Transport Ministry demands rail procurement with condition

BANGKOK, March 9 (TNA) -- The Transport Ministry will demand its rail suppliers transfer technology to Thailand as it is increasing the combined distance of its railways from 4,000 to 9,000-10,000 kilometres in ten years. Transport Minister Arkhom Termpittayapaisith said although Thailand was able to product parts and equipment related to railways, it still needed foreign technologies to effectively develop its railways. Therefore, the ministry was implementing its Industrial Collaboration Program (ICP) with its suppliers in the government's railway projects worth 2 trillion baht plus double-track railway projects on five routes, he said. The ICP would require suppliers to transfer their railway technologies to Thailand so that its personnel could produce quality and standard parts and equipment related to railways to meet electric railway demands of the country. Malaysia and Middle East countries already implemented their ICPs successfully, Mr Arkhom said. He said the government plans to increase railways' share in transport from 2% of the gross domestic product to 5% of the GDP within 2022 in order to cut logistic costs from 14% of the GDP to 12% in eight years. (TNA)