The Cabinet also approved the Commerce Ministry's proposal to set up a fund to assist manufacturers and farmers who suffer from liberalisation under free-trade pacts.

The fund is not aimed at providing financial support but other assistance in the form of product improvement, research and development. Particularly, the government will create long-term 15-20-year assistance programmes to small and medium-sized manufacturing enterprises.

Subcon fair opens

The Board of Investment expects 170 negotiation match-ups between Thai parts manufacturers and foreign buyers at the Subcon Thailand 2007 fair, with estimated purchases of more than Bt10 billion.

Chanin Khaochan, an official of the state agency, said 170 matches had been scheduled prior to the opening of the fair today. Throughout the five-day event, more than 200 matches are expected. Among the companies in discussions are Daimler Chrysler, BMW, Panasonic Motor, Isuzu, Electrolux, Bosch and Emerson Electric.

Inactive firms

The Commerce Ministry's Business Development Department plans to take action against inactive companies.

The companies that will be targeted are those that have failed to submit their balance sheets for three consecutive years and "bogus" companies.

Director-general Kanissorn Navanugraha said the bogus companies could include those with locations different from their registered locations.