More South Asia FTAs eyed

Deputy Commerce Minister Alongkorn Ponlaboot yesterday began a four-day visit to India to discuss ways to expand free trade with countries in the Bay of Bengal region.The government hopes to revive free trade talks that have been stalled since June last year, said Mr Alongkorn, who will visit New Delhi, Chennai and Mumbai along with Thai trade negotiators.

He is scheduled to hold talks with Jyotiraditya Scindia, India’s minister of state for commerce and industry, on FTA agreements under the framework of Bimstec (the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Co-operation).

Thailand and India have been pursuing expanded free trade agreement under Asean co-operation framework since early this year.

Bimstec economic and trade ministers signed a framework agreement in 2004 in Phuket, to establish a free trade area by 2012, leading to liberalisation of trade in goods, services and investment.

The Bimstec group comprises Bangladesh, Bhutan, Burma, India, Nepal, Sri Lanka and Thailand.

The seven countries held 18 rounds of negotiations before talks were suspended last June due to political conflicts between member countries.

The group’s initial six areas of co-operation have now risen to 14. Agreement has been reached on the issues of: trade and investment, transport and communication, energy, tourism, technology, fisheries, agriculture, public health, poverty reduction, anti-terrorism and international crime, environment and natural disaster management, culture, and climate change.

Two-way trade between Thailand and Bimstec totalled US$10.40 billion last year, a drop of 11.4% from a year earlier. Exports from Thailand were worth $5.8 billion, a rise of 2.66%, with imports worth $4.6 billion, down 24.5%.

Mr Alongkorn is also due to meet Kamal Nath, India’s minister for roads and highways, to talk about logistics co-operation between Thailand and Bimstec members.

The Thai delegation also intended to hold talks with Bollywood film executives in Mumbai on the possibility of working together in entertainment projects.

Source: http://www.bangkokpost.com/business/economics/37578/more-south-asia-ftas-eyed