DIP allay fears of Alibaba's predominance over SMEs

BANGKOK, April 23 (TNA) -- The Department of Industry Promotion assured the public that the signing of MoU (Memorandum of Understanding) agreements with Chinese e-Commerce powerhouse Alibaba would not be disadvantageous for Thailand. The Department of Industry Promotion Director General Kobchai Sungsitthisawad clarified that the signing of four MOUs would not render Thailand subservient to Alibaba's interests as the main goals were to promote local SME development. He denied reports that by opening the door to Alibaba, local SMEs would lose vital commercial and marketing competitiveness as the Chinese giant would get their hands on important corporate details. Mr Kobchai said that the MoUs were aimed to facilitate SME growth, beginning from community enterprises up to agricultural businesses by developing digital awareness and competency in order to allow them to gain access to online markets in China and other parts of the world. Alibaba will provide training for local SMEs on important online marketing criteria that would better equip them to negotiate the treacherous online landscape and help them make the right decisions when selecting service providers appropriate to their needs. Furthermore, Mr Kobchai stated that Alibaba will bring in technologies that they have developed to help overhaul local logistic systems that will further speed up and improve distribution of local SME's products and services to the Chinese and global markets thereby significantly improving their competitiveness. At the same time, the Ministry of Commerce, Ministry of Industry and other departments involved with E-commerce and logistics will be provided with a convenient template to help local businesses flourish in the long-run both in terms of quality and standardisation. With regards to concerns over Alibaba being granted access to important information in national databases that could help them gain ascendency over local businesses, Mr Korbchai said that there was no way that these information can be accessed without consent. (TNA)