Bangkok hopes to broaden ties with Laos by 150 per cent in three years

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BILATARALTRADE
Bangkok hopes to broaden ties with Laos by 150 per cent in three years
Petchanet Pratruangkrai
The Nation

BANGKOK: -- The government targets increasing bilateral trade with Laos by 150 per cent in the next three years through closer cooperation between border provinces in the two countries, as well as the plan to develop a special economic zone (SEZ) in Mukdahan.

Commerce Minister General Chatchai Sarikulya said Thailand and Laos would cooperate more closely on trade and investment under the Asean Economic Community (AEC), with two-way trade increasing by 1.5 times over the next three years.

This weekend, Chatchai will lead a group of Thai businesspeople to Savannakhet province in Laos to firm up trade cooperation and conduct business matching.

He will also meet with a Laotian cabinet minister to discuss border trade between the two countries.

In 2014, Thai-Laotian bilateral trade rose by 14.32 per cent year on year to Bt151 billion, with Thailand holding a trade surplus of Bt96 billion.

Chatchai said more trade could be seen under the AEC, as well as through the planned SEZ in Mukdahan province, which borders Savannakhet province.

During the mission, Chatchai will also witness the signing ceremony of a memorandum of understanding for a Thai private hospital to set up in the Savan-Seno Economic Zone in Savannakhet.

The Thai government will also support the use of East-West Economic Corridor Route No 9 connecting Myanmar, Thailand, Laos and Vietnam.

The Commerce Ministry will hold a border-trade fair from tomorrow through Monday at City Hall in Mukdahan.

Many products will be traded at the event, including One Tambon One Product items, consumer goods, agricultural equipment, organic products, handicrafts, and franchise businesses.

The fair is projected to generate Bt30 million in immediate sales.

Source: http://www.nationmultimedia.com/business/Bangkok-hopes-to-broaden-ties-with-Laos-by-150-per-30255271.html


-- The Nation 2015-03-04

[BSJ]

I don't know a lot about Laos industry for me come to any solid conclusions about the benefit of this free trade but Wikipedia indicates they export: ag products 51%, mining commodities 27%, clothing ??%, wood ??%, which to me, doesn't indicate they are an industrial powerhouse!

And it seems the pendulum swings in Thailand's favour with trade.

So, what's in it for Laos?

[Tomtomtom69]

Laos could become a minor production center for textiles and importantly, because this is what it is trying to promote, a major transit country for east-west trade mainly between Thailand and Vietnam. This is in addition to mining, logging, hydropower, agriculture and other exploitation of natural resources and of course tourism.

Another advantage of Laos is it takes advantage of the lack of a cross-border transport agreement between Thailand and Vietnam. This means that all trade transiting Laos must be offloaded to either Thai or Lao trucks heading to Thailand from Vietnam, or Lao or Vietnamese trucks heading from Thailand to Vietnam. This is because the lack of a cross-border transport agreement means Thai vehicles can't enter Vietnam, while Vietnamese vehicles can't enter Thailand. The only exceptions are caravan tours that have been pre-approved by the authorities of the respective countries but that doesn't apply to commercial vehicles.

[natway09]

At least you will be able to buy a beer in some of their great bars at 2am & watch some sport.

Vientianne may just become a great entertainment hub, as Thailand does not want quality tourists anymore

simply busloads of tours who spend nothing (just bums in beds)