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Thu, November 9, 2006 : Last updated 20:55 pm (Thai local time)



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Home > Business > FTI handed responsibility for SMEs





FTI handed responsibility for SMEs

The Industry Ministry has assigned the Federation of Thai Industries (FTI) to oversee six new projects to develop small and medium-sized enterprises, with a budget of Bt1.2 billion in fiscal year 2007.

The projects are aimed at promoting industry standards, training centres, business matching between producers and buyers, logistics development, machinery renovation and industry development in provincial areas. All projects will take one year, starting when the FTI considers them ready.

The project to promote industry standards will start with the printing and rubber industries, while the training project will see centres set up in five regions.

Industry Minister Kosit Panpiemras said he would like to change the system. In the past, the government was the creator of all projects for the private sector, "and that didn't work".

Hence, these six projects are to be implemented by FTI and the Office of Small and Medium Enterprises Promotion (Osmep).

Kosit said the operators and managers of these projects, coming from the private sector, would be chosen and elected by the FTI. However, the budget will be managed by Osmep. "I'd like the private sector to start and take action on the projects while the government acts as a supporter. They know their needs and they are the people who finally get the benefits," he said.

Nonetheless, the Industry Ministry will provide a start-up budget of only Bt1.2 billion to finance the projects. If the private sector wants to spend more than Bt1.2 billion, the FTI has to pay from its own funds.

Meanwhile, Osmep's current projects, excluding the new ones, will proceed and be included in the fiscal budget for 2007, said the minister.

There is still Bt500 million left from fiscal year 2006.

Chalida Ekvitthayavechnukul, The Nation




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