Joining the Dots

Issue 36

The internet has transformed many people’s lives, now the Thai government is providing incentives to develop a digital economy through the Internet of Things.

Thailand is supporting the development of the Internet of Things (IOT) with strong public and private sector initiatives underway, the NEPCON Forum in Bangkok heard late June. Government support is at two levels. Firstly there is a plan to ensure a large domestic market. This will be done by ensuring every household in every region of the country is connected via a nationwide cyberoptic cable system.

Issue 35

The Thai prime minister assures foreign businesspeople in Thailand that the government is strongly promoting investment.

At a recent meeting of the Thai-Japanese Association (TJA) attended by the Thai Prime Minister, General Prayut Chan-o-cha, Japanese businesspeople were assured that Thailand remains a strong place to do business. H.E. Shigekazu Sato, Ambassador of Japan to Thailand, and members of the TJA and the Japanese Chamber of Commerce in Bangkok attended the event entitled, The Prime Minister Meets Japanese Businessmen, held at the Dusit Thani Hotel, Bangkok, on August 21.

The prime minister emphasised the importance of relations between the two countries.

“The JTEPA [Japan–Thailand Economic Partnership Agreement] signed in 2007, the same year as the anniversary of 120 years of diplomatic relations between Thailand and Japan, shows that both countries are great allies,” he said.

“We see that it is necessary to become a knowledge-based industrial country that utilises technology, innovation and creativity which will enable Thailand to escape the middle income trap. We see Japan as our ally, as in the past few decades the Thai economy has grown in part due to investment from Japanese companies.”

According to General Prayut Chan-o-cha, the government is working hard on promoting the economy and building the confidence of investors and tourists alike through supporting investment and offering business incentives for all foreign investors.

Since May 2014, the government has approved more than 1.1 trillion baht worth of projects proposed by the Board of Investment (BOI). Over the same period, 5,979 factory permits have been granted, to the tune of some 690 billion baht in investment.

The BOI earlier this year approved a seven-year investment strategy which will run from January 2015 to December 2021. The programme offers merit-based incentives and tax benefits while removing zoning restrictions for foreign investors.

“Some of the industries that have a high potential in Thailand are agriculture, tourism, public health and spas,” he said. “We also want to promote research and development and we want other countries to see Thailand as an important manufacturing hub in ASEAN.”

General Prayut Chan-o-cha outlined other projects to drive the economy including high-speed trains interconnecting different regions in ASEAN and China and the implementation of a single-window customs system. He also mentioned that the first phase of the Dawei special economic zone with Myanmar has already begun.

Kalin Sarasin, president of Thai-Japanese Association, welcomed the prime minister’s words. “The TJA wishes to enhance the friendship between Thailand and Japan through our programmes,” he said.

Words by Sirinuch Borsub

 

Tags: TJA | JCC | investment | BOI

Issue 33

Norway and Thailand have a long history of international relations, something which the advent of the AEC is set to continue.

Our mission is to promote the interests and provide assistance to Norwegian individuals and businesses, and strengthen relations between government institutions, organisations, companies and people in Norway and Thailand,” says Norwegian Ambassador to Thailand Kjetil Paulsen.

“Thailand was one of the first countries that extended diplomatic relationship with Norway and recognised Norway as an independent state. The relationship … dates back to 1907, when King Chulalongkorn, Rama V first visited Norway.”

According to Paulsen, bilateral relations are prospering, particularly in the fields of commerce and tourism. “Not only has the numbers of Norwegians visiting Thailand increased, but also the number of Thais travelling to Norway is high,” he says. “The number Norwegians residing in Thailand permanently is on the rise too, which suggests that citizens of both countries feel comfortable adapting to each other’s culture.”

Bilateral trade has also been robust, rising from 20 billion baht in 2013 to almost 30 billion baht last year, says Paulsen, who adds that this trend has continued through the first four months of 2015.

Axel Blom, vice-president of Thai-Norwegian Chamber of Commerce and country representative of Innovation Norway, believes there are many fields in which the two countries can work together.

“One of the areas I work a lot in is to get Norwegian investment into Thailand,” he says. “We work closely with Thailand’s Board of Investment to promote … production in Thailand. Another area is energy and the environment. Norway has a lot of environmental technologies, and we are looking to implement some of them in Thailand, which comply with the rules and regulations of the current government in order to better the environment for the Thai population.”

Manufacturing labour skills is another area in which Thailand’s workforce can prove attractive to Norwegian companies, according to Vibeke Lyssand Leirvag, president of the Thai-Norwegian Chamber of Commerce.

“A lot of Norwegian companies are investing in Thailand because of the consistency and quality [of the workforce],” she says. “One example would be a Norwegian company located in Laem Chabang, Aibel, which is a leading supplier of services related to oil, gas and renewable energy. The company is so impressed with the quality that it is now looking to have more projects in Thailand.”

Paulsen sees the upcoming ASEAN Economic Community (AEC) as creating many opportunities. “A zone in which all obstacles for internal commercial activities are taken away is obviously of great interest not only to the region, but also to countries that would like to conduct business [in it]. If this can be implemented, great opportunities would open for European countries and ASEAN,” he says.

Leirvag believes that Thailand has a geographical advantage within the AEC. “The location is very important and Thailand is a gateway to ASEAN,” she says. “Thailand should take this opportunity and open the borders for more free trade. Thailand should also open the service sector more, allow competition to come in and use the opportunity of having the best location in ASEAN.”  

For more information, visit http://www.emb-norway.or.th , www.norcham.com , http://www.innovasjonnorge.no

Words by: Manisa Phromsiripranee

 

Issue 34

Beyond texture and fragrance, the nutritional properties of Thai rice could gain more public attention.

“Thai rice has been recognised by both domestic and international markets for its tender texture and distinct fragrance; now its nutritional properties are making Thai rice more appealing,” says Songphon Pholsane, executive director of Uthaithani Granary, one of Thailand’s rice manufacturers.

“We are the third generation, manufacturing and distributing Thai rice passed down by our ancestors,” says Pholsane. “We used to meet many farmers and noted the different quality of their rice. When we found a study stating the nutritional properties of organic rice, we put more focus on that.”

Research by the Rice Science Centre and Rice Gene Discovery Unit, Kasetsart University Kamphangsaen Campus revealed that eating Sinlek (white brown) rice helps diabetics by stabilising insulin levels. Rice berry (violet brown rice) also contains high anthocyanin, which is an antioxidant.

Sinlek rice,Hom Mali Daeng (red brown jasmine) rice and rice berry are our main strains of rice planted in Uthaithani [province],” says Phatcharaporn Taokaew, managing director of Uthaithani Granary. “We checked our rice and became certified by the Department of Agriculture, Rice Department of Ministry of Agriculture and Cooperatives, and Kasetsart University.” He believes that producing high quality, organic rice is key to increasing the price that farmers receive for their produce.

Pholsane adds that their main customers are people who want to eat healthily.

The company is planning to penetrate Europe, China, Singapore and Hong Kong as people in these countries are already conversant with the nutritional properties of brown rice.

“I think before we step on the international level, we should communicate to the Thai people how beneficial [to their health] Sinlek rice, rice berry and Hom Mali Daeng rice are. Then we should push for further research to raise the standard of our products to be able to compete on the international market,” he says.

Words by Natthinee Ratanaprasidhi 

Issue 32

Rice is much more than a basic food staple in Thailand, the cereal also has major health benefits as well as providing access to foreign markets for local producers.

“Eat germinated brown rice as medicine, eat fish and vegetables as main staples and eat little else,” goes an old saying in Isaan. The method of germinating brown rice or khao hang ngok has been common knowledge in northeastern region of Thailand for over a hundred years and passed on through generations of local farmers. To back up this ancient wisdom, scientists have confirmed that germinated brown rice is highly beneficial for the body.

According to the Institute of Food Research and Product Development at Kasetsart University, germinated or sprouted brown rice has been found to contain higher levels of Vitamin E, B6 and B12, lysine and magnesium compared to unprocessed brown rice. Most importantly, by allowing the brown rice to germinate, the level of gamma-aminobutyric acid (GABA) is 15 times higher than in regular brown rice. Research has found that GABA helps to balance brain functions, relieve stress and anxiety, and may help prevent Alzheimer’s.

Khao Hang Baan Nong Bua Sang Group is a community enterprise that grows and germinates brown rice in northeastern Sakon Nakon province.

“I’ve lived and worked here [in the rice fields] since I was born,” says its head Nupen Nakowong. “Germinated brown rice started to became well-known about twenty years ago, and the community has been studying how to produce germinated brown rice even before we formed the community enterprise in 2007.”

Currently the group consists of 50 farmers. They help each other make a living by rotating rice planting to allow them grow rice in different seasons. Then they send the rice paddy to be germinated at the community enterprise centre.

Nakowong explains the process for rice germination: wash and soak the paddy for 48 hours, changing the water every six hours; steam the paddy until cooked; sun-dry for a day; mill the rice, placing under the sun for another day until the rice is completely dry; and hand-sort the rice to select only unbroken grains before vacuum-packing the rice for sale.

“Last year, students from Kasetsart University, Sakon Nakon campus came to stay with us for four months, learning the rice germinating process and in return [they] improved the packaging for the rice products,” says Nakowong.

The university students also helped establish the Germinated Brown Rice Learning Centre, and held activities for local students and other community enterprises who visited the centre. Since then, the group has received visitors eager to learn about the germination process at their community enterprise. Potential rice buyers from Thailand and overseas, such as Japan, have also visited Nakowong’s community enterprise to experience the rice germinating process and learn about the local way of life.

“Our rice is grown chemical-free and is GAP [Good Agricultural Practices]-certified,” says Nakowong, “We’re also sending rice samples to be tested in labs so they can be certified for organic rice, so we can export to countries like Japan.”

Words by Sirinuch Borsub

 

 

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