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Byline: Busrin Treerapongpichit
Oct. 3--Alternative markets in Asean, South Asia and China are being sought to help speed the rehabilitation of the local steel industry, according to the Iron and Steel Institute of Thailand.
The institute would seek 100 million baht from the government's 58-billion-baht economic stimulus budget to back an Industry Ministry proposal to support the plan, said Wikrom Vajragupta, director of the institute.
Over the past three years, he said, most local steel firms' rehabilitation plans proposed to creditors had been rejected as the manufacturers could not present convincing business plans, given the poor prospects of the overall industry.
To overcome the problem, the steel firms needed to improve their marketing and step up to reduce excess supplies, he said.
The institute aims to seek co-operation from state agencies such as the Industry and Commerce ministries and the Board of Investment (BoI) in order to capture new export markets.
According to the institute's study, combined demand for steel products in Asean, South Asia and China is 159 million tonnes per year. Of this, 33 million tonnes are imported but only 600,000 tonnes are bought from Thailand.