BCCT The Link magazine - Issue 4 2014 by The British Chamber of Commerce Thailand

Magazine of the British Chamber of Commerce Thailand Issue 4 2014

Thailandâ&#x20AC;&#x2122;s commercial property sector

We “sweat” the fine print . . so you don’t have to

Contents BCCT

Board of Directors 2014 20

Chairman Simon Matthews ManpowerGroup Thailand T: 02 634 7273 matthews@manpower.th.com Vice Chairman & Treasurer John Sim PKF Tax and Consulting Services (Thailand) Ltd. T: 02 679-5100 john.sim@pkfthailand.asia Vice Chairmen Viriya (Boyd) Chongphaisal GlaxoSmithKline T: 02 659 3000 viriya.x.chongphaisal@gsk.com

Simon Landy Colliers International Thailand T: 02 656 7000 simon.landy@colliers.com Chris Thatcher Anglo-Thai Legal Company Ltd. T: 081 803 7377 christhatcher1@gmail.com Directors: Graham Balchin Salamander Energy (E&P) Ltd. T: 02 620 0800 graham.balchin@salamander-energy.com David Cumming Onyx Hospitality Group (Amari Orchid Pattaya) T: 02 255 3767 david.cumming@onyx-hospitality.com Michael Farley Harrow International School Bangkok T: 02 503 7222 m_farley@harrowschool.ac.th Stephen Frost Bangkok International Associates T: 02 231 6201/6455 sfrost@bia.co.th

This Edition

Charly Madan The Royal Bank of Scotland N.V. T: 02 679 5900 charly.madan@rbs.com

Andrew McBean Grant Thornton T: 02 205 8222 andrew.mcbean@th.gt.com

Siew Meng Tan HSBC T: 02 614 4040 siewmengtan@hsbc.com Rituraj Mohan Boots Retail (Thailand) T: 02 694 5900 Ritu.Mohan@bootsri.com Thana Thiramanus Property Care Services (Thailand) T: 02 741-8800 thana@pcs.co.th

Building for the future Real estate market transparency improves across south east Asia

Charities launch new road safety campaign

Customs crackdown at Suvarnabhumi airport

BCCT plays key role in historic business delegation to UK

UK recovery hardly a cause for celebration

The grandfather I never knew New Myanmar Chamber wins ministerial backing The Link

Issue 4/2014

Contents

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 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.

Every Edition

7 Chairmanâ&#x20AC;&#x2122;s Message

9 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

By the Numbers

Executive Directorâ&#x20AC;&#x2122;s Message

Chamber events

British Council: IP law students make UK visit Member News

Comings and Goings Final Word

The Link

Issue 4/2014

Chairman’s Message

e are well into the second half of the year so I thought it would be a good opportunity to give an update on the key areas I mentioned in my first message as Chairman.

Advocacy

Simon Matthews

As I mentioned last time in The Link we had a meeting with General Prayuth, along with six other chambers, and we were working on a white paper detailing members’ concerns and requests for change in terms of doing business in Thailand. This has now been agreed and sent to the NCPO on behalf of the six foreign chambers – BCCT, AMCHAM, AustCham, Thai-Canadian, FrancoThai and South African-Thai. We are now working on following this up.

Sustaining Partners

I also attended a working lunch in July with Sihasak Phuangketkeow, Permanent Secretary for the Ministry of Foreign Affairs, along with other foreign chambers when we again presented our concerns and our desire to work with the ministry. I was pleased with their commitment and we are looking at forming a working committee to move forward on the points raised. I will share regular updates on this matter in the weeks and month ahead. Events Under the chairmanship of Chris Thatcher, the Events Group with Khun Rungjit, our Events Manager, has given us a variety of events in the first six months (51 to be exact) that included not only our regular T3 and Pub Nights but also the Life & Style Garden Party at the British Embassy, the Bangkok Masters football tournament and a range of informative briefings and presentations. We are now working on the Annual Lecture & Dinner with a prominent Thai speaker; our first Western Seaboard event in Hua Hin, and a Halloween Party to scare us all. And, if that is not enough, we will soon be getting ready for the BCCT ‘event of the year’ – our ever-popular Christmas lunch on Friday 12th December at the Amari Watergate hotel. Please remember to check your e-mail and the website events calendar for updates. UK investment I am delighted to inform you that the Overseas Business Network initiative is on track. Greg Watkins and Barry Nicholson returned very recently from two separate successful roadshow programmes. Membership value The BCCT board has been looking at investing back to members any surplus in our accounts. We have not as yet made a decision on this but we will continue to ensure that any investment made by BCCT adds value for our members. Finally, the recent six monthly review with Executive Director Greg Watkins produced some positive news. The Chamber remains in robust health and we are on track to exceed our budget forecasts for 2014. We have welcomed 64 new members to June 2014 and this has given us a small yet important net increase in membership numbers. This is excellent work by the BCCT team in what is still an economically challenging market. As ever I look forward to receiving your feedback and to meeting you at our many and varied BCCT events throughout the remainder of 2014. The Link

Issue 4/2014

The Link

Issue 4/2014

Executive Director’s Message

n my last message I outlined the problems faced by British nationals in Thailand seeking to renew their passports. Since then I have visited the Visa Application Centre (VAC) at the Trendy Building on Sukhumvit 13 where applications are processed. I have also communicated via email and telephone with Her Majesty’s Passport Office (HMPO) in UK. Positive changes are being made to the VAC to reduce the waiting time for appointments to submit applications but there is, at time of writing, a wait of some three weeks. This advisory message is based on a letter from HMPO and it identifies four key areas that may be of help to applicants. Third party application submission and third party passport collection

Greg Watkins

Annual Airline Partners

You, or a nominated third party representative, may attend the VAC to submit an application for a British passport with no formal proof of nomination required. Be aware that if the application is not fully completed with all required documents and colour photocopies the VAC is unable to accept the application. You may also ask a third party to collect your passport and any supporting documents but you must provide the third party with written authorisation. You must: • Provide the third party with a written and signed letter giving approval for that named third party to make the collection • The third party must also provide original photographic means of identification (passport, driving licence or equivalent) to allow the VAC to verify that the person present is your named third party • The VAC will also check that the signature on your approval letter matches the signature on the customer’s new passport In cases of a renewal, extension or change application the third party must also provide the passport that you applied to renew, change or extend for cancellation. This is to avoid fraudulent and other illegal acts.

Supporting Partners

There are a number of common reasons why passport applications are rejected at the VAC, including: • Photographs do not meet the published criteria • Counter signatory does not meet stated requirements • Proof of address provided does not meet stated requirements • Not all relevant sections of the application form completed correctly • Not all relevant supporting documents submitted as stated in the published guidance • Black and white photocopies are provided when colour copies are required • Application is not signed • Stated address is not in Thailand Guidance is available at: https://www.gov.uk/overseas-passports/y. Fast Track applications made from within the UK Whilst in the UK, you can apply for a Fast Track application by contacting the HMPO Advice Line to book an appointment. Fast Track may not be used for an application for a first adult passport. Further details: https://www.gov.uk/get-a-passport-urgently Applying for a second passport HMPO will only issue second passports for extensive business travel or extensive business travel to incompatible countries. Your application must be supported by a letter on your company’s headed paper from a senior manager who employs the customer which details the necessity for a second passport. If you have already been issued with a second passport and wish to renew either the original or second passport you must support the application with a letter from your employer/client detailing the continued necessity for two passports. The application process and information required for a second passport is not different to a standard application with the following exceptions: • The first time a customer applies for a second passport, the application form must be completed as a first adult at Section 1 of the form • Their current passport must be submitted or their birth certificate (full birth certificate if born after 01.01.83) if the current passport is not available • If the current passport is needed for travel whilst applying for a second passport, the customer should enter the current passport number in section 3 of the form and give details in section 8 as to why the passport is not available • Inclusion of a letter from employer/client stating the need for a second passport is needed in all cases

W1.5”

H1.75”

HM Passport Office customer complaints process 100% Yellow

11% Cyan

100% Magenta

65% Black

The full complaints procedure is available on GOV.UK at https://www.gov.uk/government/ organisations/hm-passport-office/about/complaints-procedure The Link

Issue 4/2014

cover story

Building for the future By Dale Lawrence

The Link

Issue 4/2014

cover story

emand for property is regarded as a sound barometer for a nation’s economic climate. In the first of a two-part series we talk to leading commercial property experts within the ranks of the BCCT membership for their views on prospects for this sector in Thailand.

Director for Consulting & Research. She told The Link that demand for commercial property in Thailand will continue to grow with Bangkok being the most sought-after as well as major provincial towns which are gateways to the Indochina regions of Myanmar, Cambodia and Lao PDR.

rise in demand amid the dearth in supply of prime office space. Despite the military coup, net absorption of office space has continued to grow over the last eight quarters as certain business segments continue to relocate and consolidate their operations and in some cases, expand their hubs.

We began by sounding out their views as to whether, in the wake of the military coup on 22 May, demand for commercial property in Bangkok and in regional hubs is likely to grow in line with earlier expectations.

“While the political deadlock has dampened sentiments since October last year the military takeover in May this year, while controversial, has helped shore up business and consumer confidence. With this, we expect demand to recover in H2. In the office sector, we have seen a consistent

“Amid the lack of suitable space, particularly in the CBD areas, leasing activity has largely been dominated by renewals as companies choose not to move until suitable and/or new space comes onboard. Some industries which are directly affected by government policy may continue adopt

Suphin Mechuchep is Managing Director of JLL Thailand. She explained, “Should stability and growth return to the economy as expected, we believe that demand for commercial property will rebound in the second half of 2014. Prior to the coup, most of Bangkok’s commercial property sectors were hit hard by political unrest that escalated in late 2013. In the hotel sector, the average occupancy rate of 75 percent seen at the end of the third quarter of 2013 fell to less than 50 percent. In the retail sector, many operators in high-profile centres that typically attract large numbers of foreign visitors saw foot traffic drop substantially while major discount store operators slowed their expansion plans in response to a decline in retail sales and consumer confidence. The office sector felt the least impact thanks to its strong market fundamental.” Simon Landy, Executive Chairman at Colliers and BCCT vice-chairman, said,” Demand for commercial property in Bangkok is expected to grow at a gradual pace. The military intervention has had limited impact on this dynamic as the bulk of the growth in demand comes from companies already established in the country who are generally not as sensitive to political developments.” At DTZ Debenham Tie Leung (Thailand), Ming Tze Low is Associate

Simon Landy

The Link

Issue 4/2014

cover story

companies are moving partly into the industrial estates such as Amata and Hemaradj on the eastern seaboard.

a more cautious approach until there is a formal constitution and elected government. Notwithstanding, the overall general sentiment has improved positively since the military takeover, and may take a while more to recover fully,” she added.

Simon Landy observed, “It’s true that some new, high-end buildings have seen rents increase rapidly but, generally, office space in Bangkok is still relatively inexpensive when compared to many other regional hubs. Some fringe areas are nevertheless proving popular, particularly Ratchadapisek and to some extent Bangna.

Q. Office space is now proving to be extremely expensive in many parts of Bangkok’s CBD. Is there is a noticeable trend for businesses to seek less expensive accommodation in other parts of the city or indeed in other areas of Thailand? If so, which zones are now trending? James Pitchon, Executive Director at CB Richard Ellis (Thailand), said, “Office space in Bangkok is still one of the cheapest in Asia. We see no evidence of ‘rent refugees’ moving to cheaper locations. All our evidence shows companies moving to buildings in similar locations to their previous premises.”

Suphin Mechuchep

Cees Cuijpers, Managing Partner at Pattaya-based Town & Country Property, said, “Trending zones are to be found on the outskirts of Bangkok such as Bangna. Branching out into other provinces such as Chonburi is also an option and there are examples where

Suphin Mechuchep stressed that Grade A office space in Bangkok is the least expensive in ASEAN with the singular exception of Kuala Lumpur - which is only marginally less expensive. “Grade A office rents are well below the real (inflation-adjusted) peak seen prior to the 1997 Asian financial crisis and are now roughly comparable in real terms to the most recent

The recently-opened Siam@Siam Pattaya hotel

The Link

Issue 4/2014

cover story

peak experienced in 2006. Despite rising rents, the CBD in Bangkok has continued to be the most preferred business location as most of the prime buildings in the area are almost fully occupied and can obtain new tenants quickly once some tenants move out. “Having said that there are more companies looking at alternative locations outside Central Bangkok for two major reasons. With limited space remaining, it is becoming more challenging for some companies that have offices in central Bangkok and want to expand. Other companies that are more cost-conscious are reexamining their need to be located in the prime buildings and now looking at alternative locations outside Central Bangkok where rents can be 3040 percent lower in buildings of the same or similar quality.”

of space solutions and more competitive rentals will likely encourage new set-up and medium-sized firms to the area.” David George is Senior Associate Director for Business Space and Valuation at DTZ and a colleague of Ming Tze Low. He said, “Offices are still relatively cheap in Bangkok compared to other markets in the region. There is a current lack of supply of new office buildings coming onto the market and this is pushing up demand and in turn occupancies and rentals. Ming Tze Low

Q. Open plan offices and hot desking are fashionable options in some business sectors. What are the benefits and are your clients adopting these practices to reduce fixed operating costs?

Suphin Mechuchep continued, “Central North Bangkok is currently the most popular secondary office location as new high-quality space is entering this submarket, particularly near the Rama IX/Ratchadaphisek intersection. The area is conveniently linked to central Bangkok via the MRT and is also supported by abundant amenities including retail centres and hotels.” Cees Cuijpers

DTZ’s Ming Tze Low also notes the increasing popularity of Ratchadapisek and Phaholyothin roads. “We are seeing certain business segments – especially smaller firms – both foreign and domestic seeking space alternatives in the fringe areas where there is still available as well as suitable office space options. Firms that are downsizing may find rentals more competitive in these fringe areas. Ratchadapisek is becoming increasingly popular for companies as the area is well supported by the dark blue mass transit line. Approximately 200,000 square metres of new office space currently under construction in the latter zone, which is expected to complete by 2016. The availability

“We have not seen a trend of companies moving offices to less expensive accommodation rather they have remained in their current location and not moved to more expensive offices. Companies are also either choosing not to expand or even in some cases downsizing.”

At JLL, Suphin Mechuchep said, “Given the rising Grade A office rents in central Bangkok, companies will become increasingly cautious about securing additional space to accommodate business growth. Others may see rising rents as a less significant issue but may still find a challenge in securing additional space within the existing premises, where space let on contiguous floors may not be available. “In both cases, these occupiers will have to look for ways to maximize efficiency of their existing space if relocation is not an option. To achieve the highest efficiency, a good real estate strategy is essential. It starts with a thorough understanding of the firm’s present and future workplace requirements.”

James Pitchon

She continued, ”There are many methods to create a more efficient

The Link

Issue 4/2014

cover story

workspace environment and while most companies with 100 employees typically require 1,400 square metres of office space those that have a good real estate strategy can reduce their space requirements by 20 – 30 percent and still accommodate the same number of staff.” Simon Landy said, “Open plan offices have been popular for many years due to the cost savings that come from more efficient floor layouts and the flexibility of office space use. However, hot desking has proved more challenging to introduce in Thailand as many firms have encountered resistance from staff to the loss of personal space.” James Pitchon said, “Companies are looking far more carefully at workplace strategy. One solution does not fit all companies. Generally, companies would like to get more people into less space thereby saving money but companies also want to provide a productive workspace environment so that they can attract the best staff. This is especially true in Thailand where there is almost no unemployment. “Each company has its own needs and different workplace solutions are needed. The solution depends on how people work, who they work with and when they work. Companies want the best combination of a productive workspace and getting the best value for money.” DTZ’s Ming Tze Low says that a large proportion of most offices are open plan and this is often the best way of utilising the space but also running businesses. “Office developers have seen the increased trend for open plan offices and now modern buildings offer large open plan offices that are column free, creating a more flexible work environment.” Her colleague David George observed that hot desking is ‘a good system to save a little space but it can only be used if it matches with the structure of your business’. 14

The Link

Issue 4/2014

The Park Ventures Ecoplex in central Bangkok is generating high rental returns.

Cees Cuijpers at Town & Country Property in Pattaya is not experiencing any such demand. “My clients are not looking at these options. I see a bigger movement in this direction from start up companies and creative service providers.” Q. Do you expect to see new industrial estates emerge along planned economic corridors? If so, where? Suphin Mechuchep said, “A number of the planned economic corridors are expected to generate demand for logistics real estate. However, largescale industrial estate development is primarily driven by national level

initiatives and plans put forth by the Board of Investment (BOI) and Industrial Estate Authority of Thailand (IEAT) and more broadly by the quality and quantity of supporting logistics infrastructure. While various plans are under discussion at the BOI and IEAT with regard to industrial development in Thailand nothing has been finalised, pending input and direction from the NCPO. Although the NCPO has given the green light to certain planned infrastructure investments, such as the double-tracking of the existing railway network, implementation timelines remain unclear.”

cover story

Simon Landy believes that hotspots for new industrial estates in coming years will be border areas, possibly in cross-national special economic zones, as Thailand develops its hub status in the north ASEAN region.

“A study is underway to propose SEZs in 12 key provinces throughout Thailand. There is much opportunity in towns which are linked to Indochina neighbours such as Myanmar, Cambodia and Lao PDR as well as traditional economic corridors such as to the North in Chiang Rai and the South in Songkhla. Establishing SEZs in key gateway locations will be advantageous for boosting trade.

David George observed that ‘industrial estate occupiers need good transport links to airports, ports and their customers. “Thailand has a well established warehouse and industrial market and there is strong demand from Thai and international companies. I think that the major industrial estate developers understand their customers and will follow their clients’ needs when looking to develop their next estate,” he added. Ming Tze Low said, “It would be no surprise if the private and government-supported estates continue to increase in size to attract the grow-

David George

ing presence of foreign firms seeking to establish or expand their base in Thailand. The military government recently announced plans expand Thailand’s industrial network through the potential establishment of Special Economic Zones (SEZs).

“Thailand has far better infrastructure networks compared to its immediate neighbours. Its relatively well-established and expanding industrial sector has been one of the main draws for foreign direct investments (FDIs) in the country. Thailand has a strong production base, supply chain as well as supporting industries and these factors, supported by a strong infrastructure network, make the country very competitive.”

Central Embassy & Park Hyatt

Street protests in Bangkok and the resultant military coup did not deter Central Group from opening its new Central Embassy complex built on British Embassy land sold by the FCO. Chart Chirathivat – Managing Director for Central Embassy, Central Retail Corporation joined Larry Tchou – Managing Director for Asia Pacific, Hyatt Hotels and Resort to sign a management agreement for the Park Hyatt Bangkok that is located in the complex. They were joined by Busaba Chirathivat, Barom Bhicharnchitr, David Udell and Zulki Othman.

The Link

Issue 4/2014

Real estate market transparency improves across south east Asia T

was covered for the first time in the survey, was among one of world’s least transparent real estate markets, ranking 100th among 102 markets surveyed. Thailand, Philippines and Indonesia continued to be categorised as semi-transparent real estate markets and Vietnam remained in the low transparency category.

he 2014 release of JLL and LaSalle Investment Management’s bi-annual Global Real Estate Transparency Index report showed that South East Asia registered improvement in real estate market transparency across the board compared to the 2012 survey. All countries in emerging south east Asia have seen some advances but less significant than 2012 when the sub-region accounted for three out of the top 10 global improvers. The sub-region continued to display a wide diversity in real estate transparency. Both Singapore and Malaysia were still graded as transparent, with the former remaining one of the world’s most transparent real es-

Singapore boasts a transparent real estate sector.

tate markets, ranking 13th globally. On the other hand, Myanmar, which

“Despite no change in grading, Thailand has seen continued improvement in its real estate market transparency score. The country’s improved score and higher ranking in 2014 is good news,” said Suphin Mechuchep, Managing Director of JLL in Thailand. Thailand’s real estate market transparency score improved to 2.76 in

South East Asia Real Estate Transparency Index South East Asia Real Estate Market

2014

2012

2010

2014 Composite Rank

High

Singapore

1.81

1.85

1.73

Malaysia

2.27

2.32

2.30

Thailand

2.76

2.94

3.02

Philippines

2.84

2.86

3.15

Indonesia

2.85

2.92

3.46

Low

Vietnam

3.59

3.76

4.25

Opaque

Myanmar

4.48

n/a

100

Transparent

Semi

Source: JLL and LaSalle Investment Management 16

Composite Score (1 = Highest, 5 = Lowest)

Transparency Level

The Link

Issue 4/2014

World’s Most Transparent Real Estate Markets in 2014 Composite Score Transparency Level (1 = Highest, 5 = Lowest)

Rank

Real Estate Market

United Kingdom

1.25

United States

1.34

Australia

1.36

New Zealand

1.44

France

1.52

Canada

1.52

Netherlands

1.57

Ireland

1.62

Finland

1.69

Switzerland

1.73

Sweden

1.79

Germany

1.79

Singapore

1.81

Hong Kong

1.87

High

Transparent

Source: JLL and LaSalle Investment Management

2014 from 2.94 and 3.02 in 2012 and 2010, respectively. The country has also improved its global ranking from 39th in 2012 and 2010 to the 36th place in 2014. “Greater availability of market data contributed to improvement in transparency in Thailand’s real estate market,” added Suphin Mechuchep. “This is in contrast with the past when Thailand suffered from a lack of information about real estate transactions in the market. Major sales and leasing transactions in particular were typically kept confidential by relevant parties, be they owners, investors or occupiers. As a result, actual transacted values against which to benchmark were scarce,” she explained. “The growing number of listed real estate developers, investors and property funds counts for a lot in this aspect as they are required by law to be transparent. For example, the number of property funds which trade on the SET grew from 38 in

2012 to 48 at present. These listed vehicles are subject to strict governance and regulation, as well as regular and standardized reporting, thus providing more transparency to Thailand’s real estate market. This trend is being reinforced by the introduction of REITs into Thailand, which will gradually supplant the current property funds. REITs will allow for investment in more asset types, such as hospitals, educational facilities and institutions and golf courses.” Dr. Chua Yang Liang, Head of Research south east Asia at JLL, said “Continuing institutional interest in south east Asia would help to drive rising transparency in the regulatory/legal environment as well as the real estate transaction processes”. He cited recent interest by institutional players such as GIC RE, Goldman Sachs and Ascendas in the Philippines, and on-going institutionalisation of the property market in Thailand as examples. In addition, Dr. Chua also expects a young popu-

lation in south east Asia, with higher education and increasing usage of social media, to push for greater real estate transparency going forward. Key Global Findings in 2014 • JLL’s latest Global Real Estate Transparency Index reveals continued progress in transparency over the past two years. Over 80% of markets have registered an improvement since 2012, although increases in most markets have been ‘slow but steady’ • Out of 102 markets covered by the index, 14 countries saw a significant improvement in their overall score • Sub-Saharan Africa (SSA), which has claimed five of the global top 10 spot for greatest improvements in real estate market transparency: Kenya, Ghana, Nigeria, Zambia and Mauritius. With an influx of corporate occupiers, the region’s top-rising economies are moving to encourage more global real estate interest

Expats face rent increases in Bangkok A

uthorities and commentators have been concerned about oversupply in the Bangkok condominium market. However, CBRE believes that the Central Business District (CBD) condominium market in Bangkok is in a very different situation to the midtown and suburban condominium market. There is limited new supply in the core downtown markets of Sukhumvit, Lumpini, Sathorn, Phayathai and the riverside. There are just over 100,000 completed condominium units in these areas and a further 26,000 units under construction due to be completed over the next three years. The total existing and new supply in core downtown market accounts for less than 20 percent of the total condominium supply in Bangkok. There is very little built but unsold inventory of developers in completed buildings. “For example, several years ago the owner of two towers at Millennium Residence was selling the remaining units at a discounted rate. These have all been sold and now we see more buyers than sellers for units in this project,” said Pornpimol Phuengkhuankhan, Head of Residential Sales Services Ad Hoc of CBRE, Thailand.

(4,800 square metres) site on the corner of Sukhumvit Soi 6 to build a luxury condominium. Rising land prices mean that any new condominium project will be more expensive than the past projects. This will help push up prices in the best completed buildings.

This is typical of the situation in many of the best quality, most sought after condominiums where CBRE sees few units being offered for resale.

Bangkok is a complicated market and prices for existing condominium projects are not just determined by location. Each building has its own individual market dynamics based on age, quality of design, specification, number of units being offered for sale and popularity among tenants, making the building attractive to buy-to-rent investors. The result is that prices for buildings in similar locations can be very different.

Despite the political turmoil in the first half of 2014 there have been record-breaking land transactions in the centre of Bangkok. For instance, it was reported that Q House, a public listed property developer, paid a price of between THB 1.7 – 1.8 million per square wah for a three rai

In some locations, CBRE has seen examples of vendors struggling to sell units in a twenty-year old building at more than THB 50,000 per square metre while owners of units in more recently completed buildings less than 100 metres away are selling at over THB 130,000 per square metre.

The Link

Issue 4/2014

Expatriate rents are also rising for the first time in over twenty years because of rising numbers of foreigners working in Bangkok. Many foreign tenants want to rent two and three-bedroom units and the supply of two and threebedroom apartment (single ownership) and condominium (multi-ownership ) buildings is not growing. Only two percent of the condominiums under construction in the downtown area will be three-bedroom units. As rents increase, sale prices for those condominiums most popular with expatriate tenants will also rise especially in an environment where there are low rates of return on other investments. Few banks are offering interest rates better than two percent per annum on one-year time deposits and property offers a better yield together with the possibility of capital appreciation. “Anyone expecting condominium prices to fall in the downtown area due to the political turmoil is likely to be disappointed and there is more chance of pricing rising rather than falling,” said James Pitchon, Executive Director of CBRE Thailand.

A Centre of Excellence

The same is true of a childâ&#x20AC;&#x2122;s education.

The Link

Issue 4/2014

BCCT plays key role in historic business delegation to UK By Simon Landy

he Thai delegation that visited London in June 2014 was something of an historic occasion. Jointly organised by the Board of Trade of Thailand (BOT), UK Trade and Investment (UKTI) and the BCCT, the timing could not have been more opportune. The mission was primarily aimed at deepening the UK-Thai trade and investment relationship. However, as it was the first organised forum between the two countries in the wake of the coup on 22 May, the visit also

The Link

Issue 4/2014

provided an excellent opportunity for the Thai delegates to brief their UK counterparts on their view of what had transpired in Thailand - and this message was favourably received. Headed by Senior Chairman of the BOT and Thai Chamber of Commerce Khun Phongsak Assakul, and with some 15 business delegates from leading Thai corporations and 10 government delegates from the Board of Investment (BOI), Ministry of Foreign Affairs and Bank of Thailand in tow, the group interfaced with British

businessmen, politicians and government experts in a wide range of forums. For the BOT it marked the first in a new series of overseas business delegations to promote Thailand and develop cross-border relations. For BCCT it marked an important milestone in the shift towards a much more pro-active role in two-way trade and investment activity â&#x20AC;&#x201C; a counterpart to the Overseas Business Network initiative which is devolving market entry responsibilities from UKTI to BCCT.

For all participants, the event was a natural follow on from the successful Thai-UK Trade and Investment Dialogue held in Bangkok in February 2014 but on a much larger scale. Seminar The key event was a two-part seminar on 23 June, hosted by UK Trade and Investment’s ASEAN Business Council. The first session, entitled Investing in the UK, saw a closed door meeting between the delegates and officials from the Thai and British Embassies, UKTI/UKABC and BCCT. The highlight of this first session was an in-depth presentation by Daniel

King, Head of Growth and Emerging Markets at UKTI, on the UK business environment and reasons to invest in the UK. The presentation stressed the geographic and economic strengths of the UK economy, ease of doing business, its skilled workforce, educational strengths and infrastructure, its competitive labour cost and tax regime as well as government support for R&D and the role of UKTI. The second session, Doing Business in Thailand, was exceptionally well attended. Some 93 British business people turned up to listen to the presentations and network with the delegates over the lunch sponsored by the BOI. Presenta-

tions by Ambassador to Thailand Mark Kent and the BOT’s Khun Phongsak stressed that calm had returned to Thailand, while specific opportunities for businesses were highlighted in presentations by Khun Duangjai Asawachintachit, Deputy Secretary General of the BOI, Khun Busaba Chirathivat, SVP of Central Retail Corporation, and in a lively Q&A session with a panel composed of the speakers and several of the delegates including myself. The keynote address by Khun Phongsak explained the background to the political disturbances that have afflicted Thailand since 2006 and stressed that although very few people in Thailand wanted to see military intervention ‘the situation was escalating and there was no solution in sight as neither side of the political divide could offer any realistic and practical compromise or even demonstrate any inclination to yield’, adding that ‘Thailand was in danger of civil war’. Post-coup, Thailand has returned to normalcy and the confidence of the people and business community has been restored. Thais are optimistic that the NCPO will follow its roadmap to re-establishing a functioning democracy. The Q&A session and discussions over lunch demonstrated that the message was well received and interThe Link

Issue 4/2014

est in pursuing business opportunities in Thailand remains high.

sector with presentations from BlackRock, Lloyd’s and The City UK.

Parliamentary briefings

The discussions emanating from these briefings have opened up a number of potential areas where Thai and UK business can work together and BCCT is actively involved in following up some of these leads.

Khun Phongsak delivered the same message the following day to a meeting organised by BCCT with the AllParty Parliamentary Group (APPG) for ASEAN at the Houses of Parliament. Chairman Mike Weatherley MP and several members of APPG ASEAN who attended confirmed their understanding of the reasons for the coup but also stressed the UK government’s desire to see a clear timeframe and roadmap for a return to democratic rule in Thailand. Following the formal meetings in Parliament, APPG ASEAN hosted a cocktail reception for the delegation on the terrace of the House of Commons. Earlier in the same day, the delegation had split into two groups for sector workshops arranged by UKTI. One of these focused upon the food, drinks and bio-fuel sector and was hosted by law firm Trowers & Hamlin with presentations by UKTI F&B specialist Ken Johnston, Aurelie Bovi from the University of York and Biorenewables Development Centre, and representatives from Green Biologics and Johnson Matthey. The other session, hosted by BlackRock, focused upon the financial and professional services 22

The Link

Issue 4/2014

The final meetings, on the morning of 25 June, were held at the Lancaster Gate Hotel and started with a presentation from Dr Harveen Chugh from UKTI’s Sirius Programme. Dr Chugh explained the origins and benefits of an exciting new entrepreneurship incubator scheme aimed at encouraging overseas graduates with bright ideas to set up in the UK. This was followed by an equally inspiring presentation from Chris Southworth of the British Chambers of Commerce who explained how the international programme of BCC was moving into high gear with the onset of the Chambers initiative and other schemes. Both presentations led to lively discussions as the delegation became aware of some of the strong opportunities to deepen the Thai-UK relationship. Successful blueprint It’s fair to say that the mission achieved all its objectives and the

BOT expressed its gratitude to UKTI and BCCT for their strong support and assistance. It is clear that the BOT saw this first mission as a successful blueprint for future international missions. In a follow up meeting the organisations resolved to keep the momentum going by ensuring greater involvement in each other’s activities, arranging further expert visits from the UK, establishing regular links between BOT and BCCT to facilitate British SMEs contacting Thai distributors, suppliers or other potential partners, and considering joint visits on the back of future BOI and BCCT missions to the UK.

Simon Landy is Vice Chairman of BCCT and Executive Chairman of Colliers International Thailand. Tel: +662 656 7000 Mob: +66 81 837 7100 Fax: +662 656 7111 17/F Ploenchit Center, Sukhumvit Road, Klongtoey, Bangkok 10110.

Think global to fulfil UK’s economic potential T

he British Chambers of Commerce has published the results of a major international trade survey that looked at the barriers facing existing and potential UK exporters. Made up of responses from more than 4,700 businesses, the results show that while the majority of firms have ambitions to grow domestically, less than half are looking to expand their business overseas. BCC Director General John Longworth is urging more UK businesses to ‘look beyond our shores’ and he is calling for increased support for both existing and potential exporters so that the United Kingdom may fulfil its true potential as a leading export nation. Key survey findings: • While 90 percent of businesses have ambitions to grow domestically, less than half of firms (43%) have ambitions to grow internationally • More than half of current exporters (55%) said they recorded a positive impact on their bottom line within just 12 months of expanding into new markets abroad • 75 percent of exporters have traded internationally for more than five years, while new exporters (0-2 years) only account for 11 percent of current exporters • Europe and Asia remain the most popular export regions for UK businesses • Of the additional 21 ‘high-growth markets’ identified by UK Trade and Investment (41 in total) Japan, Kuwait, Kazakhstan and Hungary are perceived as providing the greatest opportunities for growth in the next five years • 52 percent of current exporters are currently exporting to one of these ‘high-growth markets • Majority of firms (79%) say the most influential factor when considering exporting is the ease of finding customers, agents and distributors

John Longworth

• 68 percent non-exporters state that they do not have the right product or service for export • Increased funding (25%) and access to overseas agents and distributors (24%) are identified as key factors that would encourage non-exporting businesses to export for the first time • Nearly half (48%) of businesses are ‘reactive’ exporters – only supplying overseas customers when they receive unsolicited orders • There are more than twice as many reactive exporters as there are proactive exporters (22%) – businesses that adapt their product or service to specifically target overseas markets John Longworth said, “It’s understandable that less than half of the businesses we surveyed have ambitions to grow internationally, but it proves that we need to do more as a nation to take the fear out of exporting. I speak to businesses that have full order books here in the UK and don’t see why they would need to take their goods and services overseas. To transform businesses’ domestic mindset, we need to create an environment that makes it worthwhile for them to export. “If we in Britain are serious about rebalancing our economy, we must

invest even more in supporting and promoting international trade. The UK should be matching the level of resourcing dedicated to export support provided by our major international competitors. And government intervention must be more focused in areas that can really make a difference, such as providing greater access to finance to growing firms – particularly when a quarter of non-exporters say that increased funding would encourage them to export. “We at the BCC are proud to be doing our bit, by working in partnership with UK Trade and Investment and the Foreign and Commonwealth Office to develop and accredit British Chambers and business groups in 41 high-growth countries worldwide. This partnership is providing British companies entering new markets with practical advice, support and new business connections each and every day. We are also working with UK Export Finance to link more SMEs to their growing export finance offer. “But we need to be even more radical. Only a concerted national campaign and sustained investment will get more UK firms to look beyond our shores for growth opportunities. Otherwise, our ability to rebalance the economy will be limited.” The Link

Issue 4/2014

BRITISH COUNCIL

IP law students make UK visit B

ritish Council Thailand, together with the Central Intellectual Property and International Trade Court has supported the only English moot court competition in Thailand for the last eight years. This year we decided to increase the impact by inviting a Thai TV Channel crew to join the Young Thai IP Law winners on their trip, visiting important government and academic entities whose work is related to intellectual property protection and promotion in the United Kingdom. After arriving safely in London, the two winners from Faculty of Law, Chulalongkorn University, Napasa Cheydej and Paramee Kerativitayanan were excited to give a short interview to the TV programme and to participate in a photo shoot with London landmarks as the backgrounds. Despite the unfavourable weather conditions, the winners still looked energetic and were ready for the packed two week schedule. On the first two days of the trip the crew visited three universities which had sponsored the competition; the University of East Anglia in Norwich, Nottingham Trent University and the University of Nottingham. The winners were welcomed by the university staff and introduced to the law programmes. They had a chance to discuss and share some ideas with the law professors about intellectual property protection and the current situation in this field of law both in the UK and Thailand.

The Link

Issue 4/2014

After visiting the three universities Paramee told us, â&#x20AC;&#x153;I found IP associated with everything in our daily life. For instance, mobile phones, smartphones and internet devices contain various kinds of intellectual

property rights (IPRs). Especially on the internet, only a few people recognise that when they use the internet, surf some websites or use social networks, they are dealing with many IPRs.â&#x20AC;?

work on various legal projects that required them to research and prepare comments on the Consumer Rights Bill draft, Custom Monitoring in Asian countries and Patent Law.

Napasa added, “We realised the importance of having practical experience instead of studying mainly theories by seeing many moot court rooms on the campus tours.” “British Council’s Young IP Law award programme has done a great job filling this gap and providing this amazing opportunity for law students to actually practise what we have learned theoretically from classes. Winning this award has completely changed our ways of seeing IP rights and broadened our horizons.” Apart from the academic institutions the winners also learned about IP in practice with the Intellectual Prop-

erty Office, the Copyright Licensing Agency, GlaxoSmithKline (GSK) and the highlight of the trip, a meeting with Mike Weatherley MP, IP adviser to Prime Minister David Cameron, at the Houses of Parliament. Mr Weatherly said, “IP law is challenging, dynamic, and important to the economy and society. Without any protection or reward for an IP owner, only a few people will create new work due to the lack of encouragement and benefits.” The second week for the two ambassadors focused on their work attachment with Rouse and Co, a law firm in London. They were assigned to

Intellectual Property protection has become a legal area that is highly dynamic considering the fast pace of digital inventions. People need to become more aware of IP issues and how important IP rights are in order to lessen the degree of IP rights violation. That’s the reason why Thailand will need more legal human resources to help raise awareness and push forward the development of IP protection. Some may wonder how long it will take Thailand to be more IP effective or whether this IP Law project will really trigger any change. The only thing that we can confirm is that we have definitely created two quality lawyers, one of whom has just decided to pursue a Master’s degree in Intellectual Property Law as a result of this trip.

The Link

Issue 4/2014

UK recovery hardly a cause for celebration By Paul Gambles

n the heady days of the 1980’s it used to be said that it was possible to tell how well stock prices were performing by the number of bottles of champagne sold in City restaurants. If that still holds true the Square Mile would have been filled with the sounds of corks popping when the Office of National Statistics (ONS) announced that, following a second successive quarter of 0.8 percent growth, the country’s GDP now exceeded the previous peak reached immediately before the Global Financial Crisis (GFC) of 2008. The annual growth rate of 3.1 percent was also the highest recorded since 2007.1 So that’s it. According to one national newspaper, the UK’s recession is officially over.2 The UK government, as would any, gave itself a huge slap on the back. Prime Minister David Cameron said the results showed that sticking to a long-term plan, taking difficult decisions to get the country ‘back on the right path’ had worked.3 Meanwhile, Chancellor of the Exchequer George Osborne humbly put the results down to the ‘hard work of the British people’ adding that ‘today we reach a major milestone in our long-term economic plan’.4 There are, however, three important questions which the governmental spin machine failed to address, namely are the data accurate, is this recovery real and can it last? Are the measurements accurate? Notwithstanding the general principle that there are lies, damn lies 26

The Link

Issue 4/2014

PM David Cameron makes a point at the Commons despatch box as Chancellor George Osborne looks on.

and statistics, the way economic performance is currently measured has been largely discredited by a study conducted by no less than the ONS itself. This body announced in April that, from autumn this year, it will finally adopt global accounting standards in measuring key economic indicators such as GDP, savings-toincome ratio and public debt.5 It will be interesting to observe the newly measured figures when they are released a month or so before the next general election. In some ways they may paint Mr Osborne’s efforts in an even more positive light than the latest release, but they will also show a much larger public debt than currently calculated. That’s because Network Rail’s debts will be counted and the treasury’s stake in RBS and Lloyds Bank will no longer be counted as liquid assets: this is estimated to increase the actual quantum of UK public debt by over £100 bn. The UK’s debt-to-

GDP ratio doesn’t make great reading either: it’s in a slightly better state than that of France but way worse than Germany’s. So while a flawed accounting methodology means that we won’t ever know at what undefined recent point UK GDP returned to pre-GFC levels, we do know that to do so has seen government debt spiral wildly. In spite of government cut backs, tax rate hikes and other attempts to raise funds, public debt has been around 90 percent of GDP since 2012 – more than double pre-GFC levels. The UK’s population is now three million larger than seven years ago so even a miscounted, debt fuelled return to parity is a reduction in GDP per capita of 5.14 percent. While we’re looking at the data it might seem churlish to point out that Germany’s GDP had already gone higher than its pre-GFC level in 2010 and that France achieved the same

in 2011 (even without the short term impetuses of Olympic or even Commonwealth Games whose long term costs will have to be borne for many years). That this milestone is of itself a relatively meaningless peak in the ups and downs of longer term economic performance is further evidenced by Iceland being within sniffing distance (a mere 0.3%) of its 2007 levels while Spain’s basket case economy is only five percent below its 2007 mark.6 But what does all that say about how real the recovery is? Even without the extra billions to be added next year, the earlier chart showed that UK public debt levels are already worryingly high but another problem for the UK economy is private debt. Household debt is a particular issue - so much so that Bank of England Deputy Governor Sir Jon Cunliffe raised concerns at the end of June7 that household debt could be set to rise again as house prices surge. Sir Jon expressed his worry that there was a British tendency to buy houses as soon as people felt their income was increasing, or indeed feel there is a chance it will increase. Supply, therefore, cannot keep up with demand. The last thing that the economy needs is another spike in household debt. As the chart below shows, the UK consumer has nowhere near completed the process of reducing debt to a reasonable level after the last bonanza which was a major factor in the UK’s starring role as one of the chief perpetrators of the global financial crisis. Employment is another concern. The housing boom is also apparent in employment statistics. There has been a huge increase in the number of people working in the sector since December 2012. However, overall 1 2 3 4 5 6 7 8 9

employment – another important economic indicator – shows only small signs of improvement. This all tends to bring to mind the 1920s and 1930s when many of the drivers of the peaks and troughs in GDP’s predecessor, GNP, had a limited relationship with either immediate policy consequences or ‘real’ economic conditions in the fabled high street. While employment today in the policy-sensitive housing sector may be booming, other sectors haven’t recovered at all. In the same ONS announcement that heralded the ‘economic recovery’, there was the less publicised statistic that manufacturing figures increased by just 0.2 percent in 2014 Q2 – its weakest growth rate in over a year. But surely we’re not back in the austere 1930s when Champagne was a rare luxury, are we? Actually, even apart from populist right-wing extremists pushing British isolationism at a time when European geo-political risk is strongly rising, there are other important parallels between that decade and present day. Peaks and troughs happened throughout the 1930s and successful recovery was toasted more than once even though the Great Depression was only properly halted by the conclusion of the Second World War. So the recovery itself is every bit as flawed as the data but won’t there be any reasons to celebrate? Putting all the indicators together, UK economic results don’t justify filling the champagne flutes despite all the positive ‘guidance’ from Bank of England Governor Mark Carney. He was accused by Treasury Select Committee member John Mann as presenting statistics in a rosier picture than the reality and being too close to Chancellor of the Exchequer

George Osborne.8 This is a topic that Steve Sedgwick and I discussed with Robin Walker, MP for Worcester and BIS committee member, on CNBC’s Squawk Box on 4 July.9 Mr Walker came over as a thoroughly decent young man (regrettably not the case with most politicians) but sadly he did little to allay my fears that if Napoleon were around today he’d have considerable justification for referring to the UK dismissively as a ‘nation of estate agents’ – and heavily indebted ones at that. Growth in GDP reflects an increase in private incomes plus increase in debt. If productive employment remains challenging at a time when debt is already too high, the expectations should be for either sustained and very deep recession or extremely protracted periods of very, very low growth. No matter what politicians may say, companies and individuals are unlikely to spend freely if they are already paying off large amounts of debt - particularly if they got burnt in the GFC. Thus, rather than splashing out on a case of Dom Pérignon 1921, maybe the British public should be looking more at a half bottle of 2013 Asti Spumante right now.

Paul Gambles is co-founder of MBMG Group. For more information: Tel: +66 2665 2536 e-mail: info@mbmg-group.com Linkedin: MBMG Group Twitter: @MBMGIntl Facebook: /MBMGGroup

http://uk.reuters.com/article/2014/07/25/uk-britain-economy-growth-idUKKBN0FU0R120140725 http://www.express.co.uk/news/politics/491884/Recession-is-over-for-Britain http://uk.reuters.com/article/2014/07/25/uk-britain-economy-growth-idUKKBN0FU0R120140725 http://www.theguardian.com/business/2014/jul/25/gdp-recession-high-economy-growth-osborne http://www.theguardian.com/commentisfree/2014/apr/08/uk-economy-faith-future-ons IMF World Economic Outlook April 2014 http://www.telegraph.co.uk/finance/bank-of-england/10931956/Jon-Cunliffe-UK-property-obsession-threatens-to-push-up-household-debt-pile.html http://www.huffingtonpost.co.uk/2013/11/26/mark-carney-george-osborne_n_4342848.html http://video.cnbc.com/gallery/?video=3000289866

The Link

Issue 4/2014

Thailand’s IP challenges The ASEAN IPR SME Helpdesk considers patents in Thailand and the key issues European companies need to be aware of.

hailand has been moving swiftly up the trade-production network in the last two decades, and is now positioned as a key supplier of many intermediate and finished goods to the global market. This is not least the case in the electronics and automotive industries, which have seen robust growth driven not only by outside demand, but from within the country as well. On current growth trends they are likely to become the principal drivers of industry in Thailand. Thus the opportunities for foreign direct investment and associated technology transfers are considerable. However, the value of the imported expertise and technology means that there are risks to foreign businesses in the form intellectual property (IP) theft. Intellectual property rights (IPR) are still evolving in Thailand and in practice not all types of IP are granted the protection and provisions for enforcement that would be expected in Europe. Of particular relevance to the electronics and automotive industries for foreign investors are invention patents and petty patents (otherwise known as utility models) which are commonly associated with manufacturing technology improvements, though other IP types, such as trade marks and copyright can be also very important, especially because there is often overlap in the protection granted to a specific innovation, for instance a company’s production technology can be protected as a design by both a copyright and patent, and in application may even make use of information that is considered a trade secret. Patents in Thailand Thailand is a member of the Paris convention and the Patent Coopera-

The Link

Issue 4/2014

tion Treaty (PCT), which means that applicants for invention patents, petty patents and design patents are entitled to a ‘right of priority’: an applicant can use the same filing date as the original home country application, if the original filing has been made within 12 months (six months for design patents) in any other country belonging to the Convention. While applications for Design Patents and Petty Patents are still largely dominated by domestic applicants, applications for Invention Patents are mostly filed by foreign applicants. Since 2011 the trend amongst foreign applicants has been to file fewer direct national applications, and instead there has been a sharp increase of applications through the PCT route. Consequently, the backlog of patent applications has grown to a level of some concern for applicants - among the 23,000 pending applications made in 2012, less than a quarter were granted. Therefore it is recommended that European businesses apply via the direct national application system rather than the PCT route where possible, as the application waiting time may be reduced.

However, while in most cases it is better to make a direct national filing to gain a quicker result, in Thailand the examination of foreign patent applications depends on the outcome of any patent application already filed abroad at other Patent Offices. So as an alternative, filing an application for a Petty Patent in place of an invention patent could be considered, if the invention is eligible, and if 10year protection is sufficient. Another final, yet crucial point to remember is that Thailand operates under a ‘first-to-file’ system, meaning that the first person to file an application for any IP type will own that right once the application is granted, subject to the provisions of the Paris Convention, despite the fact someone else may have created and used the innovation first. Whatever the efforts of the authorities to improve the implementation and enforcement of IPR in Thailand, timely application by European businesses for grant and registration of their IP rights before the Thai Department of Intellectual Property (DIP) is still crucial in order for companies to have a chance of defending and enforcing them. Thus the key to a successful IP strategy is to be proactive in protection and have all necessary provisions in place before starting new operations in Thailand.

The ASEAN IPR SME Helpdesk is a European Union co-funded project that provides free, practical, business advice relating to ASEAN IPR to European SMEs. To learn about any aspect of intellectual property rights in South-EastAsia, visit our online portal at www.asean-iprhelpdesk.eu. For free expert advice on ASEAN IPR for your business, e-mail your questions to: question@aseasniprhelpdesk.eu. You will receive a reply from one of the Helpdesk experts within five working days. The ASEAN IPR SME Helpdesk is jointly implemented by DEVELOPMENT Solutions, the European Business Chamber of Commerce Indonesia and the European Business Organisations Worldwide Network.

The “Happy Community with Salamander” Project has received a very warm welcome from our local stakeholders in Chumphon Province. The Project has been created and contributes to the target groups under three main objectives: 1. To reinforce Salamander’s long-term corporate social responsibility in Chumphon in a sustainable and practical way; 2. To contribute and support the local community in accordance with our CSR policy in three focus areas, namely; education, environmental conservation and the community well-being; 3. To create an awareness and understanding for the target groups in utilizing their local natural resources in a sustainable way through innovative educational learning activities. In 2013, the “Happy Community with Salamander” project engaged around 5,000 community members. The key stakeholders were the teachers, students and their family members from a total of 5 schools, including Bann Had Paradornphap School, Bann Hauthanon School, Bann Pak Nam Chumphon School, Bann Hua Krood School and Wat Sawangmanus Lungsuan School. Thank you for a very warm welcome and outstanding participation from Chumphon Province. The “Happy community with Salamander” project will continue as our CSR flagship theme in Chumphon and will be extending to other nearby provinces and communities.

Energy to meet growing demand T

hailand is giving a major boost to exploring and developing renewable and alternative energy sources, with greater emphasis on the development of domestic sources to reinforce energy security, according to the Board Of Investment. The latest BOI newsletter states that Head of the National Council for Peace and Order General Prayuth Chan O-Cha has said that as Thailand cannot not rely solely upon gas and oil for fuel sources, the use of renewable energy must be promoted and domestic production must be encouraged. The objectives are to reduce the burden from imports and conserve limited petroleum and gas resources. General Prayuth further stated that Thailand also needs to address the issue of energy security. Thailand depends heavily upon fuel imports from neighbouring countries. It

of renewable energy sources, such as ethanol, biodiesel, biogas, biomass, and solar and wind energy. Statistics compiled by the Ministry of Energy in 2012 show that 67.6 percent of fuel used for electricity generation in Thailand came from natural gas, 18.8 percent from coal, 4.9 percent from hydropower, 1.2 percent from biomass, 1.1 percent from bunker oil, 0.2 percent from diesel, and 6.1 percent from imports.

General Prayuth Chan O-Cha

needs to assess the situation and prepare for any problems that may occur. Concerning investment policy, priority will be given to energy-saving technologies and the promotion

According to Thailand’s 10-year Alternative Energy Development Plan until 2021, for sustainable economic development to be accomplished building energy security in parallel is mandatory. Given this scenario, renewable energy development is one of the most important strategies. Among the alternatives are solar power, wind turbine farms, small hydro plants, biomass, biogas, and waste.

Thailand’s corporate governance leads the way C ompanies in Thailand continue to lead the way among ASEAN countries for corporate governance, according to the Thai Institute of Directors.

For the 2013/2014 period, Thai companies led their peers with an average score of 75.39 points (up from 67.66). Malaysia scored 71.69 points and Singapore scored 71.68 points. The ranking is based on a survey of 529 companies listed in ASEAN countries with the six stock markets 30

The Link

Issue 4/2014

covered in the survey being Thailand, Malaysia, Singapore, Vietnam, Philippines and Indonesia.

Four Thai companies were among the top 10 in the region. Companies from Thailand were ranked high for shareholder rights and equitable treatment of shareholders, scoring 8.62 out of 10 and 14.24 out of 15 respectively. Thai companies were ranked third in stakeholder’s roles, transparency and board of directors’ responsibilities.

IOD Chairman Krirk-Krai Jirapaet

Charities launch new road safety campaign By Lynn Spreadbury

to customise their helmets and express their individuality

ave you ever seen a child on a motorcycle riding the streets of Bangkok without a helmet? Have you ever seen a child in a motorcycle crash that wasn’t wearing a helmet? What’s your reaction? Anger? Frustration? Indifference? Acceptance?

All of these components will be supported by a new cross-cutting ‘behaviour influence’ methodology to ensure our messages, strategies and interventions lead to actual, positive behaviour change. Our goal is to have every child wear a helmet on every trip, every day.

Each day a majority of Thailand’s 18 million children travel as passengers on motorcycles, but only seven percent wear helmets – even though it’s the law. This lack of protection, combined with Thailand’s high accident rate, leaves so many boys and girls at risk of life-threatening injuries and death. Heartbreaking isn’t it? But it doesn’t have to be this way.

Save the Children invites members of BCCT to get involved. We’ve all seen helmetless children whizzing by, dodging traffic and taking on unnecessary risks. Now we are looking for corporate partners and individual volunteers who are similarly passionate about this issue. Together, we have the ability to change behaviour and protect children from harm. Wearing helmets saves lives. Your involvement will help save lives.

According to the World Health Organization, Thailand has the second deadliest roads in the world. Traffic collisions kill seven children every day - that’s over 2,600 kids per year. Another 200 children are injured or disabled every day - 72,680 annually. Think of it this way: Thai children are twice as likely to die in road crashes than children in most other countries in the world. To combat this Save the Children in Thailand, together with partner Asia Injury Prevention Foundation, is launching a 3.5 year nationwide campaign in November - with events in Bangkok - to decrease motorcycle death and injury amongst Thai children by increasing helmet use. The project features an integrated approach involving media, school programming, social enterprise, government agencies and corporate partners along with grass-roots community efforts. We know that wearing a good quality motorcycle helmet can reduce the risk of death by 40 percent and se-

vere head injuries by 70 percent. So how can we get more boys and girls to wear them?

Save the Children believes that every child has the right to fulfill their potential. The charity provides children in need with a healthy start, opportunities to learn and protection from harm. Save the Children works in 120 countries and has been improving the lives of children and families in Thailand since 1984.

We are focusing upon: • Enforcement – ensuring helmet use through school, peer, and police pressure • Education – teaching proper use and benefits to students and parents • Media – nationwide messaging, events, advocacy and social enterprise • Innovation – designing helmets that youth want to wear, and providing opportunities for children

For more information contact: Lynn Spreadbury: lynn. spreadbury@savethechildren.org http://thailand. savethechildren.net/ and https://www.facebook.com/ SaveTheChildrenProgrammein Thailand The Link

Issue 4/2014

Customs crackdown at Suvarnabhumi airport T

he 10,000 baht duty-free limit on new personal items purchased overseas by incoming air passengers is now being strictly policed, according to Thailand’s Customs Department. Incoming air passengers are being warned about the THB 10,000 duty free limit on newly-erected posters at Bangkok’s Suvarnabhumi airport. The Suvarnabhumi Airport Passenger Control Customs Bureau will calculate the value of all personal items – souvenirs, gifts or brand name goods – purchased overseas. If the combined value of those products exceeds THB 10,000, then passengers and airline crew will be required to pay import duty. Signs announcing enforcement of the limit are now visible at the airport. The signs state that personal goods include new clothes, shoes, socks and bags in non-commercial form.

If goods being brought into Thailand exceed the limit they must be declared to customs officials and the duty paid before baggage is subjected

to an X-ray inspection. Undeclared items will be seized and the owners may have to pay up to four times of the value plus duty. The department said food, food supplements and cosmetic will not get the duty waiver. Travellers are limited to 200 duty free cigarettes and one litre of duty free liquor or wine. Gifts prepared to give to other people, donated items, collectable items, second-hand goods, empty watch and brand name bag boxes are not considered as personal items. Individuals bringing in these products have to inform customs officials before the baggage X-ray. Somchai Asawadtriratanakul, the Bureau’s chief of investigation and suppression division, told media that this is merely a stricter enforcement of existing customs regulations.

The Link

Issue 4/2014

Ebola outbreak could threaten air travel T

he boss of IATA has warned that the Ebola outbreak in Africa could dent demand for air travel in the region. IATA CEO Tony Tyler said that ‘travellers should be reassured that airlines are coordinating closely with the World Health Organization (WHO) and the International Civil Aviation Organization (ICAO)’. Speaking in early August he added, “WHO currently advises that the risk to travellers is low and is not recommending travel restrictions or border closings. If, however, a passenger feels unwell it is always advised that they seek the advice of a doctor before travelling. “The aviation community has worked with WHO and ICAO in several challenging public health situations during recent years. As a result, guidance and procedures have been developed to keep travel safe. These include procedures for front line staff to detect those potentially infected and handle them appropriately. IATA continues to work with WHO and ICAO to ensure that airlines are well-prepared to deal with the situation however it unfolds,” said Tyler. IATA has announced global passenger traffic results for June showing a modest deceleration in demand growth compared to the prior month. Total revenue passenger kilometres (RPKs) rose 4.7 percent year-ago period, which was below the 6.2 percent year-on-year increase recorded in May 2014. June capacity (available seat kilometres or ASKs) increased by five percent, causing load factor to slip 0.2 percentage points to 81.5 percent.

IATA CEO Tony Tyler

“June traffic growth is encouraging, even though it is a slight weakening on May’s performance. Earlier signs of a softening in demand are dissipating. While that’s good news there are many risks in the political and economic environment that need careful monitoring,” said Tony Tyler. June international passenger demand rose 5.5 percent compared to the same month last year with airlines in all regions except Africa recording growth and the strongest gains among Middle East carriers. Capacity climbed 5.7 percent and load factor dipped 0.2 percentage points to 81.4 percent.

• European carriers saw demand increase 5.6% in June versus June 2013. This is consistent with steady and continued economic recovery for the region. Capacity rose 5.3% and load factor climbed 0.3 percentage points to 83.8% • Asia-Pacific carriers’ traffic rose 4.9% compared to the year-ago period but capacity rose 6.7% and load factor slipped 1.3 percentage points to 77.9%. The outlook for this region looks broadly positive, with measures of manufacturing activity and export orders pointing to better performance of China

The Link

Issue 4/2014

UN raises concerns on regional growth A

sia-Pacific developing economies are experiencing yet another year of subdued growth, according to the United Nations. The UN is calling for quick action on the removal of domestic structural constraints and the unlocking of fiscal space to help stimulate growth and support social development. Structural constraints, such as infrastructure and development deficits along with external challenges, are keeping the region from realising its economic potential, according to the Economic and Social Survey of Asia and the Pacific 2014, the annual flagship publication of the United Nations Economic and Social Commission for Asia and the Pacific (ESCAP). Developing countries in the region are forecast to grow at an average of 5.8 percent in 2014, up from 5.6 percent last year. This marks the third successive year of growth below six percent. By comparison, growth averaged 9.5 percent in the pre-crisis years of 2005-2007 and over seven percent in 2010 and 2011. “The constrained domestic growth prospects of the region have underlined the importance of productive countercyclical public spending to support inclusive growth and sustainable development,” said UN Under-Secretary-General and ESCAP Executive Secretary Dr Shamshad Akhtar. Growth in south and south west is forecast at 4.7 percent in 2014 from 3.9 percent last year. South east Asia’s economy is set to grow slower at 4.6 percent from 4.9 percent last year. Dr Akhtar emphasised that developing economies in Asia and the Pacific

The Link

Issue 4/2014

UN Under-Secretary-General and ESCAP Executive Secretary Dr Shamshad Akhtar

are experiencing subdued growth for different reasons including economic rebalancing and sustainability considerations in China, monetary tightening to fight capital flight and inflation in India and Indonesia, and the impact of geopolitical instability on the Russian Federation. Inflation in developing Asia Pacific countries as a whole is projected at 4.8 percent in 2014 against five percent last year but will be a concern for some large developing economies

including Bangladesh, India, Indonesia, Kazakhstan and Pakistan. Launching ‘Survey 2014’ in Bangkok Dr Akhtar stressed the urgency for bridging gaps in infrastructure and development in the region and addressing environmental degradation in order to promote higher, well-balanced and sustainable growth. Full report at: http://www.unescap. org/publications/economic-and-social-survey-asia-pacific

EABC stresses support for Thai-EU FTA T

he Bangkok-based European ASEAN Business Centre is backing the Thai-EU Free Trade Agreement negotiations. An update issued by EABC states that ‘regardless of the political situation the European business community has always called for improvement against corruption, transparency in public procurement, stronger enforcement of the law for violators, and equal treatment of foreign businesses through liberalisation of the service sector.

questionnaires and joint meetings with the EU Delegation and several Thai authorities. We had the opinion that the Thai government is very much interested to pass the FTA quickly and seem very cooperative during the last four negotiation rounds. EABC strongly recommends preserving the impetus and not suspending the negotiation process due the current events. Suspension could jeopardise a golden opportunity to achieve a landmark deal between the two economic areas.

These issues are an essential part of the Thai EU FTA negotiations. EABC was instrumental in the reviving of the negotiation process and supported the EU positions with two business position papers,

A continuation and hopefully quick conclusion of the negotiations will greatly benefit European businesses in Thailand. At the same time we expect that this will lead to more transparency, less corruption and a speed-

ier return to an approval process with more checks and balances. The EABC and the European business community stand ready to cooperate with the EU negotiating team, Thailand and its business community to bring to a successful conclusion these FTA negotiations’. The European ASEAN Business Centre (EABC) is a European Trade Organisation situated in Bangkok Thailand with an objective to contribute to the improvement of trade and investment for European companies in Thailand and to increase European Trade and Investment in Thailand. More details at: http://www.eabcthailand.eu/

EABC President Rolf-Dieter Daniel joined a working lunch hosted by Khun Sihasak Phuangketkeow, Permanent Secretary of Foreign Affairs, where representatives from the foreign chambers of commerce in Thailand – including BCCT Chairman Simon Matthews – were reassured that the NCPO remained committed to the promotion of international trade and investment and are determined to bring about various reforms to improve transparency and facilitate business activities in Thailand.

The Link

Issue 4/2014

The grandfather I never knew By Stephen Frost

any BCCT members will have had grandparents or great-grandparents who served in the armed forces during World War 1. Here is the story of my grandfather Leonard Frost. The information used in this article was extracted from his Army Record which I obtained from the National Archives at Kew. I also read the official history of the Loyal North Lancashire Regiment, later the Loyal Regiment, in which he served. Leonard Frost was born in Nottingham in 1897. Sometime after this, his parents Harry and Harriett Frost moved to Rochdale in Lancashire with their children and settled there. He volunteered for army service on November 1914, joining the King’s Royal Rifle Corps as a private. His occupation is recorded as ‘clerk’” His father Harry Frost had already passed away, and his mother is recorded as his next of kin. He was aged only 17 at the time, but on his application form, this has been written over with the number “19.” We know that many young men lied about their age in order to enlist, and here is clear proof of it. His height is recorded as 5 feet 6½ inches with a weight of 125 pounds and a chest measurement of 34 inches. Again, clear proof that men and women born in the late nineteenth/ early twentieth century tended to be shorter and lighter in build than those born today. His army file records promotions to lance corporal, corporal, then lance

The Link

Issue 4/2014

sergeant and acting sergeant. In November 1916, he was transferred to an officer cadet battalion in Bristol. It may be relevant to note here that the Battle of the Somme had started in July 1916, and the British army had suffered serious casualties here and since the beginning of the war. I am sure that my grandfather was one of many NCOs who were promoted to officer to fill the gaps in officer ranks due to casualties. After being commissioned as a Second Lieutenant in July 1917, he was transferred to the 1st/4th Battalion of the Loyal North Lancashire Regiment (later the Loyal Regiment).

Leonard married in July 1916 at the age of 19 in Aylesbury. His wife, Alice Thorn, came from a family in that area. They eventually had four children: Harry, James (my father), Betty and Mary. I can recall one trip to Rochdale at Christmas in 1960 or so when I was 8 year old and meeting her then. In May 1918, he was wounded and gassed in France and evacuated back to England. At his medical board examination his injuries were described as ‘injured by multiple shrapnel splinters in the back, arm, buttocks, head and leg. There was a deep

wound at the right angle of the left scapula, and another deep wound over the base of the sacrum (left side).

In 1941, his oldest son, my uncle Harry, was married in Rochdale. The photograph on the facing page shows his daughters Betty and Mary, wife Alice, and son Harry (then a corporal in the Royal Engineers).

There were other small wounds over the back, on each upper arm, on (the) head and on the left leg. None of these involved bone injury. The condition was complicated by laryngitis and bronchitis following mustard gas poisoning. Most of the small wounds are now healed and the larger wounds in the back are healing. The throat and chest conditions are much better. Recommended two months in a convalescent hospital’. In fact his convalescence lasted for much longer, and after medical reclassification he never returned to front line service. He was eventually demobilised from the army in July 1919. After return to civilian life, he worked as a clerk for the Cooperative Insur-

My grandfather is on the far right. The photographer was my father. My grandfather is smartly dressed, as he would be for his older son’s wedding. But he stands rather stiffly. Possibly he had to wear a support belt. I do not know.

Leonard Frost

ance Society in Rochdale. He also became active in local politics, becoming secretary of the local branch of the Conservative Association. But his war injuries had a continuing effect – my father can recall that pieces of shrapnel had to be removed from his back for the rest of his life.

In 1943 my grandfather died, aged only 46. My father told me this was due to cancer. But I suspect that his war injuries also contributed to his comparatively early death. He is buried in Rochdale Cemetery as are his parents. I was born in 1952 and consequently never met him. But I was given his name – Stephen Leonard Frost. He was the grandfather I never knew.

The Link

Issue 4/2014

Upbeat assessment on Thailand’s economy F

or the past 20 years the Oxford Business Group has been publishing a comprehensive review of the Kingdom of Thailand. This year’s edition, entitled The Report: Thailand 2014, takes into consideration various aspects of the Thai economy ranging from manufacturing to agriculture and from trade and investment to transportation. There are sections that discuss banking, insurance, construction and real estate, tourism, and the Thai legal framework. It is a look at the current economic situation and available data of the country. The Report provides the reader with both a macro and micro picture of major trends, issues and challenges that affected Thailand’s economy in 2013 and includes interviews with government officials, entrepreneurs and analysts that shed light on Thailand’s prospects. Highlights Thailand possesses the second-largest economy in south east Asia with a GDP of US$366 billion and a per capita income of US$5,168 in 2012. The Report states that ‘the country has the potential to become the world’s 23rd largest economy by 2050, up from 34th, as the Kingdom shifts to value-added production. Despite its recent political challenges, Thailand has a well-diversified and competitive export base, and shows real potential for solid growth’. The Report: Thailand 2014 surveys all the major economic sectors of the Kingdom and provides the lat-

The Link

Issue 4/2014

The new report includes a section on Thailand’s tourism.

est figures about the individual sector in order to give the reader an understanding of its trajectory. Manufacturing makes up 34 percent of the economy, a larger slice than in all of Thailand’s regional competitors. However, the country is preparing for a transition to producing higher-value goods and developing its own brands. In 2013 a minimum wage law was passed by the National Assembly that set the daily wage rate at THB 300, thereby raising the average national wage by 22.4 percent. The manufacturing sector is moving away from operations dependent upon labour to more a technology-oriented position. Other topics of significance covered by The Report are the establishment of a single common market in ASEAN and both bilateral and multilateral free trade agreements, like the TransPacific Partnership.

As the Kingdom moves towards closer regional integration with the introduction of the ASEAN Economic Community (AEC) in 2015, the government faces the key challenge of avoiding what is often termed the middle-income trap. Thailand has competitive strengths to draw on, including a central geographical location in Southeast Asia, a regional manufacturing centre for a broad array of goods, an educated labour force and a relatively solid infrastructure base. The inauguration of the AEC is expected to push the Kingdom up the economic ladder as Thailand cements its primacy in mainland south east Asia due to strong fundamentals and trade diversification. For more details, please email: marketing@boi.go.th or call the BOI Marketing Division at + 66 2553 8217.

New international school set for Hua Hin A

new international school is set to open in Hua Hin next year that will eventually cater for all age groups through primary and secondary education. Hua Hin International School is now under construction on land close to the Black Mountain golf course and the first phase is scheduled to open next year for children aged two to 12 years of age. Co-founder and Director Roy Barrett explained, “This will become a very special family school with a

unique atmosphere. We will pride ourselves on making sure that every child feels secure and happy. Our curriculum will be based upon the UK National Curriculum and adapted to suit the needs of our learners in an international environment. Subjects will be integrated where appropriate and learning will be ‘blocked’ into exciting, relevant topics. An extensive extracurricular programme will support our broad curriculum and we will publish a complete programme of after school clubs well before the school opens.”

Roy Barrett

He continued, “Our school’s ethos will be deeply rooted in a child-centred approach, based upon a comprehensive understanding of the needs of each pupil. Our imaginative and innovative curriculum will promote high achievement and will capture children’s interest and enthusiasm for learning.” “When you visit the school during a normal working day you will find a range of teaching methods being used to ensure that every child is given the best opportunity to achieve maximum efficiency in literacy, numeracy and technology across a wide range of subjects.” An experienced head teacher has been hired from the UK and more teaching staff are to be recruited in the coming months. Roy Barrett and fellow Director Graham Sullivan, who together founded the St Andrew’s Schools in Thailand, hosted an open evening for interested parents at the Intercontinental hotel in Hua Hin on Monday 1 September. More details at: http://www.huahinschool.com/home

The Link

Issue 4/2014

New Myanmar Chamber wins ministerial backing

From left to right: Andrew Patrick, Her Majesty’s Ambassador to Burma; Antony Picon, President of BCCM; Stephanie Ashmore, Executive Director - BCCM; U Win Aung, President of UMFCCI; and U Aung Naing Oo, Secretary of the Myanmar Investment Commission and Director General of the Directorate of Investment and Company Administration.

he launch of the British Chamber of Commerce in Myanmar has won praise from the UK’s Trade & Industry Minister Lord Livingston. The new Chamber was launched officially at the Strand Hotel in Yangon with 86 founder members, giving the United Kingdom pride of place as the first country to launch a completely new, locally registered chamber of commerce in Myanmar (also known as Burma). Lord Livingston, the former Chief Executive of BT Group, said, “I’m delighted to see the establishment of the first ever British Chamber of Commerce in Burma. The British Government recognises that Chambers of Commerce are an important way of supporting our businesses overseas which is why we are seed funding this Chamber through our Overseas Business Networks Initiative.

The Link

Issue 4/2014

“Burma offers many exciting opportunities for British companies and the Chamber of Commerce, alongside our UKTI team, will support them in accessing those opportunities. I wish the Chamber every success.” John Longworth, Director General of the British Chambers of Commerce, said, “Myanmar is the fastest growing economy in South East Asia with goods exports seeing an increase of 244 percent in 2013. This highlights the opportunities that are available to UK firms in Myanmar, and we would urge more companies to explore this market with the help of the new Chamber. “We are one step closer to helping the UK achieve the huge challenge set by the Prime Minister of increasing exports to one trillion by 2020.

It won’t be easy but I believe that, with the right attitude and sheer determination, there is no reason why we cannot achieve this target. Founding Patrons of the new chamber are BG Group, Jardines, Prudential and Standard Chartered Bank. Gold sponsors are Aggreko, British American Tobacco, Herbert Smith Freehills, Shell and Stephenson Harwood. For further information please contact Stephanie Ashmore, Executive Director - British Chamber of Commerce Myanmar, Hintha Business Centre, Floor 3 - 608 Merchant Street (corner of Merchant & 31st), Pabedan Township, Yangon. Mobile: +95 (0) 925 042 3475 Email: stephanie@ britishchambermyanmar.com

Britain in South East Asia (BiSEA) Cambodia British Chamber of Commerce in Cambodia c/o Darren Conquest Hong Yang Corporation No. 11 Street 178 Sangkat Psar Thmey 3, Khan Daun Penh, Phnom Penh, Cambodia Tel: 855-12-219-802 Fax: 855-23-997-493 Email: chairman@britchamcambodia.org Website: www.britchamcambodia.org Chairman: Darren Conquest Executive Director: Olivia Widen

Indonesia British Chamber of Commerce in Indonesia Wisma Metropolitan 1, 15th Floor, Jl. Jend, Sudirman Kav 29-31 Jakarta, Indonesia 12920 Tel: 62-21-522-9453 Fax: 62-21-527-9135 Email: chriswren@britcham.or.id Website: www.britcham.or.id Chairman: Adrian Short Executive Director: Chris Wren

Malaysia British Malaysian Chamber of Commerce E04C1, 4th Floor East Block Wisma Selangor Dredging 142-B Jalan Ampang 50450 Kuala Lumpur, Malaysia

Tel: 603-2163-1784 /1786 Fax: 603-2163-1781 Email: britcham@bmcc.org.my Website: www.bmcc.org.my Chairman: Dato Larry Gan General Manager: Nik Tasha Nik Kamaruddin

MYANMAR British Chamber of Commerce Myanmar Hintha Business Centre Floor 3, 608 Merchant Street (corner of Merchant & 31st) Pabedan Township Yangon, Myanmar Mobile: +95 (0)9250423475 Email: stephanie@ britishchambermyanmar.com President: Antony Picon Executive Director: Stephanie Ashmore

Philippines British Chamber of Commerce of the Philippines c/o The British Embassy Manila 120 Upper McKinley Road McKinley hill, Taguig City 1634 Metro Manila, Philippines Tel: 632-858-2255/858-2372/ 858-2373 Fax: 632-858-2390 Email: chairman@bccphil.com Website: www.bccphil.com Chairman: Roger Lamb General Manager: Chris Boughton

Singapore British Chamber of Commerce in Singapore 138 Cecil Street, #11-01 Cecil Court Singapore 069538 Tel: 65-6222-3552 Fax: 65-6222-3556 Email: info@britcham.org.sg Website: www.britcham.org.sg President: Mr. Hugo Walkinshaw Executive Director: Brigitte Holtschneider

Thailand British Chamber of Commerce Thailand (BCCT) 7th Floor, 208 Wireless Rd., 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 Hanoi 193B Ba Trien, Hai Ba Trung District Hanoi, Vietnam Tel: 84 4 6674 0945 Chairman: Nick Holder The LinkWai Issue 4/2014 41 Executive Director: Kit Ho

Member News

Slam dunk for Bangkok Prep with Lakers star Ike Nwankwo

ormer Los Angeles Lakers basketball star Ike Nwankwo (pictured right) was this year’s guest speaker at the Bangkok Prep’s Sports Awards Ceremony. During his talk to the students Ike reflected on his youth, on his talent as a basketball player and on some of the challenges he faced on the road to fulfilling his childhood dream.

he would never play again to the same high standard. However, he fought to keep his dream alive and succeeded in playing for several NBA teams against players such as Shaquille O’Neal, Hakeem Olajuwon and Michael Jordan. Ike also spoke about the power of sport to open opportunities for students such as scholarships, leadership experience and developing positive life values.

He told pupils that, after a serious injury to his left arm, he thought that

He continues to be an inspiration and is a fantastic role model to

youngsters. He encouraged students to believe in themselves, to have courage, be disciplined and never give up.

NIST students set new record IB Diploma scores The 87 members of NIST’s Class of 2014 have won praise from the school for outstanding results achieved in the International Baccalaureate examinations.

The Link

Issue 4/2014

Bangkok Prep’s Sports Awards ceremony is held annually to recognise outstanding student athletes who have represented the school in various inter school sports leagues and competitions such as TISAC (Thailand International Schools Activity Conference) and FOBISIA (The Federation of British International Schools in Asia).

Member News

Laguna Phuket hosts domestic MICE mart L aguna Phuket hosted Thailand’s first domestic MICE Mart (DMM), organised by the Thailand Convention and Exhibition Bureau (TCEB). TCEB is promoting MICE industry development in Thailand with monthly tradeshows in the country’s targeted five MICE cities of Bangkok, Chiang Mai, Khon Kaen, Pattaya and Phuket. A leading MICE venue in each city was selected to host a full-day tradeshow where sellers and buyers in Thailand’s domestic MICE industry will meet. As one of the country’s economic hubs, Phuket is regarded as a prime destination for MICE delegates with over 600 hotels in all budget ranges; an international airport and an

impressive choice of venues, leisure activities and attractions. “We were very proud to be the select-

ed host venue for this exciting MICE mart,” said Prapa Hemmin, Laguna Phuket’s Director of Sales for MICE and Corporate Events.

Peter returns to Centara as GM in Hua Hin

Michal Zitek (second from right), General Manager of the Imperial Queens Park hotel in Bangkok, welcomed New Zealand celebrity chef Simon Gault and New Zealand’s Head of Mission in Thailand Pam Dunn. The hotel’s Parkview restaurant was the venue for a five-day event that showcased outstanding food and wines from New Zealand with Simon Gault presenting a series of signature dishes. *The hotel closes on 2 October for major refurbishment and is set to re-open in 2016 under the Marriott brand.

Peter Nilsson has been appointed General Manager of the historic Centara Grand Beach Resort & Villas hotel in Hua Hin. Peter, a Swedish national, previously worked with the company in Samui as Executive Assistant Manager and later General Manager of the Centara Grand Beach Resort Samui. His most recent role was General Manager of the Conrad Maldives Rangali Island property. Peter’s appointment follows the retirement from Centara of Jacques Mury – one of the country’s most knowledgeable and experienced hoteliers.

The Link

Issue 4/2014

Member News

Anantara to bring famous Elephant Parade to Bangkok A

nantara Hotels Resorts and Spas is partnering with the founders of the world famous Elephant Parade to bring the largest open air art exhibition in support of Asian Elephants to Bangkok in 2015. The exhibition will see a herd of more than 50 brightly coloured elephants – decorated and hand painted by artists and celebrities - displayed throughout the streets of Bangkok and then auctioned off with the proceeds going to The Asian Elephant Foundation and The Golden Triangle Asian Elephant Foundation. The event was created after founder Marc Spits and his son Mike visited the Friends of the Asian Elephant hospital in Thailand which treats sick and injured elephants. There they saw Mosha, the first elephant to receive a prosthetic limb. She is fitted with a new leg every year and must then learn to walk all over again. Mosha wearing her prosthetic leg is always featured in each Elephant Parade exposition. “Our inspiration for Elephant Parade started in Thailand in 2006 so we are very excited to showcase our world famous exhibition to Thai people and visitors to the Kingdom,” said Mike Spits. “We have been looking for like minded partners who share our true passion in saving the Asian elephant and Anantara has long been known for its elephant conservation efforts in Thailand. We feel this partnership with Elephant Parade is the ideal fit.” The first major Elephant Parade was held in Rotterdam in 2007 and has since been exhibited throughout

The Link

Issue 4/2014

Anatara’s Tim Boda (second left) also plays a key role in the company’s annual Elephant Polo tournament.

some of the world’s largest cities including London, Amsterdam, Antwerp and Milan. The Bangkok Elephant Parade will be the third major exhibition in Asia following similar events in Singapore (2011) and this year in Hong Kong. Anantara Chairman William Heinecke, who also serves as patron of the group’s Golden Triangle Asian Elephant Foundation, said, “We

are very pleased to help bring ‘Elephant Parade’ to Bangkok and to raise even more awareness and funds for the plight of the kingdom’s national animal. The parade coincides with Anantara’s famous King’s Cup Elephant Charity event moving to Bangkok from the seaside town of Hua Hin. The event has raised over US$750,000 to better the lives of both domesticated and wild elephants throughout Thailand.”

Member News

Samitivej signs MOU with Sano Hospital T

o enhance medical excellence in liver and digestive system treatment, Samitivej Hospital has partnered with Sano Hospital in Japan to exchange knowledge and experience and to improve Samitivej team’s capabilities. The partnership began with the first medical workshop for Samitivej’s medical team and specialists in liver and digestive system, aiming at better care for patients and quality of life improvement. Samitivej signed a Memorandum of Understanding with Sano Hospital, Japan’s leading private hospital specialized and advanced in gastrointestinal (GI) endoscopy, for advanced diagnosis and therapeutic via endoscopy which helps in early cancer detection for patients’ better quality of life. Dr Chairat Panthuraamphorn, Managing Director and CEO of Samitivej

cation for human resource development, research and development and medical seminars. Continuous learning, we believe, is the key to quality excellence in all aspects, which will in the end enable us to help people maintain good health while promoting new knowledge that will unlock another level of medical excellence.”

From left: Dr Yasushi Sano, Sano Hospital Director and Chief of Institute of MinimallyInvasive Endoscopic Care; Mr Shigekazu Sato, Japan’s Ambassador to Thailand and Dr Chairat Panthuraamphorn, Managing Director and CEO of Samitivej Public Company Limited.

Public Company Limited, said, “Both Samitivej and Sano aspire to provide healthcare services of the highest quality to patients while improving the quality of our human resources. With this shared vision, we have reached an agreement to cooperate on three areas – teaching and edu-

In addition to three main areas of cooperation, Sano Hospital will assist Samitivej in advanced endoscopy, which is its area of expertise. Following the MOU signing ceremony, Sano will begin to help Samitivej in the Liver & Digestive Institute, enabling Samitivej to provide better medical services to its customers, including Japanese expats and their families living in Thailand. At present, Japanese nationals comprise the largest group of foreign customers as Samitivej handles on average some Japanese patients per day.

Cornerstone’s key support to Bangkok Angels

pecial thanks to the Cornerstone Management Company and Managing Director Richard Bell (pictured right) for sponsoring the BCCT Bangkok Angels veterans football team for 2014. The Bangkok Angels have already participated in the 32nd International Far East Football Tournament in April and the BCCT Bangkok Masters Football Tournament in June.

International Invitational six-a-side tournament in November.

The team will also participate in The Centennial Manila Nomads

More details at: www.cornerstonemgmnt.com.

Cornerstone is an international construction consultancy established in 2001 that offers Project Management, Quantity Surveying, Facilities Management, Building Surveying, Risk Analysis & Management, Dispute Resolution, Value Engineering and Due Diligence.

The Link

Issue 4/2014

Member News

HSBC survey shows importance of trading in China’s currency I

n the global race to develop trade links with China, readiness to do business in renminbi (RMB) could give some countries’ exporters a vital edge over their rivals. That’s according to a survey conducted by HSBC Commercial Banking.

ably on overseas partners who are using RMB, both because it shows commitment and because it eliminates foreign exchange risk from their cost base. Although a currency can’t guarantee commercial success in China, it’s clear that RMB should be a core component of every company’s business planning.”

Whilst two-thirds of companies in mainland China and Hong Kong said foreign firms doing business with China gain financial and relationship advantages from using RMB, awareness of these potential benefits varies widely overseas, according to the poll conducted with more 1,300 decision makers across 11 markets. Half of respondents from Singapore, 44 percent from the US and 42 percent from the UK said they believe RMB usage brings financial benefits, yet less than a third of their German and Canadian peers share this view. More than half of UAE respondents said they see business relationship benefits from RMB adoption, compared with 46 percent in France and 40 percent in Australia. Overall, 59 percent of decisionmakers surveyed said they plan to increase their cross-border activity with mainland China over the next 12 months, rising to 86 percent in the UK, 74 percent in Canada, 73 percent in the UAE and 63 percent in France. At the same time, only 22 percent said their company currently settles business in RMB. “This survey highlights a need for many companies to learn more about

The Link

Issue 4/2014

With its trade in goods passing US$4 trillion, China overtook the US to become the world’s largest trading nation in 2013. The IMF’s projections for nominal dollar GDP show that China will add about US$850 billion to global demand this year; the equivalent of adding an economy the size of Indonesia to global trade flows.

how the RMB can help them connect to opportunities in China and get ahead of their rivals in this highly competitive market,” said Simon Cooper (pictured above), Chief Executive of HSBC Commercial Banking. “Most Chinese businesses look favor-

As China becomes ever more important to international businesses, the internationalisation of the RMB is creating new opportunities in trade, investment, cash management and funding. HSBC forecasts that a third of China’s trade will be settled in RMB by 2015 and that the currency will be fully convertible by 2017.

Survey highlights: • Outside the Greater China region (mainland China, Hong Kong and Taiwan), businesses in France (26%) and Germany (23%) report the highest levels of RMB usage • Of companies using the RMB to settle cross-border business today, 59% expect to use it more over the next 12 months • 32% of companies that don’t use the RMB already expect to do so • Reasons for using the RMB include requests from trading partners, reducing FX risk, convenience, winning new business and gaining better pricing • Those surveyed believe that the simplification of procedures (68%), further liberalisation of the exchange rate (61%) and expansion of transaction types that are RMB eligible (57%) would encourage them to further use RMB

Member News

Family deals by the river in Bangkok T

he Ramada Plaza Bangkok Menam Riverside hotel is enhancing its family-friendly image with a new accommodation package. A special rate of THB 5,400 net per night covers accommodation in two inter-connecting deluxe rooms designed for two adults accompanied by two children under 12 years of age. The ‘Family Happy Times’ package includes complimentary daily buffet breakfast and Wi-Fi. The rate is available until 31 October 2014. General Manager Klaus Sennik said,” We are a family-friendly hotel with an ideal location on the banks of the Chao Phraya river, close to the popular Asiatique and with easy access by

boat and BTS Skytrain to many tourist attractions in the city.”

Book online at www.ramadaplazamenamriverside.com.

NIST appoints new Head

udith Curtis is joining NIST as the new Head of Secondary. A long-time educator, she began her career in her native UK before teaching in Japan, Singapore and Russia. She most recently served as the Middle School Principal at the prestigious Anglo-American School of Moscow. Kevin Rose, a Canadian, is appointed Deputy Head of Secondary – Student Welfare (MYP) at NIST. Kevin’s career has taken him to schools in Indonesia, Tanzania, China and Singapore. Most recently Kevin was the head of European languages at United World College of South-East Asia in Singapore.

The Link

Issue 4/2014

Member News

Traidhos campers help temple dogs in Mae Rim

ver 125 students have travelled from China, Taiwan, Japan, Korea, Spain, USA, UK and other parts of Thailand this summer to take part in the Traidhos Summer and English Camps held on the Traidhos campus that’s shared with the Prem Tinsulanonda International School in Chiang Mai, writes Joy Huss. Students engaged in a broad range of team building camp activities including zip-lining in the rainforest canopy, home-stay in a Hill tribe village, bamboo rafting down the Mae Kok river and visiting Doi Inthanon National Park. Although the camp includes fun and games, English classes and meeting new friends, Traidhos Camp Director Jay Taniyapon, always likes to include a small service-oriented programme into the curriculum to teach compassion and empathy in a fun way. Children love animals so

together with volunteers from the Hand to Paw Temple Dog Outreach Program (H2P) campers visited the local temples to learn some basic care techniques and give some much needed love and attention to all the dogs that live on the temple grounds.

Chatrium opens new Bangkok hotel

hatrium Hotels and Residences has added to its portfolio in Bangkok with the opening of the Maitria Hotel in Sukhumvit soi 18. The Maitria is the fifth Chatrium Group property in the city. Managing Director Savitri Ramyarupa Ramyarupa (pictured right) said, ”The concept of Maitria Hotel is to deliver an urban-influenced, modern hotel which allows guests to discover the city at an affordable price. We also see great

The Link

Issue 4/2014

growth opportunities in the mid-scale hotel sector for which there is strong potential in Bangkok. With its prime location and unique style, the property will help to satisfy the demand for both business and leisure travellers.” Maitria Hotel offers 129 guestrooms across a range of studios, one bedroom and two bedroom suites. Introductory rates available at: www.chatrium. com/MaitriaHotel.

Five groups of campers visited Wat Suan Nawaa, Wat Pa Tiew and Wat Nongplaman over the course of the summer. A donation of THB 10,000 was made to H2P for much needed dog food, vaccines and sterilisations at the temples.

Standard Chartered plays it Straight S

Member News

tandard Chartered Bank Thailand has announced a partnership with Advanced mPAY Company Limited to expand its Straight2Bank Wallet platform to corporate clients in Thailand. The collaboration enables the Bank’s corporate clients to effortlessly collect payments, fees or contributions from mPay wallet users or via mPAYSTATIONs through a real-time connectivity.

Straight2Bank Wallet is designed to lower operating costs and risks associated with managing cash, shorten the debt collection period and ultimately help to boost efficiency in working capital management for Standard Chartered’s corporate clients. Supreecha Limpikanjanakowit, Managing Director, Advanced mPAY, said that by employing modern innovations to enhance transaction efficiency, mPAY firmly believed that the partnership would set new standards with better speed and precision between the mPAY platform and Straight2Bank systems.

Thanobol Cenphakdee - Business Development Manager, Advanced mPAY, Supreecha Limpikanjanakowit Managing Director, Advanced mPAY, Lyn Kok – President and CEO, Thailand and Greater Mekong, Standard Chartered Bank, Gautam Jain – Global Head of Client Access, Standard Chartered Bank

Gautam Jain, Global Head of Client Access, Transaction Banking, Standard Chartered, added, “We are privileged to partner with Advanced mPAY in the drive towards advancing electronic payments in Thailand. We continue to build on our expertise to support clients in capturing the opportunities presented by the global move towards a cashless society.” Straight2Bank Wallet collections

will be available in Thailand in the third quarter of the year as part of a global roll-out of the platform. A payments feature, which will allow the Bank’s corporate clients to directly make electronic payments to individuals’ mobile wallets, is set to be integrated in the near future. Standard Chartered will be expanding the offering to other relevant footprint markets in Asia, Africa and the Middle East.

More awards for Centara

hree resort hotels operated by Centara Hotels & Resorts have won the TripAdvisor Travelers’ Choice 2014 Family Award. The resorts are Centara Grand Mirage Beach Resort Pattaya, Centara Grand Beach Resort Phuket and Centara Karon Resort Phuket. The awards are based on reviews written by guests on the TripAdvisor website.

“Providing an environment where a family can enjoy time together staying in rooms and suites designed for their convenience and with a host of complimentary activities is central to our overall policy, and we are delighted that these three resorts have gained such outstanding recognition from our guests,” says Chris Bailey (pictured right), senior vice president for sales and marketing at Centara Hotels & Resorts.

The Link

Issue 4/2014

Member News

More Gold Awards for Bangkok Patana students T hirty-eight students at Bangkok Patana School have been presented with Gold International Awards. This is the highest number of recipients since the school began offering the Gold level ten years ago.

A total of 164 students received the International Award at Bangkok Patana this year. To achieve each level of the Award, students completed five sections: skills, service, physical recreation, adventurous journey and residential in ascending degrees of difficulty. To fulfill their ‘adventurous journey’ requirement for the prestigious Gold Award, 14 students trekked to Everest Base Camp while others chose cycling, white water rafting, caving and sailing. They spent more than 500 hours going

through all three levels of the Award whilst also pursuing a rigorous academic programme. The International Award, better known in some countries as the Duke

of Edinburgh’s Award, was founded in 1956. It is recognised as the world’s leading youth achievement award, bringing together practical experiences and skills to create committed global citizens.

Back on the tee at Laguna Phuket Golf Club L aguna Phuket Golf Club has re-opened its newly upgraded front nine holes after a yearlong renovation programme. The remaining nine holes should be upgraded by the end of this year with the 18-hole course scheduled for full operation by 1 January 2015. “We are excited to showcase our new look front nine, state-of-the-art course redesigned by Paul Jansen, the lead architect at Faldo Design,” said Club Director of Golf Paul Wilson. “This project sees significant investments made to improve tee box ar-

The Link

Issue 4/2014

eas, bunkers, green complexes, practice facilities, drainage, irrigation and all playing surfaces,” he said.

To celebrate the re-opening Laguna Phuket Golf Club is offering Thai and expat golfers discounted promotion green fees of THB 1,800* (half the usual THB 3,600 visitor’s rate) for an 18-hole game (two rounds of nine-hole play) and THB 1,500* on Wednesdays only. Rates apply until 31 October 2014. Laguna Phuket Golf Club is part of the Laguna Phuket resort complex. For more information, visit http:// www.lagunaphuketgolf.com/

Paul Wilson

Member News

Opportunities remaining untapped in Phnom Penh

Hotel Cambodiana, Phnom Penh

ith less than one million annual international visitors, Phnom Penh is one of the smallest hotel markets in Asia. However, with a continuous growth in international visitor arrivals over the past four consecutive years and the undersupply situation in some hotel segments, the Cambodian capital city’s hotel market is offering attractive opportunities for international hotel developers and operators seeking to penetrate into a new frontier, according to new research published by JLL’s Hotels and Hospitality Group.

tionally branded hotels in Phnom Penh with a total inventory of 745 keys. An additional four hotel projects with 1,705 rooms are now under construction and are expected to enter the market by the end of 2015. Despite strong future supply in a pipeline, it is expected that demand growth will catch up and allow room rates to continue to grow this year, though at a slower pace.

Andrew Langdon, Executive Vice President of JLL Hotels and Hospitality Group, said, “Business demand in Phnom Penh primarily emanates from embassies, NGOs, the UN and the garment industry. Corporate demand from sectors such as telecoms, banking and insurance is on the rise. However, internationally branded supply to cater to growing hotel demand in Phnom Penh is currently limited.”

The Phnom Penh hotel market was hit hard by political unrests in 2013. The luxury segment recorded an increase in the average daily rate (ADR) of 16 percent from US$114 in 2011 to US$132 in 2012. However, the growth slowed down to four percent to US$138 in 2013 as a result of political tensions. Occupancy grew by two percent to 43 percent in 2012 compared to the previous year but declined to 35 percent in 2013. As a result, the luxury segment witnessed a 15 percent decline in the average revenue per available room (RevPAR) during 2013.

According to JLL’s research, there are currently only three interna-

As Cambodia’s political situation has improved, prospects for the

Phnom Penh hotel market have become positive this year. Phnom Penh has seen a continuous growth in international visitor arrivals over the past four years with 0.8 million visitors in 2013, a growth of 16.7 percent on the previous year. The first four months of 2014 witnessed 10.9 percent growth in international visitation compared to same period last year. The Cambodian government has rolled out a number of planned infrastructure improvement initiatives and active promotion of the Phnom Penh-Siem Reap tourism circuit. “All these will underpin further growth in demand for lodging in Phnom Penh over the short to medium term,” added Andrew Langdon. In addition, while the majority of the upcoming supply comprises of hotels in the upscale and luxury segments the branded economy to midscale segments remaining largely untapped and this is where opportunities are open to international hotel operators,” he concluded.

The Link

Issue 4/2014

Thailand Quarterly Indicators

Dataconsult

Chamber Events

By the Numbers

Chris Bruton Director, Dataconsult Ltd.

(% year-on-year) Year 2013

Year 2014

Year 2013

May

Jun

VAT Collection

-0.7

6.8

-0.3

-7.3

-1.0

-0.1

0.3

2.3

-0.2

0.1

Consumer goods imports

4.4

4.6

7.7

6.2

-0.2

-3.9

0.4

-4.5

1.0

-1.8

Passenger car sales

-6.1

97.2

-3.3

-24.8

-39.7

-55.3

-37.7

-44.4

-33.7

-47.8

Motorcycle sales

-6.0

5.4

-6.2

-8.7

-20.8

-18.2

-17.8

-15.6

-19.5

Real estate tax

17.9

35.2

11.0

22.0

9.1

-6.6

-7.6

-1.0

-13.5

-7.1

Cement sales

8.3

15.9

14.6

3.0

0.3

-2.4

-3.0

-1.8

-4.2

-2.7

Commercial vehicle sales

-8.4

19.4

3.2

-26.2

-24.1

-36.6

30.6

-31.7

-27.5

-33.8

Capital goods imports

-5.9

3.7

-1.5

-7.9

-16.6

-14.1

-12.6

-15.4

-4.7

-13.4

Source: Fiscal Policy Office, Ministry of Finance, 30 July 2014

Thailand Major Export Markets

hailand is now entering a critical stage of its political and economic development. End September represents the transition point. A new fiscal and government year commences in October, with promotions, retirements, and the next stage of the National Council for Peace and Order roadmap. A prosperous economy would represent an encouraging factor in community acceptance of the new order. Therefore reporting agencies are under pressure to register progress, or at least identify excuses, preferably external, for any negative indicators. As of end June and second quarter 2014, signals are mixed. There is modest recovery of producer and consumer confidence, but slowing signs in the overall economy. There is much uncertainty regarding the second half outlook. Among private consumption indicators, VAT collections are stable, consumer goods imports slightly down, but private vehicles and motorcycle sales are severely reduced. Private investment indicators are also in negative territory, including falling real estate tax collections, cement sales, commercial vehicle sales and capital goods imports. The export pattern gives some cause for hope. Although half-year figures are slightly down year-on-year, June 2014

YTD

(% year-on-year) Year 2013

Year 2014

Country

2012 %

2013 %

Year 2013

May

Jun

YTD

Total exports

100

-0.3

3.9

-2.2

-1.7

-1.0

0.3

-2.1

3.9

-0.4

China

11.7

11.9

1.4

7.3

-13.4

-0.3

12.9

-4.4

-4.2

-5.7

3.2

-4.3

USA

9.9

10.0

0.8

-3.5

0.7

5.2

0.6

4.9

2.8

11.2

2.8

Japan

10.2

9.7

-5.2

1.5

-6.3

-10.1

-5.5

2.0

-4.9

-9.9

-0.1

-1.5

Europe

8.5

8.8

2.7

7.0

-5.3

3.3

6.3

4.8

11.0

11.9

15.4

7.8

Hong Kong

5.7

5.8

0.7

11.2

7.7

-1.4

-12.0

-1.8

1.7

4.4

6.4

-0.1

ASEAN - 9

17.2

17.6

4.7

-0.8

5.8

12.4

2.0

-0.1

-9.8

1.8

-0.1

ASEAN - 5

17.2

17.6

5.0

5.9

2.4

10.8

1.2

-5.4

0.2

0.1

2.3

-2.5

ASEAN - 4

7.4

8.3

2.0

5.4

-0.7

11.2

-7.1

-11.0

-3.7

-3.3

0.0

-7.3

Source: Fiscal Policy Office, Ministry of Finance, 30 July 2014

registered an upturn, which some analysts see as a trend rather than an aberration. There were increases in exports to Europe and USA, but declines to China, Japan, Hong Kong and the rest of ASEAN. June figures are generally positive except for Japan. With Generalised System of Preferences being eliminated for Thailand-origin products exported to Europe, there will need to be greater reliance on other markets which do not, as yet, display much enthusiasm.

of 24.4 percent, and hotel occupancy of 40.8 percent, can be considered disastrous. Tourism has been in decline throughout this year, suggesting that overseas friends do not share the joy and happiness that Thailand’s uniformed rulers are seeking to disseminate. Nevertheless, the Thai stock market registered at mid-2014 the highest index figure for a year, the Baht currency has remained stable, and foreign exchange reserves have been safely preserved. Even if we fail to achieve the full year economic resurgence that the ‘new-look’ administration promises, we should not expreience hardships for quite a while yet.

Tourism arrivals have suffered heavily from recent events. The half-year decline of 9.9 percent is discouraging, but June 2014 figures, with a year-on-year decline

Thailand Statistical Update (June 2014) Item

Jun

May

Year 2014 Apr Mar

Feb

Jan

Dec

Nov

Year 2013 Oct Sep

Aug

Jul

Production Indicators Agricultural Production Index (y-on-y %)

1.2

6.4

5.3

2.4

3.2

5.9

1.0

2.0

1.7

-2.9

-3.2

-6.7

Manufacturing Production Index (y-on-y %)

-6.6

-4.0

-4.1

-10.5

-4.7

-5.6

-6.3

-10.7

-4.0

-2.9

-2.8

-4.9

Industrial Capacity Utilisation (%)

60.6

61.6

56.4

64.5

58.9

62.1

59.9

63.1

63.5

63.6

63.5

64.5

Key domestic product sales Electricity (KWH bn.)

14.95

15.81

14.54

15.22

12.59

12.28

12.03

13.77

14.19

13.99

14.44

14.35

Benzene/gasohol (mn. litres)

229.41

298.81

292.26

255.86

267.56

255.58

234.72

236.31

243.42

217.75

248.4

246.22 159.65

Beer (mn. litres)

155.42

167.15

163.85

211.80

154.41

129.47

185.88

181.08

194.51

135.29

153.24

Soda / soft drinks (mn. litres)

70.38

80.19

83.51

89.06

69.81

81.12

73.85

74.55

68.10

66.57

70.39

70.59

Passenger cars (000 units)

26.16

26.43

24.45

28.62

27.40

22.57

33.02

35.94

35.20

45.09

49.12

46.02

Motorcycles (000 units)

165.01

164.28

147.14

173.20

159.40

174.40

156.66

161.92

159.72

167.38

174.74

182.96

Commercial vehicles (000 units)

33.71

33.14

29.95

40.08

36.31

39.23

50.54

49.09

42.28

47.71

50.14

50.66

Cement (mn. metric tonnes)

2.89

3.03

2.68

3.25

2.97

2.89

2.63

2.71

2.80

2.82

2.95

2.91

Passenger cars (y-on-y %)

-33.7

-44.4

-34.4

-55.8

-54.2

-55.9

-28.3

-48.0

-42.0

-30.7

-16.4

-26.3

Motorcycles (y-on-y %)

-15.6

-17.8

-21.5

-18.1

-14.0

-30.3

-17.2

-16.7

-11.1

-8.9

-6.2

Commercial vehicles (y-on-y %)

-27.5

-31.7

-32.3

-37.5

-35.9

-36.2

-14.5

-24.8

-33.3

-26.0

-28.0

-24.5

Cement (y-on-y %)

-4.2

-1.8

-3.1

-3.5

-2.1

-1.4

-1.3

3.6

-1.1

3.4

4.7

0.9

The Link

Issue 4/2014

Item

Jun

May

Year 2014 Apr Mar

Feb

Jan

Dec

Nov

Year 2013 Oct Sep

Aug

Jul

Producer / Consumer Price Indicators Producer Price Index

141.2

142.7

142.1

141.5

141.4

141.3

140.7

139.6

139.7

140.1

138.7

138.5

Change (m-on-m %)

-1.1

0.4

0.1

0.4

0.8

-0.1

-0.3

1.0

0.1

-0.6

Change (y-on-y %)

1.3

1.2

1.9

1.4

1.1

1.2

1.0

0.3

-0.1

0.6

0.1

0.3

127.1

127.0

127.3

127.4

126.9

126.8

126.7

126.5

126.4

125.9

125.4

125.3

Change (m-on-m %)

0.1

-0.2

-0.1

0.4

0.1

0.2

0.1

0.4

0.1

0.3

Change (y-on-y %)

1.8

1.3

0.9

1.1

1.5

1.9

1.7

0.8

0.0

0.2

107.79

107.90

107.47

106.94

106.71

106.46

106.01

105.86

105.76

105.60

105.40

105.42

-0.10

0.40

0.50

0.22

0.23

0.42

0.14

0.09

0.17

0.16

-0.01

0.10

2.4

2.6

2.4

2.1

2.0

1.9

1.7

1.9

1.5

1.4

1.6

2.0

104.83

104.78

104.64

104.22

104.14

103.9

103.6

103.54

103.4

103.2

103.1

0.05

0.13

0.40

0.08

0.27

0.21

0.10

0.18

0.12

0.09

0.07

0.00

1.7

1.3

1.2

1.0

0.9

0.7

0.6

0.8

0.9

Construction Materials Price Index

Consumer Price Index (headline) (2011 = 100) Change (m-on-m %) Change (y-on-y %) Core Inflation (2011 = 100) Change (m-on-m %) Change (y-on-y %) Consumption & Confidence Indicators Industrial Confidence Index

88.4

85.1

84.0

84.7

85.7

86.9

88.3

90.3

92.8

90.4

91.3

91.9

Business Sentiment Index

48.0

48.6

44.3

49.4

46.5

45.4

45.0

46.9

47.4

47.5

48.3

Private Consumption Index

145.7

147.2

146.1

145.8

145.5

147.3

146.6

146.1

147.7

145.8

148.0

146.3

Private Investment Index

231.4

231.8

230.5

231.0

229.6

233.3

233.1

234.5

236.0

238.6

239.7

238.3

Consumer Confidence Index

38.4

28.5

29.8

27.5

26.7

29.5

33.6

35.1

36.2

34.9

36.0

37.0

Fuel Prices Benzene 95 (Baht/litre)

48.80

48.99

48.41

48.05

48.22

45.85

44.87

46.06

46.82

46.96

47.59

Gasohol 95 (Baht/litre)

40.80

41.02

40.89

40.76

40.53

40.70

39.93

38.78

38.57

39.30

39.44

40.07

Diesel (Baht/litre)

29.91

29.99

Manufactured products (Baht bn.)

567.87

549.59

494.94

566.87

517.75

497.88

500.91

515.02

525.08

537.94

539.55

507.11

Agricultural products (Baht bn.)

45.32

44.34

40.93

50.27

52.70

52.40

60.05

47.33

51.14

43.78

42.66

45.55

Total exports (Baht bn.)

640.06

621.20

553.00

643.03

599.06

578.04

579.01

579.00

603.08

605.59

629.47

584.27

Total exports (y-on-y %)

3.9

-2.1

-0.9

-3.1

2.4

-2.0

1.9

-4.1

-0.7

-7.1

3.9

-1.5

Foreign Trade of Thailand: exports

Foreign Trade of Thailand: imports Consumer goods (Baht bn.)

49.71

52.70

52.43

52.77

46.63

56.86

49.61

52.36

55.37

49.94

50.86

53.75

Raw materials (Baht bn.)

340.28

406.12

366.92

358.52

325.09

413.30

348.95

333.64

385.46

346.23

375.47

366.79

Capital goods (Baht bn.)

152.96

147.31

142.08

141.14

137.42

146.42

136.76

157.56

153.41

141.11

154.04

156.79

Other Imports (Baht bn.)

46.03

48.55

45.16

50.46

38.53

50.42

59.63

59.96

71.91

60.50

59.71

85.11

Total Imports (Baht bn.)

588.98

654.69

606.60

602.89

547.68

667.01

594.95

603.52

666.15

597.77

640.08

662.43

Total Imports (y-on-y %)

-14.0

-9.3

-14.5

-14.2

-16.6

-15.5

-9.9

-8.6

-5.4

-5.2

-2.1

1.1

Tourism Indicators Suvarnabhumi Arrivals (000 persons) Change (y-on-y %)

897

1,026

1,183

1,212

1,234

1,449

1,598

1,544

1,352

1,361

1,571

1,464

-35.03

-19.86

-12.61

-21.59

-18.37

-5.11

1.99

7.82

14.47

26.18

24.60

23.97 2,223

Nationwide Arrivals (000 persons)

1,560

1,736

2,022

2,104

2,174

2,319

2,598

2,399

2,065

2,056

2,469

Change (y-on-y %)

-24.37

-10.66

-1.72

-9.39

-8.15

0.06

6.67

11.93

14.68

27.59

28.14

22.47

Hotel Occupancy Rate (%)

40.83

46.41

54.81

57.90

62.18

60.85

64.26

69.34

59.74

60.66

66.49

60.66

Loans (Baht billion)

n.a.

12,439.4

12,260.3

12,216.0

12,150.0

12,060.7

12,140.8

12,032.0

11,856.7

11,796.5

11,794.7

11,715.9

Deposits (Baht billion)

n.a.

11,046.4

11,114.1

11,221.1

11,292.8

11,132.4

11,099.3

11,171.4

10,966.8

10,842.5

10,748.1

10,643.5 1,423.14

Commercial Banking Indicators

Stock Exchange and Foreign Investment indicators SET Index (1975 = 100)

1,485.73

1,415.73

1,414.94

1,376.26

1,325.33

1,274.28

1,298.71

1,371.13

1,442.88

1,383.16

1,294.30

Market Capitalisation (bn. Baht)

13,358

12,673

12,608

12,205

11,750

11,307

11,496

12,023

12,594

12,079

11,286

12,354

Foreign Purchase (bn. Baht)

190.15

171.84

157.34

183.28

142.25

222.41

132.94

181.75

172.31

222.52

201.22

226.87

Foreign Sale (bn. Baht)

226.37

190.5

207.60

141.47

169.03

163.63

236.08

173.53

229.83

171.14

212.91

241.16

Foreign Direct Investment (net, bn. Baht)

n.a.

31.44

45.46

30.89

13.32

66.69

37.80

41.09

45.45

45.10

32.42

57.13

Foreign Portfolio Investment (net, bn. Baht)

n.a.

-81.22

30.87

7.6

-22.32

-39.73

-73.69

-111.56

28.39

107.81

-133.70

16.64

Board of Investment indicators Applications (Baht bn.)

35.3

38.4

42.6

158.7

42.0

20.3

270.3

43.0

79.8

43.1

40.4

34.1

Approvals (Baht bn.)

134.8

7.1

8.6

10.6

13.0

11.3

10.4

9.2

209.3

27.0

281.2

39.8

Certificates (Baht bn.)

17.0

35.6

27.6

25.1

32.4

16.9

59.5

109.1

67.8

192.9

38.4

78.3

US$ / Baht (mid-rate)

32.51

32.53

32.32

32.39

32.65

32.94

32.34

31.63

31.22

31.71

31.60

31.12

ÂŁ / Baht (mid-rate)

54.94

54.78

54.12

53.83

54.02

54.24

52.91

50.91

50.22

50.24

48.93

47.24

International monetary indicators

Euro / Baht (mid-rate)

44.19

44.65

44.62

44.77

44.57

44.87

44.27

42.67

42.54

42.31

42.08

40.71

Japan (100) Yen / Baht (mid-rate)

31.86

31.96

31.50

31.68

31.99

31.68

31.28

31.66

31.91

31.97

32.29

31.24

A$ / Baht (mid-rate)

30.44

30.27

30.08

29.38

29.26

29.17

29.04

29.52

29.66

29.41

28.52

28.54

S$ / Baht (mid-rate)

25.98

25.99

25.75

25.56

25.78

25.88

25.69

25.36

25.09

25.10

24.82

Exports (f.o.b. US$ billion)

19.53

19.27

17.09

19.77

18.15

17.66

18.28

18.57

19.04

19.17

19.99

18.80

Imports (f.o.b. US$ billion)

15.67

17.64

16.53

16.29

14.25

18.51

16.28

17.05

18.70

16.61

17.78

18.55

Trade balance (US$ mn)

3,863.13

1,629.49

559.14

3,480.32

3,896.01

-857.27

1,997.40

1,514.28

336.84

2,561.17

2,214.20

257.55

Current account balance ( US$ mn)

1,838.33

-664.48

-643.00

2,898.44

5,065.27

262.68

1,782.28

1,548.97

-369.46

-95.37

1,723.75

-1,199.74

Balance of payments ( US$ mn.)

-635.50

-1,072.70

1,102.20

-153.80

-883.90

575.40

-250.00

-2,438.60

-571.50

1,815.10

-3,435.20

-330.00

Foreign currency reserves ( US$ bn.)

168.21

167.60

168.94

167.50

168.14

166.76

167.29

167.51

172.12

172.32

168.77

172.25

Statistical sources: these statistics have been derived from the following official sources: Bank of Thailand, Ministry of Commerce, Ministry of Finance (Department of Customs, Fiscal Policy Office), Ministry of Industry, Board of Investment, Immigration Department, Stock Exchange of Thailand. The above statistics represent the principal economic indicators for Thailand, but the original sources provide much more extensive and detailed coverage of different aspects of the economy. Statistics as presented are, in most cases, provisional figures, which will be adjusted at a later date when final returns are available from the respective sources. While best efforts have been made to ensure accuracy, readers are referred to original sources for definitive statistics. Note: month-by-month figures are updated as adjustments are made in the original statistical sources

The Link

Issue 4/2014

Chamber Events BCCT Pub Night

BCCT Healthcare Briefing

3 June 2014

10 June 2014

On Tuesday 3rd June the London Brewery Co., Ltd. kindly hosted the BCCT Pub Night at the Londoner Pub.

On Tuesday 10th June Samitivej Hospital hosted the BCCT Healthcare Briefing on Prostate Cancer: HIFU: High intensity focused ultrasound – What All Men Must Know.

From left: - Derek Stamp, Director of The London Brewery Co., Ltd. - Greg Watkins, BCCT Executive Director - Dave O’Donohue, Vectair Systems - Joe Ovenden, Vectair Systems

- Thanks to Samitivej Hospital for providing a very useful and important briefing on prostate cancer.

BCCT - MBMG Evening Insights

Joint BCCT/AMCHAM Briefing

10 June 2014

17 June 2014

Adrian Dunn, CEO of Brooker Sukhothai Fund and Paul Gambles, Co-founder of MBMG Group were speakers at BCCT-MBMG Insights on the topic of Coup d’etat or Coup de grâce for the Thai Economy on Tuesday 10th June.

On Tuesday 17th June Andrew McBean of Grant Thornton (left) and Cynthia Pornvalai of Tilleke & Gibbins (right) were guest speakers at the Joint BCCT/AMCHAM Boardroom Briefing on AEC.

- Finance experts Adrian Dunn (left) and Paul Gambles.

- Many thanks to Andrew McBean and Cynthia Pornvalai for their presentations.

Thank you to our sponsors and partners. 54

The Link

Issue 4/2014

Chamber Events

BCCT Two-Day Workshop

BCCT Boardroom Briefing

18/19 June 2014

24 June 2014

Neil Stoneham (pictured) from Voxtree was the facilitator for the BCCT Two-Day Workshop on Powerful Business Writing-Getting Results on Wednesday 18th and Thursday 19th June.

On Tuesday 24th June, Neil Stoneham(centre), Director of Voxtree, was guest speaker at BCCT Boardroom Briefing on Powerful Communication in the Global Market.

- Neil Stoneham makes his presentation to BCCT members.

From left: - Chris Thatcher, BCCT Vice Chairman - Neil Stoneham, Director of Voxtree - David Armstrong, Chairman of BCCT Communications Group

Smart City Workshop 19 June 2014 On Thursday 19th June The Radisson Blu Plaza Bangkok kindly hosted and sponsored the T3 at B/Sharp lobby bar that attracted an encouraging number of BCCT members and guests. T3 is now a well-established monthly event in the Chamberâ&#x20AC;&#x2122;s calendar.

From left: - Simon Matthews, BCCT Chairman - Peter Schuler, Radisson Blu Plaza General Manager

From left: - Lloyd Wilson, Berkeley International School - Bradley Jones, British Embassy

The Link

Issue 4/2014

Chamber Events

BCCT Boardroom Briefing

25 June 2014

26 June 2014

On Wednesday 25th June, Picharn Sukparangsee (pictured) of Siam City Law presented at BCCT Boardroom Briefing on Thai Tax Update 2014.

BCCT hosted the Boardroom Briefing on The Cloud on Thursday 26th June. Pictured is guest speaker John Lockhart, Cloud Client Computing architect at Dell.

- Khun Picham shares his knowledge and expertise on the latest tax changes in Thailand.

- Thanks to John Lockhart for his presentation.

BCCT/RICS P&I Presentation

BCCT Myanmar Briefing

29 June 2014

30 June 2014

Dr. Atch Sreshthaputra from Chulalongkorn University was guest speaker at a BCCT/RICS Property & Infrastructure Evening Presentation on Thursday 26th June.

On Monday 30th June, members joined the BCCT Myanmar Briefing: Update on Business and Legal Framework.

From left: - Ian Hamilton, Colliers International (Thailand) Ltd. - Dr. Arch Sreshthaputra, Chulalongkorn University

From left: - Andrew Patrick, British Ambassador to Burma - Lisa Weedon, Director UKTI Rangoon - Kathryn Thornton, Senior Associate Allen & Overy Myanmar

- Dr. Sonthaya Vanichvatana, Chairman of RICS Thailand

Thank you to our sponsors and partners. 56

The Link

Issue 4/2014

Chamber Events

BCCT ESB Briefing

BCCT Phuket Business Dinner

1 July 2014

3 July 2014

Members and non-members joined speaker Graham Catterwell for a frank and detailed presentation on the Thai Political Situation on Tuesday 1st July hosted by Hemaraj Land & Development at the Eastern Seaboard Industrial Estate.

Graham Catterwell (centre) was guest speaker at the first BCCT Phuket Business Dinner and delivered a detailed presentation on the Thai Political Situation. The event was sponsored by British Airways, ManpowerGroup, Property Care Services, Amari Phuket and Class Act Media.

- Thanks to Graham Catterwell for his presentation.

- Graham Catterwell (centre) is joined by BCCT Executive Director Greg Watkins (second right) and BCCT members.

Thai Language 2-Day Workshop

English Language 2-Day Workshop

16-17 July 2014

BCCTâ&#x20AC;&#x2122;s Management Development Group (MDG) organised a Two-Day Workshop on Smart Marketing & Competitive Strategies on Wednesday 16th and Thursday 17th July, conducted by Dr. Thaneth (centre) from Smart World Asia.

Pachara Yongjiranon from Smart World Asia was the facilitator for a BCCT Two-Day Workshop on Smart Presentation Skills on Wednesday 16th and Thursday 17th July.

- Workshop delegates take a break with Dr Thaneth.

- Khun Pachara makes a key point on how to sharpen your presentation skills.

Thank you to our sponsors and partners. The Link

Issue 4/2014

Chamber Events

BCCT Third Thursday Networking Evening 17 July 2014 On Thursday 17th July, Hilton Sukhumvit Bangkok hosted the T3 at Mondo Restaurant.

From left: - Chris Thatcher, BCCT Vice Chairman - David Ecija, GM of Hilton Sukhumvit Bangkok - Simon Matthews, BCCT Chairman

From left: - Andrew McBean, BCCT Board of Directors - Arthur Phillips, Flowco Management Services Ltd. - John Sim, BCCT Vice Chairman & Treasurer

Joint Chambers Networking Evening

AMCHAM/BCCT Breakfast Briefing

18 July 2014

23 July 2014

BCCT hosted the Joint Eastern Seaboard Networking Evening with AMCHAM, AustCham, GTCC & SATCC on Friday 18th July at the Dusit Pattaya. This event was kindly sponsored by Ogas Solutions, Focus Development and Construction, Samitivej Hospital and Dusit Pattaya.

On Wednesday 23th July Dr. Chula Sukmanop, Director of Thailand’s Office of Transport Policy and Planning (OTP) was guest speaker on Transportation & Logistics at an AMCHAM/BCCT Breakfast Briefing.

From left: - Pattaya Mail’s Paul Strachan - BCCT Eastern Seaboard Chairman Mark Bowling of Colliers -`BCCT Vice Chairman Chris Thatcher

Dr Chula’s presentation was well received by members of both chambers.

Thank you to our sponsors and partners. 58

The Link

Issue 4/2014

Comings and Goings The British Chamber of Commerce Thailand welcomes the following new members: equipment for OEM companies and end users. Aberdeen Asset Management Company Limited 179, Bangkok City Tower, 28 Floor South Sathorn Road, Sathorn Thungmahamek, Bangkok 10120 T: +66 (0) 2352-3333 F: +66 (0) 2352-3339 Website: aberdeen-asset.com

Representative: Mr. Korawut Leenabanchong, Chief Executive Officer Business Activity: We are a global investment management group, managing assets for both institutional and retail clients from offices around the world. Aberdeen is not distracted by competing internal business interests, so we are clearly focused on one purpose, managing assets for our clients. Our approach to achieve performance from our funds is open and straightforward. No black boxes, no short cuts. Simply asset management. Aberdeen Thailand is a full service operation, wholly owned by Aberdeen Asia and integrated with Group. We provide services to retail and institutional clients by managing mutual, private and provident funds.

Akaryn Hospitality Management Services Co., Ltd. 3 Soi Ladpraw 95, Ladpraw Road Wangthonglang, Bangkok 10310 T: +66 (0) 2539-4373 F: +66 (0) 2514-8112 Website:www.aleenta.com; www.akarynmanagement.com

Representatives: Mr. Eugene Oelofse - Brand & Communications Director / AHMS Mr. Paul Counihan - Director of Sales Business Activity: Ahms Hotels is an innovative hospitality management company catering to like minded owners and developers of hotels and resorts around Asia. Rewarding Lifestyles Our defining mantra is â&#x20AC;&#x2DC;rewarding lifestylesâ&#x20AC;&#x2122;. We go beyond simply creating and managing resorts to fostering unique environments that exceed expectations in terms of design, intuitive service and luxurious ambience. Destinations Offering Rejuvenation And Fulfillment We understand that running unique resorts demands higher standards of expertise, experience and efficiency than operating traditional hotels. This intimate knowledge is the direct result of having created our own critically acclaimed resorts

ARC Pacific Siam Ltd. Plot D2, 37 Moo 4 Hemaraj Chonburi Industrial Estate Bowin, Sriracha, Chonburi 20230 T: +66 (0) 95-861-0535

Representative: Mr. Michael Ruddick - President

We are a leader in the manufacture of industrial ovens and washers for the metal packaging, automotive, aerospace, foundry and electronics industries. We can fabricate a broad range of component goods including machine guards, handrails, platforms and brackets.

Arcadia (Thailand) Co., Ltd. 98 Sathorn Square Tower 17th Floor, Unit 1707 North Sathorn Rd. Silom, Bangrak, Bangkok 10500 Email: info@arcadia-engineering.com Website: www.arcadia-engineering. com

Representative: Ms. Rinnapat Lertsakkongkul - Business Development Executive Business Activity: Arcadia is a professional services firm headquartered in Bangkok, Thailand, providing engineering, design, procurement, project and construction management services for all aspects of the built environment. Up to the end of 2013, we were part of a multinational British global engineering firm. We became an independent company through a transfer of Thailand projects.

Business Activity: ARC Pacific Siam designs and manufactures thermal processing equipment, regenerative thermal oxidizers and custom industrial

The Link

Issue 4/2014

Avista Resort and Spa Patong Phuket 39/9, Muen Ngern Road Patong District, Amphur Kathu Phuket 83150 T: +66 (0) 76-681-681 F: +66 (0) 76-681-682 Website: www.avistahotelsandresorts. com

Representative: Mr. Ramesh Khendry - Group CEO Business Activity: Hotel Barnsley College TLC The Think Low Carbon Centre TLC, Honeywell Site, Honeywell Lane, Barnsley S75 1BP, United Kingdom T: +44 (0)12-2621-6254 Website: www.thinklowcarbon.org

access facilities and access to 100+ scientists across the fields of chemistry and biology, put us in a strong position to help develop your bio-based projects. Chaucer Foods UK Ltd. Brighton Street Industrial Estate Freightliner Road Hull HU3 4UN, United Kingdom T: +44 (0) 78-0283-5051 Website: www.chaucerfoods.com

Representative: Dr. Aurélie Bovi - Business Development Manager Business Activity: Whether you are an SME or a multi-national, in the UK or anywhere in the world, the BDC can help improve your process and product development in our R&D scale-up centre in York, UK (partly EU-funded). Our expertise, services, modular open-

The Link

Issue 4/2014

Representative: Ms. Flora Sam - Marketing Manager, Events

Representative: Mr. Oliver Dukes - Sales Manager Cliff Premiums Unit 502, 5th Floor Kwong Loong Tai Building 1016-1018, Tai Nan West Street Cheung Sha Wan, Hong Kong T: +852 2148-4881 F: +852 2148-4381 Website: www.cliffpremiums.com Representatives: Mr. Trevor Dobson - General Manager Mr. John Hocking - Sales Manager

Representative: Mr. Barry Dolan – Principal

The Biorenewables Development Centre The Biocentre, York Science Park Heslington, York YO10 5NY United Kingdom T: +44 (0) 19 0443 5364 E: biorenewables@york.ac.uk Website: www.biorenewables.org

The Economist Group, Asia-Pacific 6001 Central Plaza 18 Harbour Road Wanchai, Hong Kong T: +852 2585-3841 F: +852 2802-7007 Website: www.economistinsights.com/ asia

Donasonic Unit 14, Shaw Wood Way Doncaster DN2 5DB, United Kingdom T: +66 (0) 87 340 7386 Website: http://www.donasonic.com/

Representative: Mr. Sean Cassidy - Director Business Activity: Donasonic provides a solution for waste recycling and clean bio-energy sources from recycled materials. Donasonic designs, manufactures and installs recycling machines to process matter that results in sanitised (clean) Bio-Mass or BioFuel for use in further processes as saleable clean raw materials.

FIRCROFT Level 22, Unit 2202, Pacific Place 2 142 Sukhumvit Road Klongtoey, Bangkok 10110 T: +66 (0) 2653-2947 F: +66 (0) 2653-2948 Website: www.fircroft.com

Representative: Mr. Damien A Lee - Country Manager Business Activity: Fircroft has been established in Thailand since 2006, assisting with the recruitment requirements of multiple clients in the region. Growing from strength to strength, Fircroft offers its services from three local offices based in Bangkok, Chonburi and Nakorn Sri Thammarat, supplying highly skilled personnel in the following sectors: • • • • •

Oil & Gas (onshore and offshore) Petrochemical & Process Marine & Subsurface Civil & Structural Automotive

We currently source candidates for contract and permanent roles in a variety of disciplines including engineering, construction, HSE, procurement & logistics, and drilling & completions.

Great Heck Brewing Co., Ltd. Harwinn House, Main Street, Great Heck, Goole North Yorkshire DN14 0BQ United Kingdom T: +44 (0) 77-2338-1002 Website: www.greatheckbrewery.co.uk Representative: Mr. Denzil Vallance - Managing Director Green Planet Innovations The Reed Suite, Doncaster Trades, 19 South Mall, Frenchgate Centre, Doncaster DN11 1LL United Kingdom T: +44 (0) 77-5384-2513 Website: www.gpinnovations.co.uk Representative: Ms. Jodie Cooke - Office Manager

Hergest Designs Ltd. 4 The Business Plaza, Owen Way, Leominster Enterprise Park Leomister HR6 0LA United Kingdom T: +44 (0) 15 6861 7100 Website: www.hergestdesigns.co.uk Tweet: Hergest handbags Facebook. Hergest Handmade Handbags

Representative: Mr. Robert Magee – Director International Sales Business Activity: Design and manufacturer of quintessentially Great British Tweed and Motoring themes Fabric Handbags made of finest Wool woven in local mills in Wales. Our Gladrags ranch includes motoring themed Silk ties, bow ties and ladies scarves. These are much admired by the vintage motoring club fraternity including Bentley, Bugatti, Morgan, MG and Jaguar owners clubs.

We have recently added Tweed ties and Tweed car and picnic Blankets to our range and these have been bought by customers from as far as Tasmania, Canada, Japan and the USA. The addition to our forthcoming briefcase and luggage ranges will be a real eye opener for those executives looking for the extra special and different business statement in fine leather with the Hergest Tweed theme carried through a panel on the front - very special indeed and all so “Quintessentially British”.

HSBC Singapore 21 Collyer Quay, #21-01, HSBC Building, Singapore 049320 T: +65 6658-3300 F: +65 6225-1330 Website: www.hsbcprivatebank.com Representative: Mr. Desmond Ho – Director Business Activity: Headquartered in London, HSBC Group is one of the largest financial services organisations in the world with an international network located in 80 countries and territories.

IMPACT Exhibition Management Co., Ltd. 99 Popular Road, Banmai Sub-district Pakkred District Nonthaburi 11120 T: +66 (0) 2833-4455 F: +66 (0) 2833-4456 Website: www.impact.co.th

Representatives: Mr. Loy Joon How - General Manager Ms. Pornphan Bulner - Assistant Director of Exhibition Project

Business Activity: IMPACT Arena, Exhibition and Convention Center is managed by IMPACT Exhibition Management Co. Ltd., we are a Customer Led venue that offer our flexibility, our size and the integration of our facilities and services to deliver one stop and total solutions to our customers with an array of professional and valued added services.

Kubikos Ltd. 2, Fulthorpe Grove, Wynyard Vale, Wynyard, Cleveland TS22 5QZ United Kingdom T: +44 (0) 77-8958-5475 E-mail: john.wright@kubikos.co.uk Website: www.kubikos.co.uk

Representative: Mr. John Wright - Managing Director Business Activity: Kubikos provides materials handling equipment and offering cost-effective solutions, in the specialist field of container logistics, to materials handling equipment problems for intermediate bulk packaging requirements. Our customers operate in all market sectors of the manufacturing, packaging, food processing and retail industries. Our service includes rental (hire), lease purchase and outright purchase arrangements together with associated products and services. Lifestyle Automotive Limited Blacknest House, Titness Park, Sunninghill SL5 OPS United Kingdom T: +44 (0) 13 4463-8731 Website: www.lifestyleautomotive. co.uk Representative: Mr. Tom Martin - Managing Director

The Link

Issue 4/2014

Master Group Corporation (Asia) Limited 2222/9 Ladprao 112 Road, Phlabpha, Wangthonglang Bangkok 10310 T: +66 (0) 2793-2222 Website: www.mgc-asia.com

Representatives: Dr Sunhavut Thamchuanviriya - Group Managing Director of Master Group Corporation (Asia) Mr. Chatvithai Tantraporn - Deputy Managing Director Rolls-Royce Motor Cars Bangkok Business Activity: The Master Group Corporation (Asia) Co., Ltd or MGC is one of the country’s most dynamic organizations in terms of vision, sustainable growth and business potential. Under the diligence and stewardship of Dr Sunhavut, Khun Sukolkarn and Khun Jerdnapang Thamchuanviriya – have successfully run MGC operations since 2000 through guidance from MGC Chairman Khun Viwat Thamchuanviriya. The Thamchuanviriyas has successfully transformed the MGC organization and its business units into a major powerhouse within the automotive retail and service sector. MGC achieved total revenue of approximately 15 billion baht in 2013 on the strength of a solid and diversified business portfolio that demonstrated a highly synergized structure.

New Cambridge Institute (Thailand) 29, Vanissa Building, 16th Floor Soi Chidlom, Ploenchit Road Bangkok 10330 T: +66 (0) 2252-3133 F: +66 (0) 2252-3134 Website: www.newcambridge.com

The Link

Issue 4/2014

Representatives: Mr. Bhongsakara Eiam-ong - Director Mr. Terry Bell - Director of Studies Ms. Ratchadaporn Pichaisriswad - Marketing Manager Business Activity: New Cambridge Institute (Thailand) is a world class language centre, offering courses in IELTS, Flexi Conversation, Business English, General English, IGCSE, GED, IB, A levels, TOEFL, TOEIC, English for Kid’s Confidence and Corporate Training. It also functions as a leading overseas education consultancy for the UK, Australia, New Zealand, the USA and China. Ocean Property Co., Ltd. 75/122-123, Ocean Tower II, 42 Floor, Sukhumvit 19 (Wattana) Sukhumvit Road, Klongtoey Nua Wattana, Bangkok 10110 T: +66 (0) 2661-6800 Website: www.oceanproperty.co.th Representative: Ms. Fuangfa Siripornnantana - Marketing Manager

OGAS Solutions (Thailand) Co., Ltd. 140, One Pacific Place Building Room 1608, 16 Floor Sukhumvit Road, Klongtoey Klongtoey, Bangkok 10110 T: +66 (0) 2653-3745 F: +66 (0) 2653-3748 Website: www.ogassolutions.com

Representatives: Mr. Jean-Martial Carpena - Area Manager – Indochina Mr. Nicolas Mouthier - Head of QHSE & Technical Support Business Activity: Ogas Solutions is a Specialized Support Services for Oil and Gas Industry dedicated to:

• • • •

Offshore, Onshore, Subsea & Marine Services Petrochemical Power & Energy Mines

Specialized in: • Turnkey Project Management Services • Engineering & Services • Staffing & Consulting • Training Radisson Blu Plaza Bangkok 489, Sukhumvit Road Klongtoey Nua Wattana, Bangkok 10110 T: +66 (0) 2302-3333 F: +66 (0) 2302-3344 Website: www.radissonblu.com/ plazahotel-bangkok Representatives: Ms. Amita Wongwai - Assistant Director of Sales Mr. Steven Ang - Executive Assistant Manager - Sales & Marketing

Somboon Advance Technology Public Co., Ltd. 129 Moo 2, 15th KM. Bangna-Trad Road Bangchalong, Bangplee Samutprakarn 10540 T: +66 (0) 2728-8500 F: +66 (0) 2728-8513 Website: www.satpcl.co.th

Representative: Ms. Napatsorn Kitaphanich - Executive Vice President - Corporate Office Business Activity: Somboon Advance Technology (SAT) is a leading manufacturing company for automotive and agricultural machinery parts.

Mr. Stephen W Golsby 6F1, The Park Chidlom, Chidlom Road Lumpini, Pathumwan, Bangkok 10330 T: +66 (0) 2255-4311 Background: Retired Global CEO/President Mead Johnson Nutrition Currently: • Non-Executive Director Mead Johnson Nutrition (USA) • Non-Executive Director Masan Consumer (Vietnam) • Non-Executive Director RMA Group • Advisor Thai Union Frozen Foods • Honorary Advisor Thailand Board of Investment Stonehead International Trading Co., Ltd. 100/44, Sunset Village, Hua Hin Prachuab Khirikhan 77110 T: +66 (0) 84 034 9440 Representative: Mr. William Cove - Managing Director Sulieman Neal Sullivan Group PCL Level 29, The Offices at Centralworld 999/9 Rama I Road, Pathumwan Pathumwan, Bangkok 10330 T: +66 (0) 2207-8634 F: +66 (0) 2207-8633 Website: www.snsco.net Representative: Mr. Rusty Anton Neal - Managing Director

Team Thinking Ltd. First Floor, 52 Florence Road, Brighton, East Sussex BN1 6DJ, United Kingdom T: +44 (0)1273 252620 Website: www.teamthinking.co.uk

Representative: Mr. Ian Davies - Director

Business Activity: Team Thinking specialises in providing development programmes that will enhance the performance of individuals and organisations. The company is run by Ian Davies, a trained coach and specialist trainer. Ian is based in Yangon, Myanmar, with the head office situated within the UK. All training combines tested theories, with the latest neuroscience based tools and experiential methods. No unnecessary jargon, just hard hitting training, that is memorable, effective and easily applied to business. The backbone of the training are “Soft Skills’, those essential components that are the make or break of effective communication, personal growth and enhanced business performance. Vale Windows Vale House Warren Way, Crown Farm Industrial Estate Mansfield NG19 OFL, United Kingdom T: +44 (0) 16-2363-3112 F: +44 (0) 16-2363-3117 Representative: Mr. Richard Hackett - Owner

Vienna Capital Japan KK 3rd Floor, Sanno Park Tower 2-11-1 Nagatacho 2-chome Chiyoda-Ku, Tokyo 100-6103, Japan T: +81 90 2175 3306 (Japan) T: +66 (0) 98 158 3611 (Thailand) Website: www.viennacapital.jp

Representative: Mr. Paul T. Roy – President Business Activity: 1. Supply of European and Japanese manufactured Power Generators and Spare Parts to Asia for both stand-by and Prime applications. 2. Investment Advisory Services to financial institutions and retail clients. 3. M&A (Mergers and Acquisitions) transactions for companies worldwide.

4. Mining - owning and operating coal and precious metals mines. Resignations & Cancellations: • 9 Active Co., Ltd. • Amadeus Asia Limited • Amrop Gattie-Tan Soo Jin Recruitment (Thailand) Co Ltd • Anthony Collier Associates (Thailand) Co., Ltd. • Asia Web Direct Co Ltd • BAM Consulting Asia • British Business Association – Phuket • Clean Air (Thailand) Co., Ltd. • Ipsos (Thailand) Ltd. • Irwin Executive Services Co., Ltd. • Raimon Land Public Company Limited • Xetera (Thailand) Co., Ltd New Company Representatives: • G4S Secure Solutions (Thailand) Limited., changed from Mr. Mark Wakeford, to Mr. Chroong Kanjchanapoomi • Hilton Sukhumvit Bangkok., changed from Mr. Chris Ehmann, to Mr. David Ecija • Reckitt Benckiser Healthcare (Thailand) Limited., changed from Mr. Ata Safdar, to Mr. Reazul Chowdhury • Siam@Siam Design Hotel & Spa., changed from Khun Sanya Saengboon, to Mr. William Pang Changes of company name: • Jones Lang LaSalle (Thailand) Limited, changed to JLL • Lucy Asia Pacific SDN BHD, changed to Lucy Switchgear Eastern Seaboard Limited • The Regent’s School Pattaya changed to Regents International School Pattaya Members with new addresses: • Jardine Lloyd Thompson Ltd. 33/4, Building B, The 9th Tower, 31 Floor, Rama 9 Raod Huay Khwang, Bangkok 10310 T: +66 (0) 2626-5600 F: +66 (0) 2626-5655 • Spirax Sarco (Thailand) 95, Rama 9 Road, Soi59 Kwang Suanluang Khet Suanluang, Bangkok 10250 T: +66 (0) 2374-0344 F: +66 (0) 2374-0536

The Link

Issue 4/2014

FINAL WORD

George’s recipe for success By Dale Lawrence

’m not sure if the French have a recipe for humble pie – but there’s no doubt that several large portions are due for delivery to the Washington DC headquarters of the International Monetary Fund. The UK economy, under the safe stewardship of Chancellor of the Exchequer George Osborne, experienced 0.8 percent growth in Q2 this year and is finally back at the preeconomic crash level of early 2008 with PM David Cameron praising the ‘hard work of British workers and businesses.’ You may recall that so-called IMF ‘experts’, including Economic Counsellor Olivier Blanchard, criticised the UK’s austerity programme and called for higher levels of public

spending as a means of driving economic recovery. IMF Managing Director Christine Lagarde (pictured right), a former Finance Minister in her home country of France, admitted, in a BBC TV interview, that ‘we got it wrong’. She added, “The confidence building that has resulted from the economic policies adopted by the government has surprised many of us.” Her compatriot Olivier Blanchard, a lifelong academic at Harvard University and the Massachusetts Institute of Technology, predicted that austerity measures would stifle economic recovery and accused George Osborne of ‘playing with fire’. Blanchard then blamed the inevitable uncertainty of forecasts, rather

than his analysis, as the reason his prediction was so wide of the mark. It’s surely time for Olivier Blanchard to say ‘au revoir’ to the IMF and head back to the relative classroom comforts of the MIT campus in Boston, munching his humble pie as he takes a break on Interstate Highway I-95.

Salad days in leafy Lea

cia Constabulary and a police dog (possibly on a hi-viz lead) claimed to be acting on a ‘tip-off ’ that the cup was hidden at the pub. It was stolen in July this year from a house in nearby Weston under Penyard whose residents include BBC TV Top Gear presenter Richard Hammond. The extensive police search failed to uncover any holy relics but they did sniff out an old wooden salad bowl.

t’s nearly 40 years since Monty Python and the Holy Grail reached our cinema screens. In the days before ‘multiplex’, we ate choc ices and drank Kia-Ora by the gallon in our local Odeon as John Cleese, Michael Palin and the Python team brought us their own zany interpretation of King Arthur’s quest for the cup used at the Last Supper and then taken to Britain by Joseph of Arimathea. Imagine the shock felt by Di Franklin, the 58-year-old landlady at a delightful 15th century country pub in the leafy Herefordshire village of Lea, when police raided the Crown Inn in search of a wooden bowl known as the Nanteos Cup, said to

Crown Inn, Lea

contain healing powers and believed by some to be the actual Holy Grail. Twelve officers (no doubt wearing hi-viz jackets) from the West Mer-

“We get a few rogues and scallywags in the pub but no one who’s quite on the level of stealing a priceless ancient artefact,” said Di Franklin. Pub regulars at The Crown Inn are resigned to consuming local healing brews in more conventional vessels.

The views and opinions expressed on this page by Editor Dale Lawrence are entirely personal and do not reflect official BCCT policy. 64

The Link

Issue 4/2014