A memorandum of understanding (MoU) to underpin the dual-track railway deal between Thailand and China will be signed this month, according to Deputy Foreign Minister Don Pramudwinai.
Transport Minister Prajin Juntong will sign the MoU with the president of China's National Development and Reform Commission (NDRC) between Dec 19-23.
The confirmation of the deal will pave the way for the construction of rail tracks supporting trains travelling at 180kph.
"This is the first major development of Thailand's railway system in 120 years," Mr Don told the Bangkok Post.
Both ACM Prajin and the NDRC president will jointly chair a committee on Thai-Chinese cooperation, which aims to thrash out the project details and make sure the conditions of the MoU are followed. The committee will be set up after the MoU is signed.
The working panel will meet regularly to discuss the dual-track scheme, Mr Don said.
He added that Chinese President Xi Jinping is very keen to kick off the railway project with Thailand, which is viewed as a "gateway" to Asean. He said the Chinese government has been eying investment in Thailand for many years, because Beijing wants to increase cooperation with the region.
Building regional connectivity is one of Mr Xi's key policies to boost the Chinese economy and drive trade with Asean nations, Mr Don said.
The major rail routes will serve the Northeast of Thailand and facilitate the import of food and other goods from Southern China.
The average speed of trains in Thailand is currently 50kph, but wider tracks will enable speeds of up to 180kph. Construction should begin by 2016.
The deputy minister said another government-to-government contract on rice and rubber exports is expected to be signed soon, to mark the 40th anniversary of Sino-Thai diplomatic relations. The pact signing date has yet to be decided.
China has already bought 2.7 million tonnes of rice and promised to find buyers for 200,000 tonnes of rubber from Thailand as part of the deal, Mr Don said.
"China is also interested in purchasing more agricultural products including fruit; however, the details are yet to be discussed," he said, referring to bilateral talks between Thailand and China at the Asia-Pacific Economic Cooperation summit in Beijing.
Thailand is likely to get the "green light" on the plans shortly, and another MoU will be drafted after the details are discussed, he added.
Mr Don said Thailand will try to carry out both the dual-track railway scheme and the agricultural export project in 2016.
ACM Prajin denied earlier reports that Thailand will reward China with rice and rubber in exchange for its support in developing the railway system. He also refuted claims Thailand will grant land rights along the railway tracks to China in exchange for the loans.