Thai-Danish Trade News - December 1999

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Thai-Danish Trade News

is published

and

distributed to selected Thai and Scandinavian business executives and officials with an interest in ThaFDanish relations.

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a-r, t ll DANISH.THAI CHAMBER OF COMMERCE

1402/214th Fl., Glas Haus 1 Sukhumvit 25 Road, North Klongtoey, Wattana, Bangkok 1 01 1 0 Tel.: (66 2) 661-7761-3 Fax: (66 2) 661-7764

HE Jan Trajborg

Minister for Development Cooperation Royal Danish Govemment

PRESIDENT

Mr. Anders Nielsen

Maersk Bangkok Branch Tel.: 312-0312 Fax: 312-0350 VICE-PRESIDEN'I

Mr. Kamthorn Ounhirunskul Kamthorn, Surachet & Somsak Tel.: 440-0288-97 Fax: 440-0298-9 TBEASUREF

Dear Reader,

Mr. Axel Blom

Scandinavian Airlines System Tel.: 260-6252 Fax: 260-6269 BOARD MEMBERS

Mr. Anders Normann The East Asiatic ffhailand) Plc. Tel.: 285-6677 Fax: 285-5031 Mr. Poul Weber, TWF Ltd. T el.: 261 -2524 Fax: 261 -0738 Mr. Michael B. Ascot

Amroo lnternational Tel.: 260 2490 Faxi 260-2460 Mr. Terawat Tishabhiramya Asea Brown Boveri Ltd. Tel.: 709-3346 Fax: 709-2533 Mr. Hans Ulrich Hansen Jessen & Jebsen fihailand) Ltd. Tel. 714-3939 Fax: 714-3900 Mr.: Theinsiri Theingviboonwong

Denmark has a long history of commercial relations with Thailand beginning in the early 17th Century when the first Danish merchants arrived in Ayutthaya. Since then

the relations between the two countries have only been strengthened, and Thailand is today Denmark'S second largest trading partner in South East Asia, Second only to Singapore.

The development aid co-operation between Denmark and Thailand staded in 1961 , and in '1962 the first Danida project in Thailand, the Muak Lek Dairy Farm project, was initiated. In the coming years the co-operation was continued and expanded.

However, due to the increased economic growth in Thailand, the grant assistance programme was phased out in the mid-nineties, and the last grant{inanced projects is expected to be finalised by the end of 1999.

ISS/ESGO

. '

Tel.: 552-5015 Fax: 552-1260 Mr. Lars Boe Diethelm & Co., Ltd. Tel.: 332-6060-89 F ax: 7 42-4387 Mr. Arne Lovig Christensen Sabroe (Thailand) Co., Ltd. Tel.: (034) 823-725-9 Fu: (034) 422-634 Ms. Sayumporn SujintaYa Tilleke & Gibbins fel: 254-2640-58 Faxi 254-4302'4 EXECUTIVE DIRECTOR

Ms. Monica Holmgren

Tel.: 651-2805 Fax: 651-2652 HONORARY BOARD MEMBEBS

HE Niels K. Dyrlund Royal Danish Embassy, Tel.: 213-2021-5 HE Apiphong Jayanama Royal Thai Embassy Copenhagen Tel.: (45) 3962 5010 Dr. Charoen Kanthawongse Tilleke & Gihbins Tel;254-2640 Khun Thamnoon Wanglee Thai Aimays International Ltd. Tel.:513-0121 Khun Chote Sophonpanich Public Company Limited Sophon Krungthep Tel.: 871 -31 91-5 Fax: 427-0964

Still, Danida's soft loan facility, the mixed credit programme, has up to now been open for financing of development projects in Thailand. But by the end of the year also this facility will be phased out, as Thailand has recently exceeded Danida's maximum income-limit for support with mixed credits.

Already for some years, Thailand has been one of the main receivers of Support under the programme, And in recent months, intensive activities have led to the financing of an additional number of projects before officially closing down the programme. Three more projects, in different sectors such as health, education and power, have just succeeded in getting approval for financing by Danida. And one more project, also in the education sector, is expected to be approved by Danida in December.

In total, projects suppofted in Thailand with mixed credits thus amounts to almost

USD 150 million. Thereby, over the past years, Thailand has received approx. 4Oo/o of the total funds approved for financing with mixed credits, and will then be the so far most significant user of this programme.

All the projects focus on areas where there is a substantial need for upgrading and develooment in Thailand. At the same time they are within fields where Danish technology is competitive, available and suitable.

ROYAL DANISH EMBASSY

Commercial Section, 10 Soi Attakarn Prasit Sathorn Tai, Bangkok 10500 Thailand

-5

ax. 21 3-17 52 Mr. Henrik Petersen Counsellor, Head of Section Mr. Lars Friis Jensen, Commercial Counsellor Mr. Attakorn Sarooala, Senior Comm. Officer T

el.: 21 3-2021

F

It has been very gratifying to see, that it was possible to be able to provide financial support for such a significant and impressive portfolio of p@ects, which we irust will be implemented smoothly and be to the benefit of Thailand.

Ms. Srisuda Vilyalai, Comm. Officer

And based on our countries' long history of trading together, I am confident that

PUBLISHEb AND EDTTED BY

the excellent relationship between Denmark and Thailand and between Danish and Thai commercial parties will be further developed and strengthened in the years to come.

Danish-Thai Chamber of Commerce Royal Danish Embassy Scand-Media Coro., Ltd. GRAPHIC PBODUCTION

Scand-Media Corp. Ltd. 4n4Moo 3, Thanyakarn Village, Ramintra Soi 14, Bangkok 10230 Tel.: 943-7166-8 Fax: 943-7169

aA

Jan Trajborg Minister for Development Cooperation

Priaate Barhins d

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ffi;;;ffi''ealthcareequipmenttotheprovinciaIhosnita-I2wassignedonSeptember24,1999 bv (from teft) Niets otto Andersen,sr?!"\1.r?::::iv!il!;;;!ii*::tl::!*x::;zir"::i":::i":'[Jix,Jiili:!;!'{;3!x!]::Ji, Deputv Permanent se*etary or iuiotrc Heatth and Dr. iiroigsaxai nugkasuvapata, Mr' Niels 'J,,:;::#:;f:!:if::::::"';?:"i;:!i;:1i';;,:,,;nu"iipirii"Ean, Director,aeierai or oepaiment of skiil Devetopment and for pubric Heatth, To the right, Mr. Charturon iess Frederiksen, carr Kaas Dyrrund

"orgr"tuu,r;i

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the contract to

iipptv techiical

equipment for Thai technical colleges'

Thailand signed contracts with Danish companles worth 2,6 Billion Baht maior contracts During one busy week in september, Thailand signed to improve provincial public hospitals and with Daniih "orp"nies as well as technical centres all over Thailand' health care facilities On September 24, 1999 a con-

tract was signed between the

Ministry of Public Health and the Danish comPanY Skanska Jensen A./S worth 2,200 mill. Baht.

The major contract covers supplies of almost 5,000 Pieces of medical equiPment from Denmark, Thailand and third countries for 355 hospitals all overThailand'

The contract also covers training and education for Thai medical Personnel.

On SePtember 27, onlY a few days later, another major contract was signed between Department of Skill DeveloPment and Carl F fuS worth 440,rnill. Baht.

That contract covers suPPlies and installation of technical equipment for 12 Provincial Skill Development Centres in different Pafts of Thailand - as well as training and education of teachers in the utilization of the equiPment.

A third contract for equiPment

to agricultural and fishery colleges in the provinces likewise lined uP for signing had to be rescheduled as explained in the separate ar-

ticle on page 9.

In total, the three contracts constitute around two thirds of one year's total worth of Danish exoorts to Thailand and signifies

a success in the RoYal Danish Embassy's struggle to complete the three Projects Put uP for financing bY Danish mixed credits - so-called softloans - before the deadline for aPPlication of these '1999' loans exPire bY Year end

The contract with Skanska Jensen follows the successful completion of the first Phase of the project to uPgrade a large

number of Provincial hospitals to provide better Public health care to the maioritY of the PoPulation of rural Thailand. That first phase

was initiated three Years ago and was likewise financed with Danish mixed credits.

A minimum of 20 Percent of the medical suPPlies must be sourced in Thailand and in general 50 Percent must be sourceo in Denmark. The remaining suP-

plies may be sourced from anY third country.

The contract with Skanska Jensen fuS was signed bY Mr' Niels Otto Andersen, Skanska Jensen A/S, Mr. Niels Kaas Dyrlund, Ambassador of Denmark top Thailand, Dr. Sucharit Sripapandh, Permanent Secretary of the MinistrY of Public Health and Dr. Narongsakdi Aug-

kasuvapala, DePutY Permanent Secretary for Public Health' Thanking the Thai signatories

for the contract, Mr. Andersen

added that he was confident that Skanska would not onlY Perform

to the satisfaction of the Ministry but also be a worthY representative of Denmark in Thailand. Mr' Andersen was himself Posted to Thailand in 1983-84 working with

COWI Consult during the construction of the Sathorn Bridge over Chao PhraYa River and saYS' that he holds very fond memories of his time in Bangkok' As for this contract, Skanska

Jensen A/S has however assigned Mr. Chris Kragh to be based PermanentlY in Thailand during the imPlementation Period to suoervise the installation of the equipment at the Provincial hospitals. Mr. Kragh will together with his wife Vibeke move to Thailand in January to take uP this Posi-

ilon.

Carl F. has decided to imPlement their contract in cooPeration with a former Carl F customer in Thailand and at the same time

TT

Maybe we werc born under a lucky star. But hard work and determination made it

shine. iikrffi &fs$$ "._"^..!y"nE*F.ts

establish a Representative Office

in Thailand to supervise this company's performance.

Mr. Erling Pakula will be the resident representative of Cad F in Thailand. Among his duties will also be to explore possible additional business for Carl F in Thailand. now that they have established a foothold here.

At the signing ceremony, Mr. Chaft uron Attawiparkpaisan, Director General of Department of Skill Development was quite outspoken in his criticism of one other company which submitted a tender for the contract and when not being awarded it used the press to accuse the Department of Skill Development of having rigged the bidding.

"On the contrary" Mr. Charturon said, "this tender was conducted strictly according to the guidelines of Danida and one of the most Lransparent proceedings we have had."

Mr. Charturon went on to say, that it was his hope that this first public contracl between the De-

partment of Skill Development and Carl F would pave the way for the next project.

On the negative side, he criticized the Danish companies for nol showing more interest in winning a contract worth 440 mill.

Bah[ - only 3 Danish companies had submitted tenders. He also warned Carl F to make sure they delivered good, sturdy equipment with a long lifetime or they would never have a chance of following up the government contract with commercial industrial orders.

Danish Ambassador Niels K.

Dyrlund in his congratulal.ory speech noted, that the Danish government was particularly pleased that its softloan facility would be used to develop the quality of the human resources of the Thai society.

"This agreement is indeed a very timely one since education and skill development is a centre piece of Thailand's reform program," Mr. Dyrlund said.

The Ambassador further said that for Denmark, due to the limited availability of raw materials, development of human resources had always been a matter of high priority. For mosl Danes education was a lifelong process that conlinued throughout the years of work.

Thanking thp Department of Skill Development and its Director General Mr. Charturon for the contract, Mr. Jess Frederiksen, Carl F. added that Carl F would do its outmost to live up to the confidence of the Department.

Danida reiected result of public'two-envelope' tender Procedures for a tender to supply 47 Agricultural and Fisheries Colleges with Danish equipment rejected by Danida.

A new tender for the contract worth over 100 mill. Dkr. was required to be arranged for.

By Henrik Petersen,

Economic and Commercial Gounsellor, Royal Danish Embassy For three years discussions have taken place between Department

of Vocational Education

was cona part

A two envelope system required for by DOVE and sequently all bids consisted of commercial and a technical - in separately sealed envelopes.

DOVE's evaluation of technical part resulted in

the

onlyone

companies passing the technical examination. Danida could as such not accept the iender result.

Consequently Danida recom-

mended that a re-tender be ar-

rangedforandthat-amongother things - a one envelope system was taken into use, allowing for

company passing the examination and consequently only one an evaluated comparison of price price envelope was to be opened. and technical content - which

be was accepted by Department ol such Vocational Education. is not compatible with Danida's The project is begin re-tenrules, under whiih a contract may dered and since the Mixed Creditonly be decided upon based on programme is begin phased out

Meanwhile, since this may acceptable under Thai law,

a price competitive evaluation, ofThailandacommercialcontract thus requiring a minimum of two must be entered within 1999,

(DOVE)

and Danida covering supplies of

educational eouipment for 47 Agricultural and Fisheries Colleges all overThailand - condition-

ally approved for financing through Danida's Mixed Credit

-

programme.

Based on discussions and

tindings - but without prior approval by Danida of procedures

and technical content - DOVE published a tender with closing date on 16 August 1999. Three Danish companies bid for the tender.

Thailand approved for more Mixed Credits?

Mixed Credits are 10-'15 years interest free tied loans. They may be granted to credit wotlhy countries listed on OECD's Development Commiftee's List of Developing Countries, As a result of the economic growth until 1997, Thailand is no longer eligible for Mixed Credits for new projects. Meanwhile, as a result of the economic crisis and the devaluation of the Baht since the summer of 1997 of more than 30 percent, Thailand may again next year be considered eligible for financing under DANIDAS Mixed Credit - programme. This will largely depend upon the key economic figures for Thailand to be released by the World Bank in the middle of year 2000.

Danish Firm to Lay Electric Gables to Six Thai lslands The order worth 130 Mill.

Baht will be financed by

Danish mixed credits

By James Eckardt

Thp larncqt e:hle manufacturer in Denmark. NKT is experienced in Thailand. having previously laid a power cable in 1984 to the large tourist island of Koh

the arrival of the cable ship from Denmark," he explains.

The current contract was won in an international tender in competiLion with over nine other in

Samui in the southern Gulf of

ternational companies. The is-

Thailand.

lands which will be connected to

21 \/inc PreSident

"That contract was worth

the national power grid are Koh

Marlin Jensen of the Danish cable

DKK 70 million," recalls Pongpit Promnart, who has been NKT's

Samet in the Gulf of Thailand, the Andaman Sea islands of Koh Yai Noi and Koh Yao Yai off the resort island of Phuket and Koh Klang in the neighboring province of Krabi and Koh YaraTot Noi and Koh Yara Tot Yai in the province of Satun, near the border of Ma-

On v, , Sontomher vvvLv,,,vvl

firm NKT signed a contract with Thailand's Provincial Electrical Authority to lay underwater electric cables to six islands in Thailand. The NKT project is worth over 130 Mill. Baht.

The cables will provide power to Koh Samet, a national park and local residential area on the eastern seaboard in the Gulf of Thailand, and to five southern islands in the Andaman Sea, part of the provinces of Phuket, Krabi and Satun. Previously, these islands have till today breen dependent on local generators for electricity.

agent in Thailand for fifteen years.

"l was on the cable-laying ship then, working with twenty Danish technicians. The job took four months."

"Our present contract to supply six more islands with electricity is our first successful bid since

then. We're only waiting for approval now from Danida for a ten

year interest free loan, and the signing of a contract with the Min-

istry of Finance."

"Then we can start making technical plans and prepare for

laysia.

"Whether we will start cablelaying first to Koh Samet in the Gulf of Thailand or to the islands in the Andaman Sea will depend on the weather," comments Mr. Pongpit.

"The seas are too rough dur-

ing the June-September monsoon in the Andaman Sea." 9

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Som indgang til IB har skolen en pre-IB klasse, som svarer til 1. g matematisk, hvor undervisningen er tilrettelagt pA engelsk.

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Bnsgc os pA sxotuN

Japan's ANA has joined Star Alliance

The East Asiatic Thailand is back making money

Now Singapore Airlines, Mexicana Airlines and Austrian Airlines are waiting to join next year.

Nine months result up three times that of last year and volumes in EACT's chemicals trading is up 6 percent.

Mr. Anders Normann, Managing Director of EACT has closed down aIIloss making EACT activities and the company now generates substantial profits.

EACT is back making money. In

nificantly above the 1998 result," the SET report says. "ln line with results recorded during the first I months, the Company also expects results from its investments in joint ventures to be considerably above

StarAlliance - the global airline alliance of among others SAS and Thai Airways International - was on October 15 expanded by the sixth largest airliner in the world and the largest in Asia - the Japanese All Nippon Airways, ANA. CEO of Scandinavian Airlines System, Mr. Jan Stenberg was among the many VIP's to attend he ceremony in Tokyo marking the entrance of ANA into the Star Alliance as its ninth member,

"We are very pleased with having ANA as our new member,"

Mr. Jan Stenberg said on behalf of all the CEO's of the Star Alliance.

"The quality of their fleet and the extension of their network in Jaoan and abroad and not least the level of their customer service makes ANA the ideal airline to ioin our alliance."

Mr. Kichisaburo Nomura, President and CEO of ANA, responded by saying, that for ANA to become a member of StarAlliance was an important step into the next millennium.

ANA serves more than half the domestic Jaoanese market and flies on more than 28 destinations overseas, serving today 41 million travellers per year.

Dr. Cheong Choong Kong, CEO of Singapore Airlines, which in the spring will be the next airline to join the alliance, were also present at the celebrations. Singapore Airlines' 90 destinations covering 40 countries will likewise be a considerable contribution to the Star Alliance network.

Apart from Singapore Airlines, also Mexicana Airlines and Aus-

its latest report for the first nine months of 1999 to the SET, EACT repofted a net result after tax of 247.2 mill. Baht, compared with 68.2 mill. Baht during the same period last year.

The profit is generated on practically unchanged revenues for the oeriod of close to 2 bill.

Baht, The improved result is thus not least due to the company's exit from loss making activities.

The company's core business within distribution of industrial in-

gredients continued to benefit from the improvements within the Thai manufacturing sector and

achieved a result significantly above the result achieved last year, the report states.

ln terms of volumes, the growth in distributed ingredients was about 6 percent, and during the 3rd ouarter of 1999 volumes actually exceeded the volumes recorded during the same period of 1996, before the economic crisis set in.

EACT is voluntarily delisting from the Stock Exchange and offers to buy its own shares.

The East Asiatic [hailand) Public Company Ltd. has been granted

a voluntary de-listing from the

plans to join the alliance.

With ANA as a member, the global StarAlliance network comprises of more than 760 destinations in more than 112 countries in all five continents.

The comolete list of member airlines reads: Air Canada, Air New Zealand. ANA. Ansett Australia, Lufthansa German Airlines,

Stock Exchange of Thailand and now offers minority shareholders

to buy their shares at 26 Baht per share.

The voluntary de-listing will give the opportunity to the shareholders to decide whether to sell

their shares at the tender offer orice or to keep the shares. lf they sell, the shares will be

Scandinavian Airlines System -

purchased by Thai-Dan Enter-

SAS, Thai Airways ! lnternational,

prises Ltd. owned 49 percent by EAC in Denmark and 51 percent

by EACT. The tender-offer period

Airlines.

gaged in production and marketing of paints and agro-chemicals, significant improvements were recorded compared with 1998. The 9 months results include the profit from the sale of a business unit within one of the joint ventures.

"The results achieved also reflect that the restructuring of EAC Thailand has been completed and losses sustained prior to and during 1998 on non-core activities eliminated," the repofts SlAIES.

A new confidence is also notable in the company's outlookfor 1 999.

"Company expects a result from its distribution business, sig-

those achieved in 1998."

"The pedormance during the 4th quarter is further expected to be augmented by extraordinary earnings from disposal of another

business unit within one of the joint ventures."

The company contributes the positive outlook to improvements within the Thai industrial sector, but also mentions, that its strong

financial position has given it a nnmnolilirro or'lno

The only cloud to be seen on

the sky is that, as the Thai economy continues to improve, EACT business is expected to likewise move towards "more normal market conditions, resulting in increasing competition and consequently decreasing gross margins."

..and no longer needs SET-funds

trian Airlines has announced

United Airlines og Varig Braziltan

In its report to the Stock Exchange of Thailand, EACT also notes, that results in some of its joint ventures, notably those en-

runs till 1 February 2000. Should they all wish to sell, the total cost

company and its supplier partners in a disadvantageous position. A

would be THB 7O2m (DKK

de-listing could thus further increase efficiency of business op-

108m).

The present indirect share in EACT held by the EAC in Denmark is 65 percent. By 1 February this share is likely to be higher.

EACT was listed in Thailand in 1983 as a source of capital for expansion of the very diversified group of businesses conducted

by EACT at that time. Following recent years focus on the Chemicals business, which now is the sole activity of EACT, the listing is of no importance today, but the

listing continues to generate cosrs.

Other benefits include, that a de-listed company will not be required to disclose business information which may be of a confidential nature and may place the

erations.

The de-listing is in line with earlier de-listings of EAC's subsidiaries in Hong Kong and Malaysia and will, in addition to providing cost savings, permit a greater degree of freedom in the interaction between EACT and the rest of the EAC Group and result in a more efficient financial group srrucrure.

EAC plans

to continue the

expansion of EAC Chemicals.

With its platform as the leading distributor of chemicals in Thailand and recent establishment in

the Philippines, Indonesia and Vietnam, EAC Chemicals' target

is to cover the most important countries in South East Asia.

u

ieet'a1r;

Lacm Cbabang

3e"[llont

-

Songkbln

- Bangkok

Industry

Tel: +66-(0)38-491 641 -4 Fax: +66-(0)38-491 1 645 Tlx: 85811 MERMAID TH Email : info@mermaid-rnaritime.com

Ecluiprr)erl i

Suirsect

Liferaft Servicing Firefighting Equipment Hydrostatic Testing SOLAS Equipment

Classificatlon Surveys Underwater Cutting & Welding Cathodic Protection Pipe Lay & Burrial IRM Programmes

Containerised Dive Systems ROV lnspections

Acoustic Leak & Wear Detection Gauge Callibration

Siti

ps Ci'tctrtcl ler\/

Provision & Consumable Stores Technical & Bonded Stores Logistical services

Ovenuhelming I nterest in Exporting to Denmark nlaz,

So many Thai

,i

businessmen inquired about possible export to Denmark, that the Royal Danish Embassy staff ran out of brochures during the "Thailand Export Promotion Days"n September 3-5, at the Bangkok International Exhibition Center

'''ffi'99

TEPD

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(BTTEC).

By James Eckardt

Emrlassy hâ‚Ź Royal Danish

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9us!sstru!..

L^lq.el

Michael Bern Ascot (above) Amrop lnternational Executive Recruitment, spoke on Copenhagen as the Gateway to Europe, while Jesper Vibe-Hansen, (far right) Commercial Counsellor (Agriculture) at the Danish Embassy, explained "Why Denmark is so successfu/ as an exporter of pork meat," and Henrik Petersen, (right) Economic and Commercial Counsellor at the Embassy explains in which sectors Denmark is generally strong.

ganglok Royal Danish EmbassY,

!

BII TEC

In a show that the economy of Thailand is now on the mend, Thai businessmen fairly mobbed a

booth manned by Danish trade officials at the "Thailand Export Promotion Days", September 3-

5, at the Bangkok International

people came to the Danish booth

on just the first day," says

Mr.

Attakorn.

"l distributed brochures giving general and tourist informalion about Denmark, and especially information on exporting to

exhibiting at the three-day fair and

Denmark and the potential for investment. The following day my

conducting trade seminars were

colleague Srisuda Vilyalai esti-

delegations from the United

mated there were over 7O visitors to the Danish booth. We actually started running out of brochure copies, especially on exporting to Denmark."

"We're mailing follow-up cop-

Exhibition Center (BITEC). Also

States, Russia, Germany, Great Britain, France, Switzerland, the Netherlands, Austria, Portugal, Turkey, lsrael, Japan, Korea, Nepal, India, Singapore, lndonesia, Pakistan, South Africa, New Zealand and Peru.

Manning the Danish booth the first day of the exhibit was Attakorn Saropala, Senior Commercial Oflicer at ihe Royal Danish Embassy in Bangkok. He expressed surprise at the press of Thai business representatives seeking information about trade and investment with Denmark. "l'd estimate that over 100

ies to people that we missed. talked to brusinessmen about impoft procedures, tariffs and reguI

lations. I recommended that they contact the Danish lmport Promotion Office in Copenhagen for introductions to Danish impoders.

Many of the Thai brusiness people I talked [o were in the home furnishing industry: handicrafts, furniture, picture frames. brass and bronze products. I also had two

inquiries for the Danced program in the field of energy conservation.

"The exhibit proved an excellent opporLunity to make business contacts. l'm mailing people more information about exporting prod-

cot, Managing Director of the Amrop International Executive

ucts to Denmark and encouraging them to contact the relevant offices in Denmark."

Gateway to Europe. Jesper VibeHansen, Commercial Counsellor (Agriculture) at the Danish Em-

Henrik Petersen, Counsellor (Economic and Commercial) at the Danish Embassy, manned

bassy, addressed the topic of "Why Denmark is so successful as an exporter of pork meat."

Denmark's booth on the third and final day. "l'd estimate that I talked to about 60 people," he recalls. "l took 35 business cards to send people fufther information.

Brochures from the Danish lmport Promotion Office of the Danish Chamber of Commerce in Copenhagen were very popular.

"We're here to sell our exports, of course, but can offer assistance to Thai exporters too as business contacts often benefit both sides. We put the visitors in contact with the commercial attache of the Thai Embassy

Mr. Vibe-Hansen pointed out that pork products are Denmarks

in Copenhagen and the Danish Chamber of Commerce.

On the final day of the exhibit,

Recruitment and one of the two so-called 'Copenhagen Good Will

Ambassadors', spoke on the concept of Copenhagen as the

largest single export item, accounting for 7Vo of the country's total. Denmark is also the world's largest exporter of pork - BO85% of total production "Mr. Vibe-Hansen explained the achievements of the Danish pork industry with exporls all over

the world including Thailand as well as the difficult Japanese market," comments Mr. Petersen.

"Danish pork products are renowned for their quality, for high

standards of hygiene and veterinary care. We're willing to teach the Thai to follow our example since they have ambitions of becoming pork expofters as well."

Denmark hosted a seminar for Thai exporters. Michael Bern As1a I -')

Danish lT Expert Scores TPI Gement Contract Jakob lngemann, 31, Managing Director of lndustrial & Financial Systems (l FS) So/utions (Thailand), with IFS Buslness Development Manager Peter F. Marhaba.

"We focus on capital intensive industries with a heavy investment in equipment and a need for optimum use."

IFS Solutions in early October signed a US$ 120,000 agreement with

the TPI cement company to deliver, install and implement computer software for the maintenance management of TPI's huge plant and quarry in Saraburi.

By James Eckardt

"This is a major breakthrough for

was through persistence, We

us, and a typical nine months

were devoted to showing TPI the

sales process," comments a very

benefits of our system in work-

pleased Jakob Ingemann, the

shops. Maintenance systems will cover four departments: instrumentation, electrical, mechanical and quarry work. You have 400 trucks making deliveries, heavy equipment in the quarry. The quarry manager, in fact, will be meeting me in an hour."

"Our objective is to save them an enormous amount of money."

"We'll start with 25 computers, with another 25 in three or four months. We provide the soft-

.only 31 year old Danish managing director of IFS Solutions [hailand).

"The contract is for a 25-user

maintenance system. We were competing against larger companies. But in the end - after we had demonstrated our software appli cations - all the users voted for us," he adds.

Mr. Ingemann first came to Thailand to work for Mala Chemicals - at company in the sO-yearold Danish Rosti Group manufacturing melamine house ware. The Rosti Group is today a subsidiary of

A.P Moller.

After graduation from Copen-

hagen Business School, two years training at A.P Moller in Copenhagen and another year's

employment in Germany, Mr. Ingemann reported for work at Rosti's Thailand branch in 1994.

"Besides melamine products, the Mala Chemicals also make plastic bottles, containers, and

technical plastic products," Mr. Ingemann recalls. "l had some special manufacturing projects but 95% of my time was spent in setting up the

company's lT. I worked with a software program called Pro:mis,

.rA2iA.l hri the Denish fifm vf

U,v

l/s'!'v

Pro:con. Pro-con was'1hen taken

over by lFS, headquartered in Sweden. They picked me to set up their office here in Bangkok, though I still did consultant work for Rosti. I started up operations 14

in November 1997 time!"

-

the worst

From his office on the 1gth floor of the Sethiwan Tower on

gineering. All clients are offered

the option to pick and choose among these components accordrng to their needs - a unique

ware and the training and we implement the system. We will

Pan Road, Mr. Ingemann can look

'components approach' pio-

down at a squat four-story build-

neered by lFS. "The first step was to get our name into the market," Mr. Ingemann recalls.

"This was tough. We had to go from office to office to meet customers and explain who we

and improve procurement, the maintenance of equipment, the

are

company that

mance and apply preventative

can save them a lot of money. We

throughout 1997-1998, we had

maintenance. They can't afford to let these machines break down or to buy new ones. The new sys-

no customers."

tem will pay for itself in twelve

ing across the street.

"We set up shop over there, just me and my marketing man-

ager, Khun Rungthip. We now have eleven employees and will soon add three more. We're the tenth largest vendor in the world in the field of ERP [Enterprise Re-

source Planningl software. Other companies - SAP, Oracle, QAD have a hundred or more employees in Thailand only. lt's a highly competitive field. The advantage of IFS is in maintenance management. The company has sixteen years of experience in this field."

The IFS maintenance package consists of software applications for scheduling, preventative maintenance, work orders, equipment, performance and monitoring. Other components are grouped in the areas of finance, front office, distribution, manufacturing, human resources and en-

- a Swedish

did a lot of advertising. But "Our first customer was

in

January 1999, a small project for Phillips Semi-Conductors. Last month, we landed the big one."

TPI is a giant cement plant in Saraburi, sitting on top of a mountain with a quarry operation and several thousand employees. The

plant produces 22,500 tons a day, There might be more than 100 people with access to the maintenance system who IFS will have to train.

"How we got the contract

drastically reduce their inventory

day-to-day operation of machines. The company has made a huge investment in equipment - trucks, earth movers - and we'll monitor the equipment's perfor-

months, or less."

Founded in 1983, headquar-

tered in Sweden, IFS is the world's fastest growing provider of ERP software, with 49 offices in 34 countries. The company re-

ported a sales increase of 960/o in 1998, and a TBV> increase in the first six months of this year.

Employees have risen from 150 in 1995 to 800 in 1998 to 3,000 now. In Europe, IPS systems run big pulp and paper mills and nuclear power plants. lts mainte-

grading its product and lowering its price on the world market. Especially since the Asian crisis, Thai companies need to find their niche. Thai salaries have grown

Jakob Ingemann has been living in

1Oo/o a \ear as opposed to I .52%ioinEurope. Japan, Korea and

Thailand for five years and is married to a Thai. He loves his wife, Thailand and everything involving high tech and computers - but not necessarily in that order.

Taiwan are high tech. China and

Vietnam have mass production and cheap labor, and they are catching up in quality. lf the Thai don't improve their efficiency lower their costs, raise their quality - they will lose out. lt's imperative - do or die."

Mr. Ingemann points out, however, that medium-sized Thai

companies don't need a software mega-system that is not only expensive but not adapted to individual needs and will be likely obsolete in a couple years.

"The IFS components system allows you to constantly update your " he maintains. "Our advantage is that we're lean and mean.

We're agile. We get in past the others and show you how to save money, and then we implement the system quickly."

"Where do you see IFS Solutions fihailand) in five years?" Mr. Ingemann is asked."

"We'll have a hundred em-

-

r4&Lii"'.,..

nance systems are applied to the Oresundsbroen bridge, SAS and Royal Norwegian aircraft. Manufacturing clients include Volvo, NEC, Caterpillar, Saab, Nikon, Ericsson and Rover Group.

In Asia, IFS maintains its regional head office in Singapore, with branch offices in Indonesia, Thailand, Malaysia, Philippines, Sri Lanka and China.

"Sales this year increased 300% in Asia," Mr. Ingemann reports.

"There are 350 IFS employees in the region, 150 working in R&D in Sri Lanka. Our major suc-

cess has been in Indonesia, where IFS has been working since 1995. The worldwide

if they're bidding on a maintenance project, they can't compete with lFS. Our competitors agree that we have the best solutions. During the boom in Thailand, companies didn't see main-

tal intensive industries with

a

heavy investment in equipment and a need for optimum use."

"We call our approach

'gradual everything'," Mr. Ingemann says.

tenance as important, but com-

"As a company grows and

peting now on a global scale. they need efficiency. We focus on capi-

saves money, it can move on to improvement in other areas, up-

ployees, like our competitors.

Then we'll be fat and mean."

"We are already,"

Mr.

Marhaba laughs, patting his girth.

International Private Banking for Skandinaver Union Bank of Norwav International

S*A..

Luxembourg

growth of IFS has been both organic and through acquisition.

We just took over another com-

Legger De vagt pi:

pany whose front office software

was useful to our components approach. We're on the third version of the sofiware now."

Mr. Ingemann compares the

IFS components approach to Lego blocks. When TPI management sees how much money they can save on maintenance, they may choose to acquire another

er vi miske Deres kommende bankforbindelse!

block of software components devoted, say, to financial operatrons.

"What is the problem now?"

Mr. Ingemann asks. "We solve it and move on to pther areas. The key is fast implementation."

"Maintenance is our flanking maneuver," adds IFS Business

Development Manager Peter

F.

Marhaba, "Other ERP vendors say that

NOR

union banh ofnoruay GBOUP

For yderligere informationer bedes De venligst kontakte Allan Christensen eller Torben Bjenegaard

8

+352454945 1 eller fax+352454945200 XP.O.Box 867.22 rue J. P. Brasseur, L-2018 Luxembourg lf

Danish Businessmen Dubious A While generally applauding a new Danish law criminalizing Danish companies caught bribing foreign officials anywhere, Asian-based Danes doubt that corruption will vanish anytime soon.

i. liit:it:.i:.1,::, .ll:

i

Frank Hansen,

By James Eckardt

Danish businessmen with many

years of experience in Asia are dubious about the efficacy of a new law to be passed by Denmark's parliament that will make it a crime to offer bribes to foreign officials. While generally applauding the law as "a step in the

right direction", Asian-based Danes doubt that corruPtion will vanish anytime soon, The new law is in line with a Convention of the Organization for Economic Cooperation and Development (OECD) that went into effect on February 15, 1999.

The convention commits the 34 OECD countries to adopt common rules to punish comPanies

and individuals that engage in bribery of foreign officials. Tax deductions for "unofficial expenses" are also to be eliminated.

More than thirteen countries have already changed their domestic laws in accordance with the OECD Convention, including

Austria, Australia, Belgium, Canada, Germany, Greece, Japan, Korea, Sweden and the United States, An OECD AntiCorruption Unit has been established to combat corruption and bribery in international business

sphere of pervasive corruPtion? What is their opinion of the OECD initiative?

Provided with a 13-page packet of information on the OECD Convention (obtainable at www. oecd. org/daflnocorruption/

pletely unaware of it. One Danish businessman, based in Bangkok for forty years, knew of the Convention because he was briefed about it by Danish companies for whom he is attempting to secure Thai government contracts.

The second Danish businessman with some knowledge of the OECD Convention is Frank Hansen, Managing Director of AMI Asia Group ApS, a cofisottium of Danish manufacturers of pig and

poultry equipment. With twenty years of business experience in the Philippines, Japan, Hong Kong and Thailand, Mr. Hansen became aware of the OECD con16

pay another

Iocal?"

Denmark. The taxman in Denmark is smart. You can't justifY bribes unless you set up some

were asked an identical set of questions during interviews bY

kind of overseas slush fund."

"Yes, in a way," replies Tom Sorensen, CEO of DFDS Jumbo

phone. The first question was.'Do

Transporl in Bangkok, who has

you think it is a good idea to make the bribery of foreign officials a criminal offense in

Tanzania.

index.htm), the ten businessmen

Denmark?

"Yes, if all other countries do ecutrve.

Convention. Eight were com-

officials. What if a local is paid to

How do Danish busrness executives cope in an atmo-

Ten Danish businessmen, currently based in Thailand but experience

to bribe foreign

ranks a[ the top as least corrupt.

Thailand is far down the list."

the same," replies an airline ex-

throughout Asia, were interviewed about their reactions to the OECD

Repr. Office:

"l don't like that its only criminal

nations. Denmark consistently

transactions.

with extensive

Ami Asia Group

vention through his membershiP in the Danish chapter of TransParency lnternational, an anti-corruption advocacy group which publishes an annual listing of countries that are considered the least corrupt down to lhe most corrupt, "There is no way to know just how much corruption is going on in the world," Mr. Hansen comments.

"But Transparency International distributes questionnaires to businessmen asking for their ranking of corruption in various

also worked for SAS in Kenya and

"The OECD Convention sends a signal. Laws in Scandinavia now imprison people who have sex with children here, for example. People in our pad of the

"lf not, we're shooting our-

world learn to behave and do

selves in the foot. lf an American company bribes and we don't, we lose the business."

"Corruption is not right but it

business in a moral way. We're in the forefront to push and push for development. Hopefully in ten or

is the culture here," comments Arne Christensen. Managing Director of York (previously Sabroe), a ten-year resident of Thailand. "lf you're the only clean one, you'll be locked out of business, This will only change when a new generation comes along. I can't say if I'm for or against the OECD convention. You can't eliminate this sort of behavior but you can limit it to a certain extent."

Another business executive with no less than 40 years experience in Thailand says simply: Yes, this is the only way to do it. lf the Thai won't combat corruption, it will have to be done in

fifteen or a hundred years, other countries will catch up, realize that this is a good way to do busi-

ness-asensibleway." "lt's a step in the right direction," comments Henrik Hansen, a 3O-year business veteran in Thailand. For the past 1B years. he has been the CEO of MPA,

payments."

'The dilemma is that I hate corruption and want to fight it to the death," says Frank Hansen of the AMI Asia Group, member of lnternational Transparency. "But the problem is that if you are too noticeable, you will not be invited for bids for business. You are competitors with people who don't feel the same way. lt's impoftant that everyone agrees to the same terms at the same time."

Hans Ulrich Hansen is Managing Director of Jebsen & Jessen, the largest Danish company in Thailand, with 450 employees in eight core businesses.

"The new legislation will make

the act of bribing a crime," he notes.

"This in itself is good. The main problem, however, will as always lie in the proof that a bribe

io an official actually was made.'

This leads naturally to the second question in the survey:

Thailand's first professional se-

Do you see a practical benefit

curity company. "But there will be a cost in lost business. Danes at

to the OECD Convention? Do you believe it will reduce bribery and corruption in the short

home don't understand how business is done here. Scandinavians are honest but face loss of business to Japanese and Koreans. They may sign the OECD

Convention but there are short cuts, agents who can cover uP

or long term?

Replies Hans Ulrich Hansen: "l do not believe that the proposed act will eliminate corruption. lt will, however, make corruption more risky, and probably

,bout New Anti-Bribe ry Law crime on both sides," cautions Stig Vagt-Andersen. owner of restaurants and travel agencies and Honorary Consul for Denmark, Sweden and Norway in Pattaya. "lt will be good that they are

running a risk to get a contract through bribery. My attitude is to stay out of it, if you want to survive in business. lt's an evil circle: once you're in, you can't get out.

It's hard at first but it's better in the long run. I operate a restaurant and tourism business. I never paid fees that were not above the table. People say that it can't be done, but it can. Personal rela-

tions are all important when you're dealing with government officials but good relations do not have to be with cash. lt can be done by running a clean business

and having your documents nrnnarhr nranrror{ "

Do you see potential

abuses of the OECD Convention? Could the new legislation give an opportunity to for-

Tom Ssrensen, DFDS Jumbo Transport: "l see a clear destinction between bribery and a little facilitation money.'

eign officials to blackmail buslness executives?

less attractive to both briber and

bribed. In the long term, some benefits can be expected."

Frank Hansen agrees. "You can make it so that businessmen

can't sleep soundly after they have bribed officials. The message is: 'You are being watched.

Bribery is risky.' You can't stop corruption. I'm not a blue-eyed innocent. lf you are competing for a contract, you don't want to lose.

Sorensen,

"Not at all. I know it's cheap to sit back and say it won't work.

I'd like to say something positive.

I was SAS manager in Kenya when the UN boycotted South Africa in 1980. The first to cancel travel air agreements with South

Africa Airlines were Denmark, Norway and Sweden. It was stu-

monster. You have to cut off the heads piece by piece. Corruption has been around as long as hu-

pid. Blindly following recommen-

corruption law but [American

dations. lt damaged our business interests. SAS never came back to that part of the world." ,rn^ |I ^^^ q^ ^-^^+i^^r ur uu DEv prquLrudr *_.nefit?" asks the airline executive. "l don't think so. Maybe in the

businessmenl feel they are being

long term. Corruption has been

ireated unfaidy and try to find a way around it. The new OECD

going on for a millennium. lt's normal in these countries. lt will take another three or four generations to stop. lt's something you have to teach in school. Look at Singapore: they managed to stop it."

"You can only try to be clean and wait for the next generation

mans are on earth. We even have

I

reduce corruption?" asks Tom

Corruption is a multi-headed

occasional scandals in Denmark.

The US already has such an anti-

tl

to corruption, different levels."

"Will this [OECD convention]

rules can give you reinforcement:

'Sorry, I can't bribe you. I could be put in jail.' Bribery might happen all the time, but now we have a forum to present proof of colli-

sion, say, in construction contracts."

One businessmdh admits to bribing a minister in the Philip-

to come along," agrees

Arne

pines.

Christensen.

"The Convention won't have a short term effect. lf you're in a

"He wanted equipment for a development project. lgave it. But the equipment benefited ordinary people. There are different faces

Thai company, you don't know what's going on. You may try to be clean, but you don't know what your staff is up to. This is

'

something normal here: they're used to it. The Convention may have a long term effect. Former

Prime Minister

Anand

Panyarachun tried to rid his gov-

ernment of corruption. He was asked how his fight against corruption was going. He said that the tip of the triangle might be clean but for the rest - 50, 60 million - there was no effect.

This was the man in the forefront of the fight against corruption. "l don't think this will have any effect," says Henrik Hansen of the OECD Convention.

"The Japanese might sign it but it's difficult to see their government acting against private business. Bribery is common here in the big contracts with the government: power plants, railways, military hardware. lf you don't pay, you don't get the job. lt's easy to sign the Convention, the problem is enforcement. Thai officials

don't

know about the Convention, don't know there's anything the matter. Only the top leaders might be aware. The USA has such a law in effect, The effect is to lose hrrcinocc Tharr cook a way

around it now, middle men forthe sales of military hardware, for exampre.

"You have to prove bribery a

"Obviously!" replies the airline executive, Kt 'LOOK ^^t. ^+ n.,,^^ OrUgS, +h^ Lne same ar plant heroin on you, way. They what can you do? Nothing. Yes, can see the potential for abuse." "ln Thailand, anything can I

happen." agrees the 4O-year business veteran.

"Businessman could be acnr

vuvvv

rcor{ hrr nffinialc " vj

"Anything can happen here," echoes Arne Christensen. "lf I don't have money, I'm lost. There's one law for the rich,

another for the poor. Even

in

America which is supposed to be not corrupt, you have the ex-

ample of O.J. Simpson and his money for lawyers. In Europe, the system is more equal."

"Of course the bribe-giver is committing a criminal act, and this in itself could lead to blackmail by foreign officials or other parties, says Hans Ulrich Hansen,

"A scenario I could imagine would be that a foreign official retires from office before the project was completed, but still demands payment, whereas his stalls the project (now also demanding payment)."

Most other respondents did not envision Thai officials report-

ing bribery but speculated that

the bribery accusations would come from other sources

tl

"l could see competitors

gate closes. They have their clubti

and circles that you can't break into. For them, it's too late. Yott have to wait for a new generil

blowing the whistle to eliminate corrupt competition and make for a level playing field," says Henrik

tion."

Hansen.

"You have the example of Bo-

"lf you're talking about

ort

When the Bofors bribery scandal broke in India, the director committed suicide. I can also see local journalists breaking the story

forcement, just look at Thailand'li new Constitution," comments tho 4O-year business veteran.

"The Constitution calls for rt Senate to act in a non-politicutl,

too, like the recent submarine

censorial role. Yet newspaponl

fors, the Swedish defense firm.

procurement case in Thailand.

have recently revealed that polltl

But in Taiwan, Japan, Korea, there is close cooperation beprivate sector. The attitude is

cians have infiltrated the Senitltt, because they've paid for titolt votes. The OECD Conventiott ltt worth doing in the long run, how

don't upset the boat. I don't see these governments taking action against private companies. Business is business. I don't hate the Japanese but they have a different way of doing business. They don't look at corruption the way we do. In Scandinavia, if you try to bribe a policeman, he will take you to the station and put you in jail. lt never happens. Unthinkable." "l can't imagine Thai officials accusing businessmen," agrees Tom Sorensen.

stamp out corruption in Eurogxt, I don't think the States is frett rtl corruption as we look at it ttow So, in principle, this is a gorrrl start."

Frank Hansen disagrees wlllt the nay-sayers, believing that ltttt OECD Anti-Corruption Unit cottltl play a strong role.

"The anti-corruption commis sions in Hong Kong and Sin gapore have been very effective," ne ooserves.

"When I was in Hong Kong,

tween the government and the

ever. Look how long it took ltl

i::

i&

t Flemming Quist: "We could investigate on our own initiative.o

there was a Singaporean to

"That would be shooting themselves in the foot. A more practical source of accusation would be disgruntled employees - people who have lost face."

On Page 3 of the uMost F req u e ntly Asked Quesfions", the question is posed about the OECD Convention: "What

about'grease payments'?"

The answer is: "The focus of the Convention is on 'grand bribery'for the purpose of obtaining or retaining international business. Therefore, so-

called 'grease' payments or facilitation payments made to induce public officials to per-

form functions part of their

routine duties, are not an offense under the Convention,' Does this, in other words, allow business as usual in ThaiIand?

"Yeah," says Henrik Hansen. "lt's disturbing the way that's written, that kind of double standard.

A little bribery is okay, but not a lot. You lose your passport, you pay the typist to get it quickly or you get back in line, Salaries for public servants here are low. They can't survive. They need the extra income."

"The only question here is not paying big bribes," comments the 4O-year business veteran.

"You pay a hundred Baht to get a paper moved from one desk to another. I don't know how to gauge this."

"l'm in the shipping busi-

ness," says Tom Ssrensen.

"We have to work documents though Customs and do freight forwarding from A to B. But the big business is Thai Airways ordering 20 Boeing jets, and then

changing to Airbus, and then Boeing accuses them of not playing by the rules. This is the kind of thing the OECD should be in-

volved with."

"l don't do much business with the government, but we do deal with Customs," says Arne Christensen.

"This is just something which people grow up with in their system. What is the difference between bribery and grease payments? What is the limit? You give

dinner to a customer, you want him to buy your product. Lots of us hate to go to dinner, but we have to." "lt's wrong to penalize showing appreciation," cautions Frank Hansen.

"This is part of the culture. In

whom I wanted to show an electron microscope. I offered to pay his airJare to Hong Kong, but ho declined, saying he could be accused of taking a bribe."

ruption can only be wiped out if there is the political will." "lf you had a picture telephone, you could see me smil-

Flemming Quist, a Danish po-

ing," says the airline executive.

"Prostitution is the oldest profession in the world," says Tom Sorensen.

"Just look at Thailand for en-

lice inspector attached to the Nordic Liaison Office at the Swed-

ish Embassy in Bangkok was asked his reaction to the OECD

forcement. I'm just back from Laos, a communist country which forbids girls to go with foreigners.

But it happens. The same with corruption. There will always be people prepared to bribe and to accept bribes. lf there is an anticorruption law, they will get around it. They'll use agents for bribes. You can put anything in bills, an invoice made out to what-

ever service. A broker is the natu-

ral choice. lt's the Thai way of doing business. lf you can't live with it, what are you doing here?"

"The way I understand the Convention, implementation lies with subscribing member countries," says Hans Ulrich Hansen.

Japan, we'd give out whiskey at New Years a long list. When it comes to millions, that's the problem. The important thing is that you can't claim tax deductions.

In high-tax countries, that's important."

"ln the case of Denmark, believe that the Tax authorities would be natural and effective

Finally, do you expect this new anti-corruption OECD bu-

"Who is going to tell them anything? How to they get into the inner circle? There are connections to the top. They know you are investigating, and the

-

reaucracy to work?

"No," says Stig Vagt Andersen. "lt's like the drug trade. Cor-

I

enforcers."

"How can this OECD bureau-

cracy investigate?" asks Arne Christensen.

convention. "l suppose we would have a role, as we deal with all major crimes such as drug smuggling and human trafficking," he replied. "l think any international effort

against corruption is good. This kind of legislation is a good step."

Asked if he sees a practical benefit to the OECD Convention, whether it will reduce bribery and corruption, he laughs.

"No. lt maybe won't help a lot, But I do see two sources of infor-

mation to prosecute bribery cases. One is a government offl cial reporting the crime. In Den mark, if you attempt to bribe a policeman, he can accuse you according to the Danish penal code.

The other would be our own office. We can investigate if some-

one has bribed their way out of prison, for example."

And finally, does he expect the new anti-corruption OECD bureaucracy to work? "l don't know. lt would depend upon what type of personnel they recruit."

18

-

-I

Something in the a if...

Sawdust, woodchips and a whole lot more

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Hill Tribes Ask Danced to Stay Out of Gonflict

Mr. Poul Weber with hrs son, Peter Weber at the Mae Hae propagation station where Peter Weber is presently a volunteer with the Royal Project Foundation.

During a visit to Copenhagen thls summer, representatives of indlgenous people living in the North of Thailand asked Danced - the Danish Environmental Develoo" ment Cooperation agency - not to take part in the Royal Forestry Department's eviction of hill trlbr people out of areas in which th6y have lived for generations.

The hill tribes number about

800,000 people. While some

Royal Strawbe rry Proiect Supported by the Danish Ghamber Progressing Fine Past President of Danish Thai Chamber of Commerce, Mr. Poul Weber in October inspected the Royal Strawberry Project which received the 500.000 Baht in donation from the Chamber following the Gala Dinner presided over

by His Royal Highness Crown Prince Frederik during his visit to Thailand in 1996.

fact been assigned to look after that very project, which is suppofted by the Danish Thai Chamber of Commerce.

Although Thailand is a tropical country, two provinces in the north - Chiang Mai and Chiang Rai - are suitable for strawberry production in the cool season.

Seeing strawberryfarmers do well has tempted other farmers to try

to make way for another crop in March-April. This gives importance to the quality of the seedlings.

The number of diseases and pests which flourish in the tropical climate is a major problem.

Most of these can be controlled

by pesticides except for a viral disease which crinkles the leaves

as stipulated to develop new

strawberry growing area of Thailand has been expanding to other

seedlings resistant to the virus that destroyed the old strain of

provinces in the Northeast of

and stymies the plant. The only way to fight this is the introduction of a new strain of strawberries, which is exactly what the project supported by the Danish

Thailand.

Thai Chamber donation aims at.

"The project is proceeding fine," Mr. Weber reports.

"Our donation has been used

strawberry plants. The farmers have managed to sell these seedlings with sufficient profit to buy a

truck to facilitate the transportation of the seedlings to the customers."

Mr. Weber also indirectly keeps a close eye on the project in Mae Hae, as his son Peter Weber is presently a volunteer at the Royal Project. As such, he has in

out the crop and recently the

have moved into the disputed ar-

eas only during the last decade, others have lived in the forest for generations. Two thirds do not hold a Thai citizenship and may as such be evicted out ofthe forest at the discretion of the Roval Forestry Department.

Mr. Martin Bo Brander, Danced's representative in Bangkok says in a statement to the Newsletter "Development Today", that Danced is indeed aware of the conflict.

"But we want to work with both parties," Mr. Branders says.

"Our clear aim is to save the environment and we think conflict resolution is one of the tools."

New Danish Bakery in Bangkok

First small virus free plants are

Recognizing a need for more quality bread and cake products

Baht and the value keeps growing. An average yield is 19,375 ton per hectare of strawberry

propagated in glass tubes in the laboratory. Having tested positively virus free these plantlets are

in November opened up a small

transplanted to seed trays and

oaKery.

field.

kept under 25 degree Celsius and

"Customers are ofcource wel-

Unlike in Europe, strawberry fields in Thailand are usually cultivated for only one season, being planted in October, harvested in December and ploughed down

high moisture for a few weeks

come to pay my bakery a visit," Charlotte Avall says. "But many will probably find it much more convenient to call me on the

The crop a few years ago passed the value of 160 million

before being transported out to

the propagation centres of Mae Hae, Kob Dong, Inthanon and Khun Pae - all selected for their high altitude which is good for runner production.

The runners are collected by

The small plantlets developed by the laboratory are cultivated by farmers engaged in the project to produce runners for other farmers engaged either in the actual farming of strawberries or f urther propagation of virus free runners.

in Thailand, Danish Charlotte Avall

phone to place their orders. I also have an orderform, which I could foruvard by fax," she says.

the farmers engaged in the

Among her specialities are: carrot bread, oat bread, cinna-

project on an intensive scale mak-

mon rolls, sesame bread, choco-

ing it possible for the entire operation to generate one million runners yearly for planting else-

late cake, gingerbread cake,

where. Here, the plants would be used either for the actual production of strawberries orthe production of more runners for reselling to third generation farming.

sponge cake, birthday cake. ginger biscuit and sun flower bread.

The address is the home address of Charlotte Bakery Natural ParkApt. 111 1, Sukhumvit Soi 49, Bangkok 101 10, phone 260 51 1 7, fax 260 5117

Danish Agricultural Gounsellor Sets up Shop in Bangkok Den Danske Bank lnternational in October hosted a dinner for members of the Nordic Chambers. Mr. Torben Maj and Mr. Lars Berg Jensen are first and second from left.

Den Danske Bank to visit

Bangkok more often Mr. Torben Maj, Assistant Manager of Den Danske Bank International S.A in Luxembourg was positively surprised with the upturn in business confidence after the past turbulent years, when he visited Bangkok in Octoberforthe

third consecutive year together with Account Manager Lars Berg Jensen.

"Last year, 40 Scandinavian residents participated in our presentation at the Oriental Hotel.

This year we were a total of 52 people," Mr. Maj notes with satisfaction.

Torben Maj adds, that Den Danske Bank will in the future to visit Bangkok more frequently due to a very positive development in

the Private Banking activities among the Nordic citizen in Bang-

kok.

All lnternational Private Banking services of Den Danske Bank

is centralized in Luxembourg, which has representative offices in Fuengirola

and Marbella, Spain

and Cannes, France.

"One good reason for that is the confidentiality that our clients enjoy in Luxembourg due to the very strict Banking laws there," Mr. Maj explains.

"Another good reason is the amount of expertisawe are able to accumulate by centralizing our Private Banking personnel in one office. Our staff in Luxembourg comprise 120 experts - you don't find that in very many other Scandinavian banks anywhere, "

Reflecting Thailand's increasing prominence in the argo-industry market, Denmark has transferred Danish agricultural counsellor Jesper Vibe-Hansen from Malaysia to the Royal Danish Embassy in Bangkok.

By James Eckardt

"There was an agricultural counsellor before me for two years in Kuala Lumpur," Mr. Vibe-Hansen says.

"Originally, Malaysia was chosen because it is a big market for

Danish food products and processing equipment. My move to Bangkok is largely because agroindustry is much more highly developed in Thailand. "l've really just settled into my job so I need to make a lot of contacts and investigate the market situation before I can make any bold statements. But I'll be look-

ing into fisheries, agro-industry aquaculture, food processing. and canneries. Denmark can certainly supply equipment that will make Thai farmers more cost efficient and productive. Thai pig farmers, for example, spend 6570% oftheir costs on feed. Automatic feeders would improve the economy of pig farming. We can provide assistance in this area and in cooling, ventilation and rratorincnr rrhrino "

On September 5, at a three-

day trade fair in Bangkok, Mr. Vibe-Hansen gave a talk to Thai businessmen on the success of the Danish pork industry pointing out that Denmark leads the world in the export of pork products.

"The Thai have ambitions to become pork exporters too," he comments.

"And we can give them ideas to learn from. Right now, any ex-

Mr. Vibe Hansen was moved from Malaysia to Thailand because Thailand is to a much larger extend an agriculturally based

society and Denmark considers itself in a strong position to assist the Thai agricultural sector in modernizing production methods.

port plans cannot be put into

Ham, uses a Danish logo to ad-

place because ofthe prevalence

vertise to customer that the qual-

of foot-and-mouth disease

in

ity of Danish pork is exactly the

Thailand. The Thai farmers claim the disease comes from Burma and Cambodia but they cannot export until they have handled this problem. We can give advice and

same high, uniform quality " Another burgeoning market for Denmark is Singapore which

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went from impofting one million pigs from Malaysia to zero, because of an local epidemic. Aus-

Jesper Vibe-Hansen knows whereof he talks. Prior to joining

tralia has stepped into the breach, but so has Denmark

the Danish Embassy, he

had

whose frozen pork is popular for

worked for two years as Asian marketing manager for the Federation of Danish Pig Producers

the making of Chinese dump-

and Slaughterhouses.

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lrngs.

Turning to other products, Mr. Vibe-Hansen points out that Denmark is a large supplier of butter,

100,000 tons of Danish pork in

cheese and cream cheese to

the first half of this year, " he notes.

Thailand.

"Malaysia has liberal rules for importing food products but Thai-

"Korea has become a major

importer of Danish pork meat since it entered the chilled pork market in nearbyJapan. Because of the distance involved, Danish pork exports are'frozen, then processed into such products as bacon and ham. The biggest processing plant in Japan, Nippon

land has high duties. And because of the huge local food pro-

duction, it's difficult to get your products on the shelves. Our market niche is the high end supermarket. And demand is rising since the Asian crisis."

21

Practical training in the use of Danish manufactured mobile dental clinics by dental nurses in the Sirindhorn College of Public Health, Yala. ln the background the Danish Ambassador H.E. Niels K. Dyrlund and his wife inspecting the Danish manufactured equipment

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t Mobile Dental Clinics from Denmark Succesfully Tested in Songkhla for Six \Gars The largely Danida funded Rural Oral Health Genter of Southern Thailand was recently formally handed over to Thailand, and an Academic Co-operation Agreement signed between Prince of Songkhla University and Aarhus University in Denmark.

By Claus Mogensen, Counsellor Royal Danish Embassy

Supply of appropriate dental ser-

vices to the rural population in Thailand is today almost non-existing. For this reason it has for long been on the agenda of the Ministry of Health to identify and implement low-cost, preventive models with dental cadres such as dental nurses, who were willing to operate in rural areas and mobile clinics at the faculty. fees for the international consultants and transport and insurance.

Following the funding the

sity of Aarhus and the engineering company Carl Bro lnternational a,/s won the tender.

The ROHC was established at the Faculty of Dentistry. The

The Danish contributions were allocated to procurement in

der to give appropriate dental

project in 3 provinces aiming at meeting these requirements was funded by the Board of Danida in May 1993 with a total Danish funding of around US$ 6 million.

Besides Thailand has also contributed with an amount and around 1400 man-month of salary to the participating Thai insti-

tutions.

22

'l

project was tendered in Denmark.

A Danish joint venture of the Faculty of Dentistry from the Univer-

three provinces Surathani, Songkhla and Pattani were selected as the pilot area of the project due to the geographical position and the composition of the population.

After an implementation time of around 6 years, the pilot prolect is considered a success. The experience will be very useful when the Thai Government decides to expand the results of the project to other areas of Thailand in or-

An application for the pilot

5

Denmark of dental equipment such as more than 50 mobile clinics. besides educational equipment for workshops and clinics at the faculty, fees for the international consultants and transport and insurance.

I

The Danish manufactured mobile dental clinics used for outreach oral health service inspection of children at primary school in Songkhla province. services to the rural population.

In connection with the termination of the project it was officially handed over to Thailand on 1 of October this year in a very well arranged and dignified cer emony in Hat Yai, with participation of Deputy Minister of Foreign

Affairs Sukhumband Boriphat. l.)cnrrtv Dironinr Gonopgl 9f DTECT Thongchai Choochuang,

The President of Prince of Song-

khla University, Sunthorn Sotthibandhu and Danish Ambassador H.E. Niels K. Dyrlund.

The formal handing over ceremony was followed by a signing ceremony of a twinning arrangement, an agreement of Academic

co-operation between the two dental faculties of respectively Prince of Songkhla University and Aarhus University.

tffiffi ffiffiffi

New Thai Gonsul General Mr. Carsten Dencker Nielsen, former Managing Director of EAC Thailand Ltd. for several years and cunent chairman ofthe Com pany nas oeen announceo new Consul General for Thailand in Denmark.

Mr, Carsten Dencker Nielsen recently received the Royal Com mission from HM the King of Thai-

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Herlufsholm meeting in Bangkok

Asia House celebrated HM the King in Denmark

Herlufsholm, the prominent Danish boarding school, on October 21 held a meeting at the Pacific Club for Danish parents and other parents interested in sending their son or daughter to study at the school in Denmark.

Mr. Klaus Eusebius Jakobsen, Headmaster of Herlufsholm met in Bangkok with several pro-

The auspicious occasion of the 72nd Anniversary of His Majesty King BhumibolAdulyadej is

spective parents and a few students before moving to Singapore for a similar meeting.

Herlufsholm is the first Danish boarding school ever to actively travel to the international destinations of the parents of the school abroad to meet with the parents and get a first hand im-

celebrated at Asia House in Gopenhagen.

In celebration of the 72nd Anni-

pression of the cultural back-

versary of His Majesty King

ground of the students from these

Bhumibol Adulyadej, Thailand's ambassador to Denmark, H.E. Apiphong Jayanama, had in cooperation with the Asia House Foundation arranged an exhibi-

destinations.

Union Bank of Norway in Bangkok

tion at Asia House situated at the

Copenhagen habour front to mark this auspicious occasion together with the promotion of Amazing Thailand Tourism Year 1999. The exhibition was spon-

sored amongst others by EAC

Allan Christensen, Account Man-

ffhailand), the Asia House Foun-

ager of Union Bank of Norway in

dation, Thai Airways International and Carlsberg Brewery.

The exhibition, which focused on His Majesty's activities. particularly the Royal Development

sical Thai music group played tra-

Luxembourg visited Bangkok in October to serve clients of the bank with personal meetings.

Union Bank of Norway is the

ditional music, following which

Private Banking affiliate in Luxem-

also modern Thai music compositions were pedormed by a pia-

bourg of Sparebanken Nor - the

Projects, as well as displaying Thailand's tourist attractions, was

officially opened by the ambassador on 19th and 20th October and remained open to the public until 1st November, 1999.

24

On the first two days a clas-

largest savings bank of Norway.

Clients who missed the

nist.

The exhibition had attracted a good deal of interest, and the classical Thai music group also

perlormed briefly on Danish televtston.

chance to meet Mr. Christensen during his visit may call him directly at (+352) 454 9451 .

Danish Ambassador H.E. Mr. Niels Kaas Dyrlund th a n ke d re p resentatiyes

of the National Danish Gymnastics Team for a fascinating pefiormance

Mette Stenumgaard and Ann Quist (read the story about her husband on page 26) in five hours sold over 74.OOO Baht worih of X-mas ornaments. dried flower decorations, remoulade, old books etc.

Photo: Flemming Quisf.

The Danish Women's Network to build a small village school The Annual Christmas Bazaar of Margrethe Klubben - the Danish Women's Network - this year hit a record turnover of 300,000 Baht thus generating more profit for the charities supported by the Network than ever before.

Treasurer of the organizing committee, Lene Andersen, estimates the profit to be around 50

Danish Gymnastic Team celebrated HM the King On November 1, 1999 the National Danish Gymnastics Team performed at the national stadium in honour of H.M the King's 72year birthday.

Supported by the Danish Thai Chamber of Commerce, the Royal Danish Embassy had on November 1 , 1999 arranged for a performance by the National Danish GymnasticsTeam to mark

lhe 72 year birthday of H.M. the members of the chamber was capped off with a substantial do-

The selling point of this year's event had been the pre-allocation of 1 00,000 Baht of the proceeds to the building of a school in a poor village in Northeast Thailand

Danced - the environmental development cooperation facility of

Nakhon.

This padicular project caused

one participant at the charity event to promise an additional cash donation of 1O0,OO0 Baht to the school.

The around 200 grown up visitors this year also covered a

wider variety of nationalities among the expatriates in Bangkok than ever before. Along with them came close to one hundred kids who went rampaging in the

various Fun Stalls and snack booths of the event which was as usual held in the beiutiful garden of the residence of the Danish Ambassador - while their parents shopped for Christmas decorations ore enjoyed a Carlsberg and a Danish Steff Houlberg hot dog with old friends,

Commerce, Mr. Anders lVie/sen

received a plaque

for his contribution to the celebrations,

King.

Donations from several of the

percent higher than last year which was in itself a record year.

supervised by Pensak Howitz's Raindrop Foundation in Sakon

President of Danish Thai Chamber of

nation of 15 mill. Baht from Denmark.

The performance was presided over by H.E. Privy Councillor M.R. Thep Devakula and supported by the Sports Authority of Thailand. The show was opened

by a welcome address by the Minister to the Prime Ministers

thousands. In particular, one of the performing gymnasts were cheered on wildly by especially ihe girls among the audience, a young male gymnasts who excelled in jumping and tumbling and furthermore was particularly handsome with golden hair, blue eyes and white, almost pale skin.

Like all other members on the team, he had been selected in an

audition from the many skillful amateur gymnasts organized in

Office, H.E. Mr. Jurin

sports clubs all over Denmark driven only by their common dedi-

cation to gymnastics as a sport, a social experience, and a way

ability as gymnasts, all team members also work as qualified instructors teaching kids and juniors in their local gymnastics associations in Denmark.

A few years ago, DGI - the organization behind the National Danish Gymnastics Team - and the Sports Authority of

Laksanawisit and a welcome address by the Ambassador of Denmark H.E. Mr. Niels K. Dyrlund. Before the show each of the donors received a plaque commemorating their support of the event by the Privy Councillor.

The performance itself

was introduced by the Team Manager of the National Danish Gymnastics Team, Mr. Lars Kofoed.

The audience was mainly schoolchildren from

schools all over Bangkok

who showed up in the

of

keeping fit. Besides their obvious

Thailand cooperated in THE SPONSORS

Amrop Inlernalional/Advantage Executive Fecruitment fihailand) Co., Lld. .......... Mr. MichaelAscot

flhailand)

APV ........... Mr Allan Jensen BEC-Tero Entertainment ...................... Mr. Neil Thompsen DANCED ......................................... Mr. Maftin Bo Brander DGI National Danish Gymnsatics .... Mr, Knud Bjom Dumex .......... Mr Gerard Geraeth DZ Thailand Lld................................... Mr. Jorgen Schmidt EAC - The East Asiatic ffhailand) Public Co., Ltd,.............. Mr Anders Normann ECCO flhailand) Co., Ltd, ............................ Mr, Jan Hoeg ISS Esgo Co., Ltd. ...,,.,.... Mr Theinsiri Theingviboonwong Jebsen & Jessen Group oi Companies, Thailand ............. Mr Hans Ulrich Hansen LEGO ................,,,, ................... Mr. Supalerk Cheewakoset Maersk Banghkok Branch.................... Mr Anders Nielsen Novo Nordisk Pharma Mr. Chin Limpuangthip flhailand) Poul ................. Mr PoulWeber Scand-Media Corp., Lld. ,,,,.................. Mr Gregers Moller

Ltd.

Team

Ltd..

Weber

sponsoring an internship of a Danish gymnastics instructor in Bangkok in an attempt to transplant this concept of gymnastics as a broad based,

non-elitist recreational sport. However, the attempt failed as the inter-

ests of the Thai clubs and instructors involved

were opposite to the Danish concept, attempting first to staft elitist gymnastics teams for show purposes. gm 25

A Danish Cop in Bangkok "The Danes say that all policemen are from Jutland and have mustaches,tt says Flemming Quist. ooWell, . I'm from Jutland

Today we see more pills -

,11 .,ii '-

amphetamines and ecstasy coming in increasing volumes from the traditional drug producing area of the Golden Triangle, Burma, Laos, northern Thailand, Flemming Quist explains.

.i

andlhaveamustache."

By James Eckardt

CID Inspector Flemming Quist is speaking in his map-lined office of the PTN (Nordic Police and Customs) center in the Swedish Embassy in Bangkok.

"My job is any serious crime that happens in this area far from home," he says.

"Drug smuggling, human trafficking, murder, money laundering, financial crimes."

On the Bangkok beat since July 1 , 1998, Mr. Quist has been a policeman for '1 B years. After graduation from the Danish Police Academy, he stafted out as a

uniformed patrolman in the Christiania section of Copenhagen. This is famous hippie squatter community that sPrang out of a deserted army depot. "ln the 1980s, there was a lot of tension between the squatters

- the 'Christianitterne' - and the police," comments Mr. Quist.

"Now, of course, it's different.

Buildings are legal and people pay taxes. There are nice buildings too. Stationed at Police Station 4, I did everything: direci traffic, domestic disputes, drunks, drug cases."

ln 1985, he transferred to Silkeborg in Jutland. His father had been a policeman in Hjorring, likewise in Jutland, although fur-

ther to the North.

"Previously l'd been dealing with drug addicts," he recalls.

"Now it was horses and cows. I was in the uniformed police for two more years before transfening for trainirp as a plainclothes policeman with the Criminal Investigation Unit."

Tho CID invcslio:tes SefiOUS crimes. No more cows - at least only if stolen...

"These were long investiga-

zo

the legal penalties considerably less than for heroin smuggling.

"Human trafl icking organizers

have settled in Bangkok," Mr. Quist maintains.

"They offer a package of $1 5,000 - generally

$10,000 to

[he latter - that includes passport, plane ticket, a group leader with a genuine Danish passport, and coaching on what to say when questioned."

Against the traffickers are ar-

Sr tions into murder, drugs, financial crimes. I was an assistant forfour

The PTN office handled 127

rayed documentation experts

drug cases in 1998, 10 pedo-

years, before becoming an in-

philia, 7 financial crimes and 49

spector on August 1 , 1 994. There were 15 inspectors in my district's ClD, plus five assistants.

"About two and a hall years ago, I became involved in inves tigating a drug case - hashish and ecstacy - that took me to Spain,

,,other" cases. There were 90 cases of illegal immigration, uP

from the United States, Canada, Great Britain, Australia and other countries. They work in shifts, on 24 hours call, at Don Muang Airport. Various airlines employ ex-

Belgium, Holland. I liked it. I always wanted to work on an international scale, but didn't know could do it from Silkeborg. Then I saw this vacancy for a PTN position here in Bangkok and applied for it."

The PTN Office was founded by a Swedish inspector in 1984 and covers the five Nordic countries. Flemming Quist is the first Danish officer at the post, paired I

with a Swedish counterpart, Stefan Erlandsson. He is currently the treasurer of the Foreign AntiNarcotics Community. Fifty three police officer from 17 countries meet once a month to share information and expertise on combating the narcotics traffic in Thailano.

"Fifty percent of our cases are drug smuggling," Mr. Quist says.

"But the fasiest rising crime is illegal immigration and human trafficking," hew adds.

Irom 52 the year before and onlY five in 1993.

"One case could involve sev-

eral people," Mr. Quist comments.

"Last Saturday six people were detained at Don Muang Air port, nine the Saturday before. lraqis tend to go to Sweden, Sri Lankans to Denmark - mainly because of family connections."

"Other people claiming Political asylum come from Afghanistan and lran," he adds.

perts too because they can be slapped with $10,000 fines for bringing in illegal immigrants.

"l'm not an expert in documentation," Mr. Quist admits.

"But sometimes l'll see a fake

passport that looks like it was made in kindergaften. lllegal immigrants pay with their life savings. When Stefan and I interview them at the lmmigration Detention Center at Soi Suan Phlu, we often feel sorry for them. They of-

"One method is to wait in a

ten give us good information

transit lounge in Copenhagen for

about the traffickers and their

several days. after destroying

modes of operation. lt's the same

travel documents plane tickets.

Then you give yourself up and

with drug cases - people caught with heroin. The traffic is moving

claim political asylum."

"So we don't know when and

more now to pills, amphetamines

how they arrived and conse-

the Golden Triangle, Burma,

quently cannot fine any airline for

Laos, northern Thailand. " Flemming Quist, his Ghanaian wife Ann and three-year-old son are happy in Thailand.

"My wife and I have taken up golf. We tear up big holes in the course in Hua Hin!" "l don't go to Pattaya excePt on business - plenty of Police business there," he adds

the illegal immigration. This has hannmo

o hin iqct ta "

Bangkok is home

to

large

communities of Chinese, Arabs, lndians, Sri Lankans, Bangladeshi

and lranians and has develoPed into a major center of human trafficking. The rewards are great and

and ecstasy. These come from

Dulwich International College Dulwich International College is a coeducational day and boarding school located on the picturesque island of Phuket.

The school delivers a diverse

and challenging programme to students from 3 to 18 years old (Kl to year 13), based on the best practices of British and inter-

national curricula (IGCSE and International Baccalaureate) at Mr, Narit Hiransuthikul, General Manager of Grundfos Thailand, visited the school with a group of volunteers from the staft.

competitive fees.

Our link with Dulwich London is a vital ingredient of our success

ensuring that our educational

Grundfos helps school in Thailand Grundfos Thailand has donated

When donating the money

money and other necessities to a remotely situated school in northern Thailand, to improve condi-

needed for the various improve-

tions for pupils and teachers as well as the training.

The school has about 100 pupils but only three teachers and no electricity,

standards are carefully monitored

while also attracting highly qualified teachers.

We also offer : 12 weeks Preparatory Courses

English Summer School Sports and Adventure Camp

ments, Mr. Narit Hiransuthikul, General Manager of Grundfos Thailand, visited the school together with a group of volunteers from the staff to follow up on the implementation of the funds.

Phuket . Tel : (6676) 238 7ll- 20, Fax: (6676) 238 750 Bangkok . Tel:. 245-5492, F ax:. 245-5490 http://dulwich-phuket.com Email: admin.enquiries@dulwich.rsu.ac.th

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27

The Little Mermaid r aTaste of Home for the Danes in Phuket "We get a lot of retirees coming here for the

winter," says Mogens Pedersen, owner of The Little Mermaid in Phuket.

"Phuket is the place to be. The weather is warm, the people are friendly, the beer is cold, the food is hot..."

I

Mogens Pedersen has welcomed thousands of Scandinavians who come to visit Thailand's famous island paradise. The Danish hotelier and restaurateur provides

"We do not advertise. We have no contracts with travel agents. All our business has

hearty food, tall steins of draft

grown up by word of mouth - our good reputation."

Three months after opening the Little Mermaid Guesthouse,

Carlsberg, newspapers in five lan-

Mr. Pedersen opened another

guages, and a home away from nome. "l was working in a supermarket in Oslo when I came to Phuket

Little Mermaid Restaurant in

for the first time," the burly innkeeper recalls."

"l decided that I could make a living here, taking care of foreign visitors. On December 5, 1989, I opened my first restaurant

on

Patong Beach. Formerly the restaurant had been called 'The Buffalo Steak House', run by a Swede. I renamed it 'The Little Mermaid' and ran it for 1B months till I sold it and it became 'The Buffalo Steak House' again. ltook my sign under my arm and moved to Kata Beach."

Kata, south of the raucous Patong, is a quieter, more familyorientated beach. The Little Mermaid restaurant quickly built up a loyal clientele. In March 1994,

Mogens Pedersen opened the

nearby Karon Beach. This is a spacious tavern with rattan furniture and a lively bar, open to the main street of Karon Beach.

"The restaurant quickly became popular," says Mr. Pedersen.

"l'd say fifty percent of my customers are Scandinavian. We have newspapers and magazines in all Scandinavian languages.

There are twenty Danes who live here permanently, and I meet new Danes every day. There are a few Norwegians, and many more

Kata Beach complex. Located around a large swimming pool, each bungalow has a balcony, refrigerator, telephone, cable TV and hot water bath. There are two restaurants, three bars, a karaoke

room, and a lounge with satellite and a slate pool table.

"We get a lot of retirees coming here for the winter," says Mr. Pedersen.

"Special tours cost as low as 2,195 kroner for 14 days. And now there are charter flights every week from Denmark. even in the low season."

The low season in Phuket is the rainy season, which occurs

W

during the European warm

ig ht

good for everyone. With the fall

dinavian dishes, such as Swed-

ish meatballs and cranberry sauce on rye bread. And of

iralians," Mr. Pedersen com-

restaurants. "

course we also serve Thai food."

month high season, which

is

of the Baht against European currencies, I notice now that low in-

come people are coming to Phuket who couldn't afford it before. "

"Our menu is printed in 13

"And people have become

languages. We're also well known

aware that it doesn't rain all day every day. This year has been unusually dry, in fact. Even when it rains, Phuket is a very pleasant place to be. The weather is warm, the people are friendly, the beer is cold, the food is hot."

Recently, Mogens Pedersen

by the Chamber and hosted by the Royal Danish Embassy.

The evening was a unique chance to meet and get a first hand oppinion on any legal subject from several of the prominent lawyers among the members of the Nordic chambers.

Although the advice often ended with the - potentially profitable - remark that "if you call me on Monday we could look further into the detail" the evening was

indeed an outstanding opportunity and much appreciated by all memebres, who attended.

"But in the last couple years l've noticed a change," Mr. Peder-

famous for its steaks, flown in from New Zealand and Auslralia.

We also have a selection of Scan-

Almost forty members of the Danish Thai Chamber of Commerce in September attended the "free legal advice"-evening, organized

montns.

sen notes. "lt used to be a seven month low season and a five month high.

That has reversed now to a seven

for our giant steins ol draft Carlsberg, sold for 105 Baht. I ordered the steins specially from a Bangkok firm that supplies German

28

added 23 luxury bungalows to his

Swedes - they get out as fast as they can."

"The Little Mermaid is most

four-story Little N4ermaid with 36 balconied rooms. Rooms with either ceiling fans or aii-conditioning rent for 3245-345 a night. "l have many repeat customers from Denmark, but also many French, Americans, British, Ausments.

R

Members treated to an evening of legal advice

By James Eckardt

In his ten years in Phuket,

nte I lectu a I Pro perty

expert Sayumporn Sujintaya of Tilleke & Gibbins introduced the Lawyer's Evening at the Royal Danish Embassy,

Danes show more interest in Thailand Mr. Henrik Petersen, Commercial

Counsellor at the Royal Danish Embassy in October participated in a meeting in Copenhagen for Danish companies interested in Thailand or Malaysia. "l experienced a renewed and positive interest among the companies," Mr. Petersen says.

"Clearly, the Danish compa-

nies are quite aware, that the years of the crisis are over and it is time to do business again."

Nordic Ghambers' Millennium Ball February 5, 2000 the Nordic Chambers in Thailand will celebrate the turn of the century with

their members and guests at a magnificent Millennium Ball at lho Oriental Hotel on the banks of tho maiestic Chao Phrava River.

lho Norrllr; ()lrirnrtrors

celobnrllrrly llro ovorrt irr a joint acllon t:ortt;lrlso ol the Thai-Swedlslr ()lrirrrrllor oI Commerce, the

Danlsh thai Chamber of Comrrroroe and the Thai-Norwegian Chamber of Commerce.

24'n December 1999

Traditional Christmas Eve buffet dinner. Adults Baht 75O nett, Children Baht 375 nett

25'n December 1999

Jungle Themed buffet Lunch. Very xing, adults Baht 75O nett, dren Baht 375 nett

DTCC Annual

General Meeting The AGM - Annual General Meet-

ing of the Danish Thai Chamber of Comerce is scheduled to take place on February 29, 2000 at the Sukhothai Hotel.

Among the always interesting

subjects of the AGM is the

selction of the new board for the year 2000. Names of the present board are printed on page 4 in this magazine as well as in "Denmark in Thailand - 1999' the yearbook and membership directory of the Chamber.

Niels Lumholdt Passed Away One of the most prominent Danish businessmen in Thailand, Mr.

lor Mr. Henrik Petersen read

Niels Lumholdt passed away in August this year while on vacation in Denmark.

Mr. Lumholdt's funeral was

Danish Ambassador to Thailand, Mr. Niels K. Dyrlund.

Among Mr. Lumholdt's many

achievements the Ambassador

mentioned

held in Helleruplund

Church North of

the

magnificent book "Scandinavians in

Copenhagen on 24 August. lt was a very

Siam" published in

1980 of which Mr. Lumholdt was the

large funeral with rep-

resentatives f rom many segments of the Danish and Thai soci-

editor. Mr. Lumholdt was also appointed one of the three socalled Copenhagen

ety and business, not least the aviation business in which Niels Lumholdt played such a substantial role. He

Good Will Ambassador.

Niels Lumholdt as many friends will remember him, - always smiling and positive in his approach to others.

came to Thailand in

1964 when Scandinavian Airlines Systems helped in the formation of Thai Airways International and became tho Murkotirrg Director of Thai Airwoys lnlornirtional from 1969 to 1972,1|u wrm thon promoted to Doputy Mrrrrlyirrty Director of the alrllno rrrrlll l{)tl{} wlrorr Thailand took ovttt llto rrrruurlyrr ment of the alrllrto rxrrrrph rloly rurrl he established ttlu owrr lrurrllrorur within aviation, At a memclrlul norvklr for Mr,

Lumholdt on Sottlottrlrnr {)

lrr

Christ Church In ['Irn0hok, I r;tr nomic and Comnttrtr;htl

a

personal speech written by the

(

)r rt

ttl*rl

Mentioning his and his wife's presence at the funeral

in Helleruplund the Ambassador wrote that they took special note of the sub-

stantial number of Mr. Lumholdt's close friends in Thai Airways who had flown in especially to pay him

SCAND.MEDIA

thoir lrcl raena^te

"ln many ways the presence

of the large contingent of Thais

itl

tho funeral was a true sign of

llro r:lose relationship that Niels I tttnlrokil had fostered not only lxrlwoorr tlro Darrish and the Thai rrvlrrlkrn t;orrrrrrrrrriIy, but also in rtrrrtry ollror iripor;ls | )rrt rhrl r ro| rllorrrrlrlp,"

ol the Thai

Your Partner in Publishing Tel: 943-7166-8 Fax: 943-7169 email : scandmedia

@

thai.com 29

Useful Gontact

100 Thai Baht's Value in Danish Kroner

ROYAL DANISH EMBASSY Commercial Section 10 Soi Attakarn Prasit Sathorn Tai, Bangkok Tel.: (66 2) 21s-2021-5 Fax: (66 2) 213-1752 HE Niels K. Dyrlund

20

19.5 19

14.57

18.5

Ambassador Mr. Henrik Petersen Counsellor, Head of Section Mr. Lars Friis Jensen Commercial Counsellor Mr. Attakorn Saropala Senior Commmercial Off icer Ms. Srisuda Vilyala Commmercial Officer

18 17 -5

17,

,,ii;,

ROYAL THAI EMBASSY

Norgesmindevej 18 DK-2100 Copenhagen 0 Denmark Tel.: 39 62 50 10 Fax: 39 62 50 59 HE Apiphong Jayanama Ambassador Mr. Prasittidej Vichitsorasatra Counsellor

1 Danish Kronens Value in Thai Baht 6

5.8

SCANDINAVIAN SOCIETY SIAM G.P.O. Box

5.6

Bangkok 1 0501

5-4

Tel.: (66 2) 653-0492 Fax: (66 2) 654-1147

5-39

Mr. Anders Lundqquist

5.2

Chairman DANISH-THAI CHAMBER OF COMMERCE 140212 14Ih Fl., Glas Haus 1 Sukhumvit 25 Road, North

'.5,

Klongtoey, Wattana, Bangkok 10110 Tel.: (66 2) 661-7761-3 Fax: (66 2) 661-7764

.,

,

1'75

170 roc 160 44q

teoo

*d'

17;8O

60

176A

40

1740

20 0

172A

Sep.

1998

Sep.1998

Sep. 1999

BEC OME A MEMBER OF THE

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DANISH.TIIAI CHAMBER OF COMMERCE

Fill in this coupon to receive further information and a full application Jorm for membership.

Mail orfax the counon to:

Contact Name:

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Company nawre: Address: Fax:

Telephone: 30 "*.:

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