Excellent future for Thai investments here: MCCI
Monday, 14 December 2009
FE Report
Thai investments have excellent future as Bangladesh offers most attractive incentives for investing in energy sector, said Metropolitan Chamber of Commerce and Industry President Abdul Hafiz Choudhury Sunday.
"Bangladesh requires US$5 to $7.0 billion (500 to 700 crore) investments in generation and distribution of 7,000 megawatt of electricity by the end of 2011," he said to a Thai business delegation visiting Bangladesh.
Mr Hafiz said the Thai government will find attractive opportunities in the energy sector as the Bangladesh government has initiated large projects under public-private partnership (PPP).
Dhaka has established itself as the cheapest production base in South Asia and Bangkok can take the advantage of it, he said.
"Thai investors can invest in labour intensive sectors including textiles, leather, paper and pulp, tourism, agro-based and agro-supporting industries," he added.
The MCCI chief said Dhaka and Bangkok should cooperate with each other both bilaterally and multilaterally.
"Thailand is one of the major partners in the BIMSTEC and we expect Bangkok's support to conclude the agreement as early as possible," he said.
BIMSTEC was initiated with the goal to combine the "Look West" policy of Thailand and ASEAN and "Look East" policy of South Asia, he pointed out.
"We consider BIMSTEC a link between ASEAN and SAARC which is strategically important for the regional development," he added.
BIMSTEC comprises Bangladesh, Bhutan, India, Myanmar, Nepal, Sri Lanka and Thailand and the area accounts for 21 per cent of the world population.
"Our cooperation in the coming days should be widened regionally and bilaterally by establishing land routes through Myanmar," Mr Hafiz said.
He said both the countries have vibrant private sectors and they can share resources and exchange technical know-how.
"Thailand as an emerging economy may contribute to building capacity and innovativeness among the small and medium enterprises in Bangladesh," he added.
Mr Hafiz lamented that Dhaka and Bangkok have historical relationship but it is yet to be reflected in the bilateral trade.
"So far, the trade is limited to a handful of items of Thailand and even a fewer number of products from Bangladesh," he said.
The two-way trade amounted to $569 million in 2008-09 with $529 million of export from Thailand and only $39 million export from Bangladesh to Thailand.
Head of the delegation and President of Thai-Bangladesh Business Council Mingpant Chaya said trade volume is very low between the two countries and heavily tilted towards Bangkok.
"We have to try hard what type of Bangladeshi products can be sold in the Thai market to reduce the trade gap," he said.
The existing trade ratio is 1:13 and it should be reduced to 1:4, he added.
He said there are many Thai investors who want to invest in jewelry and diamond cutting.
"It is a new proposal from Bangladesh to invest in the sector and we will send some investors who want to invest in the field when we go back home," he said.
Dhaka and Bangkok should take an initiative to make the countries visa-free so that businessmen can travel without any problem, he added.
President of Bangladesh-Thai Chamber of Commerce and Industry (BTCCI) MA Momen said Dhaka is going to organise a 'road show' in Bangkok on December 17 next.
"About 40 Bangladeshis will take part in the show and it will create enthusiasm among the Thai investors," he added.
In the show eight sectors including leather, information technology, infrastructure, tourism and energy will be highlighted, Mr Momen said.
President of France-Bangladesh Chamber of Commerce and Industry Alamgir M Rahman said the Thai textile sector can be relocated in Bangladesh.
"The Thai investors can take the advantage of duty-free market access of Bangladesh to EU, Japan and Canada," he said.
Chief Executive Officer of Agrani Bank Naser Bakhtear said Thailand should provide duty-free access to Bangladeshi products to reduce the huge trade gap.
Thai investments have excellent future as Bangladesh offers most attractive incentives for investing in energy sector, said Metropolitan Chamber of Commerce and Industry President Abdul Hafiz Choudhury Sunday.
"Bangladesh requires US$5 to $7.0 billion (500 to 700 crore) investments in generation and distribution of 7,000 megawatt of electricity by the end of 2011," he said to a Thai business delegation visiting Bangladesh.
Mr Hafiz said the Thai government will find attractive opportunities in the energy sector as the Bangladesh government has initiated large projects under public-private partnership (PPP).
Dhaka has established itself as the cheapest production base in South Asia and Bangkok can take the advantage of it, he said.
"Thai investors can invest in labour intensive sectors including textiles, leather, paper and pulp, tourism, agro-based and agro-supporting industries," he added.
The MCCI chief said Dhaka and Bangkok should cooperate with each other both bilaterally and multilaterally.
"Thailand is one of the major partners in the BIMSTEC and we expect Bangkok's support to conclude the agreement as early as possible," he said.
BIMSTEC was initiated with the goal to combine the "Look West" policy of Thailand and ASEAN and "Look East" policy of South Asia, he pointed out.
"We consider BIMSTEC a link between ASEAN and SAARC which is strategically important for the regional development," he added.
BIMSTEC comprises Bangladesh, Bhutan, India, Myanmar, Nepal, Sri Lanka and Thailand and the area accounts for 21 per cent of the world population.
"Our cooperation in the coming days should be widened regionally and bilaterally by establishing land routes through Myanmar," Mr Hafiz said.
He said both the countries have vibrant private sectors and they can share resources and exchange technical know-how.
"Thailand as an emerging economy may contribute to building capacity and innovativeness among the small and medium enterprises in Bangladesh," he added.
Mr Hafiz lamented that Dhaka and Bangkok have historical relationship but it is yet to be reflected in the bilateral trade.
"So far, the trade is limited to a handful of items of Thailand and even a fewer number of products from Bangladesh," he said.
The two-way trade amounted to $569 million in 2008-09 with $529 million of export from Thailand and only $39 million export from Bangladesh to Thailand.
Head of the delegation and President of Thai-Bangladesh Business Council Mingpant Chaya said trade volume is very low between the two countries and heavily tilted towards Bangkok.
"We have to try hard what type of Bangladeshi products can be sold in the Thai market to reduce the trade gap," he said.
The existing trade ratio is 1:13 and it should be reduced to 1:4, he added.
He said there are many Thai investors who want to invest in jewelry and diamond cutting.
"It is a new proposal from Bangladesh to invest in the sector and we will send some investors who want to invest in the field when we go back home," he said.
Dhaka and Bangkok should take an initiative to make the countries visa-free so that businessmen can travel without any problem, he added.
President of Bangladesh-Thai Chamber of Commerce and Industry (BTCCI) MA Momen said Dhaka is going to organise a 'road show' in Bangkok on December 17 next.
"About 40 Bangladeshis will take part in the show and it will create enthusiasm among the Thai investors," he added.
In the show eight sectors including leather, information technology, infrastructure, tourism and energy will be highlighted, Mr Momen said.
President of France-Bangladesh Chamber of Commerce and Industry Alamgir M Rahman said the Thai textile sector can be relocated in Bangladesh.
"The Thai investors can take the advantage of duty-free market access of Bangladesh to EU, Japan and Canada," he said.
Chief Executive Officer of Agrani Bank Naser Bakhtear said Thailand should provide duty-free access to Bangladeshi products to reduce the huge trade gap.