Bangkok--Nov 21--MFA
The Ministers’ Report is presented in 3 parts: (1) the directives of the Second Summit of the IMT-GT in Cebu, the Philippines (2) the Implementation of the IMT-GT Roadmap during the year 2007, and (3) the future challenges and recommendations for approval by the leaders.
Part 1: The directives of the Second Summit of the IMT-GT in Cebu, the Philippines
Since the establishment of the IMT-GT in 1993, the three member countries have strived to achieve the ultimate goal which is to develop and improve the standard of living and quality of life of the people in the IMT-GT. The IMT-GT leaders’ commitment for the sustained improvement of well-being of people in the IMT-GT has been strengthened in the second IMT-GT Summit in Cebu, the Philippines in January 2007 where the IMT-GT Roadmap 2007-2011 was endorsed.
As a result, IMT-GT now has a vision of a seamless, progressive, prosperous and peaceful sub region, with improved quality of life. The Roadmap also identified 4 potential connectivity corridors namely, the extended Songkhla-Penang-Medan Economic Corridor, the Strait of Melaka Economic Corridor, the Banda Aceh-Medan-Dumai-Palembang Economic Corridor, and the Melaka-Dumai Economic Corridor as major inducement for trade and investment.
During the previous Summit, the IMT-GT Leaders had also given valuable directives for the future development of the IMT-GT. These included the emphasis on the importance and the need for continued support to the Joint Business Council (JBC) and closer public-private partnership, the need to establish the IMT-GT Coordination and Monitoring Centre (CMC), and the realization of the supporting role of State/Provincial Governments.
With regard to the private sectors, the IMT-GT Leaders requested the JBC to undertake pro-active roles in realizing the programmes and projects identified in the Roadmap and to ensure cohesive and dynamic participation from the JBC.
Regarding the Asian Development Bank, the IMT-GT Leaders urged them to play a catalytic and pro-active role in the revitalization of economic cooperation activities. They encouraged ADB to continue providing advisory and technical assistance and to help mobilize resources for the implementation of the programmes, projects and activities under the Roadmap, and to facilitate the establishment of CMC.
Part 2: The Implementation of the IMT-GT Roadmap during the Year 2007
During this first year of the Roadmap, the IMT-GT was marked with notable achievements in the six focused sectors.
First area, infrastructure development and transportation. New road linkages, sea ports and airports had been developed along the IMT-GT areas. The construction of new bridge across Golok River at Buketa and Bukit Bunga will be finished by mid-December 2007 to commemorate the 50th anniversary of Thailand-Malaysia Diplomatic Relationship. The road linkage between Satun and Perlis via Wang Klien and Wang Prachan, which is an alternative to an elevated road across the Andaman Sea, is in the process of preparing for construction.
New CIQ facilities under construction are at Durian Burong and Ban Prakob, as well as the one at Buketa-Bukit Bunga which will serve transportation along the new bridge next year.
Two more bridges linking Malaysia and Thailand across Golok River at Rantau Panjang-Sungai Golok and at Pengkalan Kubor and Takbai are in the process of conducting feasibility studies
For sea linkages, Tammalang Port, Satun Province, and Kantang Port, Trang Province had been further developed. The Ro-Ro port in Dumai was completed and waiting for the interested private sector to operate.
For air linkages, new airports in Indonesia had been developed, namely Palembang International Airport, Minangkabau International Airport and Banda Aceh International Airport.
Second area, trade and investment. The first IMT-GT Plaza had been established in 2006 in Trang Province-Thailand, and the new plazas in Phatthalung-Thailand, in Port Dickson-Malaysia and in Riau Province-Indonesia are currently in the process of establishment in 2008. An agro-business centre in Dumai, Riau Province has also been established.
Third area, tourism cooperation. This year, all the relevant activities have been prepared for the implementation of the Visit IMT-GT Year 2008. The official launching event will be held in Hatyai, Songkhla, Thailand during 11-20 January 2008, including trade and tourism fairs and sport events, and will be followed by at least 42 events in IMT-GT area throughout the next year. These activities are expected to help stimulating economic activities and increase income of the local people from more tourists from within and outside the sub-region.
Fourth, Halal products and services. Several events and activities had been organized in 2007 for example the International Halal Expo held during Maolid Nabi Festival in Krabi Province and the increasing cooperation on Halal Laboratory network in the IMT-GT member countries. The aim of the cooperation is to increase capacity of the three member countries to expand into the global Halal market which is worth 200 billion US dollars per year for Halal food products alone.
Fifth, Human Resources Development. Several exchange programmes had been proposed for reciprocal arrangement, for instances, the seminar to create mutual understanding and exchanging Muslims Culture for Promotion of the Women Participation in the Labor Market, the Technical Meeting on Harmonization of Competency Standard, the Study Visit and Labor Workshop on Labor Management Relations and Trade Unionism.
Sixth, agriculture, agro-industry and environment. Several projects had been proposed for further implementation namely IMT-GT Expo and Seminar for Fisheries to be held in November 2007 in Batam, the establishment of the website of IMT-GT Fisheries Sector and collaboration to deal with land and forest fire in Riau Province.
Apart from the six focused areas, there were two other significant developments.
Firstly, the 6 Provinces in the upper southern Thailand namely Phuket, Krabi, PhangNga, Chumphon, Ranong, and SuratThani were accepted into IMT-GT areas during the 14th Ministerial Meeting and proposed to be endorsed by the leaders at this summit. Thus, the IMT-GT will be expanded to cover 10 provinces in Sumatra Island of the Republic of Indonesia, 8 States in the northern, east coast and western region of Malaysia and 14 provinces in the southern region of Thailand.
This inclusion had enlarged the IMT-GT area from approximately 570 to 593 thousand square kilometer, and also expanded the IMT-GT population size from 67.5 to 69.5 million people. Thus, the new economic corridor, Ranong-Phuket-Aceh economic Corridor, linking new areas and existing areas of IMT-GT had been proposed. Moreover, other new area development programmes such as the Northern Corridor Economic Region (NCER) announced by the Malaysian government will certainly increase the potential of the area and provide more opportunities for cooperation.
Secondly, regarding the directive on the IMT-GT Coordination and Monitoring Centre. The formerly proposed CMC was officially renamed “the Centre for IMT-GT Sub-regional Cooperation (CIMT)”. It is located in Selangor, Malaysia in the initial stage, to coordinate, monitor, and facilitate the implementation of sub-regional programmes and projects under the Roadmap. The structure of the CIMT will be finalized early next year to enable CIMT to be fully operational at the earliest.
Part 3: The Future Challenges and Recommendations for Approval by
the Leaders
Despite the aforementioned progress, the IMT-GT Roadmap has an ambitious vision. Comparing with the total number of proposed IMT-GT flagship programmes and projects in the IMT-GT Roadmap 2007-2011, approximately half of those proposals had been under implementation or conduction of feasibility studies, while the realizations of many challenging programmes are still uncertain.
The challenge ahead in realizing the IMT-GT vision is to increase the capacity to implement the Roadmap and to have a clearer plan of action for strategic areas such as the development of connectivity corridors.
The significant and prioritized issues which were presented to seek support and endorsement from the Leaders are as follows:
1. Endorse the expansion of IMT-GT area to include the proposed six provinces of Thailand.
2. Endorse the official declaration of the Visit IMT-GT Year 2008 and request related government agencies to provide full support for the success of its activities.
3. Accelerate the full operation of CIMT by next year and request ADB for technical assistance and capacity building for its effective operation.
4. Request ADB to provide technical support to prepare action plans for the development of the five connectivity corridors which clearly defines the priority programmes and projects and estimated costs.
5. Request the ADB to discuss with the JBC regarding the possibility to increase access of private sector to sources of fund to implement IMT-GT project.
6. Request the six working groups to be pro-active on important issues such as: the cooperation on alternative energy and substituted energy; reduction of logistic costs along the connectivity corridors; the establishment of special border zone; the official cooperation on Halal standard and certification as well as joint marketing; cooperation on HRD, labor movement and Mutual Recognition Arrangement on labor certification and standard; substantive cooperation on fisheries, livestock, horticulture and related agro-business.
Prime Minister at the Ministry of Foreign Affairs
Press Division, Department of Information Tel.(02) 643-5170
Fax. (02) 643-5169 E-mail : div0704@mfa.go.th End.
-PM-
The Ministers’ Report is presented in 3 parts: (1) the directives of the Second Summit of the IMT-GT in Cebu, the Philippines (2) the Implementation of the IMT-GT Roadmap during the year 2007, and (3) the future challenges and recommendations for approval by the leaders.
Part 1: The directives of the Second Summit of the IMT-GT in Cebu, the Philippines
Since the establishment of the IMT-GT in 1993, the three member countries have strived to achieve the ultimate goal which is to develop and improve the standard of living and quality of life of the people in the IMT-GT. The IMT-GT leaders’ commitment for the sustained improvement of well-being of people in the IMT-GT has been strengthened in the second IMT-GT Summit in Cebu, the Philippines in January 2007 where the IMT-GT Roadmap 2007-2011 was endorsed.
As a result, IMT-GT now has a vision of a seamless, progressive, prosperous and peaceful sub region, with improved quality of life. The Roadmap also identified 4 potential connectivity corridors namely, the extended Songkhla-Penang-Medan Economic Corridor, the Strait of Melaka Economic Corridor, the Banda Aceh-Medan-Dumai-Palembang Economic Corridor, and the Melaka-Dumai Economic Corridor as major inducement for trade and investment.
During the previous Summit, the IMT-GT Leaders had also given valuable directives for the future development of the IMT-GT. These included the emphasis on the importance and the need for continued support to the Joint Business Council (JBC) and closer public-private partnership, the need to establish the IMT-GT Coordination and Monitoring Centre (CMC), and the realization of the supporting role of State/Provincial Governments.
With regard to the private sectors, the IMT-GT Leaders requested the JBC to undertake pro-active roles in realizing the programmes and projects identified in the Roadmap and to ensure cohesive and dynamic participation from the JBC.
Regarding the Asian Development Bank, the IMT-GT Leaders urged them to play a catalytic and pro-active role in the revitalization of economic cooperation activities. They encouraged ADB to continue providing advisory and technical assistance and to help mobilize resources for the implementation of the programmes, projects and activities under the Roadmap, and to facilitate the establishment of CMC.
Part 2: The Implementation of the IMT-GT Roadmap during the Year 2007
During this first year of the Roadmap, the IMT-GT was marked with notable achievements in the six focused sectors.
First area, infrastructure development and transportation. New road linkages, sea ports and airports had been developed along the IMT-GT areas. The construction of new bridge across Golok River at Buketa and Bukit Bunga will be finished by mid-December 2007 to commemorate the 50th anniversary of Thailand-Malaysia Diplomatic Relationship. The road linkage between Satun and Perlis via Wang Klien and Wang Prachan, which is an alternative to an elevated road across the Andaman Sea, is in the process of preparing for construction.
New CIQ facilities under construction are at Durian Burong and Ban Prakob, as well as the one at Buketa-Bukit Bunga which will serve transportation along the new bridge next year.
Two more bridges linking Malaysia and Thailand across Golok River at Rantau Panjang-Sungai Golok and at Pengkalan Kubor and Takbai are in the process of conducting feasibility studies
For sea linkages, Tammalang Port, Satun Province, and Kantang Port, Trang Province had been further developed. The Ro-Ro port in Dumai was completed and waiting for the interested private sector to operate.
For air linkages, new airports in Indonesia had been developed, namely Palembang International Airport, Minangkabau International Airport and Banda Aceh International Airport.
Second area, trade and investment. The first IMT-GT Plaza had been established in 2006 in Trang Province-Thailand, and the new plazas in Phatthalung-Thailand, in Port Dickson-Malaysia and in Riau Province-Indonesia are currently in the process of establishment in 2008. An agro-business centre in Dumai, Riau Province has also been established.
Third area, tourism cooperation. This year, all the relevant activities have been prepared for the implementation of the Visit IMT-GT Year 2008. The official launching event will be held in Hatyai, Songkhla, Thailand during 11-20 January 2008, including trade and tourism fairs and sport events, and will be followed by at least 42 events in IMT-GT area throughout the next year. These activities are expected to help stimulating economic activities and increase income of the local people from more tourists from within and outside the sub-region.
Fourth, Halal products and services. Several events and activities had been organized in 2007 for example the International Halal Expo held during Maolid Nabi Festival in Krabi Province and the increasing cooperation on Halal Laboratory network in the IMT-GT member countries. The aim of the cooperation is to increase capacity of the three member countries to expand into the global Halal market which is worth 200 billion US dollars per year for Halal food products alone.
Fifth, Human Resources Development. Several exchange programmes had been proposed for reciprocal arrangement, for instances, the seminar to create mutual understanding and exchanging Muslims Culture for Promotion of the Women Participation in the Labor Market, the Technical Meeting on Harmonization of Competency Standard, the Study Visit and Labor Workshop on Labor Management Relations and Trade Unionism.
Sixth, agriculture, agro-industry and environment. Several projects had been proposed for further implementation namely IMT-GT Expo and Seminar for Fisheries to be held in November 2007 in Batam, the establishment of the website of IMT-GT Fisheries Sector and collaboration to deal with land and forest fire in Riau Province.
Apart from the six focused areas, there were two other significant developments.
Firstly, the 6 Provinces in the upper southern Thailand namely Phuket, Krabi, PhangNga, Chumphon, Ranong, and SuratThani were accepted into IMT-GT areas during the 14th Ministerial Meeting and proposed to be endorsed by the leaders at this summit. Thus, the IMT-GT will be expanded to cover 10 provinces in Sumatra Island of the Republic of Indonesia, 8 States in the northern, east coast and western region of Malaysia and 14 provinces in the southern region of Thailand.
This inclusion had enlarged the IMT-GT area from approximately 570 to 593 thousand square kilometer, and also expanded the IMT-GT population size from 67.5 to 69.5 million people. Thus, the new economic corridor, Ranong-Phuket-Aceh economic Corridor, linking new areas and existing areas of IMT-GT had been proposed. Moreover, other new area development programmes such as the Northern Corridor Economic Region (NCER) announced by the Malaysian government will certainly increase the potential of the area and provide more opportunities for cooperation.
Secondly, regarding the directive on the IMT-GT Coordination and Monitoring Centre. The formerly proposed CMC was officially renamed “the Centre for IMT-GT Sub-regional Cooperation (CIMT)”. It is located in Selangor, Malaysia in the initial stage, to coordinate, monitor, and facilitate the implementation of sub-regional programmes and projects under the Roadmap. The structure of the CIMT will be finalized early next year to enable CIMT to be fully operational at the earliest.
Part 3: The Future Challenges and Recommendations for Approval by
the Leaders
Despite the aforementioned progress, the IMT-GT Roadmap has an ambitious vision. Comparing with the total number of proposed IMT-GT flagship programmes and projects in the IMT-GT Roadmap 2007-2011, approximately half of those proposals had been under implementation or conduction of feasibility studies, while the realizations of many challenging programmes are still uncertain.
The challenge ahead in realizing the IMT-GT vision is to increase the capacity to implement the Roadmap and to have a clearer plan of action for strategic areas such as the development of connectivity corridors.
The significant and prioritized issues which were presented to seek support and endorsement from the Leaders are as follows:
1. Endorse the expansion of IMT-GT area to include the proposed six provinces of Thailand.
2. Endorse the official declaration of the Visit IMT-GT Year 2008 and request related government agencies to provide full support for the success of its activities.
3. Accelerate the full operation of CIMT by next year and request ADB for technical assistance and capacity building for its effective operation.
4. Request ADB to provide technical support to prepare action plans for the development of the five connectivity corridors which clearly defines the priority programmes and projects and estimated costs.
5. Request the ADB to discuss with the JBC regarding the possibility to increase access of private sector to sources of fund to implement IMT-GT project.
6. Request the six working groups to be pro-active on important issues such as: the cooperation on alternative energy and substituted energy; reduction of logistic costs along the connectivity corridors; the establishment of special border zone; the official cooperation on Halal standard and certification as well as joint marketing; cooperation on HRD, labor movement and Mutual Recognition Arrangement on labor certification and standard; substantive cooperation on fisheries, livestock, horticulture and related agro-business.
Prime Minister at the Ministry of Foreign Affairs
Press Division, Department of Information Tel.(02) 643-5170
Fax. (02) 643-5169 E-mail : div0704@mfa.go.th End.
-PM-