Saturday, September 19, 2009

Cambodia firm to export chopsticks

Saturday, Sept. 19, 2009

PHNOM PENH (Kyodo) Green Field Cambodia Co. plans to export chopsticks to Japan early next year to meet rising demand in the Japanese market, a company representative said Friday.

Chan Sophal, president of the company, said he signed an agreement Tuesday with Hashiya Co. of Japan to export chopsticks to Japan beginning early next year.

Sophal said a five-hectare factory in Kompong Speu Province, about 120 km west of Phnom Penh, will produce the chopsticks.

The plant will turn out as much as 100,000 pairs of wooden chopsticks a day. They are produced from bamboo, rubber trees, palm trees and acacias. The products will be exported by Hashiya.

San Phiruna, director of multilateral relations department of the Commerce Ministry, said Cambodia is reviewing other possible Cambodian exports to Japan.

The Japanese market will be Cambodia's "next destination" because Japan has given Cambodia duty-free and quota-free export status, he said.

Friday, September 18, 2009

No joy for Thailand three years after coup

By AMBIKA AHUJA,Associated Press Writer
Friday, September 18

BANGKOK – Three years after a bloodless coup that was supposed to end months of bitter political turmoil and restore stability, Thailand is as divided and volatile as ever.

The Sept. 19, 2006, military takeover that toppled Prime Minister Thaksin Shinawatra was greeted with relief by many Thais, especially those who had been demonstrating to demand he step down for alleged abuse of power and disrespect to the crown.

That initial reprieve, however, was followed by the installation of a poorly regarded interim government; an election that returned Thaksin's allies to power and his opponents to the streets, to seize the seat of government and the capital's two airports; and two major riots in the streets of the capital. The instability has scared away foreign tourists and investors at a time when the economy is struggling through the world recession.

The country appears to be locked in an endless cycle of protest and counter-protest by Thaksin's supporters and opponents, even as Thaksin himself remains in self-imposed exile, but still able to rally his fans if only by phone. They will hold a rally this Saturday marking the coup's anniversary.

So insecure is the government of Prime Minister Abhisit Vejjajiva, Thaksin's top rival, that it has invoked a special public security law to allow the military to restore order should the unrest again turn violent.

"The coup turned out to have been easier to execute than to manage. ... Thai politics three years after the coup has become more convoluted, and the stakes have increased," said Thitinan Pongsidhirak, a political scientist at Bangkok's Chulalongkorn University.

Underlying the political wrangling is a growing anxiety about the eventual question of succession since the 81-year-old King Bhumibol Adulyadej has traditionally been the country's unifying figure. Government efforts to shut down debate over the future of the revered monarchy _ through arrests of critics and censorship of the Internet _ have only highlighted the problem.

"Everyone is positioning themselves, and we may see many realignments among the military, the traditional elite, the activists, and various interest groups to protect their interests and ensure the survival of their institutions at the expense of the country," said Charnvit Kasetsiri, one of Thailand's most prominent historians.

On one side are Thaksin's opponents among the Bangkok elite: assorted royalist groups, political activists, middle-class citizens, and elements of the military, many of whom felt their privileges under threat from Thaksin's populist brand of politics as well as his massive business empire. They also accuse the multimillionaire of trying to usurp the king's authority.

The other side includes anti-coup activists who resent the military's meddling in politics, and Thaksin's followers, especially among the poor who benefited from his policies. They often cast the turmoil as a class conflict, describing their foes as the "aristocracy."

Despite efforts to eradicate his influence by dismantling his political party, prosecuting him on corruption charges, freezing his assets and canceling his Thai passport, Thaksin's opponents have failed to dent his popularity among the marginalized poor. Thaksin's supporters demonstrated their faith by voting his political allies into power in a December 2007 election.

Thaksin was the first leader in modern Thai history to systematically address the concerns of the poor with a slew of social welfare plans.

Thaksin's 2001-2006 administration awakened the once-silent rural electorate who now feel that they, too, are stakeholders in the nation's future, analysts said.

"The top-down political submissiveness and contentment with status-quo of the past is gone," said Charnvit. "People are becoming more politically assertive and conscious of their influence."

But it was anti-Thaksin demonstrators who ruled the streets last year, adding to the pressure that eventually forced Thaksin's allies out of office and brought Abhisit to power. Their rivals have since taken a page from their book, staging their own big protests and calling for Abhisit's resignation.

Saturday's rally will see the anti-Abhisit demonstrators repeat their call for fresh elections, claiming that he came to power illegitimately with the help of the military and the judiciary, two pillars of the establishment.

Few expect Saturday's protest to be a tipping point, despite concerns raised by the government.

Analysts said the event is likely to pass without violence, and the possibility of another overt military intervention in the near term is unlikely, after the trouble and scorn their 2006 intervention brought.

But Abhisit's government appears to be at a loss over how to achieve political reconciliation, and Thaksin's supporters are split over how to coherently assert their demands for change.

"There are fewer and fewer options for people who want change, especially if the government continues to try to close the lid on them and pretend everything is well," Charnvit said. "This makes things dangerous and potentially explosive when the right moment comes."

Thursday, September 17, 2009

Contracts law set for Council of Ministers

The Phnom Penh Post
By Chun Sophal
Tuesday, 15 September 2009 15:01

THE long-awaited law on contracts will go before the Council of Ministers for consideration in mid-October, Ministry of Commerce Secretary of State Mao Thora said.

Legal experts from the Commerce Ministry are currently doing last edits on the final draft of the law, he said, adding that he hoped the new legislation would boost confidence in the Kingdom’s legal environment among the business and investment community.

“We hope that the law’s approval will help build up trust in trade and business in Cambodia,” he said.

The proposed law, which consists of 10 chapters and 240 articles, will replace an existing law on contracts, known as Decree 38, that has been in place since October 1988.

Mao Thora said the new law would make it easier for the court to rule on cases involving breach of contract and would also determine appropriate penalties.

Cambodia is required to pass 42 trade laws, including the law on contracts, under the terms of its 2004 admission to the World Trade Organisation.

Mao Thora said Cambodia had so far approved half of the required laws, with the remainder at various stages of completion.

The ministry was scheduled to meet with the International Monetary Fund today to review progress made to date and determine priorities for action, he added.

SRP says Decree 38 not enough
Sam Rainsy Party lawmaker Son Chhay said Decree 38 was insufficient for the needs of the Kingdom’s commercial environment but added that an overhaul of the country’s judiciary was also needed, as it was not sufficiently independent to hear cases fairly.

“I think that the new law is of vital importance, but the government must also make sure that the law is practised fairly in its justice system in order to build up confidence among businessmen and traders,” he said.

The World Bank has also noted the lack of certainty in dispute resolution in Cambodia.

In a 2009 country memorandum, it wrote that many firms took measures to avoid having to enter dispute-resolution processes, such as insisting on payment up front for sales and maintaining high inventories of key inputs.

Eang Sopheak, a lawyer at the Asia Cambodia Law Firm in Phnom Penh, said the absence of many laws made it difficult for judges to make accurate and fair decisions.

“Once we have a law on contracts, judges will have a legal framework to depend on when judging business cases,” he said.