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Thailand has attracted huge investment from China, with the value of investment projects submitted for tax privileges in the first seven months hitting Bt21.46 billion.

Industry Minister Atchaka Sribunruang said that in terms of value, China was the second only to Japan which applied for Board of Investment’s privileges for projects worth Bt27 billion.

“Chinese enterprises are attracted to the policy to promote 10 target industries and the Eastern Economic Corridor,” she said after welcoming a business delegation from Jiangsu, a coastal Chinese province north of Shanghai.

She was briefed that 87 Jiangsu enterprises have established presence in Thailand, including 37 enterprises which have applied for the BoI privileges for their investment projects valued around US$600 million (approximately Bt20 billion). A delegate is also prepared to submit a project worth about $30 million (about Bt1 billion).

Watcharee Tintani, director of Investment Promotion Section, Royal Thai Consulate-General in Shanghai, said the section targets to draw at least $25 billion investment from Shanghai to Thailand this year. She is confident of achieving the goal given companies in locomotive and train carriage manufacturing exploring investment opportunities in Thailand.

In 2017, the section targets the investment from at least 80 companies operating in the 10 target industries being promoted by Thailand.

Source:The National

A new train purchased from China by State Railway of Thailand (SRT) was launched on Monday with a short trip, which is the first new train for Thailand in 20 years.

The train ran from Bangkok to Nakhon Pathom and then came back to Bangkok on its first trip here, while SRT will put Chinese-made new trains into service on the Bangkok-Chiang Mai route in October and finally on three other routes as well: Bangkok-Ubon Ratchathani, Bangkok-Nong Khai; and Bangkok-Hat Yai.

SRT has contracted China Railway Rolling Stock Corporation (CRRC)s Changchun Railway Vehicles Co.,LTD to purchase 115 new carriages at a price of 4.98 billion Baht (143 million U.S. dollars). The first batch of 39 were handed over to the SRT on July 14. The SRT had been making test runs for the last month.

We will hand in all 115 carriages to SRT in October, said Liu Gang, deputy general manager overseeing international business of the Changchun Railway, adding that these carriages greatly improved the Thai railway service.

The carriages, or the new trains, are the pride of SRT, which had not bought any new passenger cars for over 20 years, said SRT governor Wutichart Kallayanamit, adding that once the double-track railway is built, these news trains, with a fastest speed of 120km/h, can save about 3 hours for their passengers when compared with taking the old trains.

Runphol, reporter of a Thai rail fan website, said he hadn’t taken a train in the country for the last year because the trains are old and not comfortable, but he would change his mind once these new trains are put into service.

“According to test runs, these trains are of high quality, and they are beautiful and comfortable for passengers, which makes them appropriate for our country.” said Tanongsak Pongprasert, deputy governor of SRT.

Both prime minister Prayut Chan-o-cha and Arkhom Termpittayapaisith said in a ceremony before the new train departed at Hua Lamphong station that they are glad that the Thai railway has made some progress, while Arkhom said the it is just the beginning as the government will do more to improve the railway and accelerate high speed train projects, including the Sino-Thai railway.

Source:Xinhuanet

Above: Dhara Dhevi Hotel in Chiang Mai will spend at least 5.7 billion baht to expand its hotel and property business

Dhara Dhevi Hotel in Chiang Mai will spend at least 5.7 billion baht to expand its hotel and property business through both joint ventures and its own investment schemes.

The luxury hotel is wholly owned by SET-listed Inter Energy Corporation Plc (IFEC), which acquired it in December last year.

IFEC chief executive Sittichai Pornsupanan said Dhara Dhevi is ready to expand its hotel and property venture after completing its debt restructuring on Aug 23.

There are two new development projects.

Above: The first is a joint venture with a SET-listed property developer to develop a six-star hotel.

The first is a joint venture with a SET-listed property developer to develop a six-star hotel with 80 rooms, condominium buildings with 20 units and 16 pool residences on a 40-rai plot next to Dhara Dhevi Hotel.

The joint development will cost 5 billion baht and will start construction next month and be completed in the next three years.

However, Mr Sittichai declined to name the project’s partner.

Both sides have formed a joint venture whose name has not been disclosed. Dhara Dhevi holds a 49% stake with the use of the 40-rai plot as its investment.

Its partner holds the remaining 51% and is responsible for finding the project’s financing.

The other project is its own development to build 14 luxury residences and two villas at a cost of 780 million baht. It is a new zone of the 155-rai Dhara Dhevi and will start construction in the fourth quarter.

Dhara Dhevi also intends to expand its bakery business by opening 3-5 shops a year.

Above: Also on the cards is a plan to improve its spa and wellness business.

Also on the cards is a plan to improve its spa and wellness business in partnership with an international hospital.

Mr Sittichai did not disclose the budget for Dhara Dhevi’s bakery and spa and wellness business expansion, saying only that they will complement the hotel’s operations.

Dhara Dhevi currently has a debt of 650 million baht which it is confident about clearing by the year-end.

This year, Dhara Dhevi Hotel targets 700 million baht in net profit. Of the total, Mr Sittichai estimated that about 600 million baht will come from its debt restructuring and the remaining 100 million baht will derive from hotel operations.

Above: Dhara Dhevi Hotel targets 700 million baht in net profit.

IFEC spent 2.46 billion baht to buy a 100% stake in Dhara Dhevi Hotel Chiang Mai Group, which includes Dhara Dhevi Hotel Co, A.P.K. Development Co and Dhara Dhevi Co, and its liabilities of 2.52 billion baht.

Mr Sitthichai said the Dhara Dhevi Hotel has performed very well this year with an average occupancy rate of 50%, the highest since it opened 11 years ago.

Revenue from Dhara Dhevi Hotel is expected to contribute 20% of IFEC’s total revenue this year, which is projected at around 2 billion baht and the lion’s share will come from the energy business.

Source: Bangkok Post

Above: Thailand’s property sector is benefiting from growing Chinese tourist arrivals, with prices five times cheaper than in Chinese cities, sales are set to rise further.

Chinese tourists topped tourism visits to Thailand in 2015 with 2.2 million from South East Asia and 3.2 million from East Asia, according to data from Tourism Authority of Thailand (TAT).

Sansiri Public Company Limited (PLC) forcasted that Thailand’s property market will rise as tourists and foreign investors continue to pour into the country.

Among property hotspots for Chinese investors are Bangkok and Pattaya.

East Asian investors made up 80% of Sansiri’s international buyers in 2015, with 45% from Hong Kong, 20% from Singapore and 15% from Mainland China. Sales to foreign buyers totalled RMB 669 million (THB 3.5 billion) and in 2016 is expected to grow to RMB 955.09 million (THB 5 billion).

“Thailand’s property market remains very attractive, offering higher yield returns, and yet five times cheaper than first tier cities in Mainland China,” said Cobby Leathers, Head of International Business at Sansiri PLC.

Chinese investors are eyeing Thailand as a high potential destination for property investment opportunities, holiday homes and retirement, with the country offering high-rental yields at competitive prices.

Above: Sansiri Public Company Limited (PLC) forcasted that Thailand’s property market will rise as tourists and foreign investors continue to pour into the country.

Source: China Travel News

Thailand’s tallest skyscraper will officially take its place among the skyline Monday night when it turns on its lights in a flashing, glowing ceremony.

Seven years after it was announced, the 77-floor MahaNakhon building will light up its “distressed cyberhelix” curtain wall with light shows at 7:30pm and 8:25pm on Monday.

It’s a show for all of Bangkok best seen more than a few hundred meters away, or several kilometers. The developer is offering prizes in a contest for people who post photos and videos to social media.

The mixed-use project by Pace Development consists of a hotel, retail businesses, bars, restaurants, and 200 units of the Ritz-Carlton Residences condominiums, which started at prices of about 40 million baht and went much, much higher.

MahaNakhon exceeds the Baiyoke II Tower by 10 meters to become the tallest building at a height of 314 meters. Its claim could be short-lived, however, depending on if and when the Rama IX Super Tower is completed, which would dwarf MahaNakhon at 615 meters.

The building is located on Narathiwas Road near BTS Chong Nonsi.

Source:khaosodenglish