| Royal Thai Embassy: Political Section |
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INDIA -THAILAND Bilateral Relations Diplomatic relations between India and Thailand were established soon after India gained independence. However, till a few years ago, there was no real meaningful content in our bilateral relations. The end of the Cold War has led to a significant improvement in our Bilateral relations. This has been reinforced by increasinf economic and commercial links, exchanges of high level visits on both sides and India's dialogue partnership with ASEAN and the resultant membership of ASEAN Regional Forum (ARF) and with the formation of the sub-regional grouping BIMST-EC and launching of Mekong-Ganga Cooperation in November 2000. Thailand's 'Look-West' polciy complements India's 'Look-East' policy. VISITS: The mistrust of the cold war years began to dissipate with the landmark exchange of visits by India's Prime Minister Rajiv Gandhi in 1986 and Thai Prime Minister Gen Chatichai Choonhavan in 1989. Other highlights were Royal visits to India - HRH Crown Prince Maha Vajiralongkorn's visits in April 1992 and December, 1998 and HRH Princes Maha Chakri Sirindhorn's visit in March 1987. She also visited the Andaman and Nicobar Islands in December 1996, becoming the first foreign dignatary to have been invited to visit these islands. She also paid private visits to Kushinaga, UP (March 30,2001) and Rajasthan (April 2-13, 2001). Dr. Surin Pitsuwan, Foreign Minister of Thailand visited India from 8-10 July 2000. Dr. Surakirat Sathirathai, Minister of Foreign Affairs of thailand visited India from July 11-13, 2001. Dr. Thaksin Shinawatra, Prime Minister of Thailand paid a state visit to India from 26-29, 2001and a working visit to India on the Ist February 2002. Her Majesty the Queen was to visit India from 1-15 Fenruary 2002. The visit was however, postpone by the Thai side. Other important visits from Thailand were: Mr. Prachuab Chaiyasarn, the then Thai Foreign Minister, visited India in April (7-8), 1997 to participate in the NAM Ministerial confrence. Thai Commerce Minister Mr. Narongchai Akrasanee visited India (March 5-8, 1997) at the invitation of the ASIA society. A three-member Parliamentary delegation from Thailand visited India from 16 to 22 November 1997 as guests of the Speaker, Lok Sabha primarily to study the funtioning of the Election Commission of India. Late Gen. Chatichai Choonhavan, the then Chairman of the Thai prime Minister's Advisory Council on Economic and Foreign Policy Issues, led a 8 member delegation to India from june 24-25, 1997 in his capacity as a Special Envoy of the Thai Prime Minister Dr. Supachai Panitchpakdi, Deputy Prime Minister adn Commerce Minister visited India in January 1998 in connection with the CII Partnership Summit '98. Dr. Supachai Panitchpakdi visited India in connection with his campaingning for the post of Director General of WTO. Dr. Pravich Rattanapian Thai Deputy Commerce Minister led a 25 member business delegation to India in February 1999. Thai delegation led by Dr. Arthit Ourairat, Minister of SCience and Technology and Environment attended a Confrence on Space Applicaions for Sustainable Development in Asia and the Pacific at NEw Delhi from 15-20 November 1999. He was in Delhi in April 2000 to attend second BIMST - EC Ecdonomic Ministers meeting. Dr. Trairong Suwankiri, Deputy PM and CHirman of NITC, led a five member delegation to visit Information TEchnology Software parks in Bangalore and Chennai from June 8-11, 2000. Deputy foreign Minister of Thailand Mr. Sukhumbhand Paribatra visited India from July 6-7, 2000 to attend the 3rd BIMSTEC Ministerial Meeting in Delhi. Mr. Sonthaya Khunpleum, Thai Minister of Science, TEchnology and Environment and Mr. Suwit Khunkitti, Thai Minister of Education accompanied by a technical delegation visited Bangalore, from 22-24 January 2002. They had meetings with officials of Software Technology PArk, Infosys adn Department of Space. Thai Deputy PM Mr. Proammin Lertsuridej visited India on 17th October 2002 to attend the India - ASEAN Business Summit held at New Delhi. HE was the keynote speaker at the Summit. From the Indian side Prime Minister Shri. P.V. Narasimha Rao's visit to Thailand in April 1993 set teh stage for a substantive consolidation of bilateral relations. The initiation of economic reform policies in India in 1991 has had a direct and beneficial impact on trade adn investment interaction between the two countries. Other visits from India to Thailand included of the then Speaker of the Lok Sabha, Shri P.A. Sangma, accompanioed by a 10 member Parliamentary delegation from November 5-9, 1997. Commerce Minister, Shri. R.K. HEgde,visited Thailand in April 1998 and in August 1998 in connection with ESCAP and BIMST-EC meetings respectively. Shri Madan Lal Khurana, Minister for Parliamentary Affairs led a 13-member multi - party delegation to Thailand in Septembet 27-29 1998. Smt. Vasundhara Raje, MOS for External Affairs visited Thailand from 6-9th July 1999. Dr. Najma Heptulla, Deputy Chairman of Rajya Sabha visited Thailand in August 1999 and again from Feb 9-16 2000, in her capacity as CHairman of the Inter Parliamentary Union. Mr. Murasoli Maran, Minister of Commerce and Industry, visited Bangkok from February 11-17, 2000, as leader of a high powered Indian delegation to participate in UNCTAD X. Mr. Yeshwant Sinha, Minister of Finance visited Chianh Mai to attend Annual Meeting of Board of Governors of the Asian Development Bank from May 5-7, 2000. Mr. Omar Abdullah, Minister of state for Commerce and Industry visited Bangkok from June 4-9, 2000, as aleader of Indian delegation to 56th Annual Session of ESCAP. Shri Jaswant Singh, Minister of External Affairs led the Indian delegation to Bangkok for the ARF and PMC meetings held from July 26-29, 2000. PRof Murli Manohar Joshi, Minister of Human REsources visited Thailand from may 20-22, 2001 to participate in the International Sanskrit Confrence organized by Silpakorn University. Shri Yeshwant Sinha, the then Finance Minister attended the First Meeting of the Asian Cooperation Dialogue (ACD) hosted by Thailand in the resort town of Cha-am/Hua Hin on 18-19 June 2002. In March 2002, our PM was to visit Phuket (Thiland) on return from CHOGM. Since PM's visit to CHOGM did not take place, visit to Phuket also did not take place. However, on his return journey from Cambodia and Laos, PM had a stopover at Bangkok on 8th November 2002 during which he had a meeting with Thai PM, Dr. Thaksin Shinawatra followed by a working lunch. Disucssions included Asian Bond and an Asian credit rating agency. On bilateral issues Free Trade area agreement and speeding up of trilateral initiative of Thailand, Mayanmar and India for transport network linking India's North East and South East Asia, were discussed. Trade: Trade between India and Thailand has been steadily expanding in recent years. However, in 1997, due to the economic problems faced by the East Asian region, Indian exports to Thailand declined. During the year 1998-99 although there was a slight improvement in the overall trade (US$594), yet Indian exports declined and Thai exports increased. The subsequent years have shown consistant increase in bilateral trade. The total bilateral trade in 1999-2000 increased to US$777.66 million while during 2000-01 bilateral trade further grew to US$ 842.28. During 2001-02 the bilateral trade has grown to US$1055.63 with an increase of over 25% in the total trade. Our exports grew by 19.9% while imports grew by 34.5% during the year. The balance of trade is in our favour. Free Trade Area: During the state visit of the Thai Prime Minister, Dr. Thaksin Shinawatra to India in November 2001, it was agreed that India and Thailand should explore together the possibility of establishing a bilateral Free Trade Area (FTA) with a view to intensifying economic relations between the two countries. It was also decided that a joint working group (JWG) at government level be set up to undertake feasibility study on a FTA. JWG has in its fourth meeting in Thailand on December 22-23, 2002 has finalized its report. The study has concluded that there exists immense potential for enhancing cooperation in trade and other areas such as services and investment and the proposed FTA was feasible and mutually beneficial. A joint negotiating group (JNG) has been formed which would draft a framework agreement on the India-Thailand FTA. The first meeting of the JNG was held back -to-back with the fourth meeing of the JWG on December 22-23 2002. The negotiation process is expected to be completed by September 2003. Account Trade Arrangement: During Thai Prime Minister's visit to India in November 2001, measures to increase bilateral trade volumes between the two countries were discussed, including the possibility of instituting an account trade agreement as an instrument to this end. Our Ministry of Finance is examining this proposal, in consultation with RBI. Cooperation in Rice trade: During the Thai PM's visit in November 2001, the two sides discussed ways to explore cooperation in rice trade in the form of a rice pool arrangement which includes exchange of market information, regular consultations and transfer of technology. A ministerial meeting on Rice Trade Cooeration between China, India, Pakistan, Vietnam and Thailand was held in Bangkok on 9th October 2002. Mr. Srinivasa Prasad, Minister of state for Consumer Affairs abd Public Distribution represented India at this meeting. A proposal has been made for formulation of a council on Rice Trade Cooperation (CRTC) and a Joint Secretariat of five above-mentioned countries. The matter is being considered by Ministry of Food, Consumer Affairs abd Public Distribution in consultation with Ministry of External Affairs adn Ministry of Commerce. Indian Investment in Thailand: The first Indian joint venture was established in Thailand by 1969 by Aditya Birla Group for which seed capital had come from India. Aditya Birla Group has subsequently set up nine more joint venture companies in partnerships with the people of Indian origin in Thailand. A number of them are in areas which are relatively high-tech adn even capital intensive and cover a wide range of products and activities including pulp, chemicals, pharmaceuticals, textiles, nylon, tyre cord adn real estate. The major Indian groups Rayon Group, Usha Martin Industries, Ranbaxy Laboratries and Lupin CHemicals. According to BOI figures, India is the thirteenth largest investor in Thailand. Thai Investments in India: Upto March 2001, Thailand accounted for 0.96% of the total FDI approved in India. The total FDI approved between 1991 to MArch 2001 was US$ 782.5 million. On the inflow side, the total inflow of FDI is just about US$ 66 million which is 0.26% of the total inflow. The top 5 sectors in terms of amount of FDI approved was telecom (54.01% of total approvals), followed by hotel & tourism (24.40%) food processing (15.67%), chemicals excluding fertilizers (3.7%) and electrical equipment (1.2%). In terms of approved investments, Thailand now ranks 18th largest investor in India and third largest from ASEAN region after Malaysia and Singapore. |
| Joint Working Group on Security Issues: |
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During the second visit of Thai Prime Minister to India on 1st February 2002, the Thai foreign Minister and the Thai Interior Minister had a separate meeting with Shri. L.K. Advani, Home Minister. During this meeeting, cooperation relating to security issues was discussed, and it was decided to set up a Joint working Group(JWG) on Security issues. The first meeting of the JWG was proposed in New Delhi in November 2002. ALternative dates were proposed in December 2002/January 2003 to the Thai side. Thai side has not yet indicatied the dates convinient to them to hold the Meeting of JWG on Security Issues.
Extradition Treaty: India and Thailand have held discussions to conclude an Extradition treaty. Two rounds of negotiations were held at Bangkok (November 1995) and at New Delhi (January 1997). Negotiations were stalled on two clauses - Executive privilege and political offeces exception clause. Since the main objection pertained tlo the term "terrorism", we conveyed (June 2000) to Thai authorities our dropping of para 2 (O) of Article 5 of Indian draft, which mentioned "terrorism" under political offences exceptional clause. However, in November 2000, the Thai Government agagin proposed a new draft Treaty for our consideration. The new Thai draft was examined in consultation with concerned Ministers and our detailed comments were sent to the Thai authorities in Jan 2001 with the suggestion that another round of negotiations be held to conclude the Treaty. Thai response to this is awaited. It is understood that the Thai authorities are at present in the process of amending their legislation on extradition to make it more detailed and elaborate. It, therefore, seems that a moment on extradition Treaty may take place only after the new legislation is enacted. The Indian standard draft of the agreement on Mutual LEgal Assistance in Criminal Matters was proposed to Thai Foreign Ministry in July 1998. In January 2002, Thai Ministry of Foreign Affairs forwarded to us their model draft treaty on Mutual Assistance in Criminal Matters, which is based on the Thai Act of Mutual Assistance in Criminal MAtters BE 2535 (1992). The Thai model draft treaty was examined by our CPV Division and a counter draft has been forwarded to the Thai side in December 2002. Thai government has proposed a draft agreement on Transfer of Convicted Offenders. However, no substantive negotiations on the agreement could be held in the absence of an enabling legislation on our side. It is understood that our Ministry of Home Affairs is working on the legislation. Defence Cooperation: There has been regular exchange of goodwill visits. The Royal Thai Navy participated in the MILAN get-together organized by the Indian Navy (95, 97&99) The first Indo-Thai joint naval exercise was held in MAy 1995 off Port Blair in whcih two ships from Royal Thai Navy participated. We have exported ammunition to thailand worth nearly US$7 million; multi disciplinary military delegations from Thailand have visited India to explore possibilities of training in indian defence establishments adn to buy defence weaponary; an MOU on Defence Cooperation between the two sides in under consideration. Co-operation in Science and TEchnology: During the Thai PM's visit on 1st February 2001, India and Thailand signed Agreement on Scientific, Technical and Environmental Cooperation adn Transfer of TEchnology. The major areas of cooperation in this Agreement are: joint R&D adn design of projects, exchange of scientists, specialists adn researchers, assiatnce in education adn training of personnel and consultancy services. The second Agreement signed during the Thai PM's visit was on co-operation in the Exploration and use of Outer space for Peaceful Purposes. The major areas of cooperation in this Agreement are: space science, exploration of outer space, use of space technology, monitoring of the earth's environment from outer space and remote sensing of the earth, joint R&D relating to the use and production of space craft and systems adn developing multidisciplinary forms of cooperation in the practical application of space technology. etc. Periodically work programmes have been entered into between CSIR of India and Thailand Institute of Scientific and Technical Research (TISTR). The dairy section has been identifies as offering promising possibilities of mutually benificial cooperation. 35 Thai farmers, experts adn officials has visited the NAtional Dairy Development Board. We also provide assistance to the Asian Indtitute of Technology, Bangkok. While we are happy with the current programmes of cooperation in Science and Technology, we can offer our expertise in various feilds under the broad umbrella of South - South cooperation. During Prime Minister's meeting with Thai PM on 8th November 2001, Thai PM has expressed intrest in buying a satelite from India. Our department of Space if folloeing up on this with the Geo-Informatics and Space TEchnology Development Agency of Thailand. |
| Information Technology: |
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Thai government has shown keenness to promote closer cooperation and exchange information pertaining to the Information Technology. The govt. is interested in setting up of Software Technology park in Thailand on the lines of STPI India. They also plan to develop a Cyber City on the lines of one set - up in Bangalore. A MOU has been signed between the two countries during the visit of Thai PM to India in November 2001. It has been proposed that the meeting of India-Thai Joint task force on IT may be held during the India - SOft 2003 to be held from February 20-22, 2003.
Drug Trafficking: During the last few years, Thailand, being part of the "Golden Triangle" has been a serious problem of drug trafficking into Thailand. Thai foreign minister Dr. Surakirat Sathirathai, during his visit to India in July 2001 proposed an MOU on cooperation in the feild of Narcotics between the two countries on the same lines that they have entered with Myanmar, China and Laos. A draft MOU recieved from Thailand has been examined by our department of Revenue. A comprehensive counter draft of an agreement between India and Thailand on the cooperation of ANrcotic Drugs, Phychotropic Substances and Precursor Chemical Control on the pattern of an agreement recently signed with Laos has been proposed to the Thai Side. Scholarships:India offers total 36 scholarships every year to Thai students (General cultural scholarships Scheme under ICCR -10, Indo Thai Cultural exchange Programme under ICCR - 4, Under ITEC Scheme - 10, under Colombo plan 10 and Hindi Scholarship 2). India has offered additional 10 scholarships to each of the ASEAN member countries under ITEC scheme w.e.f. 1999. Regional Cooperation: Seen from a regional perspective, Thailand is viewed as an ideal partner for India in promoting closer co-operation with South East Asia. Thailand is a founder member of ASEAN in which it plays an important role and wields considrable influence. Thailand has supported proposal for upgrading India's interaction with ASEAN to the Summit level during the 34th PMC/8th ARF meetings in Hanoi in July 2001 and ASEAN Summit at Brunei on 5-6 November 2001. Thailand took initiative for sub-regional cooperation, which has resulted in the launching of Bangladesh-India-Myanmar-Srilanka-Thailand (Economic Cooperation) BIMST-EC. India visualizes this is a bridge linking South east Asia adn South ASia and expects it to lead to ever growing economic, commercial and investment interaction between the two regions, between ASEAN and SAARC and between Thailand and India. Thailand became member of IOR-ARC at Maputo in MAcrh 1999. Mekong - Ganga Cooperation in tourism, education, culture as well as transport and communication. The fifth Ministerial meeting of BIMST-EC was held at Colombo on 20th December 2002. Shri. Arun Shourie, Minister for Commerce adn Industry and Disinvestment led the Indian Delegation. The meeting was dominated by a number of collective reaffirmation of the forum's enormous potential to kick start sub-regional cooperation adn among other things, it was decided to hold the first BIMST-EC in early 2004. Thailand is to host the next annual meeting of BIMST-EC in February 2004. |
| India-Thailand - Myanmar trilateral cooperation in the roads sector: |
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There is also a proposal for India Thailand-Myanmar trilateral sooperation in the roads sector. In this connection external Affairs Mininster attended a Ministerial meeting of Thailan -India-Myanmaron trilateral transport linkages held at Yangon from April 5-6, 2002. The three foreign Ministers discussed a wide range of issues pertaining to development of transport linkages inter-connecting the three countries focusing the construction of a new highway through Myanmar. Such a network would promote trade, tourism and people -to-people interaction amongst the three countries snd promote co-operation between South Asia and South East Asia. The meeting agreed on following areas of cooperation:
ASian Cooperation dialogue (ACD): The first Asian Cooperation Dialogue (ACD) took place in Thailand on 18-19 June, 2002. Shri. Yashwant Sinha, the than Finance Minister, headed the Indian delegation. The meeting was held in a constructive atmosphere, with no contentious issues raised adn the focus maintained on econimic coperation. There were several positive references to India including by Thai PM at the inagural address. India's participation was measured and positive. |
| Finance Minister suggested four specific areas of cooperation |
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