The bridge - linking Chiang Rai with Bo Keo in Laos - is scheduled for completion in 2011.

Last year, bilateral trade reached US$1.5 billion (Bt51.8 billion). Thai exports to Laos rose 30.9 per cent to $1.01 billion, while imports from Laos soared 119 per cent to $493.5 million.

Thai investment in Laos reached $3 billion last year.

At a meeting of Thailand's team to strengthen trade and investment cooperation, Commerce Minister Krirk-krai Jirapaet, Bo Keo governor Kammun Soonwiroj and Luang Namtha governor Pimmasorn Ruangkamma shared a common view on economic growth.

Krirk-krai said the bridge, linking Chiang Rai's Chiang Khong district with Laos' Bo Keo district, should be completed in 2011 and that would create huge benefits for trade and investment.

"The bridge will not only serve transportation needs, but also benefit the economic development between Thailand and Laos and Thailand and China," he said.

The Friendship Bridge will connect land transportation via Route No 3 East (R3E) between Thailand, Laos and Kunming, China. The bridge will create more two-way trade opportunities and boost Thailand's exports not only to Laos but also China. It will reduce transportation costs as shipment time is currently lengthened by marine transportation via the Mekong River, said Krirk-krai.

The Thai government approved construction of the bridge in March and will provide Bt35 million for the design. Construction is expected to start late this year..

Last year, the two countries celebrated the opening of the second Friendship Bridge across the Mekong River between the border provinces of Mukdahan and Savannakhet. The first bridge links Nong Khai and Vientiane.

Construction of a third Friendship Bridge between Nakhon Phanom and Khammuan has also been approved, although it is possible that the Chiang Khong-Bo Keo link will be completed first.

Businesses that have high opportunities for Thai investors in Laos are hotels and tourism, jewellery, processed agricultural products, consumer goods manufacturing, and sugar cane and pineapple farming.

Maitree Srinarawat, director-general of the Transport Ministry's Office of Transport and Traffic Policy and Planning, said the Chiang Khong-Bo Keo bridge would facilitate transportation and reduce logistics costs by two to three times.

Exports from Thailand to China via river take three days. This will be cut to one day after the bridge and R3E road are completed.

The facilities will create more opportunities for trade and tourism in each country, Maitree said. Lao officials suggested that Thai businessmen invest in Laos, as goods made there can be exported to third countries.

Petchanet Pratruangkrai

The Nation

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