General Chatchai Sarikulya, Minister of Commerce, granted policy for executives and officials of the Ministry of Commerce

 

According to government policy stated by General Prayut Chan-ocha Prime Minister to the Cabinet presented to National Legislative Assembly on September 12, 2014, Ministry of Commerce as the main organization of economy and trading linking and serving manufacturers, traders and consumers of the county, and playing a role in driving exports as a key engine of Thailand’s economy, we therefore have a mission in support of government policy in various fields, especially policy of increasing economic potential of the country. The government aims to stimulate the economy to grow to its full potential, empower entrepreneurs, and establish foundation for sustainable economic growth, policy of promotion on role and opportunities in ASEAN. The government also aims to create readiness of transportation and logistics system, regulatory, trade facilitation, border development, and human resources. In addition, The Ministry of Commerce intends to implement policies of the government to promote national administration with good governance and anti-corruption and misconduct in the public sector.

The strategy of the Ministry of Commerce to support the government's policy includes three core components, as follows: (1) To drive urgent strategies for tangible results within 1 year, (2) To drive strategies for laying a strong foundation of economy and trading of the country, (3) To assess and monitor working progress to be able to present tangible results to the public. 

 

 

1. Principle of proactive management on rice and major agricultural products to help farmers to earn a reasonable income and well-being includes (1) Monitoring reasonable price of goods, without distorting the market mechanism, except that the normal mechanism cannot work effectively. The Ministry will take measures to handle the price carefully. (2) Supporting measures to increase productivity and reduce manufacturing costs. (3) Encouraging farmers to do others jobs as a second source of income during off season in farming. (4) Promoting organic products.

 

Rice Strategy Year 2014/2015

 

Urgent Strategies to be driven for tangible results within 1 year ahead include:

 

1. Release old stock of rice about 15-18 million tons by using a careful and appropriate rice trade mechanical system, and release rice by using other special channels beyond usual mechanism, such as releasing rice to countries demanding, but it may need extra factors such as credit granting, goods exchanging, and so on.

 

2. Manage new season rice by handling minimum price for farmer making an appropriate living. 

For other major agricultural products, the Ministry of Commerce will manage on the basis of four principles above by deploying as appropriate. In addition, Ministry of Commerce, Ministry of Agriculture and Cooperatives, and relevant departments set up a national integrated agricultural products data center for proactive management for directly and timely problem solving. 

 

3. Care for living expenses of people with low incomes. Ministry of Commerce will take care of the price to be suitable and compliance with the market mechanism, not allowing a monopoly or stockpiling, maintaining sufficient quantity, as well as promoting diversification of goods sources thoroughly for consumer cost reduction, such as supporting establishment of markets for low income people in provinces around the country, and so on. If the above measure cannot solve the problem of living cost in an appropriate manner, the Ministry of Commerce will take legal measures to control prices of goods necessary to livelihood of people.

4. To drive exports and develop border trades, the Ministry of Commerce will push for a clear review of the export capacity of the country and cooperate with all parties to set out a strategy for continuity. In short, we will accelerate the strategic plan to stimulate exports. This includes adjusting plan and commercial diplomacy network. In addition, the Ministry will accelerate the development of border trade and border trade with neighboring countries, as well as revive the importance of international trade negotiations (Re-engaging with Trade Regime) for Thailand to play a role in both regional and global stage.

 

5. To drive the country to ASEAN One, Ministry of Commerce has strategy to support the government's policy of creating closer linkages of trade and investment with ASEAN. We will promote the links throughout the value chain, expand trade opportunities, reduce regulatory barriers and facilitate trading. In addition, Ministry of Commerce will implement the strategy by using opportunity from ASEAN arena as a base to world stage, reviving relationship mechanism and leader role of Thailand existing in framework of agreements, especially agreement of ASEAN+3 (China, Japan, South Korea) and ASEAN+6 (or RCEP which includes China, Japan, South Korea, India, Australia, New Zealand) as well as multilateral framework agreement in the World Trade Organization (WTO).

 

6. To build capacity in the competition for entrepreneurs and enterprises (Smart Enterprise), Ministry of Commerce will implement the strategy to develop entrepreneurial capacity in the highly competitive condition, such as creating cluster link between SMEs and large enterprises by business groups in value chain, especially cluster of food, garment, jewelry, services, and tourism business. In addition, Ministry of Commerce will cooperate with other agencies to propel the project to promote entrepreneurship and creative economy as well as support for a country with a leading role in establishing creative economy with ASEAN (Creative ASEAN).

 

Strategies of laying foundation of future economic trade of the country:

 

1. To promote the well-being of farmers and raise agricultural products:

 

Ministry of Commerce will work and integrate with Ministry of Agriculture and Cooperatives and various agencies to determine strategies and action plan to help promote and develop farmers to have a better living. Key approach is to increase productivity and reduce manufacturing costs. It includes zoning areas of agricultural production in line with strategy, environment, and well-being of farmers, plant development, water resources, irrigation, soil quality, use of modern agriculture technology, promotion of crop substitution, off-season plants, and second occupations, promotion of environmental friendly crops with high value, as well as jointly determine Research Agenda that supports agricultural development and agricultural markets both inside and outside the country.

 

2. To enhance industrial products and services for higher added value:

 

Ministry of Commerce will work and integrate with Ministry of Industry and other agencies to determine national strategy in target products development, emphasizing the development of products and services with high added value as a value chain (Move up the value chain) coupled with upgrading the capabilities and skills of product makers, entrepreneurs, and exporters, supporting the development of innovative new products and services, meanwhile complying with the rules and standards of manufacturing and international trade.

 

 

3. To integrate for foundation development of logistics system:

 

Ministry of Commerce and relevant agencies will accelerate development of modern logistics for target goods and services to retain added value for manufacturers and entrepreneurs of Thailand, and reduce reliance on foreign logistics system. Ministry of Commerce and various agencies will jointly develop comprehensive logistics, from designing, manufacturing, packaging, warehousing, and transporting goods to market to consumers. Modern logistics development includes 3 main components as follows: Hardware including infrastructures, Software including entrepreneurs and workforce, and E-Commerce Infrastructure.

 

4. Review and improve trade laws up to date and effective law enforcement by priority and necessity.

 

Ministry of Commerce will review and update trade laws, especially the law under the supervision of the Ministry of Commerce, such as foreign business law, intellectual property law, anti-dumping law, retail-wholesale law, and so on. This aims to facilitate trading, create clarity and confidence to investors to do business in Thailand, and prevent monopoly and unfair trade to small businesses.

 

 

To drive the strategy to practice, Ministry of Commerce focus on 3 main principles including:  (1) At all levels of department, operations of Ministry of Commerce will be free of corruption, (2) Management will achieve a balance between product makers, traders, and consumers, by taking overall interests into account, and (3) Ministry of Commerce will work to deliver tangible results and transparency, by providing indicators and defining clear authorities, including preparing process of evaluating and monitoring the progress of work continuously to be able to determine and present to the public.