AoT ordered to end airports’ monopoly of duty free concessions

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AoT
According to government spokesman, Werachon Sukondhapatipak, the Prime Minister Prayut Chan-o-chahas instructed the company that runs Thailand’s Airports,(Airports of Thailand or AoT) to change its proposals to continue with a single concession for duty free shops and to end the current monopoly that is in place.

Four main airports are under scrutiny, where a further 10 years of monopoly duty free concessions were due to be awarded. The airports affected are Bangkok-Suvarnabhumi, Chiang Mai, Hat Yai and Phuket International airport.

Lt Gen Werachon was quoted as saying, “Prime Minister Prayut Chan-o-cha is aware of the direction. The government has listened to concern from many parties, especially the issue of monopoly. So it wants the board and management of AoT to revise the auction direction and thoroughly consider reservations from society and the interest of AoT and the nation.”

The Anti Corruption Organization of Thailand (ACT) highlighted the current situation and an objection was filed that lead to the move towards ending the monopoly.

China looking to buy land in the EEC corridor

A number of Chinese investors, supported by the Chinese government, are looking to purchase 10,000 rai of land to create an industrial estate in the Eastern Economic Corridor (EEC).

The Industrial Estate Authority of Thailand (IEAT) held talks with the investors with a view to finding land that will allow them to develop their own industrial community and to markedly improve their supply chain in the region from China to the ASEAN group of nations.

The size of the land parcel has raised some eyebrows with some saying that it would be hard to find a single parcel of land covering such a large area. Yet the promises of significant employment prospects have focused the attention of the Thai government and the IEAT.

IEAT governor, Somchint Pilouk, was quoted as saying, “We expect the Chinese government to bring more than 500 businesses in as investors in the special economic zone.”

The main areas of interest for the land purchase are Chachoengsao, Rayong and Chonburi.

CP Freshmart eyes significant forward growth

CP Foods, a SET-listed company, is set to grow its already famous CP Freshmart chain with a view to supplying hotels and restaurants as well as cementing its position as a leading retailer.

One of the trends will be to promote delivery of fresh food in order to take advantage of the growing home delivery market.

This strategy also suits a business-to-business model where CP Freshmart can deliver to entities that have a catering arm including fine dining venues, boutique hotels, and established large-scale hotels.

Chief executive for agro-industrial business and co-president, Sooksunt Jiumjaiswanglerg, was quoted as saying, “In the future, Freshmart will have appliances and kitchen equipment to serve customers,” adding,  “The future could be entirely in the online sphere. Fresh foods, goods and services could be delivered to customers at home without the need to walk to shops.”

An online payment system will be set up to prepare for the disruptive business model ahead.