Companies seek steady state commitment to EEC
The private sector says it is ready to splurge on the Eastern Economic Corridor (EEC), but executives are asking for legal measures to ensure continuity of development when the government changes hands.
Vikrom Kromadit, chief executive of Amata Corporation Plc, said his company will establish a smart city and smart factory in both Rayong and Chon Buri on a combined 10,000 rai of land, a total investment worth 10 billion baht.
“The two projects are being planned to accommodate the EEC and the Thailand 4.0 programme, which focuses on high technology and innovation,” Mr Vikrom said. “The investment in EEC will change Thailand’s industrial landscape, as it will help raise the Thai economy and exports.”
Prasert Prasarttong-Osoth, chief executive of Bangkok Dusit Medical Services Plc, said the hospital company is looking to invest in medical services in the EEC once the government approves the EEC law.
He urged the government to make a medical service hub a priority.
“If the government announces today that a medical service hub is on the national agenda, we are ready to invest by the end of this year,” Dr Prasert said.
A law governing EEC development, once enacted, would help build up investor confidence, he said, adding that the law should ensure continuity of development no matter who is in government.
Hiroki Mitsumata, president of the Japan External Trade Organization, said the government should increase privileges and tax incentives for innovative products and human resources.
Jareeporn Jarukornsakul, chief executive of SET-listed WHA Corporation Plc, Thailand’s biggest developer of customised logistics facilities and industrial estates, said her company is interested in the EEC and is ready to start investing.
But she and other investors remain worried about the potential shortage of skilled labour, particularly in high-tech industries that require specialists.
“Both Thai and foreign investors have almost the same concerns, as we’re afraid that the next government may cease support for the project,” Ms Jareeporn said.
Another sticking point is construction of a high-speed rail network linking three major airports: Suvarnabhumi, Don Mueang and U-tapao.
Ms Jareeporn said the trains will be a key driver for persuading investors to commit resources to the EEC.
She said that while the government has sought to promote high-tech industries, including aviation, biochemicals and robotics, it has never devised a clear plan for how to supply specialists to operate those industries.
Tevin Vongvanich, president and chief executive of PTT Plc, said the national oil and gas conglomerate is keen to invest in a biochemical project in the EEC.
He said PTT already has an R&D centre at a petrochemical plant in Rayong. That facility could be joined to other companies to create a biochemical technology hub and add value.
“PTT has studied biochemicals, aviation and space technology, and we are interested in investing in those sectors in the EEC,” Mr Tevin said.