New Thai Export ChinaThailand Free Trade area agreement

New Thai Export China-Thailand Free Trade area agreement

New Thai Export Pact China-Thailand recently signed a memorandam. n n n Rice – signed 5 deals for 145, 000 tonnes Tapioca – agreed to sell 4 million tonnes of tapioca chips Rubber – agreed to supply 100, 000 tonnes of rubber worth 5. 5 billion fresh fruits – setting up a distribution network for 15, 000 tonnes of fresh fruit a year gems and jewellery – signed an agreement to expand co-operation in gems and jewellery This pact is worth about 36 billion baht.

Gem-Jewelry Thailand is currently the world's key production source of coloured stones n China is not China's consumption of gems and jewellery robust growth over the past three years

The ASEAN-China Free Trade Area Thailand-China shall eliminate tariffs on all vegetable and fruit products Early harvest products (vegetable & fruits) n n Reduce to 0% tariffs in 10 years Except : sensitive list product Fertilizers, coffee, cars, papers, rubbers, ect.

Rice In 2008 Thailand exported 0. 29 million ton of jasmine rice, worth 189 million dollars n However, we exported 0. 462 million ton of jasmine rice in 2007 The major factors that China imported less: n n World price of rice tended to increase World economy was slow down

Rubber and Tapioca Rubber n Thailand exported rubber worth 1396 million of dollars Tapioca n n In 2008, Thailand was the biggest Tapioca exporter to China 1 st and 2 nd quarters of 2009, Vietnam is currently the biggest exporter

Fresh Fruits Durian was the most fruit exported to China, worth more than 1215 million baht Lumyai was sold more than 832 million baht Ect. China is the biggest fresh fruits importer of Thailand

Gems and Jewelry Diamond and Gold are exempted from Tax Color stones – 3% Pearl – 21% Authentic ornament – 0 -20% All will be exempted from tax by 2012 However, VAT is not part of FTA

Ricardian Model

Reference http: //www. cnwinenews. com/html/200906/29/2009062910422 0. htm - New Thai export pact By PHUSADEE ARUNMAS 2009 -6 -29 10: 42: 20 http: //www. ftamonitoring. org/data/Dec 20/ASCH%20 Agreeme nt. Memo. pdf http: //www. measwatch. org/autopage/show_page. php? t=27&s_ id=346&d_id=344

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