Showing posts with label Conflict. Show all posts
Showing posts with label Conflict. Show all posts

Friday, January 22, 2010

POST BAG Cambodia pours scorn on Thai scholar's article


Re: the article by pseudo Thai scholar Pavin Chachavalpongpun published in your newspaper on Jan 18, 2010 under the title, ``In spat with 'Siem', Hun Sen needs Hanoi in his corner.''


This article is completely ridiculous, absurd and vulgar. It fully demonstrates how your newspaper has simply become a political tool serving the government in power and those who have a political agenda to undermine relations between Cambodia and Thailand, without having any sense of professional journalism, truth, tactfulness and politeness.

Your newspaper has allowed such a vulgar scholar to express his ultra-nationalistic and fundamentally provocative views, which have significantly contributed to the worsening of bilateral relations and escalating tensions between the two neighbouring countries. Both your newspaper and this pseudo, cocky scholar would be held accountable for the growing tensions between the two countries.

First, for Cambodia, the restoration of diplomatic relations depends on several important factors:

1. Thailand must stop demanding for, and encroaching on, Cambodia's land near the Preah Vihear Temple.

2. Thailand must stop opposing the inscription of Cambodia's Preah Vihear Temple on the World Heritage List.

3. Thailand must stop demanding to use its own term [Phra Viharn] for Cambodia's Preah Vihear Temple which has long been used by the Khmer people since the 11th century when it was built and named, as well as has been recognised by the International Court of Justice (ICJ) since 1962 and more recently by the World Heritage Committee.

Second, to say that ``Cambodian Prime Minister Hun Sen continues to challenge the Thai leadership'' shows complete ignorance. Samdech Techo Hun Sen has never challenged the leadership of any country, including Thailand's. Prime Minister Hun Sen only defends the national interests, territorial integrity and sovereignty of Cambodia. As the prime minister of Cambodia, he has the right to appoint any person to be adviser to the Cambodian government. This is the sovereign right of Cambodia.

Third, Cambodia's leaders do not engage in a ``zero sum'' game and would not use the balance of power in Cambodia's relations with its neighbouring countries. Our Cambodian leaders would never play ``one neighbour against the other'', as pretentiously claimed by this unscientific, discredited author. In fact, they are only dealing with real politics in Cambodia's relations with its neighbour.

Fourth, your newspaper should stop misleading the public on the history of Cambodia. Historically, the Army of the United Front for National Salvation of Cambodia was set up in 1978 by Cambodian leaders, namely Samdech Chea Sim, Samdech Hun Sen and Samdech Heng Samrin, and appealed to Vietnam for help in order to topple the genocidal Khmer Rouge regime.

Without the collapse of the Khmer Rouge at the time, there would not be any Khmer Rouge tribunal today. In fact, the Vietnamese troops all withdrew in 1989, two years before the signing of the Paris Peace Agreements in October 1991.

Fifth, the bilateral relations between Cambodia and Thailand are fundamentally based on mutual respect. If a neighbouring state treats another neighbouring country well, that country would certainly reciprocate in kind. This is the principle of reciprocity, which is widely used in international relations.

Sixth, I think that this pseudo scholar has quoted an opposition party leader in Cambodia, who is well-known as being ultra-nationalistic and xenophobic. By quoting Sam Rainsy's words on the Cambodia-Vietnam border issue, this vulgar scholar has allowed himself to become the spokesperson of Sam Rainsy, without knowing it.

Finally, to claim that His Excellency Deputy Prime Minister Hor Namhong, Minister of Foreign Affairs and International Cooperation; Ambassador Hor Nambora, Cambodia's Ambassador to the United Kingdom; and Ambassador You Ay, Cambodia's Ambassador to Thailand, are of Vietnamese lineage is absolutely insulting.

This Thai ill-bred scholar, if he is civilised and well-educated, would not have stated such a thing _ that Cambodian leaders and high officials are ``Vietnamese proxies''. It should be recalled that these words were the favourite terms used by the Khmer Rouge to attack the government which had overthrown the genocidal Khmer Rouge regime in 1979. Do you know the name of the neighbouring country which helped and sheltered the Khmer Rouge in the 1980s and for most of the 1990s?

OUK SOPHOIN


Charge d'Affaires, Royal Embassy of Cambodia

Thursday, January 21, 2010

Phnom Trop becomes a flashpoint

Phnom Penh Post 20/01/2010

CAMBODIAN and Thai military commanders are scheduled to meet for negotiations today after Thai troops asked Cambodian forces to retreat from a border area near Preah Vihear temple, military officials said.


Yim Phim, the commander of Royal Cambodian Armed Forces Brigade 8, said RCAF General Srey Doek will meet with his Thai counterparts to discuss the disagreement and assert Cambodia’s claim to the Phnom Trop area, located adjacent to the temple in the disputed zone claimed by both Cambodia and Thailand.

“Thai troops are dreaming if they think Cambodian soldiers will move away from that area,” Yim Phim said. “We will not move forward or back.”

Yim Phim said Cambodian and Thai troops at Phnom Trop discussed the potential withdrawal of troops from the area this past weekend for about two hours. Though they did not reach a solution, the situation remains calm, he said.

Colonel Meas Yoeun, RCAF deputy military commander for Preah Vihear province, said Thailand has been repositioning its troops recently, but added that the movements are no cause for alarm.

“We have not been surprised by the movements of the Thai troops,” Meas Yoeun said. “Soldiers on the battlefield are like the boxers in the ring – always moving around.”

Om Yentieng, chairman of the government’s Human Rights Committee, told reporters on Tuesday that at a meeting between Prime Minister Hun Sen and Surya Subedi, the UN’s special rapporteur for human rights in Cambodia, Subedi expressed support for the Kingdom’s protection of its territorial sovereignty.

“[Subedi] assured Samdech Hun Sen that Cambodia is not isolated in this matter,” Om Yentieng said. “The UN will support Cambodia in defending Cambodian territory.”

Subedi also offered his support for Cambodia’s membership in UNESCO, Om Yentieng added.

Tuesday, January 19, 2010

In spat with 'Siem', Hun Sen needs Hanoi in his corner


Relations between Thailand and Cambodia have shown no signs of improvement. Foreign Minister Kasit Piromya has insisted that normal diplomatic ties cannot resume until Phnom Penh ends its relationship with former prime minister Thaksin Shinawatra.


Keeping relations sweet: Cambodian PM Hun Sen, right, with Vietnamese Prime Minister Nguyen Tan Dung.

Meanwhile, Cambodian Prime Minister Hun Sen continues to challenge the Thai leadership. On January 12, 2010 Mr Hun Sen said that ties might be restored soon because Prime Minister Abhisit Vejjajiva's embattled government would not last much longer.

To understand what has been happening in Thai-Cambodian relations, one must not analyse them solely in the bilateral context. The need to consider other geopolitical factors, particularly within mainland Southeast Asia, is imperative in order to comprehend certain behaviour of political leaders and the reasons behind their policies in regard to their neighbours.

Cambodia is a small state, being sandwiched between two bigger neighbours: Thailand and Vietnam. Leaders in Phnom Penh have taken the advantage of its location by playing one neighbour against the other. This is not a new tactic. Siam used the same strategy when it dealt with the British and the French during the colonial period. Some Thai historians agree that it was this strategy that helped Siam escape colonisation.

Friday, December 25, 2009

PM denies plan for coup in Cambodia


Prime Minister Abhisit Vejjajiva insisted on Friday that his government has no plan to bring about a military coup in Cambodia to topple the Hun Sen government.


“My government has a clear policy to tighten ties with Cambodia and to refrain from the use of force in settling disputes with a nieghbouring country,” Mr Abhisit stated.

The premier said it was not necessary to explain his government's position to the Cambodian leader.

He said the ongoing misunderstanding by Cambodian Prime Minister Hun Sen was caused by him receiving misguided and inaccurate information from a political camp in Thailand.

Asked about Indonesian President Susilo Bambang Yudhoyono's offer to mediate peace talks, Mr Abhisit said he personally hopes that Mr Yudhoyono can help improve communication between Thailand and Cambodia.

Thursday, December 24, 2009

Jatuporn reveals more papers


Puea Thai MP Jatuporn Promphan on Wednesday made public an additional nine pages of a classified document he claims to have been prepared by the Foreign Ministry and outlining proposed action against Cambodia.


The pages shown by Mr Jatuporn at a press conference proposed taking three steps to counter the actions of the Cambodian prime minister. This included delaying Thai-Cambodian cooperation projects and reinforcement of troops along the border, particularly near the Preah Vihear temple.

The papers also proposed tough action against former prime minister Thaksin Shinawatra, who is now economic adviser to the Phnom Penh government and is being protected by Cambodian Prime Minister Hun Sen.

Mr Jatuporn, a leader of the United Front for Democracy against Dictatorship, on Friday released what he said were the first pages of Foreign Ministry document. They focused on how Thailand should handle its relations with Cambodia and described Thaksin as a "key factor" in the destabilisation of the government that must be eliminated.

Mr Jatuporn interpreted it as a threat to Thaksin's life.

Saturday, December 19, 2009

Thailand preparing military action against Cambodia: Pheu Thai MP


An opposition MP yesterday accused the government of planning military force against Cambodia if Prime Minister Hun Sen and Thaksin Shinawatra took any action deemed to violate Thai sovereignty.
This would include establishment of a government in exile for Thaksin on Cambodian soil.

Pheu Thai MP Jatuporn Prompan said the military option was suggested in a confidential paper Foreign Minister Kasit Piromya sent to Prime Minister Abhisit Vejjajiva on November 16 as a guideline for handling the conflict with Cambodia in a worstcase scenario.

"Preparation of a military option is equivalent to preparing for war against Cambodia," Jatuporn said.

"The end game is the normalisation of relations rather than regime change," Jatuporn quoted Kasit as saying in the leaked paper.

Friday, December 18, 2009

Little will change : Suthep



Govt will stick to its stance if Hun Sen ignores the conditions: Suthep Thaugsuban, Deputy PM
We will wait until Thailand has a new administration before normal relations can be resumed, PM Hun Sen
Relations with Cambodia will not improve soon because Thailand is not yet ready to change its stance, Deputy Prime Minister Suthep Thaugsuban said yesterday.




"If the conditions are not changed, relations would remain the same for a period of time," he said.


Thailand has set as a prerequisite Cambodia removing fugitive former prime minister Thaksin Shinawatra from his position of adviser to the Cambodian government and extraditing him to Bangkok if the country wants ties to be normalised. Thaksin's appointment is seen as interference in domestic affairs and an insult to the Thai justice system.


However, Cambodia has refused to follow any of the conditions, with Prime Minister Hun Sen saying that he will wait until Thailand has a new administration before normal relations can be resumed.

Thursday, December 17, 2009

Ultimatum from both sides of the fence: Thailand Vs Cambodia

They believe - wrongly- that if Thailand delays settlement on Preah Vihear until February next year, the World Heritage Committee would remove the temple from its listing.


The Nation, 17/12/2009

Normalisation of bilateral relations between Thailand and Cambodia remains an uphill task at this moment as both sides continue to enjoy - for domestic consumption - political benefits from the dispute.

The Thai government has set conditions for normalisation of relations - Cambodia must respect the Thai judiciary; stop interference in Thailand's internal affairs; and remove fugitive former prime minister Thaksin Shinawatra from the position of adviser to the Cambodian government.
Cambodia, on the other hand, says it wants Thailand to return its ambassador to Phnom Penh, otherwise relations can never get back on track.

The Thai government reply is it would not return its ambassador to resume duty as long as Thaksin remained an adviser to Cambodian Prime Minister Hun Sen, and continued to avoid extradition to face punishment following his conviction in Thailand for corruption.

Thaksin has been at the core of the bad relations between the two countries since Hun Sen gave him the economic adviser's post in October. But even before this, feelings had been bad due to the conflict over the Hindu temple of Preah Vihear.

The two governments intentionally put the Thaksin issue into the context of bilateral relations because they wanted to use the issue to boost popularity at home and cover their respective administrative failures.

Monday, December 14, 2009

Convicted Thai spy released from Cambodian jail


Sivarak Chutipong (right), who was convicted last week of spying on Thaksin Shinawatra last month and pardoned on Friday, was released from Prey Sar prison on Monday in a ceremony held at Cambodian Prime Minister Hun Sen's (left) residence in Phnom Penh.


Cambodia on Monday released a Thai engineer convicted and then pardoned for spying on ousted premier Thaksin Shinawatra, witnesses and officials said.


The release of Sivarak Chutipong came as Thaksin paid a visit to Cambodia that could inflame diplomatic tensions between Bangkok and Phnom Penh. Thaksin visited Mr Sivarak briefly in prison Sunday.

Mr Sivarak, 31, a Thai employee of the Cambodia Air Traffic Service, left Prey Sar prison early in the morning in a convoy of three cars after receiving a pardon from King Norodom Sihamoni on Friday, witnesses said.

Mr Sivarak was initially sentenced to seven years in jail for supplying Thaksin's flight schedule to the Thai embassy when the former prime minister visited Cambodia last month.

After his release, Mr Sivarak went to a ceremony at the home of Cambodian Prime Minister Hun Sen to be presented with his signed royal pardon.

``From now on Sivarak has freedom and can carry out any business,'' Hun Sen said in front of reporters at the ceremony, which was also attended by Sivarak's mother and members of Thailand's main opposition party.

Thailand: One side coin about PM Hun Sen


The farcical episode of the Thai "spy" in Cambodia is over today. Sivarak Chutipong, sentenced to seven years by a Phnom Penh court and then just as quickly pardoned, is to return to Thailand accompanied by Puea Thai MPs after being farewelled by ousted prime minister Thaksin Shinawatra.


He loses his job at the air-controller firm in Cambodia, but regains his freedom after weeks in the squalid Prey Sar prison. It seems likely, however, that the equally squalid crisis in Thai-Cambodian relations engineered by Prime Minister Hun Sen may still continue, and Prime Minister Abhisit Vejjajiva must consider his options carefully.

Sivarak was a classic version of a bystander caught up in a whirlwind of events. His alleged crime was not much more than doing his job, which was to keep track of aircraft into and out of Pochentong airport on the edge of Phnom Penh. He worked for Cambodia Air Transport Services, a Thai-owned firm despite the name. He knew the arrival details of the flight into Cambodia by Thaksin. Apparently, when asked, he gave those flight details to a senior Thai diplomat, embassy first secretary Kamrob Palawatwichai. Hun Sen or one of his supporters blew that harmless exchange of information into a diplomatic incident - Mr Kamrob was expelled - and Sivarak's show trial.

The scripted verdict and pardon of Sivarak closes the chapter but not the book. Hun Sen remains at loggerheads with Mr Abhisit, and perhaps even more with Foreign Minister Kasit Piromya. The Sivarak trial and the expulsion of Mr Kamrob allowed the Puea Thai Party to get some credit and, just as importantly, shut Thai diplomats and the government out of the equation.

Friday, December 11, 2009

Sok An to help Puea Thai bid for pardon

Bangkok Post: Cambodian Senior Minister Sok An is pledging to help the Puea Thai Party try to obtain a royal pardon for the Thai engineer sentenced on Tuesday to seven years in jail for spying.



"Senior Minister Sok An has promised to coordinate the letters [from Puea Thai] to [Cambodian Prime Minister] Samdech Hun Sen," Noppadon Pattama, a legal adviser to ousted premier Thaksin Shinawatra and former foreign minister, told a party meeting by phone yesterday.

The opposition party was approached by Simarak na Nakhon Phanom, the engineer's mother, to ask party chairman Chavalit Yongchaiyudh and former premier Thaksin to help her son Sivarak Chutipong.

Mr Noppadon said the party had agreed to help Mrs Simarak with the pardon request.

Sivarak's family will seek a pardon through Hun Sen by working with the engineer's lawyer, Khieu Sambou.

Puea Thai will send three letters to the Cambodian leader, one signed by Gen Chavalit, one by its party members and the other by Mrs Simarak.

The party has assigned its members led by spokesman Prompong Nopparit to take the letters to Phnom Penh. They could arrive in the Cambodian capital as early as tomorrow.

Tuesday, December 8, 2009

Hun Sen: No ambassador, no aid accepted


The Cambodian government has said it will not accept any more financial assistance from Thailand unless Bangkok restores diplomatic relations to ambassadorial level.


Foreign Minister Kasit Piromya's secretary Chavanond Intarakomalyasut said Cambodia's Prime Minister Hun Sen had said Prime Minister Abhisit Vejjajiva should send the Thai ambassador, Prasas Prasavinitchai, back to Phnom Penh, or else Cambodia will not accept Thai financial aid.

Mr Prasas was recalled from Phnom Penh last month, and Cambodia retaliated by withdrawing its own senior envoy.

Mr Chavanond said two issues were still awaiting a solution - the appointment of fugitive former prime minister Thaksin Shinawatra as adviser to the Cambodian government and to Mr Hun Sen, and Cambodia's interference in Thailand's internal affairs.

Monday, December 7, 2009

Do whatever you want in our territory but do not cross onto [Thai] soil, PM said


PRIME Minister Hun Sen on Saturday warned Cambodians living along the border with Thailand not to cross unlawfully into the neighbouring country, following a series of arrests and shootings.


“Do whatever you want in our territory, but do not cross onto [Thai] soil,” Hun Sen said during the opening of construction on National Road 68 in Oddar Meanchey province.

Hun Sen’s comments follow numerous reports of clashes between Cambodian illegal loggers and Thai soldiers in recent months. In September, 16 Cambodian loggers received jail terms from a Thai provincial court, and in a separate incident, Oddar Meanchey officials claim 16-year-old Cambodian logger Yon Rith was burned alive by Thai soldiers.

Despite these incidents, the premier stated again that the military clashes along the border will not resume. “The policy of using the armed forces is out of date now, and it is in contrast to the will of the people of the two countries.”

Saturday, December 5, 2009

Cambodia, Thailand veer closer to collision course

Everyday News

Long-standing dispute escalates dramatically as Phnom Penh hires fugitive former Thai PM as government adviser

The armies of Cambodia and Thailand declared last week that they have no intention of fighting a war with each other. That's the good news.

The bad news is that the escalating dispute between the Southeast Asian neighbours has become so dangerous that such a statement was required. The past 12 months have seen ambassadors expelled, trade disrupted, accusations of espionage and a series of deadly border clashes around an ancient temple in a contested frontier area.

Tensions have risen dramatically in the past two weeks after Cambodian Prime Minister Hun Sen waded into Thailand's internal political battle by inviting Thaksin Shinawatra, Thailand's fugitive former prime minister, to visit Cambodia and gave him a job as a government adviser.

Mr. Hun Sen could scarcely have made a more provocative gesture. Mr. Thaksin, who was ousted from office in a 2006 military coup and is wanted on corruption charges, called his supporters into the streets earlier this year in an effort to topple the government of Prime Minister Abhisit Vejjajiva. The uprising was quelled by the military after street fighting between pro-Thaksin and pro-government groups left two people dead and more than 100 injured.

Wednesday, December 2, 2009

Thailand does not bite, are you sure?

Hun Sen's latest emotional outburst against Prime Minister Abhisit Vejjajive and Foreign Minister Kasit Pironya was not unexpected, it's just part of the political game he's playing, and there is no need for either Mr Abhisit and Mr Kasit to respond.


Just as it seemed last month’s unfortunate diplomatic row over deposed former prime minister Thaksin Shinawatra was finally taking a back seat, Cambodian Prime Minister Hun Sen has seen fit to reopen the wound with comments that could provoke a new round of bickering.

Mr Hun Sen’s latest diatribe against Prime Minister Abhisit and Foreign Minister Kasit in his speech at a provincial ceremony on Monday, although not at all surprising for a man of his character, was totally undiplomatic, hostile and unbecoming of a government leader.

He was quoted to have said: “I am not the enemy of the Thai people…But the prime minister and foreign minister, these two people look down on Cambodia extremely…Cambodia will have no happiness as long as this group is in power in Thailand…”

Mr Hun Sen’s sudden burst of anger at Prime Minister Abhisit and Foreign Minister Kasit stemmed from the Thai government’s threat to suspend all economic aid to Cambodia in retaliation for Phnom Penh’s appointment of Thaksin as its economic adviser and its refusal to allow the fugitive politician's extradition to Thailand to face imprisonment.

The attitude


"I believe the problem has arisen because someone could be trying to instigate a situation," the prime minister said.

Prime Minister Abhisit Vejjajiva has feigned indifference to Cambodian Prime Minister Hun Sen's clear animosity to his remaining in office.


Mr Abhisit said he was not aware of reports that Mr Hun Sen was not happy with him and Foreign Minister Kasit Piromya, and that the Cambodian government would not ask for their assistance.

"I believe the problem has arisen because someone could be trying to instigate a situation," the prime minister said.

Deputy Prime Minister Suthep Thaugsuban, who is in charge of security affairs, said the Thai-Cambodia situation had improved to some extent, but the government had to be strong and calm after being criticised by Prime Minister Hun Sen.

The government had to be very cautious about its ties with neighbouring countries, Mr Suthep said.

"Don't get stuck on Prime Minister Hun Sen's words. The government has been doing well so far and the problem will not spread to include other Asean member states," he said.

He repeated that the frontier with Cambodia will not be closed because the government cares about the people living along the border.

Friday, November 27, 2009

"The Abhisit Vejjajiva government should not be afraid of losing face, former foreign Minister Surakiart said


Former foreign minister Surakiart Sathirathai suggested yesterday that the government make moves to calm the wave of patriotism and show political maturity by offering an olive branch to Cambodia.

"The government should not be afraid of losing face, but instead show its maturity by calling for talks," Surakiart told a seminar at Chulalongkorn University.


"It should send people that Cambodia would want to talk to, instead of sending public figures that are hated in Phnom Penh."

For starters, he said, the government should drop its plans to scrap the bilateral maritime deal. If the government does not want to discuss the overlapping claim in the Gulf of Thailand, all it has to do is simply not talk, instead of terminating the deal, he said.

Abhisit Vejjajiva's Cabinet decided two weeks ago to revoke the memorandum of understanding signed between the two countries in 2001 in a retaliatory gesture after Cambodian PM Hun Sen appointed fugitive former prime minister Thaksin Shinawatra as an economic adviser.

The MoU, signed during Thaksin's administration by Surakairt and Cambodia's Deputy Prime Minister Sok An, was meant to set up a joint technical committee to draw up terms of a joint development area and the delimitation of territorial waters in the Gulf of Thailand.

Surakiart suggested that the government withdraw its proposal of termination soon so the document can continue being effective.

"Thai people should not allow internal colour-coded politics jeopardise relations with neighbouring countries. Don't allow one person, who was in Cambodia just for four days, to spark hatred between Thais and Cambodians," he said.

Not use force to settle dispute, promise the Thai-Cambodian Militaries


The Thai and Cambodian militaries agreed Friday to maintain friendly ties and will avoid using force to settle border conflicts.


The two sides held the joint border committee meeting at the Dusit Thani Pattaya.

Representatives on the Thai side including Defence Minister Prawit Wongsuwn, Supreme Commander Gen Songkitti Jakkabatra, Army Commander-in-Chief Gen Anupong Paochinda, First Army Region Commander Lt Gen Khanit Saphithak.

Leading the Cambodian entourage was Deputy Prime and Defence Minister Tea Banh.

After the meeting, Prawit said the two sides agreed to use peaceful measures to deal with the border conflicts.

Prawit said the armed forces of the two countries would ensure that the two peoples would be able to go with their normal life and across-the-border trades.

Prawit said the armed forces of the two countries also agree to maintain good relations based on the international laws, sincerity and understanding

Thursday, November 26, 2009

Sivarak's mum to see him tomorrow

The Nation: Detained Thai national Sivarak Chutipong will have a chance to see his mother tomorrow, two weeks after being detained in Phnom Penh on a charge of spying, the Thai Foreign Ministry said yesterday.

Sivarak, an employee of Cambodia Air Traffic Services (CATS), was accused of illegally obtaining flight information relating to fugitive ex-PM Thaksin Shinawatra and passing the details to a Thai diplomat, who was later expelled from Cambodia.


Sivarak was arrested on November 12 after Thaksin, who was appointed as an economic adviser to Cambodian Prime Minister Hun Sen, flew into Phnom Penh to give a lecture on economic strategy.

His mother, Simarak Na Nakhon Phanom, will meet Sivarak at Prey Sor prison on the outskirts of Phnom Penh tomorrow afternoon, ministry spokesperson Wimon Kidchob said.

Bangkok Post Kao Soupha, his defence lawyer, expected the Cambodian court will begin his trial on December 8 but it was unclear whether the court would rule on his case on that day.

The lawyer filed a bail request for him on Monday but the court has yet to decide whether to release him.


Suwanna Suwanjuta, head of the Justice Ministry's rights and freedom protection department, who returned from Phnom Penh yesterday, said Sivarak was detained in a cell with four other inmates, despite the fact cells usually hold 25 inmates

Sivarak's case is a part of a conflict with Cambodia. Thailand downgraded relations with its neighbour after Thaksin was appointed as an adviser to Hun Sen.

The arrest of Sivarak sparked a rumour that Hun Sen's daughter would take over CATS, which is a Samart Corp subsidiary.

Watchai Vilailuck, president of Samart Corp, insisted yesterday that the company had never been approached by the Cambodian government or any members of Prime Minister Hun Sen's family to take over CATS.

Monday, November 23, 2009

Thai businesses fear closure of border


As the Thai-Cambodian media skirmish continues, Thai executives are starting to fear their operations will suffer.
Thai exports to Cambodia last year were worth 67 billion baht, while imports from Cambodia were only 3 billion baht

Vietnam benefits from close proximity with Cambodia, with significant border trade. Vietnam's exports to Cambodia have soared from US$178 million in 2002 to $1.43 billion last year.

Gamblers are staying away from casinos in Koh Kong and Poipet, while tourist numbers are on the slide. Kasikorn Research Center said the escalating tensions could affect businesses and populations on both sides of the border.

The conflict between the Thai and Cambodian governments recently reached a new and alarming level when both countries withdrew their ambassadors after Cambodia named fugitive former prime minister Thaksin Shinawatra as an economic adviser and refused to extradite him when he visited the country.

But the Thai-Cambodian border remains open so the border trade, which accounts for as much as 80% of bilateral trade, continues as usual.

If the conflict is quickly resolved without either side resorting to force, trade will not be disrupted, said K-Research.

Even a temporary border closure, similar to that caused by the earlier Preah Vihear temple dispute, would only have a limited impact, the researchers said. But a prolonged closure would inevitably damage trade, causing Thai exporters to lose their share in Cambodia's market.




Thai exports to Cambodia last year were worth 67 billion baht, while imports from Cambodia were only 3 billion baht.


Thailand's trade surplus reflects Cambodia's inability to supply its market's demand, while Cambodian consumers are accustomed to imported Thai products such as sugar, beverages, cosmetics, soaps and related products. The Cambodian business sector also relies on imported processed oil and cement.

Thailand is currently the largest exporter to Cambodia, supplying 23% of its imports, followed by Vietnam with 17% and China with 15%.

Like Thailand, Vietnam benefits from close proximity with Cambodia, with significant border trade. Vietnam's exports to Cambodia have soared from US$178 million in 2002 to $1.43 billion last year. The country is now competing directly with Thailand in oil, sugar and cement.

Chinese goods, currently in third place, also have good opportunities for growth due to the strength of the Chinese economy and the development of the logistics system linking China and Asean.

But Cambodia would also face losses from this scenario. Materials and intermediate goods from other countries for its production sector would likely have higher prices due to the logistics costs. Similarly, Cambodian consumers would likely have higher living costs.