Jingjai: Vietnam and Cambodia at riskBangkok Post
PHUSADEE ARUNMAS
Prime Minister Samak Sundaravej's ambitious plan to divert water from the Mekong River to feed the water-starved Northeast faces opposition from business leaders who warn that it might affect future trade and investment expansion in the region.
Jingjai Hanchanlash, chairman of the Greater Mekong Subregion Committee and an executive member of the Thai Chamber of Commerce, strongly disagrees with the plan since the Mekong is an international river.
Mr Jingjai, also the director of the trading company Loxley Plc, said Vietnam and Cambodia would definitely be the hardest hit if the scheme materialised as the two countries are downstream from Thailand.
The Mekong starts in China and flows through Burma, Thailand, Cambodia and Vietnam. Water use for the lower basin, comprising Burma, Laos, Thailand, Cambodia and Vietnam, is regulated by the Mekong River Commission (MRC).
The newly appointed premier has floated the idea of building an underground pipeline to divert water from the Mekong River to reservoirs in the northeastern region. Water pipelines would then transport water to farmland.
Mr Samak's proposal is not new. The Irrigation Department had conducted a feasibility study for the Mekong water diversion project years ago, but it never materialised because it carried a high cost and was unlikely to be economically viable.
Mr Jingjai said the issue would likely be highlighted at a March 31 meeting between leaders of China, Thailand, Vietnam, Cambodia, Burma and Laos. He said the leaders would also discuss how to expand trade and investment in the region, particularly in the sectors of communication, tourism, energy, environment, agro-industry and logistics.
The meeting would also focus on the joint development of cultural tourism destinations, including Luang Prabang in Laos, Bagan in Burma, Sukhothai in Thailand, Hue in Vietnam, Lijiang in China and Angkor Wat in Cambodia. Thailand could play a key role as it has liberalised trade the most among the various countries, he said.
Loxley itself has been relatively active in investments in those countries, he added. Loxley Plc, the 69-year-old trading firm better known for its high-technology, communications and construction businesses, has invested in fibre-optic projects in Laos and agro-industry in Vietnam.
Mr Jingjai said the company was also interested in expanding into construction materials and consumer products, notably in Vietnam. Loxley has already had a strong network in Vietnam after exporting shrimp feed and fibre products there for almost five years. Sales hit 300 million baht last year.
This year Loxley planned to expand further in Vietnam as it has strong growth potential. Plans are also afoot to set up a shrimp feed manufacturing facility in Vietnam, Mr Jingjai said.
Apart from Vietnam, Loxley is also looking to expand into Laos, particularly in the cable TV business. The company is also looking for a sourcing business for chain stores in Burma.
PHUSADEE ARUNMAS
Prime Minister Samak Sundaravej's ambitious plan to divert water from the Mekong River to feed the water-starved Northeast faces opposition from business leaders who warn that it might affect future trade and investment expansion in the region.
Jingjai Hanchanlash, chairman of the Greater Mekong Subregion Committee and an executive member of the Thai Chamber of Commerce, strongly disagrees with the plan since the Mekong is an international river.
Mr Jingjai, also the director of the trading company Loxley Plc, said Vietnam and Cambodia would definitely be the hardest hit if the scheme materialised as the two countries are downstream from Thailand.
The Mekong starts in China and flows through Burma, Thailand, Cambodia and Vietnam. Water use for the lower basin, comprising Burma, Laos, Thailand, Cambodia and Vietnam, is regulated by the Mekong River Commission (MRC).
The newly appointed premier has floated the idea of building an underground pipeline to divert water from the Mekong River to reservoirs in the northeastern region. Water pipelines would then transport water to farmland.
Mr Samak's proposal is not new. The Irrigation Department had conducted a feasibility study for the Mekong water diversion project years ago, but it never materialised because it carried a high cost and was unlikely to be economically viable.
Mr Jingjai said the issue would likely be highlighted at a March 31 meeting between leaders of China, Thailand, Vietnam, Cambodia, Burma and Laos. He said the leaders would also discuss how to expand trade and investment in the region, particularly in the sectors of communication, tourism, energy, environment, agro-industry and logistics.
The meeting would also focus on the joint development of cultural tourism destinations, including Luang Prabang in Laos, Bagan in Burma, Sukhothai in Thailand, Hue in Vietnam, Lijiang in China and Angkor Wat in Cambodia. Thailand could play a key role as it has liberalised trade the most among the various countries, he said.
Loxley itself has been relatively active in investments in those countries, he added. Loxley Plc, the 69-year-old trading firm better known for its high-technology, communications and construction businesses, has invested in fibre-optic projects in Laos and agro-industry in Vietnam.
Mr Jingjai said the company was also interested in expanding into construction materials and consumer products, notably in Vietnam. Loxley has already had a strong network in Vietnam after exporting shrimp feed and fibre products there for almost five years. Sales hit 300 million baht last year.
This year Loxley planned to expand further in Vietnam as it has strong growth potential. Plans are also afoot to set up a shrimp feed manufacturing facility in Vietnam, Mr Jingjai said.
Apart from Vietnam, Loxley is also looking to expand into Laos, particularly in the cable TV business. The company is also looking for a sourcing business for chain stores in Burma.
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