ID :
9371
Wed, 06/04/2008 - 15:41
Auther :

OPERATORS THREATEN TO STOP THAI FREIGHT TRANSPORT SERVICES

Bangkok, June 4 (TNA) – The Land Transport Federation of Thailand is threatening to halt freight forwarding services nationwide unless it receives a clear response -- within seven days -- that state assistance to counter the financial hardships borne by operators from surging oil prices will materialise.

Federation chairman Yu Jienyuenyongpong, flanked by representatives of transport operators in various sectors said in a press conference Wednesday that the continued increase in diesel prices had considerably pushed up the overhead costs of transport truck operators considerably.

The transport of building materials took the heaviest toll since product prices are low while fuel cost had risen by up to 75 per cent.

Mr. Yu said that transport of farm products had begun to decline because the harvesting season had gone by. Even so, fuel costs had increased by 60 per cent.

In the past, the operators were allowed to raise the transport cost by 3 per cent every time diesel price edged up by one baht.

But the continued rise in transport costs had reduced the number of customers seeking the services. It resulted in many operators stopping services and selling off 4,000-5,000 trucks.

To ease the hardship of the operators, he said the federation is calling on government to provide fuel at a special discount for the land transport sector, offer a securitisation plan so that operators could afford the natural gas for vehicles (NGV) kit installation, support soft loans with interest lower than 0.5 per cent per annum, and reducing the tax on new trucks with NGV engines to 10 per cent.

In addition, the federation asked the government for financial support through the Energy Conservation Promotion Fund for alternative energy consumption, to provide enough NGV stations in every region, to improve the quality of NGV fuel, and to prepare the NGV consumer plan for medium and long term use.

Mr. Yu said kickbacks sought by state officials from transport operators are another problem that should be solved urgently because it had raised the cost of the operators doing business.

Federation secretary-general Thongyoo Kongkan said the government will have seven days to respond with the measures to meet its demands.

Unless there are concrete measures, the federation would stop transport services and a caravan of at least 10,000-12,000 trucks would move to Bangkok.

He said there would be no blockade of any roads, but that the caravan of trucks would be brought in to park somewhere to demonstrate that theoperators had insufficient money to fill their trucks fuel tanks.


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