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Thailand seeks better ties with Myanmar
by Staff Writers
Mae Sot, Thailand (UPI) Oct 7, 2011

EU, China to sign accord on tourism
Warsaw (AFP) Oct 7, 2011 - The European Commission hopes to sign a joint declaration of cooperation in tourism with the Chinese authorities by year's end, Commissioner for Industry and Entrepreneurship Antonio Tajani announced.

"This declaration should mark the start of a profitable cooperation that will bring in profits to the European tourist industry and contribute to improving contacts between our peoples," Tajani told an informal meeting of European tourism ministers at Krakow, in Poland, on Thursday.

Tajani, a vice-president of the commission, went on: "The emerging markets present a potential for attracting and building up tourists to Europe."

He and Commissioner for Internal Affairs Cecilia Malmstroem had decided to set up a working group on visas in a bid to ease visa applications for would-be visitors to Europe, he added.


Thailand's prime minister returned to Bangkok with a promise from the nominally civilian government in Myanmar to reopen a major border crossing soon.

However, no date was announced to reopen the crossing, which was closed by Myanmar in July 2010.

The border crossing -- one of two major road trading links between the countries -- connects the town of Mae Sot in Thailand with the Myawaddy district of Myanmar's troubled state of Karen.

The Friendship Bridge over the Moei River was constructed in 1997 and had been an important trade route for goods, both legal and illegal.

A Thai news agency report in July 2010 stated, the bridge was closed to protest Thailand's construction of a riverbank protection project, which Myanmar officials claimed diverts the river and is eroding the banks on the Myanmar side.

The bridge issue discussed during the one-day visit by Thai Prime Minister Yingluck Shinawatra -- the country's first woman government leader -- has significance for relations between the countries.

Opening the crossing would signify improving relations that have been tense, thanks to Myanmar refugees crossing into Thailand fleeing fighting between Karen rebels and Myanmar security forces.

Thailand relies on Myanmar for natural gas and cheap labor, a report by the independent Myanmar newspaper the Irrawaddy, based in Thailand, said.

Yingluck's trip was to "foster close relations and cooperation" between the two countries both members of the Association of Southeast Asian Nations.

"High on the agenda are the opening of permanent border checkpoints, assistance to develop national and human resources, as well as boosting cooperation to jointly tackle border-related problems, including suppression of illicit drugs and illegal workers," the Irrawaddy report said.

During her trip, Yingluck met with Myanmar President Thein Sein, a former junta leader, and praised the country's progress in promoting democracy and reconciliation, the Thai News Agency reported.

She stressed her country's policy of not allowing armed groups to use its territory to launch an offensive against the Myanmar government, the report said.

She urged Myanmar to reopen the border checkpoint at Mae Sot to boost trade and other economic cooperation.

The Thai News Agency report quoted Sein as saying the process would be speeded up once bridge repairs are completed.

But the Irrawaddy report questioned how soon the bridge would reopen. It pointed to a report last month by Myanmar's state-run newspaper The New Light of Myanmar. Myanmar Commerce Minister Win Myint said that cross-border trade with Thailand would be resumed only when "factors contributing to border trade promotion" are in place.

The key factors include better security and transportation operations, a bilateral agreement on trade as well as better customs and banking services between the two countries.

Many low-paying jobs in Mae Sot's service industries, including factories, are filled by the thousands of illegal Myanmar migrants. The town also suffers from a black market in people trafficking and smuggling gems and narcotics.

Myanmar and Thailand could be on the verge of forming a new relationship after years of suspicion by Thailand of the militarily ruled and closed society of Myanmar whose junta clamped down on any political dissent against it decades-long rule.

But the new governments in both countries are looking for ways to engage neighboring countries, economically and politically.

Yingluck is a successful businesswoman but has little political experience. She worked in the family businesses, including Shinawatra Directories, and was appointed managing director of the telecommunications company AIS, then owned by her family, in 2002.

In the aftermath of Thailand's national election in July, she put together a coalition government between her Pheu Thai Party and four smaller parties, raising the number of government parliamentary seats to 299 out of 500.

She is trying to establish her credentials away from the shadow of her controversial older brother and former Prime Minister Thaksin Shinawatra, 61, who lives in self-imposed exile to escape a jail sentence on tax fraud.

Sein. 77, led the Union Solidarity and Development Party in the general election in November and was formally installed in March. The USDP is comprised of mainly retired military officers who resigned their posts to join the party and run as civilians.

Also, one-quarter of seats in Parliament are reserved for military appointments.

The military legacy dogs Myanmar's government as it embarks upon moves it says are designed to show it is on a road to democracy.

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Malaysia exports up 10.9% in August
Kuala Lumpur (AFP) Oct 7, 2011 - Malaysia said Friday its exports, the engine of the country's economy, rose 10.9 percent in August, which analysts said could ease fears of a slowdown in overseas orders.

The trade ministry said exports rose to 58.56 billion ringgit ($18.42 billion), while imports climbed 6.9 percent year-on-year to 47.58 billion ringgit.

It attributed the performance to increased shipments of key export items such as electrical and electronic goods, palm oil, liquefied natural gas, and chemical products.

Exports grew 7.1 percent year-on-year in July.

"It is good news as it will lift sentiment given the concern over the slowdown in the global economy," said Yeah Kim Leng, group chief economist with financial firm RAM Holdings.

Concern has mounted in Malaysia that the credit crisis in Europe and lingering US economic uncertainty could hit Southeast Asia's third-largest economy.

But August saw continued steady shipments to China, the top Malaysian export market for the month.

Yeah also said increased exports to Japan indicated disruption in orders caused by the earthquake and tsunami disasters in March could be ending.

Exports to Japan -- Malaysia's third-largest market in August -- rose 5.3 percent to 6.1 billion ringgit.

Total trade in January-August came to 830.23 billion ringgit, up 7.9 percent as exports rose 7.4 percent.

Prime Minister Najib Razak will later on Friday announce his 2012 national budget, which is expected to focus on spurring domestic demand and contain measures aimed at helping consumers cope with inflation.

Najib has taken several steps to stimulate the economy since taking power in 2009, including promises of major infrastructure projects and financial market liberalisation.

However, the central bank in August said the economy grew just 4.0 percent in the second quarter, its slowest pace in nearly two years, on softening global export demand and a moderation in public sector spending.

It has forecast full-year 2011 growth of between five and six percent.

Although hit hard by the global economic slowdown that first emerged in 2008, Malaysia's economy rebounded with an impressive 7.2 percent growth in 2010.



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