|
BOT maintains economic growth estimate at 2.5-3.5%
Bank of Thailand’s governor, M.R. Pridiyathorn
Devakula announced this week that the central bank has no plans to revise
the economic growth estimate this year.
The bank’s previous projection of the economic
expansion between 2.5% and 3.5% is already appropriate given the overall
picture of the country’s economy at present.
He said although many institutions planned to make an
upward revision of the economic growth projection this year, the BOT
prefers to maintain its early expansion estimate. In view of the present
situation there doesn’t seem to be any major factors that would render
it necessary for the bank to revise its economic growth forecast at this
time.
However, he said, the BOT will continue to keep a close
watch on internal and external factors that could have an impact on the
country’s economy.
Any influential factors will be discussed and assessed
by the BOT’s Monetary Policy Committee at its meeting at the end of
June. (TNA)
British business leader pledges to assist Thailand in various areas
A leading British businessman pledged to assist
Thailand in various areas, as Prime Minister Thaksin Shinawatra assured
local businesspersons of promising prospects in the Thai economy in coming
years.
During a meeting in London on June 16, Sir Richard
Evan, president of BEA Systems Co., Ltd., pledged to assist Thailand in
various areas, including education, information technology (IT), and
agricultural technology under a proposed program in which London will sell
military hardware to Thailand to be used for the development of the Thai
armed forces in exchange for the purchase of Thai farm products.
While on an official visit to London, other British
business leaders also paid courtesy calls on the Thai premier and
discussed business issues with him.
The Thai leader attended a luncheon, hosted by Asia
House, a leading business forum, where he had an opportunity to meet with
leading businesspersons in Britain during his first official visit to the
United Kingdom since he took office 14 months ago.
The Thai leader assured the British business community
that Thailand’s economy is back on the road to recovery. He stressed
that his government is determined to continue to maintain the sound pace
of the economic recovery with rising macro-economic stability, low
inflation rate of about 1.4%, stable baht, rising foreign reserves, and
lower non performance loans.
The Thai leader also hailed a bilateral agreement,
called the Mutual Recognition Arrangement (MRA), in which London and
Bangkok will recognize the quality inspection standard of food products
reciprocally, saying the MRA deal would help boost exports of Thai food
products to the UK and other European markets, and would lead to fairer
international trade. The Thai premier also praised Asia House’s active
role in promoting friendship and sound cooperation between UK and
Thailand. (TNA)
Government presses for legal advice scheme for consumers
A senior government minister has called for the rapid
establishment of an independent agency to offer legal advice to consumers.
Speaking after a workshop on how to offer consumers
better protection, Prime Minister’s Office Minister Suwat Liptapallop,
chairman of the Consumer Protection Committee, said that the committee
will press ahead with the establishment of an independent body to offer
advice to consumers, in accordance with Clause 57 of the Constitution.
He admitted that the project has already run into
delays due to differences over methods of its establishment, and said that
legal obstacles still remain. But he expressed hope that once the agency
was up and running it would make a real difference for consumers.
“This independent agency will benefit consumers, as
it will give a public viewpoint in collaboration with the state, thus
boosting the efficiency of consumer protection,” he said, adding that
laws and parts of the judicial system will have to be modified and more
legal officials hired before the agency could operate.
He also promised that the committee will consider the
current interest rates for credit cards, saying that high rates ran
counter to the government’s policy of promoting consumption.
Credit card interest rates presently run between 20 and
30 percent, compared to loan interest rates of just 6-7 percent, a
situation that has led to several complaints from members of the public.
Conceding that the high rates were causing members of
the public to suffer, Suwat said the panel will look at its powers under
the law to intervene. (TNA)
Italy to import GMO-free seeds from Thailand
According to a senior Agriculture and Cooperatives
Ministry official, Italy is keen to import soy bean and corn seeds from
Thailand which are free from genetically modified organisms (GMO).
Sitthi Boonyarataphin, deputy permanent secretary for
Agriculture and Cooperatives, said that Rome has expressed its interest in
purchasing GMO-free soy bean and corn seeds from Thailand to replace
imports of these products from the United States, which, it said, could
not guarantee whether they were GMO-free.
Imports of these products from the U.S. could also face
contamination during shipments, he stated. Italy normally imports over 60%
of its domestic demand for soy bean and corn seeds.
“As Italy is a member of the 15-nation European Union
(EU), any country wanting to export products to Rome must follow EU rules.
In the case of soy bean and corn seeds, EU rules state that imports of the
products must be regulated by OECD seed schemes, during which two-year
laboratory and field tests are required to assure that the products are
virtually GMO-free. This is a good opportunity for Thailand, if local
farmers and other parties concerned can manage the production process and
improve their products’ quality to meet the EU’s standards,” Sitthi
said.
Good management of the process and increased quality of
products could also lead to Thailand expanding exports to other markets in
the EU, he pointed out. (TNA)
Public forced to pay Bt60m a day as oil companies savor profits
Oil companies are loading the burden of price
differentials in the oil market onto consumers, who have to shell out B60
million a day as a result, the deputy commerce minister recently remarked.
Nevin Chidchob said that while the price of petrol has gone down, petrol
companies are continuing to sell fuel at old prices, and making large
profits while the public picks up the tab.
Although while under the laws of liberalized trade this
was allowed, it is not fair to consumers, he said, adding that the
Ministry of Commerce has already taken the matter to the sub-committee on
trade competition.
At the same time, he said, the Department of Trade
Registration has already inspected and issued certification to over 3,000
petrol service stations belonging to eight companies, in order to ensure
the standard of fuel on sale.
However, he conceded that the government has received
several calls from members of the public accusing small-scale petrol
stations not part of any chain of mixing the fuel they sold in order to
bring in better profits.
From the beginning of the year onwards the Department
of Trade Registration has caught over 20 petrol pumps selling sub-standard
fuel, an offense which carries a penalty of six months imprisonment, a
fine of B20,000 or both.
Orajit Singhkawanich, director of the Department of
Trade Registration, said that the Ministry of Commerce aims to reduce the
number of petrol pumps selling sub-standard fuel, particularly in the
provinces. The department also has to contend with oil tankers that
surreptitiously try to offload some of their contents on the way to
deliveries at petrol stations, a problem that the department has promised
to take strict action against. (TNA)
AAT chief upbeat about share prices
Airports Authority of Thailand’s governor, ACM
Terdsak Sujjaruk voiced confidence that shares of AAT to be listed on the
Stock Exchange of Thailand late this year will enjoy good prices given the
authority’s fundamentals and the nature of its business.
Speaking on the progress of the set-up of AAT Plc, he
said the committee tasked with preparing the establishment of the company
is studying the plan in all aspects so it can submit it to the Transport
and Communications minister for consideration by July.
The cabinet recently approved the AAT’s plan to
complete privatization of the authority by November.
He said the price of the 30% of shares AAT plans to
offer institutional and individual investors had not been set yet because
the committee is awaiting the financial advisor’s study.
He confirmed that around 2,900 staff would definitely
receive special privileges on the share allotment. He also wants all staff
to be assured that any welfare packages they deserve will be forthcoming
following the privatization.
ACM Terdsak said he did not believe the past aviation
crisis would affect the AAT’s share offering plan. He was also confident
its share prices would not be as volatile as those of Thai Airways
International.
THAI’s performance is exposed to many more risk
factors, including volatile oil prices and plane procurement while AAT
depends on airport management and the number of passengers. AAT enjoyed a
profit of nearly 7.4 billion baht last year.
Under the privatization plan, ATT is set to register as
a public company in August and to offer shares to the public in October. (TNA)
Build Thailand Fair to boost investor confidence
The upcoming Build Thailand Fair is very likely to
build up investor confidence in Thailand’s economic potential and
encourage local and foreign investors to use locally-produced industrial
parts.
Prime Minister’s Office Minister Somsak Thepsutin
said he was confident the fair, to be held August 20-25 here, would give
the country economic benefits from the trade of industrial parts worth
around two billion baht and spending of more than 300 million baht by
visitors to the fair. The event will also serve as a venue where
participating small and medium-size entrepreneurs could expand business
and marketing opportunities.
He said the fair aims to show a strong development of
local industrial parts including auto and electronics, as well as
agriculture and fashion. It will also contribute to the atmosphere of
improved investment in the country.
Suchart Chantranakaraj, president of the Thai Garment
Industry Association, said it will organize a fashion show of local
garments to show Thailand’s readiness to become a regional fashion hub.
Apaichon Vatcharasin, senior vice president of the
Charoen Pokhaphan Group, said the company plans to demonstrate the
production process of environmentally friendly, chemical free foods, and
hold a demonstration of a production line of processed farm products in
the event.
Sompong Vanapa, secretary-general of the Board of
Investment, said the fair aims to boost government efforts to link foreign
investment confidence with local investment at a grass-roots level. It
will also help prompt local producers to develop production technology to
meet demand in the local and foreign markets. In addition, it will be a
great morale booster for Thai producers. (TNA)
|
