Thailand approves second friendship with Burma on Moei River

by Usa Pichai
Thursday, 08 October 2009 13:01

Chiang Mai (Mizzima) - The cabinet of the Thailand government has approved construction of the second Thailand – Burma Friendship Bridge on Moei River to give a leg up to border trade and regional logistics.

Alongkorn Ponbutra, Deputy Commerce Minister in a press conference on Tuesday said that Thailand ‘s cabinet approved the project to develop a border economic zone in Mae Sot district of Tak province, bordering Myawaddy township, Burma.

The first project is to build the second Thailand-Burma Friendship Bridge on Moei River to cater to the increasing need for transportation of goods through the border. In addition, it would serve the East-West Corridor economics scheme. The development plan includes building Special Economic Zones, logistics centres and warehouses near the border of Mae Sot district.

“Now the authorities are looking for a suitable location to build the new bridge. The Ministry of Commerce has set up a committee comprising private sector representatives and government officials to develop border trading,” he said, according to a report in Thailand’s National News Bureau Website.

Alongkorn said that in 2008, the trading cost on the border of Thailand and Burma accounted for 144, 000 million Baht [4,363 million US$], in Myawaddy alone. Mae Sot accounted for about 20,000 million Baht [606 million US$].

“The trading cost in this area tends to increase despite the world economic down turn. It is expected that the new economic zone would push up the cost twice to 40,000 million Baht [1,202 million US$], excluding income from tax and other investments,” he added.

Banpot Korkiatcharoen, Chaiman of Tak Province, Chamber of Commerce said that, “the next step is that the government would coordinate with the Burmese government in searching for an appropriate location. Work on the details of the construction project needs the approval of the Burmese government because both would use the bridge,” according to a report in a Thai news website Manager on Wednesday.

Now Chaiwut Bannawat, Deputy Education Minister and PM from Tak Province is coordinating the construction project to widen the road from two lanes to four lanes, through 86 kilometres from Mae Sot to Muang district of Tak Province. This will help transport agricultural products, tourism and bring down car accidents. The project will start in 2010.

In September, Thailand and Burma also opened the temporary border checkpoint Nam Piang Din in Muang district of Mae Hong Son Province for local trading. Earlier, the checkpoint was never used for trade because of fighting between ethnic Karenni armed groups and the Burmese Army.