ACTIVITY REPORT 2015 This Project is supported by
EABC ACTIVITY REPORT 2015 1 the European Union
TA B L E O F C O N T E N T
04 05 05 06 08 10 13 14 14 15 16 19 19 20 23 23 23 European Association for Business and Commerce (EABC) 1 Empire Tower, 25th oor South Sathorn Road, Yannawa, Sathorn Bangkok 10120 Thailand Tel: +66 2670 0624 Fax: +66 2670 0608 Website: www.eabc-thailand.eu
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Executive Summary Policy Advocacy Advocacy Working Group Meeting High-Level Dialogues with Thai Authorities Contribution to key Thailand-EU Policy Dialogues Seminars, Conferences and Workshops High-Profile Event on Thai-EU Trade and
Investment Relations
trade and investment in Thailand
Entry point for companies in Europe Knowledge-based repository database on
Sectoral Guidebooks EABC Outreach Activities to EU SMEs
Membership and Networking Membership and Sponsorship Development 2015 Events and Networking
External Communications Membership Directory EABC Daily News Line and Weekly News Update EABC in the Media
Executive Summary European Association for Business and Commerce (EABC) in 2015 – A year in perspective Provided the emergence and development of key policy and regulatory issues in relation to trade and investment between Europe and Thailand, such as the commencement of the negotiation of EU-Thailand Free Trade Agreement (FTA) in March 2013, EABC have been underlying its effort since its establishment of the center, particularly in 2013 - 2014, EABC with its full effort supported this important matter and other relevant aspects thereon. Furthermore, the European Union’s Generalized Scheme of Preferences (GSP) was suspended from over 6,200 Thai products since the 1st January 2015. Therefore, EABC in the role of European Business Representative in Thailand has strongly indicated to the Royal Thai Government of the imperative of having the EU-Thailand Free Trade Agreement (FTA) in order for Thailand to remain competitive among the ASEAN region. In 2015, the political climate in Thailand has continued to affect the functioning of EABC Advocacy Working Groups and their policy outputs. However, with the re-staffing and re-establishing of a fully functioning EABC team in 2015, EABC has attempted with its utmost effort to maintain its role as a facilitating platform for European business in Thailand. In 2015, EABC has continued voicing its concerns regarding several issues in Thai regulations and related that are considered difficult the ease of doing business in Thailand. These concerns are explained in EABC’s position paper and trade confidence survey. The latter was successfully illustrating the confidence of European business representatives in Thailand on the economic atmosphere in 2015. Additionally, EABC has also held several high level meetings with representatives from the Thai Government in order to discuss and exchange in dialogue from both sides as well as to submit recommendations from EABC working groups to the related Thai authorities including but not limited to, the Deputy Prime Minister, Minister of Commerce and the Minister of Transport. Furthermore, the result of the Mid-term Review in 2013 regarding the reassessment exercise led to the revision of component 2 of the Annual Work Plan 2014. EABC has put an effort to develop its strategy to serve as an entry point for SMEs in Europe to enter Thailand. 16 outreach activities in Europe have been conducted in 13 member’s states with the concept of seminars on basic knowledge on doing business in Thailand. The outreach has not only increased EABCs opportunities to reach out to European SMEs. At the same time it has maintained EABCs good relationship with stakeholder’s i.e. local chamber in Europe, EUROCHAMBRES, BOI and most importantly the strengthening of the co-operation between similar EU projects in ASEAN.
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EABC ACTIVITY REPORT 2015
EABC has fully adopted a knowledge - based repository database on trade and investment in Thailand with the establishment of a Business Help desk for EU SMEs. One full time SME officer is dedicated to support the structure and advisory revenue providing neutral information in regards to market access for EU - SMEs wanting to enter Thailand. At the same time, the two-tier support services have been implemented. As a result, EABC received the highest numbers of enquiries from SMEs in Europe comparing to the first four year previously. In addition it should be highlighted that EABC was able to deliver business support service for business matchmaking requested from a Slovenian company as a result from the outreach activities in Europe, this activity generated an income for the first time in EABC since establishing the center. It is a significant milestone and important reference for EABC to continue developing the business support services further in 2016. Additionally, this activity indirectly provided opportunities for EABC to attract more members either in Europe or Thailand i.e. participants from the seminar in Europe or enquiries received from European affiliated entities in Thailand which can be potentially developed to EABC members further. In 2015, with the reorganisation of the EABC secretariat, EABC has effectively continued working to achieve its targets that were projected from the annual work plan 2015 which is in line with the grant contract. In terms of the derivable output, EABC secretariat also managed to implement some activities which were carried over from 2014. In particular the EABC 2015 position paper that was successfully launched in March 2015. At the launch there were many honourable guests from The European Delegation in Thailand, European Embassy Member states, the Royal Thai Government and many leading media and press representatives. In 2015, EABC secretariat has experienced new challenges again when the previous Executive Director’s employment contract expired and 4 out of 8 staff resigned. EABC has gone through a reorganisation process and has recruited a new Executive Director, Peter Bjork. The appointment of Mr. Peter Bjork was endorsed by the European Delegation to Thailand on 18 June, 2015. EABC has been restarted in difficult conditions; the office has been reorganised and 3 - 4 positions been recruited. Meetings with the Consortium Partners have been conducted and a new strategy for sustainability initiated. EABC advocacy working groups now consists of ten (10 working groups) and undertake their tasks as a policy platform and advocacy
Policy Advocacy I. Advocacy Working Group Meetings tool representing the interests of European business community in Thailand. All ten working groups endeavour to contribute to the improvement of the trade and investment for European companies in Thailand through the key activities in Policy and Advocacy. In 2015, forty-five (46) meetings of the ten Working Groups were held and mostly were at the EABC premises. Discussions and strategies on key actions and activities of EABC advocacy working groups took
place with an objective to actively facilitate market access issues in Thai market for European companies as well as to engage in policy dialogues and technical discussions with Thai authorities.
Current leaders of ten Advocacy Working Groups are listed below:
Automotive Working Group Chair
Mr Michael Grewe
Mercedes-Benz (Thailand) Ltd.
Chair
Mrs Lyn Kok
Standard Chartered Bank (Thai) Plc.
Lead, Customs Sub-WG
Mr Emmanuel Cibla
Essilor Manufacturing (Thailand) Co. Ltd.
Lead, Legal and Employment Sub-WG
Mr Stephen Frost
Bangkok International Associates
Mrs Jayne Harvey
Diageo MoĂŤt Hennessy (Thailand) Ltd.
Cross Sectoral Issues Working Group
Food and Beverage Working Group Chair
Energy and Energy Efficiency Working Group Chair
Mr Choochai Eiamrungroj
Shell (Thailand) Ltd.
Chair
Mr Gunnar Bertelsen
Telenor Asia (ROH)
Vice Chair
Mr Bob Fox
Navcomp AB
Mr Jerome Kelly
Lawtonasia Insurance Brokers Ltd.
ICT Working Group
Insurance Working Group Chair
Intellectual Property Right (IPR) Working Group Chair
Dr. Kittipong Jangkamolkulchai
Philip Morris (Thailand) Limited
Healthcare & Pharmaceuticals Working Group Chair
Dr Thavirap Tantiwongse
GlaxoSmithKline (Thailand) Ltd.
Vice Chair
Ms Paranee Adulyapichet
Bayer (Thailand) Ltd.
Mr Georg Wolff
Civil Engineering Solutions (Thailand) Ltd.
Mr Thomas Tieber
DHL Global Forwarding (Thailand) Ltd.
Rail & Road Infrastructure Working Group Chair Transport & Logistics Working Group Chair
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II. High-Level Dialogues with Thai Authorities
Numbers of high-level dialogues and technical discussions on key trade policy and market access issues have been initiated and conducted by EABC ten Advocacy Working Groups. The dialogues and discussions were undertaken with the aim to introduce the EABC as representatives of European businesses in Thailand and to table trade policy recommendations on key issues of concern among European business with relevant authorities. Eighteen (18) dialogues and technical discussions on trade policy and regulatory have been held in 2015 as listed below: • • • • • • •
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12 January, 2015: Dialogue meeting with Customs-Department regarding Free Zone (FZ), Customs reform, Formal Customs Entry in English and National Single Window (NSW) 13 January, 2015: Dialogue Meeting : BOI policies – ICT and services focus consultation regarding the visa and work permit of ICT skill labour 21 January, 2015: Dialogue Meeting with Ministry of Industry concerning to industrial issues (e.g., CO2 approval process and labelling, Mutual Recognition Arrangement (MRA) of ASEAN Automotive Sector, and control mechanism for the hazardous substances) 28 January, 2015: Dialogue Meeting with EDTA Director on Digital Economy Laws 25 February, 2015: Dialogue Meeting with Director General of Office of Transport and Traffic Policy and Planning (OTP) l regarding the implementation and advantageousness of different standards and EABC roles in facilitating the operation of the OTP 30 March, 2015: Dialogue Meeting with Deputy Minister of Commerce regarding to the potentiality of the Thailand – EU Free Trade Agreement (FTA) 10 January, 2015: Dialogue Meeting with BOI Senior Executive Investment Advisor concerning to the 2015 BOI’sinvestment promotion scheme, particular in the areas of ICT and services
EABC ACTIVITY REPORT 2015
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28 July, 2015: Consultation with Office of the Public Sector Development Commission (OPCD) on Facilitation Act to discuss about Facilitation Licensing Act 2015 9 September, 2015: Courtesy Call on Ministry of Commerce, H.E. Apiradi Tantraporn concerning to the paused of Thailand-EU Free Trade Agreement 23 September, 2015: Dialogue Meeting with Deputy Director General, Department of Intellectual Property, Ministry of Commerce of Thailand concerning to the patent pendency time (Backlog) 24 September, 2015: Courtesy meeting with H.E. Kasit Phiromya (Democrat Party) on the paused of EU–THAI FTA 28 September 2015: IP Consultation with EUD and EU Member states to inform the EUD regarding the Intellectual Properties’ in current situation in Thailand 29 September, 2015: Courtesy meeting with Deputy Prime Minister Air Chief Marshal Prajin Juntong regarding European rail standards 2 October, 2015: Rail and Road WGs consultation with the EUD on European rail standards and potential financial support 2 October, 2015: Dialogue meeting with Ministry of Transport, Mr. Arkhom Termpittayapaisith 13 November 2015: IPR and Healthcare & Pharmaceuticals WGS meeting with DIP Director-General, Mrs. Nantawan Sakuntanaga, regarding private sector’s concerned DIP-related issues 12 November, 2015: Cour tesy dialogue meeting with ICT Minister Mr. Uttama Savanayana, regarding recommendation on trusted internet policy 9 December 2015: Courtesy Dialogue with Chairman, National Broadcasting and Telecommunications Commission (NBTC)
Highlights of 2015 high-level dialogues: •
Dialogue meeting with Customs-Department on 12 January, 2015 regarding Free Zone (FZ), Customs reform, Formal Customs Entry in English and National Single Window (NSW)
Representatives from EABC Automotive Working Group, Food & Beverage Working Group and Customs sub-Working Group met the Customs Principal Advisor, Mrs. Chawewan Kongcharoenkitkul, on 12 January 2015 at the Customs Department. The meeting discussed on several issues such as Customs reforms, trade facilitation and Customs Free Zone (CFZ). With strong support from the Customs officials, the meeting was successfully organised.
• Dialogue Meeting with Deputy Minister of Commerce on 30 March 2015,
The EABC Executives, led by Mr. Rolf-Dieter Daniel, called for a high-level meeting with Deputy Minister of Commerce H.E. Apiradi Tantraporn to discuss potentiality of the Thailand–EU Free Trade Agreement (FTA). The EABC urged the Thai government to speed up the paused in Thailand–EU Free Trade Agreement negotiation, starting at the technical discussion. The EABC has offered its assistance to facilitate Royal Thai Government through the consultation with the EU Commission in Brussels. There were 8 participants participated in the meeting. EABC represented by Mr Rolf-Dieter Denial, EABC’s president, Mr Jan Ericson, EABC vice-president and Mr. Peter Bjork EABC executive Director including Deputy Minister of Commerce H.E. Apiradi Tantraporn.
• Courtesy Call on Department of Intellectual Property, Minister of Commerce
23 September 2015, DIP, Ministry of Commerce: Led by the EABC’s Chairperson of IPR Working Group, the EABC members called for a dialogue meeting with Deputy Director General Suphat Saquandeekul, Department of Intellectual Property (DIP), Ministry of Commerce. Three main issues were discussed, with an excellent collaboration from the DIP; (1) the manual of patent examination enforced under the Licensing Facilitation Act, (2) the progress of the implementation of patent examination guideline and the IP backlog, and (3) the involvement of European Business Community in draft IP laws. The discussion was fruitful and cooperative. The DIP and EABC agreed on the future continual engagement and policy dialogue.
• Courtesy meeting with Deputy Prime Minister Air Chief Marshal Prajin Juntong on 29 September, 2015
The President of EABC, Mr. Rolf-Dieter Daniel, together with Mr. Georg Wolff, the Chairperson of EABC’s Rail and Road Infrastructure Working Group led the EABC delegates to meet with H.E. Deputy Prime Minister ACM Prajin Juntong to discuss a potential introduction of European Standards to the Thai railway system as well as backlogs in the rail system in the country. At the same occasion, the EABC submitted its recommendations for Thailand’s railway system development to the DPM ACM Prajin. A possible collaboration between the Royal Thai Government and EABC on technical assistance and training provision for government officials was also discussed. There were approximately 10 participants attended the meeting, EABC represented by Mr.RolfDieter Denial, EABC’s president, Mr. Georg Wolff, chair of Rail and Road Infrastructure Working Group including H.E. Deputy Prime Minister ACM Prajin Juntong and senior officer from Office of the Public Sector Development Commission (OPDC).
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Courtesy dialogue meeting with ICT Minister M r. U t t a m a S a v a n a y a n a , r e g a r d i n g recommendationon trusted internet policy on 12 November, 2015
The EABC Advocacy team in collaboration with Joint Foreign Chamber of Commerce Thailand (JFCCT) ICT working group hosted a meeting with Trade Policy and Strategy Office, Ministry of Commerce to discuss services sector development in Thailand. The meeting was chaired by Mr. Bob Fox, JFCCT/EABC ICT working Chair, attendees from the Ministry of Commerce led by Ms. Pimchanok Vonkhorporn, Deputy Director General of the Trade Policy and Strategy Office. The discussion covered a wide range of issues, namely, importance and roles of services sector, concept of services sector liberalization, under-developed services areas, cloud services, e-commerce, Foreign Business Act (FBA), BOI investment scheme. The ICT WG members urged for the revision of law/regulation as well as related frameworks to better serve the liberalization of services sector in Thailand. Further dialogue is anticipated. There were 10 attendees participated in the meeting including Ms. Pimchanok Vonkhorporn, Deputy Director General of the Trade Policy and Strategy Office led government officers from Ministry of Commerce to attend a meeting with JFCCT/EABC ICT WG chaired by Mr. Bob Fox, EABC ICT Vice Chair.
III. Contribution to key Thailand EU Policy Dialogues EABC, along with its Working Group members, represented and made contribution in a number of key Thailand-EU policy dialogue and consultations in Thailand, ASEAN and Europe. Highlight of EABC participations in policy dialogues and consultations in 2015 are as following:
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EABC ACTIVITY REPORT 2015
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Representatives of the EABC ICT Working Group have been participating in the Saturday morning Open Forums on Digital Economy at ETDA. Participated in EU-ASEAN Business Council - Supervisory Board Meeting on the 20th March 2015 in KL, Malaysia Participated in the press conference organised by Thailand’s Ministry of Commerce to report of their 6-month achievement on 20 April 2015. Participated in EU-ASEAN Business Council and EU Commissioner on the 24 - 26th April, 2015 KL, Malaysia Meeting with EU Trade Commissioner in KL 24 - 26 April, 2015 EABC representative attended the Coordination platform for the internationalization of the EU Business Community in the Asia Region–CIR ICI+/2014/355-658 organised by Eurochambres, held on 26 - 27 May, 2015 in KL, Malaysia EABC representative participated in a Regional Coordination Meeting with Regional ICI+ EU-ASEAN Business Network in KL on 28 May, 2015 Participated in AGM EU-ASEAN Business Council in Hanoi, Vietnam on 1st June, 2015 Mr. Michael Grewe chair of Automotive WG and Mr. Bob Fox vice chair of ICT WG, attended panel discussion on behalf of EABC for the topic of automotive and ICT respectively, at the 4th annual ASEAN-EU Business Summit in Kuala Lumpur on 23 August, 2015 Participated in WTO’s Trade Policy Review no. 7 on 22 June 2015 Participated in World Bank’s seminar on the ASENA Services Integration Report on 23 June 2015 The focus group organised by DTN and Sasin on Strategy for EU-Thailand FTA negotiation on 1 September, 2015 EABC’s president joined EU-ASEAN Business Council Mission to Brussels, 14 - 16 September, 2015 EABC’S president attended Supervisory Board meeting and the associated event being organised by ECCP in Manila, Philippines on 27 October, 2015 EABC’s representatives attended the conference on the Investment opportunities in Laos-Cambodia and Myanmar Regional at Thai Chamber of Commerce on 3 November, 2015 EABC executive director attended the SEBSEAM Coordination Meeting in HCMC, Vietnam on 4 December, 2015
Highlight of EABC participations in policy dialogues and consultations in 2015:
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EABC ICT Working Group organised an open forum co-hosted with the Electronic Transactions Development Agency (ETDA) in the Saturday morning Open Forum on Digital Economy at ETDA on 7 February 2015
On the 25 April 2015, Led by Mr. Donald Kanak; Vice chairman EU-ABC, Chairman of Prudential Corporation Asia, the European Business Community in ASEAN included, President of EABC, Mr. Rolf-Dieter Daniel, Thailand, discussed the trade-related issues in ASEAN with Mrs. Cecilia Malmstrom, EU Trade Commissioner in Kuala Lumpur, Malaysia. The main objective is to flag the importance of ASEAN as emerging market and investment destination which the EU should be paying more attention to. On the 26 April 2015, EABC president attended the officially launched the Annual ASEAN – EU Business Summit organised by EU-ABC together with the EU-Malaysia Chamber of Commerce & Industry (EUMCCI) at a press conference in Kuala Lumpur and at the same occasion, the EU-ABC also launched agenda in its Position Paper, topic of the Promotion of Trade and Investment between ASEAN and Europe. The Agenda contains twelve recommendations regarding trade facilitation and market access.
The topics covered so far include Cyber security, Data Protection, Infrastructure. A panel at the Open Forum on 7 February is shown discussing the EABC ICT model as well as identified the core issues in ICT sector particularly, to reiterated the liberalization of service sector as it is an important key to unlock Thai economy. The morning session also illustrated the EABC visibility role in ICT sector as well as to develop relationship between EABC and related Thai Authority and the plan on
• Participated at the 4 th ASEAN-EU Business Summit on the 23 rd August in Kualalumpur, Malaysia.
collaboration to further improve the standards of ICT in Thailand.
• Participated EU-ASEAN Business Council and EU Commissioner on the 25 - 26th April, 2015 KL,Malaysia
The EABC participated at the 4th edition of the ASEAN-EU Business Summit held on the 23rd of August 2015, in Kuala Lumpur, Malaysia at the Mandarin Oriental Hotel, held during the sidelines of the 47th ASEAN Economic Ministers Meeting. The event was organised by the EU-Malaysia Chamber of Commerce and Industry (EUMCCI) and the EU-ASEAN Business Council (EUABC) with support from the ICI + projects in ASEAN, including the EABC. Representing the EABC were Mr Rolf Dieter Daniel - President of the EABC as well as Mr Michael Grewe - Chairperson of the EABC Automotive WG and Mr Bob Fox - Vice Chairperson of the EABC ICT WG, both of whom participated as speakers in panel discussions pertaining to their respective industries.
President of EABC, Mr. Rolf-Dieter Daniel attended EU-ASEAN business council’s activities during 25 - 26th April, 2015 KL, Malaysia which details are following;
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IV. E uropean Business Position Paper 2015 and its Launch Event The event essentially served as a platform for business leaders in the region to highlight, share and discuss key issues relating to the state of the economy in ASEAN and ASEAN integration, global business trends, etc, culminating in a final overview of key elements affecting the major business sectors in the region that was presented to the ASEAN Ministers who also graced the event.
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EABC President joined the EU-ASEAN Business Council (EU-ABC) delegation visiting various ministries at the EU Commission in Brussels in 14 - 16 September 2015
Throughout the effort of EABC in effectively functioning all ten (10) advocacy working groups, one key achievement of EABC advocacy activities was the publication and launch of the third edition of European Business in Thailand Position Paper on trade, investment issues and recommendations with high-level participation from both the European side and Thai authorities.
EABC led by Mr. Rolf-Dieter Daniel, EABC President was part of the EU-ASEAN Business Council delegation visiting various ministries at the EU Commission in Brussels during 13 - 15 September 2015. The activities for the 2 days visiting are detailed as following; - - - -
Meeting VP Katainen and Cabinet Expert Bannermann of the European Commission; Briefing with DG Grow represented by Deputy Head International Affairs Mr. Kyriatzis, Mr. Gonzalez Sanchez (Policy Officer), Mr. de Taxis du Poet (Policy Officer) and Mr. Busini from the EU Foreign Action Service. Meeting with DG Trade with Minister of Mrs. Cecilia Malmstrom cabinet, Mrs. Asenius and Policy Officer Mrs. Coutsouradis discussing current issues. Introduction to the financial arm DG FISMA discussing collaboration on financial services regulations with Mr. de Cervin, Head of Inter institutional Affairs.
The EU-ABC consists of representatives of the European Chambers of Commerce in South East Asia who are members of the EU-ABC and EABC. During one of the meeting with Mrs. Cecilia Malmstorm, EABC president also flagged the imperative to resume EU-Thailand Free Trade Agreement in order to facilitate trade liberalisation for the European business in Thailand.
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EABC ACTIVITY REPORT 2015
Representing the dedication and endeavours of the Advocacy Working Groups which form the key driving engine and cornerstone of the EABC, the EABC Position Paper has been used in all opportunities to promote constructive dialogue with the Thai authorities, both at the policy and business levels, towards call for improvement of the market access conditions and a fair level playing field for European companies in Thailand. EABC has launched the 2015 European Business Position Paper on 5 March 2015 at Sheraton Grand Hotel, Bangkok. Led by Mr. Rolf-Dieter Daniel, EABC President, Mrs. Lyn Kok, Vice President and Chairperson of EABC Cross Sectoral Issues Working Group and Mr. Michael Grewe, EABC Board Member, and a Chairperson of EABC Automotive Working Group proudly welcomed Miss Chularat Suteethorn, Vice Minister for Finance, Ministry of Finance who presided over the Launch of 2015 European Business Position Paper and a panel discussion on “Strengthening Thai – European Economic Relations towards a More Competitive Thai Economy”. Mrs. Luisa Ragher, Chargé d’affaires of the Delegation of the European Union to Thailand, Mr. Siriruj Chulakaratana, Deputy Director, Office of Industrial Economics, Dr. Wisarn Pupphavesa, Senior Advisor, Thailand Development Research Institute (TDRI), and Mr. Viriya Chongphaisal, Representative of Healthcare and Pharmaceuticals Working Group of EABC also joined the event. The panel discussion was held successfully; all the attendants had a great opportunity to take note of the current vision and highlighted five recommendations to gear up the Thai economy towards more competitiveness and how to apply ‘Innovation as the mean to break loose from “middle income trap”. There were 154 attendants along with EABC’s members, members of its Consortium Partners, high-level diplomatic representatives from European Member States Embassies; EU Delegation and Thai authorities participated in the launch event.
An electronic version of the Position Paper could be found on EABC website at http://www.eabc-thailand.eu/business-lib/167/2/ POSITION+PAPERS.htm
V. S eminars, Conferences and Workshops Under the recommendations of six (6) of the EABC Working Groups, nine (9) events have been held in diverse format of roundtable discussion, seminar, and luncheon. The events can be featured below:
Approaches to achieving goals of establishing digital infrastructure with sufficient capacity and coverage to support seamless service delivery, building digital skills and transforming business practices, and enhancing overall ICT readiness as assessed by global indices can be practiced by (1) the deployment of efficient broadband networks and appropriate structure for the telecoms sector; and (2) properly governed and trusted internet to harvest the full innovative potential and secure usage of new services. With focus on these two approaches European businesses have potential to assist in developing national broadband in term of a design as to which model of broadband infrastructure is most appropriate and a management as to how a multi-stakeholder model featuring governance and security can help achieve the trusted internet. There were 103 attendees including senior representatives from The National Broadcasting and Telecommunications Commission (NBTC), Electronic Transactions Development Agency (ETDA), Universities and European communities in Thailand.
• ASEAN’s Mid-Year Economic Review 2015 on the topic of “ASEAN Economic Community (AEC): Illusion or Reality?”
• ICT Conference: Digital Economy: The Industry Speaks
On 29 April 2015, EABC in collaboration with Joint Foreign Chamber of Commerce (JFCCT) co-organised the ICT conference entitled “Digital Economy: The Industry Speaks”. The conference was sponsored by Thai leading telecommunication companies such as AIS, DTAC, UTEENI, ELTEK as well as supported by the Association of Thai ICT Industry, Creative Chiang Mai, Electronic Transactions Development Agency (ETDA), and Motion Picture Association (MPA). The conference comprised address and moderated topic sessions presenting industrial perspective towards the Thai government’s policy proposing a name change to the administration of the ICT to Digital Economy and establishing a National Committee for Digital Economy and Society, and several new laws and amendments to existing laws to underpin the agenda. The policy aimed at revitalizing sector with a better performance, better citizen and business engagement and greater contribution to GDP. Highlights included shared perspectives based on global experiences of how ICT/digital economy sector become innovative, attractive and contribute more to the user groups and the government. The conference was well perceived by all stakeholders on the potential of digital technology in increasing Thailand’s competitiveness and bringing the country out of the middle-income trap. Digital economy policy would bring a steady growth in all dimensions including economic, business, social, and governmental sectors in Thailand.
On 23 July 2015, EABC in collaboration with 8 partnering chambers of commerce – British Chamber of Commerce in Thailand, Belgian-Luxembourg Thai Chamber of Commerce, Danish-Thai Chamber of Commerce, Franco-Thai Chamber of Commerce, German-Thai Chamber of Commerce, Irish Thai Chamber of Commerce, Netherlands-Thai Chamber of Commerce, and Thai -Swedish Chamber of Commerce - organised ASEAN’s Mid -Year Economic Review 2015. The economic review was organised as a panel discussion with a topic entitled “ASEAN Economic Community (AEC): Illusion or Reality?” The panel achieved its goal in giving insights into the current and future development of ASEAN’s economic pillar and well as remaining challenges in driving ASEAN towards a potential trading and investment hub of Asia. EABC invited well-recognized figures to participate in the panel discussion including Dr. Ulrich Zachau, Director of World Bank (Thailand’s Country Office), Mr. Andrew Durieux, CEO and Consultant/Coverage Ltd (Thailand),and Ms. Usara Wilaipich, Senior Economist, Standard Chartered Bank PCL. Major discussion point was that ASEAN Economic Community emerged as the next worlds’ economic engine; however, challenges remained on how to balance between the reduction of inequality and the acceleration of economic growth. Panellists suggested on the matter that ASEAN can tackle these challenges through (1) more integration by promoting trade in goods and services and improving infrastructure connectivity; and (2) comprehensive inclusion by providing quality education for all and access to finance as well as job creation.
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There were 70 participants including senior representatives from EU Delegation to Thailand, EU Member state embassies and from EABC consortium partners participated in the event.
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Roundtable discussion with Ms. Srirat Rastapana, Director General of the Department of International Trade Promotion (DITP) and Mr. Nopporn Thepsitthar Chairman of the Thai National Shipper’s Council (TNSC) on 10 June, 2015 the topic concerning to the pause of Thailand-EU Free Trade Agreement
• Automotive Summit on 24 June, 2015 discussing on the topic “ASEAN The Emerging Automotive Hub of the World” On 24 June 2015, EABC was invited to the Automotive Summit 2015 organised by Thailand Automotive Institute (TAI) at Grand Hall 202 - 203, BITEC Bangkok. As one of the sponsors, EABC’s support to the Automotive Summit considered one of the major events of the ASEAN Automotive Industry that was aimed at enhancing knowledge in testing technology and standards of the automotive and auto parts in ASEAN under the ongoing development of ASEAN Economic Community (AEC). During the panel discussion on the topic of “Automotive Policy and Investment in ASEAN”, EABC was represented by the Automotive Working Group member Mr. Jan Ehle accompanied by other four panellists from SAIC Motor-CP, Thailand Automotive Industry Association (TAIA) and Thailand Automotive Institute (TAI). The ceremony began with a welcoming speech by Mr. Vichai Jirathiyut, President of Thailand Automotive Institute, followed by a talk on the “Rebirth of the UK’s Automotive Industry: UK Policy and Automotive Road Map” by Mr. Ben Reynolds, Vice President of Mira-Asia. The Summit was also featured a lecture on the topic of “ASEAN Automotive Regulation: Standard and Quality of Vehicle and Parts to Global Market” by Mr. Chaiyavat Tangkrock-Olan, Director of Community Products Standard Division from the Thai Industrial Standards Institute (TISI). EABC representative, Mr. Jan Ehlen highlighted the attractiveness of the ASEAN market with its strong GDP growth; however, it also brought to centre stage several observations from European perspective, such as, “anti-innovation taxes” which resulted in a limitation to high-tech components and innovative product features from gaining a stronger foothold in ASEAN. To this end, EABC recommended a more balanced approach for future national automotive policies that mostly focus on entry and mass market segments. Considering developing ASEAN into a global production hub, Mr. Ehlen suggested governments and automakers to jointly develop an ASEAN automotive strategy focusing on ways and means to stimulate ASEAN automotive innovation and global competitiveness, promote determination of ASEAN in road and vehicle safety and environment protection, and improve income per capita to boost workforce skills within the automotive sector. These steps can be push forward to secure Thailand’s automotive industry development following its approval of the ‘Proving Ground project’ located in the Sanam Chai Khet district, in Chachoengsao Province.
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EABC ACTIVITY REPORT 2015
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Meeting with the Customs Department on 24 June 2015 on the issues of Free Zone (FZ), Customs Reform, Formal Customs Entry in English and National Single Window (NSW)
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EABC ICT Working Group (with JFCCT ICT) co-hosted, with ETDA a Saturday morning Open Forum on the topic of COMPETITIVENESS IN THE DIGITAL ECONOMY on 27 June, 2015
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Thailand Rail Standardization & Authorization WG meeting on the issue of European rail standard between EABC Rail & Road Infrastructure WG and Office of Transport and Traffic Policy and Planning (OTP) on 2 December 2015
• KU R a i l - T U V S U D S e m i n a r 2 0 1 5 EA B C representative talks on European Perspectives on Rail Commissionon December 1, 2015 On 2 December 2015, EABC led by Rail and Road Infrastructure Working Group Chair, Mr. Georg Wolff, participated in TÜV SÜD – KU Rail seminar 2015 entitled “Best Practices in ASEAN Rail Commission” at the IUP Auditorium, International Building, Faculty of Engineering, Kasetsart University. The seminar was arranged on the occasion of MOU signing between TÜV SÜD and the Faculty of Engineering, Kasetsart University. The participants in the seminar including students of the Faculty of Engineering,Kasetsart University, academics, and representatives from TÜV SÜD Thailand and TÜV SÜD PSB Singapore and SMRT (Singapore) were well informed and aware of the significance of monitoring and evaluating system commissioning process to maintain life cycle of railway system. With expertise in providing services throughout the entire value chain, focusing on Testing, Certification, Training and Knowledge services in a wide range of industries including rail industry, TÜV SÜD initiated collaboration with the Faculty of Engineering, Kasetsart University to share experiences and knowledge on monitoring and evaluating system commissioning process and standards for high speed, conventional, metro, and light rails. EABC Rail and Road Working Group member supported this initiative by sharing its state-of-the-art knowledge based European perspectives and experiences on ways and means to maintain and prolong life cycle of rail management in Thailand. Represented the EABC, Professor Roberts suggested that Thailand is currently in need of centralized rail authority and authorization process at both national and regional levels (ASEAN) to streamline the decision process of rail related management projects which expected to increase in the nearby future under the ongoing development of ASEAN community. Furthermore, EABC recommended establishing supply bases located inside the community which a revisit of the transport policy by the Ministry of Transport was necessary. To promote the recommended action, EABC and partners stand ready to offer assistance in academic, technical, and financial aspects. There were more than 100 participants participated the seminars including representatives from European railway entities, representatives from Bangkok Expressway and Metro Public Company Limited and professors and students of engineering from Kasetsart University.
• 9 December, 2015 Courtesy Dialogue with Ministry of Commerce, Trade Policy and Strategic Office at Dusit Thani Hotel
The EABC Advocacy team in collaboration with JFCCT ICT working group hosted a meeting with Trade Policy and Strategy Office, Ministry of Commerce to discuss services sector development in Thailand. The meeting was chaired by Mr. Bob Fox, JFCCT/EABC ICT working Chair, attendees from the Ministry of Commerce led by Ms. Pimchanok Vonkhorporn, Deputy Director General of the Trade Policy and Strategy Office. The discussion covered a wide range of issues, namely, importance and roles of services sector, concept of services sector liberalization, under - developed services areas, cloud services, e-commerce, Foreign Business Act (FBA), BOI investment scheme. The ICT WG members urged for the revision of law/regulation as well as related frameworks to better serve the liberalization of services sector in Thailand. Further dialogue is anticipated.
VI.High - Profile Event on Thai-EU Trade and Investment Relations
The Exclusive Dinner Talk Series with H.E. Dr. Wissanu Krea-Ngam, Deputy Prime Minister of Thailand on “Ease of Doing Business and Transparency Upgrade: Thailand’s Facilitation Act”, on 9 July, 2015 at Ballroom, at the Sofitel So Bangkok. H.E. Dr. Wissanu Krea-Ngam, Deputy Prime Minister of Thailand has delivered an Opening Remark, followed by Mr. Pakorn Nilprapunt to kindly deliver a speech on “Thailand’s Facilitation Act”.
The Licensing Facilitation Act aims to streamline government - permit procedures. Under the law, all states agencies are required to have a one-stop-service center to facilitate people in seeking services from the Government by coordinating all the works with concerned government departments. In parallel, to improve transparency in doing business in Thailand, the permitting authorities are required to provide a manual for each sort of approval with clear requirements e.g., processing time, related fee, etc. Together, civil servants are also required to inform service users of result of their service request within seven days. The event provided useful information on recent Thai economy, in order to remain being competitive among other neighbor in the ASEAN region, it is imperative to enhanced transparency in government policies and guidelines in order to ensure a better investment climate for all businesses operating in Thailand. It is anticipated that this Act will bring more predictability and transparency in doing business in Thailand.towards reviving the country’s economy as well as EABC key messages to enhance European-Thai economic relations, particularly EABCs support of economic reengagement with Thailand. The dinner talk was successfully; held with attendance of EABC members, members of its Consortium Partners, and representatives from European Member States Embassies and relevant Thai authorities. This event had provided a great opportunity for European business communities a deeper understanding about such new legislation. The event has been promoted and invitations have been circulated to all EABC members, consortium partners, Embassies, and to the public via emails and letter. There were 130 participants including; 12 representatives from EU and MS Embassies, 11 Thai government officials; and 68 from EABC, European Chambers of Commerce and private sectors from both Thai and foreign business; Ministry of Finance, Ministry of Public Health, Customs Department, and press and media attended the event. Among the participants were the following guests of honour: - - - - - -
H.E. Mr. Jesus Miguel Sanz, Ambassador and Head of Delegation of the EU in Thailand H.E. Mr. Kjetil Paulsen, Ambassador of Norway Ms. Chularat Suteethorn, Vice Minister of Finance of Thailand Mr. Pong-Ard Treekitvatanakul, Deputy Secretary General of the Office of the Public Sector Development Commission (OPDC) The event would not have happened without a support of EABC members and consortium partners particularly 2 sponsors of this event namely; Standard Chartered Bank (Thai) Plc; Philip Morris (Thailand) Limited
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Entry point for companies in Europe I. Knowledge-based repository d a t a b a s e o n t ra d e a n d investment in Thailand With reference to the EABC Mid-Term Review from end of 2013 to early 2014 subsequence in 2015 that EABC has developed a full knowledge - based repository and advisory function to assist European companies particularly the SMEs to enter into the Thai market and thus relevant ASEAN markets are imperative. Supporting the enhancement of this Component, it should be emphasised that there are more than 20 million European SMEs currently established in Europe and employing over 160 million people according to the data presented by the European Commission. This is fundamentals showing that there should be an expansion of European SMEs into overseas markets that exhibit stable growth and high business potential. The ASEAN Economic Community (AEC) is in place since the end of 2015, which being a cornerstone of the regional integration of the ASEAN economy. This also means that Thailand will need to become more competitive in the tertiary sector and key manufacturing sectors, if the country wants to continue playing an important role in intra-regional and international trade. With the entry of EU SMEs, the Thai economy will be able to benefit from important technologies and knowledge, which is critical for its development. Quid Pro Quo, the European SMEs would benefit from the liberalisation of the Thai economy and the support of the EABC knowledgebase repository and advisory services by being able to expand their businesses, not just in Thailand but also in the rest of ASEAN. In 2015, EABC fully act as a support structure and advisory avenue providing neutral information in regards to market access for EU SMEs trying to enter Thailand with one officer monitored all an enquiries, implemented and delegated it service In addition, it also endeavors to promote ease of access on technical and regulatory information for potential firms into Thai market. An integrated knowledge - based repository with the coordination platform with provision of first contact point and entry -level technical and regulatory advisory services should leverage on synergies and strengths of the EABC stakeholders. This is in accordance with the Grant Contract which foresees EABC to have close collaboration in respect of the provision of business support services with EU Member States, European national Chambers of Commerce in Thailand, and other EU business organisations. The initiative are supplemented by the EABC establishment of a technical and regulatory advisory function covering legal, regulatory data, market access analysis to fill the gap in addressing impending demands of European businesses in these areas.
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EABC ACTIVITY REPORT 2015
A. Online platform
Continuing its mandate to provide companies in Europe with key market access and first-instance information on trade and investment climate in Thailand. In addition to EABC series of leaflets and publications on trade and investment in Thailand, an online platform with integrated diagnostic kit on business readiness and registration tool for European SMEs to identify their needs and readiness according to three topics to enter the Thai Market, as well as a Platform to serve as a medium for European SMEs to send inquiries to the EABC have been initiated. The initiatives derived from the result of EABC Mid-Term Review and its following re-assessment exercise on the issue, took place since 2014. Resulting from the initiatives, an online platform integrated into EABC website in lieu of its former section on Entry Point for European companies would feature the following sections: • business diagnosis test; • business library; and • business support services section. Preliminary design drafts and details of the online platform have been created and being processed before going live on the EABC website. The establishment of the online platform featuring the diagnostic kit and registration tool that can identify the needs and readiness of the companies considered to enter into Thai market, as well as provide EABC with a recording and analytical tools of all request for services from European SMEs. The needs and readiness of European SMEs in 3 following stages, as preliminary indicated, should assist EABC in providing appropriate information and advices to the companies: a) Does not know about Thailand b) Considering Thai market c) Already doing business in Thailand
Integrated into the platform, a set of twenty (20) questions to diagnose business readiness of European SMEs were drafted. The test is aimed to assist the SMEs to narrow down and identify its need to enter into Thai market. In reference to the category a) and b), a first-instance package of information on trade and investment in Thailand should be provided to requests from European companies. Once the requests are furthered screened via the diagnostic kit, EABC would provide first-line answers; sign-post to existing service providers as per the model operandi or mapping on business support service provision where the requirements be in relations to business support; or EABC would offer a fee - based individual advice on legal and regulatory service to preliminary assist the companies before entering into a business relation in Thai market.
B. Enquiries Whilst upgrading our own business helpdesk, EABC also received enquiries from European Companies seeking for information on market access in Thailand. These requests have been answered and/or signposted to respective partners following the agreement upon clearing house provision. Starting from January 2015 EABC received more than 50 enquiries and three of them have developed into business support service. However, EABC has relayed two enquiries to Thai-German chamber due to the limit of EABC capacity and EABC has successfully provided one business support service to Slovenian company for their business mission in Thailand. There were also 5 enquiries which are foreseen to be developed as service request in 2016. EABC leaflets and identified certain sections of the EABC Leaflets “Thailand: What you need to know” had been updated to support enquiries. Updated versions of the leaflets were uploaded onto the website. A snapshot of Thailand’s economic fact containing basic information on Thailand’s economic data and trade value with the EU was created to present to any SMEs inquiring about Thailand.
II. Sectoral Guidebooks
To promote a deeper understanding of and enhance business interests among European companies/investors in Thailand - and further in ASEAN markets, dedicated/sectoral guidebooks and market studies are considered as a very useful tool to communicate and provide relevant information in response to specific needs of targeted audiences. Emphasis was placed to provide better access to in-depth information/ analysis on market situations and relevant access conditions, development of sectoral guidebooks and market studies has been envisaged since 2012 to provide invaluable insights and analysis on potential market and investment opportunities in Thailand and ASEAN which remain untapped for European businesses. In its continuous effort in 2014, EABC aims towards standardizing its future guidebooks and the undertaking of these sectoral guidebooks and market studies. In 2015, EABC publishes Thailand Import -Export Guide every year as part of its strategy to enhance Thai-European economic relations, investment and trade. The Thailand Import Export Guide aims to equip Thai-European SMEs with deeper understanding of regulations and processes concerning the import and export of products, in and out of the Kingdom of Thailand. The Import Export Guide is divided into 5 Sections: Section 1 is a snapshot of the Trade relationship between Thailand and the EU. Section 2 provides a general overview of the Export and Import Process inThailand. Section 3 touches upon FTAs and tax privileges that companies in the import export business in Thailand may benefit from. Section 4 explains the regulations governing import and export, to and from Thailand. Section 5 presents information on common mistakes to avoid and useful tips for companies as well as present case studies. EABC Launch of Import and Export Guide held at the Pullman Bangkok Hotel G on 26 November 2015. Welcome remarks were made by Mr. RolfDieter Daniel, EABC President. Our keynote speaker, Mr. Chaiyut Kumkun, Director of Suvarnabhumi Airport Passenger Control Customs Bureau, with presentation with his experiences and knowledge on Customs and Trade Facilitation focusing on “Thailand as a regional hub and a trading nation”. Mr. Chaiyut shared his views that there are four keywords for facilitating the customs which are Transparency, Consistency, Accountability, Interconnectivity and Integrity and Dynamics. The presentation highlighted on providing a guidance to European SME in terms of import and export regulations. Mr. Chaiyut also shared the news to the audiences that the Thai Government is now working on the Trade Facilitation Agreement (TFA) and the Implementation of the ASEAN Customs Transit System (ACTs).
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III. EABC Outreach Activities to EU SMEs EABC conducted 16 outreach activities in Europe which exceeded the target of 4 activities as set out in the AWP 2015. EABC resumed coordinating with partners in delivering seminar and outreach activities in Europe with support from organisations in Europe such as Local Chamber of Commerce in European countries, BOI Offices in Europe as well as being represented by EUROCHAMBRES, EABC’s consortium partner in Europe.
EABC Roadshows in Bulgaria and Slovenia: Thailand - Your Road to South East Asia Seminars
Highlight of Outreach Activities in Europe; EABC Roadshows in Denmark
EABC organised roadshow events in Sofia, Bulgaria on 19 May 2015 in collaboration with the Bulgarian CCI and in Ljubljana, Slovenia through cooperation with the CCI of Slovenia on 21 May 2015.
EABC Outreach in Slovakia
EABC was invited by The Board of Investment of Thailand (BOI) to participate in its investment promotion seminars in Aarhus on 20 May 2015 and in Copenhagen on 21 May 2015, in Denmark. The seminars were well received by the participants who took sharp interest at the presentations on the state of the Thai market and were introduced to EABC and its activities to support European Business in Thailand.
EABC at ASEAN Business Seminar in Latvia
EABC participated in the Slovak Matchmaking Fair 2015 on 10 November 2015, in Bratislava. The event was an annual meeting of Slovak and foreign companies organised by the Slovak Investment and Trade Agency (SARIO), to explore new business opportunities.
EABC Outreach in The Netherlands
EABC, in collaboration with EU-ASEAN Business Networks, and the Latvian CCIC hosted a seminar in Riga, Latvia on 14 May 2015. The event featured presentations on the state of the markets and opportunities for Latvian companies in ASEAN destinations such as Thailand, Indonesia, Vietnam, Malaysia and the Philippines, as well as how the various EU-ASEAN Business Networks were able to support Latvian companies; in particular SMEs enter and do business in ASEAN.
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EABC ACTIVITY REPORT 2015
EABC participated in an event in Amsterdam on 10 November 2015, organised by the Dutch Chamber of Commerce to help educate Dutch companies of business opportunities in South East Asia.
EABC Outreach in Croatia
EABC in collaboration with the EPBN met with representatives of the Croatian Employer’s Association in Zagreb on 12 November 2015, to discuss possible future collaboration to support Croatian SMEs looking to internationalise to ASEAN. Moreover, on 13 November 2015 EABC, EPBN and the Croatian Chamber of Economy organised a seminar in Zagreb,to inform Croatian companies of business opportunities in Thailand and the Philippines, and how the EABC and the EPBN are able to support them.
Jointly Development of the EU-ASEAN Business Newsletter with other 7 EU projects (quarterly newsletter)
Each EU-ASEAN Business Network contributed material to a page dedicated to its entity. Responsibility of collecting and compiling submission from each network as well as coming up with the feature article and the editorial is rotated between all the networks each quarter. The First edition was launched in November 2014 and has been disseminated to EABC contacts primarily in Europe. There were 5 EU projects which are; EABC (Thailand), EIBN (Indonesia), EVBN (Vietnam), EPBN (Philippines) and SEBSEAM-M (Malaysia) contributing to the EU-ASEAN Business News Update in the beginning and since November 2015, there were also another 3 EU projects which are EuroCham Cambodia, ECCIL (Laos) and EuroCham Myanmar joined the contribution. The responsibilities have been divided equally and accordingly amongst the contributing projects. EABC has so far, for the last 3 issues duly met its obligation of making timely submissions of information for the EABC’s dedicated page on the newsletter. The EABC contributed for the 5th edition that was release on 15 December 2015. The EABC took the responsibility of receiving submissions from all contributing parties, writing the feature article, editorial, assisting other 3 new projects for their contributing page as well as its own dedicated page and finally publishing the newsletter.
Outreach to European companies both in Thailand and Europe to participate in two (2) key trade fairs in Thailand. EABC held Two (2) European pavilions in two keys trade fairs which an aim to provide more fruitful outcome in promoting EABC to European business community plus to provide comprehensive information regarding EACB support service to the Thai and foreigners investors. In addition it will leveraging an expansion of business opportunities for European companies into Thai market. The details of the two events are as following;
• The European pavilion in IP Fair 2015 EABC held an EU pavilion in The IP fair 2015organised by the Department of Intellectual Property, Ministry of Commerce on 27 February - 1 March, 2015 at Impact Muang Thong Thani. The opening ceremony was held by Mrs. Apiradi Tantraporn; Deputy Minister of Commerce as a guest of honor and Mrs. Malee Choklumlerd; Director General Department of Intellectual Property. This event is aiming to increase awareness of Investors and business entrepreneurs particularly, for SME to aware of the imperative of intellectual property (IP) registration. Additionally, there were showcases of local and foreign creative works exhibit in the fair and EABC’s two tier services promoted at the events. There are estimated hundreds visitors visited EABC booth.
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The hosts also visited the EU Pavilion and cut the ribbon with EU representatives; Mr. Seth Van Doorn; Regional Intellectual Property Rights Officer Trade and Economic section by welcoming from EABC president; Mr. Rolf-Dieter Daniel along with Executives Partners from Mercedes Benz (Thailand), Shell (Thailand) and Staedtler (Thailand).
• The European Pavilion is in the Thailand Innovation and Design Expo 2015
EABC held an EU pavilion in Thailand Innovation and Design Expo 2015 (T.I.D.E) organised by the Department of International Trade Promotion, Ministry of Commerce on 17 - 20 September 2015 at Queen Sirikit National Convention Center (QSNCC) with the objective of promoting Thailand’s innovation and design as well as providing a platform for designers, trend thinkers, developers and business partners nationwide to exchange knowledge and ideas. Two (2) EABC members, Spica Co. Ltd and WE-EF Co. Ltd also exhibited their innovative products at the events. Additionally, there were several international organisations such as Thai-German Chamber of Commerce, British Embassy held their booth along side of EABC booth. EABC’s two tier services promoted and presented at the events.
EABC Annual Business Confidence Survey and Launch Events of the results
The result shows that the European business community is still optimistic and confidence in Thailand while EU–Thailand FTA renegotiation is necessary and will be more effective with the complement of regulatory reforms that accommodate favorable trade and investment climate. The Survey is conducted by the EABC, in collaboration with a Consortium of 16 European Chambers of Commerce and Associations in Thailand and Europe. It consists of 26 questions, under 5 categories, with the total number of 127 respondents. It not only keep the statistic record of European companies operated in Thailand, but also explore their view on current trade and investment topics, which maybe at their interest, such as the impact of GSP cancellation and the potential renegotiation of EU – Thailand Free Trade Agreement (FTA). A significant concern was shown from the result of the Survey on the impact of the GSP loss on the export performance, particular in the manufacturing sector. Despite the concern, only few companies have already taken a business plan to adapt to this change. The Survey also asked about the business perspective on the renegotiation of EU – Thailand FTA. The result indicated that although the renegotiation of FTA is important and necessary, regulatory reforms that will bring favorable trade and investment climate is a must as a complementary element to upgrade doing business in Thailand; thus, strengthen the country towards competitive economy. To maintain their profitability, the businesses plan to enhance their customer base and sale activities in Thailand, rather than expanding market in the region. The most concerned threat for the business is voted as political uncertainty. All in all, with the dynamics of business and regulatory implementation in Thailand, the European business community agreed that support from chambers of commerce and other trade organisation in terms of business facilitation is crucial, particular in the area of policy dialogue and advocacy. There were 40 participants participated in the Launch events which among them are representatives from Board of Investment of Thailand, Ministry of Foreign Affair, Department of International Trade Promotion, Department of Trade negotiation including 11 media participants from The Nation, Bangkok post and Thansethakit. To download to publication “Business Confidence Survey 2015”, please go to link “http://eabc-thailand.eu/uploads/files/Business%20 Confidence%20Survey%202015%2010-11-15.pdf”
The European Association for Business and Commerce (EABC) hosted the launch event for its Business Confidence Survey 2015 at the Sofitel Sukhumvit Bangkok on Friday, 25 September 2015. The main objective of this Survey is to explore the European business confidence in the Thai economy as well as to investigate their view on current trade-andinvestment-related issues, especially the issues of EU – Thailand FTA and the GSP cancellation.
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EABC ACTIVITY REPORT 2015
Membership and Networking I. Membership and Sponsorship Development 2015 In 2015, EABC acquired more 21 members while it reported 29 members in cancellation. The budget constraint and the company policy change were the main reasons identified by the cancelled members. The figure showed 179 active members by the end of September 2015, recorded a drop of 4.35% compared to last year. To overcome the situation, EABC launched the re-designed membership benefits in the beginning of November 2015. This allowed EABC presenting the added value benefits to the members. In addition, EABC launched special proactive campaign to boost recruitment in the last quarter of 2015. The campaign offered the incentive of 2016 membership fee included. The report inched up to 185 members by the end of December 2015. EABC continued with our great effort in introducing its organisation and objectives through different channels including joint-networking events with our Consortium Partners, participation in key events organised by other organisations, promotion on EABC website, online business network, as well as direct contacts via meetings, telephone and emails.
Throughout the 2015, with the great support of our 8 annual sponsors noted below EABC was able to generate an income amounted to 1,100,000 THB or EUR 28,948 by
• 3 Platinum Sponsor (THB 300,000 or approximately EUR7500 per package); • 2 gold sponsor (THB 150,000 or approximately EUR3750 per package) Annual Sponsors are listed below: • - - -
Platinum Sponsor: BMW (Thailand) Co., Ltd. Mercedes-Benz (Thailand) Limited Standard Chartered Bank (Thai) PCL
• Gold Sponsor: - Staedtler (Thailand) Limited - Philip Morris (Thailand)
The chart below illustrates the growth of EABC membership development in 2015 in comparison with previous years of operation.
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Thank you to EABC Sponsors Thank you 2015 to EABC 2015 Sponsors Platinum Sponsors
Gold Sponsors
European Association for Business and Commerce (EABC)
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EABC ACTIVITY REPORT 2015
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II. Events and Networking A. EABC Networking and Promotional Events
According to 2015 Annual Work Plan, the target was a minimum of Four (4) European - theme networking events and a minimum of Three (2) road shows in other provinces organised to promote EABC and 1 Breakfast Briefing to present EABC key activities update and progress of each Working Group. Details of each event are as following;
The meeting was followed by a business networking held at the same venue, where all guests had a chance to exchange views with their fellow members where EABC members can participate and provide opportunities for EABC members to extend their network. There were a total of 60 participants attended the event.
• Breakfast talk on EU-ASEAN in collaboration with Irish-Thai Chamber of Commerce
• EABC WORKSHOP: THE THAI BUSINESS ENVIRONMENT
EABC in collaboration with The Irish Thai Chamber of Commerce with support from Irish Embassy co-hosted a seminar in the theme of Breakfast talking with Topic of EU-ASEAN Trade delivered by guest speaker, Professor Frances Ruane, Director of the Economic and Social Research Institute (ESRI) discussed on following details:The challenges for building EU-ASEAN trade Developing international trade and investment – regional versus global approach, the importance of global value chains for newly industrializing countries and the future use of tax incentives for attracting FDI. This event was successfully with 25 participants participated in the seminar.
• 8 April 2015: EABC Annual General Meeting 2015 and European Networking Night EABC hosted the 2015 Annual General Meeting and the European Networking night on the 8th April 2015 at InterContinental Bangkok Hotel. The objective of this event is to present EABC - A year in perspective 2014. The call for meeting has been circulated to all members via emails and letters, including documents to be discussed in the meeting. There being quorum presenting of 53 ordinary members and the meeting was held unanimously. In addition of the special event with the honorable key note speaker H. E. Apiradi Tantraporn; Deputy Minister of Commerce on the topic “Peering Ahead: Thailand-EU Trade Partnership.” The topic was very interesting and would benefit the European investors in Thailand.
EABC organised a workshop on May 15, 2015 for the A Eclipse Study Association, visiting Bangkok, Thailand as part of their Annual Business Cycle Tour. A Eclipse is a study association for master degree students at the Erasmus University in Rotterdam, Netherlands. A Eclipse organises an Annual Business Cycle Tour where students visit a foreign metropolis, with the aim of learning about the business environment and culture of that country. This year the EABC was more than delighted to organise a workshop for the 17 students, during the course of their visit to Thailand. The workshop featured presentations by the EABC’s very own Policy Manager Dr. Pitchaya Sirivunnabood and two of the EABC Board Members, Mr Luca Vianelli (Partner, Managing Director - MDA Consulting SEA) and Mrs Vibeke Lyssand Leirvag Conselvan (Managing Director- Felicia Thailand), as well as Mr. Paolo Conselvan (Sales and Marketing Manager - Felicia Thailand). The event was well received by all the students who, through interactive lectures were introduced to the ASEAN region and the EABC activities to support European companies in Thailand. The seminar also featured an economic and cultural overview of the Kingdom followed by exhilarating accounts of the reality of doing business in Thailand, from the perspective of foreign entrepreneurs settled in the nation. The EABC also hosted a small networking session where all participants were served refreshments, introduced to the rest of the EABC team and were able to further communicate with the guest speakers.
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• The launch of Thailand Import and Export Guide, networking night on the 26th November, 2015 EABC Launch of Import and Export Guide held at the Pullman Bangkok Hotel G on Thursday, 26 November 2015. Welcome remarks were made by Mr.Rolf -Dieter Daniel, EABC President. Our keynote speaker, Mr. Chaiyut Kumkun, Director of Suvarnabhumi Airport Passenger Control Customs Bureau, with presentation with his experiences and knowledge on Customs and Trade Facilitation focusing on “Thailand as a regional hub and a trading nation”. Mr. Chaiyut shared his views that there are four keywords for facilitating the customs which are Transparency, Consistency, Accountability, Interconnectivity and Integrity and Dynamics. The presentation highlighted on providing a guidance to European SME in terms of import and export regulations. Mr. Chaiyut also shared the news to the audiences that the Thai Government is now working on the Trade Facilitation Agreement (TFA) and the Implementation of the ASEAN Customs Transit System (ACTs). It is anticipated to be implemented during 2016 as an agreement under WTO. There are 50 attendees attended the event. Among them guests were Mr. Philipp Dupuis - Head of Trade and Economic Section of the Delegation of the European Union to Thailand, Mr. Winichai Chaemchaeng - Vice Minister for Commerce, Ms. Siripan Likhitwiwat - Deputy Director - General from DTN and Mr. Nopporn Thepsithar - Chairman, Thai National Shippers Council) and representatives from Thai Government Agencies, Embassies, EABC members and bilateral chambers members.
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Organised road show in close collaboration with EU network in ASEAN to promote EABC visibility and service at EU-ASEAN Summit on 23th AUGUST, 2015 in Kualalumper, Malaysia
The ASEAN-EU Business Summit held on the 23rd of August 2015, in Kuala Lumpur, Malaysia at the Mandarin Oriental Hotel, held during the sidelines of the 47th ASEAN Economic Ministers Meeting. The event was organised by the EU-Malaysia Chamber of Commerce and Industry (EUMCCI) and the EU-ASEAN Business Council (EUABC) with support from the ICI+ projects in ASEAN, including the EABC. In this event, EABC in conjunction with EU network in ASEAN (EVBN, EIBN, EPBN,EUMCCI, EUROCHAMBER CAMBODIA, ECCIL) had the opportunities to jointly organised a roadshow by creating a jointly booth at the front of the meetin venue in order to disiminate information of the service support of each organisation among the EU Network in ASEAN for the best mutual interest to attract investors who are seeking for an opportunities in ASEAN region plus to cut the organising cost as the cost will be equally shared among the network. The event was organised by the EU-Malaysia Chamber of Commerce and Industry (EUMCCI) and the EU-ASEAN Business Council (EUABC) with support from the ICI+ projects in ASEAN. There were approximately more than 100 participants participated in the summits.
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EABC ACTIVITY REPORT 2015
•
EABC in collaboration with the KPMG (Thailand) hosted an evening talk on the topic of Thailand’s New Draft Transfer Pricing Law: Impacts on the Business Community at the KPMG Lounge, Empire Tower, Sathorn, Bangkok
On September 8, 2015 EABC and KPMG co hosted the seminar on regarding the new New Draft Transfer Pricing Law by guest speaker, Mr. Abhisit Pinmaneekul, Tax Partner, KPMG, Thailand. There were 44 participants participated the seminar and the following networking event.
• Organised a road show in Chiangmai in conjunction with Thai-Netherland Chamber of Commerce, British Chamber of Commerce on 6 November, 2015 EABC with NTCC, BCCT, FTCC and GTCC were closely collaboration organised a road show at the Promenada Resort Mall in Chiang Mai with an aim to introduce EABC to members of other European Chambers and promote EABC branding in other province and to provide opportunities for EABC members to extend their network including to recruit more members in a major city in Thailand beside Bangkok. The event was held successfully with more than 40 participants, included 10 participants from EABC.
• EABC Roadshow at All Chambers ESB Christmas networking event in Pattaya with 14 Chambers EABC’s last event of the year 2015 in the theme of Christmas networking night. This lively evening was organised by a great collaboration between EABC and other 14 Chamber of Commerce. The events was held at the Amari Ocean in Pattaya with an aim to introduce EABC to members of other European Chambers and promote EABC branding in other province and to provide opportunities for EABC members to extend their network including to recruit more members in a major city (Eastern Seaboard) beside Bangkok. The event was held successfully with more than 165 participants attended the event.
• EABC Breakfast Briefing with MS Embassies and EABC Chambers Partners A breakfast briefing with EABC chamber partners was held on 31st March 2015. It was a great opportunity for chamber partners and interested business organisations, represented by board members of EABC chamber partners, to hear EABC’s progress of 2014 in a casual atmosphere. There are 25 participants attended the events and among them guests, there were H.E. Mark Kent (British Ambassador), representative from GTCC and representatives from each 10 EABC Working Groups.
B. EABC Visibility and Participation in Events and Seminars
Throughout 2015, EABC have taken opportunities to promote its visibility by participating in several events and seminars listed below; • Close collaboration with Irish Thai Chamber of Commerce with support from Embassy of Ireland organised Breakfast Talk on EU-ASEAN Trade on 22 January 2015. • Close collaboration with Danish-Thailand Chamber organised Beer Tasting Networking Night to promote EABC visibility to its members and DanCham members and guests. on 15 January 2015.
• EABC Executive Director attended the Nordic Breakfast Seminar featuring Khun Anuthin Charnvirakul as guest speaker, organised by Thai-Finish Chamber of Commerce on 22 September, 2015. • EABC Executive Director attended a farewell function for Dr. Gustav Gressler Advantage Austria on 27 August, 2015 • EABC Executive Director attended Thai-Swedish Chamber of Commerce (TSCC) networking on 3 September, 2015.
• Europe Day by EU Delegation organised by EU Delegation to Thailand, at the Oriental Bangkok Hotel on 7 May 2015.
• Belgium Economic Forum EABC presented its booth at Belu-Thai Economic Forum at the Assumption University, Suvanabhumi Campus, to promote EABC in 4 November, 2015.
• ERASMUS Day organised by EU Delegation to Thailand, at the Oriental Bangkok Hotel on 16 July 2015.
• EABC attended the Joint Chambers Chiangmai networking at the Promenada resort mall, Chiangmai on 6 November, 2015.
• EABC Executive Director attended the Nordic Breakfast Seminar “Cyber Security solutions from the Nordic Countries’, organised by Thai-Swedish Chamber of Commerce on 25 August, 2015.
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EABC attended the Transatlantic Chambers Networking at Four Points by Sheraton on 18 November 2015, hosted by Canadian Chamber of Commerce to connect the business contacts from North America and Europe.
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Participated in seminar on “Poland and Thailand: The Future of Economic Cooperation” organised by Embassy of Poland. The event was held at the Sofitel So Bangkok Hotel, on 1 December 2015.
• EABC attended The 4th Annual District Cooling Conference as a supporting sponsor, helping to promote the conference at the Millennium Hilton Hotel on 25 - 27 August 2015. •
EABC Executive Director attended the Asian Forum on Corporate Social Responsibility and Dinner talk with Deputy Prime Minister ML Pridiyathorn Devakula, at the Shangri-la Hotel on 8 - 9 September 2015.
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External Communication I. Membership Directory
III. EABC in the Media EABC has been continuously engaging with Thai and foreign media to promote our activities as well as to publicize our policy interests towards relevant Thai policy makers/authorities and the public at large. In 2015 EABC was also featured, interviewed or quoted on national newspapers, national and international televisions channels indicating that the media has recognised EABC as the representative of the European businesses in Thailand.
A. News Clipping In the year 2015, EABC have collated more than 30 news clips, the following articles are some of the published in printed and online media;
The 2016 Membership Directory reflecting EABC members in 2015 were printed and have been distributed it to all of EABC members, Member State Embassies, Consortium Partners, EU Delegation as well as other organisations in contact with EABC starting March 2016. The Membership Directory 2016 features the following information: • • • • • • • • • •
Message from Minister of Commerce of Thailand, EU Ambassador to Thailand and the President of EABC; Lists of EABC Board Members and Consortium Partners; About the EABC; EABC Membership Benefits; EABC Advocacy Working Groups; EABC Business Helpdesk for European SMEs; A Year in perspective: EABC activities in the year 2015; Directory of all EABC Member companies run by alphabetical order; Useful contacts; and Index
1. “EABC wants FTA talks to be revived”, media name “Bangkok Post”, type of publication “Daily Newspaper” section “Business” page B2, clipping date, 31 March 2015. Deputy Commerce Minister Apiradi Tantraporn said that talks needed to be renewed to promote cooperation, particularly in the service sector, as in the future Thailand’s shipments to the EU would face greater difficulties due to rising costs. EABC President showed his concerned about Thai laws that restrict foreign investments in the service sector. EU businesses also urged the government to rev up tackling corruption and the government procurement process needed to be transparency. 2. “European trade lobby urges restart of FTA talks”, media name “The Nation”, type of publication “Daily Newspaper” section “business” page 2B, clipping date, 31 March 2015. Mr. Rolf-Dieter Daniel, EABC’s president said that EABC acknowledged that Thailand was positive about resuming the talks on the FTA. It could take a year or two to study and discuss certain technical issues related to the FTA, while Thailand and the EU had earlier aimed to wrap up the talks by the end of year 2015.
II. EABC Daily News Line and Weekly News Update
EABC continued to disseminate its “EABC News Updates” every Friday to its members, Consortium Partners, EU member states Embassies and guests. The contents mainly included summary of EABC activities, upcoming/past events as well as news from members and Consortium Partners. In addition, a daily news summary from the news related to EABC or key Thailand-EU trade issues was uninterruptedly distributed to EABC members throughout 2015.
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EABC ACTIVITY REPORT 2015
3. “New legislation aimed at cutting through red tape”, media name “Bangkok Post”, type of publication “Daily Newspaper” section ‘business” page B2, clipping date, 11 June 2015. Mr. Rolf-Dieter Daniel, EABC’s president gave an interview regarding the new Licensing Facilitation Act expected to reform the Thai bureaucratic system and enhance transparency and accountability as well as improve public service standards which make the European investors to feel more confident about investing in Thailand.
4. “EABC hosts an Exclusive Dinner Talk Series on “Ease of Doing Business and Transparency Upgrade: Thailand’s Facilitating Act” by Dr. Wissanu Krea-Ngam, Deputy Prime Minister”, media name “thainews.com”, type of publication “Online News Agency” section “business”, clipping date, 15 June 2015. DPM Wissanu stated that to drive improvement, legal and regulatory review is require every 5 years to see whether government approvals are still necessary and emphasized that Mundane tasks will truly be mundane; only faster, easier and cheaper.
8. “Euro Talks on Track”, media name “The Nation”, type of publication “Daily Newspaper” section ‘Business” page 1B, clipping date, 30 September 2015. EABC executives met with the Deputy Prime Minister Prajin Jantong, and the EABC president reaffirmed that the European countries still gave importance to Thailand as a partner in trade and investment.
5. “Facilitating Easier Business”, media name “Horizon Thailand”, type of publication “Online news agency” section ‘business”, clipping date, July 2015. Mr. Rolf-Dieter Daniel, EABC president gave his comments that EABC are very positive and Thailand with its strategic location can easily develop itself to become the business hub and gateway to ASEAN. He added that the DPM said the Procurement Act will be the next important step. 6. “EABC upbeat about Thai Investment”, media name “Bangkok Post”, type of publication “Daily Newspaper” section “Business” page B1, clipping date, 26 September 20015. EABC survey indicated that 60% of the foreign investors are still optimist that there will be improvements in their business growth, profitability and sales over the next six months. The EABC insists that the amendment to regulations would help Thailand escape from the middle - income trap, to new knowledge - based economy that relies on innovation and technology as well as an open financial system. 7. “European firms optimistic on Thailand, survey reveals” media name“ The Nation”, type of publication “Daily Newspaper” section “Business” page 28, clipping date, 28 September 2015. Guest speaker, Dr. Phacharaphot Nuntramas, head of economic and financial market research, Economic Intelligence Centre, Siam Commercial Bank, said that the four key determinants relative to the Thai economy–concerns over exports, potential decline in consumption, infrastructure/ mega-project investment, and strong tourism growth–were discussed. The role of services liberalisation in strengthening Thailand towards a more competitive economy in the global.
9. “Prajin insists not to control government information, but “Single Gateway” is under study”, media name “Manager Daily”, type of publication “Daily Newspaper” section ‘Business” page 8, clipping date, 30 September 2015. The DPM insists not to control government information, but the Single Gateway is under study.
10. “Thailand still interesting investment destination for foreign investors”, media name “Thansettakij”, type of publication “Semi-weekly Newspaper” section ‘Business” page 9, clipping date, 1 October 2015. 11. “Thailand urged to use European technological standards for its new rail transit systems”, media name “National News Bureau of Thailand-NNT”, type of publication “online news agency”, clipping date, 25 September 2015. EABC suggested that Thailand adopt European technological standards, particularly in the country’s construction of new rail transit systems. DPM Prajin pointed out that Thailand currently uses European standards in many of its sectors, and will soon have a meeting with the EABC on incorporating technologies that meet European standards into Thailand’s rail transit systems.
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B. Interview A total of 5 interviews have been undertaken by EABC in 2015. Summaries of each interview are listed here below:
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8 October 2015: Interview EABC President on EABC and opinions on the FTA negotiation between Thailand and the EU and what is EABC’s role in determining its’ outcome?, media name “the Business Year”, type of publication “Magazine”
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17 October 2015: Interview with EABC President on investment in Thailand, EABC’s president has been interviewed as a representative of the European investor community in Thailand in article “Investors hunger for details”, media name “Bangkok Post”, type of publication “Daily Newspaper” section ‘Business” page B1
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21 November 2015: Interview with EABC President on AEC, in article “AEC to miss its targets end of this year”, media name “Post Today”, type of publication “Daily Newspaper” section “Foreign” page A8. Mr. Rolf-Dieter Daniel has comments on AEC that though the tariff rates have been decreased, but the investors still have to face with other non-tariff barriers (NTB) caused by incompetent of trade protection and plan
EABC ACTIVITY REPORT 2015
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26 November 2015: Interview with EABC President on FDI, in article “Prayut soothes FDI jitters”, media name “Bangkok Post”, type of publication “Daily Newspaper” section “Business”, page B1. Mr. Daniel, said that the European investors sensed more confident about Thailand since the country had improved the business atmosphere. The government should also provide financial support to small and medium-sized enterprises, which would in turn serve to support the economy in general
In addition, several phone interviews with EABC President have taken place in 2015 with Bangkok Post, Nation and Krungthep Turakit, and international press and media.
C. Press Release Issuance of 4 press releases relating to EABC function as a supporting platform for a better trade conditions between Thailand and Europe have been announced. The three issuances are as follows: •
Press Release - EABC hosts an Exclusive Dinner Talk Series on “Ease of Doing Business and Transparency Upgrade: Thailand’s Facilitation Act” by H.E. DR. Wissanu Krea-Ngam, Deputy Prime Minister, Kingdom of Thailand, 10 June, 2015.
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Press Release - EABC-KPMG Evening Talk on “Thailand’s New Draft Transfer Pricing (TP) Law: “Impacts on the Business Community”, 8 September 2015, KPMG Lounge, Empire Tower, 8 September, 2015.
• Press Release - EABC 2015 Business Confidence Survey Launch, 25 September, 2015. • 26 November 2015: Press Release: EABC launched its Thailand Import Export Guide with a main objective to enhance the trade and investment between Thailand and the European Union (EU). Full details can be found on EABC website at: http://www.eabc-thailand.eu/news/87/communication.htm