Krirk-krai sets out his economic goals

Speaking at the "Open House with Economic Ministers" seminar yesterday, Commerce Minister Krirk-krai Jirapaet outlined his seven goals.
They are: to drive export growth; to ensure farmers' living standards so that they can live in dignity and sustainability; consumer welfare protection through the development of trade law; capacity-building for enterprises; free and fair trade; Asean integration; and structural adjustment. To maintain the country's competitiveness during globalisation, Krirk-krai clarified policies to encourage the competitiveness of local enterprises and to maintain foreign investors' confidence. Firstly, the ministry will focus on driving exports. He said the Kingdom was a trading nation, with 65 per cent of the gross domestic product coming from exports. "The ministry will continue to drive export growth on average by 16-17 per cent a year," he said. This year the government's target is to boost exports by 17.5 per cent to US$130 billion (Bt4.7 trillion). Second, the ministry will focus on generating sustainable farm income. Agricultural prices will be managed based on reality, which should be in accordance with world market prices. Krirk-krai criticised the high subsidy that the previous government provided to farmers, saying that it would discourage them from improving productivity while remaining a burden to the state. "Farmers should live with dignity," he said. "We cannot play politics with them. Nor spoil them year after year." He said the system must be able to take care of itself. "It's not an easy decision to reduce the subsidy," he said. "We have to bite the bullet." The minister also said the interim government would try to encourage public participation in the process. The government will, nonetheless, create the agricultural adjustment programme. He added that the ministry would also encourage trading of more agricultural products in the futures market. Third, the protection of consumer welfare through the development of trade law will be tackled. The ministry will closely monitor trade regulations and safeguard measures, and ensure fair trade competition laws. Fourth, the ministry will focus on increasing the competitiveness of local business firms, in particular small and medium-sized enterprises. One Tambon One Product manufacturers will be encouraged to become competitive exporters. Fifth, the ministry will ensure promotion of free and fair trade. Krirkkrai said he would try his best to promote active, productive and constructive policies to encourage bilateral free-trade agreements. "Why don't we go ahead with pushing trade liberalisation measures such as bilateral trade pacts, if they prove to be of future benefit for the country?" he said. "What should I wait for?" Krirkkrai also offered his vision on international trade. "The best way for Thailand to move ahead is with a cautious approach to liberalisation and globalisation." Sixth, the government will encourage Asean integration. "Asean is our destiny - a shared interest as part of Asean," he said. "We'll do our utmost to see that our integration materialises in good time. We aim for tariff cuts to a level between zero and 5 per cent." Finally, the Commerce Ministry will pursue structural adjustment. He said the management of the ministry's tasks needed to be revised to ensure the effective work of government. He answered a question from the floor about changes to the Foreign Business Act. He said the government was going to review the technicalities. "Let me assure you, the new law will be much more transparent," he said. "So I hear your concern, I note your point, and we will try to rectify this." Krirkkrai said the government would concentrate not only on trade liberalisation policies, but also on making Thailand one of the world's leading service-provider countries. Services will be a key factor in driving the Kingdom's economic growth, he said.
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