Myanmar-Thailand Deep Seaport Project In Jeopardy

[webfact]

Myanmar-Thailand deep seaport project in jeopardy
News Desk
Eleven Media Group

BANGKOK: -- A major infrastructure project involving the development of the Dawei deep seaport and special economic zone may be in jeopardy, said an informed source, citing the lack of financial transaction going into the constructions of the project.

The budget for the construction of the project was set at US$8 billion. But two years have been passed and the project has used up only $52 million, the source said.

The project, implemented by Italian-Thai Development (IDP) has imported construction tools and machineries since January 2011.

Although the company has spent on tools and machineries for project, no one knows the company's actual amount on investment. There was no transparency. It is believed that the company is in financial difficulty, the source said.

The construction tools and machineries have been imported via Nabule and Htikhi border trade centres in last year. This year they were imported through Nabule border trade centre.

More than $16 million of import were through Htikhi and Nabule border trade centres last fiscal year. The IDP imported more than US$36 million construction tools and machinery through Nabule according to the report of Border Trade Department.

The company is seeking Japanese investors as partners to keep going the project. However, the project was delayed for two years already due to lack of funds.

Myanmar and Thai governments are funding the project to be accomplished.


-- ANN 2013-04-12

[MaxLee]

Well who hid the money under the table, under the rugs, behind closed doors, up to Dubai???

[rubl]

"Myanmar and Thai governments are not funding the project to be accomplished." ?

[retell]

But two years have been passed and the project has used up only $52 million

so no problem they can transfer the remaining amount to my bank account in samui

[hellodolly]

Well when you take into consideration that Myanmar is even more corrupt than Thailand and they would both be fighting to get there nose in the trough it is no wonder the project is in doubt.

[belg]

this is the kind of business where you need people in place to sponsor your company that will create something...

well, i suggest the burma people built their own port... why thais needed anyway? would they not borrow money from japan to make this doubtfull project ?

if thailand gets its rail connected from china to singapore, that would be a big deal ...

you see the double standards, thai can go invest without any problem, bring out large amounts of money and debts to get rich, build land, create opportunity

but only for thais, as we cannot even own the house we build with our money in this country where we have 0 rigths, except to spend money

[TackyToo]

I just hope nobody at companies like Walter Bau AG and others die of a choking fit during their serious conniptions.

[bkkgriz]

This is just one example why the AEC will be so difficult to implement. All of the countries in this region are corrupt at some level. Singapore being the lone country that is somewhat transparent. Everyone will want their cut. The AEC will make the Euro zone look like a huge success.

[Evolare]

@Hellodolly Is Myanmar more corrupt than thailand what do you base that statement on?

[bigbamboo]

The Japanese think the budget is way too high. Too many sticky fingers on both sides of the border.

Edited April 12, 2013 by bigbamboo

[SOTIRIOS]

....tripping over each other.....one oversight......someone else' s money....

(I knew we forgot something...)

[mayday49]

Nothing more than the old "pump and dump" investment scam... then ask a Bar Girl what next...

[thhMan]

Nothing more than the old "pump and dump" investment scam... then ask a Bar Girl what next...

On the surface it looks that way...

[Scott]

Off-topic/baiting post deleted as well as post and replies from unauthorized source.

[Thai at Heart]

this is quote from BPost Feb.12.2013'

"Japan is calling for industrial and container ports to be separated - similar to the setup of Thailand's industrial port in Map Ta Phut and container port in Laem Chabang - to prevent traffic congestion.

He conceded that disagreements between Thailand and Japan on several aspects of the Dawei project would make it difficult for the development to kick off.

The minister also said the Japanese government was no closer to making an investment commitment."

I think the Japanese investors are correct in their assessment, there are no clear & transparent plans.

This cant be right, this is Thaksin's baby, he has sold this project to many of his friends and we all know what a brilliant businessman this criminal is. Yes that was sarcasm we all know that what every Thaksin touches turns to toxin.

Whats gone wrong this time Thaksin?

"Although the company has spent on tools and machineries for project, no one knows the company's actual amount on investment. There was no transparency. It is believed that the company is in financial difficulty, the source said."

So the company that's building it is at fault?

"Myanmar wants to scale down the size of its deep-sea port and industrial estate in Dawei, but Thailand fears a decrease could affect the feasibility of related projects". http://www.intellasia.net/burma-wants-to-scale-down-dawei-255119

Ah its the Myanmar governments fault?

"Thaksin Shinawatra arrived in Dawei this morning by private jet from Yagon......A group of businessmen believed to be from Malaysia led by Thaksin unexpectedly arrived Dawei yesterday morning and toured the islands along Maungmagun beach............Thaksin had visited Dawei at least three times in last two years." http://democracyforburma.wordpress.com/2013/03/21/thaksin-shinawatra-arrived-in-dawei-this-morning-by-private-jet-from-yagon/

Ok what did you and your investors discover?

"Visiting former Thai Prime Minister Thaksin Shinawatra stressed the necessity of a partnership between Japan and Thailand on the development of a special economic zone in Myanmar.........Thailand's neighbor, has granted Thai companies concessions to develop a special economic zone in Dawei in the southern part of the country..........For instance, if a pipeline connects Dawei with an industrial port area in central Thailand, transportation costs of natural gas and Middle East crude oil could be drastically reduced, according to Thaksin. "

Ah you want the Japanese to pay for it, what did they say?

"Thailands dream of acquiring a trade gateway to the Indian Ocean may be scuppered not because of lukewarm interest by Japanese investors but because of Burmese and Chinese business interests. The Bangkok government has blamed problems in securing Japanese investment for the latest delay in forging ahead with the Dawei industrial port project on Burmas southeast coast".

Ok I see its the Japanese fault.

I am sure the Japanese don't mind paying, it's just being dictated to and knowing that 30% ( minimum) ends up in someone's pocket is the sticking point.

[shrimpythailand]

the company I work for in Thailand has done repair work in the past for Italian Thai for hydraulic cylinder repair on their machines and never gotten paid for like 6-12 months after the job was completed - and our terms are 30 days .... not big money but... just goes to show you that ITD is a non paying customer...needless to say - we don't do cylinder repairs for them anymore...big company - lots of mega projects... but they don't pay their suppliers...at least unless you can afford to wait 12 months...unless they are a lot bigger than my company or they must have the brand name product... like CAT or O&K for their big excavators and dump trucks... lovely...nothing like waiting a year for a 3-10,000 usd repair job or whatever... I guess they must have to pay some suppliers... 5 5 5

[Thai at Heart]

the company I work for in Thailand has done repair work in the past for Italian Thai for hydraulic cylinder repair on their machines and never gotten paid for like 6-12 months after the job was completed - and our terms are 30 days .... not big money but... just goes to show you that ITD is a non paying customer...needless to say - we don't do cylinder repairs for them anymore...big company - lots of mega projects... but they don't pay their suppliers...at least unless you can afford to wait 12 months...unless they are a lot bigger than my company or they must have the brand name product... like CAT or O&K for their big excavators and dump trucks... lovely...nothing like waiting a year for a 3-10,000 usd repair job or whatever... I guess they must have to pay some suppliers... 5 5 5

My previous company stopped all business with them years ago when it became apparent that 180 days was standard.

[Always18]

No surprises here folks - move along please.................

[Hornell]

Towards the end of December last year
the then Transport Minister Chatchart Sithipan on a trip to Burma said that
Japan has long-term funding sources for investment in infrastructure, including
ports and roads that the cost of a railway from the proposed Dawei Port in
Myanmar (Burma) to Thailand's Eastern Seaboard would be some Bt20 billion. Hmmmm, I think the last Thailand-Burma
Railway cost a lot more than that in lives and one can only hope that Japan is
not invited to participate in the next one.

[maidu]

Some projects just won't get done, when there's overwhelming amounts of thievery in the mix.

I've got some projects which are miniscule compared to a deep sea port. Yet, I've had to give up on them due to persistent thievery. As soon as I string up a few hundred meters of wiring, it gets ripped off. If I put out some solar panels, they get stolen. The number of rip-off incidents could fill a small book. I've given up trying to get things done here in Thailand. It's too likely things will get stolen or destroyed. I'll just recede, like a turtle, to an apartment, with a bed and computer, and do what most middle aged farang do. Just sit things out, and not be involved with community or developing interesting/creative projects.

[Tomtomtom69]

@Hellodolly Is Myanmar more corrupt than thailand what do you base that statement on?

The corruption perception index compiled by transparency international.

[hellodolly]

@Hellodolly Is Myanmar more corrupt than thailand what do you base that statement on?

Reality why do you ask?

look it up for yourself www.transparency.org/

By the way you spell Thailand with a capitol T

[hellodolly]

this is quote from BPost Feb.12.2013'

"Japan is calling for industrial and container ports to be separated - similar to the setup of Thailand's industrial port in Map Ta Phut and container port in Laem Chabang - to prevent traffic congestion.

He conceded that disagreements between Thailand and Japan on several aspects of the Dawei project would make it difficult for the development to kick off.

The minister also said the Japanese government was no closer to making an investment commitment."

I think the Japanese investors are correct in their assessment, there are no clear & transparent plans.

This cant be right, this is Thaksin's baby, he has sold this project to many of his friends and we all know what a brilliant businessman this criminal is. Yes that was sarcasm we all know that what every Thaksin touches turns to toxin.

Whats gone wrong this time Thaksin?

"Although the company has spent on tools and machineries for project, no one knows the company's actual amount on investment. There was no transparency. It is believed that the company is in financial difficulty, the source said."

So the company that's building it is at fault?

"Myanmar wants to scale down the size of its deep-sea port and industrial estate in Dawei, but Thailand fears a decrease could affect the feasibility of related projects". http://www.intellasia.net/burma-wants-to-scale-down-dawei-255119

Ah its the Myanmar governments fault?

"Thaksin Shinawatra arrived in Dawei this morning by private jet from Yagon......A group of businessmen believed to be from Malaysia led by Thaksin unexpectedly arrived Dawei yesterday morning and toured the islands along Maungmagun beach............Thaksin had visited Dawei at least three times in last two years." http://democracyforburma.wordpress.com/2013/03/21/thaksin-shinawatra-arrived-in-dawei-this-morning-by-private-jet-from-yagon/

Ok what did you and your investors discover?

"Visiting former Thai Prime Minister Thaksin Shinawatra stressed the necessity of a partnership between Japan and Thailand on the development of a special economic zone in Myanmar.........Thailand's neighbor, has granted Thai companies concessions to develop a special economic zone in Dawei in the southern part of the country..........For instance, if a pipeline connects Dawei with an industrial port area in central Thailand, transportation costs of natural gas and Middle East crude oil could be drastically reduced, according to Thaksin. "

Ah you want the Japanese to pay for it, what did they say?

"Thailands dream of acquiring a trade gateway to the Indian Ocean may be scuppered not because of lukewarm interest by Japanese investors but because of Burmese and Chinese business interests. The Bangkok government has blamed problems in securing Japanese investment for the latest delay in forging ahead with the Dawei industrial port project on Burmas southeast coast".

Ok I see its the Japanese fault.

I am sure the Japanese don't mind paying, it's just being dictated to and knowing that 30% ( minimum) ends up in someone's pocket is the sticking point.

I think it is more on the Myanmar side.

[hellodolly]

Towards the end of December last year

the then Transport Minister Chatchart Sithipan on a trip to Burma said that

Japan has long-term funding sources for investment in infrastructure, including

ports and roads that the cost of a railway from the proposed Dawei Port in

Myanmar (Burma) to Thailand's Eastern Seaboard would be some Bt20 billion. Hmmmm, I think the last Thailand-Burma

Railway cost a lot more than that in lives and one can only hope that Japan is

not invited to participate in the next one.

Just a minor correction. It was the Koreans who built the last one and when they turned it over to the Japanese the prisoners living conditions got better.

[thhMan]

Some projects just won't get done, when there's overwhelming amounts of thievery in the mix.

I've got some projects which are miniscule compared to a deep sea port. Yet, I've had to give up on them due to persistent thievery. As soon as I string up a few hundred meters of wiring, it gets ripped off. If I put out some solar panels, they get stolen. The number of rip-off incidents could fill a small book. I've given up trying to get things done here in Thailand. It's too likely things will get stolen or destroyed. I'll just recede, like a turtle, to an apartment, with a bed and computer, and do what most middle aged farang do. Just sit things out, and not be involved with community or developing interesting/creative projects.

Thats a tradgedy mate...

I have been thinking about getting into solar projects but until your post, it never occured to me that panels etc would get stolen...

[sprq]

Some good news at last!