Advance October 2014

A MONTHLY PUBLICATION OF THE AUSTRALIAN-THAI CHAMBER OF COMMERCE IN PARTNERSHIP WITH THE AUSTRALIA THAILAND BUSINESS COUNCIL www.austchamthailand.com October 2014

Thank You, Goodbye and See You Online Business brief embassy news chamber events Can ASEAN become the Global Australia – Thailand Young University Joint Chambers Professional Champion of Sustainable Growth? Researchers’ Exchange Program Women’s Group Speed Networking

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chamber events AustCham Bangkok Sundowners at Royal Orchid Sheraton Hotel

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specialist mortgage

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Contents PATRON His Excellency James Wise Australian Ambassador to the Kingdom of Thailand

business briefs 6 Can ASEAN become the Global Champion of Sustainable Growth?

8 Boom to Become Bust? Are Housing Markets Back on the Rollercoaster?

10 Nine Fun Facts about Thailand 12 Is That a Decomposed Snail in My Ginger Beer?

PRESIDENT Leigh Scott-Kemmis Lee Hecht Harrison / DBM (Thailand) Ltd VICE PRESIDENTS M.L. Laksasubha Kridakon Baan Laksasubha Resort Hua Hin Sam McMahon NS BlueScope Steel (Thailand) Limited

embassy news 16 Australia – Thailand Young University Researchers’ Exchange Program Set to Commence

10 chamber events 20 Combined Chambers Professional Women’s Group Speed Networking 22 AustCham Bangkok Sundowners, Wednesday 3 September 2014, Royal Orchid Sheraton Hotel

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Chamber news 18 Advancing Advance

AUSTCHAM MEMBERS 24 AustCham Welcomes New Members

From the Chamber Office 26 Message from the Executive Director

TREASURER Warwick Kneale Baker Tilly Corporate Advisory Services (Thailand) Limited DIRECTORS Josh Hyland AEC South East Asia Angus Kent Macquarie Securities Thailand Limited | Macquarie Group Limited Chris Larkin CLC Asia Alan Polivnick Watson, Farley & Williams Rananda Rich Blackmores Ltd Simon Shale Visy Packaging (Thailand) Ltd & Visy Industries Wayne Williams Minor International Charles Wrightman Natural Ville EX-OFFICIO Greg Wallis Australian Trade Commission HONORARY ADVISOR TO THE BOARD David Armstrong

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ADVISORS TO THE BOARD Raine Grady Capital TV

From the Board

COORDINATORS Paul Wilkinson Cooper International Engineering & Services Co., Ltd ESB Coordinator Email: paul.wi@cies-group.com Trevor Dick Indochine Asset Managmenet ESB Coordinator Email: trevor@indochine-asset.com Harry Usher Lady Pie Phuket Coordinator Email: Phuket@austchamthailand.com Australian-Thai Chamber of Commerce 20th Floor, Thai CC Tower 889 South Sathorn Road Bangkok 10120 Tel.: +66 2 210 0216 Fax: +66 2 675 6696 office@austchamthailand.com www.austchamthailand.com For more information on individual Board Member focus please visit www.austchamthailand.com/ boardmembers

Editorial Committee Rananda Rich, Janna De Vos, Gary Woollacott Marketing & Production Scand-Media Corp. Ltd 4/41-42 Moo 3, Thanyakarn Village Ramintra Soi 14, Bangkok Tel.: +66 2 943-7166/8 Fax: +66 2 943-7169 scandmedia@scandmedia.com Advertising Finn Balslev Email: finn@scandmedia.com Contributions to Advance magazine are welcome. Please submit content to communications@austchamthailand.com.

Opinions expressed in Advance do not necessarily reflect the views of the Chamber.

AustChamThailand Advance

President’s Message

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ver the last few months we have talked a lot about the massive technology changes that have taken place, and of course are still taking place, in my working life. Here in Thailand new plans and strategies are being announced on a daily basis. All of this means that we need to be very vigilant in understanding the opportunities and risks for our businesses resulting from all this change.

We understand some 70 pieces of new legislation are ready to work their way through the new Parliament in the coming months. No doubt once they become law, there will be an avalanche of supporting regulations that need to accompany these new laws. There is a real push to enhance Thailand’s position as a regional trading hub. We will have a lot to focus on in a short time period. The Chamber will therefore be trying its best to help us all make sense of the changes and proposed changed – so stay tuned, as they say.

Talking of change, we are about to welcome a new Australian Ambassador to Thailand, HE Paul Robilliard, and to say goodbye to HE James Wise, who left immediately after the AFL Grand final – good timing James! Ambassador Wise has been very supportive of AustCham and its activities, and I am sure you will all join with me in thanking James for his tireless efforts in promoting Australian interests and in wishing him every success for his future activities. We look forward to working with Ambassador Robilliard in further developing Australian interests in Thailand.

Also whilst on the subject of departures, AustCham has lost the talents of Shane Burt, who was only elected a director of AustCham this year. Unfortunately Shane’s employment has now taken him away from Thailand. Many thanks for your efforts Shane and best wishes for your future endeavors. The Board of AustCham has invited Chris Larkin to join to fill the vacancy left by Shane’s departure. Chris has been an advisor to the Board, assisting with our SME strategies and activities. We look

forward to the additional contribution Chris will bring to AustCham. Welcome to the Board Chris.

In this fast changing world we at AustCham need to continually find ways of being in a position to provide you, our members, with more, better, deeper and more timely information that is actionable. As well as providing information through our events such as the popular ABF Express, we have always seen our website and electronic communications as the key. To this end, the printed version of Advance will terminate with this issue and a more effective fortnightly edition in electronic form will be born. We are all very excited by this development. Renee will have a lot more to say on this and a special thank you to Renee and the team for their efforts in bringing this critical development into being. I know it will be hard for some of us to adjust as we valued the printed version of Advance, but once you experience the new online Advance you will, like me, wonder why it took us so long to move down this road.

Leigh Scott-Kemmis President, AustCham Thailand www.austchamthailand.com

October 2014

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business brief

Can ASEAN become the Global Champion of Sustainable Growth?

By Nick Rowley

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f measured by political will and rhetoric, Australia’s relationship with Southeast Asia would undeniably be in fine shape. Prime ministers as diverse as Paul Keating, Tony Abbott and Julia Gillard have all had much to say on this relationship.

We see a commitment to understanding the economic and political dynamics of the “Asian Century”; Abbott making Indonesia his first foreign trip as prime minister and describing his foreign policy focus as “More Jakarta, less Geneva”; and Keating emphasising how such strategic regional relationships would “energise” Australia’s national identity and role. No one could argue that Australia’s leaders aren’t at least vocal on the powerful factors at play in the region.

The closeness and developing nature of these economic and political ties cannot be based solely on crudely defined economic growth. Whether that growth helps alleviate poverty

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and creates the health, transport, education and energy infrastructure that the growing populations of the region require will be a major factor which either strengthens or weakens relations among ASEAN nations and with the wider global economy.

In short, Southeast Asia is at the heart of the global challenge of achieving sustainable development.

The challenges of growth For Australia, put simply, we are where we are: close to and part of a region that is undergoing exponential economic growth.

Our focus on the emergence of China, with growth rates expected to continue above 7% and an economy fueled by all the resources Australian can provide, neglects a broader truth: the projected average growth rate for all countries in the Association of Southeast Asian Nations (ASEAN) is more than 5%.

AustChamThailand Advance

business brief

This is a statistic of potentially greater importance. Insulated against the political and economic ebbs and flows in any single country, Australia cannot afford to ignore the ASEAN countries. Indonesia is already the 16th-largest economy in the world and is predicted to be ninth by 2030. Our future prime ministers will have to get used to the drive into Jakarta from Soekarno–Hatta International Airport.

As Australia marks the 40th anniversary of our association with ASEAN, it is clear this relationship will only become more important. In coming years, Australia will be buying more goods from the region and providing products and services to the 600 million or so people living in Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand and Vietnam.

Just as Malaysia and Australia are working together to find the missing flight MH370, so only through closer regional cooperation can we achieve a more humane and effective approach to managing human movements and develop better ways to tackle climate change and reverse biodiversity and species decline.

Sadly, Southeast Asia leads the world not only in economic growth but also in number of threatened species. The International Union for Conservation of Nature (IUCN) Red List

shows that half of the top 20 countries for numbers of threatened species are in Asia. Indonesia has 183 mammal species at risk of extinction, almost double the number for secondplaced Mexico.

Recent policies offer hope Recent years have produced more positive signs. The development policies adopted by many Asian economies have increasingly focused on the quality of growth and investment.

Thailand’s five-year plan is pursuing a new model of holistic people-oriented development. Indonesia aims to create “a country that is prosperous, democratic and just”, while Cambodia seeks “growth, employment, equity and efficiency”.

These are fine words. Yet implementing them is not just a matter of effective governance and implementation. It is critical for civil society, the private sector and government to have a more assertive role in ensuring that growth means more than private profit for multinational firms.

It is heartening that Australian Environment Minister Greg Hunt, through convening a Southeast Asian rainforest summit later this year, has recognised the opportunity to work with our nearest neighbours to avoid further deforestation.

There is good reason: more than 100 million hectares of the world’s remaining pristine forests have been lost since 2000.

No multinational firm using packaging or buying paper and tissue products wants to be associated with this.

We have seen effective campaigns and awareness-raising by environmental groups such as Greenpeace. Some of the largest pulp and paper and palm oil companies have committed to previously unimaginably ambitious and laudable “zerodeforestation” policies backed up by robust, well-resourced means for their implementation. There is a chance that some of the richest habitats in the world can be saved.

Time will tell whether this is – again – more about marketing and market access than reversing deforestation and adopting more sustainable business practices for good. One needs to be alert, but achieving environmentally and socially sustainable growth in the region requires new partnerships between government, the private sector and civil society. If achieved, it will be a vital part of reducing the risks of climate change and creating a more resource-efficient and sustainable global economy.

And for the ASEAN nations, working with countries like Australia, a failure to demonstrate how to maintain economic growth while protecting the environment and providing vital human services, will sadly mean they, and we, will all lose.

This article was originally published by The Conversation on theconversation.com. It is based on a presentation by Nick Rowley to a public forum on sustainable economic growth in Southeast Asia at the Sydney Law School on September 11. Nick Rowley is an Adjunct Professor at the Sydney Democracy Network at the University of Sydney.

AustChamThailand Advance

October 2014

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business brief

Boom to Become Bust?

Are Housing Markets Back on the Rollercoaster?

By Paul Gambles

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’m sure you’ve read several times recently that Australian house prices are at precarious levels and will fall spectacularly off this precipice any time soon. However, this doesn’t seem to have happened yet and, with the digital age’s appetite for hyperbole, we could be forgiven for thinking it’s a load of hot air.

The problem is that, if you analyse all the indicators, everything points to the doomsday scenario becoming reality – and not just in Australia. When the IMF warned of property bubbles in June, it mentioned Belgium, Canada, New Zealand, as well as Australia, and to a lesser extent France. In fact, looking at figures from four major countries alone, there has been a sharp rise in housing markets in all but the struggling US.

“sluggish” 2014 economic growth of 2.8% due to “falling mining investments, fiscal restraint and fragile private consumption” – so the signs of cracking are there.

Since the dip in 2008, Sydney area residential property prices have increased by over 40%, whereas the trends in Brisbane and Melbourne were barely interrupted by the slowdown: over the last ten years the former’s house prices have increased by almost 53%; the latter’s by a huge 84%.

Source: ABS

Sources: Australian Bureau of Statistics, Land Registry, FHFA, INSEE.

Boomers: Australia Key economists, such as IDEA Economics’ Chief Economist colleague Steve Keen, have long since been sounding the warning bells that a burst will come; and when it does it will be devastating. Over two years ago I suggested to CNBC that Australia’s huge credit bubble, would at some point burst – possibly pricked by poor results in the Chinese economy, making the Australian dollar and perhaps the property market drop in price .

That hasn’t happened yet, as Chinese economic results have so far stood up over the last couple of years, but Australia’s heavy reliance on the Asian giant’s mineral resources means the Sword of Damocles still hangs above its markets.

In fact, the United Nations warned in mid-August that the property sector in Australia needed to be “monitored closely” amidst

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Whilst anecdotes are no basis for analysis of a whole nation’s economy, I read an interesting story recently about a property in the Melbourne suburb of Glen Waverley. After being on the market for just five weeks, a property sold for AUD 1.1 million to an Indian investor. Two months later, it was auctioned off for AUD 1.365 million: a 24% rise in just over 60 days. This is not a sustainable pattern and often this kind of bubble precedes a very violent burst. That said, while I’ve been warning for some time that this story will end in tears, I would continue to caveat that by misquoting Leo Tolstoy – “All booming property markets are alike; each broken one breaks in its own way.”

The Australian property market looks expensive by almost any metric and as much as 60% overpriced in real terms. Real in this context means inflation-adjusted. A 60% adjustment in real terms could take the forms of a price collapse of 60% overnight or, at current inflation rates, prices simply not budging for a period of 15 years or an infinite variation of possibilities in between – almost all of which are likelier than these 2 extremes, but none of which are comforting for investors in Australian property. The only slight crumb of comfort may be the knowledge that Australia isn’t in this alone.

AustChamThailand Advance

business brief

Boomers: United Kingdom

Busters: Spain

In June, the Deputy Governor of the Bank of England, Sir Jon Cunliffe, raised concerns that there was a British tendency to buy houses as soon as people felt their income was increasing, or indeed felt there was a chance it would increase. This habit, he suggested, meant that supply could not keep up with demand. He was therefore worried that, as house prices surge, household debt could be set to rise yet again.

Spain is an example of how it can all go wrong: whilst the US housing market is stagnant at best, after the first quarter of 2014, the Spanish national average price was 12.5 per cent lower than ten years previously. Breaking this down into the three most populated areas shows a similar story for Barcelona and Valencia; Madrid fared even worse with prices over 20% below their level a decade ago.

One tell-tale sign in the UK is the large increase in the number of people working in the real estate sector. Between Q1 and Q2 2013 alone, there was a 9.9% rise in the number of real estate workers. This was not just a one-off either, nearly 100,000 people more now work in real estate than in March two years ago.

Source: INE

The Future

Source: Office for National Statistics

That’s not to say that housing bubbles are universal – in America the urge to repair deflated bubbles seems to have bypassed the residential property markets in its hurry to get back to Wall Street.

Busters: USA One of the main triggers of the GFC was, of course, the bursting of the US property bubble. The Federal Reserve’s reaction to this was quantitative easing (QE) - adding huge sums to the money supply in an attempt to boost markets, such as property, by making borrowing more affordable. It is clear from a real estate point of view that QE isn’t working. Whilst prices in the Los Angeles area have grown a respectable 10% in the last ten years, the New York area has gained just 7.5% and Chicago has actually dropped 8% in price.

Of course, Spain’s economic policy is constrained by Spain being in the Eurozone – meaning the policy-making central bank is based in Frankfurt and has 17 other countries to concern itself with too.

Nevertheless, it still provides a relevant example of how a housing market can burst uncontrollably. The central banks in Australia and elsewhere should take heed. So too should investors, when contemplating putting money into bricks and mortar, although that’s definitely not the same as saying the prices will fall 60% between now and when you wake up tomorrow morning!

Paul Gambles is co-founder of MBMG Group, an advisory firm that assists expatriates and locals within the South East Asia Region with services ranging from Investment Advisory, Personal Advisory, Tax Advisory, Private Equity Services, Corporate Services, Insurance Services, Accounting & Auditing Services, Legal Services, Estate Planning and Property Solutions. For more information, please visit www.mbmg-group.com Please Note: While every effort has been made to ensure that the information contained herein is correct, MBMG cannot be held responsible for any errors that may occur. Views and opinions expressed herein may change with market conditions and should not be used in isolation.

Source: FHFA

AustChamThailand Advance

1 http://www.lesechos.fr/monde/europe/0203561280927-le-fmi-craint-une-bulleimmobiliere-en-france-1012176.php 2 http://www.debtdeflation.com/blogs/2014/04/08/a-sudden-conversion-of-propertybubble-doubts/ 3 http://www.cnbc.com/id/47290031#.

4 http://www.unescap.org/sites/default/files/Survey%202014%20note_Australia_2.pdf 5 http://www.macrobusiness.com.au/2014/09/meanwhile-on-the-bubble-front-line/ 6 http://www.telegraph.co.uk/finance/bank-of-england/10931956/Jon-Cunliffe-UKproperty-obsession-threatens-to-push-up-household-debt-pile.html 7 http://www.ft.com/intl/cms/s/0/866e87c0-1af0-11e3-a605-00144feab7de. html#axzz36Nx2bapT

October 2014

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business brief

Nine Fun Facts about Thailand 1. The Longest City Name in the World

people know, however, that this caffeineand-sugar concoction has been a popular brand in Thailand since 1976 when it was created by Chaleo Yoovidhya, a man with little formal education and who had moved to Bangkok from central Thailand to seek his fortune. At the time of his death in 2012, he was reportedly the third richest man in Thailand with an estimated wealth of US$ 5 billion.

The capital city of Thailand is known to most of us as Bangkok. In Thai and to Thai people, it is known as Krung Thep.

In fact, this is just a shortened version of the capital’s actual name, which consists of 169 characters and makes for a challenging tongue twister.

The capital’s full name is: Krungthepmahanakhon Amonrattanakosin Mahinthara Yutthaya Mahadilok Phop Noppharat Ratchathani Burirom Udom Ratchaniwet Mahasathan Amonphiman Awatansathit Sakkathattiya Witsanukamprasit.

This roughly translates to: City of angels, great city of immortals, magnificent city of the nine gems, seat of the king, city of royal palaces, home of gods incarnate, erected by Visvakarman at Indra’s behest.

2. All temples pictured on Thai baht coins are located in Bangkok - 1 baht coin – Wat Pra Kaew (Temple of the Emerald Buddha, inside The Grand Palace) - 2 baht coin – Wat Saket (Temple on the Mount) - 5 baht coin – Wat Behamabophit (The Marble Temple) - 10 baht coin – Wat Arun (Temple of Dawn) 3. World’s Hottest City (by mean average) According to the World Meteorological Organisation, Bangkok is the world’s hottest city. The average air temperature throughout the year is 28 degrees Celsius, but can jump to a sticky 34 degrees between March and May. 4. Funny Old Laws Every country has some strange, outdated laws that have failed to keep up with modernity and now just seem weird. Thailand is no different and the list includes: - It is illegal to leave the house without wearing underwear

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8. World’s biggest Chinatown with the world’s largest gold Buddha)

- It is illegal to drive a motorised vehicle bare-chested - It is illegal to use a durian fruit as a weapon and a fine will be levied determined by how many thorns strike a victim 5. Third-gender washrooms Along with the usual male and female washrooms found everywhere, Thailand is now one of the first countries in the world to introduce a third gender option for transgender men. This option is rare and it is still unlikely your will encounter such a toilet situation, but they are out there!

6. ‘Sawadee’ became the common form of greeting in the 1930s “Sawadee Khrap/Kha” is a one of the most used and heard phrases in Thailand.

It therefore comes as a surprise to learn that the word was only introduced into the Thai language in the 1930s by a professor at Chulalongkorn University. Prior to 1930, the most common way to say hello in Thailand was to say “gin kaow leaow ruu yang?”, which translates to “have you eaten yet?”

7. Red Bull energy drink originated in Thailand The world-famous energy drink Red Bull can be found throughout the world and was the pioneer of what is now a multibillion dollar power drink industry. Few

Bangkok’s Chinatown is commonly referred to the largest Chinatown in the world. Anyone who has spent time navigating the endless alleyways of this sprawling area is unlikely to disagree.

Known locally as Yaowarat, Chinatown in Bangkok is home to over a million ethnic Chinese people, usually of second or third generation.

On top of this, Chinatown also boasts the largest solid gold Buddha in the world.

Housed inside Wat Traimit, the five-and-ahalf ton Buddha was hidden inside plaster for hundreds of years and was only discovered when it was accidentally dropped while moving.

9. Thailand is the only Southeast Asian country never to have been colonised by a European country.

Thai people are noticeably proud of their culture and heritage. During the so called ‘Age of Empires’ in the 19th century, when European nations went rampaging across the globe on a path of domination, Thailand’s strategic location acted as a buffer between France’s Indochina and the Burmese and Indian colonies of Britain to ensure Thailand was never subjected to a full-on military invasion. The independence of Thailand was also down to the excellent governance by the much beloved King Rama V, who ceded small amounts of land to ensure peace with the European powers.

This article originally featured in the Bangkok Magazine on www.bangkok. com/magazine.

AustChamThailand Advance

AustChamThailand Advance

October 2014

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business brief

Is That a Decomposed Snail in My Ginger Beer?

By Kunal Sachdev and Thunyaporn Chartisathian

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ave you ever wondered about the specific ingredients and processes that go into the food that we purchase in supermarkets or in restaurants? It is not a thought which crosses our minds often because, we as consumers, are under the assumption that governmental agencies regulate and supervise the production and distribution of food before we purchase it.

Given the very recent control exercised by Shanghai’s government following a food safety scandal which revealed that an Americanowned, Shanghai-based supplier of chicken products to fast-food chains was relabeling expired meat as “fresh”, the new mandate requires all international food producers to disclose the source of every ingredient they serve in China.

How well do Thai authorities play this role? Below we outline the regulatory framework that goes into ensuring that the next time you peruse the aisles of your local supermarket, you don’t end up buying contaminated or unsafe food.

The House of Lords decision in the landmark case of Donoghue v Stevenson in 1928 is considered to be the most influential to the development of the modern law of negligence. Ms. Donoghue had consumed a bottle of ginger beer, which had been manufactured

by Stevenson. The bottle in question contained the decomposed remains of a snail which could not be detected until the contents of the bottle were partially consumed. The judgment gave rise to the “neighbor principle”, whereby “you must take reasonable care to avoid acts or omissions which you can reasonably foresee would be likely to injure your neighbor”. The neighbor in this instance was defined as “persons who are so closely and directly affected by my act that I ought reasonably to have them in contemplation as being so affected when I am directing my mind to the acts or omissions which are called in question”.

Though Thailand does not recognize Donoghue v Stevenson as a source of law, similar principles are contained in several legislative instruments such as the Food Act B.E. 2522 (1979) (the “Food Act”), the Consumer Protection Act B.E. 2522 (1979) (the “Consumer Protection Act”) and the Product Liability Act B.E. 2551 (2008) (the “Product Liability Act”) which work together to uphold the very principles for which Donoghue v Stevenson stands for.

The Food Act is aimed at protecting and preventing consumers from health hazards occurring from food consumption by regulating the production, sale and import of food in Thailand. The act states that the Ministry of Public Health is responsible for executing and administering the act and requires the owners of food production facilities to obtain a license from the Food and Drug Administration (“FDA”). The FDA has the authority to inspect food production facilities, and any failure during this inspection can result in the suspension or revocation of the food production license.

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The Food Act sets out specific requirements regarding where a food production facility can be located, how it must be constructed, and how it and the machinery located inside it must be configured and maintained. Among other things, cleanliness, good lighting and adequate ventilation are a must, and of course keeping animals and insects – snails included - away from the production line is a priority. Production processes are also regulated, such as relating to the storage, cleaning and handling of raw materials, the cleanliness of the vessels and surfaces that will be used for processing the food, packaging and record keeping.

Various chemicals and other ingredients cannot be used in food products, so neither formaldehyde nor arsenic will make its way into your cookies but trans-fats and other less-harmful substances still might. A food production facility is also required to get their recipes (setting out all ingredients contained within each food product) approved by the FDA and cannot modify them in any way without further approval of the FDA. There are other acts which also regulate the food products we purchase. The Consumer Protection Act and the Product Liability Act, work together to uphold the very principles for which Donoghue v Stevenson stands; even in restaurants. The sale of food, be it packaged or cooked, falls under the definition of the “manufacture” of a “product”. If food “manufactured” in a restaurant causes personal injury to a customer as a direct result of the restaurant either knowingly serving unsafe food, or unknowingly serving unsafe food due to “severe negligence”, the restaurant can be held liable under one or both of these acts. This principle is intended to cover all areas which “manufacture” and “retail” food products, from 5-star-Michelin restaurants to roadside mama noodle stalls.

What about the food on the street? Do the same principles apply to roadside vendors of moo-ping or somtam? If we as consumers incur “damage” or even die from eating this food, we still have an avenue of recourse against them. In such a case we would examine the food production and distribution supply chains to determine which party should be held responsible. Under the Product Liability Act the best approach may be to pursue the vendor in regard to who manufactured the ingredients used in the food which caused damage. If the vendor is unable to identify the manufacturer then the vendor will be held liable.

So, having conducted food production legal compliance reviews in the past, we can confirm that Thai food producers take these regulatory requirements seriously and we are confident there is no risk of finding a snail in the food we purchase from supermarkets unless we are looking to buy escargot.

This article was contributed by DFDL, a leading international alw firm specialized in emerging markets. For more information please visit www.dfdl.com.

AustChamThailand Advance

Eric Kenso Ward, ISB Class of 1979

International School Bangkok Bringing out the superhero in each of us since 1951. www.isb.ac.th

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AustChamThailand Advance

AustCham Corporate Bronze Sponsor: NIST International School

NIST International School As the first full International Baccalaureate (IB) World School in Thailand, NIST International School has gained a reputation for academic excellence. Each year NIST students consistently post scores well above the global average in the IB diploma examinations, and the 87 members of the Class of 2014 were no exception.

World averages in the exams remain relatively constant, hovering just under 30 out of a possible 45 points annually. NIST has surpassed that standard every year, and the 80 students who chose to pursue the diploma set a record with an average score of 36! As far as it can be determined, no other school in Thailand has achieved such a high average score while enrolling nearly all students in their graduating class in the programme.

Even more impressive was the fact that 41% of the NIST students received 38 or more points, and 28% received 40 or more-compared to the respective 9% and 5% worldwide who typically earn those same

scores. Additionally, out of only 146 students around the globe who earned perfect scores of 45, two were from NIST: Amillee Srethbhakdi and Priyanka Sukumaran.

NIST is now striving to further distinguish its educational programmes. Some of the members of the incoming Class of 2015 will be the first to earn the Global Citizen Diploma (GCD). The GCD is an optional qualification that parallels the IB diploma and recognizes students’ achievements in a range of areas. In short, they will stand out from other university applicants.

While NIST’s focus on academic excellence will continue, the GCD will play an integral role in the community’s emerging vision. More than ever, education must look beyond exams to nurture global citizens who are reflective, principled and balanced. NIST’s students will continue to excel in the IB exams, but they-and the school-will be able to share even more about their accomplishments in the future.

Embassy news

Australia – Thailand Young University Researchers’ Exchange Program Set to Commence

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ustralian Ambassador to Thailand, Mr James Wise, recently hosted a reception to congratulate Thai researchers participating in the inaugural Australia - Thailand Young University Researchers’ Exchange Program - a new initiative from the Department of Education at the Australian Embassy, Bangkok.

The Department of Education and the Australian Innovative Research University Group, in consultation with Thailand’s Office of the Higher Education Commission developed the program, which will fund an exchange program

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for ten participants each from Thailand and Australia.

Participants will gain insight into research practices in each other’s countries in several areas including nanotechnology, agricultural biotechnology, clean technology and modern languages. Acquiring cultural understanding is also one of the program’s objectives as well as developing networks to form long-term research and university partnerships.

Participating Thai institutions include Chulalongkorn University, Thammasat

University, Mahidol University, Kasetsart University, Prince of Songkla University, King Mongkut’s University of Technology – North Bangkok, Chiang Mai University, Burapha University and the National Nanotechnology Center (NANOTEC).

Participating Australian institutions include Charles Darwin University, Flinders University, Griffith University, James Cook University, Latrobe University, Murdoch University and University of Newcastle.

For more Embassy news, please visit www.thailand.embassy.gov.au

AustChamThailand Advance

The Coffee Club is the place to catch up with friends and family, providing

“GOOD FOOD, GREAT SERVICE, EXCELLENT COFFEE”.

“The Coffee Club” is one of Australia’s largest and fastest growing locally owned café groups and has been serving in Thailand. From the premium blend coffee and the talented barista will assure that every coffee is the perfect cup for you. Come and enjoy our all day breakfast and the variety of delicious menu at all branches in Thailand.

For more information and reservation, please contact our stores.

STORE LOCATIONS: BANGKOK: Suvarnabhumi Airport, Major Ekamai, Baan Rajprasong, Don Mueang Airport PHUKET: Turtle Village, Jungceylon, Kata Night Plaza, Banana Walk CHIANGMAI: Hotel M SAMUI: Chaweng Beach, CentralFestival Samui HUA HIN: Naresdamri Road PATTAYA: Royal Garden Plaza, North Pattaya AustChamThailand Advance

THE COFFEEE CLUB MOTORWAY IS NOW OPEN!

The Coffee Club Thailand @thecoffeeclubth thecoffeeclubthailand

October 2014

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chamber news

A MONTHLY PUBLICATION OF THE AUSTRALIAN-THAI CHAMBER OF COMMERCE IN PARTNERSHIP WITH THE AUSTRALIA THAILAND BUSINESS COUNCIL www.austchamthailand.com

January 2013

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A MONTHLY PUBLICATION OF THE AUSTRALIAN-THAI CHAMBER OF COMMERCE IN PARTNERSHIP WITH THE AUSTRALIA THAILAND BUSINESS COUNCIL www.austchamthailand.com November 2013

A MONTHLY PUBLICATION OF THE AUSTRALIAN-THAI CHAMBER OF COMMERCE IN PARTNERSHIP WITH THE AUSTRALIA THAILAND BUSINESS COUNCIL www.austchamthailand.com May 2014

AustCham Thailand 2012 President’s Award in this edition

report calls for “southeast Asia strategy” in the Asian Century

ANZAC Day

School’s in Session at the Beaumont Ruam Pattana School

in this edition

in this edition

Australian Government’s Endeavour Scholarships and Fellowships Open for Thai Citizens Business Brief CommuniTy serviCes Thai Automotive Industry Achieves AustCham Sundowners more than Two Million Cars in 2012 Community Services Sponsor

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ATBC Australia Thailand Business Council Update

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ChAmBer evenTs Women Drinking Responsibly, or Responsible Women Drinking?

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BUSINESS BRIEF BUSINESS BRIEF embassy Roadshow: Promoting Thailand 2020: Future After Business Opportunities in Thailand infrastructure Development?

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CHAMBER EvENTS Sponsors Cocktail Reception

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IN THIS EDITION

BlueScope 2013 AustCham Ball CHAMBER EvENTS Bangkok Sundowners at Vie Hotel

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BUSINESS BRIEF Happiness in the Workplace

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NEWS AND UPDATES Real Estate Woes in Yangon: Tactics for Staying Savvy

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Thailand and the Souteast Asian Region

Jackpot Gateway

in this edition

Structuring Investments into Myanmar AUSTRALIANALUMNI COMMUNITY SERvICES 12th Volvo Truck and Bus (Thailand) Turbo-charging Your Career: Effective Networking and Resumes that POP! Convoy for Kids Charity Golf

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BUSINESS BRIEF Is Managing a Racing Yacht Like Managing a Business?

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Recognising the Potential of Southeast Asia

AUSTRALIAN BUSINESS FORUM CHAMBER EVENTS Thai Productivity Cloud Offers AFL Grand Final Family Silver Lining for Aussie Businesses Day 2013

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CHAMBER EVENTS Bangkok Sundowners at Swissotel Le Concorde Bangkok

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BUSINESS BRIEF Thailand and the ASEAN Economic Community

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AUSTRALIAN BUSINESS FORUM EMBASSY NEWS Australia, Thailand and Lao PDR Thailand as a Platform for Celebrate Lasting Friendship Launching Business in Myanmar

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CHAMBER EvENTS Bangkok Sundowners at The Sukhothai Hotel

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Advancing Advance

By Janna De Vos

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s announced in last month’s magazine, this edition will be the final print edition of Advance magazine. Our “Advance” brand is currently undergoing some significant but exciting changes, and from November, will be distributed to our members and friends as an online fortnightly newsletter.

As we say a final goodbye to Advance in print, we thought we’d share with you some of the magazine’s pivotal and most memorable moments. To do this, I set out to talk to one of the key founders and drivers of the magazine, Gary Woollacott, Past President of AustCham and CEO at Opus Recruitment.

The first issue of Advance was published in July 2004, just over ten years ago. Before this, AustCham produced a member newsletter on an irregular basis. “The newsletter was a good source of information but it was time to build something more structured and regular to create continuous visibility of the Chamber and its activities” said Gary.

Producing a free magazine was a viable project at the time, as advertising covered all publication costs. It quickly become a consistent and reliable way to connect with members, and opened up communication channels with people and businesses all over the world. The magazine was sent to business centres and hotels across the region, and quickly became popular amongst the business community. “The magazine was very much like a shop window; people could have a look, and if they liked what they saw they could walk in and join the Chamber” said Gary.

To name the magazine, Gary and Shane Torr, who would become President of AustCham a few years later, launched a competition. A number of creative names were submitted, but “Advance” – the name submitted by Brenton Mauriello, CEO of dwp and a future AustCham Director – was without a doubt favoured by all. The word “Advance” not only represents progressiveness and a sense of moving forward, but it is also uniquely Australian in that it is the first word of the title of the country’s national anthem. “For any Australian picking up this magazine, the title

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resonates with them immediately and that’s why we chose the name Advance for our monthly magazine” Gary said.

Of course, setting out to publish a monthly magazine was not a stress-free endeavour. “The first issue took so much time and effort that we were not sure it would be possible to publish a new edition each month” said Gary. Indeed, it takes solid communication and very strict deadlines to be able to produce a monthly magazine – especially as the Chamber operates on a limited budget with only a handful of staff. Each one of the 123 Advance issues produced since July 2004 has thus been a product of great collaboration and exceptional team effort within the Chamber.

When asked about Advance’s most memorable moments and covers, Gary pointed to the first edition with a picture cover. “The ballroom dancers featured on the cover of the February 2006 magazine really hit the nail on the head” he said. “Here we were, a business magazine without a business cover – and it worked!”

Other memorable front covers included images from the annual AustCham ball, moving photos from the Convoy for Kids, and the March 2010 edition where AustCham celebrated the life and mourned the loss of Khun Suthiphon, Vice President of AustCham at the time.

Over the past ten years, Advance has become an integral part of AustCham Thailand and its quality and consistency has raised the profile of the Chamber. Through its personal channel of communication, the magazine has certainly reinforced our links with members and friends. While we are sad to let go of our printed magazine, moving online will allow us to grow and strengthen communication channels.

On behalf of all of our members and friends, we’d like to say a final thank you to Gary Woollacott for his continued support and advocacy of Advance. We would also like to thank Shane Torr, who was pivotal in driving the magazine, particularly in its early stages, and Martin Kyle, Past Executive Director and was also a key player in the magazine’s success. We also extend a big thank you to Belinda Skinner who devoted six years to the magazine, and more recently Rananda Rich, for ensuring the magazine remained a reputable publication.

AustChamThailand Advance

Chamber Events

Combined Chambers Professional Women’s Group Speed Networking Wednesday 10 September 2014, Hansar Hotel Professional ladies (and gentlemen) gathered round last month to speed network at the Combined Chambers Professional Women’s Group Speed Networking event, hosted by the Thai-Canadian Chamber of Commerce. Delicious food, wine, beer and champagne were all served throughout the night while guests networked by gathering around tables answering fun questions about living in Bangkok. A special thank you goes to the Thai-Canadian Chamber of Commerce for organizing and to KIS for sponsorship.

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AustChamThailand Advance

AUSTCHAM WOULD LIKE TO THANK

ALL ITS 2014 AFL SPONSORS

FOR AN OTHER SUCCESSFUL EVENT Event Partner

Event Supporters

Chamber Events

AustCham Bangkok Sundowners Wednesday 3 September 2014, Royal Orchid Sheraton Hotel This September our members and friends enjoyed our monthly Sundowners at the Royal Orchid Sheraton Hotel along the Chaopraya river. Delicious drinks and canapĂŠs were served while guests had the chance to mingle with each other. We would like to give big thanks to our Corporate Sponsors, Samitivej Hospital, as well as our Community Services Sponsors, The Beaumont Partnership Foundation, for their support. We would also like to thank our Venue Sponsors, Royal Orchid Sheraton Hotel and its staff, for their wonderful hospitality.

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AustChamThailand Advance

Chamber Events

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1) Porntip Utsahaphan, Samitivej PCL; Nicolas Leloup, Samitivej PCL; Tim Beaumont, The Beaumont Partnership Foundation; HE James Wise, Australian Ambassador to the Kingdom of Thailand; Regina Wilson, Royal Orchid Sheraton Hotel and Towers, Renee Bowman, AustCham Executive Director. 2) The Beaumont Partnership Team.3) Nannapat Sriwalai, Grant Thornton; Sisi Sookprayoch, Meinhardt (Thailand). 4) Belinda Skinner, en world Thailand; Andre Geertsma, ZI-Argus; Robyn Thomson, Volvo Group (Thailand). 5) Hatairat Chungsatiansap, Royal Orchid Sheraton Hotel and Towers; Benjamin Krieg, Radisson Suites Bangkok Sukhumvit; Sirinuch Taveetanachotparn, Kingston Holdings. 6) Leigh ScottKemmis, Lee Hecht Harrison, AustCham President; Patrick Gerald; Wayne Williams, Minor International, AustCham Director; Greg Wallis, Australian Trade Commission; Warwick Baglin, Meinhardt (Thailand). 7) Samitivej Team. 8) Ben Giles, Australian Trade Commission, Richard Finlay-Jones, Downer Engineering Power; Glenn Edward Smith, Genkan Creative Co Ltd; Carl Keating; Downer Engineering Power. 9) John Hocking, Cliff Premiums; Pairaya Manoonwong; Pimluck Lertkitkanchana; Kraipope Jarupaiboon; Vejthani Hospital. 10) Prabhath Gunathilaka, Meinhardt (Thailand); Sawai Chamroennao, The Beaumont Foundation; Lyndon Gordon, Meinhardt (Thailand). 11) Naruemon Sanguansap, Royal Orchid Sheraton Hotel and Towers; Rapeeparn Limcharoenporn, PRTR. 12) Katawut (Woody), Uretek Ground Engineering; John Macdonald, Uretek Ground Engineering; Jim Taylor, Australian Embassy.

AustChamThailand Advance

October 2014

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AUSTCHAM MEMBERS

AustCham Welcomes New Members Ecotrade Group 99/126 Moo 2, Panthai Norasing Muang Samut Sakhon Samut Sakhon 74000 Phone: +662 373 17 18 Fax: +6602 373 17 20 Email: media@ecotradegroup.com Website: www.ecotradegroup.com

Representatives: Mr Valery Hamelet - CEO manager Ms Artichat Guntrasree- CEO manager Company Profile: Established in 2006, Ecotrade recognized the growth opportunity in South East Asia for the recycling of catalytic converters.

Ecotrade’s premises are located in Bangkok, just 5 kilometers from the city’s main port, which allows easy access for shipments from other nations. Now the company is the largest purchaser of catalytic converters in South-East Asia, we also buy from USA, Canada, China, Australia, Africa and others.

We have acquired a great deal of expertise in the recycling industry and have earned a solid reputation for our professionalism, honesty and transparency. We have continued to invest significantly in the business, adding modern laboratory resources and, most recently, state-of-the-art sampling equipment – the only such facility in South East Asia– that allows us to accurately and speedily evaluate platinum group metals (PGM’s) content in batches of catalytic converters.

Our sampling methods are fully approved by the Industry’s leading

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authorities and we can now officer a full range of services, including analysis, cutting and refining of all models of catalytic converters and diesel particulate.

Since its introduction in the early 1980’s the catalytic converter has been the mainstay of environmental protection in the motor industry through its ability to reliably and effectively reduce noxious tailpipe emissionsPrimarily as a result of government legislation it is now a required item on each and every new vehicle that rolls of the production line.

At its heart, the catalytic converter contains significant amounts of PGM’s – platinum, palladium, and rhodium – all of which are recoverable after the life of the converter. For many years, Ecotrade has been at the forefront of the efficient recovery and recycling of these metals.

Catalytic converters exist to reduce the amount of harmful emissions from gasoline engines, providing the means for motorists to drive in an environmentally responsible manner: their recycling is both financially beneficial and environmentally important.

Company Profile: Aloft Bangkok - Sukhumvit 11, under Starwood Hotels & Resorts, is the first Aloft in South East Asia. The hotel is surrounded by a happening metropolitan center filled with a mixture of business and shopping districts, endless entertainment and culinary adventures. The hotel is conveniently located on Sukhumvit easily accessible from the Nana BTS Skytrain Station and the Sukhumvit Subway Station.

Products and Services Offerred: • 297 Urban-inspired guestrooms • 6 State-of-art meeting spaces • Crave Wine Bar & Restaurant- An industrial chic sense design with loftstyle ceilings and open plan kitchen, offering a casual, fun, and relaxing atmosphere to enjoy creativity and innovative dishes with a Taste and Share attitude • W XYZ Bar- The fun flows with everything from pints to pinot noirs to signature drinks, plus a full menu, cool music, and can’t-miss events • Re:fuel by Aloft- Get your foodie fix 24/7 with grab & go meals, mixand-match munchies, healthy bites, freshly brewed coffee and more

Khamin Development Co., Ltd. (Aloft Bangkok - Sukhumvit 11) 35 Sukhumvit Soi 11, Sukhumvit Road Khlongtoey, Bangkok 10110 Phone: +66 2 207 7000 Fax: +66 2 207 7059 Email: bangkok.sukhumvit11@

alofthotels.com Website: www.aloftbangkok sukhumvit11.com

Turmeric Co Pty Ltd Zuellig House, Level 8 1 Silom Road, Bangrak Bangkok 10500 Phone: +662 232 8082 Email: bkkadmin@tisainter.com;

admin@tisainter.com Website: www.tisainter.com

Representatives: Mr Justin Malcolm - General Manager Mr Ben Strother - Director of Sales & Marketing

Representatives: Ms Panwadee Sakulpichetratana - Marketing and Recruitment Director/ Migration Consultant

AustChamThailand Advance

AUSTCHAM MEMBERS

Mr Phee Na Lamphun - Professional Education Counselor Company Profile: Turmeric International Student Agent (TISA) provides full service on Australian, providing information, counseling and application processing to overseas students who intend to further their study in Australia.

Products and Services Offerred: • Provide counseling to students and their parents • Advice and assist on making applications for study at an Australian institution • On-going support to students and their parents after an application for study has been submitted • Assistance with visa processing • Pre-departure briefings and airport pick-up services • Guide and provide them on accommodation in Australia e.g. Homestay, renting house or apartment and university Halls or Residence • Other additional services relevant to a student’s application • Migration advice to Australia.

Prior to that I lived in Canberra, Australia where I worked in both the public and private with the Department of Defence and defence industry. I have extensive commercial, sales, marketing and project management and business development experience. I am looking forward to the business, networking and cultural experience that my new role will provide including the ability to connect with other businesses and individuals in Thailand.

Change of Company Address t+b solutions Co Ltd 58 Soi Udomsuk 39/1 Sukhumvit Road 103 Bangchak, Prakhanong, 10260

Bangkok

Management and Executive Recruitment Consultants Ltd. 1032/14, Krits Building 4th Fl. Rama 4 Road, Thung Maha Mek Sathon, Bangkok 10120 Tel: +6694 775 8167

Ms Robyn Thomson Volvo Group (Thailand) Co., Ltd Bangna Tower Building A, 4th Fl. 2/3 Moo 14 Banga-Trad R. Bangkaew, Bangplee Samutprakan 10541 Phone: +66922587570, 662 751 9282-96 ext 1102 Email: robyn.thomson@volvo.com Individual Profile: I moved to Bangkok from Sydney, Australia in April 2014 into the Vice President - Volvo Buses Region Thailand.

I am responsible for sales, marketing, distribution and aftermarket support of Volvo buses in Thailand as well as Myanmar, Philippines, Vietnam, Loa and Cambodia. I have worked in the Volvo Group for 10 years in various roles based in Sydney.

AustChamThailand Advance

October 2014

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From the Chamber Office

Message from the Executive Director

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ustCham is currently gearing up for a busy fourth quarter. The 2014 Emirates Qantas AustCham Ball is just around the corner. Held on 18 October at the Shangri La Hotel Bangkok, guests are encouraged to dress in theme or formal evening attire.

Tickets are selling fast so gather your friends and colleagues and join us for an enchanting evening of wining, dining, conversation and dancing.

In response to members asking for different event venues, I am pleased to confirm that the Bangkok Golf Centre will host November Sundowners. In additional to networking, you’ll have the opportunity to chat with PGA certified instructors about your game, while others can trial their state of the art digital software and practice facilities. Stay tuned for more details in the coming weeks.

Behind the scenes, AustCham is laying the necessary foundations which will enable it to deliver more business events, industry specific forums and round table discussions. Members who have expertise or interest in any of the following committees are encouraged to contact me in the coming weeks: hospitality and tourism, manufacturing, creative industries, education and training, retail and consumer, automotive and SME. The Chamber is also in the process of undertaking two supply chain case-studies and we are keen to work alongside members who are involved in the automotive or food industries. We are also close to launching a new digital skill sharing platform which aims to facilitate connections between member companies and potential interns and employees, as well as matching mentors with mentees.

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This month we welcome the new Australian Ambassador to the Kingdom of Thailand; HE Mr Paul Robilliard. Mr Robilliard is a senior career officer with the Department of Foreign Affairs and Trade. His previous appointments include First Secretary of South and West Asia Division, Deputy Head of Mission in Jakarta, Consul-General in Honolulu, and Ambassador to Syria and Lebanon, as well as earlier postings in Singapore and Syria. AustCham will aim to formally welcome Mr Robilliard at a member’s luncheon later this year.

Calendar of Events Wednesday 1 October Bangkok Sundowners

18.00 – 21.00 Venue: Shangri-La Hotel, Bangkok Corporate Sponsor: Akara Resources PLC Saturday 18 October Emirates Qantas 2014 AustCham Ball

18.30 – late Venue: Shangri-La Hotel, Bangkok Tuesday 21 October ABF Express

07.45 – 09.00 Venue: Servcorp Park Venture Ecoplex

Last month, AustCham invited members to participate in the 2014 membership survey. Thank you for taking the time to complete this survey. While we have received a great response rate, there is still time for more members to submit their thoughts and feedback.

These results are vital in formulating our future strategy and activities.

It is only fitting to end this final printed Advance ED message, before we transition to a digital format, by thanking everyone who has been associated with Advance since its inception. Its successful evolution is a testament to the hundreds of people who have contributed towards publishing, advertising, content, editing and the like. On behalf of AustCham - thank you.

Thank you to our September Sponsors

Warm Regards, Renee Bowman Executive Director, AustCham Thailand www.austchamthailand.com

AustChamThailand Advance

Inspiring Young Learners to Fulfil Their Potential Have you seen our new home?

Key features of the new Year 1 and 2 building include: - Bigger teaching rooms for classes of maximum 20 children - More collaborative learning spaces - Rooftop garden - ICT and robotics suites - New, creative play opportunities

This unique learning environment helps to support each child’s educational and pastoral development.

To find out how our child-centred approach to learning and outstanding teaching staff can help your child fulfil their potential, from 2 1/2 to 18 years of age, please contact admissions@patana.ac.th

www.patana.ac.th | +66 (0) 2785 2200 | 643 Lasalle Road (Sukhumvit 105), Bangna, Bangkok

Bangkok Patana is an IB World School accredited by CIS and NEASC