TELECOMMUNICATIONS
The board of CAT Telecom has awarded a 2.15-billion-baht fibre-optic network project to Marubeni (Thailand) despite questions raised by the Office of the Auditor-General (OAG) over the project's transparency. State auditors have objected five times to the project, officially known as the Automation Switched Optical Network (ASON).
Inflation rose to a new 10-year high of 8.9% in June, led by higher oil and food prices.
RETAILING
Central Retail Corporation Co (CRC), the country's largest retail chain, has approved a budget of 20 billion baht to expand its business in China over two years, double the amount it had been planning earlier.
Loan and retail rates are expected to rise by at least 0.25 to 0.5 percentage points over the next six months in light of growing inflation, say local bankers. Inflation rose to a 10-year high at 8.9% in June, driven by high oil and food costs. Most analysts expect the Bank of Thailand to raise its one-day repurchase rate by at least 0.25 percentage points when it meets on July 16, after holding rates unchanged at 3.25% since mid-2007.
SECURITIES TRADING
Securities brokers have been gradually diversifying their revenues away from brokerage fees to prepare for industry liberalisation in 2012. Kampanat Lohacharoenwanich, the chairman of the Association of Securities Companies, said proprietary trading was becoming an important revenue source for many brokers.
THE WEEKLY LINK
We are chairing a discussion panel at the upcoming Supply Chain Asia Forum in Singapore on July 9 and 10 (http://www.supplychainasia.com ) that will focus on the topic: "Supply Chain Excellence: The most misquoted concept in SCM?" It is an intriguing topic, indeed. But is the issue misquoted or misunderstood, due to lack of clarity?
INVESTMENT
Thai companies are being encouraged to seek offshore loans for investments in Vietnam by taking advantage of the weakened Vietnamese currency and rising interest rate there, says an executive of Bangkok Bank.
PROPERTY
Raimon Land plans to double the prices of its new luxury condominium to 300,000 baht per square metre in line with rising production costs, according to chief executive Nigel Cornick. Construction costs alone have gone up by 20% to about 90,000 baht per square metre, and the company said it may raise prices of its future projects, starting with the 185 Rajadamri condominium on Rajadamri Road set to launch by year-end.
PROPERTY
The Bank of Thailand has projected higher condominium demand in the second half as consumers move to save travelling expenses. In its May economic and finance report, the central bank reported a stronger real estate market in April as buyers who had delayed their decisions to wait for tax incentives made transactions.
Brand MATTERS
Ever thought about taking a magic net and capturing a bottle of cool and applying it to a brand? Or paying some hotshot irreverent trend-spotter to dial up some cool for you? Or sprinkling a dash of bling on it?
AGRIBUSINESS
The quake that hit Sichuan province is likely to hurt small livestock farms in rural China, with medium-scale and bigger farms emerging as a new trend, according to an executive of the CP Group, the country's largest agricultural conglomerate. The trend conforms with China's policy of modernising the farm sector, especially livestock farming.
AGRIBUSINESS
Concerns over Vietnam's steep inflation and unfavourable economic prospects have prompted Charoen Pokphand Group, the country's largest agribusiness concern, to put on hold its investment plans worth US$1.2 billion, particularly in real estate and retailing. The group would delay until next year the planned property projects and Lotus superstores in Ho Chi Minh City, Sooksunt Jiumjaiswanglerg, executive vice-president for agro-industry and food business group in Vietnam, said yesterday.
AUTOMOBILES
Jaguar Cars (Thailand) Co is confident that the luxury Jaguar XF sports sedan that premiered yesterday at Siam Paragon will receive strong local acceptance similar to the worldwide response at its debut last year.
Mitr Phol, Thailand's biggest sugar miller, has introduced the first industrial liquid sugar product in Asean in a bid to add more value to its sugar business.
MEDIA
The new executive board of MCOT Plc is likely to review the performance criteria for president Wasan Paileeklee by placing more importance on revenue and profit, according to sources at the majority state-owned broadcaster.
AVIATION
Thai AirAsia (TAA) is scrambling to curtail losses this year at no more than the 2007 level as skyrocketing fuel prices and slowing traffic demand make it increasingly harder to run a budget airline. Some of its strategies are unconventional for a low-cost carrier as it looks to lift revenues and keep seats filled even it means they do offer no profit margin.
