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The FTA Architecture of Thailand

The FTA Architecture of Thailand. Narongchai Akrasanee, Ph.D. PECC Trade Forum Meeting Jeju Island, Korea May 22-25, 2005. www.FTAMonitoring.org. OUTLINE. Latest Development of Thailand’s FTAs Architecture of Thailand’s FTAs FTAs and Thailand Trade Regime. www.FTAMonitoring.org.

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The FTA Architecture of Thailand

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  1. The FTA Architecture of Thailand Narongchai Akrasanee, Ph.D. PECC Trade Forum Meeting Jeju Island, Korea May 22-25, 2005 www.FTAMonitoring.org

  2. OUTLINE • Latest Development of Thailand’s FTAs • Architecture of Thailand’s FTAs • FTAs and Thailand Trade Regime www.FTAMonitoring.org

  3. I. Latest Development of Thailand’s FTAs Under various stages Implementation Agreements Negotiation Initiation www.FTAMonitoring.org

  4. I. Latest Development of Thailand’s FTAs (cont.) Implementation AFTAsince 1993, Now > 60% of products are tariff free China-- 0% in 2010 -- EHP (07-08) = 0% since Oct 1, 2003 India-- 0% in 2010 -- EHP (82 items) start on Sep 1, 2004; will be 0% within Sep 1, 2006 Australia-- 0% in 2015 -- 49% of Thai products, 83% of Australian products are tariff free since Jan 2005 www.FTAMonitoring.org

  5. I. Latest Development of Thailand’s FTAs (cont.) Agreements Bahrain -- EHP = 626 items will be 0% New Zealand -- Signed, 0% in 2015 -- Start from July 1, 2005 www.FTAMonitoring.org

  6. I. Latest Development of Thailand’s FTAs (cont.) Negotiation USA -- Services, Labor, Environment, Trade Remedies and IPR are key issues Japan -- Under discussion on agriculture i.e. chicken, sugar, fisheries, etc and manufacture i.e. iron & steel, auto parts, leather products Peru -- Expected to finish within 2005 -- Agricultural products such as rice, chicken, sugar and ROO are under discussion www.FTAMonitoring.org

  7. I. Latest Development of Thailand’s FTAs (cont.) Initiation EFTA Pakistan www.FTAMonitoring.org

  8. II. The Architecture of Thailand’s FTAs • Conceptual Design • Sectoral (Early Harvest) • China, 10/ 2003 • Fruits & vegetables (HS 07-08) • India, 9/2004 • 82 product groups • All merchandise, with phased exclusion list • AFTA, 1993 www.FTAMonitoring.org

  9. II. The Architecture of Thailand’s FTAs (cont.) • Comprehensive, with timing and other conditionalities • Australia, 1/2005 • New Zealand, 7/2005 • USA (under negotiation) • Limited FTA (Partnership Agreement) • Japan (under negotiation) • Peru, Bahrain (implementation pending) www.FTAMonitoring.org

  10. II. The Architecture of Thailand’s FTAs (cont.) • Architectural Process • Design development, determined by objective, by Inter- ministerial Committee • Specific market expansion Sectoral approach • Achieving overall economy of scale All merchandise • Enhancing competitiveness (sectoral and regime reform) of Thailand’s businesses Comprehensive • Enhancing partnership for closer economic relations, or access to other markets Limited FTA www.FTAMonitoring.org

  11. II. The Architecture of Thailand’s FTAs (cont.) • Negotiation • Negotiating teams by countries, under appointment • Secretariat at Ministry of Commerce (Department of Trade Negotiations) • Implementation • By Ministries’ responsibilities (fragmented) • Ad-hoc dispute settlement mechanism • Impact management • Public education • Restructuring and relocation funds www.FTAMonitoring.org

  12. III. FTAs and Thailand’s Trade Regime • Foreign Trade Regime • More uniform tariff rate structure and customs procedure • AFTA implementation added pressure on move towards uniformity • Modernizing standards and quality requirements • Quarantine system (Australia, NZ) • Quality and safety standards (China, India) www.FTAMonitoring.org

  13. III. FTAs and Thailand’s Trade Regime (cont.) • Competition Regime • Forcing necessary sectoral reform • Dairy & livestock (Australia, NZ) • Financial services (USA) Etc., etc… • Initiating cross-border commercial practice reform (mainly USA) • Intellectual property rights • Government procurements • Investment Etc., etc…. www.FTAMonitoring.org

  14. The FTA Architecture of Thailand Narongchai Akrasanee, Ph.D. PECC Trade Forum Meeting Jeju Island, Korea May 22-25, 2005 www.FTAMonitoring.org << Back

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