6.1. At the ASEAN Level
It is a vital trading bloc placing significant emphasis on harvesting full advantage of AFTA through “ASEAN Hub” policy so as to sustain trading and investment base particularly in CLMV. It is implemented by means of establishment of Thailand’s distribution centers and trading firms (Department of Foreign Trade of Thailand 2009).
6.2. At the GMS Level
It is very meaningful for Thailand to be located at the strategic crossroads of the GMS. Thailand has directed policies to foster greater flows in order to increase volume and value of cross-border trade, as well as facilitating both intra-GMS and extra-GMS trade, investment and tourism. Thailand establishes border economic zones along GMS corridors and forges labor cooperation with neighboring countries, as well as seriously negotiating transit trade regime with adjoining neighboring countries in order to facilitate free flow of goods to nearby and farther countries in South East Asian, South Asian and East Asian regions.
6.3. At the Bilateral Level
The cross-border trade patterns are considerably varied, resulting from different stages of development and diverse political and economic systems. As a result, the common bilateral cross-border trade policies towards neighboring countries center around trade facilitation through development of regional transport networks (international highways, Mekong river bridges and ports), improvement of logistic systems along major economic corridors, as well as upgrading facilities at key border checkpoints at international standards.
7. State of Cross-border Trade with Neighboring Countries
Cross-border trade is one of the key indicators of closer economic interdependence between Thailand and neighboring countries. It expanded rapidly following the relaxation of border restrictions stemming from occasional political conflicts (TDRI 1997). Thailand possesses strategic geographical advantages at the junction of the mainland South East Asian region allowing businesses to conduct both cross-border trade and transit trade to a combined total of 2.90 billion people in nine countries, which is divided into two groups of countries. Adjacent neighboring country markets can be transacted through cross-border trade with total prospective consumers of 96.69 million people in four countries comprising of CLMM. And nearby neighboring country markets can be transacted through cross-border transit trade with total prospective consumers at 2.80 billion people in five countries consisting of Vietnam, India, Bangladesh, China, and Singapore. However, there is a dichotomy of border trade activities, which is classified into formal and informal cross-border trade.
6.1. At the ASEAN LevelIt is a vital trading bloc placing significant emphasis on harvesting full advantage of AFTA through “ASEAN Hub” policy so as to sustain trading and investment base particularly in CLMV. It is implemented by means of establishment of Thailand’s distribution centers and trading firms (Department of Foreign Trade of Thailand 2009).6.2. At the GMS LevelIt is very meaningful for Thailand to be located at the strategic crossroads of the GMS. Thailand has directed policies to foster greater flows in order to increase volume and value of cross-border trade, as well as facilitating both intra-GMS and extra-GMS trade, investment and tourism. Thailand establishes border economic zones along GMS corridors and forges labor cooperation with neighboring countries, as well as seriously negotiating transit trade regime with adjoining neighboring countries in order to facilitate free flow of goods to nearby and farther countries in South East Asian, South Asian and East Asian regions.6.3. At the Bilateral LevelThe cross-border trade patterns are considerably varied, resulting from different stages of development and diverse political and economic systems. As a result, the common bilateral cross-border trade policies towards neighboring countries center around trade facilitation through development of regional transport networks (international highways, Mekong river bridges and ports), improvement of logistic systems along major economic corridors, as well as upgrading facilities at key border checkpoints at international standards.7. State of Cross-border Trade with Neighboring CountriesCross-border trade is one of the key indicators of closer economic interdependence between Thailand and neighboring countries. It expanded rapidly following the relaxation of border restrictions stemming from occasional political conflicts (TDRI 1997). Thailand possesses strategic geographical advantages at the junction of the mainland South East Asian region allowing businesses to conduct both cross-border trade and transit trade to a combined total of 2.90 billion people in nine countries, which is divided into two groups of countries. Adjacent neighboring country markets can be transacted through cross-border trade with total prospective consumers of 96.69 million people in four countries comprising of CLMM. And nearby neighboring country markets can be transacted through cross-border transit trade with total prospective consumers at 2.80 billion people in five countries consisting of Vietnam, India, Bangladesh, China, and Singapore. However, there is a dichotomy of border trade activities, which is classified into formal and informal cross-border trade.
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