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New private port for Golden Triangle
Traders call for trade zone in Chiang Rai
THEERAWAT KHAMTHITA
Bangkok Post. 19 November 2007.
Chiang Rai _ A business consortium plans to open a private commercial
port on the banks of the Mekong river near the Golden Triangle in
Chiang Rai's Chiang Saen district by the end of next month. Lan Chang
commercial port is built on 83 rai of land owned by MP World Trading,
run by veteran politician Vatana Asavahame. The site is the former
location of Ha Chiang Plaza shopping mall run by the same company.
The consortium has taken out a three-year lease and plans to buy the
land in that period.
It made an initial investment of about 30 million baht for the first
three years and after that the investment money in the next phases of
development is expected to rise by as much as 600 million baht.
The consortium consists of Siam South China Logistics Co, which holds
a 55% stake in the port, Kamol Insurance Co with a holding of 15%,
Global Port Management Co with 15% and Suwannachinda Partnership Ltd
with 15%.
The port project is in response to China's move to launch the Kunming
and Jinghong industrial estates in southern China.
In addition, China also plans to build an agro-industrial estate on
the Lao side of the Mekong river opposite Chiang Saen district.
The 10-billion-baht agri-industrial estate is a joint venture between
Chinese investors and the Lao government.
It will cover about 20,000 rai with a five-star hotel, a casino, a
hospital and a goods distribution centre planned. The estate is
expected to open for business by next year.
Prathan Inseeyong, managing director of the Lan Chang port, said the
port can serve six vessels of less than 500 tonnes gross.
A large crane for lifting goods of 150 tonnes has now been installed,
while construction of a warehouse and parking areas for trucks is now
underway.
The old Ha Chiang shopping mall will be refurbished and turned into an
office building and an exhibition hall for Otop products.
Mr Prathan called on the government to develop and promote a special
border economic zone in Chiang Rai to ensure continued economic growth
in the province. He said many Chiang Rai governors were officials
close to retirement. They would be in office for too short a time to
maintain economic development in the province.
He was confident that China would choose to transport agricultural
goods via Chiang Saen district.
Taking agricultural products by ship was more cost-effective than by
road, given rising fuel costs, Mr Prathan said.
One ship can carry enough cargo to fill 10 trucks.
In addition, Thailand needs to prepare for the expansion of trade in
the region when the free trade agreement between Thailand, China and
Asean is concluded by 2010.
Pattana Sitthisombat, chairman of the Chiang Rai chamber of commerce,
welcomed the first private-run commercial port in Chiang Saen.
Now there are only 12 warehouses permitted on a temporary basis on the
banks of the Mekong river.
He urged Thai entrepreneurs to do more to explore investment
possibilities under the Greater Mekong Subregion (GMS) cooperation
deal.
Trade in Chiang Saen is worth about eight billion baht a year, while
annual trade in Mae Sai and Chiang Khong districts is put at three
billion baht each, he said.
Kesuda Sangkhakorn, who runs a major import-export company in Chiang
Saen, said the new port will be an alternative to Chiang Saen port,
making it easier to move shipments in the dry season when the Mekong
is shallow.
Cargo vessels are often stranded on sand bars near the Golden Triangle
before they manage to reach the port at Chiang Saen
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