The Thai private sector is being urged to set up industrial estates or special economic zones (SEZs) in Myanmar as the neighbouring country emerges as a magnet for foreign investment.
Deputy Prime Minister Somkid Jatusripitak said yesterday at a seminar on Thailand-Myanmar cooperation in Yangon that Thai investors should pay more attention to Myanmar as a destination for investment, as the country is making large strides on its labour competitiveness and rich raw materials.
He said Thai investors should thinking about establishing industrial estates in Myanmar in order to further Thai investments or investments from other countries which are expected to flood into Myanmar after the establishment of the new government.
"Myanmar under the new government is more open to foreign investment, while the government itself is committed to improving and upgrading its domestic regulations and investment laws to facilitate private investment," Mr Somkid said during his four-day visit to Myanmar that began Thursday.
"It is a good time for Thai investors to invest in Myanmar, and government units such as the Industrial Estate Authority of Thailand should team up with private firms to develop SEZs in Myanmar."
According to Mr Somkid, the Thai government is ready to negotiate with its Myanmar counterparts to upgrade industrial estates to SEZs if any Thai investors agree to establish the industrial estates there.
In the meantime, Mr Somkid said the Thai government is also committed to going ahead with plans to develop SEZs in Mae Sot in Tak province to parallel the SEZ in Myanmar's Myawaddy.
He said the new economic corridor covering India, Myanmar, Thailand, Laos and Vietnam will also create prosperity among those countries.
Thailand and Myanmar on Thursday agreed to pursue logistics development in Myanmar, aiming to bolster connectivity from India and Vietnam to Thailand.
The two governments also agreed to continue the Dawei development projects.
WHA's chief executive and vice-chairman Jareeporn Jarukornsakul said WHA is condustcing feasibility studies on establishing an industrial estate in Myanmar, which will conclude next yer.
Vikrom Kromadit, chief executive of industrial estate developer Amata Corporation Plc, said the group which has visited Myanmar several times and sees the neighbouring country as a proper venue for Thai investment particularly due to the low wages and efficiency of Myanmar workers.
Myanmar's location also enables shipments to India, Africa, the Middle East and countries further west.
Myanmar is also the richest country in Asean in terms of natural resources -- especially in oil, gas and coal -- and it is the only one Asean country that borders both China and India, Mr Vikrom said.