Published on June 24, 2005
Luxembourg businessmen are seeking alliances with local small and medium-sized enterprises as a means of boosting Thai exports to the European Union.
In an interview with The Nation, Jean Claude Vesque, head of the International Trade Department at Luxembourg’s Chamber of Commerce, said the country welcomed Thai enterprises wishing to form joint ventures with Luxembourg businesses as the country is an ideal gateway to the EU market.
A trade mission with 10 representatives from leading businesses in Luxembourg will participate in an event called the EU-Thailand Partenariat Business Matching 2005, to be held at Muang Thong Thani exhibition centre from November 17 to 18. The event is being organised by the Board of Investment to promote trade between EU countries and Thailand. Representatives from a number of industries in Luxembourg – including the agricultural, automotive and electronics sectors – are planning to attend the event in Bangkok. A report from the Commerce Ministry of Luxembourg in 2003 said that Luxembourg’s gross domestic product was US$25.01 billion (Bt111.6 billion), its annual economic growth rate was 2.1 per cent, and the rate of inflation 2.4 per cent. The tiny country has a population of 450,000. “Although our country is known as a small country among the 24 EU members, we have high revenue, at about $55,000 per capita. Our core industries are iron and steel, and other new potential diversified businesses such as finance and transportation could present ideal opportunities for Thai investors,” said Vesque. He added that by creating business links with Luxembourg, Thai SMEs could benefit from transfers of technology and information to develop products that meet with EU consumers’ demands. He also suggested that local SMEs should consider building public relations and advertising strategies within Luxembourg to expand their market. Vesque said Luxembourg offered a favourable climate for foreign investment due to its political stability, good communications, easy access to other European centres, skilled multilingual staff and a tradition of banking secrecy – qualities that have contributed to the growth of the country’s financial sector. Regarding the targets of the business-matching event in Bangkok, Vesque said he expected a 30-per-cent level of success. He believes the event will be a platform for further discussions and developments between Thai and Luxembourg enterprises. Vesque added that he opposed all trade barriers and saw restrictions on global business as unnecessary. “As Luxembourg is a member of the EU we have to follow the union’s rules, but I hope to see the globalisation of trade without barriers someday.” Petchanet Pratruangkrai The Nation
Post your comment to this story here