‘The Free
Land’
orm of Government: Constitutional Monarchy
opulation: 65,905,410
Religion: Buddhism, Muslim, Christianity
anguage: Thai, English, Mandarin, Isa
GDP: $272.1 Billion
abor Force: 37.78 Million
-Tin - rubber
- natural gas -
tungsten
- tantalum - timber
- lead - fish
- gypsum - lignite
- fluorite - land
Mining and minerals
- Major minerals include fluorite, gypsum, lead, lignite,
natural gas, rubber, tantalum, tin and tungsten
- Tin mining industry has declined sharply since 1985
- As of 2008, the main mineral export was gypsum.
-In September 2003 , the government relaxed severe
restrictions on mining by foreign companies and reduced
mineral royalties payable to the state
- 2nd largest exporter of gypsum
- In 2003, it produced more than 40 types of minerals but
80% were consumed domestically
Land
- In 1985, Thailand officially designated
25% of the nation’s land area for
protected forests and 15% for timber
production
- Protected forests have been set aside
for conservation and recreation while
production forests are available for
forestry industry
MAIN INDUSTRIES
Agriculture, Forestry and Fishing
Mining
Industry and Manufacturing
Services
Tourism
Banking and Finance
MAIN INDUSTRIES
Agriculture, forestry, and fishing
Rice is the country's most important crop, leading
exporter
Other agricultural commodities produced in significant
amounts include fish and fishery products, tapioca,
rubber, grain, and sugar
Exports of industrially processed foods such as canned
tuna, pineapples, and frozen shrimp are on the rise.
In 1985 Thailand officially designated 25 percent of the
nation's land area for protected forests and 15 percent
for timber production
Rice plantations in
the rural areas of
Bangkok
MAIN INDUSTRIES
Mining
-world’s 2nd largest tungsten producer
- world’s 3rd largest tin producer
-As of 2008, the main mineral export was gypsum, 2nd largest
exporter
-a rich source of sapphire, ruby, zircon, garnet, beryl, quartz,
and jade, and gems and jewelry were a large export item in
terms of value
-In September 2003 , the government relaxed severe
restrictions on mining by foreign companies and reduced
mineral royalties payable to the state
- In 2003, it produced more than 40 types of minerals but 80%
were consumed domestically
MAIN INDUSTRIES
• Industry and manufacturing
–Industry expanded at an average annual rate
of 3.4 percent during the 1995–2005 period
– The most important subsector of industry is
manufacturing
– Thailand is becoming a center of automobile
manufacturing for the Association of Southeast
Asian Nations (ASEAN) market
– light manufacturing such as jewelry and
electric appliances, computers and parts,
integrated circuits, furniture, plastics,
MAIN INDUSTRIES
• Services
– In 2007 the services sector, which ranges
from tourism to banking and finance,
contributed 44.7% of gross domestic
product and employed 37 percent of the
workforce.
Tourism
The tourism industry in Thailand truly took off when US soldiers started to arrive
in the 1960s for Rest and Recuperation (R&R) during the Vietnam war period
has been receiving increased competition ever since Laos, Cambodia and
Vietnam opened up to international tourism in the 1980s and 90s
Tourism makes a larger contribution to Thailand's economy than that of
any other Asian nation
MAIN INDUSTRIES
Tourism
actively targeting niche markets such as golf holidays, or holidays combined with
medical treatment
The present monetary crisis, the 2008–2009 Thai political crisis and the 2009 flu
pandemic have had a very negative impact on foreign tourism to Thailand.
Thai government proposed a support package to combat the tourism crisis,
amounting to 5 billion Thai baht spread over a 5 year period
Thai strategy – giving visitors a worry-free vacation while enjoying all the value and
charm of Thailand
AMAZING THAILAND, AMAZING VALUE
Wat Phat Kow - Bangkok
uketAMAZING THAILAND,
i - Ph
PhiPh AMAZING VALUE
Koh
Exports - commodities:
textiles and footwear, fishery
products, rice, rubber, jewelry,
automobiles, computers and electrical
appliances
Exports - partners:
US 12.6%, Japan 11.9%, China
9.7%, Singapore 6.3%, Hong Kong
5.7%, Malaysia 5.1%
EXPORTS
- Japan is almost near to becoming Thailand's largest export
destination, giving credits to tariff cuts under the Japan-
Thailand Economic Partnership Agreement (JTEPA)
- Recovery from the financial crisis depended heavily on
increased exports to the rest of Asia and the United States
- Thailand has joined the ranks of the world's top ten
automobile exporting nations
- Thailand's implementation of more outward-oriented
policies, which include placing export and domestic
sectors on a more equal footing, have created a more
open economy and have increased the exposure of
Thailand's industry to international competition
IMPORTS
Imports:
$179 billion f.o.b. (2008 est.)
country comparison to the
world: 25
Imports - commodities:
capital goods, intermediate goods and
raw materials, consumer goods, fuels,
oil
Imports - partners:
Japan 20.3%, China 11.6%, US 6.8%,
Malaysia 6.2%, UAE 4.9%, Singapore
4.5%, Taiwan 4.1% (2007)
TRADE
AGREEMENTS/ORGANIZATIONS
Japan-Thailand Economic Partnership Agreement (JTEPA)
member of the World Trade Organization (WTO) and the Cairns
Group of agricultural exporters
art of the ASEAN Free Trade Area (AFTA)
has actively pursued free trade agreements, a China-Thailand
Free Trade Agreement (FTA) commenced in October 2003. This
agreement was limited to agricultural products, with a more
comprehensive FTA to be agreed upon by 2010
Thailand also has a limited Free Trade Agreement with India,
which commenced in 2003; and a comprehensive Australia-
Thailand Free Trade Agreement which started 1 January 2005.
Thailand started free trade negotiations with Japan in February
2004, and an in-principle agreement was agreed in September
2005. Negotiations for a US-Thailand Free Trade Agreement are
underway, with the fifth round of meetings held in November
2005.
HISTORY
10th century AD
S S
outhern China outheast Asia
Tai- Lao speaking people
• States:
Sukhothai, Chiangsaen and Chiangmai as Lanna Kingdom , Ayutthaya
kingdom
19th and early 20th centuries
European colonial powers
Thailand survived as the only Southeast Asian state to avoid
colonial rule
**After the end of the absolute
monarchy in 1932, Thailand endured
sixty years of almost permanent military
rule before the establishment of a
democratic elected-government system
HISTORY
Post-1973
• King and General Prem Tinsulanonda – Monarchy
• Difficult and sometimes bloody transition from military to civilian rule
• Revolution of 1973
• Inaugurated a brief, unstable period of democracy, with
military rule being reimposed after the
6 October 1976 Massacre.
• 1980s
• Thailand was ruled by Prem, a democratically-inclined
strongman who restored parliamentary politics
HISTORY
2001 onwards
• The populist Thai Rak Thai party, led by prime minister
Thaksin Shinawatra, came to power
• Attacked by several charges:
human right abuse
suppression of freedom press
conflict of interest
anti- monarchy
corruption
• Mid-2005
Sonthi Limthongkul
• the foremost Thaksin's critic
• founded an opposition mass movement called 'the
People's Alliance for Democracy (PAD)
HISTORY
September 19, 2006 after the dissolution of the parliament, Thaksin
then became the provisional government
Lieutenant General Sonthi Boonyaratglin
bloodless coup d'état
23 December 2007
general election
Samak Sundaravej of the People Power Party
Mid-2008
People's Alliance for Democracy (PAD)
led large protests against the government of Prime Minister
Samak Sundaravej
December 15, 2008
Abhisit Vejjajiva of Democrat Party as Thailand Prime Minister
THAI POLITICS
Political /Legal Environment
• Change in 1932
•Western democracy
•change from absolute to constitutional monarchy
•transfer of power to the constitution-based system of
government
•10 December 1932
•King Prajadhipok signed Thailand's first constitution
THAI POLITICS
Major Ingredients in Thai Politics
The Monarchy
Illicit drugs:
a minor producer of opium, heroin, and
marijuana; transit point for illicit heroin
en route to the international drug
market from Burma and Laos;
eradication efforts have reduced the
area of cannabis cultivation and shifted
some production to neighboring
countries;
International Conflicts
In April 2009, "large-scale fighting"
erupted between Thai and Cambodian
troops amid the 900-year-old ruins of the
Preah Vihear Hindu temple near the
Cambodian border. The Cambodian
government claimed its army had killed at
least four Thais and captured 10 more,
although the Thai government denied that
any Thai soldiers were killed or injured.
Two Cambodian soldiers were killed and
three Thai soldiers were killed. Both armies
blamed the other for firing first and denied
entering the other's territory
Threats to the Future
Agriculture
major source of agricultural growth is
the expansion of cultivated land at the
expense of forest area
Due to climate change, water shortages
could be experienced—would yield
negative impact on agriculture
This may adversely affect the
production of crops for exports
Threats to the Future
Political instability
Sustained South Thai insurgency
Growing Sex Tourism
Events – Global Impact
OPPORTUNITES THREATS
-Use of ethanol as a substitute -sustained South Thai Insurgency
for petroleum -Future political crackdown
-Increase Exports by developing -Climate Change
agriculture, auto and other -Growing Sex Tourism
export industries
-Sustainable Tourism
Multinational Companies
AUTO ALLIANCE THAILAND
AutoAlliance (Thailand) Co., Ltd. was established in November 1995 as a joint venture
company between Ford Motor Company and Mazda Motor Corporation, to produce
pickup trucks for both local and overseas markers. Ford, which own 50% of the
company's shares, is the major share holder while Mazda, with 45%, hold a slightly
smaller stake. The remaining 5% stake is of Mazda Sales (Thailand) Co., Ltd.
AAT invested over US$ 500 million on building the first state-of-the art integrated
vehicle automobile manufacturing plant in Thailand, which comprises stamping, body
construction, paint, engine, trim & final assemble, and KD packing sectors. The
company located on an area of 529 rai in the Eastern Seaboard Industrial Estate,
Rayong Province, is granted promotional privileges by the Board of Investment (BOI).
AAT is a global success story for Ford and Mazda worldwide; they are recognized as a "Center of
Excellence for Quality" exporting to more than 130 countries.
Multinational Companies
AUTO ALLIANCE THAILAND
Multinational Companies