Brussels, 05/03/2013 (Agence Europe) - On Wednesday, the European and Thai authorities are expected to officially open trade negotiations and conclude a cooperation agreement.
The president of the European Commission, José Manuel Barroso, and the prime minister of Thailand, Yingluck Shinawatra, are expected to officially announce the opening of free-trade negotiations between the EU and Thailand during their bilateral meeting in Brussels on 6 March. The two leaders are also expected to announce the conclusion of talks on a partnership and cooperation agreement between the EU and its third biggest trading partner in the South-east Asian bloc of countries (ASEAN).
Commissioner for Trade Karel De Gucht and Thailand's Minister of Trade Boonsong Teriyapirom held a preliminary meeting in Brussels on Tuesday 5 March to discuss future free-trade negotiations. The EU and Thailand have completed their scoping exercise for their future discussions. Thailand suffered from heavy flooding in summer 2011 and is one of the stronger economies with which the EU would like to swiftly promote trade and investment. The liberalisation of tariffs on wines and spirits will be one of the EU's main priorities in the future negotiations. The EU also has a number of priorities in other areas that are regarded as sensitive sectors by Thailand, such as public contracts, foreign investment, the opening up of the services market and intellectual property.
According to the Thai press, Boonsong is said to have asked De Gucht on Tuesday to include two new Thai products, Doi Chang coffee and Doi Tung coffee, on the list of geographical indications, in addition to the first south-east Asian product to enjoy this status, Thai rice Khao Hom Mail Thung Kula Rong-Hai (jasmine rice).
In 2011, the EU exported €11.9 billion worth of goods to Thailand and imported €17.5 billion worth of goods. During the same year, it also imported more services from Thailand (€4.8 billion) than it exported to its Asian partner (€2.4 billion). Its outward foreign investment stock from Thailand reached €14.4 billion in 2010 (as opposed to €0.8 billion in Thai FDI to the EU). Thailand currently benefits from the EU's system of generalised preferences, an advantage that would, in the long term, be withdrawn, if a free trade agreement is concluded. (EH/transl.fl)