Bangkok Business Brief - Volume 3, Issue 2 - Mid-February/March 2014 by Mango Mango Ltd. Part.

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BUSINESS BRIEF Vol. No. 3, Issue No. 2 • Mid-February/March 2014 Read new business briefs everyday at www.BBBrief.com

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Teflon Thailand feeling the strain By Hank Vilmes

The protracted political conflict in Thailand’s capital is putting a strain on the Kingdom’s usually resilient economy. More than twenty people have died, and at least seven hundred have been

Inside General Interest 2 Government/Economy 3 Finance/Investment 4 Production 5 Real Estate 6 Retail/Services 8 Tourism 10 IT/Comms 11 The Calendar 14

injured since protests began in Bangkok at the end of November 2013. But as the conflict enters its fourth month, questions are starting to be asked by analysts, investors, business owners, and even by consumers, who realize that the longer this situation continues, the worse off the economy will be. Of course, this is not the first time that anti-government protests have shut down parts of the capital. In 2008, the People’s Alliance for Democracy (PAD), commonly know as the ‘Yellow Shirts,’ occupied Bangkok’s two airports for eight days. And in 2010, the United Front of Democracy Against

Dictatorship (UDD), or ‘Red Shirts,’ occupied parts of Bangkok for over three months, resulting in ninety-one deaths and more than two thousand injured. The economic effects of these two protests were significant, but each time, the Thai economy bounced back.

Many countries have issued warnings to avoid travel to Thailand. According to an industry analyst, Chinese tourists now account for 20% of tourism in Thailand, significantly more than in the past, and they seem to be more sensitive to political unrest. With the protests continuing through Chinese New Year in late January and early February, the effects were immediate, with many tour operators in Hong Kong and Mainland China cancelling all tours to Thailand.

According to the Thai News Agency (TNA), the current political protests have caused businesses to lose over 490 billion baht (US$15.07 billion) in revenue. These losses cut across various in- Last month, the Thai Hotel Assodustries, but certainly tourism and ciation reported that occupancy its affiliated sectors (hotels, air- rates in Bangkok were only 50%, lines, restaurants, and retail) have been hardest hit. Story continues on Page 13

P l a n n i n g , S u p p l y i n g a n d B u i l d i n g A s i a ’s R e c r e a t i o n a l I n f r a s t r u c t u r e

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General Interest http://goo.gl/ozbNM

Cross-cultural guru offers tips to Thai and foreign expats Diversity management has become one of the most important skills required for today’s managers. Pojai Pookakupt, a leading diversity and cross-cultural management expert, offers some tips for foreign and Thai executives to work effectively with a diverse team and environment. Thais working abroad or foreigners coming to work in Thailand would find many challenges that prevent them from working effectively and achieving the goals and strategy set by their companies, provided they don’t have the right skills and mindset. “First thing first is the mindset. Having differences is not better or worse. The key word is ‘synergy’. Executives need to recognise differences and have an ability to get more than two out of one plus one,” he said. The tips to deal effectively with diversity – which covers the ability to work not only in a cross-cultural... Full story: http://goo.gl/srZSCn

Govt help needed to boost entrepreneurs Global Entrepreneurship Thailand, a working group established to promote entrepreneurship in the Kingdom, believes that government promotion and outward-looking plans are key to the expansion of small and medium enterprises. GET’s president Steve Cheah said the lack of access to finance, start-up knowledge and incentives were the main problems faced by the entrepreneur. An increase in cross-border trade and looking outward was necessary for both entrepreneurs and SMEs so they can benefit from the AEC once it is launched in 2015. “Thailand is full of talented individuals with vast amounts of creative ideas. The problem is that they cannot develop these ideas into a sustainable business, and this is where our experience and expertise from Global Entrepreneurship Week can help,” Cheah said. GEW is an international initiative and a large global campaign that introduces entrepreneurship to more than 30 million people from 138... Full story: http://goo.gl/5s5qfH

Overseas business Social Network challenge: the quality targets ‘selfless’ of management reform in Thai society For many companies, managing overseas businesses is a new challenge. But it is something that cannot be avoided if a business wants to grow outside the current marketplace. Besides quality products, good service, strong brands and capital, a company needs to acquire a good business-management system to be successful abroad.

With the purpose of “selfless” reform in Thailand, a group of like-minded people from 185 various professions yesterday created “The Social Network for Thailand Reform.” The Network’s mission was set to focus on long-term reform in the country, said Secretary Poldej Pinprateep, former Social Development and Human Security deputy minister.

To have a good operation in another country, a company has to allocate resources required through the normal process of business planning for both short and long terms. Unfortunately, getting a business going in an overseas location can be slow because of the following:

“Thailand stands amidst a crisis, while our society is plagued with political cronyism and corruption, injustice and a media that is neither free nor fair. The government’s use of divisive propaganda has resulted in a total loss of confidence in our institutions of governance,” said Poldej.

Lack of effective communication. Routine communications can be made through e-mail, telephone calls and so on. But to ensure that business issues have been addressed in the most effective and efficient manner, a strong communication pattern should be considered. This can be in the form of regular meetings, reporting and conferences. The opportunity to exchange ideas and information should be opened for both local and headquarters people. Without this effective communication system, chances are local issues cannot be recognised and costly... Full story: http://goo.gl/C2enFV

He said that comprehensive reform, which would be focusing on all segments of Thai society, was urgently called for, including a legal framework to combat cronyism and institutionalized corruption; political and governance reform; judicial reform; economic reform to prevent monopoly; the promotion of good corporate governance and equitable division of wealth and much-needed social reform. More than 50 members showed up at a press conference in Bangkok, representing the sectors of media, business... Full story: http://goo.gl/0urAiO

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Mid-February/March 2014

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Chinese whispers as government deal hits rocks Academics and exporters alike believe there is something very fishy behind the government’s rice deal with a Chinese state enterprise, with some saying revocation of the deal could be due to government attempts to ease pressure from being investigated. Chookiat Ophaswongse, honorary president of the Thai Rice Exporters Association, said the ricetrading community has suspected for long that the deal to sell 1.2 million tonnes of rice was fake from the outset. When the National Anti-Corruption Commission started investigations into the transparency of rice deals between Thailand and China, the government declared it was scrapping the deal to cut off any more investigations, he said. “We are all aware that this deal was not real from the beginning, as the state enterprise is based in Harbin in northeast China, where people consume short-grain rice... Full story: http://goo.gl/jNRYMg

Asia market fuels hospital growth The Asia-Pacific market’s vibrancy has particularly aided the healthcare industry, where private hospitals are looking to make the most of this trend by investing in assistive technologies, according to a survey by Frost & Sullivan. Higher disposable incomes, deeper penetration of health insurance, and improvement in the overall quality of life have created a huge demand for quality healthcare services, the consultancy said. Therefore, there is rising interest in efficient and patient-safety treatment protocols that can be achieved using imageguided surgery (IGS) and robot-assisted surgery (RAS). A new analysis from Frost & Sullivan, “Image-Guided and Robot-Assisted Surgery Market in Asia-Pacific”, finds that the market earned revenues of US$217.4 million (Bt7.08 billion) last year and estimates this will grow at a compound annual growth rate of 22.1 per cent to reach $590.4 million in 2018. “In Asia-Pacific, there has been a steady inflow of medical tourists requiring surgical interventions for non-communicable diseases,” said Frost & Sullivan healthcare consultant Poornima Srinivasan. “Faster recovery, accuracy and... Full story: http://goo.gl/SoLII2

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Government / Economy

December 20 11

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Reforms could be beneficial, as the countries’ growth rate will be constrained by Fed QE tapering in coming years.

“[For Thailand], infrastructure enhancements are key, underscoring the importance of getting traction on the government’s plans in this area. Skill shortages also need to be addressed, and it is necessary to improve technological readiness and encourage more innovation to allow Thailand to continue to move up the value-added chain. Re-orientation of government spending away from excessive subsidies, including the rice programmes, will help reduce the fiscal deficit and... Full story: http://goo.gl/YDZFf9

Ensuring our readiness for the challenges of upcoming AEC

From here on in, we have less than one year before the Asean Economic Community commences. As the AEC opens up the region’s markets, we will be tested on our ability to capture the many opportunities and handle numerous threats. How well we can handle these elements will depend on our readiness and preparation in finding various opportunities amid constraints, as we will be able to trade freely as never before. If we start by looking at the market size, which will increase tenfold from 60 million people in Thailand, our abilities to make the most of these opportunities will depend on the efforts taken to understand our new target consumers, and how well we actually understand them. In looking at the overall picture, we can say that Asians share many similarities – from our physiques and hair colours, to our cultures. Although it is not exactly the same, the differences we have across the region are certainly less than the differences we have with the West. It is these similarities that can make it easier for us to understand and create opportunities in new markets. However, an in-depth evaluation will reveal considerable... Full story: http://goo.gl/hdW5KK

MPC may lower growth forecast

The Bank of Thailand’s Monetary Policy Committee may cut this year’s 4% GDP growth forecast, as downside risk is increasing on the back of the political turmoil. “The MPC will assess domestic factors such as public expenditure, exports and private spending in evaluating its economic growth forecast,” said central bank spokeswoman Roong Mallikamas. Mrs Roong said external factors look more promising, while the economic threat from domestic politics is rising. The MPC is committed to pro-growth policies, said Mrs Roong. Regarding the 2-trillion-baht infrastructure bill awaiting a Constitution Court ruling on its constitutionality, the MPC will further evaluate specific aspects of the... Full story: http://goo.gl/0waENn

Development slave to political tussle When another round of serious political conflicts started last November, no one imagined the clashes would continue for so long. But they are likely to carry on for quite some time given the deep disagreements that have set Thais against each other. Uncertainty over whether the Feb 2 general election will eventually become null and void, and when exactly a new government can be formed, has worsened the situation. This will surely put the country in a political vacuum for a prolonged period. No one knows how and when the political deadlock will be solved, but we all know that this situation will pose negative impacts and add risks to many businesses and industries while delaying high-value public projects. Manas Jamveha, director-general of the Comptroller-General’s Department, said the department has set overall and investment disbursement targets of 95% and 82% respectively for fiscal 2014 ending Sept 30. The government set a spending budget of 2.53 trillion... Full story: http://goo.gl/JKHpF2

ACT urges Yingluck to accept blame for losses

The private sector is calling on caretaker Prime Minister Yingluck Shinawatra to take responsibility for the controversial rice-pledging programme, particularly after the National Anti-Corruption Commission said that it would launch a full inquiry into her role in the scheme. The premier faces criminal charges if the investigation finds she was negligent in her duties as chairwoman of the National Rice Policy Committee, which oversees the scheme. She would also be required to step down from official roles. An NACC inquiry panel also decided to bring formal corruption charges against 15 people involved in government-togovernment rice deals. The suspects include former commerce minister Boonsong Teriyapirom and former deputy commerce minister Poom Sarapol. “We want to see concrete action from the government’s leader,” said Pramon Sutivong, chairman of the Anti-Corruption Organisation of Thailand... Full story: http://goo.gl/uovnZR

Murky outlook from analysts The economy is always hurt in times of political unrest, but economists expect limited fallout from the Bangkok shutdown. Usara Wilaipich, a senior economist at Standard Chartered Bank, said she has not quantified how the shutdown and mass rallies will act on the Thai economy, but her view is economic growth will pick up if the conflict dies down by mid-year. “If the protests continue beyond June, then they will affect the government’s budget disbursement and public investment, while inducing a psychological effect on investment in the bond and stock markets,” said Ms Usara. Her economic growth forecast this year remains 4.7%, as Standard Chartered has already priced in protests ending by midyear. Ms Usara said the baht is forecast at 34 to the US dollar until mid-year but... Full story: http://goo.gl/5roPl8

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Gold is poised to become an attractive investment after last year’s 16% plunge, with prices possibly breaking US$1,300 an ounce in the first quarter. Jaronvet Saksri, vice-president for investment consulting at Ausiris Futures, says gold will perform better this year after absorbing negative factors in 2013. The US Federal Reserve last year made noises about scaling down its quantitative easing programme, prompting investors to shift from hard assets like gold to chase dollar assets. The swing caused a nosedive in gold prices. “The gold price last year bottomed out already, hence from now it should return to an uptrend more or less,” said Mr Jaronvet. In addition, demand for jewellery has risen in the new year, driving gold prices higher. Mr Jaronvet anticipates gold prices breaking through a strong resistance level at 180 an ounce and maybe.... Full story: http://goo.gl/qhDzIb

Unrest hampers IPO schedule The ongoing political tensions, which some fear could last for six months, are taking a toll on initial public offerings (IPOs), with 25 companies having postponed their fund-raising plans until the situation eases, says the Stock Exchange of Thailand (SET). But the bourse is still maintaining its goals for a market cap from new IPOs at 210 billion baht and public offerings (POs) at 180 billion baht this year, said president Charamporn Jotikasthira, adding that the SET should rebound quickly once the political problems are resolved. The ongoing political stand-off, however, is partly to blame for the sharp decline in the SET’s average daily trading value to 31 billion baht year-to-date, down from 50 billion baht in 2013. Mr Charamporn said the SET remains attractive because of its low price-earnings ratio of 11.8 (compared with regional peers’ 13-15) and a low debt-to-equity ratio of... Full story: http://goo.gl/uy4Uox

SET gears up Fund flow: roadshows to expand HK, S’pore bourses Thai investor base stand to gain

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The Stock Exchange of Thailand kicked off its annual roadshows in various provinces by participating in the Money Expo in Chon Buri province this month. Its 2014 domestic roadshow plan aims to expand the investor base and match investment opportunities in six provinces with high growth potential that benefit in particular from the preparations for the Asean Economic Community (AEC) next year. The SET aims to expand the retail investor base continuously and strategically. Although the Thai stock market has recently been adversely affected by both internal and external factors, it can still be turned into an opportunity for investors to prepare themselves by seeking sharper investment tips and competence, in order to invest wisely ahead of the market recovery. Currently, there are 166,000 retail investor accounts in the provinces, equivalent to 17 per cent of total trading accounts. The nationwide roadshows will be held in Chiang Mai, Chiang Rai, Chon Buri, Nakhon Ratchasima, Songkhla and Udon Thani. These are key provinces in each of the country’s six regions, with significant economic and investment growth, on top of their superb underlying... Full story: http://goo.gl/WXvhhU

Large and stable stock markets such as Hong Kong and Singapore are expected to gain substantially from investment inflows from emerging markets such as mainland China or Thailand, where local investors are seeking to diversify, according to financial experts. China, the world’s second-largest economy, has been entering a new phase of economic development as the country starts to export capital. As mainlanders become wealthier, they want to shift their wealth out of the country as well as to seek investment opportunities, according to financiers based in Hong Kong. Many financiers who last week joined the Asian Financial Forum hosted by the Hong Kong Trade Development Council shared their views that funds had flowed across the region in recent years, as investors looked abroad to diversify their portfolios, shifting from country-focused investment. The Hong Kong Stock Exchange is expected to gain as it has a variety of asset classes, said K C Chan, the city’s secretary for financial services and the treasury. The Hong Kong bourse is the secondlargest in Asia after the Tokyo Stock... Full story: http://goo.gl/3Btw04

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Mid-February/March 2014

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UAC firm on biomass power plant projects Despite the political unrest, Universal Adsorbents & Chemicals Plc will proceed with its Bt2.7 billion biomass power plant projects at 21 locations in the North and Northeast. The 21 projects require an investment of Bt130 million-Bt150 million each. They will be driven by Napier grass mixed with animal waste to produce highly compressed biomethane gas in support of the government’s policy to develop alternative sources of energy for vehicles. Three projects are under construction for completion this year.

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Existing in a vacuum

“We are not business professionals but wanted to commercialise our research ourselves. That’s why we established the company,” said Naraporn Varith, the managing director of Crispy Veg & Fruit.

Kitti Jivacate, president and CEO, said yesterday that UAC’s investment in the power plants is protected from the political conflicts by the contracts to supply electricity to the state at the revised feedin rate of Bt4.90 per unit, up from Bt4.50, pending approval from the next elected government. UAC has already secured the needed raw materials, so the only hiccups would be some inconvenience in... Full story: http://goo.gl/gVZJ4e

Prior to that, Ms Naraporn worked at an international school in Chiang Mai before leaving to become managing director of the company. Her husband Jatuphong, whose research led to establishment of the venture, explained that in 2006, the price of longan plummeted, so he wanted to help farmers by adding value to it. Research took five years to complete, with... Full story: http://goo.gl/2mGUdY

WEH to launch first wind farm in Asean

Toyota upbeat despite rallies

Nakhon Ratchasima: Wind Energy Holding Co (WEH), Asean’s largest wind farm operator in terms of capacity, is poised to start its first wind farm project in the region next year.

Despite the ongoing political stand-off, Toyota Motor Corporation remains committed to expanding production capacity in Thailand to 1 million units a year over the next 3-4 years.

Chief executive Frank Hojerslev said WEH saw the potential of wind farm business in Indonesia, Laos, the Philippines and Vietnam because all those countries are focusing on green energy.

Kyoichi Tanada, president of Toyota Motor Thailand (TMT), said yesterday that the company has bought a plot of land near existing plants in Chachoengsao province but the expansion timetable is still up in the air.

Among these countries, Vietnam is the most potential market because its government is concerning about the energy security amid the fast pace of economic growth. WEH will penetrate those markets not only by itself but also via join ventures with its strategic partners. Mr Hojerslev said the business model of the wind farm will cover full integration from developer to operator which is likely to be applied to its business in Thailand. “We want to bring our expertise into the potential markets particularly in the Asean region” he said. “We hope to have tangible wind farm business there.’’ Since 2013, WEH has operated two wind farm projects in Dan Khun Thot, Nakhon Ratchasima with a total capacity of 207 mega watts (MW) worth 12.74 billion... Full story: http://goo.gl/hePUkA

...added that the set aside a signi company had budget of Bt20 ficant investment million for over0 million to Bt300 seas expansion Full story at http: . //goo.gl/bH6PF

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Nature and life in JuliusCaesar. 1997-98 wa are cyclical _ the impact of s a blessing, as the mains seasons of the yea 2008 would ha above the Europ the phases of the r, life and death, far worse ve been ean average. for the region, mo http://goo.gl/o on, the tides. ” Azman In Caught up in da zbNM India, China ily details, we eas Mokhtar, the managing and Thailand, ily forget that dir ect of or Kh Asia stands to rou aza ghly 12 percent nah the business wo of has cycles, too. rld told the CI Nasional of Malaysia, tion contribute to a the populaWe are all fam MB Asean Confe gain from W pension, while iliar with the econo rence. the we es t mi ak c ne bu sse sin s ess of cycle His com slowdown of expansion, con sion system are Thailand’s penments were... ... covery. Howe traction and re- Full story Full story at htt The shift of eco ver, other cyc at http://goo.gl/d nomic growth p:/ /goo.gl/rtpH3 lic ph al fu2 en u om ena affect... momentum to the Thailand near Preventing up numerous East has opened Full story at http://goo.gl/fJ to p opportunities olr of list of wor Asian acou Bangkok from t the Innovation gets lot of attentionthain ntries out, suggests an should not miss Panel: Asia bett weakest pensld’s sinking bigges er economist. io of n creation of new businesses, but the exf, not immun t systems: stud challenge e, The robust eco y from nomicits global crises grostruggle Greece, India, Ch wth of pansion of aChstart-up to Land subsidence ina and emand ina and Thailand erging economi caused by gro are home to the will open a ne es KUALA LUMPUR : The As weakest nationa water losses tops the list of und ian criopportunitybased bring new products tow market in the late 1990 l lems that mu probfor sis on Asian economi s was a wake-up pension systems in the st be solved in es to increase the cal wo l for rld cri Ba , the region that pp wealth from tra ir has turned eig led by a mix of acute sover- kok to mitigate the impact ngresearch is often overlooked. de in goods an out to be of n debt, young the cli services at a tim a blessing in d mate change on retire dis e States and Europ when the United nearly 15 years later, as the guise high ratios of pension ment ages, a study by multin flooding, says reg ers e are... ati ion on to fin al ’s wo an age rkers cia ncies. l sec and Full story at htt p://goo.gl/S65D6 able to sus tor is now strong and study poor pension take-up, a The conclusio showed. Founded in 2008 with 10 million baht in tain n is containe of shocks from a certain degree Grow with th d in a rep ort the entitled ow inWeChistern Hemisph fallout in the The Allianz Gl capital, Crispy Veg & Fruit eisflbased and Adaptation “Climate Risks of cy ere, according obal Investors cles in Asian Coast to a panellist Pe sio nn Me Su al staina gac at a recent As ere isRim ean tracks the bility Index, which Asian ities”, jointly conducted by the ang Mai’s ‘Th Mae Its goalconisferto a tiddistrict. ence. e Development Ba relative sustai men, which, tak in the affairs of nk na , the bil ity Jap of national pe en at the flo with the nsion systems International Cooperation Ag an take local leafruits internationally ds on to in 44 fortune”, wrote od, “There will be more cri ency ses in the sho countries around the world and the World Bank in 2010. Wil- future, , an we d d the the nu As help of innovation. Production began late mb ian crisis in tirees to people er of Greek re- The report of working age recommended re- Full story a... in 2010 at it 400-square-metre facility. at http://goo.gl/2 0yMD

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Production

December 20 11

Toyota runs four factories here, including a 12-billion-baht facility at Gateway 2 in Chachoengsao that became fully operational at the end of 2013 with a yearly production of 300,000 cars. TMT aims to increase annual capacity by 100,000200,000 cars at a cost of 15-20 billion baht a year. Toyota’s Thailand plants are now running at their maximum annual capacity of 850,000 vehicles. Mr Tanada acknowledged that political risk is a factor that normally influences foreign investment decisions. “If Thailand’s political unrest is prolonged, hitting overall economic growth accordingly, industry sales may miss their target,” he said. In 2013, Toyota sold 445,464 cars in the Thai market, down 13.7% from a year earlier, while exports totalled 430,929... Full story: http://goo.gl/dJUQtI

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Downtown condo prices up, yields steady at 5.3% in 2013 Residential rentals in downtown areas rose for the first time in 20 years in 2013 along with sale prices, resulting in condo yields remaining stable at 5.3%, says CBRE Thailand. The international property adviser sees growing demand and limited supply for two- and three-bedroom units, a climate that will push rents higher and produce consistent investment yields.

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Land prices in Bangkok and its suburbs are at worst expected to be maintained, and at best to rise by between 3 and 5 per cent this year, even though the property market is showing signs of falling amid prevailing uncertainties. “The price of land has never dropped since the economic crisis in 1997, although the country’s economy and property market slumped that year,” said Pruksa Real Estate president and CEO Thongma Vijitpongpun.

Rental yield is the return on a property’s capital value each year. CBRE Thailand reports that in 2013, the gross average rental yield before deductions was 5.3%. CBRE’s research team analysed condo rental transactions in Bangkok’s three most popular expatriate rental areas: Sukhumvit, Silom/Sathorn and Lumpini. The most popular type of unit was two bedrooms, followed by two-bedroom units (5.5%) and three-bedroom units (4.1%). Interestingly, the age of the... Full story: http://goo.gl/5IPruF

With most landowners not needing to sell if they cannot get the best price, the cost of land is showing no sign of falling despite the property market being negatively impacted by the political turmoil, he said.

Weaker baht good for foreign sales of luxury projects

Condo prices up as train lines draw buyers to city outskirts

Developers of luxury residential projects have benefited from the current weakness of the baht, with foreign buyers expanding their investment to buy a vacation home in the Kingdom despite the ongoing political turmoil, according to property experts.

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Land prices in greater Bangkok expected to hold up

Aliwasa Pattanthabutr, managing director of property agency CB Richard Ellis (Thailand), said that whereas the prolonged political situation had deterred some foreign interest in Thai properties, the depreciation of the baht against major currencies had help trigger demand from foreign buyers wanting to buy luxury condominium units – as they can buy Thai properties today at lower prices. “Most foreign buyers looking to buy properties in the region have a fixed budget to spend. With the baht declining, they can buy more expensive properties. In Phuket, we have recently been able to sell more expensive units in projects we represent,” she said. Foreign buyers of luxury residences costing more than Bt20 million now get much better value for money than they did last year, as the baht has fallen from 29-30 per US dollar to between 32.75 and 32.90... Full story: http://goo.gl/kquxUG

Greater Bangkok land prices have increased by a yearly average of 5 per cent, and by more than 10 per cent in some locations, since the revised appraised values announced by the Treasury... Full story: http://goo.gl/akxaus

The condo price index for Bangkok, Nonthaburi and Samut Prakan in the second half of 2013 rose by 5.6% year-on-year, with units along the skytrain extension line in Bang Na and the future MRT Purple Line posting the highest increases. Bangkok condo prices rose by 5.5%, while those in Nonthaburi and Samut Prakan were up by 8%, said Samma Kitsin, director-general of the Real Estate Information Center (REIC). The highest increase was found in the price range of 50,000-80,000 baht a square metre, up by 8.7%. Prices for the segment rose by 8.6% in Bangkok and 9% in Nonthaburi and Samut Prakan. The second-highest increase was in the range of 80,000 to 120,000 baht a sq m _ prices found only in Bangkok, where they rose by 7.9%. In Nonthaburi and Samut Prakan, the price driver was future mass transit lines such as the Purple Line and the Pink Line in Nonthaburi’s Muang district and the extension line in Bang Na district near Samut Prakan. Bangkok districts where condo prices rose sharply included Chatuchak, Huai Khwang, Phra... Full story: http://goo.gl/2YohrO

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HipFlat launches Hemaraj slashes Pattaya home search 2014 sales target

The section provides up-to-date sales and rental information on condominiums in this fast-growing market. This is the company’s second city to be covered after Bangkok, with more in the pipeline. HipFlat is like Google but for real estate. It is powered by a smart automated system that collects and processes offers from agents, developers, online classifieds and forums. There is no need for a homeseeker to search multiple websites because all the information is in one place. Currently, HipFlat has more than 23,000 active condo listings in Bangkok and Pattaya. The database is updated with 100-200 fresh listings every day. HipFlat is offered in the Thai, English and Russian languages. Most of the information comes from Thai nationals. Denis Nemtsev, chief executive of HipFlat... Full story: http://goo.gl/VWKJyu

stance.

“Certainly in the short term there are some constraints, but we are still signing contracts. It’s just a little slower to close transactions, as they are not familiar with Thailand and it takes a bit more time to ensure business is smooth,” he said. Political disruptions normally last only a short period, Mr Nardone added. As a result, Hemaraj is targeting singledigit revenue growth this year before accelerating in 2015. In the first nine months of last year, the company earned... Full story: http://goo.gl/dDSRaK

Due to rising concern over political instability, the SET-listed developer Sansiri Plc (SIRI) plans only 19 new projects worth a combined 33.3 billion baht for this year, about half of last year’s number, with a 29% decrease in presales.

Asia’s accelerating economic growth, rising industrial output and higher retail sales all point to a positive outlook for the region’s property markets during the coming year, according to Colliers International.

President Srettha Thavisin said the conservative business plan was based on the political crisis ending within six months. If it lasts longer than that, the company will stall some of the planned new projects.

Its research led it to expect that tight supply and rising rentals in core city locations will encourage office and retail tenants to relocate to less expensive decentralised areas.

In the worst-case scenario, the number of new projects launched, their sales value and targets for presales and revenue in 2014 will decrease significantly from last year. The focus will shift from upcountry back to Greater Bangkok, with 90% of new projects launched in and around the capital, up from 49% last year. Major provinces it entered with condos in recent years will see single house projects. It will also enter new markets or third-tier locations such as Phitsanulok, Nakhon Sawan, Nakhon Si Thammarat, Surin,... Full story: http://goo.gl/35yvPh

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Political turmoil sinks Positive economic Sansiri ambitions factors to drive for 2014 Asian property

“Like other developers, we’re very concerned about the gloomy political situation. We don’t want to see a prolonged stalemate, as the country’s economic fundamentals remain sound,” he said.

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Nature and life in JuliusCaesar. 1997-98 wa are cyclical _ the impact of s a blessing, as the mains seasons of the yea 2008 would ha above the Europ the phases of the r, life and death, far worse ve been ean average. for the region, mo http://goo.gl/o on, the tides. ” Azman In Caught up in da zbNM India, China ily details, we eas Mokhtar, the managing and Thailand, ily forget that dir ect of or Kh Asia stands to rou aza ghly 12 percent nah the business wo of has cycles, too. rld told the CI Nasional of Malaysia, tion contribute to a the populaWe are all fam MB Asean Confe gain from W pension, while iliar with the econo rence. the we es t mi ak c ne bu sse sin s ess of cycle His com slowdown of expansion, con sion system are Thailand’s penments were... ... covery. Howe traction and re- Full story Full story at htt The shift of eco ver, other cyc at http://goo.gl/d nomic growth p:/ /goo.gl/rtpH3 lic ph al fu2 en u om ena affect... momentum to the Thailand near Preventing up numerous East has opened Full story at http://goo.gl/fJ to p opportunities olr of list of wor that Asian countries Bangkok from out, suggests an should not miss Panel: Asia bett weakest pensld’s sinking bigges er economist. io of n SET-listed Hemaraj Land and Developf, not immun t systems: stud challenge The robust eco y from global cr e, nomic growtindustrial Greece, India, Ch ment Plc, Thailand’s h of Land subsidence China and em leading is es ina and Thailand erging economi caused by groun are home to the water losses top will open a ne es KUALA LUMPUR : The As d weake w opportunity targets s ian cri- pensi estate and As property on systems in st national lems that must the list of probfor sis in the late 1990s was a ian economiesdeveloper, wa be the to kesol inc cal up ved wo l rea for in rld cri se Ba , the region that pp their wealth from tra has turned eig led by a mix of acute sover- kok to mitigate the impact ngselling 1,600ser rai of land de this year, down of the n debt, clima vices at a time in goods and out to be a blessing in dis when the Unite nearly 15 yea guise high rat young retirement ages, a stu te change on flooding, say Sta d s rs ios tes dy lat of an er, by from last year’s 2,200 pensioners to wo d Europerai, citing political as the region’s multinational age financial sec rkers and ncies. Full story at htt are... p://goo.gl/S65D6 able to sus tor is now strong and study poor pension take-up, a Th sho tai impacts. e conclusion n a certain wed. is contained of sho e Grow with th a report Cube, from the fallou degre in entitled Pattanakarn Road e flow WesterncksHe t in Bangkok office: 1104/157 Noble and Adaptation “Climate Risks misphere, acc the The Allianz Global Inv of cycles in Asian Coast ording Tel:(66) 02.187.2640 1 • Email: Bangkok@juslaws.com estors- Pe to a panellist sio nn Me Su al stainability Ind gacities”, jointly at a recent As ‘Th con ex, ere ean President and chief executive DavidconNardu PhukettraOffice: The RoyalwhPlace, Chalermprakiat Ror.9 Rd is a tid ference. ich Asian96/14 cks the rel e Development Ba cted by the ative sustaina men, which, tak in the affairs of nk, the Japan bil- • Email: ity of Tel: (66) phuket@juslaws.com International en natio076.304.353-5 nal the flocustomers done said lea up 20% ofatnew ds to on to in 44 countries pension systems and the Wo Cooperation Agency fortune”, wrote od, “There will be more cri aro rld Bank in 201 Wil0. , and the As ses in the showed the numb und the world, have delayed investments sincefuture Deian crisis in tirees to people er of Greek re- The report of working age recommended rea... Fu cember as they adopted a wait-and-see ll story at http:/ /goo.gl/20yMD

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The fast-growing Thai property search portal HipFlat.co.th has introduced a dedicated Pattaya section in a bid to lead the way in property searches in Thailand.

...added that the set aside a signi company had budget of Bt20 ficant investment million for over0 million to Bt300 seas expansion Full story at http: . //goo.gl/bH6PF

“A striking feature in the market is likely to be a big increase in outbound capital investment by Asian investors,” said Simon Lo, executive director of research and advisory, Asia, at Colliers International. “They will be seeking to exploit the big differences between the property cycles in Asia and the US and Europe in order to achieve better yields and enjoy the strategic benefits of diversification.” Mainland Chinese investors are set to lead the way in this trend. They are likely to spend at least twice as much on overseas property assets as last year. Their favourite investment destinations will be gateway cities such as London, New York and Chicago. Taiwanese institutional investors will also be major players, after... Full story: http://goo.gl/hrPgbp

Execution sales to Unfazed Singaporean lure foreign investors investors still flocking The Legal Execution Department is plan- to Chiang Mai ning to improve access to property data for foreign investors and develop an eauction system in a bid to capitalise on growing demand stemming from Asean integration.

Despite the political turmoil, Singaporean investors will continue property development in Chiang Mai due to growth driven by airport expansion, a new convention centre and Asean integration.

Director-general Wisit Wisitsora-at said the Asean Economic Community (AEC), which will kick off late next year, has become a hot issue in many border provinces, evidenced by a sharp increase in property asset prices, particularly in northeastern and northern provinces.

Matthew Lin, managing director of Chiang Mai-based property developer Summit Global Developments, said the company and a group of Singaporean investors will launch three new projects worth a combined 1.2 billion baht in the province this month. “We are not worried much about who will take [political] power because everything, which was on-and-off many years ago, is already here like the airport expansion and international convention centre,” he said.

The Chiang Rai Legal Execution Office sold property assets worth 1.1 billion baht in fiscal 2013 ending September, 39% higher than the target. It has also seen 10-20% sales growth annually since 2011 due to the devastating floods in Bangkok that drove up property demand in Chiang Mai. “Assets for investment attract both Thai and foreign investors who see strong... Full story: http://goo.gl/nDCVj2

N-Park enters into joint ventures in the provinces In its best bid to diversify business risk, the SET-listed developer Natural Park Plc will enter a joint venture for six property projects, many upcountry, with an investment of 3 billion baht. “We’re not worried much about the political situation, as it has not affected our business plan,” said Nakorn Laksanakarn, the president and CEO. Three of the projects will have local partners _ a condo project worth 1.3 billion baht in Bangkok’s Sutthisan area, a condo project worth 700 million in Chiang Mai and a hotel costing 1 billion in a southern province. The other three projects include a hotel in Chiang Mai costing 1 billion baht and a single-house project worth 3 billion with unit prices of 30 million baht on Sukhumvit Soi 77. “The hotel business in Chiang Mai has recovered, driven by Chinese... Full story: http://goo.gl/ZNQXTR

There are also many shopping malls in the northern province including Central Festival, Promenada and the recently opened Maya. The high-speed train is a must-do project for the new government. The new projects will include Floral Parc Residences with three blocks of... Full story: http://goo.gl/HgzOMf

Developers warned of risks Economists and other experts are warning property developers to be more cautious about investment, cash flow and condo sales backlogs because they may be unable to turn these into revenue if the political crisis extends into the second half of this year. Prof Anusorn Tamajai, dean of Rangsit University’s economics faculty, said developers should manage risks amid political instability and economic uncertainty. If they borrow from abroad, they should manage currency risks. If they borrow in the domestic market, they should manage interest rates, he said. “If there’s any recession, it will be a man-made one as our fundamentals are good. Exports will be better than last year if the political problems end quickly,” Prof Anusorn said. He said property market growth relies... Full story: http://goo.gl/02b2lJ

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liam Shakespe are Nature and life ar seasons of the yea the phases of the r http://goo.gl/o Caught up in da m zbNM ily ily forget that Asia stands to the has cycles, too. We gain from W with the econo mi slowdown est of expansion, con c tr cov ery. However, The shift of eco o no mentum to the mic growth mo- phenomena affect... up numerous East has opened Full story at http://g opportunities that Asian countries out, suggests an should not miss Panel: Asia b economist. off, not immu The Tourism Authority of Thailand (TAT) The robust eco fr om no mi c gro wt will join hands private operators to global c h of Chinawith and em erging economi will open a ne es KUALA LUMPUR : Th w op po sis restore tourist confidence after rtunitythe in the late 1990 for mass Asian economies s wa wealth from tra to increase their call for the region that rallies by using different de incampaigns goods and outfor to be a blessi services at a tim ng e States and Europ when the United nearly 15 years later, as different markets. e financial sector Full story at htt are... is no w p://goo.gl/S65D6 able to sus tain of shocks from a certa Grow with th the fall e flow Western Hemi The upcoming campaign of cyclpromotional sphere, es to a panellist at a rece ‘Th ere will focus on market unlike is a tide segments, con ference. men, which, tak in the affairs of en at had the floa previous campaigns od broader leads on to for that tune”, wrote Wi , “There will be more cris l- future, an d the Asian coverage. The TAT and tourism opera-

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Nuovo uses halal to cater to Muslims Located in Bangkok’s old district of Bang Lamphu on Samsen Road, Nuovo City Hotel prides itself on being among the first four-star hotels certified with full halal criteria in Bangkok. This means its rooms are cleaned according to the halal guideline and equipped with extra amenities such as a qibla (the direction of Mecca) sign for prayers. “People often associated halal with halal food and restaurants. Our hotel is different in a sense that it is fully halal in all aspects,” said Nuovo City resident manager Adam Phadungsilp. “Halal certification is also about peace of mind when Muslim guests stay here without having to worry about fulfilling their religious obligations. Basically, it allows Nuovo City to cater to Muslims as well as non-Muslims,” he said. The global market for Muslim travellers is estimated to be worth US$200 billion a year, he added. To obtain halal certification, the hotel had to submit a... Full story: http://goo.gl/oT6ZFV

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tors have informed international tourists about the main protest areas, which are located only in Bangkok, while other popular tourist destinations such as Phuket, Chiang Mai and Pattaya remain safe for travel. Sugree Sithivanich, the deputy governor for marketing communications, said the TAT’s communications effort will help to keep up the country’s tourism when one destination faces problems such as political unrest or natural disasters. When the protests end, each TAT office in domestic and international markets should be able to create its own marketing and promotional campaign to serve... Full story: http://goo.gl/LHqSGN

Bt50 bn loss Tourist Police say expected in Q1 they need 2,000 revenue from tourism more men The tourism industry has lost income so far in the new year because of the political turmoil plaguing Bangkok, experts said. Small hotels and restaurants near protest sites have started to cut down their parttime workforces in response to lower occupancy rates and the lack of customers. According to Tourism Council of Thailand president Piyamarn Techapaibul, hotel occupancy in the affected areas of Bangkok has dropped to 50 per cent, while those the in central business district near protest sites have seen their rates dwindle to 40 per cent The TCT’s 2014 revenue target for the tourism industry is Bt1.3 trillion, but Piyamarn said that because of the protests and the government’s decision to declare a state of emergency in metro Bangkok, the industry was expected to see around Bt50 billion worth of income evaporate in the current quarter. That loss could swell to Bt80 billion if the situation remains unsolved until the next quarter. “In the past three months we have lost around a million of the 7.5 million tourists who had been planning to come to Thailand but now have decided not to... Full story: http://goo.gl/brpO0M

To re enter the st

The Tourist Police want the government to add 2,000 new officers to the force to secure their role in meeting the country’s tourism-revenue target of Bt2.2 trillion by next year. Pol Maj-General Apichai Tiamataya, commander of the Tourist Police Division, said the current number of officers, at 700, was not enough to deal with the fast-growing number of foreign tourists coming to the Kingdom. The more the number of arrivals rises, the more problems take place. He said it was important that the government recognises the need to bolster the division if it wants the tourism industry to keep driving the economy. In fact, what he has requested cannot compare to what the industry has contributed to the government’s coffers. The Tourism Authority of Thailand projects that 28 million foreign tourists will arrive this year, bringing in revenue of Bt1.33 trillion. The Tourism Council of Thailand says the number of arrivals could be even higher, at 30 million. In major tourist centres such as Pattaya and Phuket, the workload can be overwhelming. To help reduce this burden, the division has hired 1,000 temporary employees on one-year contracts... Full story: http://goo.gl/4KsxyJ

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The Tourism Authority of Thailand has earmarked 100 million baht to restore confidence among Asian tourists after the local political problems are resolved. The current political deadlock is seriously hurting tourism, particularly among sensitive markets such as China and Japan. The country lost more than 300,000 international tourists and 14 billion baht in tourism income last month alone. TAT governor Thawatchai Arunyik called TAT office directors in Asia for a meeting in Bangkok to outline a tourism restoration plan after the political crisis ends. China and Japan, the two important markets, will be the first two countries that TAT will gear up for serious promotion activities. The number of Chinese tourist arrivals dropped by 100,000, mainly from Beijing and Shanghai. Therefore, the TAT will seriously focus on promoting the Thailand in Kunming and Guangzhou instead. It will promote the route R3A, linking Thailand with Laos and Xishuangbanna.... Full story: http://goo.gl/wuM77m

Pattaya resort opening doors to seniors Absolute Living (Thailand), a new longstay operator, has expressed a strong determination to provide good retirement homes for the elderly with the launch of its first project in Pattaya. The project, due to open its doors this month, is the 150-rai Long Lake Hillside Resort, which is a 10-minute drive from central Pattaya. It has 36 villas to accommodate about 50 seniors. Managing director Pensiri Panyarachun said the company sees a lot of demand for high-quality retirement homes for Thais, who are living longer due to healthy lifestyles and medical advancements. “My friends got some work assignments abroad or upcountry for a few months but could not go because they were worried about their parents or grandparents. They didn’t trust to leave them at some home-stay projects, while some couldn’t find any good place,” she said. Ms Pensiri said retirement housing projects are growing in popularity and some Thais are gradually accepting that they can send their senior relatives to stay for a while. It’s not that young people do not want to look after them but sometimes the elderly want to socialise with... Full story: http://goo.gl/MwT6cW

To read the fu ll article of a 2014 BANGKOK BUSINESS story brief, enter the shor Mid-February/March ...added that the t code at the set aside a signi company had end the story into budget of Bt20 ficant investment goo.gl/bH6P your browser: of million for over0 million to Bt300 seas expansion F liam Shakespe Full story at http: . //goo.gl/b are

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TAT, airlines do CPR on Hong Kong

Infrastructure key to future of tourism in Myanmar

Bangkok.

digit annual growth. But this is dependent on the success of efforts to improve its infrastructure, from new hotels to airports.

H6PF Nature and life in JuliusCaesar. 1997-98 wa are cyclical _ the impact of s a blessing, as the mains seasons of the yea 2008 would ha above the Europ the phases of the r, life and death, far worse ve been ean average. for the region, http://goo.gl/o ” Azman In Caught up in da moon, the tides. Mokhtar, zbNM India, China the managing ily details, we eas and Thailand, ily forget that dir ect of or Kh Asia stands to rou aza ghly 12 percent nah the business wo of has cycles, too. rld told the CI Nasional of Malaysia, tion contribute to a the populaWe are all fam MB Asean Confe gain from W pension, while iliar with theThe rence. the we Authority of Thailand (TAT) es econoTourism t mi ak c ne bu sse sin s ess of cycle His com slowdown of expansion, con sion system are Thailand’s penments were... traction anwill ... d re- hold covery. Ho and airlines joint promotions FuMyanmar Full story The shift of eco wever ll story at http:/is confident that its newly at http://goo.gl/d , other cyclic nomic growth /goo.gl/rtpH3 ph al fu2 en u om ena affect... momentum to the next month to recover in the Hong Kong Pflourishing Thaila reventing tourism industry will attract nd ne up numerous East has opened Full story at http://goo.gl/fJ ar top opportunities olr ofarrivals that Asian countries list of w angkok market after tourist from than 3 million foreigners this year, or the ter- Bmore from out, suggests an should not miss Panel: Asia bett weakest pensld’s sinking bigges er economist. io of n Regent Group, owner of the Regent Chafell by 24% last month. up from 2.04 million in 2013. f, noritory t t im sy m un st challenge ems: study The robust eco from global cr e, nomiits c gro Greece, India, Ch wth of Chaam Beach Resort, expects Regent Land subsidence China an is es d emerging ina and Thailand caused by groun economies KUALA LUMPUR are home to the water losses top will open a ne : The As weake w(RHS) s the list of pro ian cri- pensi director st na opportu will help sis to am Hospitality Thitiporn Manenate, the TAT’s Tourism revenue wasd more than US$926 tional on systems of AsianSchool economies to inc nity for cal in the late 1990s was a wakein the world lems that must be solved in Ba bup l rea for cri se , kok to mitig the region that ppled by a mix their ngwealth from tra has turoffice, relieve the ser shortage of Hong Kong many ofairlines millionate(Bt30.4 the impactbillion) acute sovwill de Thai hospitality ned eignsaid er- clima of the last year. debt, vices at a time in goods and out to be a blessing in dis when the Unite nearly 15 yea guise high rat young retirement ages, a stu te change on flooding, say Sta d s rs ios tes dy lat of an er, by workers, both here and routes torkatpensi d Eu multinational age the region’s ers and new rope across the region. oners to wo financial seclaunchaspromotions ncies. and Full story at htt are... p://goo.gl/S65D6 able to sus tor is now strong and study poor pension take-up, a Th sho tai tract Hong Kong tourists e Maung n wed.next month. conclusionMaung Swe, vice chairman of the of shocks from a certain degree Grow with th a report entitl is contained in the fal ed “CTourism e flwill ow start Westein limate RisksBoard, said the indusrn Hemisphere lout in the The Allianz Glob The school’s first semester Myanmar and Ad of cy aptation in As cles , al acc Inv ording sion estors Pen- Me to a panellist ian Coastal Sustainability gacities”, jointly at a recent As Ind ‘Th con ex, ere ean June. Air-Asiantry would du have more room for growth conference. The TAT will collaborate which is a tide tracks the rel with Thai Development Ba cted by the ative sustaina men, which, tak in the affairs of nk , the Japan bil ity - International of national pe Cooperawith nsion system to offer cheaper fares this year, new destinations being leads on to for en at the flood, “There wi ways International tio n in 44 cou Ag s enc ll be more crises and tune”, wrote Wi y the World Bank l- future, an in the showe ntries around the world, 0. d the d the from numb Hong Kong Asian crisis RHS managing director Auggaphol in March forin travellers promotedin 201 across the country. The outtirees to people er of Greek re- The report of working age recommended re- via a... Full stolook Brickshawana said Thai tourism has en- to Chiang Mai, Phuket and Chiang Rai over next few years is for doublery at htt p://gothe o.gl/20yMD

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joyed average growth of more than 10% in recent years.

Asean tourism will show plentiful growth under the Asean Economic Community, causing a labour shortage. Piyaman Tejapaibul, president of the Tourism Council of Thailand (TCT) and managing director of Regent Group, said more than 8 million work in the tourism industry, with 100,000 new workers joining each year. Thailand has about 13,000 hotels with 550,000 rooms and hotel supply will... Full story: http://goo.gl/VC3C3q

Asean air deregulation stalls If Asean had fully implemented an openskies policy over the last 15 years, the growth of its aviation would have been greater and the economic benefits even more widely distributed. That is the argument put forward in “Asean Tourism and Air Liberalisation Really Ready for Take-Off?”, a new joint report by MyTravelResearch.com and the Pacific Asia Travel Association (Pata). The report shows that, if uninhibited, low-cost carrier (LCC) networks expand rapidly and create “new markets, new destinations and new economies”. This has been seen clearly in Germany, Spain and the US but only to a degree in Southeast Asia, despite the region being a new tourism hotspot. The authors, Carolyn Childs of MyTravelReserach.com and Chris Flynn of Pata, say rapid growth appeared in Asean’s LCC network after 2004, when AirAsia began to take advantage of partial deregulation. But that growth was largely driven by “growing economies and an expanding middle class”. Europe’s LCC networks, by comparison, with almost complete deregulation, grew at a similar pace despite having stagnant or sluggish... Full story: http://goo.gl/s2j77D

Hong Kong Airlines will also offer a oneway ticket special price of 2,100 baht excluding airport and oil taxes for Hong Kong to Bangkok, expected to take effect around the end of next month. The regular price for a round trip ticket is about 12,000 baht.

In 2016, two new international airports in Yangon and Nay Pyi Taw are scheduled to open, and this will help boost the flow of businesspeople and tourists into Myanmar.

Bangkok Airways plans to kick off a new route from Hong Kong to Chiang Rai in March. AirAsia plans to open a Chiang Mai-Hong Kong route. Ms Thitiporn hopes the new routes and promotions will restore tourist confidence in the... Full story: http://goo.gl/VTjdoJ

According to statistics for 2013, travellers from Asia commanded the biggest share of arrivals with 630,399 (70 per cent), followed by 158,163 from Western Europe (18 per cent), 62,628 from North America (7 per cent), and 28,079 from... Full story: http://goo.gl/jbeUUN

Concerted effort urged to tackle shortage of skilled tourism-sector workers

Hospitality marketing: a stagnant sea of safety and conformity

The hospitality industry in Southeast Asia has asked all operators to work together to tackle the skilled labour shortage to keep up with fast-growing tourism demand in the region. At the Asean Tourism Forum, delegates from the Asean Hotel and Restaurant Association said the skilled labour shortage was the biggest challenge for regional tourism sustainability. The problem in some emerging nations like Cambodia, Myanmar and Laos is more serious because they cannot produce enough graduates to serve the growing industry, while Singapore, Malaysia, Thailand and Indonesia have an easier time. Last year, hotel occupancy in Asean ran at 60-70 per cent. Suraphong Techaruvichit, president of the Thai Hotels Association, said yesterday that many cities in Asean were emerging as tourism destinations, which led to rapid growth, creating a labour shortage. Not only new graduates... Full story: http://goo.gl/C5UyVL

I have spent most of the last 15 years trying to convince others that service brands are more than marketing, communication and packaging: in short, service brands are not created by what you say about yourself, but by what you do and the way you do it. And yet the brand marketing love-in continues and billions of dollars of marketing money gets thrown down the drain each year because marketing promises have little in common with the reality of the guest experience. So I decided to journey into the world of hospitality marketing. If it’s as important to brand building as the majority make it out to be, it must be done really well, I mused, even if the images and words bear no relation to the real world. At least give me something compelling and distinctive to look at, even if it leaves me questioning the credibility of the claims. I’m now back from my jaunt into hotel marketing land and — despite the odd moment of inspiration and refreshment provided by some brands during my viewing — I am desperately in need of a double espresso before reporting my findings. First, I am able to confirm that... Full story: http://goo.gl/qw3Y2H

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Mercedes sales leap 56% in record year Mercedes-Benz has made a sales breakthrough by extending its lead in Thailand’s premium-car segment by selling a record 10,144 vehicles last year.

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Michael Grewe, president and chief executive of Mercedes-Benz (Thailand) Ltd, said 2013 was a “triumphant year” for the car maker. Mercedes-Benz achieved year-on-year growth of 56% by selling 10,144 cars, up from 6,513 in 2012, extending its lead in the premium segment for the 13th consecutive year. “We continued to enjoy a favourable response from customers, especially young-generation customers who have a passion for sportiness,” Mr Grewe said.

contact@nzihealthcare.com www.nzihealthcare.com

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Mid-February/March 2014

Harley revs up expansion Power Station Motorsport Co, the authorised dealer of Harley-Davidson in Thailand, will open showrooms and service centres in three regions of the country in a bid to double sales by 2018. General manager Ken Svensson said the company recently built a 100-million-baht dealership on Rama IX Road in Bangkok and will add three more in Thailand’s North, South and Eastern Seaboard. The upcountry sites will cost 30-50 million baht each, with the first one being a 1,000-square-metre facility in Phuket province to open this year. Mr Svensson declined to disclose the two other provinces but said the locations will depend on local residents’ average income and the population of the grey market. The company expects to double annual sales to 900 motorcycles within five years.

“The A-Class and CLA-Class were our most popular series, while the C-, E- and S-Class series nicely kept their growth... Full story: http://goo.gl/g5PmzU

Mr Svensson said this year’s goal is 33% sales growth to 600 motorcycles partly on the back of the new 4,000-sq-m... Full story: http://goo.gl/6ooija

Tesco Lotus ready to take on 7-Eleven

Competition heats up in Thailand’s skies

The landscape of the convenience store business is going to change drastically with the entry of retail giant Tesco Lotus.

Airlines, particularly low-cost carriers, will face intense competition from the entry of more players as well as other challenges such as the volatile political climate, according a Frost & Sullivan.

The British-owned hypermarket retailer has opened its first 365 convenience store in Bangkok as it seeks to challenge the lengthy dominance of Charoen Pokphand’s 7-Eleven chain. Tesco Lotus is planning to invest a huge sum to put a 365 store on every corner of Bangkok’s roads, said an executive from Ek-Chai Distribution System Co, the operator of the Tesco Lotus hypermarket chain in Thailand. The Thai firm recently rented a shophouse in the Pratunam area to open its first 365 store last month. The location is surrounded by the stores of its rivals _ FamilyMart and 7-Eleven. The company plans to spend about 10 million baht to open five 365 stores by the end of this year. One store will be at Thong Lor skytrain station. Salinla Sihapan, Tesco Lotus’s corporate affairs director, said the 365 stores will provide around-the-clock service. They will have yellow frontages and sell essential goods, beverages and ready-to-eat... Full story: http://goo.gl/xPIALw

“With the political unrest, air travel demand is expected to decrease, which will only intensify market concentration. Whatever the strategies of the various airlines are, 2014 is going to be an interesting year for aviation in Thailand,” Ravi Madavaram, an aerospace consultant from the consulting company, said. And given the imminent impact of the Asean agreement, the time lost at this juncture could be critical for Thai businesses, he said. Asean has triggered a mad rush by airlines to reach all the major markets in the region – Indonesia, Singapore, Thailand, Malaysia, Vietnam and the Philippines. But the latest zone of significant market activity is Thailand, predominantly because there has been no major low-cost carrier (LCC) founded in Thailand besides Nok Air. Indonesia has Lion Air, Singapore has Tigerair, Malaysia has AirAsia and the Philippines has... Full story: http://goo.gl/fsxZwR

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Harrods Tea Room, the long-awaited British luxury tea room and restaurant, has finally opened its doors in Bangkok. LME Co, a distributor of lifestyle fashion brands including Espada, F Fashion, Von Dutch, ESP and Rock Express, bought the sublicensing rights from Mitsubishi Corporation, the franchisee of Harrods Tea Room in Japan, to operate the chain in Thailand. The first tea room opened last month in Siam Paragon. “We’re branching out into food because we realise it is part of a lifestyle, and Thais like dining out,” said LME chief executive Boonchai Kongpukpaisarn. He ran a restaurant in Bangkok with the Chirathivat and Bhirombhakdi families almost 20 years ago, but it went out of business during the financial crisis in 1997. “I’m interested in the food business, and I love dining out. I dine out 300 days a year. Research shows the lifestyle business is a global trend. Food is all about... Full story: http://goo.gl/GSfnOM

To read the fu ll article of a 2014 BANGKOK BUSINESS story brief, enter the shorMid-February/March ...added that the t code at the set aside a signi company had end the story into budget of Bt20 ficant investment goo.gl/bH6P your browser: of million for over0 million to Bt300 seas expansion F liam Shakespe Full story at http: . //goo.gl/b are

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World’s largest healthcare network set

Airport primes expansion plan

of a 49-per-cent stake in Highway to Health, Inc, which sells and administers the GeoBlue international health insurance products. Blue Cross Blue Shield Association and a group of BCBS companies continue to own the remaining 51 per cent.

eastern terminal, costing 7 billion baht, and the third part covers a 2.6-billionbaht public utility system.

H6PF Nature and life in JuliusCaesar. 1997-98 wa are cyclical _ the impact of s a blessing, as the mains seasons of the yea 2008 would ha above the Europ the phases of the r, life and death, far worse ve been ean average. for the region, http://goo.gl/o ” Azman In Caught up in da moon, the tides. Mokhtar, zbNM India, China the managing ily details, we eas and Thailand, ily forget that dir ect of or Kh Asia stands to rou aza ghly 12 percent nah the business wo of has cycles, too. rld told the CI Nasional of Malaysia, tion contribute to a the populaWe are all fam MB Asean Confe gain from W pensi iliar with the econo rence. the , while The ofonThailand will proceed es t weakAirports mi c ne bu sse sin s ess of cycle His com slowdown of expansion, con sion system are Thailand’s penments were... tra cti on ... an d cov reThe Blue Cross Blue Shield Association with the design of Suvarnabhumi airery. Ho Full sto Fu The shift of eco we ry ll ver sto at , ry htt other cyclical at http://goo.gl/r p://goo.gl/dfu2 no u tpH3 mentum to the mic growth mo- phenomena affect... and Bupa are forming a strategic global port’s second phase at a cost of 1.3 billion Thaila P re nd ve up numerous East has opened Full story at http://goo.gl/fJ nt ne ing ar top op olr of liscreate Asian countries portunities that Bbaht angknext t of wor partnership that will theldlargest Construction will be ok frmonth. om ’s out, suggests an should not miss Panel: Asia bett w ea si ke nking bi er economist. st pe ggfrom ion off, nohealthcare est August and when work Index Creative Village Plc, Thailand’s largprovider network inns the world chcarried out t im sy m un st ems: study e, allenge The robust eco from nomi c growt obal Gr est event organiser, strengthened its glfor international health insurance cus- Land is sub complete, the airport is expected to eece, India, crises China and has sid Ch emerging econo h of KUAL are home to the ina and Thailand water losses ence caused by ground A LUMPUR : Th mies will open a ne weakest nationa eUK-headquartered top Asian cri- pensi w portunity its sis s the list of that presence in Myanmar international have a capacity in the lattomers. l prob- can accommodate lem on for own Asian economi byopforming e 19 s sys tha 90 tem s t was a wa must be s in es wealth from tra to increase their call for the region that ha ke-up crippled by a mix of the world, kok to mitigate solved in Bangexhibition company. company and the largup to 65 million passengers a year, said the acu de in goods an out to be healthcares tur ned eign deBupa te im sov pa ct erof the cli services at a tim a blessing in d mate change on disguise high bt, young retirement ages, e flooding, says rat a stupresident States and Europ when the United nearly 15 yeaest rs latUS-based ios of pension dy by multinati er, as the regionhealth insurance group Blue Makin Petplai. ers e are... on to fin al ’s wo an age rkers cia ncies. l sec and Full story at htt p://goo.gl/S65D6 able to sus tor is now strong and study poor pension take-up, a tai “We will run our business in Myanmar Cross and Blue Shieldshosystem are teamingThe conclusion is con n wed. of shocks from a certain degree Grow with th tained in a rep ort the entitled “Clim lout in theGeoBlue, e flow Weste ate construction Th rn Heup with five key will toerefalexpand the global healthand Ad Referring to the bidding, the Risks misph of cyareas aptati cles this year. This , according sioe Allianz Global Investors Pe to a panellist n- Megacities”, on in Asian Coastal n Sustainability at a recent As joi ntl Ind ‘Th y con ex, ere ean reflect our strong desire aconsolid offered in the USwh under part will the concourse buildductecover is a tid ference. insurance product ich Asianfirst tracks d by e in thetoaffhave the the De rel velop ati airs of men, which, tak ity of nationa ve sustainabil- Internation ment Bank, the Japan en at the flo l brands. al28 pension system Coop presence inleaMyanmar, is our overthe Blue Cross Blue Shield ing, parking bays and exit doors, costod , “Th ds on to fortunwhich era tio n ere in Ag s wi 44 enc ll and cou y be mo e”, wrote Wilthe World Bank ntr in 2010. future, and the re crises in the showed the ies around the world, numb Asian crisis in seas treasure,” said co-chief executive ing 40 billion baht in total, he said. The tirees to people er of Greek re- The report of working age recommended re- Full stosecond a... Kriengkrai Kanjanapokin. The partnership includes Bupa’s purchase part is the construction of the ry at http://go o.gl/20yMD

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Say ‘Cheese’ – Harrods opens in Bangkok

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Index set to put on show in Myanmar

The five businesses include event marketing and festive events, which will be handled by Myanmar Index Creative Village and Forever Event Solutions. Consumer insight and research will be conducted by Envirosell (Thailand). ICVex, a fully owned exhibition organiser and a joint venture with Forever Group, will provide an integrated media service. Forever Group is Myanmar’s leading media company and runs Channel 7, MRTV 4, TV Guide and Digital 4. Nucharin Paradeevisut, managing director of ICVex, said trade shows and fairs... Full story: http://goo.gl/ts29CZ

Japanese restaurant chains eye Thailand A new wave of small and medium-sized Japanese restaurant chains is setting a footprint in Thailand to tap the country’s growing appetite for food from the Land of the Rising Sun. The newcomers are joining many established market players. Among the new arrivals are Miguen, a healthy soba restaurant; Croissant Donut New York, which offers oil-free half-croissants half-doughnuts; Cup’n Roll, a popular sushi spot from Mikawa and Aiji; Tenjin, an award-winning udon restaurant from Yokohama; Todai Ramen, a popular ramen brand from Tokushima; Kinshiro, focusing on noodles and Japanese specialities; and Matsuya, a popular beef bowl and gyudon restaurant. In Japan, each has annual sales of 11 million to 3 billion yen (3.5 to 955 million baht). They are now showing their dishes at the “Discover New Tastes for Japan: Enjoy 7 Delicious Japanese Hotspots” event at Gateway Ekamai until March 23. The event is arranged by the Japan External Trade Organization (Jetro). Todai Ramen and the Tenjin udon restaurant chain plan to make their debuts in Thailand next year while Kinshiro is seeking Thai partners during this fair. A Miguen executive... Full story: http://goo.gl/7jgdds

Launching later this year, the partnership will combine the BCBS network in the US and GeoBlue’s and Bupa’s global networks, totalling more than 11,500 hospitals and 750,000 medical professionals in more than 190 countries. Bupa and BCBS companies will also develop insurance products offered through GeoBlue, ... Full story: http://goo.gl/JhHDwB

Britain takes on Asia: McLaren opens dealership in Thailand

McLaren Automotive is continuing to grow and strengthen its global retailer network with the appointment of the latest retail partner in Thailand. McLaren Bangkok is the eighth location in Asia for the British high performance sports car brand, and marks the 30th market worldwide. McLaren Bangkok will be operated by Niche Cars Co. Ltd., which is a specialist in the sourcing and sale of luxury and performance cars throughout Thailand. The latest location to be added to the McLaren Automotive retail portfolio will be located in the Siam Paragon luxury shopping mall in the country’s capital, which is one of the largest shopping centres in Asia. Commenting on the appointment, Mirko Bordiga McLaren Automotive Regional Director for Asia-Pacific, said: “We are extremely pleased to announce our latest retail partner in the region, which will bring the McLaren brand to Thailand. The Asia-Pacific region has seen rapid growth recently with the significant expansion of our retailer network, and further strengthens our brand presence... Full story: http://goo.gl/2R7byU

Another 1.2 billion baht will be earmarked for consultants and work supervision, he said. The AoT will find ways to raise funds for the expansion, including loans and fundraising, he said. Speaking about Don Mueang airport development, Mr Makin said the expansion work is expected to be completed by the third quarter of this year. It should be able to accommodate 18 million additional passengers per year. Referring to the regional airports, Mr Makin said Phuket airport’s new check-in... Full story: http://goo.gl/OHlQrH

Political infighting bolsters security camera market Security market demand for network cameras in Thailand will see double-digit growth this year, helped by the threat of political instability and increasing crime. Axis Communications, the largest global network camera firm, is confident in the Thai security market this year, as the Swedish firm aims to use Thailand as its sales and operational hub to support business expansion to Indochina. Waewdao Ajaramarayat, Axis’s distribution and sales manager for Indochina, said Thailand’s network camera market is expected to grow by 25% this year, its fourth straight year of strong growth. Even though a number of state bidding projects for IP cameras have been postponed due to the political crisis, small bidding projects worth 1-10 million baht remain strong, particularly upcountry. Ms Waewdao said Axis expects to see strong demand from corporate users, especially in convenience stores, the retail sector, office buildings, hotels and energy firms, as well as replacement demand shifting from conventional analogue to digital cameras. “The proportion of our private company sales will equal... Full story: http://goo.gl/jxDEEa

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Mid-February/March 2014

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SpaceX Falcon rocket lifts off with Thaicom digital TV satellite A Space Exploration Technologies’ Falcon 9 rocket blasted off from Cape Canaveral Air Force Station in Florida to put a commercial communications spacecraft into orbit for Thai satellite operator Thaicom. The 224-foot-tall rocket lifted off its seaside launch pad at 2206 GMT, soaring through overcast skies as it headed toward the satellite’s drop-off point more than 55,000 miles above Earth, or about one-quarter of the way to the moon. From that position, the 3,016 kg Thaicom 6 satellite is expected to lower itself to about 22,300 miles above Earth and shift the angle of its orbit so that it can be permanently stationed to beam highdefinition and digital television services to customers in Thailand and surrounding areas. The satellite, built by Virginia-based Orbital Sciences Corp, also is equipped to provide other communications services for customers in Southeast Asia and... Full story: http://goo.gl/eIJNX4

Makeover for women’s online community Jeban.com, an online women’s community, is undergoing a major facelift with the overhaul of its social video and mobile streaming app. Jeban.com plans to extend its content from beauty to other lifestyle products. The move is aimed at keeping up with changing consumer behaviour and attracting more customers with content marketing. “We expect member numbers to double to 300,000 in 2014,” said website founder Jeerapas Ariyaburoot. She said to reach this goal, it will allow users to log on to the website using Facebook accounts by June without having to sign up for its membership. Ms Jeerapas said the company will also refresh its content to serve the different formats of smart devices. “The proliferation of smart devices and wider coverage of wireless broadband has increased the number of customers accessing our website from mobiles, which now account for half our traffic,” she said. The company’s major advertisers are cosmetics and other beauty products, IT gadgets and technology firms. Marketing manager Tuvarak Panyangam said 95% of Jeban.com’s members are female urban dwellers. Ms Tuvarak cited a survey that found 30% of women... Full story: http://goo.gl/qrZcJW

AIS goes roaming in Myanmar Thailand’s mobile leader Advanced Info Service Plc (AIS) has become the world’s first operator to provide a data-roaming service in Myanmar to cash in on the growth of visitors to the formerly military-ruled nation. “It is essential to have a roaming service in Myanmar due to the large number of Thais and foreign visitors through Thailand visiting the country,” said Pratthana Leelapanang, senior vice-president for digital products and services. The service is provided in collaboration with Myanma Posts and Telecommunications, the state-controlled sole provider of telecommunications service in Myanmar, following AIS’s launch of roaming services for voice calls in 2011 and for text messaging last month. Last year, 1.95 million Thais visited Myanmar, a sharp increase from 95,000 in 2012. In the early stages, AIS targets 200,000 to 300,000 people will use its service in... Full story: http://goo.gl/1bXoH5

Car dealers take the digitisation road The disruptive influence of connectivity is changing the way business is conducted even in traditional industries such as automobiles. High real-estate costs, expensive resources and the need for innovation to stay afloat have compelled many automotive dealerships to shrink store space by about 20 per cent and resort to digitisation for interactivity with the customer, according to the latest analysis by Frost & Sullivan. As bricks and mortar give way to a “bricks and clicks” sales model, European original equipment manufacturers are pushing for standalone digital formats, while North America seems to prefer digitisation within existing franchise models. A new analysis by Frost & Sullivan finds that global carmakers are desperate to innovate and adopt a new retail model for the next generation of young car buyers, the so-called Generation Y, a generation that engages through collaborative consumption and targeted digital marketing campaigns. Frost & Sullivan expects that by 2020, 6070 per cent of new car sales leads are likely to be generated by a digital platform, be it websites, mobile sites, social media or apps. Automotive major Audi is at... Full story: http://goo.gl/lIzr5g

BANGKOK BUSINESS BRIEF

Mid-February/March 2014

Teflon Thailand feeling the strain Story continued from Page 1.

compared to the usual 80% at this time of year. Hotels in Bangkok, especially four- and five-star properties near the various protest sites, have responded by offering deep discounts to local residents to try to offset their losses. The Thailand Exhibition and Convention Bureau has moved to reassure the MICE industry that the protests have had little effect on business in the capital but is reporting that more than twenty meetings and seminars have been cancelled since the beginning of the year, with an additional ten events expected to be cancelled in March. Meanwhile, the Bangkok Post has reported that the number of shoppers at CentralWorld, a major shopping center next to one of the main protest sites, has dropped by 40%. Therefore, the owners of CentralWorld have decided, like they did in 2010, to give tenants a break on their rental fees, based on the level to which they have been affected. Most industry experts predict that a downturn in tourism in Thailand will help the tourism sectors in neighboring countries like Malaysia, Vietnam, and Indonesia, as the continuing uncertainty will likely affect new bookings for the coming months. Manufacturing industries are also being affected with government data showing that Thai imports dropped in January 15.5% from the previous year. Exports also fell close to 2%, after an increase of 1.9% in December. All of this has affected the GDP growth figures for 2013 and growth forecasts for 2014. Full-year growth in 2013 was only 2.9%, compared to 6.5% in 2012, and the final quarter of 2013 saw a dismal growth rate of only 0.6%. The government’s planned two-trillion-baht infrastructure investment, which many economists see as vital to the growth of the Thai economy in the coming years, has been put on hold until a new government can take office. Consumer and business confidence has fallen dramatically in the past few months, as the discord seems to have no end in sight. While shortterm investments are on hold, as everyone seems to be adopting a wait-and-see approach, the longer the stalemate continues, the more likely companies and consumers will start to reconsider their longterm investment plans. The president of Toyota Thailand, the largest automotive manufacturer in the Kingdom, has already warned that it might have to reconsider its major investment plans. Growth forecasts for 2014 were generally above 5% towards the end of 2013, but now many analysts have dropped their forecasts to around 3% and will probably become more and more pessimistic the longer the situation continues. Despite the optimism of certain economists, who still see potential for export growth to support the economy as a whole, many analysts are starting to call 2014 a ‘write-off year’ for Thailand. The government’s rice subsidy scheme may also provoke more conflict amid worries that the government won’t be able to pay farmers without going into further debt, a precarious situation since caretaker governments are not legally allowed to “add a financial burden to new governments.” So far, two positives have been the Stock Exchange of Thailand (SET) and the Thai baht, which have both remained relatively stable. But that stability could be challenged by more widespread outbreaks of violence or just by the situation continuing past Q1 into Q2. The two obvious questions on everyone’s mind are: Will the current impasse be resolved any time soon, and can it be done peacefully? Without a definitive answer to those two questions, it appears that Thailand’s economy will continue to slip towards disaster, and its reputation as ‘Teflon Thailand,’ a strong resilient economy that always bounces back, will be severely tested.

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Mid-February/March 2014

The Calendar

March

Sunday

For event details, enter the short code below the event into your browser:

goo.gl/6ngBg

Tuesday

Monday

Mango Metro Networking Party http://goo.gl/6ngBg

BCCT: Two-Day Workshop (Powerful Business Writing / Getting Results) http://goo.gl/G2QPzl AMCHAM: Joint Energy & Business Econ. Cmte http://goo.gl/EqYUvw

AMCHAM: Joint OSAC/Security/Energy – Thailand Security Situation Overview http://goo.gl/B8nTdc BCCT: Pub Night http://goo.gl/K39I32

AMCHAM: BOT Directors Meeting http://goo.gl/zTkiAq BCCT: Evening Presentation (Outlook for Thai Property Market) http://goo.gl/anGDvP

AMCHAM: ICT Cmte http://goo.gl/YbZuc0 AMCHAM: Tax Cmte http://goo.gl/TyTASA AMCHAM: Professional Women Committee http://goo.gl/5nnB7m

AMCHAM: Bus. Economics Cmte http://goo.gl/rm4G1Z BCCT: Special Luncheon http://goo.gl/5mQwcg AMCHAM: Marketing Cmte http://goo.gl/UbixmQ BCCT: UK Event – British Chambers of Commerce Annual Conference, London http://goo.gl/MkyQ4s AMCHAM: Board of Governors Meeting http://goo.gl/BsLTzK

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Mid-February/March 2014

BANGKOK BUSINESS BRIEF

Send us your event details for the March/April issue by March 21st to reid@bbbrief.com Wednesday

Thursday

Friday

AMCHAM: Healthcare Cmte http://goo.gl/28PtPN BCCT: Boardroom Brief. (UK Property Hotspots) http://goo.gl/mcVHyb AMCHAM: Citibank Ping Pong Charity Tournament http://goo.gl/hfpXGG

AMCHAM: ATCF Board Meeting http://goo.gl/qNx79q AustCham: Annual General Meeting (AGM) http://goo.gl/5TKcUf AustCham: Sundowners http://goo.gl/KuqXnL

AMCHAM: Board of Governors Mtg http://goo.gl/5SOim7 AMCHAM: Auto Council http://goo.gl/P1jLEh AMCHAM: Joint SME & Legal Cmtes http://goo.gl/xgwvr9

19 AMCHAM: APCAC Spring Summit http://goo.gl/G2R53B

AMCHAM: Myanmar Chapter http://goo.gl/scP2dE Joint: St. Patrick’s Day Shindig http://goo.gl/cmkm1C http://goo.gl/aPG91i http://goo.gl/J9auw7

AMCHAM: APCAC Spring Summit http://goo.gl/G2R53B BCCT: Third Thursday Networking Evening http://goo.gl/b7KkZq

AMCHAM: Santa Fe ChariBowl Tournament http://goo.gl/w47B2Y

26 AMCHAM: Monthly Luncheon http://goo.gl/no4ESP

BCCT: UK Event – British Expertise Thailand Briefing, London http://goo.gl/AuPImm AMCHAM: My’marChpt. Chevron Golf Tourney http://goo.gl/fPBsje AustCham: Sundowners http://goo.gl/8txM9b

AMCHAM: Food & Agri-Business Cmte http://goo.gl/o1HK0E AMCHAM: CSR Cmte http://goo.gl/mwzA9a BCCT: Boardroom Briefing (UK Property Tax) http://goo.gl/bSlcXO

Saturday

AMCHAM: Independ. Day Picnic Cmte http://goo.gl/ze6OS0 AMCHAM: Myanmar Chapter – OSAC http://goo.gl/ddX19V BCCT: Child Protection http://goo.gl/6VVcLG

AustCham: Voluntary English Teaching http://goo.gl/ZszQGK

AMCHAM: Greater Phuket Chapter – Growing MICE Business http://goo.gl/IZSovG Movers & Shakers Pattaya http://goo.gl/fYXvN

AMCHAM: APCAC Spring Summit http://goo.gl/G2R53B Joint: Eastern Seaboard Networking http://goo.gl/N3YJla http://goo.gl/TrBYxY http://goo.gl/NoQ43f

AMCHAM: Indep. Day Picnic Cmte http://goo.gl/FfJw0r Movers & Shakers http://goo.gl/xOfWr Joint: All Chambers YP http://goo.gl/z0ofza http://goo.gl/59E9Zs

AMCHAM: Adopt-a-School Dedication for Rose Marie Academy & Dee Richmond http://goo.gl/Nf0Y7h

Uretek AMATA Thai FP ad_Layout 1 30/09/13 5:06 PM Page 1

WE RAISE, RE-LEVEL AND RE-SUPPORT CONCRETE FLOORS AND DRIVEWAYS

We raise and re-level sunken floor slabs by injecting structural resins which expand as they enter the ground. This creates huge pressure. Voids and crevices are tightly filled, weak ground is compacted and strengthened and the floor is raised back to level.

If there are very weak soil strata below the floor, we insert PowerPiles to compress the soil and provide proper floor support .

Bumps & trip hazards disappear FAST! No excavation; no waiting for concrete to set. Minimal interruption for you.

At left is a prime example. Recently we re-levelled the canteen floor at a major, AMATA factory. PROBLEM

✔ SOLVED

PROBLEM

Here we used Uretek patented PowerPiles as shown above, because there was a significant stratum of weak soil below much of the canteen floor. Dangerous trip hazards had developed and tiles and walls were cracked. The floor was raised back to level and completely re-supported.

✔ SOLVED

Uretek Ground Engineering 02 152 0900 www.uretek.co.th info@uretek.co.th