Japan's Fukuda hopeful free trade pact will boost Thai ties

Fukuda met with Thai Foreign Minister Nit Piboonsongkram in Tokyo Friday to discuss enhancing already close economic ties with the Southeast Asian nation.

The economic pact, which was signed in April and went into effect on Thursday, was intended to encourage investment in Thailand by Japanese manufacturers.

"We discussed the prospects of future relations and how much closer it will be and things to look forward to, (such as) the increase in trade, increase in investment, increase in persons traveling back and forth," Kyodo News Agency quoted Nit as saying.

The economic partnership will remove tariffs on almost all trade between the two nations in the next 10 years, including mangoes and shrimps from Thailand and Japanese cars exported to Thailand.

Thailand is Japan's largest free-trade partner. It already has such pacts with Singapore, Mexico, Malaysia and Chile.

Japan and Thailand are celebrating the 120th anniversary of their diplomatic relations this year.//dpa