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Thailand: TDRI says to focus on consumer purchasing power when negotiating FTAs.
(From Thai Press Reports)
Section: General News - Focus more on higher purchasing power: TDRI, The Nation reports.
Thailand should focus more on strengthening people's purchasing power when negotiating trade agreements, the Thailand Development Research Institute (TDRI) suggested on Wednesday.
"The government should consider economic welfare as a main factor rather than concentrate on the trade deficit problem. An FTA [free-trade agreement] does not only create a trade surplus," said Dr Somkiat Tangkitvanich, the research director of TDRI's science and technology development department.
He added that in all free-trade negotiations, the government should focus on comprehensive FTAs rather than early-harvest programmes, saying that the country would enjoy benefits in addition to those in the agricultural sector.
A Thailand-China FTA was implemented in October 2003 under an early-harvest programme that covered fruits and vegetables. In addition, an Asean-China FTA was launched in July that complements tariff reductions under Asean's Common Effective Preferential Tariff scheme.
The latter FTA covers industrial as well as agricultural products, while services are still being negotiated.
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