Japanese seek clarity on EEC development

Japanese investors have asked the Thai government to provide them with detailed information on the Eastern Economic Corridor (EEC) development plan, saying it would help them move forward with greater confidence.

Hiroki Mitsumata, president of Japan External Trade Organization (Jetro), said after a discussion with Deputy Prime Minister Somkid Jatusripitak in Bangkok yesterday, the Thai government should provide them with further in-depth information on the development of the EEC as well as the government’s plans for industrial development.

The discussion came after the release of Jetro’s six-month business sentiment survey last week, which found that the Japanese are still reluctant to invest in the EEC as they are unsure how long the corridor’s promotional policies will last if there is an administrative change.

The information Japanese companies are asking for includes a developmental timeline for each project and how the laws imposed to accommodate the EEC will ensure continuity of development for projects there.

“It will be great for us [Japanese investors] to make our decisions sooner if we know the details on the development of each project and their progress. It is crucial for our future investment plans,” he said.

But Mr Mitsumata said despite needing more information, Japanese investors have expressed strong interest in the EEC.

Jetro vice-president Haruhiko Ozasa expressed a similar sentiment.

“What I know so far is that the most concerning issue that we [Jetro] are worried about is the consistency and the continuity of the Thai policies about the EEC,” he said.

Mr Somkid yesterday told the Jetro team that the government had put forth a great deal of effort in moving the EEC forward as the first meeting of the newly established EEC committee, chaired by Prime Minister Prayut Chan-ocha, will be held on April 5.

The committee was set up several weeks ago and has been tasked with pressing the start button on projects in the EEC.

Mr Somkid said that Thailand is expected to sign a memorandum of understanding with Japan on cooperation to develop the EEC.

Kanit Sangsubhan, secretary-general of the EEC office, said the EEC committee is expected to approve an 8-billion-baht budget for building a second runway at U-tapao airport at the first meeting. He added that progress on development at the EEC must be reported to the committee.

Meanwhile, Japan’s Ministry of Economy, Trade and Industry (Meti) will seek collaboration with Thailand in assisting them to enter Cambodia, Laos, Myanmar and Vietnam (CLMV).

Jetro said that Meti is also keen on the Thai government’s progress regarding the drafting of a CLMVT master development plan.