Commerce Minister Chatchai Sarikulya will fly to India today in a bid to boost trade and investment with the subcontinent and update progress on a comprehensive Thai-Indian free trade agreement (FTA).
Gen Chatchai will be accompanied by Tourism and Sports Minister Kobkarn Wattanavrangkul and senior officials from the Board of Investment and private organisations on the four-day trip. They are due to meet Indian counterparts and witness the signing of a memorandum of understanding on trade and business partnerships by the Thai and Indian private sectors.
The partnership will also cover port development, cooperation between Surat Thani and India's Gujarat state and business matching.
Gen Chatchai said more importantly, he will raise the matter of the stalled Thai-Indian FTA at a meeting with India's commerce and industry minister.
Thailand and India signed a framework agreement covering the liberalisation of trade in goods, trade in services and investment as well as expansion of economic cooperation on Oct 9, 2003.
Under the framework agreement, it was agreed that Thailand and India commence negotiations on trade in goods in January 2004 to establish the Thai-Indian FTA covering trade in goods by 2010.
Initially, with a view to accelerating tariff reduction, both countries agreed to implement an Early Harvest Programme (EHS).
The framework agreement specified tariff reduction under the EHS of 82 items, embracing products of interest to both countries such as fruits, processed food products, gems and jewellery, iron and steel products, auto parts, electronic goods and electrical appliances.
Tariffs on the 82 products under the EHS were eliminated on Sept 1, 2006.
In addition, the Asean-India Trade in Goods Agreement was also signed in August 2009, while the services and investment chapters of the Asean-India FTA were concluded in December 2012 and signed last September.
Bilateral trade between Thailand and India reached US$8.69 billion in 2013, of which Thai exports accounted for $5.19 billion.
Commerce Ministry spokeswoman Duangkamol Jiambutr said bilateral trade with India was expected to grow to $12 billion this year.