Brussels, 07/03/2013 (Agence Europe) - The Thai authorities have promised to involve civil society closely in the negotiations it is to begin with the Commission in May of this year.
As announced on 6 March by European Commission President José Manuel Barroso and Thai Prime Minister Yingluck Shinawatra, the EU and Thailand are about to embark on talks on a bilateral free-trade agreement. Following on after Singapore, Malaysia and Vietnam, Thailand - the EU's third largest trading partner in the region - is the fourth of the ASEAN countries to negotiate a free-trade deal with Europe.
A Thai government source, quoted by the national daily The Nation, says that Bangkok would like the agreement to be completed within two years. Yingluck's economic adviser, Olarn Chaipravat, will head the Thai negotiating team. A first round of talks is scheduled in Brussels for May, to be followed by at least one meeting every quarter, alternately in Bangkok and Brussels. Despite public opposition and fears that alcohol and medicines will form part of the negotiations, the Thai government gave the go-ahead to the talks at the end of last year. To ensure public support, Bangkok has promised that civil society will be closely involved in the talks.
The EU and Thailand have completed the scoping exercise on the extent of their future discussions. Despite being hit by heavy flooding in the summer of 2011, Thailand is one of East Asia's strong economies, with which the EU is seeking rapidly to boost trade relations. Liberalisation of tariffs on wines and spirits will be one of the EU's offensive interests in the upcoming negotiations. The EU has other offensive interests in sectors that are sensitive for Thailand, such as public procurement, foreign investment, opening up the services market and intellectual property.
EU-Thai bilateral trade in goods was worth €30 billion in 2011 and trade in services €8 billion. EU foreign investment in Thailand amounted to €14.4 billion in 2010 (compared with €0.8 billion of Thai FDI in the EU). Thailand derives benefit from the EU system of generalised preferences, an advantage that will be phased out if a free-trade agreement is concluded. (EH/transl.fl)