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New Committee to Tackle IPR Violations

A new committee to crack down on Intellectual Property Right (IPR) violations has been set up in April this year. Consisting of individuals from 27 companies in industries such as entertainment and software production, the Prevention and Suppression of Intellectual Property Infringement Committee promises to tackle IPR violations as well as the production and distribution of counterfeit goods.

One of the main tasks of the committee is to create policies and measures to further suppress IPR violations. The committee will also assist the Police in keeping a close watch on any officials or members of the police force who could be abusing the Intellectual Property Act.

The IPR law is one of the key policies in the government’s four-year national economic and social development plan. The plan aims to encourage people to register their ideas and inventions and to regard IPR protection more seriously.

Unanimous Voting for Liability Bill

The Product Liability Bill has passed its first reading in the House of Representatives on May 25, after government and opposition MPs unanimously voted to support the introduction of the legislation. The bill will require more responsibility on the manufacturers’ part as well as the need for manufacturers to prove that their products meet quality standards.

Besides waiving the legal fees of the consumers, the bill also empowers them to sue manufacturers for defective or sub-standard products and services directly. Consumers can also engage the help of the Consumer Protection Board or any of the four registered consumer rights groups to act on their behalf. The Product Liability Act would come into effect after it is passed by the parliament and one year after its announcement in the Royal Gazette.

Amended Criminal Procedures Get Majority Vote

A draft bill seeking amendments to the Criminal Procedures Code to protect women who are witnesses or victims in criminal cases has passed its first reading with a majority vote in May this year. However, some concerns were raised about the provisions in the bill which was passed by the House of Representatives.

A Democrat MP raised the issue of allowing closed-circuit television or video conferencing in witness examinations, arguing that the judge would not be able to tell if a witness was dictated to or not. He also pointed out that since female police officers were not available in some provinces, having only female interrogators to perform interviews on sexual assault victims was impractical. The Justice Minister, however, defended the bill, saying that female interrogators would be provided by the Royal Thai Police Office to examine female victims in such cases.

Anti-Money Laundering Law to be Amended

An official from the Anti-Money Laundering Office (AMLO) has announced late July that the anti-money laundering law will be revised to include more offences and to give AMLO authorities more power for arrests and investigations. The offences added under the new amendment concern natural resources, the environment, wildlife, foreign exchange, gambling, weapons of war, labor fraud, bidding collusion, share manipulation and excise-tax offences. The amendment will be tabled for House deliberation in August after it has obtained Cabinet approval.

Cabinet Approves Proposal for Two-Year Waiting Period Exemption

A Finance Ministry’s proposal to exempt missing persons of the tsunami disaster from the normal two-year waiting period to qualify for missing-person status has been approved by the Cabinet on 24 May. With the exemption, said the Justice Minister, relatives of missing persons would be able to request for court approval to become the executors of the missing relatives’ assets with minimal delay. According to the Minister, the bill is expected to be passed in three months and the House might pass it in three straight readings.

Financial Liberalization not included in Thailand-US FTA Talks

A senior financial official has announced in July that financial liberalization will be not discussed in the fourth round of free-trade agreement (FTA) talks with the US, as the financial industry is not ready to compete head-on with US firms.

The Director-General of the Fiscal Policy Office said that the Financial Master Plan supports a gradual liberalization that matches Thailand’s level of development so as to ensure economic stability. He added that the country’s sovereignty in macro-economic policies or any policy regarding financial, economic or foreign exchange stability, would not be compromised by the deal. This round of negotiations also includes investments, trade, labor and services.

Customs Department: Tax Procedures Revised

To help improve trade data accuracy, the Customs Department has revised tax procedures for oil imports in July this year. With the new revision, oil importers must now settle their tax liabilities within one to two days after the shipments are imported. Authorities would then be able to have a more accurate picture of market demand.

Previously, traders were given a timeframe of up to one month to settle oil import tariffs. Importers will have to pay penalties equivalent to one per cent of the monthly shipment value if they do not comply with the new tax regulation.

Protection Laws for Thai Knowledge, Food and Customs Needed

According to a report submitted to the Foreign Ministry’s International Economics Department in June this year, Thailand is in need of new laws to safeguard its traditions, knowledge and folklore from foreign exploitation. Thai culture and respond to conservation, including the protection of individuals and community rights, should be reflected in the legal structure. One high priority area would be food, as it is an area very likely to be affected by a free-trade agreement with the US.

BOI: EU Partnership Program for 300 SMEs

This November, 300 small-to-medium sized enterprises (SMEs) selected by the Board of Investment (BOI), will participate in the “EU-Thailand Partenariat 2005” event. The event will provide opportunities for the 300 SMEs to form business alliances with over 200 European companies.

A BOI spokesperson said that BOI representatives will be visiting the participating European countries to promote the business potential of the 300 Thai SMEs. The Thai companies taking part in the event come from industries such as agriculture and agricultural processing, machinery and equipment, automobile and auto parts, electronics and ICT, fashion, and value-added services.

The EU is the second largest investor of Thailand in terms of investment value. For the first half of the year, European countries have received BOI approval for projects worth Bt15.74 billion, a 15.5 per cent rise from last year. As for trade with Thailand, the five most important European countries are Germany, England, France, Italy and the Netherlands.

New Law: More Empowerment for Premier

The new law proposed in May to replace martial law in the violence-stricken South will provide a mandate for the Prime Minister and his cabinet to declare emergency zones nationwide, said the Deputy Prime Minister (DPM) at a meeting with representatives from various government agencies.

The legislation would empower the cabinet to declare an emergency zone in any area in the country. A civilian committee would then be established to handle the situation as well as to put forth measures which could be taken by the government within that zone.

Under the new law, emergency situations will be classified as low level, middle level and high level. He gave examples of the emergency classification: low level for areas affected by natural disasters; middle level for situations akin to the situation in the deep South; and high level for situations such as the tsunami disaster or large-scale terrorist attacks.

According to the DPM, the Prime Minister could declare an emergency zone and seek the approval from the cabinet later if the Prime Minister could not convene with his cabinet in time. In the case whereby cabinet approval is not granted in the allowed timeframe, the declared zone would revert back to its original status. He added that the law had been drafted as a bill to be promulgated by the Parliament, but the government might consider enacting the law as a decree.

Cabinet to Review Legislation for Fossil Protection

A draft bill for conserving fossils in Thailand will be reviewed by the Cabinet in May. Among the issues included in the bill are calls for jail terms of up to 10 years or a one-million-baht fine for unlawful fossil exporters; new zoning rules for fossil excavation; a ban on the export and sale of fossils; and establishing a fossil-management foundation financially independent from the government.

The draft, which will authorize the creation of a national registration system and the setting-up of a research center to study and exhibit fossils, will be tabled by a screening committee led by the Deputy Prime Minister. The draft will also allow officials to investigate unlawful fossil digs as well as cases whereby prehistoric relics are used for commercial gain.

Thailand-Hong Kong Tax Treaty to Benefit
HK Companies

The proposed Thai-Hong Kong Double Taxation Agreement (DTA) will come into effect from next January if the treaty is signed by both countries by year-end. Commenting on the impending tax treaty, one of Thailand’s top tax lawyers said that Hong Kong companies are likely to benefit significantly from the DTA with the Kingdom. The DTA will give Hong Kong companies a competitive tax advantage; an advantage that Singaporean companies have been enjoying since Thailand signed a DTA with Singapore more than a decade ago.

At present, most of the foreign corporation share-trading on the Stock Exchange of Thailand (SET) is routed through Singapore because of the existing DTA between the two countries. Without the DTA, Hong Kong traders are inclined to trade less in SET stock because their corporate clients’ corporate gains are subjected to a 15-per-cent withholding tax.

Ministry to Curb Commercial Exploitation with Heritage Patents

The Culture Ministry is seeking to amend an existing law to counter commercial exploitation of heritage sites, including temples, by hotels and resorts in Thailand. A spokesperson from the Ministry said in May that changes to prevent the exploitation of Buddhist art, architecture and local wisdom would be proposed. The Ministry will also recommend national heritage sites and apply for patents to protect the intellectual property of Buddhist art and architecture.

DPM: Central Law to be Written by Academics, Officials and the Military

The Deputy Prime Minister (DPM) has announced in May that a new central law to deal with “uncommon situations” within Thailand would be written by academics, government and security officials as well as the military. Such “uncommon situations” include the violence in the South of Thailand, where martial law is being carried out. This new law could also give security forces legal rights to carry on certain security operations in the southern Muslim-dominated provinces once martial law is lifted.

The DPM said that there is a need for a central law which could be enforced anywhere within the country when faced with a crisis or an emergency. Its enforcement, however, would have to be endorsed by the cabinet and during an emergency, the law could only be applied for a limited timeframe by the respective authority.

The DPM also said that no one authority would be given unlimited power and that the amount of “power” to be exercised would be decided by the law. He added that the new law would replace martial-law rule in the South but it does not mean that the martial law system would be abolished.

AG Office Seeks Amendment to Criminal Procedure Code

The Attorney-General’s Office is proposing an amendment to the Criminal Procedure Code to let prosecutors participate in the whole investigation process. Under the current system, the prosecution is not allowed to participate in the initial investigation; they can only investigate a case with the police only when it involves a child suspect and it is under the jurisdiction of the Department of Special Investigation.

The Office spokesperson said in May that this impedes the process of solving the case for the prosecutors. He added that the agency would be seeking the opinions of academics for the legal amendment on the code which has not been amended for 80 years. Meanwhile, the prosecutors have created an ad-hoc committee to work in tandem with the police when collecting information pertaining to cases while the law is being amended.

New Legislation for Protecting Consumers from Defective Cars

Defective car buyers will have the right to ask for monetary refund or a vehicle replacement under the new law currently being drafted by the Ministry of Industry. The new legislation is based on the commonly known “California Lemon Law”, where consumers are given legal rights to ask for a refund or a car replacement if the vehicle fails to be repaired after a reasonable number of attempts.

A recent incident where a Honda sports utility vehicle owner smashed her car in protest after the local distributor’s refusal to replace her problem-ridden car has rattled consumer confidence in locally-assembled vehicles, said the Industry Minister in June this year. He said that with the new law, car buyers would be protected and Thailand’s image as a regional production hub of the automotive industry would be restored.

In the meantime, the Minister has set up a committee to mediate disputes on defective vehicles between car buyers and distributors, while awaiting for the law to be put in place.

Ready in Six Months - Guidelines and Service Fees for Telecom Sector

Speaking at a public forum on the 2005-2007 telecom master plan on June 9, a National Telecommunications Commission (NTC) spokesperson said that competition guidelines and service fees in the telecom industry are likely to be ready within six months. The NTC also plans to issue operating licenses to two telecom powerhouses, TOT Corp and CAT Telecom, in July. To ensure fair competition, the two telecom companies are seeking for the conversion of concession contracts with their private telecom concessionaires to fee-based charges for state concession holders.

Industry Ministry Calls for Amendment to Factory Act

Senior industrial officials are seeking to amend the 1969 Factory Act which stipulates regulations for factory construction and operation, expansion and safety. Under the current Act, only the Department of Industrial Works is authorized to carry out inspections.

According to Ministry officials in May this year, the changes sought would help to accelerate the licensing process and reduce the workload of the Department. Compliance with licensing laws could also be ensured if factory and machinery inspections could be performed by private inspectors. The Factory Act has been revised four times to date - the most recent in 1992, where strict controls on industrial pollution were brought into effect.

US Department of Commerce: Thailand Guilty of Plastic Dumping

The US Department of Commerce has ruled in March that plastic imports from Thailand, India and Indonesia used for bottle-making were dumped on the US market. Based on the calculation by the Department, the dumping margins for Thailand range from 24.83 to 41.28 per cent. While awaiting the final injury determination due in April, US customs agents will collect a cash deposit or bond of dumping margin equivalent on any imports in question. If a negative determination is reached, the money collected will be returned.

Fifteen-Year Battle for Community Forest Law

The 15-year battle to push for the community forest bill has made little progress, said Bangkok senator, as he told a seminar in June this year. Factors such as non-supportive government policies, poor knowledge of the law as well as the lack of understanding from conservationists have contributed to the slow progress. A senate committee is currently reconsidering changing the controversial point in the bill where indigenous communities could not be located in conserved forests. If the change takes place, the bill might be passed into law, said the senator.

Democrats Push for Constitutional Amendment

The Democratic Party is seeking support from senators and other political parties to push for a constitutional amendment whereby political parties are prevented from influencing the recruitment processes of influential independent organizations. The Party claims that by preventing political parties from participating in the selection committees which nominate the candidates for Constitution-based organizations, political interference would be minimized. However, the government has objected to the idea of a constitutional amendment, saying that such an amendment was unnecessary.

Ministry to Clamp Down on Begging Gangs

The Social Development and Human Security Ministry is proposing a new law to stamp out begging in Thailand, and it is planning a major crackdown on the begging gangs in 13 problem areas in Bangkok. Starting end of May in Bangkok, the clampdown will target gang leaders, those who exploit the disabled, elderly and children, as well as those who use animals to beg. Thai beggars will be reunited with their relatives and jobs would be provided for them; they will also be closely monitored by the officials.

Non-Thai nationals will face deportation and would not be allowed to return to Thailand. A Ministry spokesman said that similar clampdowns would follow suit in other provinces at a later date.

Unsafe Billboards: Operators Exploit Loopholes in Building Control Law

A Bangkok Metropolitan Administration (BMA) report in May found that more than 100 large billboards on private property around Bangkok did not pass safety inspections. According to the report, the Bang Kapi district has the highest number of sub-standard signboards, followed by the business district of Bang Rak.

Speaking at a talk on hazardous billboards held by the Thai Society of Environmental Journalists, the Bangkok Deputy Governor said that operators made use of the legal loopholes present in the existing building control law to erect these unsafe billboards. He added that billboard operators should pay close attention to public safety awareness and not solely focus on their profits.

Under the law, billboards less than 40 meters in height are required to sustain a wind speed of 120 kg per square meter. However, according to the Meteorological Department, the average wind speed in and around Bangkok is 150-190 kg per square meter.

Workers Call for Independent OSH Institute

Workers are renewing their calls for an independent occupational safety and health institute to be set up and run by occupational health experts. According to a spokesperson for the group looking after employees with work-related illnesses, many workers have been exposed to health risks at their workplace but they have not received any treatment from occupational health medical experts.

The spokesperson also claimed that the authorities have failed to put up measures to prevent work-related accidents in spite of the rapid expansion of industrial factories in Thailand. During 2003-2004, more than 200,000 workers had been injured in work-related accidents. In response, a Labor Ministry Official said that a draft bill for setting up the institute is being considered by the parliament.