AFG has a serious look at Myanmar

Dennis Meseroll, Executive Director of Tractus Thailand.

Dr. Iain Corness
The Automotive Focus Group (AFG) invited Dennis Meseroll, the Executive Director of Tractus Thailand, to address the AFG members on Foreign Direct Investment (FDI) regarding Myanmar.
He had some very interesting statistics to share with AFG, including the fact that Myanmar’s GDP of USD 103 billion was only 20 percent of Wal-Mart, in the US.
Factors in favor of Myanmar investment included the repealing of sanctions by most countries, an ample workforce and low wages, with Myanmar around USD 50-60 compared to Thailand’s USD 272.
Factors against FDI included it being difficult to lease land and a shortage of industrial estates of better quality. The Asian Development Bank rates Myanmar’s ease of doing business as “poor”.
Dennis mentioned the political uncertainty in Myanmar and changing laws on importing items. “Now is the time to look, but definitely keep your eyes open, and there are currently lots of challenges.”
Following the address, the AFG continued with a networking event in the Nova Platinum with everyone agreeing that the catering by the Nova Platinum was excellent, and their GM David Roberts was overseeing everything to ensure the standards remained high.

Soi 5 Thunwa Community opens garment center

Former Culture Minister Sonthaya Kunplome presides over the Soi 5 Thunwa Community’s garment center opening.

Jetsada Homklin
East Pattaya’s Soi 5 Thunwa (Soi 5 December) Community has opened a garment-making center aimed at providing jobs and occupational training for residents of the Sukhumvit Road-area neighborhood.
Former Culture Minister Sonthaya Kunplome and Mayor Itthiphol Kunplome joined city council members at the Feb. 18 opening near Free Kick Football and Namchai Electronics.
Founded in 2011 in honour of HM the King’s birthday, the Soi Thunwa 5 Community is listed as a medium-sized neighborhood with 643 residents. It received 40,000 baht from the Pattaya Social Development Department. Community officials spent 25,000 baht to purchase a herbal-water production machine and 15,000 baht to build a center for distributing the community’s batik fabric.
The fabric factory has not only increased jobs, but income for neighborhood residents who now don’t have to go elsewhere to look for jobs. It also benefits the unemployed elderly by offering jobs and income, which promotes emotional and mental well-being, officials said.
Community board member Aree Makusah explained that residents draw designs on the unbleached fabric before using hot candle wax to paint. Therefore, a single shirt takes a long time to make, he said. For dyed batik fabric ordered from Phuket, about two meters costs 500-700 baht and most of the customers are government officials, who would order in sets of 5-10 shirts.

Your belongings are safe at Safe Independent Co., Ltd.

The Safe Independent Co., Ltd. Jomtien location is at the entrance to the Jomtien Complex Condotel Branch next to the Shenanigans Irish Pub.

Veechan Souksi
There is no need to be concerned if you don’t have a safe place to store your goods, come to us, your belongings are 100 percent safe.
The Safe Independent Co. is a reliable safety storage company which first opened in Pattaya in 2003. It provides more than 740 safety boxes, 260 storage boxes and 310 mailboxes and the company gives reliable service and has a friendly, English-speaking staff.
Security guards are on duty around the clock and they are equipped with high-tech, 24-hour CCTV cameras. The premises also has robbery/panic-knob alarm systems and photo-scanning access.
The Safe Independent is not only a safety storage center, but it also provides all national or international postal services with the leading companies such as the UPS, TNT, Fed Ex, DPEX and the DHL.
Both branches are very conveniently situated and are easy to reach. The first branch is just off Thappraya Road. As you head down toward Jomtien Beach, turn right into the Jomtien Complex, enter the building and you will find it located on the ground floor right next to the Shenanigans Irish Pub. The new second branch is located 10 meters off Second Road on Soi 10, next to the Rinrida Clinic.
The cost is very reasonable and special discounts are also provided for long-term storage renters as well. For more information, call 038-303-863 (Jomtien Complex branch) or 038-424-008 (Pattaya Second Road Soi 10 branch).

Farmers back gov’t bonds to raise money for rice payments

The Thai Farmers and Growers Association (TFGA) has given its support to the government’s move to issue bonds to raise funds for overdue payments to farmers from the rice pledging scheme.
The farmers from the central region also called on the anti-government People’s Democratic Reform Committee (PDRC) not to disrupt the issuance of state bonds, proposed last week by the Finance Ministry.
TFGA leader Wichian Phuanglamchiak said farmers wanted nothing but money for their rice but the PDRC and its network have obstructed government attempts to secure money from any channel.
“From what the PDRC has done, how can it say it is helping farmers?” he asked.
He said protesters should stop using farmers as political hostages and the PDRC should focus on other issues instead of barring rice payments, if it wanted to oust the government.
Since rice subsidies for paddy in the 2013/2014 crop will end on Feb 28, rice millers have pushed the paddy price down to only Bt6,000 per tonne, and the price will plummet after this month, he said.
Wichian described as nothing new a proposal by Phra Buddha Issara, a PDRC core leader, to set up a rice farmer council to protect farmers and look into their welfare, saying the council will create rifts among Thai planters.
“Thailand has had a grower council, represented by growers in every field. A rice farmer council will create privilege to rice growers in the eye of planters of other crops such as sugarcane, rubber, corn and tapioca,” he said. (MCOT)

Thai household spending, debts slow down

Thailand’s household spending and debt accumulation have both slowed down, while debt payments are delayed despite higher wages, according to the Office of the National Economic and Social Development Board (NESDB).
The NESDB’s report indicated that household spending and household debt in the second half of last year slowed down.
Private consumption dropped 2.9 percent in line with outstanding loans for private consumption.
Commercial bank business has continued to slow, while non-performing loans have increased 26.6 percent and credit card debt balances for more than three months grew 45.8 percent.
Debt creation this year and debt payments depend on the economy and higher wages.
Employment has tended to rise by 3-4 percent this year, thanks to improved exports; however, risk factors such as the government’s delay on infrastructure investment projects, reduced confidence in the business climate and political protests are holding back economic improvements. (MCOT)

Political stalemate creates Bt490 bln loss

Rangsit University’s Centre for Economic and Business Research for Reform indicated that the ongoing political stalemate has already damaged the country to the tune of more than Bt490 billion.
Anusorn Thammajai, dean of the Faculty of Economics, said the ongoing political situation has led to losses of investment opportunities, while during the whole year the country could lose as much as Bt1 trillion, bucking the worldwide trend of economic recovery.
The political situation has affected the Thai economy in Q1 bordered on being in a recession and could continue until Q2. The Thai economy in Q1 therefore could grow only 0.5 percent, 0 percent, or at -0.5 percent in the worst case scenario. Now it is suggested that 2.5 percent growth is the best case scenario, he said.
In addition, Thailand could lose its opportunity to become the centre of the ASEAN Economic Community (AEC) which is to take effect next year and the country could also face an economic downturn next year.
According to Anusorn, if a government can be formed within April, parliament can be convened and political tensions ease without further major violence, the economy could grow 2.5 percent. There is only a 25 percent likely chance such situation could happen, he suggested.
However, if the 2015 budget cannot be processed, or there is a Constitution Court ruling or a decision of the National Anti-Corruption Commission concerning the political situation and/or there is a coup in the second half of the year that leads to anarchy, the economy would possibly contract by -0.5 percent. The country would enter a political crisis-driven recession, which Anusorn predicted has a 45 percent chance of happening. (MCOT)