and China, Japan and South Korea on the other."So we are [already] moving forward and the three countries China, Japan and South Korea - are very supportive of Asean," he said.
       Australian Prime Minster Kevin Rudd, who first presented his "Asia Pacific community" idea in June last year, told leaders on the sidelines of the summit that his plan centred on increasing regional cooperation in areas of the economy, security and the environment.
       "What I detect across the region is an openness to a discussion about how we evolve our regional architecture into the future," said Mr Rudd, who has put a long-term time frame on his plan -2020.
       Asked about the proposals of Australia and Japan, Mr Abhisit said Southeast Asian leaders had emphasised that it was not all that important to decide on some kind of rigid structure for the time being.
       But the prime minister said the "regional architecture will continue to evolve and we must find a way to improve upon the way we work together to address the issue".BANGKOK POST AND REUTERS
       WHO DID WHAT Key results of the Asean summit. Asean
       6 free trade agreements signed with six countries at the East Asia summit
       Implementation this year of the US$120 billion (4 trillion baht) Chiang Mai Initiative China
       Pledge of $10 billion to the China-Asean Fund on Investment and Cooperation
       Pledge of $15 billion for commercial credit Pledge of $200 million to the Asian Bonds Market Initiative
       Pledge of $100,000 to the Asean Foundation to promote people and cultural ties India
       Pledge of $50 million to the Asean-India Cooperation Fund and Asean Development Fund Japan
       Contribution of $13 million to the Japan-Asean Integration Fund for disaster management and emergency response South Korea.

Buyers sought for Fuso plant

2009-10-25T19:15:00.001-07:00

       The Japanese truck maker Mitsubishi Fuso is expected to finalise talks with two or three manufacturers next month for the purchase of its plant in Thailand.
       Once Mitsubishi Fuso Truck and Bus Corporation (MFTBC) completes the talks, Fuso trucks will continue to be built in Thailand, said a senior official source in the Thai unit of MFTBC.
       Daimler AG of Germany announced earlier this year it would shut the Fuso plant in Thailand by the end of this year as part of a revamp of MFTBC. The German carmaker holds an 85% stake in MFTBC and Mitsubishi Corporation the rest.
       If talks fail, the source said Mitsubishi Fuso Truck (Thailand) Co (MFTTC), a subsidiary of MFTBC, could import Fuso trucks from Indonesia or Malaysia, two major production bases of MFTBC, to keep the brand alive.
       The Indonesian Fuso plant builds more than 40,000 units per year and the Malaysian one 10,000.
       The Japanese truck maker pledged to continue doing business in Thailand even if the plant closes.
       A potential investor is Tan Chong International, a listed automobile and property group in Hong Kong.
       A subsidiary, Tan Chong Machinery Ltd, holds a 100% stake in Nissan Diesel Thailand Co, which is authorised by Volvo of Sweden to produce and distribute Nissan UD trucks in the Thai market. Volvo holds 100% interests in Nissan Diesel Motor Co of Japan, which manufactures and distributes Nissan diesel trucks and buses.
       The source said Tan Chong was interested in the Thai Fuso plant because its licence to build and sell Nissan UD trucks would soon expire.
       But another source in Nissan Diesel Thailand denied an earlier report that Tan Chong would leave the Nissan UD business since its performance was still healthy despite the recession.
       Seiji Akiyama, the president of MFTTC, said the company was approached by many prospective buyers to purchase its plant after it announced it would cease production.
       "There are ongoing negotiations with many interested buyers, and there have been talks about production for domestic sales as well as export that would raise the capacity of the plant. But consideration needs to be given to production costs so that it is competitive,"he said.
       In the past, the Fuso plant had a capacity of 6,000 units per year, but now it assembles about 2,000 trucks per year for the domestic market.
       The plant was originally scheduled to close at the end of this year, but if negotiations bear fruit, production could continue, buoying the confidence of dealers and customers.
       The company said Mitsubishi Fuso remained committed to marketing and servicing commercial trucks in Thailand and continued to invest in products and services for the local market. Asean is the largest international sales area for MFTBC.
       MFTTC announced earlier this year changes in its business structure intended to improve competitiveness.
       A principal change is the integration of Thai production into the overall Asean footprint of MFTBC. This move is to increase overall competitiveness in Thailand by generating further economies of scale. As a result, MFTTC plans to phase out production at Lat Krabang, a suburb of Bangkok, by the end of 2009.
       The local production capacity and workforce will be gradually adjusted.About 150 people are currently employed at the Lat Krabang plant, which makes light-, medium- and heavy-duty trucks.
       In the first half of this year, Mitsubishi Fuso sales grew by 2% compared to a 19% decline in the truck market. By the end of the year, Mitsubishi Fuso is expected to hold a 10% market share,about the same level as last year.

EXCLUSIVE INTERVIEW: "LET SOUTH HAVE AUTONOMY"

2009-10-25T19:08:00.000-07:00

       Malaysian PM vows no support for extremists who violate Thai laws
       Malaysia's Prime Minister Najib Razak said yesterday that Thailand should offer a certain degree of autonomy to people in the predominantly Muslim region to allow them to be good Muslims in the predominantly Buddhist kingdom.
       Najib, who is to tour the restive South with Prime Minister Abhisit Vejjajiva in December, said he would tell them that Kuala Lumpur would not support extremists who violate Thai laws.
       "Look, you know you just have to be good Thai citizens. Don't expect Malaysia to back any violation of Thai law. You are on your own and if they [law breakers] come over, we will send you back," the Malaysian Prime Minister said in an exclusive interview with The Nation's Editor-in-Chief Suthichai Yoon.
       Prime Minister Abhisit invited Najib to tour the deep South after the Thailand-Malaysia's annual consultative meeting and he said he would love to see people living in the region.
       Najib said some form of autonomy could be a solution to end the violence, which has claimed more than 3,800 live since the beginning of 2004.
       "You may not want to call it autonomy but there could at least be some form of involvement," he said.
       The government could offer self-determination for people in areas that are important to them such as the selection of local leaders, employment, religion and education, he said.
       "It is Thailand's decision to consider how far such autonomy in the deep South should go, and Malaysia, as a neighbour, would not intervene in the matter, he said.
       "Our part is to be supportive. We will not negotiate on your behalf. We will do what a good neighbour should do," he said.
       Independence from Thailand championed by any organisation is unrealistic for Muslims in the South, he said.
       "They have to be loyal to Thailand, the King and the Constitution, but at the same time they should be good Muslims and should be allowed to act as good Muslims," he said.
       However, the major issue affecting bilateral relations between the two countries and the situation in the Malay-speaking South is the question of dual citizenship by people who exploit legal loopholes to criss-cross the border, he said.
       Malaysia wanted to resolve the problem with Thailand and tell some 20,000-25,000 people who hold dual nationality to choose either Thai or Malaysian citizenship, he said.
       Some times extremists exploit their dual nationality to seek safe haven in Malaysia's northern states but Najib said he had no solid evidence to prove whether the opposition party, based in the north has harboured them.
       Malaysian authorities would arrest and send them back to Thailand if it was learned that any of them had fled from prosecution to Malaysia, he said.
       Najib gave an example of 130 people from Narathiwat who were sent back three years ago after fleeing from persecution at home to the northern states of Kelantan and Terengganu to show co-operation from Malaysia. Some of them were accused of involvement in the violence before fleeing.
       The Malaysian Prime Minister said he saw no outside elements in causing the violence in the deep South but suggested that if the situation were prolonged, it would open up opportunities for outsiders to become involved.

WOULD YOU LIKE TO DRIVE THIS? Why our trains are falling apart

2009-10-25T05:30:00.000-07:00

       IT'S ENOUGH TO DRIVE TRAIN ENGINEERS OFF THE RAILS

       Patching up emergency brakes with cheap copy parts, running infeasible repair schedules and borrowing parts from one train to keep another in service are all part of daily life for train maintenance workers on Thailand's troubled rail system.
       While a State Railway of Thailand (SRT) fact-finding panel was quick to find human error was the cause of the Oct 5 derailment at Khao Tao, Hua Hin,which left seven dead and 88 injured, it is the country's ageing train network that is drawing just as many questions and fuelling the powerful railway workers' union stoppage campaign.
       Senior maintenance technicians with more than 20 years' experience claim the system is plagued by a shortage of proper spare parts. They said experienced technicians were trying to meet unrealistic demands to keep decrepit trains in service.
       The SRT has 209 locomotives to pull passenger and cargo cars with three major suppliers; General Electric,Alsthom and Hitachi. The locomotives have a brake system linked to a driver alert system, or vigilance system, which employs what drivers call a dead man's brake. The system is designed to keep drivers alert - they must push a button every two minutes otherwise the emergency brake will stop the train as a safety measure.
       If the driver suffers a heart attack or passes out, as happened in the Khao Tao tragedy where the emergency brake did not engage, it can be a lifesaver for passengers.
       Technicians said replacement parts for the brake system should be genuine,but they claim some parts used for repairs are cheaper locallymanufactured ones they described as "copy parts".
       One of the technicians learned while participating in a 2004 SRT probe into problems with replacement distributor valves that they were using copy parts.He said the part was a crucial component of the brake system as it helped distribute air which is used to activate the brake.
       However, SRT engineers told the inquiry panel copy parts were often used and no one was accountable.
       "What we learned later was that they often failed to function," the technician said."Their quality couldn't compare to the original ones."
       The technician said the use of copy parts across the entire maintenance system was common. The technician said original parts were more expensive.
       Another technician agreed that only genuine parts should be used to do maintenance and repair work on the dead man's brakes. But as they do not have access to genuine parts, they are forced to strip parts from one train to ensure another is kept on the tracks.
       Many of the copy parts are rubber rings which are less durable than the genuine parts, he said.
       A document from the SRT's procurement unit dated Dec 2004, shows that 240 rings for the dead man's brake systems were ordered from a local firm at a cost of 57,000 baht.
       One of the technicians also said their work had been compromised by SRT management pressuring them to get trains back in service as quickly as possible as there was a shortage of locomotives to meet the demands of the system.
       Each day, about 150 locomotives are needed to run the service. But records show in 2007 there were 74 locomotives under repair with 138 ready for service.
       The technician said the more pressure that is placed on them to keep trains in service, the more maintenance work is hampered as they cannot properly complete repairs.
       "We normally have a list of at least 12 items regarding safety to be checked before allowing the train to be in service,but I have to say that sometimes we can approve none of these, including the vigilance system," the source said.
       "We don't have enough trains to service. So we have tried to keep the trains [we have] in service and safety issues have become a secondary priority as a result."
       He said the Khao Tao train tragedy highlighted the maintenance problems.He would not say whether the derailed train had gone through the 12 safety checks, but said the system clearly had a problem.
       The driver of the train involved in the disaster, Roengsak Panthep,testified to the fact-finding panel, which signed off on its report four days after the accident, that the dead man's brake system was not working.
       This was also confirmed by his technician Bowornrat Suatim.
       It was found the train sped up beyond its 90 kilometres per hour limit and derailed.
       The panel, however, did not comment on this in its conclusion, leading to accusations by the union of unfair treatment of workers. According to the check on his work schedule, Mr Roengsak had only one day off in the month of September.
       The SRT has 3,600 staff working on trains,780 short of the ideal manning levels, the union said. There are 1,143 technicians also short of adequate staff levels.
       "We wonder whether it is fair to blame everything on us," the source said.
       "We have seen the flaws in the work,but this is just beyond our capacity to fix them.
       "It's about the organisation's policy making and management that needs serious consideration now."
       SRT management could not be contacted for comment.

BIG ART MONEY IS BACK

2009-10-25T05:25:00.000-07:00

       Got $24 million for a PicassoM The wheeler-dealers have ventured out of the economic closet again.
       A Pablo Picasso painting of his mistress Marie-Therese Walter was on reserve at US$24 million last week as Paris followed London in seeking to convince billionaires that the time is again right to invest in art.
       The Picasso reserve was placed at the VIP preview of the Foire Internationale d'Art Contemporain (Fiac) while collectors such as Bernard Arnault, chairman of LVMH Moet Hennessy Louis Vuitton, and UK-based Fatima Maleki toured the cast iron-and-glass Grand Palais.
       Fiac, France's biggest art fair, also known as the Modern Art International Fair, follows Frieze in Britain, where dealers reported more sales than last year.
       Demand for contemporary art has fallen since Lehman Brothers collapsed in September 2008. Collectors have been choosing discrete private sales rather than risking auctions, where sales have shrunk up to 80 per cent, and prices dropped by more than 50 per cent in some cases, the London-based research company ArtTactic reported last month.
       "There are some incredible pictures available in the art trade," says US-based dealer Richard Gray, who is offering the Picasso work on consignment from an American colection. "This is an opportunity for dealers to show what we can do."
       He wouldn't comment on the chances of it being sold. "A reserve is a reserve until it's paid for."
       The 1934 Picasso painting, "Femme ecrivant", was one of 24 museum-quality, 20th-century works being exhibited in the new "Modern Project" section.
       Arnault and Maleki were joined by other browsers, such as Billie milam Weisman, director of the Frederick R Weisman Foudnation in Los Angeles, and Alfred Pacquement, director of the Pompidou Centre in Paris.
       New York-based L+M Arts is offering Francis Bacon's 1966 "Portrait of George Dyer Talking", priced at about $40 million. Paris-based dealer Daniel Malingue is showing Fernand Leger's between $20 million and $25 million.
       Piet Mondrian's narrow, upright abstract "Composition with Blue, Red and Yellow", dating from 1935 to 1942, was another work to attract an early reserve.
       "It's one of the last great 'transitional' paintings left in private hands," says Arne Glimcher, presenting the Modrain for New York-based gallery PaceWildenstein.
       He wouldn't say at what price it had been reserved. A 1922 Mondrian abstract sold for a record $32.5 million at Christie's Yves Saint Laurent auction at the Grand Palais in February.
       Fiac, which ends today, provides a showcase for more than 200 dealers, the majority housed in the 19th-century Grand Palais, with another 80 who specialise in works by living artists showing in a temporary structure in the Cour Carree of the Louvre.
       Some gallerics have closed, or reduced the number of art fairs they attend in the financial crisis. Twenty-eight dealers pulled out of this year's Frieze. More than 40 galleries that participated in Fiac last year - including London-based White Cube and Sadie Coles - didn't return this year.
       "Fiac has a much more Old World approach to collecting than Frieze," says New York-based dealer Marianne Boesky, who shows pace in Paris. People look at things, talk about them and have a think. There's also a broader base of galleries than at Frieze."
       A Barnaby Furnas painting of rock band the Cure on a floodlit stage was sold to a French collector at the Grand Palais for $275,000.
       New York-based dealer Skarstedt Gallery was one of 63 new participants. Within hours of the fair opening, the gallery had sold five pieces, including a 1988 Richard Prince painting, "A Husband Came Home", priced at $750,000, and a 1985 Martin Kippenberger abstract, whose title translated as "Monument for Boring Frankfurt", priced at $450,000, says Per Skarstedt, the gallery founder.
       "There is demand for established names at the right price," Skarstedt says. "This is a good time to collect. That Prince painting would have been priced at $1.3 million to $1.5 million a year and a half ago."
       "We're cultivating relationships with collectors that are slower, but perhaps more permanent," says gallery director Vanessa Critchell. "At Frieze the action is quicker. You see a lot more bankers and new people. Here you see a lot of French and Belgian collectors. it's closer to Art Basel than Frieze."
       There were plenty of local French collectors at the preview of Fiac's own version of Frieze in the Cour Carree. Prices were generally lower than at the London fair.
       One of the few works to sell for more than 20,000 euros was Jitish Kalat's photographic installation "Cenotaph", commemorating cleared slums in Mumbai.

Japan backs East Asian role for US

2009-10-25T05:14:00.000-07:00

       Japan yesterday backed a US role for the East Asian Community,telling Southeast Asian leaders Tokyo's alliance with Washington was at the heart of its diplomacy.
       Prime Minister Yukio Hatoyama said in talks with Asean leaders there should be some US involvement in the bloc,according to Kazuo Kodama, the spokesman for the Japanese delegation.
       It was unclear how a US role would work. But the comment may help allay concern in some countries that such a body would ultimately fail by shutting out the world's biggest economy.
       "It is too premature to discuss the membership of this long-term envisioned community," the spokesman said.
       In an interview with the Bangkok Post prior to his departure for the summit, Mr Hatoyama said the US-Japan alliance was the fundamental cornerstone of Japanese foreign policy.
       The message was repeated in yesterday's meeting with Southeast Asian leaders.
       The Japanese premier suggested that the proposed cooperation should include areas such as trade, investment finance,education, the environment, disaster management and maritime affairs.
       Australian Prime Minister Kevin Rudd today will push another idea for a new,separate forum of Asia-Pacific nations to respond to regional crises. His idea also includes the United States.
       Washington has stepped up Asian diplomacy under President Barack Obama's administration and fears missing out on such groupings, especially as Japan considers redefining its US security alliance and Beijing expands its diplomatic and trade presence.
       Exactly how Washington would participate is as yet uncertain.
       Asked if Washington would be a member of the community, a Japanese government official said:"It remains unclear. We have to see how multilateral meetings will turn out today." The proposal wasn't elaborated upon, according to Indonesian Trade Minister Mari Elka Pangestu."How the US participates-
       because the US is one of our dialogue partners - we need to think through," said Ms Pangestu.
       Japan used the 15th Asean summit to seek support on the East Asia Community and to promoted its readiness to enhance cooperation with Asean countries,especially those in the Mekong sub-region. Mr Hatoyama will host a meeting with leaders from the Mekong countries including Thailand,Burma, Cambodia, Laos and Vietnam in Japan between Nov 6 and 7 as he wanted to have a close discussion on the development of the sub-region, the spokesman said.
       Mr Hatoyama held bilateral talks with Prime Minister Abhisit Vejjajiva for the first time on the sidelines of the summit.
       The two leaders agreed that Japan and Thailand's economic partnership agreement was still an important tool in helping promote economic growth between the two countries.
       Japan pledged to provide financial assistance to small and medium business corporations of Thailand.

Halloween scares up sales on eBay marketplace

2009-10-25T05:09:00.000-07:00

       Halloween presents business opportunities for Thai sellers on eBay, the world's largest online marketplace and online shopping destination for holiday gifts.
       According to eBay, Thai sellers are taking advantage.
       Most of the products offered by Thai sellers are costumes for parties and events, such as vampire capes, thematic costumes and latex masks.
       Allis Ghim, the Southeast Asia director of eBay, said Halloween-related sales amounted to $4.3 million, or about 144 million baht, in September.
       She noted that buyers typically started shopping for Halloween items on eBay in early August, with the strongest buying activity in the middle of October.
       "Prior to festive celebrations like Halloween, we see spikes in sales of related products on eBay two weeks before the actual day," she said.
       eBay provides such potential for entrepreneurs by connecting to international markets such the US where festive periods such as Halloween and Christmas are highly celebrated events.
       The total September listings for eBay.com topped 450,000, with almost half finding a sale. The most popular words used by shoppers to search for items were Halloween, costume, witch,pumpkin, and black.
       Popular categories for Halloween items listed by eBay sellers are clothing,shoes, accessories, collectibles and crafts.On average, the price of Halloween items sold on eBay was $17.
       Interestingly, the most expensive item sold on eBay in the past month was a "complete Halloween haunted house",which went for $6,001.

GROUP VOWS ACTION AGAINST CAMBODIA OVER PREAH VIHEAR

2009-10-25T05:04:00.000-07:00

       Protesters yesterday threatened to surround the Cambodian Embassy in Bangkok next month unless Prime Minister Hun Sen withdrew his troops and removed the Cambodian community from the disputed area adjacent to Preag Vihear Temple.
       Some 30 people led by the People's Allicane for Democracy (PAD) made a brief protest at Puk Tien bech in Cha-am district, about 10 kilometres from the Asean Summit venue, in response to strong remarks made by Hun Sen this week regarding dugitive ex-premier Thaksin Shinawatra.
       Thailand and Cambodia have been at loggerheads over the disputed area near the Hindu temple of Preah Vihear for a long time, but the issue heated up a year ago when it was listed as a World Heritage Site.
       The issue of Thaksin added fuel to the conflict when Hun Sen said he would make the fugitive ex-premier his economic adviser and would not extradite him to Thailand.
       Such remarks have heightened tensions with the Thai government, which is seeking to apprehend Thaksin, who has been sentenced to a two years' prison sentence in a corruption case.
       The protesters handed over their letter to the Foreign Ministry's director-general of Asean Affairs, Vitavas Srivihok, demanding Cambodian troop withdrawal and the removal of the Cambodian community from the area within a week.
       They condemned Hun Sen's recent remarks and wanted the Cambodian premier to leave Thailand immediately, as he was not attending the Asran Summit in a spirit of goodwill.
       Foreign Minister Kasit Piromya said his government had allowed the protesters to exercise their freedom of expression in accordance with democratic primciples.
       The government will take their demands into consideration and will convey them to the neighbouring country if necessary, he said.
       The government will not however allow one incident to jeopardise relations between the two countries, which have a lot of areas of mutual interest, he said, adding that the government will deal with Hun Sen in a cool manner.
       "We have been together with Samdech Hun Sen the whole day in the [Asean] meeting. I think he participated in every session in a very constructive manner," Kasit said.
       Hun Sen even supported Thailand's intention to be a temporary surveillance unit of the Chiang Mai Initiaitve Multilateralisation, the minister said.
       Regarding Thaksin, Kasit maintained his hope that Hun Sen would be able to distinguish personal affairs from the multual interests of the two countries.
       "I don't knwo whether Prime Minister Hun Sen has invited Thaksin to visit Cambodia after he has served his jail term in Thailand or not," he said.
       If Thaksin were to be in Cambodia before serving his sentence, the government would seek his extradition in accordance with the bilateral treaty, Kasit said.

       They condemned Hun Sen's recent remarks and wanted the Cambodian PM to leave Thailand immediately, as he was not attending the Asean Summit in a spirit of goodwill.

JAPAN TO HOST SUMMIT WITH MEKONG NATIONS

2009-10-25T04:59:00.000-07:00

       Japan will hold the first summit with five countries of the Mekong region next month to build up connectivity and bridge development gaps among them, a Japanese official said yesterday.
       Leaders from Burma, Cambodia, Laos, Thailand, Vietnam and Japan will meet in Tokyo on November 6-7 to discuss development schemes in the Mekong basin.
       Japan is engaged with the Mekong countriems under the framework of Asean-Japan to help bridge development gaps between the newer members of the regional grouping - Burma, Cambodia, Laos and Vietnam.
       Japanese Prime Minister Yukio Hatoyama extended the invitations for the Tokyo meeting to his counterparts from the Mekong region when he met them in Cha-am/Hua Hin.
       He also discussed the matter during a meeting with Prime Minister Abhisit Vejjajiva, who said he was looking forward to the meeting in Tokyo, according to the Japanese government spokesman Kazuo Kodama.
       Hatoyama told Abhisit that both Japan and Thailand are donor countries in the Mekong region and both should play a bigger role in helping development in the region, he said.
       "The major purpose of having this summit is to discuss how the Mekong countries and Japan can best work together to reduce or eliminate the existing disparity between old and new members of Asean," Kodama said. Japan is aware of many existing development schemes in the Mekong basin supoorted by China and the Asian Development Bank under the framework of the Greater Mekong Sub-region as well as Asean's connectivity schemes, he said.
       "Japan is willing to help to stream line the border institution to be more efficient," he added. The issue of connectivity was also at the forefront of topics discussed in the Asean Summit and with the partners from East Asia.
       Connectivity topped the agenda at the Asean-China summit yesterday as Beijing is seen playing a significant role in infrastructure development in the region.
       They also followed up the progress of China's initiatives to promote infrastructure development in Asean, including the US$10-billion (Bt334 billion) China-Asean Fund on Investment Cooperation and $15-billion commercial credit, according to a summit document.
       Thailand expressed its readiness to develop an Asean highway centre and reaffirmed its hope that Asean would develop dual rail tracks across the region, the document said.

King appears in public

2009-10-23T19:43:00.000-07:00

       Well-wishers at hospital given welcome surprise
       His Majesty the King has appeared in public for the first time after spending more than a month in hospital being treated for inflammation of his lungs.
       Hundreds of well-wishers crowding Siriraj Hospital's compound to check for news updates were given a welcome surprise when they saw the King come down from his hospital ward on the 16th floor yesterday afternoon.
       Sitting on a padded electric wheelchair,His Majesty was accompanied by doctors,nurses and security officers.
       "Long Live the King,"cheered the people as the King travelled past lines of well-wishers to pay homage to the statue of King Rama V,his grandfather.
       Yesterday was Chulalongkorn Memorial Day. The nation commemorated the day when King Chulalongkorn (Rama V) passed away 99 years ago.
       Well-wishers, when seeing His Majesty, kneeled to pay their respects. Many were tearful while others yelled out loudly to wish the King a long life.
       The King's unannounced public appearance helped ease the concerns among many people about his health.
       "My worries have now disappeared after living with rumours for weeks,"said Prapai Bunsawan,79.
       Like other people who signed a visitors'book for the King, Ms Prapai urged politicians to stop arguing. Good deeds and a peaceful society would keep the King happy, she said.
       His Majesty, who wore a blue shirt,was looking cheerful yesterday. He talked with doctors occasionally as cardiologist Pradit Panjawinin wheeled him round.
       Dr Pradit is a director for Her Majesty the Queen's Cardiac Centre at Siriraj Hospital.
       The King also went to pay homage to a statue of Prince Mahidol of Songkhla,his father, and a portrait of Her Royal Highness Princess Srinagarindra Boromrajajonani, his mother.
       He also saw the exhibition of his late mother, held to celebrate the 109th anniversary of her birth on Oct 21, before moving on for a sightseeing tour around many areas of the hospital compound.

Diamond sells for $7.7m

2009-10-23T19:40:00.000-07:00

       A square, 32.01-carat emerald-cut diamond that billionaire philanthropist Leonore Annenberg bought for her 90th birthday sold for $7.7 million at auction on Wednesday.
       About the size of a walnut, the flawless,colourless diamond sits on a ring designed by Manhattan jeweller David Webb. It is flanked by two pear-shaped diamonds, one of them 1.61 carats and the other 1.51 carats.
       The ring was offered for sale by Annenberg's estate. Christie's auction house did not identify the buyer, who bid by phone.
       Annenberg died in March at the age of 91. She served as US chief of protocol during President Ronald Reagan's first term - a position that carried the rank of ambassador. Her husband, Walter Annenberg, a billionaire publisher and ambassador to Britain under President Richard Nixon, died in 2002.
       The big diamond "combines the best of the four C's: top colour, perfect clarity,ideal cut and excellent weight," said Francois Curiel, international head of Christie's jewels.
       With the "impeccable provenance of the Annenberg name, you have one of the finest gems to appear on the market for many years," he said.
       Annenberg purchased the ring for herself to mark her 90th birthday, Christie's said. It was delivered by armed guards to her Rancho Mirage, California, home from the Beverly Hills jeweller's store, it said.
       "She was thrilled whenever someone came by to admire it."
       The ring's pre-sale estimate was $3 million to $5 million. The previous auction record for a 30-carat square cut flawless, colourless diamond was $3.1 million, set at Christie's in Geneva in May.
       The record for any diamond or jewel at auction is $24.3 million for the 17th century cushion-shaped grayish-blue 35.56 carat Wittelsbach Diamond. It was sold at Christie's in December 2008, topping the previous record of $16.5 million for a 100-carat diamond sold in 1995 in Geneva.
       In May, a rare 7.03-carat blue diamond sold at Sotheby's for $9.5 million - the highest price ever for a gem of its kind.

Civil-society leaders slam Asean govts over snub

2009-10-23T19:37:00.000-07:00

       Asean's civil-society activists yesterday strongly condemned Asean governments for mistreatment of their representatives.
       They accused the governments of poor treatment and disrespect by rejecting five of their 10 representatives from an informal meeting with the leaders and "gagging" five others who were allowed to attend.
       Three of those allowed to attend - Sawart Pramoonsilp from Thailand, Yuyun Wahyuningrum from Indonesia and Moon Hui Tah from Malaysia - walked out of the "interface" meeting in protest to show solidarity with their colleagues from Burma, Cambodia, Laos, the Philippines and Singapore who could not attend.
       "We feel strongly that the rejection of our democratically selected representatives is a rejection of both civil society and the democratic process," the group said in a statement released yesterday.
       The activists were informed by the Foreign Ministry shortly before midnight on Thursday that the five would not be allowed at the meeting, according to the statement. Those who could attend were told to be ready to be picked up at 7am yesterday, nearly five hours before the scheduled meeting around noon.
       The civil-society groups said the latest move by certain governments of Asean was "fundamentally undermining the spirit and content" of the Asean Charter that was approved and became effective since last December. The charter promotes the idea of a people-centred Asean.
       "We are deeply disappointed at the irresponsibility and apparent irrationality of the governments' position," the statement said. "We plead with these leaders to stop trying to kill the spirit of an Asean community. Such moves not only hurt the development of the region but also the credibility of individual member states and Asean as a whole." Yesterday's informal meeting, lasting about 30 minutes, went ahead as planned around noon at the Dusit Thani Hua Hin Hotel in Phetchaburi's Cha-am district. Government leaders met with civil-society representatives from Singapore, Burma, Brunei and Vietnam. Singapore and Burma selected substitutes for the activists from the Asean people's forum who were rejected.

HONDA PROMISES THAI HYBRID, AWAITS TAX BENEFITS

2009-10-23T19:32:00.000-07:00

       Honda Motor president Takanobu Ito has confirmed the launch of a hybrid car in Thailand, although he did not disclose which model and when it would be sold.
       "Hybrid vehicles need incentives from governments. Sales of hybrids are high in Japan because the government gives special tax cuts. We must see the tax benefits given by the Thai government," Ito said at the 41st Tokyo Motor Show yesterday.
       Honda would have four hybrid models to choose from. The most popular is the Insight, which has seen impressive sales figures in Japan and other developed countries.
       The next likely vehicle is the Civic. The next smaller option is the Fit, set to be launched in Japan next year.
       Finally there is a model Honda has not revealed yet, although it has said the car will be larger than the Civic and the Insight. It is possible this will be the Accord Hybrid.
       A Honda Automobile insider said if the company was going to sell a hybrid model then it wanted it to be accessible to many people.
       "There is no point having a hybrid product that cuts CO2 by 50 per cent but is driven only by 1,000 people. A product like the hybrid can be considered a success only when it is used by many people," he said.
       This hints that Honda is planning a hybrid in the mass-market segment. Launching a product like the Honda Accord will not help, as it would be in direct competition with the Camry. A vehicle the size of the Accord also could not generate large sales.
       Toyota said it plans to sell 4,000 hybrid Camrys by year-end.
       At the Tokyo Show, Honda displayed various electric vehicles under the concept HELLO, which stands for "Honda Electric mobility Loop". They included the EV-N concept car along with motorcycles and other personal mobility vehicles.
       On another stand was the CR-Z hybrid, which will be sold in Japan, the US and Europe next year. The production model will make its world premiere at the Detroit Auto Show in January. This model will unlikely be considered for the Thai market due to its sporty nature.
       Ito said Thailand was a very important production base for Honda no matter what political uncertainty the country faced. "This importance is shown by the fact that the PCX scooter will be produced at our motorcycle plant in Thailand. It will be the first country where the model will be launched and from there it will be exported worldwide.
       "We have also established a motorcycle R&D centre in Thailand. An automobile R&D centre will also be opened soon," he said.
       Honda Thailand has revised its sales forecast upwards by 5 per cent to 84,000 units this year, due to the increased popularity of smaller cars and the government's economic stimulus package.
       For the first nine months, Honda has sold 62,999 vehicles, only 1.5 per cent down from the same period last year. Honda is the auto brand that has been least affected by the economic downturn due to its strong passenger car line-up.

DON'T BE A PAWN, PM TELLS HUN SEN

2009-10-23T19:29:00.000-07:00

       Abhistit reacts to remarks ruling out extradition of Thaksin and proposed economic role for ex-PM
       Prime Minister Abhisit Vejjajiva yesterday hit back at Cambodian Premier Hun Sen, urging him to respect the dignity of Asean by focusing his attention on how to help the 10-member regional grouping reach its stated goals.
       "As Prime Minister Hun Sen comes to the Asean meeting, he should help the meeting reach its goals," Abhisit said.
       The statement was in response to Hun Sen's controversial announcement that Cambodia would not cextradite Thaksin Shinawatra to Thailand. where the fugitiveex-PM faces criminal carges, should he seek refuge there.
       Hun Sen also announced on arrival yesterday in Cha-am the he would make the ex-premier his economic adviser.
       Hun Sen compared Thaksin to Burmese pro-democaracy leader Aung San Suu Kyi, asking rehetorically why he should not talk about his friend when everybody is allowed to talk about the detained winner of the Nobal Peace Prize.
       Besides, said Hun Sen, millions of Thais support Thaksin and on Cambodian should not be a problem.
       Abhisit urged his Cambodian counterpart to review whether his decision would benefit the national interests of the two countries or just one individual.
       "Don't allow any body to use you as a pawn." Abhisit told a pressbriefing, which was supposed to focus on the outcome of the Asean meeting.
       Abhisit said extradition is a legal decision, which needs inputs from all partes to prove whether it is really a political asce or a normal crime of corruption.
       "It is a process to prove informantion by all parties, and we shall not make any prejeudgement," he said.
       Hun Sen made his public statement shortly after arriving in Chaam to attend the 15th Asean Summit.
       He cited Article 3 in the extradition treaty with Thailand, which prohibits sending any persons to face punishment for a political offence.
       His statememtn, the strongest and most cotroversial yet, raised tensions tha have been brewing for more than a year because of a dispute abou the overlapping territory around the ancient Preah Vihear Temple.
       Hun Sen Defended his decision to make Thaksin an economic adviser, insisting that is should not be considered intervention in Thialand's internal affairs.
       "It is not interference in Thai interal affirs but it is a political right of the sovereign staet of Cambodia," he said.
       Many people are talking about Suu Kyi in Burma but why are they not talking about Thaksin as a victim, he said.
       Hun Sen said he had made no complaint when Cambodia's opposition leader Sam Rainsy issued a statement against his government a few weeks ago in Thailand.
       Abhisit said Hun Sen should not compare Thaksin with Suu Kyi, as nobody would agree with such a comparison. It was the common stance of Asean to call for the release of Suu Kyi and Hun Sen might have wrong informantio about her situation, he added.
       Hun Sen said he had simply offered moral support to Thaksin as a friend.
       "Millions of Thai people in the red-shirt movement support Thaksin and why can't I, a fried from afar, support Thaksin. Without the coup d' etat of 2006, such things would not have happened," he said.
       Minutes after Abhisit concluded his statement, Thaksin sent a statement through Twitter, telling him not to be fdisrespectful to foreign leaders, including Hun Sen, and that, as the the host of the summit, he should place the interest of the nation above politics.

Cries of joy as King makes public appearance

2009-10-23T19:26:00.000-07:00

       To the delight of all Thais, His Majesty the King yesterday appeared in public at Siriraj Hospital, where he has been receiving treatฌment for 34 days.
       Watched by a large crowd of well-wishers, the monarch, in a bright blue shirt and a pair of dark trousers, travelled in a wheelchair from the Chalerm Phra Kiat building towards a statue of King Rama V, his grandfather, in the nearby Siammintr building, to pay his respects.
       His Majesty was marking Piya Maharaj Day, which honours the late king.
       The King then paid his respects to Her Royal Highness Princess Sri Nagarindra, the Princess Mother, before her statue at the nearby Centennial Pavilion. A large number of well-wishers, many brimming with tears of joy, hailed "Long Live the King" during his 20-minute stay in the grounds of the hospital compound.
       His Majesty smiled at the crowd and paused briefly to chat with some of them along the way. He then returned to the Chalerm Phra Kiat building to continue his treatment.
       The Royal Household Bureau issued its 33rd statement on Thursday, saying His Majesty the King's condition remained good as he had gained strength and could now sleep and eat normally. Medication would be further administered, and, at a later stage, supplementary food would be given to the monarch, said the statement, which the bureau said was the last concerning details of his symptoms and doctors' treatments.
       At the Asean Summit in Hua Hin, Singapore Prime Minister Lee Hsien-Loong signed a get-well message at a hotel hosting the event, giving "the highest respects to His Majesty on behalf of the Singapore government and people", and "wishing him good health and speedy recovery."
       People began converging at Siriraj since early morning, because they had earlier heard that the monarch would show up, coupled with the fact it was a public holiday.
       Among those who signed get-well messages were a representative of Prince Albert of Monaco, the newly-appointed Thailand national football team coach Bryan Robson and all members of the national squad, and freshly-crowned Miss Teen Thailand 2009 Stephanie Avanik and two runners-up.
       Others who signed get-well messages were 117 novice monks from a temple in Chachoengsao province who were ordained to make merit to His Majesty. Robson said he realised how Thai people revered and respected His Majesty and admired the way they showed their respect for him.
       Somthawil Chuang-arun, 78, who came with her daughter and grand-daughter, said it was a blessing for her as it was the first time she had seen His Majesty.

"Time to act"

2009-10-23T19:23:00.000-07:00

       At the start of the summit today, Prime Minister Abhisit Vejjajiva will urge Asean countries to focus their energy on their citizens in what Thai government sources described as a "do-or-die" message to regional leaders.
       It is only through such focus that Asean can maintain its relevance, especially since it has been under attack recently in terms of its human-rights standards, slow progress in trade liberalisation and conflicts among members.
       Abhisit's message, which will kick-start the three-day summit in Cha-am, will call on the grouping to maintain its standing in the globalised world, be responsive to the well-being of its citizens and commit itself to the Asean Community. Efforts must be action-oriented and connected in all spheres, he will say.
       This is the first time that the prime minister will be sharing his vision of the Asean Community, which will come into being in 2015. An informed source said that now the crisis is under control and Abhisit has recovered from the mishaps he went through as the Asean chair, it was time for him to share his thoughts on the future of the grouping. "It is a do-or-die message," added the source.
       Abhisit, who was only three years old when Asean was established, thinks the Asean Community should be action oriented so it can respond to any challenges in terms of regional security or the well being of its citizens.
       While he has been contending with progress and the achievements of Asean in handling both global and regional challenges - including the financial crisis, pandemics, climate change, food and energy security - he believes a better institutional structure would help the grouping make prompt decisions and execute them more effectively.
       The source said that one way of doing this is to ensure that Asean Secretary-General Dr Surin Pitsuwan explains to the leaders the pivotal issues that need attention and decision. After the Asean Charter came into force last December, the grouping's chief role and responsibility has expanded to include humanitarian operations as well.
       For the Asean Community to remain vibrant, Abhisit believes the nations and their 600 million citizens should be interconnected. He also envisages the free flow of goods and services as well as investment and initiatives within Asean in 2015.
       The Asean chair will also push for the need to improve the grouping's infrastructure and information as well as communications technology to bring all members closer and at the same time allow Asean citizens to reach out and get to know each other better.
       "Abhisit wishes to see the Asean people connected in their hearts and minds. He wants to make Asean work for the Asean people," said the source, who asked not to be named because he was not authorised to speak.
       Over the past one year, Thailand has been pushing Asean to continue its engagement with the citizens and civil societies. The source said that Abhisit would also be touching on the issue of human rights in Asean, and would express hope that in the future, when "comfort levels" among Asean members increase, the role of the Asean Inter-governmental Commission on Human Rights would be further enhanced.
       After the opening session in the morning, the Asean leaders will hold informal meetings with representatives from various groups, including lawmakers, youth and civil-society organisations, which has become a routine at Asean summits.

HM getting stronger

2009-10-23T19:20:00.000-07:00

His Majesty the King's condition is stable, according to the latest statement from the Royal Household Bureau.
"His physical strength has increased. His sleep and food intake is normal," the bureau announced yesterday. It added that doctors would continue giving antibiotics to His Majesty until the course is completed.

Diplomacy is the order of the day

2009-10-23T19:17:00.000-07:00

       Thailand will overlook Cambodian Prime Minister Hun Sen's remarks favouring Thaksin Shinawatra when the country hosts the Southeast Asian summit from today.
       Foreign Ministry spokeswoman Vimon Kidchob said Hun Sen's offer of a place in Cambodia for ousted prime minister Thaksin to stay will not disrupt the atmosphere at the Asean summit hosted by Prime Minister Abhisit Vejjajiva.
       Mr Abhisit's duty as the Asean chairman was to push for the grouping to become one community, she said.
       "We are confident that we will push the meeting towards success for the future of the grouping," Ms Vimon said.
       The Cambodian prime minister's remarks were made in a private meeting with Puea Thai Party chairman Chavalit Yongchaiyudh on Wednesday.
       Today he will be in the same room as Mr Abhisit and other Southeast Asian leaders when the summit begins.
       But the Cambodian strongman is one of the four leaders who will miss the opening ceremony because he has to welcome South Korean President Lee Myung-bak to Phnom Penh.
       Other leaders to arrive at the summit later today are Indonesian President Susilo Bambang Yudhoyono, Malaysian Prime Minister Najib Razak and Philippine President Gloria Arroyo who also have engagements in their own countries.
       Today, representatives of nongovernmental organisations in Southeast Asia plan to meet with Asean leaders.
       The meeting is expected to see some hiccups as Khin Omar, who represents Burma, was rejected by NGO leaders at the previous summit in February.
       Initially, NGOs from Burma had chosen Shwe Shwe Sein Latt to represent civil society but that was contested by groups in exile who finally put forward Khin Omar as their choice.

King "gains strength"

2009-10-23T19:14:00.000-07:00

His Majesty the King's general condition is stable and he is regaining his strength, the Royal Household Bureau says.
The bureau said it would no longer release daily updates, but would issue a statement if there was a change in his condition.

Chavalit, a man on a mission

2009-10-23T19:11:00.000-07:00

       Ex-PM has four major plans to save Thailand When Gen Chavalit Yongchaiyudh decided to join the opposition Puea Thai Party as its chairman, many political observers believed his mission was to pave the way for ousted prime minister Thaksin Shinawatra to return home.
       Gen Chavalit gives an exclusive interview to the Bangkok Post at his Nonthaburi condo. TAWATCHAI KEMGUMNERD
       He does not deny that, but says forgiveness is the first step to national reconciliation.
       However, whether Thaksin comes home to serve his jail term or not is another issue. ''What I want to see is all of the conflicting parties forgive each other,'' Gen Chavalit said.
       Thaksin was sentenced to two years in jail after being found guilty in a case that resulted from his former wife, Khunying Potjaman na Pombejra, purchasing a block of land from the Financial Institutions Rehabilitation Fund.
       Gen Chavalit, who announced his retirement from politics about a year ago when he resigned as deputy prime minister in the Somchai Wongsawat administration, said he decided to return to politics because he thought the country was breaking apart and he had to help stop that happening.
       Bringing reconciliation to the country was one of the four missions he aimed to complete, and the forming of a ''national government'' was the only way to do that, Gen Chavalit told the Bangkok Post in an exclusive interview yesterday.
       Although Gen Chavalit did not say it specifically, he implied he believed there would be a general election very soon and the Puea Thai Party would win the most seats in the House. ''Then I would offer all of the parties [the opportunity] to join a coalition government and that would be the only way to bring reconciliation to the country,'' he said.
       On the rift between the red and yellow shirts, Gen Chavalit said he had come up with his ''spark of fire in the field'' theory. ''If you spark fires in a scattered fashion in a field, the fire will eventually light the whole field,'' he said.
       Gen Chavalit said he had been encouraging small groups of red and yellow shirt supporters in many areas to sit down and settle their political differences, which he believed would be followed up by a settlement of their divisions on a larger scale.
       If the conflicts were not resolved, they could eventually develop into bloodshed, he said.
       Earlier, Gen Chavalit had offered himself as a ''middle link in the chain'' to bring the two conflicting groups together, but his offer was ignored.
       Gen Chavalit said he had not paid attention to the present charter amendment bid as he did not believe it would be able to bring about reconciliation.
       The second mission he had set out to complete was to prove to the public that Thaksin and his followers were loyal to the monarchy.
       The third mission was to end the unrest in the South. He is scheduled to go to the region and hold ''secret talks'', but he declined to elaborate.
       Gen Chavalit also planned to meet Malaysian Prime Minister Najib Razak early next month.
       ''The unrest in the South is one of the main concerns for the country's security as outside organisations are stepping in to intervene, so we have to solve it urgently before it becomes more complex,'' he said.
       The last mission was to help settle all misunderstandings between Thailand and neighbouring countries.
       He defended his recent visit to Cambodia as part of this mission as he and Cambodian Prime Minister Hun Sen have been friends for a long time. As friends, he said, it was easier to settle disputes between the two countries.
       Thailand and Cambodia are in dispute over the area surrounding the ancient Preah Vihear temple.
       He also plans to visit Malaysia next month and Burma later.
       When asked why he had set the missions only after joining Puea Thai, Gen Chavalit said it needed political status to support the moves to complete the missions.
       ''But I really want to help save the country, and not cause any uneasiness for the [Democrat-led] government.''
       Gen Chavalit could not say when the missions would be completed, but he would try his best to achieve success as quickly as possible.

CIMB THAI BANK SELLS ITS SATHORN OFFICE

2009-10-22T01:28:00.000-07:00

       CIMB Thai Bank yesterday sold its office block on Sathorn Road for just over Bt1 billion to an undisclosed buyer. The deal will be completed in December.
       "We're pleased with the sale price, which we believe reflects the fair value of the property," said president and CEO Subhak Siwaraksa. "This sale forms part of the bank's rationalisation exercise to improve efficiency and reduce costs.
       "We're operating with excess space at the moment, as the bank's office operations in Bangkok are spread between its buildings on Sathorn and Soi Langsuan. By early next year, we'll all be operating from one site in the Langsuan building."
       The bank's board approved the sale of the Sathorn building earlier this month after an extensive bidding process attracted 20 interested buyers. The 2,706-squaremetre property consists of a 26storey tower block and a threestorey building.
       Customers with accounts at that branch can continue to do business there until further notice.
       CIMB Thai Bank, formerly known as BankThai, was acquired by the CIMB Group in January. As of June 30, it had Bt134 billion in assets and Bt7.1 billion in shareholders' funds.

Nok Air ticket sales take off at SF Cinema

2009-10-22T01:25:00.000-07:00

       SF Cinema City yesterday announced the launch of a new ticketing service for low-cost carrier Nok Air, marking the first time cinema box offices have sold airline tickets in this country.
       The company is negotiating with another three service vendors over providing ticketing and bill payment services, which are considered a value-added feature of its core cinema business.
       Suvit Thongrompo, managing director of SF Cinema City, yesterday said the ticketing service offered for Nok Air would cater to the lifestyle of urban people, who demand one-stop services and convenience. It will provide win-win benefits to both Nok Air and SF Cinema City, both of which are able to provide better services to customers.
       "For SF, we would like to provide a service for tickets that are beyond just movie tickets. We are quite ready in terms of ticketing system and IT, as well as a strong cinema exhibition network," he said.
       Suvit added that under the strategic partnership, consumers would be able to buy Nok Air tickets at all 11 SF Cinema's box offices in Bangkok and another two in Phuket.
       "We have conducted a soft launch for Nok Air ticketing service since the beginning of this month, getting a very good response from customers. About 300 Nok Air tickets, worth Bt500,000 in total, have been sold so far through our box offices," said Suvit.
       Patee Sarasin, CEO of Nok Air, said a cinema represented a good location because it is where family members spend time together. At theatres, they can discuss holiday plans and make final decisions on where they want to take a weekend trip together - and can now also buy air tickets immediately.
       Nok Air provides domestic routes to seven provinces: Chiang Mai, Udon Thani, Nakhon Si Thammarat, Hat Yai, Phuket, Trang and Surat Thani.
       Suvit said SF Cinema City provided its own theatre ticketing services via four major channels - box office, online service, mobile telephone and call centre.
       "We expect to sell 1.2 million movie tickets this year, which is up 20 per cent over last year," he said.
       "It is a good sign that many of our strategic locations like SF World Cinema at CentralWorld, which has 15 theatre screens, have performed very well with 20-per-cent year-on-year growth in ticket sales so far this year."
       He added that the company had opened SF Cinema complexes in six new locations this year. The latest complexes will be opened on October 28 in Bang Saen, and at CentralPlaza Khon Kaen on December 3.
       "We will also open cinemas in two or three new locations in Bangkok and upcountry next year. The investment will be between Bt20 million and Bt30 million per theatre," said Suvit.
       He added that the company would also renovate theatres at MBK shopping centre, Central Lat Phrao and The Emporium.
       Suvit said SF Cinema City had achieved year-on-year growth of between 12 and 13 per cent in ticket sales in the first nine months of the year.
       The company, however, expects to achieve better growth of more than 30 per cent year on year in the fourth quarter, driven by a strong line-up of expected Thai and Hollywood blockbusters, such as "2012", "The Twilight Saga: New Moon", "Avatar", "Yam Yasothorn 2" and "Ong-Bak 3".
       The overall cinema industry is expected to grow about 10 per cent this year in terms of ticket sales, Suvit said.

STATE-ENTERPRISE UNIONS BACK RAIL WORKERS' ANTI-PRIVATISATION STANCE

2009-10-22T01:08:00.001-07:00

       A group of state-enterprise labour unions yesterday expressed support for the beleaguered State Railway of Thailand's anti-privatisation stance as southbound service resumed following a five-day strike.

       Last Friday, the SRT's union claimed workers went on strike because of a lack of safety on southern routes.
       However, another major reason behind the work stoppage, which seriously hurt train commuters and cargo services, came to light yesterday: to derail the government's plan for partial privatisation of SRT operations.
       The Cabinet is due to consider a Transport Ministry proposal in the next few weeks that would require the SRT to set up a company to run the new Airport Rail Link between central Bangkok and Suvarnabhumi Airport.
       The SRT would also set up another company to manage its vast properties nationwide.
       Sirichai Mai-ngam, head of the Electricity Generating Authority of Thailand's labour union, said 43 state enterprises agreed at yesterday's meeting to back the SRT's anti-privatisation stance.
       "This privatisation programme would only lead to huge financial benefits for certain interest groups," he said in explaining why the unions were joining forces to oppose the plan.
       However, Phien Yongnoo, head of the Metropolitan Electricity Authority's labour union, said the SRT's labour union should not hurt the general public as it did by going on strike.
       "It's unacceptable to strand so many passengers. The image of state-enterprise labour unions was badly damaged by this act. The SRT's union should be more honest with people. Our position is to ensure the innocent are not held hostage by any protest attempt," he said.
       Meanwhile, the first Bangkok-bound train left Hat Yai railway station in Songkhla province yesterday afternoon after hundreds of police and military were deployed to end the five-day-long strike.
       Provincial governor Winyu Thongsakul said the SRT's union also let four locomotives leave Hat Yai for repair in Bangkok.

THE LAST FORTRESS

2009-10-22T01:04:00.000-07:00

       In one of the biggest security lockdowns in recent history, the government will place more than 36,000 security forces on high alert under the Internal Security Act to protect 16 leaders attending the annual Asean Summit that starts tomorrow in the Hua Hin/Cha-am area.
       Having lost face in April, the Abhisit Vejjajiva administration cannot afford another embarrassment, and thus the security troops are basically the last line of defence fro the government's reputation.
       In addition to the expansive deloyment, authorities have set up several escape routes by land, air and sea, said Panitan Wattanayagorn, acting government spokesman and deputy secretary-general to the PM.
       Speaking ot reporters from the Nation Multimedia Group, Panitan said half the 36,000 security personnel would be dispathed to the Cha-am/Hua Hin area and the other half throughout Bangkok.
       "It is believed people looking to create disturbances might cause incidents in Bangkok to divert attention away from the summit," Panitan said.
       Panitan said security officials had been mobilised from the national police and all branches of the armed forces. They have been instructed to watch for a wide range of potential problems, from ovements of people to explosive materials that could be used in a car bomb.
       The government has purchased at least 20 armoured cars to provide security for the leaders, Panitan said.
       The tight security measures follow the leaders, Panitan said.
       The tight security measures follow the embarrassing incident from April 11-12, when supporters of ousted prime minister Thaksin Shinawatra stormed the venue of a summit venue in Pattaya, forcing the leaders to run for their lives and other leades to turn back to their home countries while still flying in.
       Panitan said the nine tambons around the summit venues and sensitive areas in Bangkok would be placed under the ISA. Specific guidelines with clear-cut rules of engagement have been issued to the security forces, Panitan said.
       Panitan said the security setback at the Pattaya summit had been partially caused by security details under various commands without proper guidelines to contain the anti-government red-shirt protesters.
       Panitan said besides the high presence of security in the Cha-am/Hua Hin area, government agents were following up on leads, some from the ordinary citizens, about movement of red shirt in the area.
       When asked if the authorities had pinpointed the exact location of Arisman Pongruangrong, the anti-government leader who led the sabotage of the April Asean Summit, Panitan said: "We have detected some signals but are still looking for him."
       The chaos in Pattaya followed the cancellation of an earlier Asean Summit supposed to be held in Bangkok after the anti-Thaksin yellow shirts blocked Bangkok's airports for nine days late last year.
       Panitan said it was of the utmost priority to ensure the upcoming summit went smoothly, because that would restore Thailand's reputation in the international arena and put an end to the ghost of Pattaya once and for all.
       The fact that all Asean leaders, including their counterparts from India, China's South Korea, Japan, Australia and New Zealand, have agreed to take part in the summit indicates not only how serious they take Asean as a regional body, but their trust in Thailand's ability to host the event. The Kingdom is the current chair of the Asean Standing Committee.

His Majesty's lung inflammation eases

2009-10-22T01:01:00.000-07:00

His Majesty the King's overall condition has improved, according to the latest statement from the Royal Household Bureau.
"Blood tests show that his lung inflammation has eased," the statement said. "His Majesty can eat and sleep well."

Rail union fails to win support for all-out stoppage

2009-10-22T00:58:00.001-07:00

       The State Railway of Thailand labour union has failed in a new bid to get the backing of other state enterprise unions to bring train services to a grinding halt.
       One state enterprise union said SRT workers could not hold the people hostage.
       The rail union yesterday met the State Enterprise Labour Relations Confederation, an umbrella group of the 43 state enterprise unions. It asked the SERC to support its suspension of train services.
       SRT labour union leader Suwit Kaeowan refused to speak afterwards,asking SERC deputy secretary-general Amnart Palamee to provide details.
       Mr Amnart said the meeting agreed to five demands: for the government to order the SRT to repair all trains within a month based on the SRT union's proposed budget of 100 million baht; that SRT executives must take responsibility if there are accidents before the repairs are complete; that SRT train drivers on southern routes do not have to work if the trains have not been completely repaired; that SRT management must not bring in retired drivers and SRT engineering students to drive the trains;and that the SERC will call an assembly on Monday if the demands are not met.
       An assembly will likely mean a major strike at state enterprises.
       Metropolitan Electricity Authority union leader Pian Yongnu said the union had a firm stance that any action must not hurt the public. He disagreed with the rail strike, saying it had caused distress to passengers.
       Stranding thousands had badly affected the whole state enterprise labour union movement, he said.
       It is not known exactly how many state enterprise unions have pledged their support for the SRT union.
       Transport Minister Sohpon Zarum yesterday said all south-bound trains would resume today and extra free commuter trains on all southern routes would be arranged for people wanting to return home during the long public holiday weekend.
       The SRT has sent staff to Hat Yai railway station to take back four trains seized by the SRT union's Hat Yai branch.

Hun Sen insists on troop cut

2009-10-22T00:52:00.000-07:00

       Cambodian Prime Minister Hun Sen is renewing calls for troops to withdraw from the disputed area near Preah Vihear temple and insists the matter should be settled through negotiation.
       Hun Sen yesterday told opposition Puea Thai Party chairman Chavalit Yongchaiyudh in Phnom Penh Cambodia wanted the Joint Boundary Commission to come to an agreement on the area claimed by both Cambodia and Thailand.
       "Thailand and Cambodia are friends and will always be friends," Gen Chavalit quoted Hun Sen as saying.
       The JBC could begin negotiations once the troops withdrew, including possible talks on how to jointly develop the overlapping area, Gen Chavalit said.
       The former prime minister held talks with Hun Sen during a one-day visit ahead of the Asean summit which starts tomorrow.
       Hun Sen's position contradicted that of his foreign minister. Hor Namhong
       last week said he would seek help from Asean to settle the land dispute.
       Asean Affairs Department director-general Vitavas Srivihok yesterday said the leaders of Indonesia and Malaysia would not join the summit opening ceremony tomorrow but they would join the meeting later in the day.
       Indonesian President Susilo Bambang Yudhoyono was caught up with the formation of his new cabinet and Malaysian Prime Minister Najib Razak had to present his budget policy to the parliament, he said.
       The summit in Cha-am and Hua Hin will be held amid tight security as a result of concerns about antigovernment protests.
       The United Front for Democracy against Dictatorship has said it would decide today whether its members would rally at the summit.
       GAINING ACCESS
       Motorists passing through Cha-am and Hua Hin over the next four days while the Internal Security Act is in effect for the Asean summit are required to carry a special sticker.
       1 To register online before travelling go to www.15thaseansummit-th.org
       2 Motorists registering in Bangkok can pick up their sticker at the Cha-am national park office, tel 032-433661. Those travelling from the lower South can pick up the sticker at Hua Hin Vitthayalai School, tel 032-51123.
       3 Travellers who have not registered in advance can register and receive a sticker from the above-mentioned outlets.
       4 Those registering at the above outlets will need to present their car licence book, ID card and driver's licence.
       5 Travellers are advised to use the Cha-am-Pran Buri bypass highway.

King better

2009-10-22T00:50:00.001-07:00

His Majesty the King's general condition is satisfactory, the Royal Household Bureau says.
A blood test revealed the inflammation in His Majesty's lungs had lessened. His appetite is good and he can sleep well.

Cambodia offers home to Thaksin

2009-10-22T00:46:00.000-07:00

       Ousted prime minister Thaksin Shinawatra has been offered a home in Cambodia by Prime Minister Hun Sen, Puea Thai Party chairman Chavalit Yongchaiyudh says.
       Gen Chavalit yesterday paid a oneday visit to Phnom Penh and said Hun Sen was willing and prepared to host Thaksin if he wished to visit Cambodia.
       He said arrangements had been made to welcome the ousted prime minister who has fled a two-year jail term for malfeasance in the Ratchadaphisek land purchase.
       Gen Chavalit said Hun Sen was full of praise for Thaksin and expressed sympathy for the "political injustice"he suffered in Thailand.
       "He [Hun Sen] feels Thaksin is not fairly treated, politically," Gen Chavalit said."Despite having contributed to the country, he has no place to stay.Hun Sen is in pain even though he is not a Thai.
       "So he feels the need to make it publicly known he and Thaksin have always been friends."
       Gen Chavalit quoted Hun Sen as saying "Thaksin is welcomed in Cambodia".
       AFP also reported that state-run TVK said the Cambodian prime minister made the invitation during a private meeting with Gen Chavalit.
       If "former Thai prime minister Thaksin Shinawatra wishes to travel to Cambodia anytime ... the Cambodian prime minister is ready to prepare a residence for [his] stay in Cambodia",the television channel reported.
       Thaksin spends most of his time in Dubai since fleeing the country.
       Gen Chavalit's one-day visit to Phnom Penh was at the invitation of the Cambodian prime minister. He was greeted by Cambodian Defence Minister Tea Banh.
       The Cambodian prime minister also sought to bolster relations between his ruling Cambodian People's Party and Puea Thai, an official in the Chavalit delegate said.
       Gen Tea Banh was assigned as a coordinator for the Cambodian People's Party while Gen Wichit Yathip was named a coordinator for the Thai side,the official said.
       Hun Sen's invitation came days after Gen Chavalit joined the opposition party - a reincarnation of the two dissolved People Power and Thai Rak Thai parties.
       Gen Chavalit's joining of Puea Thai was followed by a parade of some 50 former classmates of Thaksin from Class 10 of the Armed Forces Academies Preparatory School to the party.
       Hun Sen's remarks are likely to frustrate the Thai government which has tried to establish Thaksin's whereabouts to facilitate its attempt to extradite him and make him serve his two-year jail term.
       The remarks are also considered untimely ahead of the Asean summit which starts tomorrow.
       Gen Chavalit played down speculation that Hun Sen's comments could cause a further deterioration in relations between the two countries. Border tensions have simmered in past months over the Preah Vihear temple issue.Both countries lay claim to the overlapping areas of 4.6 square kilometres near the temple ruins.
       "The country's disputes will have to be dealt with. The relationship between Hun Sen and Thaksin is another matter," Gen Chavalit said.
       Prime Minister Abhisit Vejjajiva said before Gen Chavalit's departure to Phnom Penh the meeting between the Puea Thai chairman and Hun Sen was "normal".
       "Such a meeting is normal," he said."I have once visited the Cambodian government [as part of] an opposition party," the prime minister said.
       Mr Abhisit said he did not think the government's authority would be overshadowed by the opposition because it was clearly known who was the government and who was on the opposition bench.
       Gen Chavalit said the government should not be concerned about his trip. It was a private visit, not a state affair, he said.

Train troubles "another black mark" as many cancel their travel plans

2009-10-20T20:25:00.000-07:00

       The crippling train strike has inflicted another blow on the already beleaguered tourism industry, as scores of package tours have been cancelled while the legendary Oriental Express luxury rail cruise had been held up.
       Contrasting Tourism Minister Chumpol Silapa-archa's insistence yesterday that the tourism industry was immune to the work stoppage, Association of Domestic Travel president Maiyarat Pheerayakoses said it added yet another black mark to the country's image and coudl further discourage foreign visitors.
       "This will hurt our reputation. This will be another factor ruining the industry," she said.
       The Oriental Express train from Bangkok to Singapore with 69 foreign tourists on the 10-carriage train faced an hour's delay.
       At first, it was unclear if they would be allowed to pass through Hat Yai train station to the southernmost point of Thailand and continue into Malaysia. The train finally left Surat Thani train station at 1.40pm.
       Charoen Wangananont, managing director of Kangwal Tour, a major domestic tour operator, said many local and foreign tourists had cancelled their traval plans between Bangkok and the South. Many families had given up on taking the children to see Bangkok by train during the school break, including one of Charoen's relatives.
       Some holidy-makers, intending to head to famous resort destinations like Surat Thani, Koh Samui and Phuket right after landing at Suvarnabhumi Airport, remained stranded in the capital, he said.
       "Travellers use trains more than buses. We'll see very soon how the problem will damage the tourism industry in the South," he said.
       The paralysis of long-haul land travel comes at a time when the country is entering the high tourism season.
       Prapas Intanapasat, director of the Tourism Authority of Thailand's Hat Yai office, said some Malaysian tourists had been asking for updates on the situation, although not many Singaporean and Malaysian visitors to Songkhla used train services.
       Songkhla Chamber of Commerce chairman Surachai Jitpukdeebodintra said the disruption hurt both domestic commuters and local vendors, as well as shipments of commodities like oil and and cement.
       The labour union should call off their walkout as soon as possible and resort to other means to achieve their demands, he said.
       Industry Minister Charnchai Chairungrueng said the impact had so far been slight on industry, which relied more on lorries and air freight for transport.
       The exact toll should be known next week, as the Federation of Thai Industries is gathering damage estimates from members.

SERVICES TO RESUME TODAY AS GOVT READY TO DEPLOY FORCES

2009-10-20T20:22:00.000-07:00

       All trains, including those on southern route, will resume normal operations today, as the government is ready to deploy police and military forces to end the five-day strike that has inconvenienced commuters and other travellers and disrupted goods shipments.
       State Railway of Thailand (SRT) chairman Tawalyarat Onsira said workers at all main stations, apart from those in Hat Yai, had agreed to cooperate.
       Patrol police will escort trains past Hat Yai, where most of the rebellious union members are stationed, to the southernmost station in Sungai Kolok, in Narathiwat province.
       "The southern trains had been stopped at Surat Thani out of fear that when they reached Hat Yai, the locomotives would be seized by the workers there. To date, they have seized four locomotives. But tomorrow, the services will resume, as the government has to ease the troubles of commuters, particularly those riding on free trains," Tawalyarat said in a phone interview yesterday.
       He said the SRT had the government's green light to resume services, as yielding to the union's demands would pose a long-term problem for nationwide train services.
       He added that the authorities' filing of a charge on Monday had scared off the union, which did not in the event seize control of the country's main station at Hualamphong as it had threatened to do.
       While stating that the trouble was partially caused by Sawit Kaewwan, the union leader who is also chairman of the SRT's savings cooperative, the state rairoad chief said the SRT was ready for damage claims from those inconvenienced by the strike.
       Transport Minister Sophon Ssaram yesterday said on television that the ministry would use police and military force to seize the locomotives confiscated by the striking workers.
       He also accused union leader Sawit of lying by stating that all the locomotives were in need of repair.
       The Cabinet yesterday endorsed a revision of the SRT's recruitment rules, alloing the agency to hire retired drivers and 170 graduates from the train academy for a short period.
       Sophon urged all drivers to return to work.
       "Our policy is to seek compromise, but this depends on the rules. Service must be resumed, and then there can be negotiations. All drivers need to uphold their duty and cannot [in effect] take passengers hostage," he said.
       He said since the accident in Prachuap Khiri Khan on October 4, the ministry had been ordered by the Cabinet to complete the SRT's restructuring plan within three weeks. He said a restructuring of the agency was essential.
       PORTS REPORT DELAYS
       Meanwhile, the Port Authority of Thailand reported the rail strike had led to delays in shipments destined for Klong Toei and Laem Chabang ports, as they were stuck at Surat Thani train station.
       The Office of Transport and Traffic Policy and Planning yesterday suggested the SRT be upgraded into a department of the Transport Ministry.
       Deputy director Chula Sukmanop said the upgrade would lead to better management of the national railroad network, while its funding costs would be lower.
       "[Due to its importance], the SRT should be like the Highways Department and the Airport Transport Department, as it is supposed to be the regulator and not just the operator of rail services," he said.
       A study by the Thailand Development Research Institute showed the proposed railway department under the ministry should be responsible for development of rail infrastructure, as well as signalling, stations and other key components of the rail service.
       It should also have subsidiaries for running the train service, property management and so on.
       In the next stage, the government should invite private firms to form joint ventures to run the rail service, the study said.

King's lung condition eases

2009-10-20T20:19:00.000-07:00

       His Majesty the King is recovering from his lung inflammation, the Royal Household Bureau said yesterday. "X-rays show the inflammation has eased," the bureau said.
       The bureau also said His Majesty's overall |condition was good.
       His Majesty has been receiving treatment at Siriraj Hospital since September 19.
       During his hospitalisation, more than 21.5 million Thais have signed get-well messages for their beloved monarch at various venues.
       Buddhists are invited to join a prayer ceremony in the ubosot of the Temple of the Emerald Buddha on Friday. Headed by the Venerable Arayawangso Bhikku, the ceremony will start at 7am. It will be held to pray for His Majesty's good health and in honour of His Majesty's late grandfather, King Chulalongkorn (Rama V).

Bangkok bomb hoax adds to rail chaos

2009-10-20T20:17:00.000-07:00

       The train strike has driven Kittikarn Ruengsri off the rails. Hungry, angry and desperate to get to his hometown, he allegedly threatened to blow up Hua Lamphong railway station in Bangkok.
       Mr Kittikarn,25, of Nakhon Si Thammarat's Thung Song district, was arrested in Pomprap Sattruphai district in Bangkok yesterday after police identified him as the caller behind a telephone bomb hoax.
       Mr Kittikarn confessed he used his mobile phone to twice call the 191 emergency line to make the threat, police said.
       Central Investigation Bureau commissioner Tha-ngai Prassajaksattru said the 191 unit had received a call fromMr Kittikarn who said he had planted eight bombs at the main railway station.
       Mr Kittikarn said he had caught a bus from Nakhon Si Thammarat to Bangkok and planned to join the army. But he was unsuccessful because of an application mix up.
       With nowhere to go,he spent the night at the Hua Lamphong terminal hoping to catch a free ride home. However, the free trains under the government's economic relief policy do not run on longhaul routes to places such as Nakhon Si Thammarat.Mr Kittikarn said he had no money and had not eaten for two days. He stayed at Hua Lamphong and became stressed.
       He told police the rail strike further fuelled his anger so he phoned 191 and made the hoax calls.
       Pol Lt Gen Tha-ngai said investigators traced the calls and located Mr Kittikarn near a hotel on Maitreejit Road.
       Mr Kittikarn has been charged with filing false information with police. He could be jailed for up to one month and fined a maximum 1,000 baht.

Rail strike nears an end

2009-10-20T20:14:00.000-07:00

       The rail strike is expected to come to an end after substitute drivers have been hired to run idle trains and the labour union announced it was ready to negotiate with the government.
       All long-haul trains from Bangkok to the South and local trains in southern provinces will resume services tomorrow as the new staff fill in for railway workers out on strike.
       Permanent secretary for transport and State Railway of Thailand board member Supoj Saplom said all train services would be fully operational tomorrow.
       The cabinet yesterday gave the SRT the green light to recruit mechanical graduates of the SRT technical school and retired train drivers to fill in for the workers who have walked off the job over the past few days.
       The railway union has indicated it is prepared to make concessions and is ready to hold talks with railway management to end the strike.
       Union leader Sawit Kaeowan said he was ready to negotiate with SRT management and Transport Minister Sohpon Zarum to break the deadlock.
       However, Mr Sawit wanted Deputy Prime Minister Sanan Kachornprasart to mediate the talks.
       The transport minister and Prime Minister Abhisit Vejjajiva were taking a tough line with the union over the issue, Mr Sawit said.
       The union leader said the talks should set the stage for the union and railway executives to sign a joint agreement that addressed the issues involv-ing the repair and maintenance of locomotives.
       He urged the government to spend about 100 million baht on the repair and maintenance of the old locomotives.
       The transport minister said he would only negotiate with the union after the drivers returned to work.
       Mr Sohpon said staff who stopped work without good reason would face disciplinary action.
       He insisted staff who took leave and were absent from work for more than 15 days would be dismissed.
       SRT governor Yutthana Thapcharoen said the cabinet approval of substitute drivers and workers would pave the way for the recruitment of 171 new staff.
       The new staff would start working as mechanics while mechanics with at least seven years of work experience would be promoted to train drivers.
       Mr Yutthana said the SRT board on Monday approved a change to a regulation to allow 28 former rail staff to work temporarily.
       He said he had assigned his deputy to head a team to negotiate with the union.
       The SRT governor said it was pointless for the union to use the issue involving the safety of the locomotives as a lever in talks with SRT management and the Transport Ministry.
       He said SRT management had stressed the need for all staff to ensure locomotives and tracks were always kept in good condition.
       Pol Col Supisarn Phakdinaruenart,deputy chief of the Crime Suppression Division, said police were investigating complaints filed by Wirat Chantharat,chief of the SRT's legal investigation division, against railway staff whose work stoppage affected passengers.
       Pol Col Supisarn said evidence including television footage showed two or three rail workers might have deliberately caused the disruption of the train services.
       The officer expected the investigation to be finalised within a week.
       If SRT staff, who are state employees,were found to be in the wrong, the case would be submitted to the National Anti-Corruption Commission, Pol Col Supisarn said.
       In Nakhon Ratchasima, Sathorn Sinpru, leader of the railway union's local branch, said about 10 train drivers and mechanics yesterday handed in leave letters, bringing the number of workers on leave to more than 30.
       Mr Sathorn said the workers cited work-related stress and low morale as reasons for taking time off.

Classmates of Thaksin sign on with Puea Thai

2009-10-20T20:12:00.001-07:00

       More than 50 former classmates of deposed prime minister Thaksin Shinawatra have officially joined the opposition Puea Thai Party, a source says.
       The move is viewed as a joining of forces of military officers whose careers were doomed by the Sept 19,2006, coup.
       The 50 former classmates from Class 10 of the Armed Forces Academies Preparatory School who formally enrolled as Puea Thai members have just retired from military service.
       A Puea Thai source said the classmates' membership of the party was expected to scotch allegations that Thaksin was the party's main backer and that Puea Thai was not loyal to the monarchy.
       Members of the armed forces take an oath of allegiance to the monarchy.
       Most Class 10 members rose quickly through the military ranks while Thaksin was in power. However, the Sept 19 coup drew a cloud over their careers.
       Many of them were sidelined or transferred to inactive posts after the putsch.
       The source said the generals would also help the party to monitor the armed forces. Most of them are reported to be at odds with army chief Anupong Paojinda.
       The group of 50 is led by ACM Sumet Phomanee, former commander of the air force's Security Force Command. He reportedly recently flew to meet with Thaksin in Dubai.
       ACM Sumet said the Class 10 members would help improve relations between Puea Thai and the military.
       He said other Class 10 members who were still in the forces would likely join Puea Thai once they retired.
       Another Class 10 member, Gen Amnuay Thirachunha, said his group would help to strengthen Puea Thai as all its members had been senior military officers who have proven their loyalty to the country and the monarchy.
       However, Gen Amnuay said Class 10 members would keep a distance from the pro-Thaksin red shirt movement.
       Puea Thai member Panlop Pinmanee,a member of Class 7 at the Chulachomklao Royal Military Academy, said the fact that more than 50 retired military officers had joined the opposition party had proven Privy Council president Prem Tinsulanonda wrong.
       The general referred to comments made by Gen Prem to the media last week when he said he had sent a man to warn former prime minister Chavalit Yongchaiyudh to think carefully before joining Puea Thai as it could be interpreted as a betrayal of the country.
       Gen Panlop said the former senior military officers now with Puea Thai had risked their lives for the country and the monarchy.
       Gen Chavalit, now chairman of Puea Thai, said his ability to help the country would prove his worth.
       A Puea Thai source said parliament would be dissolved soon as the government had failed to amend the 2007 constitution. The coalition would also be overwhelmed by corruption problems.

King "improving"

2009-10-20T20:09:00.000-07:00

His Majesty the King's overall condition is good, the Royal Household Bureau says.
An X-ray shows the inflammation of his lungs has subsided further.

His Majesty doing well

2009-10-19T22:42:00.001-07:00

His Majesty the King's general health is good, and his fever is gone, the Royal Household Bureau said yesterday.
"His Majesty can eat and sleep well," the Palace said in its |latest statement. The King has been receiving treatment at Siriraj Hospital since September 19.

Market bomb blast injures 25

2009-10-19T22:39:00.001-07:00

       Police suspect a militant group led by Usman Dorkhor was responsible for a bomb attack yesterday on a fresh market which injured 25 people.
       A police source said investigators were looking for Mr Usman, also known as Jehkhoo Samarn, who they claim was seeking revenge against the authorities who recently rounded up several insurgents under his control in Muang district here.
       The group was accused recently of killing five rangers and was also suspected of being involved in several bomb attacks in the past, the source said.
       In yesterday's incident, a home-made bomb weighing between seven and 10 kilogrammes, planted inside a purple Honda Dream motorcycle with a Yala licence plate and parked at Phimolchai market in Yala municipality, went off at 7.30am.
       Banpot Poonpien, deputy spokesman for the Internal Security Operations Command, said the bomb was detonated by a mobile phone as a SIM card was found at the scene.
       Col Banpot said Yala police were told two men, aged between 30 and 35, were seen parking the motorcycle in front of a pork stall inside the market about 5am.
       A trader alerted security authorities about the motorcycle as he felt the two men looked suspicious and they had left the motorcycle unattended for too long.
       A military team inspected the motorcycle with a GT200 bomb scanner, but the device did not detect the bomb.
       The bomb exploded about 15 minutes after the military team left the scene.
       Of the 25 injured, three were military officers. Four of the injured, including Ubonthana Ruangthanorm, are in a critical condition.
       It was the fifth time the market, located near Yala railway station, had been targeted in bomb attacks by suspected insurgents.
       Somphit Ruangphung, a trader at the market, said she wanted the authorities to install surveillance cameras inside and around the market.
       Security guards should also be employed to guard the area, she said.

HM "in good shape"

2009-10-19T22:36:00.000-07:00

His Majesty the King is in good general condition and no longer has a fever, the Royal Household Bureau says.

Sohpon requests more rail staff

2009-10-19T22:33:00.000-07:00

       The Transport Ministry is seeking cabinet approval to recruit more rail staff to ease the shortage caused by drivers who have walked off the job.
       Transport Minister Sohpon Zarum yesterday said his ministry would ask the cabinet today to consider relaxing a July 28 cabinet resolution imposing a headcount freeze on the number of state employees.
       If approved, the proposal would pave the way for the recruitment of 171 new staff to stand in for train drivers who are out on strike, disrupting train services and stranding thousands of passengers, particularly in the South.
       Mr Sohpon has signed an order appointing four committees to look into the problems besetting the State Railway of Thailand.
       The committees will look into problems involving the SRT's management structure, scrutinise its financial standing, compile information on its assets and liabilities, and examine its regulations and practices.
       The findings will be submitted to the panel of economic ministers and the government for use as a basis for a major overhaul of the railways. The findings are expected in three weeks.
       Mr Sohpon said he was ready to talk with the SRT union to solve the problems and would do all he could to ensure train services returned to normal within three days.
       SRT governor Yutthana Thapcharoen said 241 rail staff requested leave yesterday. About 30 south-bound trains were held up.
       The strike has cost the SRT 16.5 million baht over the past three days.
       This includes 10.5 million baht in passenger fares and 6 million baht from lost freight rates.
       Mr Yutthana said new staff standing in for train drivers who have walked off the job would include mechanics who have received training from the railway technical school.
       Mechanics with at least seven years of work experience would also be promoted to train drivers, said the SRT governor.
       Mr Sohpon and the SRT governor yesterday travelled to Songkhla to in-spect the repair and maintenance of trains at Hat Yai railway station. They were heckled by more than 100 union members and Mr Sohpon had to cancel a planned meeting with local SRT executives.
       Land Transport Department director-general Chairat Sa-nguanchue,who sits on the SRT board, said the board would consider appointing a panel to investigate if the leave taken by railway staff was politically motivated. The panel would comprise representatives from the Office of the Attorney-General, Mr Chairat said.
       Soythip Traisuthi, director-general of the Office of Transport and Traffic Policy and Planning and an SRT board member, said about 28 train drivers who retired from service on Sept 30 had offered to fill in for drivers out on strike.
       Mrs Soythip said SRT board chairman Thawalrat Ornsira would sign an order allowing the former staff to return to work temporarily, effective today.
       Prime Minister Abhisit Vejjajiva has insisted that SRT staff who have caused damage by going on strike must be held responsible for their actions.
       He was speaking after reports that the rail union had demanded railway workers who had stopped work be spared punishment.
       "We cannot yield to the demands,"the prime minister said.
       "If they are in the wrong, they must be held responsible. Workers and the union cannot leave work just on a whim."
       In Hat Yai yesterday, south-bound trains were out of action for a fourth day. All local trains were halted while a few long-haul trains from Bangkok to the South were running but only as far as Surat Thani station.
       The Hat Yai railway union yesterday insisted that trains would remain out of action until SRT executives came up with clear measures to repair and maintain locomotives.
       Wirat Chantharat, chief of the SRT's legal investigation division, yesterday filed a complaint with the Crime Suppression Division seeking legal action against railway staff who stop work and affect passengers.
       Mr Wirat said the work stoppage had caused damage estimated at about 15 million baht a day. He said companies that use rail freight services would also sue for damages.
       STRIKING A BLOW AGAINST UNIONISTS Actions
       % of respondents Disagree Agree Unsure 73.03 12.36 14.61 50.54 32.97 16.49 Most people disagree with the State Railway of Thailand labour union's move to hold train stoppages, a Suan Dusit poll shows.The pollsters surveyed 1,064 people in Bangkok and nearby provinces on Oct 18 and 19. * To strike following internal conflict * Union claims of unsafe trains * Believe there is political interference 25.41 32.72 41.87 POST graphics