Firms looking to join the ambitious Dawei deep-sea port scheme should submit bids for its first three project by the end of next February, says Deputy Prime Minister Niwatthamrong Bunsongphaisan.
Thai Deputy Prime Minister Niwatthamrong Bunsongphaisan (second left) and Myanmar Labour, Employment and Social Security Minister Aye Myint seal the deal with a handshake. Ital-Thai and DSEZ officials were also on hand. KOSOL NAKACHOL
Thailand and Myanmar are cooperating on the huge project to build an industrial zone and port at the town of Dawei in eastern Myanmar.
"The Myanmar government wants the Dawei project to proceed as rapidly as possible," he said.
The first three projects are a dual-lane highway linking Thailand with Dawei, a small port and an industrial estate.
Dawei SEZ Development Co (DSEZ), a new special-purpose vehicle for the project, is expected to award concessions for the three projects by next year's second quarter, said Mr Niwatthamrong.
He said DSEZ needs to complete the terms of reference for the first three projects by the end of next month.
Speaking yesterday after the meeting of the Thai-Myanmar Joint Coordinating Committee in Bangkok, Mr Niwatthamrong said the two countries have now signed three key memoranda of understanding (MoUs) on the Dawei development plan.
Under the first MoU, the Dawei concession will be transferred from Italian-Thai Development Plc (ITD) to DSEZ.
The second MoU revokes concessions between Ital-Thai and Myanmar, while the third one obliges new investors to reimburse Ital-Thai for its expenditure on building the port and roads. But Ital-Thai can also bid to construct the three development projects, said Mr Niwatthamrong.
"Dawei development is a very large-scale project covering 200,000 rai with total investment of 300-400 billion baht, so it needs foreign investors," he said.
Ital-Thai president Premchai Kanasutra said switching the concession from his company to DSEZ makes the project viable, and government cooperation will build confidence among foreign investors.
The company has already invested 6 billion baht in Dawei and is committed to bidding for all its projects, he said.
Ital-Thai will team up with the Rojana Industrial Park and other partners to bid for industrial estate development at Dawei, covering 30,000 rai with an investment of 100 billion baht, Mr Premchai added.
Shares of ITD closed on the SET at 5.05 baht yesterday, down 35 satang, in trade worth 406 million baht.