Magazine of the British Chamber of Commerce Thailand Issue 2 2018
Banking, Finance & the Economy Banking on success Smart cities in Thailand News from BCCT members By the Numbers Events round-up
Contents BCCT
Board of Directors 2018 CHAIRMAN Chris Thatcher Anglo-Thai Legal Co., Ltd. M: 081 803 7377 christhatcher1@Gmail.com VICE CHAIRMEN Simon Matthews Manpowergroup Thailand T: 02 634 7273 matthews@manpower.th.com
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David Cumming Amari Watergate Bangkok T: 02 653 9000 david.cumming@amari.com Carl Sellick Lucy Electric (Thailand) Limited T: (0) 2 663 4290 carl.sellick@lucyelectric.com
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DIRECTORS Ali Adam Arcadia (Thailand) Co., Ltd. T: 02 108 1822 ali@arcadia-engineering.com Billy Chomsakorn British Airways Plc T: 001 80044 15906 billy.chomsakorn@ba.com Viriya (Boyd) Chongphaisal Glaxosmithkline (Thailand) Ltd T: 02 659 3000 viriya.x.chongphaisal@gsk.com Gareth Davies Fluxus (Thailand) Co.,Ltd T: 6696463 4704 gareth.davies@fluxus.io Stephen Frost Bangkok International Associates Ltd. T: 02 231-6201/6455 sfrost@bia.co.th Colin Hastings The Bigchilli Co., Ltd. T: 02 635 5085 editorbigchilli@gmail.com Simon Landy Colliers International Thailand T: 662 656 7000 slandybkk@gmail.com Pinyapa Pichaipalakorn Hlg (Thailand) Co., Ltd. T: 02 670 1848 ppichaipalakorn@harveylawcorporation.com Nick Smart Tesco Lotus (Ek-Chai Distribution System Co., Ltd.) nick.smart@tescolotusfs.com Sarah Smith Jamie’s Italian T: 662-2555-222 Sarah.Smith@jamiesitalian.co.th HONORARY TREASURER Jonathan Fryer Mazars (Thailand) Ltd. T: 026701100 ext 124 jonathan.fryer@mazars.co.th
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34 12 Digital disruption 17 Banks offer platforms for investment success
38 26 Software protection in south east Asia 30 BOI approves Smart City incentive scheme
18 Cashing in with your money 20 BOI continues drive for investors 22 Research raises issue of ILP regulations in Indonesia
32 Are your loved ones protected? 34 Satun Geopark gains UNESCO recognition 35 Hands on remedy for unfair competition
24 Payment interoperability – next step towards a digital ASEAN
36 Yuyo’s ‘super’ drink secure sales in Brazil
25 Bank chief Mahon lands government export role
38 Airlines rise above financial turbulence
Contents Issue 2/2018 The Link is published by the British Chamber of Commerce Thailand. Advertising enquiries: Greg Watkins Email: greg@bccthai.com Editor: Dale Lawrence Email: dalelawrence2008@gmail.com Front cover design: GSBI Production: Scand-Media Corp., Ltd
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The views expressed by individual authors are not necessarily those of the British Chamber of Commerce Thailand or of the publisher. Reproduction in whole or in part without written permission from the British Chamber of Commerce Thailand is strictly prohibited.
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Chairman’s Message
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Executive Director’s Message
Member News 40 Thai investors eye UK hotels 41 England cricket legend returns to Bangkok 42 Groundbreaking HSBC blockchain transaction set to revolutionise trade
British Chamber of Commerce Thailand 7th Floor, 208 Wireless Road Bangkok 10330, Thailand Tel: 02-651 5350/3 Fax: 02-651 5354 Website: www.bccthai.com Email: greg@bccthai.com Greg Watkins, Executive Director
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43 Ten year celebrations for Robert Walters Thailand
56 45 Smart City concept to boost Phuket property prices 46 Upbeat forecast in latest Knight Frank condo report 47 Office rents continue to rise in Bangkok 48 By the Numbers 52 Chamber Events 58 Coming and Goings
44 Mazars seals partnership with HR solutions provider
64 Final words
Sterling Partner
Sustaining Partners
CHRIS THATCHER
Chairman’s Message
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ere we are nearly half way through 2018 and much has been happening at the BCCT. All Chambers compete with each other for members and they join one or another for a variety of reasons. The BCCT tries always to be at the forefront but, almost by definition, we cannot win every time. Resources for most companies are limited so it is rare (but not unknown) for companies to join multiple chambers. Maximising the benefits of membership of the Chamber really comes down to three different areas for most companies. First, business networking; secondly using the ability to focus on contacting other members through the membership database (available to all members should they desire it) and, thirdly, invoking the skills and knowledge of our ED Greg Watkins to provide guidance and advice and often to suggest contacts that may not have occurred to them. Greg’s nearly 20 years of experience add up to unmatchable business knowledge. If he can’t guide you, probably nobody can and he is certainly a key value-added element of belonging to the BCCT. Of course, the Chamber does much more than that. We have recently signed an agreement with three other chambers (German, Australian and American) to operate together when we are all in agreement. This loose arrangement (known as the Foreign Chambers Alliance or FCA) is intended to make us more coordinated in any advocacy that we undertake on your behalf, to be more effective by working together, and to ensure that the government (and others) do not simply pick us off one by one. We work with the Thai Chamber of Commerce and the Board of Trade to raise issues on your behalf and representing you are Simon Landy and Simon Matthews. They do important work but, generally, you will not be aware of what they do unless you read the BCCT Board minutes online. The Board meets every month. Usually the meetings are formal and require a quorum of half of the Board (7) but occasionally we have an informal meeting so that board members may raise any issues that they might have and we may then discuss these at length without the constraints of the more formal meetings.
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BANGKOK PATANA SCHOOL CLASS OF 2018
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USA
CANADA
Celebrates Global University Offers
USA
UK 5
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THE NETHERLANDS
1
IRELAND FRANCE
1
1
CHINA ITALY
3
1
HONG KONG
THAILAND
2
OUR 126 GRADUATING STUDENTS HAVE RECEIVED
SINGAPORE
453 OFFERS
3 AUSTRALIA
NUMBER OF OFFERS BY COUNTRY
From 184 selective universities and colleges (Data correct as of 22/05/18. Southern hemisphere applications are still in process)
Over 100 offers were made by the following institutions listed
in the Top 50 of The Times Higher Education World University Rankings 2017-2018 UK Universities Imperial College London King’s College London London School of Economics and Political Science University College London University of Edinburgh
USA Universities Carnegie Mellon University Columbia University Cornell University Georgia Institute of Technology New York University Northwestern University Princeton University
Rest of the World Peking University University of British Columbia
University of California, Berkeley University of California, Los Angeles University of California, San Diego University of Chicago
University of Melbourne
University of Illinois at Urbana-Champaign
University of Toronto
University of Pennsylvania University of Washington University of Wisconsin-Madison Yale University
A proud tradition of learning excellence Bangkok Patana School is a not-for-profit, IB World School, accredited by CIS and NEASC
643 Lasalle Road, Bangna, Bangkok | T: +66 (0) 2785 2200 www.patana.ac.th | admissions@patana.ac.th
Formal meetings are always minuted and the minutes become available on the BCCT website (under the Reports section) when they have been approved at the next board meeting. There will always be a lag simply to ensure that the minutes are accurate. Since my last report, there have been a great many things going on at the BCCT – too many to report upon but here are a few highlights: a) Life and Style Garden Party at the Embassy. Attended by well over 400 people and supported by many sponsors this event was once again a great success. We know that we’ll be able to squeeze one more out of the Embassy before it vacates the compound so 2019 is to be the last L&S at that location. After that? Who knows but we are in the process of thinking about alternatives. b) Visit of the Secretary of State for International Trade Dr. Liam Fox. He supported the work of the BCCT by both meeting with the Board and meeting members. I found him to be far less political than I had imagined and I don’t think anyone mentioned Brexit (although I might be wrong - I slip into a sort of trance whenever I hear it mentioned!). c) Chairman’s dinner. We tried something new and despite low numbers ( just over 50 attended) it was a great evening with Andrew Biggs on top form. I am still debating whether or not to try again sometime but getting someone of Andrew’s quality will be difficult. d) I attended the Nottingham University Global Dialogue event at the Embassy and was surprised and pleased to discover that a colleague from my dim and distant past as the President of the National Association of Headteachers, was one of the speakers. Mary (now Dame Mary) Marsh finished as a Headteacher at about the same time as I did and went on to become the Chief Executive of the NSPCC. Nowadays she is a non-exec Director of HSBC (as well as a few other things). We had a great time catching up! Finally, it seems to be fashionable to show your support for a football team so, along with the two other members of the Coventry City Football Supporters in Bangkok, well done the lads for getting promoted to Division 1! Onwards and upwards.
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Executive Director’s Message
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GREG WATKINS Supporting Partners
here does the time go? It’s hard to believe that we’re at mid-year already. The last three months have been busy for BCCT. UK Secretary of State for International Trade Dr Liam Fox visited Thailand during the first week of April. This was the first visit to Thailand by a UK Trade Secretary since Patricia Hewitt in 1993 and also Dr Fox’s first visit to Thailand. He met the BCCT board of directors and engaged with members in a lively Q&A session. Dr Fox reported that during his meetings with Thai government he pushed for meaningful liberalization of the Foreign Business Act and land ownership noting that the post-Brexit landscape will give UK an opportunity to unilaterally negotiate trade and investment deals with countries based on reciprocal access to markets. Dr Fox also noted that there has been a marked increase in the number of British companies exporting in the past two years. Having just returned from a two-week UK roadshow with colleagues from BritChams in Indonesia, Malaysia, Philippines, Singapore and Vietnam, I saw an increase in the number of companies wanting to meet us. Over nine days we visited nine locations – Manchester, Durham, Sheffield, Birmingham, Gloucester, London, Southampton, Slough and Ashford (Kent). I had 100 one-to-one meetings with companies interested in Thailand, from education consultants to food and drink exporters to a manufacturer of hovercrafts and much in-between. The trick is converting that interest to commitment. Time will tell. In April and May, Andy Gower and his team at BMRS Asia were busy working on the latest membership survey looking at all aspects of BCCT’s performance, activities and delivery of membership benefits. Special thanks if you are one of the 162 members who took time to give your views to BMRS. Andy will be presenting the survey’s findings to the BCCT board on 28th June. We will then discuss the findings and actions with members at an open evening during the first half of July. We have also embarked upon an extensive review and upgrade of our digital communications platforms. This includes the BCCT website design and accessibility; the content and design of email notices; how to make better use of social media that we are already using; looking at various social media where BCCT is not active; the use of event and promotional videos by the BCCT office and members; making entry to events easier; digital invoices and receipts; live chat; digital membership cards, and much more. However, the first step is to understand what members would like to see. The July open evening will be an opportunity to provide your views. As we enter the second half of the year, Jina and her membership team will be closing off the remaining non-payers of membership and other fees. If you haven’t yet arranged for payment to be sent please do so at your earliest convenience. We hope you will continue your membership and, as with any other member, if you would like to discuss how best to derive most value from your membership, then do please contact me.
Airline Partners
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COVER STORY
Digital disruption By Andrew McBean
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here is a vague feeling of loss each time computers learn to perform a skill better than we can. Experts at the abacus no doubt felt it when calculators made their knowledge obsolete. Interestingly the first calculator, invented in 1645 by a supervisor of taxes in Rouen, was created to try to reduce tedious calculations required. That seems remarkably prescient for what we are about to discuss. Games champions used to be as beloved as rock stars but the permanent dominance that computers have now displayed in games such as Chess and Go has dimmed the popularity of the best human players. In 2017, Google’s AI subsidiary DeepMind was fed with 100,000 datasets of previous games. It went on to beat the human Go masters, with the world’s best Go champion at the time saying that the performance was ‘godlike’. Just one year later, in 2018, DeepMind was given only the rules of Go – learning the game from scratch instead. After just three days of selflearning the 2018 platform beat the 2017 version by 100 games to zero. In case you are wondering, the number of permutations of possible legal moves on 19-by-19 Go board is a dizzying 2 × . To put that into perspective, Wikipedia reminds us that there are an estimated atoms in the observable universe. Not bad at all. The evolution of computing power means that its growth is exponential even while the price of its availability is similarly reduced. In one study featured in AI Impacts it was estimated that ‘computing power available per dollar has probably increased by a factor of ten roughly every four years over the last quarter of a century’.
With quantum computing just around the virtual corner, that value is likely to accelerate further. For business, this inexorable rise is taking on a more urgent character as survival itself is at stake. At this point, a definition of Digital Disruption is useful. It is ‘the change that occurs when new digital technologies and business models affect the value proposition of existing goods and services’. In other words, it has both a threat (à la the much-cited Nokia) and opportunity (à la Apple). The more entrenched and dominant one is (à la Nokia), the harder it is to give up that position by disrupting oneself and the easier it is for an upstart (à la Apple at the time) to present such significant value to the consumers that a shift rapidly occurs. The more computing power we have and more connected we are, the more rapidly those disruptions will occur.
Interestingly the disrupters of these traditional services are often technology companies such as Uber, Airbnb, Netflix, Amazon, Google and Facebook. The list will carry on. Accountants have been performing double-entry bookkeeping since the Franciscan monk Luca Pacioli first described it in 1494. Is the accounting industry ‘entrenched, traditional and dominant’, leaving it wide open for disruption? Many predict that accounting, certainly in the way we know it today, is a dying industry and that accountants will join the list of extinct species within next 10 to 20 years. Earlier this year Forbes Magazine stated that ‘we expect that by 2020, accounting tasks but also tax, payroll, audits, banking… will be fully automated using AI-based technologies which will disrupt the accounting industry in a way it never was for the last 500 years’. This leaves a frighten-
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ingly short period of time for its prediction to come true. Should accountants be frightened? No, we need simply act. The first step is to put down the metaphorical abacus and teach ourselves what the new generation of calculators can do. Computers will be faster, more accurate, more secure and more organised than humans at every type of repetitive, predictable task - particularly those centred around mathematics and processes. They will collect and scan receipts, verify data, organise spreadsheets, do our taxes, read contracts, make quantitative analyses, detect errors and make predictions about a company’s performance – all cheaply and in far less time than it took you to read this sentence. They will add significant value to our clients and they will make us more efficient. This is a certainty, and it is imminent. Successful adaptation involves rethinking the role and function of the accountant. Computers can do the calculations but this does not mean
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that accountants will no longer be necessary. On the contrary, the time saved by computers can instead be used to provide other, higher level value-added services. The accountant of the future can use his computer assistant to his or her advantage, using the data it produces to provide current and continuous strategy advice for his clients.
Businesses will come to rely ever more greatly upon large accounting firms as the expertise that their specialist AI-enhanced advisers can provide will be far beyond current capabilities in navigating through changing markets. By outsourcing this type of activity, companies will have greater leeway to focus on their own areas of expertise.
When seen through this lens, the benefits for all parties become apparent. Accountants will no longer need to spend their days on the endless stream of data entry, document verification, formal report writing or other such duties. Their new responsibilities will be far more open-ended and intellectually engaging, involving analysis of current vs. alternative scenarios, real-time advisory services, management of outcomes rather than processes, investigation of new business opportunities, and creative research to discover data patterns not detected by the artificial intelligence system. What are considered premium services today will become the norm tomorrow.
Accounting, of course, is hardly the only industry where imminent shifts in technology will prove to be a disruptive force. From shopping and banking to media consumption and interpersonal communication, the modern world depends on information – and advances in computing continue to revolutionise every aspect of information processing. In the legal industry a recent study pitting AI against human lawyers at the task of reviewing Non-Disclosure Agreements recorded the following scores: Humans produced an 85 per-
Even as the accountant’s tasks become more personally satisfying the rise in efficiency, improvement in accuracy and extra dimension of service that artificial intelligence allows will all redound to the benefit of the client. Moreover this new, more holistic conception of the accountant’s role will lead to greater specialisation. Future accountants will require high levels of literacy in technology and data analysis as well as creative skills in problem solving and strategic planning. For this reason, the job of accounting will move far away from the stereotype of the functionary preoccupied with data entry and much closer in scope and feel to trusted advisors for high-level management.
cent accuracy rate after spending an average of 92 minutes; while AI produced 95 percent accuracy despite taking a rather swift 26 seconds on average. And that is now. One technology that will be crucial to the new era of business is Blockchain. As with any tool, Blockchain technology can be used for good or ill – but its potential in shaping the future is profound and unmistakable. Some dismiss it as nothing more than an over-hyped fad because it is the technology that underpins some of the bad-boys on the block (as it were) using crypto-currencies for illgotten gains. A more fitting analogy, however, is to the World Wide Web. There are certainly some silly web pages out there – particularly the ones that were created first with the technology – but the organisational foundation of the Web has proven itself to be worldchanging. So it is with Blockchain. As a technology it aims to correct a series of persistent data inefficiencies through an innovative organisational principle. Security, for example, is one of the issues that Blockchain addresses. When data is stored in a single location, that data can be hacked and altered without detection. Alternatively, the storage unit itself can be cut off from the outside world, either through a failure of infrastructure or government interference, leaving the data inaccessible and disrupting large amounts of economic activity. Blockchain uses encryption to decentralise information safely, functioning as a type of next-generation ledger. The concept of a ledger is familiar in the world of accounting where each participant relies upon a unique ledger in which their information is stored. Work on each ledger
has to be individually checked and validated while delays and copying mistakes – to say nothing of deliberate data manipulation – can slow the processing of information severely. The Web acts as a different kind of ledger. It records activity quickly enough but remains saddled with all the vulnerabilities that result when storing data in a single location. The string of recent news stories about privacy violations, government agencies spying on data networks, and e-mail hacking scandals underscore the need for a more advanced system - particularly as more of the world goes online. Blockchain goes a long way towards solving many of these problems. It introduces a shared ledger, where alterations are instantly and automatically verified by all interested parties through encrypted channels and cannot be undone. Because a shared ledger is used, Blockchain encryption allows infor-
mation to be bundled together and processed efficiently by those with the requisite technical knowledge. Certificates and other paperwork can easily be integrated with digital inventories, streamlining transactions with reliable ‘virtual’ paper trails. Interestingly this raises the question of what an accountant will audit when the information is inherently correct and unalterable when it is added to the block. Blockchain also provides a real-time view and availability of 100 percent of the account information – not the rear-view mirror used in audits today which typically use only a ‘reasonable’ subset of the data to corroborate the accounts. Entirely new business models can and almost certainly will arise from Blockchain, overturning the current structure of online commerce. In the current business landscape, dominant platforms can put consumers at their mercy. The Link
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Blockchain allows individual users to instead put their own data (their ‘block’) essentially up for auction and let all service providers try to outbid each other for the users’ business. As is often the case with the internet the power shifts back to the consumer, in which case disintermediation of anything in the middle and not adding value is brisk and ruthless. To book a taxi ride in the future you’ll publish your trip details through your ‘RideCoin’ (or whatever it will be called), and instantly receive competing offers from Uber, Lyft, GrabTaxi and any other provider for you to choose from. When posting a ‘selfie’ online, Facebook and a dozen other social media providers will try to outbid each other by offering you greater reach, fewer ads, better presentation – and you’ll be able to choose which one to go with. The levers of influence in a Blockchain economy are placed in consumers’ own hands, acting as a corrective to the current state-of-affairs where online power is concentrated into a few large corporations. As a decentralised ledger, Blockchain works to decentralise market power as well. Indeed a recent World Economic Forum report predicts that, by 2025, 10 percent of GDP will be stored on Blockchains or Blockchainrelated technology. As every sector of the economy adapts to the promises of new technology, individual companies will need to follow suit lest they otherwise be left behind. Customers will come to expect a shiny digital interface that anticipates their individual needs and offers a pleasant online shopping experience which is catered to them personally. Accountants themselves will soon find that the collection of validated financial data marks not the end of their duties, but rather the beginning. Companies will expect their financial
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advisers to run individualised, advanced comparative simulations for various potential business plans, relying heavily on industry knowledge and data analytics. The speed of change will quickly separate the innovators from the companies whose only goal is not to fall too far behind. The latter will have the regrettable experience of seeing their customers migrate to the former. However, it is also true that proper adaptation depends on an accurate understanding of one’s environment, and even some innovators may find that they have over-balanced. Computers are not the future after all or, at least, not all of it. We began this article by noting that the very best human game players are, now and
forever more, doomed to lose to their computer counterparts. That is certainly true but a closer look reveals the crucial detail – humans built the AI, after all – that it is the unique partnership of humans and technology that made the difference. The way forward is neither to reject technology nor to turn our backs on human skill altogether. Rather it is to use the talents of each world wisely and fully, with each side complementing the best of the other. Will it be the accountants armed with technology, or the technology companies armed with accounting? Timing will play a part in the answer. If we take too much time and let outside forces disrupt ourselves, it is more likely to be the latter.
Andrew McBean is CEO of PKF Holdings in Thailand. Phone: +66 2 108 1591 Fax: +66 2 108 1599 Email: andrew.mcbean@pkf.com OR thailand@pkf.com 28th Fl., Sathorn Square Office Tower, 98 North Sathorn Road, Silom, Bangrak, Bangkok 10500
Banks offer platforms for investment success We asked our banking members to respond to three key questions. We received replies from Standard Chartered Bank Thai (PCL) and HSBC Thailand. Q1: Are the fundamentals of Thailand’s economy sufficiently stable and secure so as to encourage investment from UK companies and investors? Standard Chartered: Low political risks and political continuity – sorely missing in Thailand for more than a decade – have kick-started delayed infrastructure investment plans amid an improving macro backdrop. Thailand has grossly under-invested in its economy for decades. Public investment was uninspiring and private investment remained subdued. When GDP averaged five percent from 2000-05, total investment grew nine percent and private investment was up 14 percent. From 2006-16, however, GDP growth dwindled to three percent; total investment grew just three percent and private investment rose by a weak two percent. Private investment has yet to show sustained improvement; a revival will be challenging amid excess capacity and with the economy being in the early stages of a recovery, in our view. However, we think businesses should become more active
after other economic indicators improve. Beyond this, clear reform plans and their execution, and progress on public infrastructure investment projects will likely be closely watched by investors considering doing business in Thailand. HSBC: Yes. Large UK companies have all generally been comfortable with Thailand’s economy and stability and believe that they continue to be encouraged with the environment. Q2: Do you envisage business opportunities for UK companies in the much-heralded EEC? Standard Chartered: The Eastern Economic Corridor (EEC) will involve infrastructure projects and private and foreign investment in targeted next-generation industries such as electric vehicles. The government has offered a series of tax incentives to attract local and foreign investors to the EEC. Thailand has invited the United Kingdom to explore the opportunity of investment in education, science, technology, innovation and aviation. • Thailand lies at the heart of the south east Asian mainland. The potential opportunities presented by strong growth trends (of CLMV countries) are tremendous. HSBC: The EEC has been established to facility investments in new technology with the upgrading of infrastructure and creation
of incentives for all companies including UK ones to invest in Thailand. As a country central to AEC, UK companies will see benefits in strategically being located in Thailand. Q3: Do you have clients in Thailand that are looking to invest in the United Kingdom? If so, how can your bank assist in this process and what facilities does your bank provide to assist UK companies seeking to establish a presence in Thailand. Standard Chartered: More and more Thai companies are looking to expand overseas. With Standard Chartered Bank’s headquarters located in the UK we have the advantage in assisting Thai companies investing and expanding into that country. Vice versa, when multinational companies establish a presence in Thailand they like to work with banks with systems and platforms with which they are familiar. More importantly, Standard Chartered has an in-depth experience and knowledge of the financial system and business landscape in Thailand. This proves to be very valuable to clients seeking local practical solutions that align with their global requirements. HSBC: We support our customers with HSBC’s global banking platform across all types of products including credit and lending, project finance, international advisory and markets hedging. The Link
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Cashing in with your money By Paul Gambles
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hen it comes to the high street, Britain has become hugely homogenised. If you drove around the country you could easily eat in the same restaurant, go to the same café and browse in the same shop, no matter whether you were in Glasgow, Llandudno or Penzance. The same may be said for the commercial banks. There has long been a history in Britain of small and medium-sized banks being bought up by (or merged with) the big guys: Midland Bank’s acquisition by HSBC and TSB’s merger with Lloyd’s spring immediately to mind. If we throw into the equation the turmoil of 2008, we get the situation today where just six banks hold 91 percent of current accounts (2014 figures). Those same six banks also account for 71 percent of gross money lending. As in other sectors, dominance by a small number of players may lead easily to less accountability and abuse of power. There is also the tendency of big players wanting only to deal with big customers in big deals. So, if you’re a small startup with a great idea, you’ll struggle to get their attention. The picture is quite different in other countries - notably the US and Germany - where there are many banks serving completely different purposes. For example, large banks give large loans and medium-sized
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banks give out medium loans etc. Small community banks handle the small loans and are highly accountable because they are small enough for the whole community to see what they’re doing. We may see how big banks take full advantage of their dominance merely in the way they go about the everyday handling of current accounts and loans. To start with, when you put your money into a current or savings account the banks use the term deposit. That’s rubbish. You are in fact lending the bank your money for them to take away and try to make a handy return on. Once placed in your bank account, legally you no longer own that money – the bank just owes it to you. If they don’t make a return from using your money, then you could theoretically lose it. That’s what happened to many people in 1929. Fortunately in several countries, including the UK and Thailand, the authorities provide account holders with some degree of protection. The terminology used employed may be confusing but the notion of a bank using your money to make more seems logical. After all, directors’ bonuses don’t grow on trees. The real falsehood is the notion that banks are intermediaries, which put customers’ savings into a vault and use the accumulated money to lend to others - profiting purely from interest and service charges. What really happens is that, when you have a loan approved, the bank creates new money which goes into a new loan account that your bank has opened for you. It’s just plucked out of the air – well, more like typed as an IOU into a computer. If that loan is to pay for something big, like a house or car, it’s likely that you won’t pay in cash.
So, a lot of loan money is never converted into paper money. Even the Bank of England has admitted this is how most money is created today; and experts at Positive Money estimate that just three percent of the money in circulation in the UK is cash. If that’s the case, what does the bank do with the loan and interest money it receives from customers? It takes it as profit. Not only that, banks often pool together, repackage and sell off the risk they’ve taken in lending you the money to other finance companies. Any accountability, community responsibility or chance of renegotiating with borrowers in the case of default has gone once the debt has been sold on. That distance and anonymity between the borrower and the eventual owner of the debt goes a long way to explaining the subprime chaos and the high number of repossessions across developed economics since the 2008 crisis. Whilst the UK is now in its ninth year of cutting public-sector budgets and the Bank of England considers raising its bank interest rate later this year to curb inflation, both government and central bank seem to be missing the point. The old-fashioned money multiplier model implies that a central bank
has ultimate control over the total amount of money in the economy. So, the theory goes, if the Bank of England wants to lower inflation, it can control the money supply by stopping printing notes or increasing the reserve ratio banks must store in the central bank’s vaults. As the private banks create so much virtual money, the B of E doesn’t really have such power. Whether it prints more or less money doesn’t have as large an effect on inflation as those on Threadneedle Street would like us to believe. Not only that: as more and more loans get approved, the amount of private debt – one of the main reasons for the 2008 crisis – goes up. The latest figures (Q3 2017) show that private debt in the UK is 18 percent higher than Q4 2008 and some 170 percent higher than it was in Q1 2000. This does nothing to help economic recovery and shows that the UK is susceptible to yet another financial crisis. So, we’re dealing with a government and central bank which continue to pretend they’re in control, when really it’s the private banks that are holding your purse strings.
MBMG Investment Advisory Co., Ltd. 75/56 Ocean Tower2, 26th Fl. Soi Sukhumvit 19 (Wattana), Klongtoey Nua, Wattana Bangkok 10110 Thailand. For more information and to speak with our advisor, please contact us at info@mbmginvestment.com or call on +66 2 665 2534. Paul Gambles is Managing Director, MBMG Investment Advisory, Bangkok. Paul is also licensed by the SEC as both a Securities Fundamental Investment Analyst and an Investment Planner.
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BOI continues drive for investors Investors say consistent policy, infrastructure and skilled labour are crucial to economic transformation
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oreign investors in targeted industries have suggested that consistent investment policies, good infrastructure and capable human resources were the key driving forces for Thailand to maintain its competitive advantages and to succeed in its plan to transform its economy. A BOI seminar titled ‘Thailand taking off to new heights’ attracted more than 3,000 participants including influential investors in the digital technology, food manufacturing and research and development industries. The seminar heard that investors appreciated the Thai government’s support and valued the country’s investor-friendly economic environment. They insisted that these supports should remain in place for the sake of future growth, according to a press statement issued by the BOI. “Japanese companies have been the No.1 investors in Thailand for a long time,” said Soji Sakai, President of the Japanese Chamber of Commerce (JCC), Bangkok. “Today Japan’s investments in Thailand account for 39 percent of the total FDI in the country. We are here because of the strong long-term relationships between the two countries, the attractive and sta-
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ble investment policies introduced by the Thai government, and the extensive Thai industrial clusters within ASEAN and local supply chains.” He explained further that Japanese investors considered the country’s
great infrastructure – including its major airports, sea ports and good road networks, as well as stable electric supply – as major factors that boosted investors’ confidence in the country. “Our recent survey of investors showed that around 25 percent of the respondents have specific investment plans within four years while another 50 percent said they were considering investment in Thailand in the future,” Mr. Saki said. “For Japanese investors to continue and expand businesses in Thailand, we expect good infrastructure, connectivity with neighbouring countries in the CLMV region, consistent investment policy and a great pool of talents,” he added.
Soji Sakai, President of the Japanese Chamber of Commerce (JCC), Bangkok
Miss Angel Zhao, Head of Alibaba Globalisation Leadership Group at Alibaba Group, echoed Soji Sakai’s viewpoints. “We see that flexible poli-
cies, well-established infrastructure, new talents and innovations are key drivers of the digital economy,” she noted.
train network in Bangkok and outskirts, a dual track railway system and a high-speed train that will connect Thailand with neighbouring countries more efficiently. Ongoing improvements of Suvarnabhumi, Don Muang and U-Tapao airports are also part of infrastructure development.
She welcomed the government’s plan to transform Thailand into a digital economy, pointing out that Thailand boasted strong potential to grow its e-commerce activities given its good mobile, internet and digital infrastructure. She added that the Chinese conglomerate’s e-commerce platform can help to bring Thai products to the global market with greater efficiency. At present an increasing number of Thai products, such as beauty products, are becoming very popular in China and at other Asian markets. In addition, Alibaba is ready to provide e-commerce and technology training to Thai SMEs to equip them with more skills to succeed at the global market. The food and agricultural industry is another area where Thailand can be a dominant factor globally, according to Alan Willits, Chairman of Cargill Asia Pacific Holdings Pte. Ltd. He cited four major reasons – strategic location, good infrastructure, skilled workforce and investor friendly environment – as the major factors that have been driving Cargill’s success in Thailand throughout its presence on the local market in the past 50 years. Cargill has 14 offices and employs 17,000 people in Thailand. Alan Willits noted that research, development and innovation were important in increasing the productivity and income of farmers. Skills training and the adoption of new technologies, such as the ‘Internet of Things’ (IoT), will help people in the agricultural sector to transform themselves into ‘smart farmers’. Technology will also play an important role in addressing the challenges that the nations of the planet face in global food security. Duncan Yu, Executive Vice President of research house BGI Group, agreed at the seminar that research and development were crucial to economic and social development. New under-
standing and discoveries in science and technology will help Thailand improve the health and the quality of life of people and also support economic development.
In the Eastern Economic Corridor (EEC), which is designed to be the key driver of Thailand’s economic transformation, the government has introduced a THB 236 billion high speed rail project that will link the three airports together. Another THB 200 billion will be spent on expanding U-Tapao International Airport and the Eastern Airport City. More than THB 260 billion will be invested in the expansion of Laem Chabang and Map Ta Phut seaports.
The Population Genome project, for example, will help ASEAN governments to handle thalassemia and reduce neonatal deafness. In the agricultural sector, new knowledge on food science and technology can improve productivity and the quality of farm products and aquaculture.
To support the transformation of the digital economy the government has continued to invest in digital infrastructure, ensuring that all the 75,000 villages nationwide will soon have access to broadband internet Such infrastructure development will also increase efficiency in education,
It is with such views in mind that the Thai government, which understands investors’ concerns and needs, has made infrastructure development as well as research and development top priorities, said Deputy Prime Minister Dr. Somkid Jatusripitak.
At the same time, people and digital skills development will be promoted through cooperation with the private sector in education and training. E-government and the adoption of technology in public services will also be expanded to encourage everyone to become integral part of the country’s digital economy.
Miss Angel Zhao, Head of Alibaba Globalisation Leadership Group at Alibaba Group
The government has been investing in mega projects such as the electric
Alan Willits, Chairman of Cargill Asia Pacific Holdings Pte. Ltd.
BOI, as the government’s arm in promoting investment, has supported such development through extensive investment incentives packages. These incentives range from corporate income tax exemption to import duty exemption. Non-tax incentives include land ownership and permission to bring in foreign experts. Under the current incentive scheme, technology and people are top priorities. As a result, additional incentives are given to projects with additional investment to adopt or develop new technology, research and development as well as human resource development. The Link
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Research raises issue of ILP regulations in Indonesia I
ndonesia’s market for regular payment investment products has been growing fast, indicating an appetite for long-term financial planning within the country’s growing middle class. New research from Ipsos Business Consulting reveals how this trend is creating opportunities for various players within and outside of the traditional finance industry. The research studied the market from multiple perspectives and assessed whether the growth in investment products signalled an opportunity for institutional and non-traditional players to access a market that has been dominated by life insurers. It also explored how new entrants and disruptors could increase pressure on existing providers and noted that while premium income is rising business retention continues to present issues for the life sector. “People are now asking whether Indonesia is at the stage where its investment-linked products (ILP) market can evolve into something similar to those in the UAE, Hong Kong and Singapore?” said Douglas Cassidy, Global Lead - Financial Services and Country Head Indonesia at Ipsos Business Consulting. “Middle-class Indonesians are increasingly open to the idea of capital-at-risk savings, as shown by premium growth, but poor product retention rates indicate the industry has issues to address,” said Feri Kurniawan, co-author of the paper and Consulting Manager at Ipsos Business Consulting, Indonesia.
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“Technology and regulatory change has made it easier for others to compete. Further improvements in the competitive environment of this expanding market can be expected. Indonesia, south east Asia’s largest economy, offers huge opportunities in this respect. The industry can generate long-term value by delivering customer-focused investment propositions at a reasonable cost, addressing the growing investment appetite of middle class Indonesians by enhancing client services, improving product distribution and advice, and reducing related costs.” Ipsos Business Consulting’s research also identified potential strategies for success for different players within Indonesia’s investment product market and showed how the future landscape will be defined by those who are able to anticipate change and adapt their operations accordingly, including life insurers, general insurers and asset managers. The number of Indonesians with sufficient income to consider capi-
tal-at-risk investment products remains relatively small, despite the country’s large population. ILPs have helped to create an appetite for both investment and insurance but the overall retail investment environment struggles to gain mass appeal. The reasons for this must be addressed if the industry is to achieve its potential. Ipsos Business Consulting believes the wider retail market for investment products can expand faster and more sustainably if the financial services industry as a whole works to improve and diversify the product and distribution landscape. Download Investment-linked plans in Indonesia: perspectives on a growing market here http://www. ipsosconsulting.com/en/investmentproducts-in-indonesia For further information, contact Feri Kurniawan Kosasih, Consulting Manager – Indonesia, Indonesia. bc@ipsos.com
Halal Market opportunities in Indonesia
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Payment interoperability – next step towards a digital ASEAN By Ai Chen Lim
G
etting payment platforms to “understand” each other, or to be “interoperable,” presents a huge opportunity to enhance intra-regional trade and business activity across South-east Asia, and Thailand in particular.
intra-regional trade and business activity.
It is vital to a digital economy and ASEAN’s ‘Smart Cities’ aspiration which is essentially using technology and innovation to make cities more economically competitive and liveable.
Common standards between countries will be the great enabler of this but achieving interoperability is no easy task.
It also goes hand in hand with the ASEAN’s relentless shift towards an internet economy. South-east Asia is the world’s fastest growing Internet region. Nearly four million new users will come online every month for the next five years. While ASEAN consumers currently spend US$30 billion online, this is expected to rise $200 billion by 2025.
Interoperability is difficult to accomplish within a single country, let alone across a region like ASEAN.
The benefits of interoperability are manifold. Interoperability enables individuals, corporates and institutions to make payments to anyone else in a convenient, affordable, fast, seamless and secure way via a single transaction account. It cuts costs, saves time and presents a huge opportunity for enhanced 24
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Against this backdrop, it is no wonder that payments interoperability is one of key focuses for ASEAN this year.
Collaboration is key
And while central banks are a key driving force in any payment system reform, they cannot – and should not – act alone.
dustry initiative that explores the use of distributed ledger technology for the clearing and settlement of payments and securities. This could potentially become the common standard for a regional interoperable payments system. The Bank of Thailand has launched its Wholesale Central Bank Digital Currency initiative known as the Project Inthanon. HSBC looks to actively participate in these to support significant industry developments. Individual countries are also bilaterally linking up payment systems. Singapore and Thailand are in discussions to connect their national digital payment systems PayNow and PromptPay. If this succeeds, it will forge an unprecedented bilateral alliance.
What’s required is coordination among multiple stakeholders, a conducive legal and regulatory framework, the support of policy-makers and overseers, commercially viable business models and technological solutions, ideally based on international standards.
It’s also a huge step in the direction of ASEAN’s Smart Cities Network initiative, which is a move to ride the digital wave and step up engagements across the region and beyond.
The Monetary Authority of Singapore’s (MAS) Project Ubin is an in-
It’s also the next logical step in the digitization of ASEAN’s economy.
Integrated ASEAN e-payments system
Cross-border payments with immediate settlement are huge opportunities for businesses and consumers. Activity is certainly abuzz at the regional level. The central banks of Indonesia, Malaysia and Thailand launched a framework last December aimed at increasing direct settlement of trade transactions in their local currencies through designated banks. Direct settlement would mean banks in the three countries could complete transactions in local currencies, improving their operational efficiency. MAS and the World Bank’s IFC have signed a memorandum of cooperation to establish the ASEAN Financial Innovation Network (AFIN) in May 2017. AFIN will facilitate broader adoption of fintech innovation and development and enhance economic integration within the region.
MAS is also proposing (its consultation paper on the Payment Service Bill) that it be given the mandate to empower large banks in Singapore to open up their payment rails to competitors and third-party players to ensure interoperability of large payment systems.
its effort to integrate payments systems across the region. Because the bottom line is this: interoperability will significantly change fixed costs, reliability and access. It accelerates the flow of people and trade, taking society and economy to much greater heights.
ASEAN is firing on all cylinders in
Ai Chen Lim is Head of Global Liquidity and Cash Management at HSBC Thailand
Bank chief Mahon lands government export role I
nternational Trade Secretary has welcomed former Barclays Corporate Bank Head John Mahon to his new role as the UK’s Director General for Exports. This new position is at the heart of the government’s post-Brexit trading plan, and is tasked with ensuring that new and existing exporters can access the right financial, practical and promotional support to sell overseas. The international demand for British goods and services has never been stronger with exports from the UK rising more than 12 percent to £622.1 billion in 2017. Mahon’s work will be crucial in ensuring that UK companies are well placed to take advantage of these opportunities.
Left to right: Dr Liam Fox, Antonia Romeo and John Mahon.
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Software protection in south east Asia T
he Information Technology services and software sector in south east Asia has been booming in recent years as nations continue to develop through many innovative technological solutions. In particular, south east Asia is experiencing a rapid growth of Internet, digital and social media and mobile activities. With more than 320 million Internet users in 2017, increasing connectivity and therefore dependence on computer technology is to be expected in this region. This translates to growth in the software industry which leads to many promising opportunities for the European SMEs in the region, whose top-notch technology and know-how will be sought after. Before entering south east Asian markets, EU SMEs should be aware of the different IP rights and how they apply to the software industry, as well as the possible risk of IP infringement in these markets. This is increasingly important with many companies developing their own software, and software development being an ever-growing industry. European SMEs should thus have a comprehensive IP strategy in place when entering the promising markets of south east Asia.
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Copyrights protect the source code Copyright is an IP right which gives the owners of original literary and artistic works a set of exclusive rights over their works including copying, translating, adapting and altering, communicating and performing to the public, distributing, renting and lending copies of the copyrighted works. In case of software, copyright can protect the source code, the object code and the user interface. Copyright arises automatically upon the creation of a work which means formal registration is not required for protection to exist, although registration - where possible - is still recommended as proof of ownership EU SMEs obtain from registering their copyright may prove useful in the event of a copyright dispute or infringement. Furthermore, citizens of signatory countries to the Berne Convention for the Protection of Literary and Artistic Works are afforded copyright protection automatically. This Convention currently includes all EU member states and most of the ASEAN member states. As the software industry is characterised by constant and cumulative innovations, with later software often incorporating new features aiming to extend the capabilities of the earlier software,
EU SMEs should take full advantage of copyright as a form of protection for their software in south east Asia. Except for Myanmar, the Philippines and Thailand, software programs are expressly protected by copyright in south east Asia. However, it should be noted that copyright protects the expression of ideas and not the ideas per se. In other words, copyright does not protect the ideas underlying the software that is often the source of commercial value. However, copyright provides protection against any unauthorised running, copying, modifying or distribution of the software. It is advisable to include prominent copyright notices on the software sold to the end users, as an IP strategy. An example of a copyright notice may include the symbol © or ‘Copyright’, followed by the year, company name and the phrase ‘All rights reserved’. Such a notice should be affixed to the wrapping, disks and first page of the screen when the software programme is launched on a computer. Another important issue is the ownership of the copyright. Generally, an author of a work owns the copyright for that work. W hen it comes to software development, copyright ownership can be more complex. If software is created
by a developer during employment the employer usually owns the economic rights to the works while the employee owns the right of attribution of authorship. It depends on the particular south east Asian country. In Indonesia the copyright for works created by an employee during employment does not automatically belong to the employer. As such, before entering the south east Asian countries, EU SMEs should consult local legal counsel and draft employment contracts that clearly define the ownership of the copyright in the works created by their local employees.
Patents for software related inventions As copyright protection extends only to the expression of ideas, and not to ideas, procedures or method of operation as such, many software developers and software companies
seek to patent their software and software-related inventions in order to add another layer of protection in addition to copyright. Typically, for an invention to be patentable, the invention must meet the following three requirements: (1) novelty, (2) inventive step, and (3) industrial applicability. A patent must be applied for in the all the jurisdictions of interest. However, EU SMEs should note that not all countries in south east Asia offer patent protection for computer software. In the Philippines and Thailand, for example, it is explicitly provided in IP laws that computer software or programs are not patentable. In other countries such as Singapore and Cambodia, software may be patented. Obtaining a patent may take a long time and require substantial re-
sources to prosecute the applications through to grant. EU SMEs should thus avail themselves of the ASEAN Patent Examination Cooperation (ASPEC) Programme as well as any other Patent Prosecution Highway Programmes between the national patent offices. Such programmes allow the sharing of search and examination results between the participating patent offices, thereby allowing applicants in participating countries to obtain corresponding patents faster and more efficiently. It can be wise to use the Patent Cooperation Treaty (PCT) international patent filing route. By filing one international patent application under the PCT, applicants can simultaneously seek protection in a very large number of countries, including all south east Asia countries except for Myanmar.
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Keep your top-notch software a trade secret Another way that EU SMEs in the software industry may protect their rights is by keeping the software as a trade secret. While copyrights and patents are made public and are limited in duration, trade secrets are private and can last indefinitely, if proper measures are put in place to ensure the confidentiality of such trade secrets. In this regard, EU SMEs should develop trade secret protection strategy for their software. For example, a proper protection strategy will require entering into confidentiality agreements with the EU SMEs’ employees, independent contractors or other third parties that may have access to the software, ensuring limited access to the source code, and having password protection or another encryption method for documents containing the source code. In south east Asia, trade secrets are enforceable only if they are appropriately protected. Thus a comprehensive trade secret protection strategy combining the above is necessary.
that the ownership of the IP contained in the products belongs to the company (licensor). The agreement must also identify the permissible uses of the products. Where there is access to a source code of a software programme, EU SMEs should consider including a confidentiality clause to ensure that their IP rights are sufficiently protected. Additionally, the licence agreement should clearly indicate the fee payable, as well as the manner and frequency of payment. The agreement should also provide for circumstances under which the agreement may be terminated, and clearly spell out the consequences of such termination. Dispute resolution is another important clause that is often overlooked by parties to the license agreement. Increasingly, contracting parties provide for a multi-tiered alternative dispute resolution clause that includes several methods of alternative dispute resolution rather than litigation. For example, when a dispute arises, parties may attempt to
amicably settle the dispute through negotiation or mediation, followed by arbitration as the final resort. Alternative dispute resolution is often preferred because of lower costs as well as other advantages offered by alternative dispute resolution, including for example flexibility and confidentiality. Alternative dispute resolution is oftentimes seen as the most effective ways of enforcement of IP rights in south east Asia. When entering into IP license agreement, EU SMEs should also be mindful of the different restrictions on such agreements under the respective local laws. In Singapore, subject to certain conditions, a term of a licence to work a patented invention that purports to require the licensee to acquire from the licensor, or to prohibit the licensee from acquiring from any specified person, or from acquiring except from the licensor, anything other than the product which is the patented invention may be void under the Singapore Patents Act.
Software and IP licensing A significant portion of the income of software companies stems from licensing their software. EU SMEs wishing to enter the south east Asian market may want tap on this business model to establish themselves in the local markets and subsequently enhance their market position, by licensing their software to local manufacturers, clients and other key players. To license software, SMEs need to conclude license agreements. A licence agreement involves a licensor assigning the exclusive rights of its IP to a licensee for an agreed fee or royalty. A licence agreement should be in writing, must clearly identify the products being licensed, and state
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The South-East Asia IPR SME Helpdesk supports small and medium sized enterprises (SMEs) from European Union (EU) member states to protect and enforce their Intellectual Property Rights (IPR) in or relating to South-East Asian countries, through the provision of free information and services. The Helpdesk provides jargon-free, first-line, confidential advice on intellectual property and related issues, along with training events, materials and online resources. Individual SMEs and SME intermediaries can submit their IPR queries via email (question@southeastasia-iprhelpdesk.eu) and gain access to a panel of experts, in order to receive free and confidential first-line advice within 3 working days. The South-East Asia IPR SME Helpdesk is co-funded by the European Union. To learn more about the South-East Asia IPR SME Helpdesk and any aspect of intellectual property rights in South-East Asia, please visit our online portal at http://www.ipr-hub.eu/.
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BOI approves Smart City incentive scheme T
he Thailand Board of Investment (BOI) has approved investment incentive schemes for Smart City, an initiative that will employ advanced IT systems and innovations to improve quality of life.
ing such telecommunication infrastructure as fiber optics, public wi-fi provision, and Open Data Platform schemes. The project’s basic infrastructure must include the six aforementioned intelligent platforms.
The board has also agreed to promote high standard housing for better quality of life of workers, and agreed to extend the promotion period for investments in 10 Special Economic Zones (SEZs) to the end of 2020.
incentive scheme has been designed to benefit IT system developers who create, install and provide at least one out of the six areas of targeted services to support the Smart City system. Investment projects under these two categories will be granted 8-year of corporate income tax exemption (100% of the total investment without land cost and working capital is eligible for an exemption from corporate income tax).
Miss Duangjai Asawachintachit, BOI Secretary General, revealed after the BOI board meeting chaired by Prime Minister General Prayut Chan-o-cha that several important investment promotion measures approved by the board will have positive impacts on people and the entire country, from quality of life improvements for workers to the promotion and development of technological advances and innovations. Smart City is designed to upgrade people’s quality of life in six intelligent platforms, namely efficient transport (Smart Mobility), education and social equitability (Smart People), life security (Smart Living), ease of doing business (Smart Economy), efficient public services (Smart Governance) and green energy, clean, and safe environment (Smart Energy & Environment). The main area of investment promotion for the Smart City comprises two key activities. BOI will provide incentives for investors planning to develop Smart City infrastructure systems, includ-
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“The government’s goal is to improve the quality of life of the people in six key areas and therefore promote investments in basic infrastructure development for Smart City,” said Miss Asawachintachit. “We are aspired to see more benefits for the people, such as efficient and well-connected air, sea and land transport routes; improved social equality for all citizens including the disabled and the elderly; enhanced safety and security; improved ease of doing business; as well as more efficient public services, energy consumption and better management of natural resources.”
Technology and innovation enhancement The BOI board also approved the amendment of incentive schemes for investments in science and technology, and in the Eastern Economic Corridor (EEC). More tax incentives
will be given to science and technology development activities in order to attract more investments in this area. Such incentives are • up to 13-year corporate income tax exemption for projects in the Eastern Economic Corridor of Innovation (EECi) and the Digital Park Thailand (EECd) • up to 12-year corporate income tax exemption for projects in the Science and Technology Park outside the EEC
Quality of life improvement Considering people as a valuable asset that drive business and economic transformation, the board initiated a new investment incentive category for international-standard housing project development for both Thai and foreign workers. Such housing projects must meet the standards set by the International Labor Organization (ILO). In addition to ensuring that workers have access to international standard housing, the government aims to increase the quality of life of workers. This measure is applicable for projects nationwide but incentive schemes will vary. The eligible housing projects located in 10 Special Economic Zones (SEZ) in 10 border provinces will receive a six-year corporate income tax exemption while those located in other areas will be eligible for a three-year CIT exemption (based on incomes from rental fees and a 100 per cent cap of the in-
vestment value, excluding land and working capital). Applications must be submitted by 30 December 2019.
Promoting the regional trading centre The board also initiated the Smart Distribution Centre category as a tool to make Thailand the regional trading centre supporting the rapid growth in e-commerce and e-logistics businesses and the development of digital economy. Such development is a key to enhance national competitiveness in terms of trade and investment. Being considered a targeted industry, Smart Distribution Centre projects located in EEC’s specific promoted zones, namely EECi, EECd, and EEC Aerotropolis, Promoted Zones for Specific Targeted Industries, and
other Industrial Estates or Industrial Parks, will receive incentives in addition to eight-year corporate income tax exemption (with maximum corporate investment cap of 100 percent, excluding cost of land and working capital) on income derived from international distribution services. Some of the requirements for investors in Smart Distribution Centre are to hire Thai personnel with good knowledge and experience in science and technology related fields such as engineering, artificial intelligence and data science; to implement data analytics or manage digital transactions based on advanced economy; and to provide training courses on advanced digital technology, especially Big Data and data analytics. More importantly, these investors must work closely with local educational institutes or research institutes on R&D projects.
SEZ investment application period extended to 2020 The BOI board has agreed to extend the SEZs investment promotion measure which covers the 10 border provinces (namely Tak, Trat, Mukdahan, Sa Kaew, Songklah, Chiang Rai, Nongkhai, Nakhon Panom, Kanchanaburi and Narathiwas) until 30 December 2020 (from 30 December 2018). The decision aims to encourage more investment in the targeted areas, given there is a number of investors considering to invest in infrastructure development projects in SEZs. Extension of the measure will increase confidence among investors who plan to develop targeted areas and establish businesses there.
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Are your loved ones protected? By Bastien Trelcat
D
uring your lifetime, you are in control of your finances and assets all of which form part of your estate. However, in the event of your death, who and how will your estate be managed and more importantly who will inherit your estate?
Your estate Upon death your assets such as cash in your bank accounts, stocks or bonds, cars, jewellery, houses, land, artwork, intellectual property or your business and/or investments are identified and collated, as well as paying off your liabilities, which are then known as your estate (the “Estate”). By preparing a Will or Testament (the “Will”) the distribution of your Estate, appointment of an estate executor to manage the Estate until its completion, the care of minor children, funeral ceremony and matters alike are all detailed in your Will. Your Will shall facilitate and assist in the distribution of your Estate to your legal heirs (the “Heirs”) as you intended. The person making a Will is known as the testator (the “Testator”). The Testator shall then appoint an individual (family members or friends) to deal with the administration of your Estate (the “Executor”). The Executor will be in charge of gathering your assets, paying off your liabilities and then following your requirements as detailed in the Will including distributing your assets to your Heirs, whether in Thailand or elsewhere in the world.
Worldwide assets Your Estate may consist of assets in 32
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one or many countries and your Will, shall have full validity and enforcement, subject to the applicable governing law. However, in general, succession of immovable property shall be governed by the law of the place where such property is situated and succession of movable property shall be governed by the law of domicile or residency of the deceased at the time of death. Due to the various laws governing the different jurisdictions surrounding Estates, it is important to draw up a Will, especially for people who have assets in different countries so as to reduce the period of time in dealing with the inheritance procedure.
Assets in Thailand The principal law governing succession in Thailand, is the Thai Civil and Commercial Code (CCC), Book 6 Succession, which also applies to the inheritance of any foreigner living in Thailand.
Without the Will, statutory heirs under Thai law are entitled to inherit the Estate.
Will probate A foreigner can make a Thai Will for his or her properties located in Thailand. Several forms of Will could be made under Thai law. The most practical forms are Hand Writing Form, Normal Form and Public Form. However, Normal Form is fairly simple and practical. Estate liquidation procedure to be conducted in Thailand starts with the filing before a civil court of a request to appoint an Estate Executor, either by Will or without Will, in charge of assessing assets and debts, settling debt and distributing assets among heirs. Will Probate is not applicable in Thailand. However, the legal heir may challenge the validity of the Will before civil court as regards to Estate Executor appointment petition.
However, pursuance to Conflict of Law Act B.E. 2481 (1938), Thai rules of conflict of law establish distinction based on the nature of assets at stake and the date of acquisition. For example, succession of immoveable property located in Thailand - either by statutory right or by Will - shall be governed by the law of Thailand. When a person dies, his or her estate shall devolve to his or her heirs. The estate of a deceased person includes his or her properties of every kind, as well as his or her rights, duties, and liabilities, except those which by law or by their nature are purely personal to him or her.
Mr. Bastien Trelcat, the Managing Partner South East Asia of Harvey Law Group (Thailand). HLG (Thailand), 1 Empire Tower, River Wing East, 29th floor, Unit 2904, South Sathorn Road, Yannawa, Sathorn, Bangkok 10120 Thailand. Tel: +66 2 670 1848. Email: btrelcat@ harveylawcorporation.com
BRITISH BUSINESS CENTRE, BANGKOK A dedicated new facility for UK Business
Within the British Chamber of Commerce Thailand (BCCT) - located in the heart of Bangkok - close to the British Embassy and BTS Skytrain •
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Available for private functions, meetings, networking events, product displays, seminars, presentations and training, receptions and press conferences. Floorplan
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For further information on the British Business Centre, contact jintana@bccthai.com
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Satun Geopark gains UNESCO recognition
S
atun Geopark in southern Thailand is one of 13 new UNESCO Global Geoparks, each demonstrating the diversity of the planet’s geology. There are now 140 UNESCO Global Geoparks in 38 countries. Satun Geopark, known for its limestone mountain ranges, abundance of fossils and network of beautiful islands, is recognised for both its diverse geological and cultural heritage as well as efforts at the site to promote conservation, education and tourism best practices in a holistic manner. Satun Geopark covers four districts in Satun Province: Thung Wa, Manang, La-Ngu, and Amphoe Mueang. As with all UNESCO Global Geoparks, the Satun Geopark has been granted the UNESCO status for a four year period (2018-2021), after which a revalidation process will take place. Satun Geopark boasts a diverse abundance of fossils from the Paleo34
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zoic Era as well as diversified Karst topography. There is evidence of a submerged landscape dating back more than 500 million years, a time when early organisms thrived such as trilobites, brachiopods, stromatolites, conodonts, graptolites, tentaculites and nautiloids. The Geopark is also home to Phu Pha Phet cave, the largest in Thailand. UNESCO Global Geoparks also celebrate humanity’s bonds to the land and the Satun Geopark is exemplary in this regard as it is home to many ethnic groups with rich cultural traditions such as the Maniq and Urak Lawoi. The 13 new UNESCO Global Geoparks include sites in Vietnam, Indonesia, China, Japan and South Korea. UNESCO Global Geoparks are single, unified geographical areas where sites and landscapes of international geological significance are managed with a holistic concept of protection, education and sustainable development.
UNESCO Global Geoparks aim to enhance awareness and understanding of some of the most pressing challenges we face, such as environmental sustainability, climate change, and disaster risk reduction, by exploring our geological heritage and its connection with the area’s natural, intangible and cultural heritage. The UNESCO Global Geoparks programme recognises that the active engagement of local communities is key to an area’s sustainable socioeconomic development through celebrating an area’s natural and cultural heritage and promoting sustainable geotourism. It is a bottom-up process in which all relevant local stakeholders are involved and multiple strong local partnerships are encouraged. The aim is to bolster long-term public and political support to ensure inclusive and comprehensive development, while highlighting the importance of how the natural environment shapes every aspect of our lives and societies.
Hands on remedy for unfair competition T
edies Authority (TRA), which will take on these powers to investigate unfair trade practices and recommend actions in response, like imposing tariffs (duties) on certain goods coming into the country. The TRA will represent the interests of industries across the UK.
he UK’s new Trade Remedies Authority is to be based in Reading with the Department for International Trade now seeking to recruit a Chairman to head the organisation. Bringing high-skilled jobs to the town, the new agency will take on powers from the EU to investigate unfair trade practices and unexpected surges in imports that harm UK industry. Trade Minister Greg Hands M.P. (pictured) said, “Leaving the EU gives us an opportunity to build new trade links and reach those markets where demand for UK goods and services are growing. But our first priority is, and will always be, to ensure that UK industries are safeguarded. “With its university, leading businesses and transport links – Reading is the ideal place to host the Trade Remedies Authority to ensure that our future trade is seizing global growth, while supporting jobs at home,” added Greg
Hands, who represents the constituency of Chelsea and Fulham. As a member of the EU, UK companies have to appeal to the EU Commission to investigate cases where they are being harmed by unfair trade. This includes practices such as ‘dumping’ where imported goods are sold in the UK below their proper value – or by unexpected surges in imports. The government is introducing legislation to set up a new UK Trade Rem-
The UK imported £478 billion worth of goods in 2017 and the TRA’s rulings could cover any of this, protecting thousands of jobs in sectors where imports are providing unfair competition that is harming UK industry. The TRA is a key part of the UK’s new independent trade policy, as it prepares to make its own decisions on trade for the first time in over 40 years. The Department for International Trade has set up 14 trade working groups with 21 countries from the USA to the Gulf to strengthen UK trade links after it leaves the EU, including through negotiating new trade agreements.
UK seeks trade balance with Thailand A
s the UK prepares to leave the European Union in March 2019, the British Embassy in Bangkok is working hard to ensure that the trading relationship with Thailand may bring ever increasing prosperity to the UK and Thailand. In early May 2018 the annual meeting of the Thai UK Business Leadership Council (TUBLC) – established in 2016 – agreed to carry out a trade review to look at the tariff and non-
tariff barriers that companies face when exporting to each nation. There is currently a £2.5bn trade deficit in Thailand’s favour – almost double the level of total UK to exports to Thailand (£1.3bn). British officials have stressed that any future trading relationship mist be in the form of a balanced partnership. It is possible for Thai companies to own UK business without the need
for British partners and they may also purchase commercial and residential land. British companies do not enjoy these privileges in Thailand. Leaving the EU will finally give the UK an opportunity to negotiate a fair and balanced deal for British companies in Thailand. UKTI official Richard Porter told The LINK that ‘we very much look forward to taking forward our trade review over the coming months’. The Link
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The charming town of Shaftesbury in Dorset is home to the Yuyo drinks firm.
Yuyo’s ‘super’ drink secure sales in Brazil S
haftesbury-based drink brand Yuyo is to export its innovative range of Latin Americaninspired drink infusions to Brazil this year. The business, which already exports to seven countries worldwide, boosted its international orders by 42 percent between 2015 and 2017. Yuyo was founded in 2016 by Rosie Marteau and Charles Grummit after discovering yerba mate, a ‘super herb’ used in many traditional South American drinks. The company now stocks a range of yerba mate drink infusions across the UK. It also has its own e-commerce site.
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Exports account for 40 percent of the company’s annual turnover. Rosie and Charles also eyes focussed upon the Australia market. The company has received support from the Department for Environment, Food & Rural Affairs (Defra) and Department for International Trade (DIT), helping to identify new international markets and register its intellectual property in the US, Europe and Australia. As part of the ‘Food is GREAT’ campaign, Defra and DIT are supporting many businesses in their respective drives to secure overseas sales. The campaign is a cross-departmental initiative to showcase the calibre of
UK food and drink overseas and help firms build new exporting relationships. Rosie Marteau, co-founder of Yuyo, said, “Exporting has always been fundamental to our business plans as we knew our products could have a global appeal. We’re finding international buyers are increasingly associating UK goods with high quality and on-trend packaging, and we’re looking to tap into this even more by reaching out to new markets including Brazil. Brazil is the home of yerba mate itself, but it looks to Europe for innovative brands like ours.” More details at: https://www.yuyo. co.uk/
Mandarins prepare for embassy relocation D
iplomats and consular staff at the UK Embassy in Bangkok are preparing to move to new premises. The move to AIA Sathorn Tower follows the sale of the land on Wireless Road, Bangkok to a joint venture consortium comprising Hongkong Land, a member of the Jardine Matheson Group, and Central Group for more than £420 million. This is, reportedly, the biggest land deal in Thai history and the biggest ever sale of assets by the Foreign and Commonwealth Office. The FCO states that the proceeds ‘will be reinvested in the FCO’s overseas estate and will fund 30 to 40 modernisation projects around the world that are necessary for security or health and safety reasons’. This includes the modernisation of UK embassies in Washington, Cairo and New Delhi.
British diplomats will soon be operating from ‘state-of-the-art’ premises at AIA Sathorn Tower in Bangkok, according to Foreign Secretary Boris Johnson. “Britain is a leading player on the global stage and I’m determined to ensure that our diplomats have all the necessary tools to do their job effectively. This includes working in modern, safe, fit for purpose premises not just in Bangkok but around the world,” added Johnson. “Our workforce in Bangkok will be moving into state-of-the-art premises by 2019 and this can only enhance our trade links and bilateral relations in Thailand and throughout the region.” Simon McDonald, Permanent Under-Secretary at the Foreign Office said, “In a tight fiscal environment it is right that we take tough decisions to ensure that the UK can maintain
a global presence while getting the best value for taxpayers. This deal will ensure that we have a modern, state of the art premises in Bangkok, confirming our long-term commitment to our relationship with Thailand, while releasing much-needed funds to modernise other embassies around the world including in Cairo, New Delhi and Washington. The sale is part of the FCO’s continual review of its global estate which is designed to ensure the maintenance of a world-class platform from which to promote UK interests and also deliver value to the British taxpayer. The existing embassy building, which dated from the 1920s, required a significant upgrade and refurbishment to make it fit-for-purpose for a modern working environment, with large parts of the embassy building no longer usable.
Trade review focus on balanced partnership A
s the UK prepares to leave the European Union in March 2019, the British Embassy in Bangkok is striving to secure a mutually beneficial trading relationship with Thailand. During the recent annual meeting of the Thai UK Business Leadership Council (TUBLC), established in 2016, it was agreed to conduct a trade review to look at the tariff and
non-tariff barriers that companies face when exporting to each nation. The UK has a huge £2.5bn trade deficit in Thailand’s favour, (almost double the level of UK exports to Thailand of £1.3bn). UK trade officials have stressed the importance of establishing a balanced trade partnership. Barriers to such an aspiration include the fact that whilst Thai companies may own their own companies in the
UK, without the need for British partners, and may own commercial and residential land this is not possible for British companies in Thailand. “Leaving the EU will finally give us the opportunity to negotiate a fair and balanced deal for British companies in Thailand and we very much look forward to conducting this trade review over the coming months,” said Richard Porter at the UKTI in Bangkok.
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Airlines rise above financial turbulence
I
nitial data recorded by IATA for Q1 2018 indicates a pick-up in airline financial performances relative to the same period a year ago. The improvement was broad-based with every region except Europe posting a widening in their EBIT margin. Despite these signs, global airline share prices fell by 4.8 percent in April and underperformed the wider equity market by the widest margin in 10 months. The decline in April was led by North America, where investor concerns of the impact of rising capacity and fuel prices have seen airline shares fall by nearly 12 percent since the start of the year. Oil prices rose in April to their highest level since late 2014, driven by tighter market supply and geo-
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political tensions. Brent crude oil prices were some 50 percent higher than a year ago when IATA produced its latest report. The seasonally adjusted trends in passenger and freight demand have diverged in recent months. While industry-wide passenger capacity is still growing broadly in line with demand, slower freight demand has seen the freight load factor slip back. Premium class cabins accounted for 5.4 percent of total international origin-destination passenger traffic and just over 30 percent of revenues in Jan-Feb combined. Global revenue passenger kilometres (RPKs) grew by 9.5 percent year-on-year in March – the fastest pace in 12 months and well above the five-year average rate (6.8%).
Overall, global RPKs grew by 7.2 percent in year-on-year terms during the first quarter of 2018 – broadly in line with the pace seen in the same period a year ago. Current robust RPK growth rates are being helped by the strength of global economic conditions, according to the latest report from IATA. IATA expects reduced stimulus from lower airfares to translate into a moderate slowing in full-year RPK growth this year. Having set a record high for the month of February, the industry-wide load factor posted another record high in March (82.4%). Robust growth in air travel has continued to be supported by the comparatively strong global economic backdrop.
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Member News
Thai investors eye UK hotels
G
ermany, Spain and the United Kingdom remain the top three countries in Europe for hotel investment, according to CBRE’s 2018 European Hotels Investor Intentions Survey. The UK remains particularly attractive for private property companies and individual investors. Atakawee Choosang, Head of CBRE Hotels Thailand, predicts continued interest from Thai investors in UK hotel properties. CBRE surveyed 336 real estate investors - all of whom have significant interests in the hotel asset class – with 94 percent stating that they would invest the same or more capital into European Hotel real estate in 2018 compared to 2017. The majority of hotel investors surveyed were private equity funds, asset managers and private investors rather than pension funds and insurance companies that prefer fixed income property investments such as office, retail and industrial with longer lease commitments by tenants. Forty eight percent of those surveyed intended to invest directly while partnerships and joint ventures remain popular for portfolio investments.
Sixty five percent of the capital employed by the investors surveyed came from Europe. CBRE expects that capital from Hong Kong, Singapore and other south east Asian countries - including Thailand - will increasingly dominate the flows from the Asia Pacific region following a slowdown in Chinese investment due to the imposition of outbound capital restrictions. When it comes to hotels as an asset class the combination of greater transparency and enhanced knowl-
edge of the sector has brought a much broader investment community into the market. Hotels are no longer viewed as niche investments suitable only for specialist players, according to CBRE. The ‘sweet spot’ for holding hotel assets appears to be between five to ten years with few investors opting for short term holdings. Yields for hotel assets across most European Markets are at ten year lows – a further indicator of the strength of investor appetite but also a sign of asset price inflation.
Miss Thailand Universe 2017 Maria Poonlertlarp (pictured centre) was guest of honour at the DoubleTree by Hilton Sukhumvit hotel for the launch of ‘Cut More Crab’ – a special dinner buffet presented every Friday at the hotel’s Dee Lite restaurant. Maria was welcomed by Director of Operations Nick Boyd (second from right) and Executive Chef Supoj Suwanwong.
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Member News
England cricket legend returns to Bangkok
B
righton College Bangkok has hosted the inaugural Mike Gatting Kwik Cricket tournament in Thailand. Following a skills session led by the former England captain, more than 80 Under 11 pupils from four of the city’s international schools (Bangkok Patana School, Brighton College, Shrewsbury International School and St Andrew’s Samakee) took part in a league competition. Played indoors, each team fields eight players and each batting pair face two overs. All fielders have an opportunity to bowl. It is hoped that this is the first of many Kwik Cricket events to be hosted at Brighton College Bangkok by Mike Gatting who, in his role as Chairman of the MCC’s World Cricket committee, is committed to promoting grassroots cricket in Asia.
Like a Pro who are working alongside Brighton College in their aim to become a cricket hub for the region.
His visit to Thailand was supported by the Yang Foundation and Train
* Mike Gatting played 79 tests for England, scoring 4,409 runs at an
The former England captain watches closely as a budding young cricketer bowls a leg break.
Former England test hero Mike Gatting demonstrates batting techniques to tomorrow’s Test Match stars.
average of 35.55. His impressive record includes 10 centuries and 21 half-centuries. He was England captain during the victorious Ashes series in Australia in 1986/7
Mike Gatting (second from right) is welcomed to Brighton College Bangkok. The Link
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Member News
Groundbreaking HSBC blockchain transaction set to revolutionise trade
H
SBC and ING Bank have together executed the first scalable live trade finance transaction using blockchain for Cargill, an international food and agriculture conglomerate. A shipment of soybeans was transported from Argentina to Malaysia via Cargill’s Geneva and Singapore subsidiaries. The deal was financed using a Letter of Credit which was completed digitally on R3’s scalable Corda blockchain platform - marking a tipping point in the way goods are bought and sold. R3 is an enterprise software firm working with a network of over 200 banks, financial institutions, regulators and other bodies. According to HSBC the transaction demonstrates that blockchain is a commercially and operationally viable solution for trade digitisation. Banks, buyers and suppliers have been experimenting with blockchain, testing proofs of concepts and conducting internal pilots. However, this Letter of Credit transaction was an end-to-end trade between a buyer and a seller and their respective banking partners, completed on a single and shared digital application rather than multiple systems. The blockchain platform used is being supported by 12 banks which are working with R3 and its partners to continue the development to bring the platform to market more broadly. Vivek Ramachandran, HSBC’s Global Head of Innovation and Growth, Commercial Banking said, “This is an inflection point for how trade is conducted. At the moment, buyers and suppliers use a Letter of
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Credit, typically concluded by physically transferring paper documents, to underpin transactions. With blockchain, the need for paper reconciliation is removed because all parties are linked on the platform and updates are instantaneous. What this means for businesses is that trade finance transactions have been made simpler, faster, more transparent and more secure.” This technology is ideally suited for trade because it helps to streamline a previously paper-intensive process which usually takes between five and 10 days to exchange documentation. This exchange was done in 24 hours. “The success of this live transaction builds a firm foundation for the future of trade finance. The improved
operational efficiencies, greater security with real-time tracking of goods and documents, and automatic reconciliation of payments will help boost both intra-regional and international trade flows,” said Ajay Sharma, Regional Head of Global Trade and Receivables Finance for Asia Pacific at HSBC. “Sitting at the epicentre of trade activity, HSBC is spearheading new technologies like blockchain to make trade more accessible, simpler and faster for our clients.” According to the United Nations, digitising all of the Asia Pacific region’s trade-related paperwork could slash the time it takes to export goods by up to 44 percent and, in doing so, cut costs by up to 31 percent and boost exports by as much as US$257 billion a year.
Member News
Ten year celebrations for Robert Walters Thailand
R
obert Walters Thailand is celebrating 10 years of operations in Bangkok. The company opened its first office in 2008 with seven staff specialising in general sales and marketing, banking, finance/accounting and IT. The company now employs in excess of 50 staff, focusing on recruitment in six disciplines. “Our focus isn’t mainly on quantity but also quality. Our people have specialists in their field and have indepth understanding of what they are working on,” says Natiya Saul, Director of Sales and Marketing and Supply Chain and Engineering. Punyanuch Sirisawadwattana, Director of HR, IT, Commerce and Banking and Financial Services, is one of the longest standing staff at Robert Walters Thailand. She says that a profound knowledge of the market and vast experience that prompted the growth of the company. “Over the past decade Robert Walters Thailand’s business developments and expertise have garnered significant me-
dia attention and coverage, resulting in the company being recognised as a key player in the market.” Managing Director Gerrit Bouckaert said, “We built a successful team with the right mix of local and international talent. The management team shares the same goal in building scalable organisation which allows us to attract competitive talent to enhance our growth. We are always looking to
hire talented and determined individuals with local knowledge that are willing to adapt to the business and work as a team.” The company has ambitions to cover other regions in Thailand. Gerrit also added that the company has on-going ambitions of tapping into growing specialisations and working with clients and candidates not only in Bangkok but also in other areas of Thailand.
Two generations of Thai pop music merged seamlessly in the luxurious setting of the Presidential Suite at the Hilton Sukhumvit Bangkok as Thanwa Boonsungnern (The Toys) joined legendary rapper Nattawuk (Golf ) Srimork to launch their collaborative single ‘Sleep Now’. The new release is described as ‘90s hip-hop’. Greeting the music stars are the hotel’s General Manager Ian Barrow (left) and Scalini restaurant chef Roberto Pinna (right).
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Member News
Mazars seals partnership with HR solutions provider
M
azars Thailand has sealed a partnership with Singapore-based HReasily, a company that provides a human resources solutions platform across Asia. This partnership allows Mazars to introduce cloud-based HR-compliance and payroll solutions on a single platform to both Thai and regional markets. The relationship between Mazars and HReasily is synergistic with multiple benefits. The ability to provide an HR management system that offers payroll services as well as managing the employee database, new hires, leavers, leave, timesheets, expense claims and document storage. It enables Mazars to provide regional payroll services on a single platform covering Thailand, Singapore, Hong Kong, Malaysia, Indonesia, Philippines and Cambodia.
From left to right: Jonathan Fryer, Accounting and Payroll Outsourcing Services Partner - Mazars Thailand; Rob Hurenkamp, Managing Partner - Mazars Thailand, and Pascal Henry, CEO, HReasily
Payroll reports, statutory returns, pay slips and leave information will be available to the client and its employees online or via a mobile application. HReasily is integrated with Xero accounting software. Output
Willem Pentermann (centre left), General Manager of the Ramada Plaza Bangkok Menam Riverside hotel, was joined by The Netherlands’ ambassador to Thailand Kees Rade (centre right) at a dinner to mark the beginning of ‘Holland Hospitality Business Week’.
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is recorded as an accounting entry each month and posted directly into Xero. This customer-focused application makes it easier for companies to manage their workforces. With the recent government initiative to bolster SMEs in 10 provinces with a THB 3.81 billion pilot project, there is a strong demand for human resources solutions that are flexible enough to accommodate growth and expansion, both within Thailand and regionally. This new collaboration offers an agile technology platform that will enable SMEs to adapt as their workforce grows. Jonathan Fryer, Partner at Mazars, says, “HReasily’s cutting-edge technology, geographic footprint and partner ecosystem are highly complementary to the payroll and HR expertise we have across the region. This exciting collaboration reinforces our commitment to provide our international clients with best-in-class, cloud-based solutions.”
Member News
Smart City concept to boost Phuket property prices
T
he Phuket condominium market is expected to perform better in line with brighter economic situation and growing population of the island, according to Knight Frank Thailand Research. Increasing supply and higher selling prices will be the key drivers, while demand is forecasted to improve slightly. Demand across the market will continue to be driven upwards by international homebuyers, investors and expatriates – especially those from mainland China, Russia and Australia as well as South Korea. Average asking prices per sq.m. are anticipated to rise in all areas, while increasing demand for luxury condominium units may see prices approaching new highs in 2018. Phuket‘s Smart City project that aims to develop the province in terms of Smart Economy and Smart Living Community and to set the city as the hub of digital industry in the region will attract investors and tourists, states Knight Frank. The project is scheduled for completion in 2020.
cipally located in Karon, Naiharn, and Bangtao • Condominium projects launched in 2017 recorded an average takeup rate of 66%, which dropped by 6% y-o-y. However, certain projects commanding affordable pricing, attractive down payment
packages, exceptional amenities, and convenient locations were able to achieve higher sales within weeks of their launch • Average asking prices per sq.m. of all new projects launched into the market in 2017 surged to THB 135,719, up by 2.5% y-o-y
Highlights • Phuket’s condominium market supply and demand took a fall in 2017. The total number of new supply in 2017 decreased 29% to 1,736 units, compared to 2,478 units in the previous year. On the demand front, there were 1,147 condos sold in 2017, which plunged 36% y-o-y • Newly launched supply with seaview, partial seaview, and nonseaview accounted for 44%, 54%, and 2%, respectively. Majority of the new developments are in the high-end market segment, prin-
Hans Zahner has joined the Grand Hyatt Erawan Bangkok as Chef de Cuisine at the popular Tables Grill. Born in France, Hans Zahner moves to Bangkok from Shanghai where he worked at the helm of the one-Michelin-starred restaurant Sir Elly’s at The Peninsula hotel.
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Member News
Such areas should continue to receive heightened atte scale property developers. Knight Frank Thailand Res several projects from leading developers that will be g in the remaining quarters of 2018. The report adds th new projects’ pricing, seeing whether the average pric condominiums in the CBD would adjust lower or hig
Upbeat forecast in latest Knight Frank condo report
Number of Bangkok Condominiums from 2019 – Q1
T
he overview of Bangkok’s condominium market remains bright, according to a report from Knight Frank Thailand Research. Last year saw 62,751 new units entering the market - an increase on 2016 of 19 percent. The average annual total sales rate was around 76 percent (74% in 2016) with the most popular locations continuing to be in the vicinity of the Light Green Line and the Blue Line.
Number of Bangkok Condominiums from 2019 – Q1 2018
News Release
Within Bangkok’s Central Business District, Sukhumvit remained the most popular area with around 11,000 new units coming on stream into the market; this was followed by Wireless Road, Silom and Sathorn with 2,300 units, and Rama 4 with 817 units. For Demand and Accumulated Take-up Rate areas located outside the CBD, realSupply, esSource: Knight Frank Thailand Research tate development companies focused Source : Knight Frank Thailand Research 2019 – Q1 2018 their attention on Rama 9-RatchaSupply, Demand and Accumulated Take-up Rate of Bangkok Condominiums dapisek, Phaholyothin, Ladprao and from 2019 – Q1 2018 Onnut-Bearing, with 19,000 new units entering the market.
of .B
When scrutinising sales of each area in 2017, it was found that the CBD and surrounding areas experienced average sales rates of 78 percent and 71 percent respectively, while new suburban projects averaged an annual sales rate of approximately 80 percent. This serves as a good indicator of consumer confidence in the market. The selling price per square metre rose in all segments, particularly the CBD, which has limited plots of land suitable for the development of new projects. As a result, land prices soared, which is reflected in the sale Source: Knight Frank Thailand Research Source : Knight Frank Thailand Research prices. New projects in the CBD commanded an average sales price of THB 248,267 per square metre while 2016 by 8.6 percent 1.2 percent and 55 percent. More than half of these the area around the CBD was priced 6.5 percent respectively. were launched in March 2018. The Asking Sales Price perselling sq.m. at approximately THB 131,521 Average per average price of per Bangkok square mePage 2/3 square metre. New projects in the For Q1 2018 there were 12,563 new tre in the CBD and surrounding areas suburbs averaged some THB 79,871 condominiums clearly contracted from Q1 2017. This Supply, from entering 2009the– market Q1 2018 per square metre, increasing from with new units enjoying sales of about is because projects launched in early
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2018 are located in less prominent areas with lower grade specifications. However, the average sales price of a new unit in the suburbs grew to a record high at 110,353 baht per square metre, up 61 percent compared to Q1 2017 and up 38 percent compared to the entire calendar year 2017. This was due to the scarcity of land in the city, coupled with land prices that are steadily rising. Many operators are also increasingly turning their attention towards the
periphery. In this quarter, one project had an offering price of more than THB 110,000 per square metre. As there were six projects launched in the suburbs, the average selling price per square metre in this area was pushed higher compared to past years.
Such areas should continue to receive heightened attention from large and mid-scale property developers. Knight Frank Thailand Research found that there were several projects from leading developers that will be gradually launched in the CBD in the remaining quarters of 2018.
This year the market outlook of the suburban areas and around the CBD is that both locales have opportunities for growth in terms of product, price and consumer response - especially for projects within one kilometre of the mass transit train lines.
The report adds that ‘it is worth watching the new projects’ pricing, seeing whether the average prices per square metre of condominiums in the CBD would adjust lower or higher than in 2017’.
Consistent with its strict adherence to a core philosophy to meet the high demand for excellence in events hosting and ensuring customer satisfaction by providing first-rate services – these efforts have already made Queen Sirikit National Convention Center, under the management of N.C.C. Management & Development Co., Ltd., the preferred venue for national and international events throughout these past 26 years. Recently, Mrs. Premporn Saisaengchan, Executive Vice President, N.C.C. Management & Development Co., Ltd., the manager of Queen Sirikit National Convention Center, received the Thailand MICE Venue Standard (TMVS) accolade, presented by Weerasak Kowsurat, Minister of Tourism and Sports. This standard is taken into account in order to get QSNCC ready for hosting international events professionally.
Office rents continue to rise in Bangkok
G
rade A Bangkok CBD office rents rose by 3.1 percent yearon-year to new record highs in the first quarter of 2018 and this trend is expected to continue, according to CBRE Research.
Average rents for grade A CBD buildings were just under THB 1,000 per square metre per month. A new record of THB 1,500 per square metre per month was achieved in Gaysorn Tower, according to CBRE’s latest Bangkok office report.
The total take-up was 65,000 square metres in Q1 2018, increased by 15.1 percent y-o-y, led by the completion and owner occupation of the new Bank of Ayudhya Building (Krungsri Ploenchit Tower) on Ploenchit Road and Thai Rath’s new building on Viphavadi Road. The overall vacancy rate fell to 7.3 percent and is expected to remain at a low level for the next three to four years.
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Dataconsult
Chamber Events
By the Numbers
W
e have to wait for twenty years to judge the effectiveness of the latest grand design for Thailand’s future economic prospects. Meanwhile there are wide variations regarding the progress to be achieved, even in just the next year or two. We now have forecasts from the International Monetary Fund (IMF), the Ministry of Finance Fiscal Policy Office (FPO), and now the National Economic and Social Development Board (NESDB). The IMF outlook envisages Thailand growth of 3.9% in 2018, followed by 3.8% in 2019, and thereafter a slipping performance down to 3.5% over the coming five years. That would put Thailand at the bottom of the developing ASEAN growth ladder, way below the burgeoning but less developed Mekong Region countries. For business, clearly the best opportunities under that scenario lie beyond borders. For the FPO, the outlook appears somewhat brighter at least in the short-term, with 2018 growth in the range of 3.9% to 4.5%, an average prospect of 4.2%. Earlier in this year, the NESDB had taken a similar view, in the range of 3.6% to 4.6%. However latest projections, based on past quarter performance, suggest an improved range of 4.2% to 4.7%, therefore an average close to 4.5%. NESDB optimism is based on improving world economic prospects, reflected in Thailand’s stronger exports and tourism growth, along with improving investment and consumption. Risks remain, including rising oil prices and interest rates, along with worldwide political instability as well as local uncertainties.
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Chris Bruton Director, Dataconsult Ltd.
Economic Projection for 2018 Actual Data GDP (at current prices: Bil. Bht) GDP per capita (Bht per year) GDP (at current prices: Bil. USD) GDP per capita (USD per year)
Projection
2016
2017
Feb 19 - 2018
14,533.5
15,452.9
16,469.8
May 21 - 2018 16,457.3
215,454.6
228,412.0
242,806.3
242,622.1
411.8
455.3
514.7
522.5
6,103.9
6,730.2
7,587.7
7,702.3
GDP Growth (CVM, %)
3.3
3.9
3.6 - 4.6
4.2 - 4.7
Gross Fixed Capital Formation (CVM, %)
2.8
0.9
4.9
4.7
Private (CVM, %)
0.5
1.7
3.7
3.9
Public (CVM, %)
9.5
-1.2
10.0
8.6
Private Consumption (CVM, %)
3.0
3.2
3.2
3.7
Government Consumption (CVM, %)
2.2
0.5
3.2
3.0
Export volume of goods & services (%)
2.8
5.5
6.0
6.3
214.3 0.1
235.1 9.7
251.1 6.8
256.0 8.9
Growth rate (Volume, %)
0.5
5.9
4.8
4.9
Import volume of goods & services (%)
-1.0
6.8
6.5
6.7
177.7
203.2
222.5
229.1
Growth rate (%)
-5.1
14.4
9.5
12.7
Growth rate (Volume, %)
-2.5
8.4
6.5
6.7
Trade balance (Bil USD)
36.5
31.9
28.5
27.0
Current account balance (Bil. USD)
48.2
48.1
40.0
43.7
Current account to GDP (%)
11.7
10.6
7.8
8.4
Export value of goods (Bil. USD) Growth rate (%)
Import Value of goods (Uil. USD)
Inflation (%) CPI
0.2
0.7
0.9 - 1.9
0.7 - 1.7
GDP Deflator
2.4
2.3
2.0 - 3.0
1.5 - 2.5
Source: Office of National Economic and Social Development Board, May 21, 2018
Major Assupmtions and Economic Projections for 2018 (As of April 2018) 2016
2017
2018f (as of April 2018) Average
Range
MAJOR ASSUMPTIONS Exogenous Variables Average Economic Growth Rate of Major Trading Partners (percent y-o-y)
3.40
3.72
3.98
3.73 to 4.23
Dubai Crude Oil Price (U.S. dollar per Barrel)
41.2
53.1
64.0
61.0 to 67.0
Exchange Rate (Baht per U.S. dollar)
35.30
33.94
31.50
31.00 to 32.00
Policy rate at year-end (percent y-o-y)
1.50
1.50
1.50
1.25 to 1.75
Public Expenditure (Trillion Baht)
3.39
3.46
3.68
3.64 to 3.72
Number of foreign tourists (Million)
32.5
35.4
39.9
39.4 to 40.4
3.3
3.9
4.2
3.9 to 4.5
Policy Variables
PROJECTIONS GDP Growth Rate (percent y-o-y) Real Consumption Growth (percent y-o-y) - Real Private Consumption (percent y-o-y)
3.0
3.2
3.5
3.2 to 3.8
- Real Public Consumption (percent y-o-y) Real Investment Growth (percent y-o-y)
2.2
0.5
3.0
2.7 to 3.3
- Real Private Investment (percent y-o-y)
0.5
1.7
3.8
3.5 to 4.1
- Real Public Investment (percent y-o-y)
9.5
-1.2
8.9
8.6 to 9.2
Export Volume of Goods and Services (percent y-o-y)
2.8
5.5
5.5
5.2 to 5.8
Import Volume of Goods and Services (percent y-o-y)
-1.0
6.8
5.8
5.5 to 6.1
Trade Balance (USD billion)
36.5
31.9
25.3
25.0 to 25.6
- Export Value of Goods in USD (percent y-o-y)
0.1
9.7
8.0
7.7 to 8.3
- Import Value of Goods in USD (percent y-o-y)
-5.1
14.4
12.5
12.2 to 12.8
48.2
49.3
46.6
46.3 to 46.9
11.7
10.8
9.1
8.8 to 9.4
Headline Inflation (percent y-o-y)
0.2
0.7
1.2
0.9 to 1.5
Core Inflation (percent y-o-y)
0.7
0.6
0.7
0.4 to 1.0
Current Account (billion U.S.) - Percentage of GDP
Source: Fiscal Policy Office, Ministry of Finance
Gross Domestic Product at current price (total value) (countries ranked by 2018 size) Country
(US$ billion)
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
China
8,570.3
9,635.0
10,534.5
11,226.2
11,221.8
12,014.6
14,092.5
15,543.7
16,952.0
18,401.8
19,925.4
21,573.9
India
1,827.6
1,856.7
2,039.1
2,102.4
2,273.6
2,611.0
2,848.2
3,155.2
3,477.1
3,832.9
4,226.7
4,663.0
Indonesia
919.0
916.6
891.1
860.7
932.4
1,015.4
1,075.0
1,152.9
1,247.7
1,340.8
1,440.9
1,548.5
Thailand
397.6
420.3
407.3
401.4
411.8
455.4
483.7
520.1
550.3
581.5
614.4
649.9
Malaysia
314.4
323.3
338.1
296.4
296.5
314.5
364.9
402.6
439.1
478.2
521.2
568.0
Singapore
290.7
304.5
311.6
304.1
309.8
323.9
349.7
367.8
385.2
401.9
419.2
437.8
Philippines
250.1
271.8
284.6
292.8
304.9
313.4
332.4
355.7
392.2
430.8
474.7
523.0
Vietnam
155.6
170.6
185.9
191.5
201.3
220.4
240.8
264.9
290.6
316.8
344.7
373.8
Myanmar
59.7
60.1
65.6
59.5
63.3
66.5
70.7
75.0
83.0
91.9
101.6
112.0
Cambodia
14.0
15.2
16.7
18.2
20.2
22.3
24.4
26.6
29.0
31.6
34.3
37.2
Lao P.D.R
10.2
12.0
13.3
14.4
15.9
17.0
18.3
20.1
21.9
23.9
26.0
28.3
Brunei
19.0
18.1
17.1
12.9
11.4
12.7
14.4
14.8
15.3
16.4
17.3
18.8
Gross Domestic Product at constant prices (growth) (countries ranked by 2018 size) Country
(Percentage change year-on-year)
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
India
5.5
6.4
7.4
8.2
7.1
6.7
7.4
7.8
7.9
8.1
8.1
8.2
Myanmar
7.3
8.4
8.0
7.0
5.9
6.7
6.9
7.0
7.2
7.3
7.4
7.5
Cambodia
7.3
7.4
7.1
7.2
7.0
6.9
6.9
6.8
6.5
6.3
6.0
6.0
Lao P.D.R
7.8
8.0
7.6
7.3
7.0
6.8
6.8
7.0
7.0
6.9
6.8
6.8
Philippines
6.7
7.1
6.1
6.1
6.9
6.7
6.7
6.8
6.9
6.9
7.0
7.0
China
7.9
7.8
7.3
6.9
6.7
6.9
6.6
6.4
6.3
6.0
5.7
5.5
Vietnam
5.2
5.4
6.0
6.7
6.2
6.8
6.6
6.5
6.5
6.5
6.5
6.5
Indonesia
6.0
5.6
5.0
4.9
5.0
5.1
5.3
5.5
5.6
5.6
5.6
5.6
Malaysia
5.5
4.7
6.0
5.0
4.2
5.9
5.3
5.0
4.9
4.7
4.9
4.9
Thailand
7.2
2.7
1.0
3.0
3.3
3.9
3.9
3.8
3.6
3.6
3.5
3.5
Singapore
4.1
5.1
3.9
2.2
2.4
3.6
2.9
2.7
2.6
2.6
2.6
2.6
Brunei
0.9
-2.1
-2.5
-0.4
-2.5
0.5
1.0
8.0
7.8
10.2
5.0
9.1
Gross Domestic Product per capita (countries ranked by 2018 size) Country
(Current prices US$)
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
Singapore
54,716.7
56,389.2
56,959.3
54,939.9
55,241.3
57,713.3
61,766.8
64,413.4
66,893.2
69,186.2
71,557.4
74,105.3
Brunei
47,736.3
44,716.3
41,630.5
31,047.1
26,935.1
29,711.9
33,233.5
33,623.0
34,281.8
36,503.6
37,871.7
40,790.2
Malaysia
10,655.5
10,699.7
11,008.9
9,505.3
9,374.1
9,812.8
11,237.4
12,240.6
13,180.3
14,174.8
15,256.2
16,421.3
China
6,329.5
7,080.8
7,701.7
8,166.8
8,115.8
8,643.1
10,087.8
11,075.8
12,028.8
13,008.1
14,037.3
15,182.8
Thailand
5,850.3
6,154.5
5,933.0
5,830.8
5,970.4
6,590.6
6,992.2
7,510.0
7,940.7
8,385.7
8,857.1
9,367.9
Indonesia
3,744.5
3,684.0
3,533.6
3,369.4
3,604.3
3,875.8
4,051.7
4,290.9
4,585.4
4,865.8
5,163.6
5,479.7
Philippines
2,591.6
2,768.5
2,849.3
2,882.8
2,953.4
2,976.3
3,095.1
3,247.1
3,509.7
3,779.3
4,082.7
4,410.3
Lao P.D.R
1,640.9
1,900.0
2,075.1
2,212.4
2,416.9
2,542.5
2,705.9
2,918.1
3,146.0
3,379.7
3,626.6
3,890.5
Vietnam
1,751.7
1,900.2
2,049.0
2,087.5
2,171.8
2,353.7
2,545.9
2,774.4
3,014.5
3,255.9
3,510.1
3,772.8
India
1,481.6
1,485.6
1,610.4
1,638.8
1,749.2
1,982.7
2,134.8
2,334.1
2,538.8
2,762.3
3,006.5
3,273.8
945.2
1,010.8
1,091.5
1,167.7
1,277.7
1,389.6
1,498.8
1,614.1
1,732.7
1,857.3
1,985.9
2,123.2
1,181.9
1,179.6
1,275.3
1,147.3
1,210.5
1,263.9
1,338.5
1,414.1
1,555.3
1,710.3
1,879.9
2,060.6
Cambodia Myanmar
Source: World Economic Outlook Database, April 2018
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Issue 2/2018
49
GDP Purchasing-power-parity per capita, share of world total (countries ranked by 2018 size) Country
(Percent)
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
China
15.3
15.9
16.5
17.1
17.7
18.2
18.7
19.2
19.6
20.1
20.5
20.8
India
6.2
6.4
6.7
7.0
7.2
7.4
7.7
8.0
8.3
8.7
9.0
9.4
Indonesia
2.4
2.4
2.4
2.5
2.5
2.6
2.6
2.6
2.7
2.7
2.8
2.8
Thailand
1.0
1.0
1.0
1.0
1.0
1.0
1.0
1.0
1.0
1.0
1.0
1.0
Malaysia
0.7
0.7
0.7
0.7
0.7
0.7
0.7
0.8
0.8
0.8
0.8
0.8
Philippines
0.6
0.6
0.6
0.6
0.7
0.7
0.7
0.7
0.7
0.8
0.8
0.8
Vietnam
0.4
0.5
0.5
0.5
0.5
0.5
0.5
0.5
0.6
0.6
0.6
0.6
Singapore
0.4
0.4
0.4
0.4
0.4
0.4
0.4
0.4
0.4
0.4
0.4
0.4
Myanmar
0.2
0.2
0.2
0.2
0.3
0.3
0.3
0.3
0.3
0.3
0.3
0.3
Cambodia
0.0
0.0
0.0
0.0
0.0
0.1
0.1
0.1
0.1
0.1
0.1
0.1
Brunei
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
Lao P.D.R
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
Inflation: average consumer prices (countries ranked by 2018 size)
(Percentage change year-on-year)
Country
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
Myanmar
2.8
5.7
5.1
10.0
6.8
5.1
5.5
5.8
6.2
6.1
6.0
5.7
10.0
9.4
5.8
4.9
4.5
3.6
5.0
5.0
4.8
4.8
4.9
4.8
India
2023
Philippines
3.2
2.9
4.2
1.4
1.8
3.2
4.2
3.8
3.3
3.1
3.0
3.0
Vietnam
9.1
6.6
4.1
0.6
2.7
3.5
3.8
4.0
4.0
4.0
4.0
4.0
Indonesia
4.0
6.4
6.4
6.4
3.5
3.8
3.5
3.4
3.6
3.4
3.1
3.0
Cambodia
2.9
3.0
3.9
1.2
3.0
2.9
3.3
3.3
3.2
3.1
3.0
3.0
Malaysia
1.7
2.1
3.1
2.1
2.1
3.8
3.2
2.4
2.3
2.5
2.5
2.5
China
2.6
2.6
2.0
1.4
2.0
1.6
2.5
2.6
2.7
2.8
2.8
3.0
Lao P.D.R
4.3
6.4
4.1
1.3
1.6
0.8
2.3
3.1
3.3
3.1
3.1
3.1
Thailand
3.0
2.2
1.9
-0.9
0.2
0.7
1.4
0.7
1.1
1.4
1.8
2.0
Singapore
4.6
2.4
1.0
-0.5
-0.5
0.6
1.2
1.0
1.0
1.0
1.1
1.0
Brunei
0.1
0.4
-0.2
-0.4
-0.7
-0.1
0.1
0.3
0.3
0.3
0.2
0.2
General Government Gross Debt (countries ranked by 2018 size)
(Percentage of GDP)
Country
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
Singapore
105.1
101.5
96.6
100.5
106.8
110.9
110.2
108.8
108.1
106.8
105.8
107.2
India
69.1
68.5
67.8
69.6
68.9
70.2
68.9
67.3
65.8
64.3
62.9
61.4
Lao P.D.R
55.2
54.3
58.6
58.1
58.4
62.8
65.5
66.7
67.2
67.7
68.3
68.8
Vietnam
48.4
51.8
55.0
57.0
59.8
58.2
58.4
58.1
58.2
58.3
58.5
58.8
Malaysia
54.6
56.4
56.2
57.9
56.2
54.2
53.6
52.6
51.4
50.0
48.2
46.2
China
34.3
37.0
39.9
41.1
44.3
47.8
51.2
54.4
57.6
60.5
63.1
65.5
Thailand
41.9
42.2
43.3
42.5
41.8
41.9
41.6
41.6
41.6
41.7
41.9
41.9
Philippines
47.9
45.7
42.1
41.5
39.0
37.8
37.3
36.3
35.7
35.1
34.6
34.2
Cambodia
34.7
35.4
34.1
32.5
33.7
35.1
35.8
36.2
36.7
37.9
38.6
39.2
Myanmar
40.7
33.2
29.9
34.5
35.7
34.7
35.6
34.9
35.0
35.1
35.3
35.5
Indonesia
23.0
24.8
24.7
27.5
28.3
28.9
29.6
30.3
30.7
31.1
31.5
31.7
2.1
2.2
3.2
3.0
3.0
2.7
2.5
2.5
2.4
2.3
2.2
2.0
Brunei
Population (countries ranked by 2018 size) Country
(Million persons)
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
China
1,354.0
1,360.7
1,367.8
1,374.6
1,382.7
1,390.1
1,397.0
1,403.4
1,409.3
1,414.6
1,419.5
1,420.9
India
1,424.3
1,233.6
1,249.8
1,266.3
1,282.9
1,299.8
1,316.9
1,334.2
1,351.8
1,369.6
1,387.6
1,405.8
Indonesia
245.4
248.8
252.2
255.5
258.7
262.0
265.3
268.7
272.1
275.6
279.0
282.6
Philippines
96.5
98.2
99.9
101.6
103.2
105.3
107.4
109.6
111.8
114.0
116.3
118.6
Vietnam
88.8
89.8
90.7
91.7
92.7
93.6
94.6
95.5
96.4
97.3
98.2
99.1
Thailand
68.0
68.3
68.7
68.8
69.0
69.1
69.2
69.3
69.3
69.3
69.4
69.4
Myanmar
50.5
51.0
51.4
51.8
52.3
52.6
52.8
53.0
53.4
53.7
54.1
54.4
Malaysia
29.5
30.2
30.7
31.2
31.6
32.1
32.5
32.9
33.3
33.7
34.2
34.6 17.5
Cambodia
14.9
15.1
15.3
15.5
15.8
16.0
16.3
16.5
16.7
17.0
17.3
Lao P.D.R.
6.2
6.3
6.4
6.5
6.6
6.7
6.8
6.9
7.0
7.1
7.2
7.3
Singapore
5.3
5.4
5.5
5.5
5.6
5.6
5.7
5.7
5.8
5.8
5.9
5.9
Brunei
0.4
0.4
0.4
0.4
0.4
0.4
0.4
0.4
0.4
0.5
0.5
0.5
Source: World Economic Outlook Database, April 2018
50
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Issue 2/2018
Britain in South East Asia (BiSEA) Tel: +60 3 2163 1784 Fax: +60 3 2163 1781 Email: info@bmcc.org.my Website: www.bmcc.org.my Chairman: Andrew Sill Executive Director: Aurelia Silva CAMBODIA British Chamber of Commerce in Cambodia British Embassy Phnom Penh 27-29 Street 75, Sangkat Srah Chak, Khan Daun Penh Phnom Penh 12201 Tel: +855 (0) 12-323-121 Email: director@britchamcambodia.org Website: www.britchamcambodia.org MYANMAR Chairman: David Tibbot British Chamber of Commerce Myanmar Executive Director: Ritchie Munro 4th Floor, 192, Bo Myat Htun St. (Middle Block) Pazundaung Township Yangon, Myanmar Email: info@britishchambermyanmar.com Website: http:// www.britishchambermyanmar.com INDONESIA President: Peter Beynon FCA British Chamber of Commerce in Project Director (OBNi): Chloe Taylor Indonesia Wisma Metropolitan I F/15, Jln. Jend. Sudirman Kav. 29 - 31, Jakarta 12920 Tel: +62 21 5229453 Fax: +62 21 5279135 Email: busdev@britcham.or.id Website: http://www.britcham.or.id Chairman: Adrian Short Executive Director: Chris Wren
MALAYSIA British Malaysian Chamber Of Commerce (BMCC) Lot E04C1, 4th Floor, East Block Wisma Selangor Dredging 142-B Jalan Ampang 50450 Kuala Lumpur, Malaysia
PHILIPPINES British Chamber of Commerce of the Philippines BCCP Business Centre 8F W Fifth Avenue Building 5th Avenue corner 32nd Street, Bonifacio Global City, Taguig 1634, Metro Manila, Philippines Tel: +63 2 556 5232 Fax: +63 2 519 6889 Email: info@britcham.org.ph Website: www.britcham.org.ph Chairman: Chris Nelson
SINGAPORE British Chamber of Commerce Singapore 39 Robinson Road, #11-03 Robinson Point, Singapore 068911 Tel: + 65 6222-3552 Fax: + 65 6222-3556 Email: Info@britcham.org.sg Website: http://www.britcham.org.sg President: Bicky Bhangu
THAILAND British Chamber of Commerce Thailand (BCCT) 7th Floor, 208 Wireless Road Lumpini, Pathumwan, Bangkok 10330 Tel: 66-2651-5350-3 Fax: 66-2651-5354 Email: greg@bccthai.com Website: www.bccthai.com Chairman: Simon Matthews Executive Director: Greg Watkins
VIETNAM British Business Group Vietnam Ho Chi Minh City, G/F 25 Le Duan Blvd. District 1, Ho Chi Minh City, Vietnam Tel: +84 (8) 3829 8430 Fax: +84 (8) 3822 5172 Email: info@bbgv.org Website: www.bbgv.org Executive Director: Peter Rimmer Chairman: Kenneth M Atkinson Hanoi, 193B Ba Trieu, Hai Ba Trung District, Hanoi, Vietnam Tel: +84 (4) 3633 0244 Issue 2/2018 51 The Link
Chamber Events
Life & Style Garden Party BCCT welcomed members and guests to the exquisite BCCT Life & Style Garden Party on Thursday 22 March at the iconic Ambassador’s Residence, British Embassy. Guests experienced fine British food and drinks as well as British cars, motorcycles, music and a selection of great products from the UK. Big thanks to our generous sponsors making this an excellent evening.
Thank you to our sponsors. 52
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Issue 2/2018
Chamber Events
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Issue 2/2018
53
Chamber Events
BCCT Legal Briefing: Crypto Currency
BCCT Half-Day Workshop
BCCT, in collaboration with AMCHAM, organised a Legal Briefing on Crypto Currency: Myths and Realities on Monday 26 February at British Business Centre. Speaker Naris Sathapholdeja, Head of TMB Analytics, discussed the background and future trend of cryptocurrency and analysed its significance towards legal matters.
On Wednesday 28th February, BCCT organised two BCCT Half-Day Workshops, supported by Aspire Consulting and Training Ltd. Moderated by Prof. Jay Acharya, Director of Aspire Consulting and Training, the morning session focuses on “Aspiring to be ThaI4.0™ Ready” allowing participants to be familiar with how Industry 4.0 can improve its company’s productivity, quality and process.
Pictured from left, BCCT Director and Legal and Taxation Committee Chairman Stephen Frost, speaker Naris Sathapholdeja and Moderator Douglas Mancill, Senior Counsel from Price Sanond Limited and Chairman of the AMCHAM Legal Committee.
The afternoon session on “Aspiring Leadership ThaI4.0™” engaged participants in exploring the interactions of a leadership and management team to prepare for new business direction and change management.
BCCT Multi-Chambers Lunch: Minister of Commerce
BCCT Legal Briefing: New Thai Competition Act
BCCT, in collaboration with AustCham, EABC, STCC, NTCC, BeLuThai, GTCC, FTCC, AMCHAM and CanCham, held a BCCT Multi-Chambers Lunch with Minister of Commerce, H.E. Sontirat Sontijirawong, on Thursday 8 March at Royal Orchid Sheraton Hotel & Tower. Guests listened to important updates and remarks on Thailand’s economic growth amidst current global uncertainties.
BCCT organised a BCCT Legal Briefing on New Thai Competition Act at British Business Centre on Wednesday 14th March. Interesting questions and points were discussed during the briefing. Speaker Dr. R. Ian McEwin, Managing Director of Competition Consulting Asia (pictured standing) discussed changes to the Thai Competition Act and what areas business should know and focus on.
Pictured from left, Bumrungrad Hospital Division Director of Business Alliance Tanee Maneenut, AustCham President Brenton Mauriello, BCCT Chairman Chris Thatcher, AMCHAM Executive Director Judy Benn, Minister of Commerce, GTCC President Markus Lorenzini and NTCC Executive Director Hans van den Born. Special thanks to our sponsor Bumrungrad Hospital.
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Chamber Events
BCCT Workshop: Powerful Communications for HR
BCCT Multi-Chambers Eastern Seaboard Dinner
On Tuesday 20 March, BCCT organised a half-day workshop on Powerful Communication for HR and Learning Managers at British Business Centre. Neil Stoneham (pictured middle), Managing Director of Voxtree, facilitated the workshop guiding participants to become more confident and persuasive in business communication.
BCCT organised a BCCT Multi-Chambers Eastern Seaboard Dinner on Future Impact of EEC (Eastern Economic Corridor) on Pattaya/Jomtien on Friday 23 March at InterContinental Pattaya. Guests enjoyed listening to insightful information from Dr Verapong Chaiperm, Governor of Industrial Estate Authority of Thailand (IEAT).
From left, Helmut Buchberger Membership/B&P Privileges Director, SingaporeThai Chamber of Commerce, Graham Macdonald Former Chairman and Honorary Adviser, South African-Thai Chamber of Commerce, Aekarit Thongmarg, Apissara Chompoowong Sales Manager, Budget Car and Truck Rental, Speaker, Blake Dimsdale Audit and Advisory Partner and Chris Thatcher BCCT Chairman. Big thanks to our event sponsors - Budget Car and Truck Rental and Mazars Thailand.
EABC Multi-Chambers Lunch: EU Ambassador
BCCT Digital & Technology Briefing: Crypto Currency
EU Ambassador Pirkka Tapiola discussed EU-Thailand relations at the EABC multi-chambers lunch organised by BCCT in conjunction with Advantage Austria, GermanThai, BeLuThai, Danish-Thai, Swiss-Thai, Thai-Italian, Irish-Thai, Netherlands-Thai, Franco-Thai, Thai-Finnish, Thai-Norwegian and Thai-Swedish Chamber of Commerce.
On Tuesday 3rd April, BCCT organised a BCCT Digital & Technology (DTG) Briefing on Crypto Currency: Does it have real business uses in Thailand? DTG Group Chair Paul Phenix (pictured on the right) moderated the briefing with two great speakers - Director of Fluxus Thailand and BCCT Board of Directors Gareth Davies (middle) and Head of the Information Assurance Platform (IAP) William Vacher (left).
Pictured from left, EABC Treasurer John Sim, Belgian Ambassador H.E. Philippe Kridelka, Robert Walters Country Manager Gerrit Bouckaert, LawPlus Managing Partner Kowit Somwaiya, EABC Vice-President Jan Eriksson, H.E. Pirkka Tapiola, Jamie’s Italian General Manager Sarah Smith, PCS Security and Facility Regional Transformation Director Sharon Withe, EABC Past President Rolf-Dieter Daniel and BNP Paribas Bank CEO Antoine Gustin.
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Chamber Events
BCCT ‘Fireside Chat’ with The Rt Hon Dr. Liam Fox MP
BCCT Briefing: Will Writing and Succession Planning
On Thursday 5th April BCCT welcomed members to a ‘Fireside Chat’ with The Rt Hon Dr. Liam Fox MP, Secretary of State for International Trade and President of the Board of Trade. Dr Fox covered international trade situations and discussed UK’s trade relationship and market access issues with Thailand and South East Asia.
On 10th April, BCCT members and guests spent their Tuesday evening at British Business Centre joining BCCT Briefing on Will Writing and Succession Planning by Matthew Lloyd, Managing Director of Professional Wills Limited. The discussion covered crucial points on Will writing and testament as well as knowledge in Will law enforcement and administration in different countries.
Pictured from left, Stephen Frost, Matthew Lloyd and Raymond Schonfeld from Single Market Ventures.
BCCT T3 Business Networking
BCCT Chairman’s Dinner with Andrew Biggs
The newly opened Bangkok Marriott Hotel The Surawongse opened its door to welcome BCCT members and guests to BCCT T3 Business Networking in the evening of Thursday 19th April at the Lobby Lounge. A fantastic selection of food showcase was beautifully arranged accompanying with great drinks in a nice networking ambience. Big thanks to Wellington College International Bangkok for a great support as always.
On Thursday 26th April, a famous Australian actor and television personality in Thailand Andrew Biggs, spoke at Crowne Plaza Bangkok Lumpini Park about his career and life experience throughout his 29 years in Thailand. A truly delightful and interesting evening at BCCT Chairman’s Dinner.
Pictured from left Bangkok Marriott Hotel The Surawongse Director of F&B Julien Tavagnutti, BCCT Chairman Chris Thatcher and Wellington College International Bangkok Founding Master Christopher Nicholls.
Pictured from left, BCCT Chairman Chris Thatcher, Andrew Biggs and BCCT Board of Director Aime Pinyapa Pichaipalakorn.
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Chamber Events
BCCT Young Professionals Networking
T3 Business Networking
On 3 May BCCT Young Professionals (YP) Committee organised a networking event with guest speakers Kornkanok Yongsakul and PRTR Outsourcing Managing Director Risara Charoenpanich. Moderated by BCCT Board of Director Sarah Smith and BCCT YP Committee Carlos Martinez, the talk discussed career growth and skill development for young professionals.
On Thursday 17th May, BCCT members and guests enjoyed another fantastic night of the monthly’s BCCT T3 Business Networking kindly hosted by The Landmark Hotel Bangkok. At Rendezvous Bar, Chef stations from a variety of exquisite cuisines were presented by the Landmark along with great British beers and ciders sponsored by Flow Inter (Paulaner/ Fullers-Thailand).
Pictured from left Sarah Smith, Kornkanok Yongsakul, BCCT Chairman Chris Thatcher, Risara Charoenpanich and Carlos Martinez.
Pictured from left Flow Inter Sales Director Porrada Pengsombut, Broadgate Mutual Fund Brokerage Securities Financial Coordinator Russell Watts, The Landmark General Manager Douglas Glen, RE/MAX Town & Country Managing Partner KC Cuijpers and BCCT Vice-Chairman Simon Matthews. Special thanks to Broadgate Mutual Fund Brokerage Securities and RE/MAX Town & Country for a great support making it an excellent evening.
BCCT Digital & Technology Briefing
BCCT Legal Briefing: Visas and Work Permits
Paul Phenix, Chair of BCCT Digital & Technology Committee and Director of Ad Operations – Biddable, spoke at BCCT Digital & Technology Briefing on “How much do Google and Facebook really know about you?” on Thursday 24th May at British Business Centre. Together with Howard Bryant, Managing Director of Retail Asia and Rob Wee, Managing Director of Phoenix Media Partners, the panel discussed how personal online data is collected and used in digital advertising.
BCCT organised a BCCT Legal Briefing on Visas and Work Permits by SCL Group Associate Lawyer Nuttaros Tangprasitti (pictured) on Tuesday 12th June at British Business Centre. The session summarised recent legislation in relation to foreign mobility and employment and pointed out restrictions on certain positions that a foreign worker may hold. Common issues and pitfalls were also shared with the audience.
General Data Protection Regulation (GDPR) was also touched upon by Howard Bryant to give audience ideas on the current situation in online legislation and control. Pictured from left, Howard Bryant, Paul Phenix and Rob Wee.
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Comings and Goings The British Chamber of Commerce Thailand welcomes the following new members:
APAC Assistance 55 Market Street, Unit 10-00 Raffles Place 048941 Tel: +65 65213081 Email: paul_quaglia@apacassistance.com Website: www.apacassistance.com
Chamber Representative Mr. Paul Quaglia - APAC Assistance Director Business Activity: Security / Fire Services Background APAC Assistance is a leading risk management company offering highly specialized consulting services and bespoke solutions in security, emergency management and business continuity in the Asia-Pacific region. APAC Assistance is a Singapore-registered private company. APAC Assistance provides bespoke security risk management and investigations services to clients throughout the Asia Pacific. APAC Assistance founded the Asia Pacific based APAC Alliance. The Alliance gives clients access to bespoke security and risk management companies across the Asia Pacific Region. Key members of the Alliance are APAC Assistance (www. apacassistance.com) and MitKat Advisory Services (www.mitkatadvisory.com). The Alliance entities are all owned by the founders and proven both commercially and technically. The Alliance covers the Asia Pacific region. APAC Assistance and Alliance members maintain offices and full-time staff in Indonesia, Philippines, Singapore, Australia, India, Thailand, Myanmar and TimorLeste. We have a range of longstanding and important business relationships
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that are built on trust and mutual respect with highly influential individuals and companies throughout the Asia – Pacific region. Products or Services APAC Assistance is supporting various clients manage risk in the ASIA Pacific Region. The security environment in Southeast Asia remains a challenge, on-going political and social tensions pose security challenges for people and organizations operating in the region. The regions agility presents commercial, legal and physical challenges to businesses that are not found in developed economies in the western nations. To effectively mitigate security and business risks, and adapt to and respond to sudden changes in threat levels, it is imperative that companies are able to gather information on current and developing issues that could impact safety and security, incidents, and other risks and threats. APAC Assistance offers a holistic, experienced and unique risk management system to assist companies manage their risk profiles in SE Asia, South Asia and the pacific -sub region. “one on one Rehab and human rebuilds for people suffering addictions and or severe mental disorders”
Asset World Corporation 1 Empire Tower, 54th Floor, South Sathorn Rd., Yannawa Sathorn, Bangkok 10120 Tel: +66 02-227-9444
Chamber Representatives Ms. Eriko Yokoyama - Vice President, Sales&Marketing Mr. Nishant Grover - Chief Operating Officer
Background Asset World Corporation is a member of TCC Group, one of Thailand’s prominent conglomerates. Our business is to develop and invest in wide range of real estate projects covering hospitality, retail, commercial, industrial and energy sectors in Thailand and worldwide. Asset World Corporation, owns hotels managed under the brands of The Plaza Athenee, Marriott, Starwood, Hilton, Hyatt, Okura, Melia, Banyan Tree, IHG, The Imperial Hotels and Resorts, and The Wellness Collection.
Bangkok Marriott Hotel The Surawongse 262 Surawong Road, Si Phraya Bangrak, Bangkok 10500 Tel: +66 2 088 5666 Fax: +66 2 088 5777 Email: George.Varughese@marriott.com
Chamber Representatives Mr. George Varughese - General Manager Ms. Porntita Bheungnoi - Director of Sales and Marketing Background Surawong road is one of the main road in Silom area, was built in 1897 (reign of King Rama 5). Since it’s one of the oldest road and this area was formerly served the community of European expatriate, it is still home to many historic buildings and neighbourhoods such as Neilson Hays Library, Grand Post office (Build in 1940) and the Old Custom House. In the past few years, they try to make this area as a “Creative district” area. Creative district is the project that neighbourhoods along the 2 sides of the river co-ordinate to promote the destination
together. The elements we promotes are Art, small local bars & restaurant, history and river. More information as per link below. (Even we are not right on the river, but we are in the area of Charoen Krung side) Products or Services Bangkok Marriott Hotel The Surawongse combines contemporary design with a creative Thai twist. A combination of 303 rooms, suites and extended-stay apartments under one roof, plus innovative dining and leisure facilities including authentic Thai Buffet Restaurant, rooftop restaurant & bar and a spa, ensure that every stay is elevated to new levels of style and service.
the highest quality in modern day management, ensuring positive results and an efficient return on investment. Products or Services - Event Management - Inbound and Outbound Golf Tours - Golf and Lifestyle Card - Distributions and Apparel - Management Services Ellis Patents Ltd. High Street, Rillington, Malton, North Yorkshire YO17 8LA Tel: +44 1944 758395 Email: kbrown@ellispatents.co.uk Chamber Representative Mr. Kelly Brown - Export Sales Executive
Corporate Golf (Thailand) Co., ltd. Head Office 629, Ram Intra Road Taaleng Sub-District, Bangkhen District, Bangkok 10230 Tel: + 66950750368 Email: info@foremanagement.com
Background Ellis is the world leader in the design & manufacture of electrical cable cleats. Cable cleats are used to retain & restrain electrical power cables but most importantly protect cables, equipment & people in the case of a short circuit. All of our products are tested to IEC61914. We supply our products to major project worldwide within the following sectors;
Chamber Representative Mr. Chris Watson - Managing Director Background In a very short period of time FORE Management Group has become one of Asia’s leading Golf and sport management companies. This is largely due to the company’s unique blend of experienced industry executives. Fore brings to bear a management team with experience ranging from international golf course management, to include maintenance and construction, as well as event management at the highest level. Fore has close ties to the equipment and apparel side of the business, and our consulting team also includes a current touring professional. Fore has already been recognized as market leaders in golf events and is pushing new boundaries as it expands into different areas of the industry. FORE offers
- Power (Generation, Tranmission & Distribution) - Oil & Gas - Petrochemical - Rail & Metro - Major commercial buildings (like airports & hospitals) In addition to our standard range of cable cleats, our design capabilities allow us to offer custom made / bespoke solutions for our customers when required. You can download our brochure from https://www.ellispatents.co.uk/wp-content/uploads/2016/09/Ellis-ElectricalBrochure.pdf
Hard Rock Cafe Chiang Mai 115, 115/1-2, Loi Kror Road Chang Khlan, Chiang Mai 50100 Tel: +66 53 2770766 Fax: +66 53 277767 Website: www.hardrock.com/cafes/ chiang-mai/
Chamber Representatives Mr. Matt Carley - General Manager Ms. Saowalak Assawawiriyakit - Sales and Marketing Manager Background Located in the middle of the Chiang Mai Night Bazaar, our Hard Rock cafe is the perfect break from the hustle and bustle of the city. Sit indoors or out and enjoy one of our fresh, handcrafted menu options, including the Legendary® Burger or a frozen Hurricane cocktail served in one of our signature glasses. Hard Rock Cafe Chiang Mai features seating for up to 200 guests on three floors, all of which are decorated with our signature contemporary design, including music memorabilia from top national and local artists, plus some natural wood elements reflecting the culture and heritage of Chiang Mai. After your meal, you can even visit our Rock Shop® to pick up a souvenir of your experience.
Highgrove Consulting (Thailand) Ltd. 15th Floor Sathorn Thani Building 1 North Sathorn Road, Silom, Bangkok 10500 Tel: +66 2 636 8609 Email: info@highgroveconsulting.com Website: www.highgroveconsulting.com
Chamber Representative Mr. Don Smith - Director
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Background Highgrove Consulting Ltd. act as the conduit between Asia based Investors & a specialist team of property professionals in the UK.
If you’d like to discuss your particular marketing or business challenges or simply looking for a sounding board to discuss how Idea Foundry can assist your business, we’d love to visit you and chat.
Our role is to source private equity investors in Asia, who understand the potential of investing in UK brownfield land sites or, sites designated as ‘suitable for development’ by UK local authorities. This significantly reduces any planning risk and leads to healthy capital gains for investors.
Products or Services Idea Foundry provide strategic marketing services for local, regional and Multi national brands across Indochina.
Products or Services Strategic UK land acquisition for planning gain & profit
Idea Foundry Marketing Pte Ltd 531A Upper Cross Street #04-95 Singapore 051531 Tel: +66 91 029 0596 Email: info@ideafoundry.co.za Website: www.ideafoundry.co.za
Chamber Representatives Mr. Jacques Erasmus - Managing Director Ms. Nicola Erasmus - Executive Creative Director Background We think that the world has changed and that the agency model is outdated. Idea Foundry is a nimble and independent marketing consultancy that is run by a small team of highly experienced marketing professionals with vast experience across multiple industries, disciplines and emerging markets. Our senior management team works directly with our clients, meaning you get the right insight, the best service and solutions that exceed your expectations every time. No red tape, cluttered lines of communication or having to fit into a rigid agency structure. We organise our business around what works best for our clients
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John Michael Sofa Collections Co Ltd 61, Moo1. Tabtai, Hua Hin Pratchuapkhirikhan 77110 Email: Jmcoll65@gmail.com Website: www.johnmichaelsofas.com
Chamber Representative Mr. John M Collinson - Director Background John Micahel Sofas offer British designed sofas and Chairs which are manufactured here in Thailand, we sell on the internet and also at our newly appointed showroom at Jatujak Plaza Bangkok. We sell Full Leather Sofas, All Fabric Sofas and a mix between leather and fabric. All our materials are sourced from around the world and then we use the traditional skills of our Thai Craftsmen. We offer a Bespoke service to our customers so if our designs do not fit your requirements we will sit with you and create your own design. All our products are guaranteed against any defect in material or workmanship for up to two years. All our frames are guaranteed for 10yrs. Showroom address in Bangkok is: John Michael Sofas, Room No E07, Soi E, Jatujak Plaza, Kampangphet 2 Road, Bangkok, 10800.
Lufthansa German Airlines 16th Floor, Q House Asoke Building 66 Sukhumvit 21 (Asoke) North Klongtoey, Wattana District Bangkok 10110 Tel: +66 2-056-6868 Fax: +66 2-204-7799 Email: sasitohn.prittipongpat@swiss.com Website: www.lufthansagroup.com Chamber Representatives Mr. Stefan Molnar - General Manager Thailand Mrs. Thitiwan Nualsakul - Account Manager Thailand & The Mekong Region Background Deutsche Lufthansa AG is a globally active aviation group comprising more than 550 subsidiaries and affiliates. The Lufthansa Group is divided into the three strategic areas of Hub Airlines, Point-toPoint Business and Service Companies. The Passenger Airline Group is the largest business segment and forms the nucleus of the aviation group. In their respective segments, the Lufthansa Group airlines are positioned as quality carriers. With 22 gateways in Asia/Pacific, Lufthansa, SWISS, Austrian Airlines, Brussels and Eurowings is the leading European airline group in the region. In Asia-Pacific, Lufthansa Group flies to 22 destinations in 9 countries, offering a total of 261 weekly flights from Asia-Pacific to Europe. Products or Services Lufthansa Group offers numerous award programs specially catered for you, be it as a Corporate or an Individual. You can earn miles whenever you fly with Lufthansa Group or other Star Alliance partners with our Miles and More program. Find out how your company can be rewarded whether you are from a Smalland-Medium Enterprises (SMEs) or MultiNational Corporations (MNCs). For more information, please contact Ms. Thitiwan Nualsakul at thitiwan.nualsakul@dlh.de
Magic Rock Pte Ltd 28 Bukit Pasoh Road Tel: + 66 (0)62594 9028 Email: matt@magicrock.com.sg Website: www.comedyfest.com
MAM Enterprises Ltd BB Building Rm 1712, 21 Asoke Rd. Klongtoey Nua, Wattana Bangkok 10110 Tel: +66 2 260 0422-3 Email: info@moveaheadmedia.com Website: www.moveaheadmedia.co.th Chamber Representative Mr. Antony Bell - Digital Marketing Account Manager
Chamber Representatives Mr. Matt Bennett - Managing Director Mr. Andy Robertson Background Event Organisers and Promoters Magic Rock is a Singapore registered company that promotes and owns a number of events in Asia. Formed in 2008, Magic Rock produced Asia’s premier Beer Festival, Beerfest Asia. It has since worked on the Premier League Darts masters, Oktoberfest Asia, the Singapore Festival of Fun (shortlisted for best leisure event at Singapore Tourism Awards), Craft Festival, Magners International Comedy Festival and Stand Up Asia. In 2018, Magic Rock brought in comedians Bill Bailey (UK) and Doug Stanhope (USA) to Singapore, Bangkok, Phuket, Pattaya, Saigon, Tokyo, Shanghai and Hong Kong. Further comedy greats will be coming through Thailand every month as part of its expansion. Magic Rock is looking to grow with new events and can assist those looking for help with sponsorships and client entertainment. It is also happy to talk to UK companies that may be able to work with the events sector. Over the last 12 months Magic Rock has generated over 100,000 in audience numbers and over $1million in income (4,000 and $100k in Thailand). The company is managed by Matt Bennett (UK) with the creative genius of Aidan Killian (Ire) to help with content and delivery. www.comedyfest.com.sg
Background We at Move Ahead Media, have been in the SEO business for over 10 years, our clients include Yamaha and Novotel Hotels. We have a team comprised of industry experts at your disposal. Working with clients in a wide variety of industries has enabled us to develop unique marketing strategies for each and every one of our clients to achieve their goals effectively and affordably. The technology that drives digital marketing is constantly changing, not only do we ensure staying up-to-date with new tools and methods, but we implement these new processes with what works for you and then make it happen. As your digital marketing partner, we’re much more than just a company you hire. We take the trust received from our clients very seriously, our projects are conducted on the basis of honesty and transparency.
Chamber Representatives Mr. Kelly Cailes - Chief Operating Officer Mr. David Levy - Chairman Background As a BCCT corporate member, My Internship Asia (MIA) has the resources to offer Interns from local and overseas universities to BCCT member companies. All our interns hold an Education Visa which makes the process simple. There is a wide variety of interns in terms of nationality and programs of study to suit your business needs. When Interns become available, MIA will circulate profiles who are available on a first come first serve basis. Take advantage of a new valued service by engaging an Intern at your company. If your company would like to reach out to My Internship Asia, please contact info@myinternshipasia.com or call +66 2 654 1116 and a representative will be available to discuss your company’s requirements.
Digital Marketing is a results business. From our initial site audit & analysis to the implementation of a final marketing strategy. We ensure that every action we take is a positive step
NEOS IT Services Co., Ltd. 89 AIA Capital Center 11th Floor Unit 1105 Ratchadapisek Road Dindaeng Bangkok 10400 Tel: +66 (0) 20170553 Website: www.neosit.com
My Internship Asia (MIA) Unit 2, 16/F, M. Thai Tower, All Seasons Place, 87 Wireless Rd., Lumpini, Pathumwan Bangkok 10330 Tel: +66 2 654 1116 Fax: +66 2 655 8585 Website: www.myinternshipasia.com
Chamber Representatives Mr. Sascha Modersitzki - Country Manager Ms. Nareevisut Temchum - PA & Marketing Specialist
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Background Neos IT Services is founded in Munich, Germany in 2005 and our global operation center is located in Bangkok, Thailand since 2015. Neos has over 120 IT professionals consisting of 19 different nationalities with hand-on experiences in various IT fields working across the globe. Neos integrates and operates high transaction IT platforms for customers such as Amadeus, Lufthansa, Qantas, Finnair and other Star Alliance airlines worldwide. Neos specialises in building customised high transaction platforms across all industries. One of our most important added values is proven security. We comply with the highest security standards, diligently meeting their rigorous requirements. Our greatest strength is our team of experts from 20 countries. They are on the front line, together with our technology partners. We are passionate about experimenting with new technologies. Those that prove successful are then put into practice. This allows us to understand the implications and maximise the benefits of new technologies at an early stage. Neos is ready to help navigate your IT journey to your digital future.
Pandrol (Thailand) Co., Ltd 152 Chartered Square Building 16th Floor, North Sathorn Road Silom, Bangrak, Bangkok 10500 Tel: +66 2 6378127-8 Fax: +66 2 6378129 Email: l.vandamme@pandrolap.com Website: www.thenewpandrol.com
Chamber Representatives Mr. Louis Mariex Vandamme - GM-Sales APAC Mr. Sirawut Tattiyakul - Contract controller
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Background Pandrol is the railway division of the Delachaux group and specializes in rail fasteners, aluminothermic welding, electrification and track equipment. Pandrol has been permanently present in Thailand since 1998. Products or Services PANDROL HAS 4 PRODUCT LINES Fastening systems: We are a global leader in rail fastenings with more than 2 billion products in service in over 100 countries, including landmark projects with both SRT and MRTA. Welding: We are a global leader in aluminothermic welding, used both on SRT and MRTA networks, with more than 100 years of global experience. Electrification: We provide a full range of products for Urban Transportation systems, including aluminium conductor rail, supplied in most of the BTS and MRT lines of Bangkok, and rigid catenaries Equipment and control: We provide a wide range of track machines and track monitoring devices. Pecan Deluxe Candy (Europe) Limited F7 1st Floor Lincoln House, Lincoln Way, Ashbrooke Park, Sherburn In Elmet Leeds LS25 6PJ Chamber Representatives Mr. Graham Kingston - Managing Director The IMC Group Ltd. Pendle House, Jubilee Road, Letchworth Garden City Hertfordshire SG6 1SP Tel: + (0)1462 688070 Email: sales@the-imcgroup.com Website: www.the-imcgroup.com Chamber Representatives Mr. Derek Richardson - International Sales Director
Tuffie Food and Marketing Co., Ltd. Room P01, Level P No.1, Glas Haus Building Soi Sukhumvit 25, Sukhumvit Road North Klongtoey, Wattana Bangkok 10110 Tel: +66 20260165 Website: WWW.TUFFIE.CO
Chamber Representative Ms. Phapatsarin Jira - Partner Background At TUFFIE, our products clarity from organic golden bananas. We are concerned every process from the outset to the final product to guarantee that our consumer will received good product and good health. By our care, all of our product not adding Preservative and Monosodium Glutamate (MSG) which damage our health in the long run.
Waterlogic Trading Ltd. Second Floor, Suite 4 The Avenue Sandyford Dublin 18 Tel: + 353 1 293 1960 Fax: + 353 1 293 1052 Email: exportsales@waterlogic.com Website: www.waterlogic.com Chamber Representative Mr. Nino Pellegrini - Regional Sales Director APAC Background Waterlogic is an innovative designer, manufacturer, distributor and operator of mains attached POU drinking water purification and dispensing systems designed for environments such as: offices, factories, hospitals, hotels, schools, restaurants and other workplaces.
Founded in 1992, Waterlogic was one of the first companies to introduce POU systems to customers, worldwide and has been in the forefront of the POU market, promoting product design and quality, the application of new technologies and world class sales and service. Waterlogic has its own subsidiaries in many markets and an extensive and expanding independent global distribution network in place, reaching over 50 countries around the world.
Resignations and Cancellations 1. Anek & Associates Co., Ltd. 2. Babcock & Wilcox Universal 3. Clifford Chance (Thailand) Limited 4. Dusit Thani Bangkok
Change of Company name 1. Bupa Health Insurance (Thailand) Public Company Limited to Aetna Health Insurance (Thailand) Public Company Limited 2. Destination Resort Co., Ltd. (HOOTERS PATTAYA) change to Destination Eats Co., Ltd. (HOOTERS PATTAYA) 3. Quintiles IMS Incorporated - Thailand Branch change to IQVIA Thailand 4. Recall Enterprises (Thailand) Ltd. change to Iron Mountain (Thailand) Ltd. 5. Risk Protection (Thailand) Ltd. change to Risk Protection Security Solutions Limited 6. UBM BES change to UBM Asia (Thailand) Co Ltd
8. ISS Facility Service Co., Ltd from Mr. Theinsiri Theingviboonwong to Mr. Carsten Hojlund 9. Le MĂŠridien Bangkok from Ms. ChooLeng Goh to Mr. Killian Donoghue 10. Outrigger Asia Limited from Mr. Damian Clowes to Mr. Tony Pedroni 11. Pathumwan Princess Hotel from Mr. Matthieu Reynaud to Mr. Stefan Heintze 12. Rayong Marriott Resort & Spa from Mr. Bruce Dupuis to Ms. Parichart Kotrajarus 13. The Westin Grande Sukhumvit, Bangkok from Mr. Martin Raich to Mr. Peter Lucas 14. SKF (Thailand) Limited from Mr. Pelle Eriksen to Mr. Narong Nimitmongkol
5. EHC Asia Co., Ltd 6. Globespan Media Ltd.
Change of company representative
7. Heritage Estates Co., Ltd.
1. Ascott International Management (Thailand) Ltd. from Mr. Jean Keijdener to Mr. Brian Tan
8. Killyfast Food Solutions Ltd 9. Krung Thep Real Estate Co., Ltd. 10. Mentally Fit 11. MSNA LTD 12. Rapid Language Learning 13. RĂŞves de Rebacca Ltd 14. Roc Oil Malaysia (Holdings) Sdn Bhd 15. Sapio Asia Comapny Limited 16. South East Asia Capital Ltd. 17. Taylors of Harrogate 18. The Hong Kong University of Science and Technology 19. The InfoTech Works Limited 20. Wild Dog Design
2. Baker & McKenzie Ltd. from Mr. Pisut Attakamol to Mr. Waranon Vanichprapa 3. Bangkok Bank Public Company Limited from Khun Wallapa Klinpratoom to Dr. Thanatphong Pratheepthaweephon 4. Bangkok Marriott Hotel Sukhumvit from Mr. Rajat Chatterjee to Mr. Thomas G Christiansen
15. Willis Towers Watson Thailand from Pichpajee Saichuae to Mr. Philippe Robineau
Change of company address 1.
IQVIA Thailand 23rd Floor, Room No. 1-5 Silom Complex Building 191 Silom Road, Silom Bangrak, Bangkok 10500
2.
UBM Asia (Thailand) Co Ltd 428 Ari Hills Building, 18th Floor, Phahonyothin Road, Samsen Nai Phaya Thai, Bangkok 10400
5. Chapman Taylor (Thailand) Co., Ltd. from Mr. Jon Grant to Mr. Oscar Martinez 6. Chateau de Bangkok from Mr. Richard Murphy to Mr. Maximilian Freyaldenhoven 7. InterContinental Pattaya Resort from Mr. Stephane Duchenne to Ms. Jacqui Cuthbertson
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FINAL WORD
Bellows by name By Dale Lawrence
Y
ou have to feel sorry for market trader Wayne Bellows. This fourth generation stall-holder in the pleasant Hampshire town of Lymington has been banned by over-zealous council officials from shouting, in traditional market-style, about the prices of his fruit and veg. Responding to a complaint, Lymington and Pennington Town Council first instructed Mr Bel-
lows to restrict his shouting to afternoons only but later imposed a total ban. It’s the first time in 80 years that a member of the Bellows family has been slapped with a gagging order – banning them from sharing their latest bargain prices on fruit and vegetables with Lymington’s Saturday shoppers. The Saturday market in Lymington dates from medieval times and attracts around 100 stallholders.
Wayne Bellows
Leicester dairy lacks bottle
T
he Lymington ban reminded me of cheerful milkman Kevin Gifford, who liked to liven up his early morning round in Leicester by singing and whistling his favourite tunes. But complaints from a few grumpy residents prompted decisive action from Kevin’s employer. Bosses at the Kirby & West Dairy stated that Kevin was asked to keep down the noise but had failed to heed the warning. He was then dis-
ciplined by the company and told in no uncertain terms to only whistle and sing after 8 o’clock – around the time that Kevin finishes his daily deliveries. Kevin told local reporters that the five complaints came from the ‘posh streets’ on his round - and that four of the households were not even customers of the dairy. “I’m always in a good mood in the morning. We go out in the snow, wind and rain. What’s the point of
Hemmed in
T
he gender-neutral silliness at schools in England is continuing, with boys at Chiltern Edge secondary school in Oxfordshire being told to wear skirts if they find their long trousers too uncomfortable in the summer heat. One parent’s request that his son wear tailored shorts was swiftly rebuffed by head teacher Moira Green. How-
ever a presumably tongue-in-cheek enquiry about boys wearing skirts was given immediate approval. It appears that schools are anxious not to offend pupils that are having some difficulty with gender identification, although this was never an issue during my seven years of penal servitude at boarding school in the Wiltshire countryside.
being miserable? You’ve got to do your job.” When asked for his thoughts about the people that had complained he said, “They should just roll over and go back to sleep. Are they going to complain about the birds singing as well? They make more noise than I do.”
And finally...
S
elf-styled ‘sexuality expert’ Deanne Carson has been telling TV viewers in Australia that parents should seek a child’s permission before changing his or her nappy. This is to establish a ‘culture of consent’. In the absence of a long and meaningful conversation between the mother (sorry – one of the parents) and child, approval should be sought via body language and eye contact. Matron!
The views and opinions expressed on this page by Editor Dale Lawrence are entirely personal and do not reflect official BCCT policy. 64
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Issue 2/2018
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