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T H E M AG A Z I N E O F T H E G E R M A N - T H A I C H A M B E R O F C O M M E R C E

E DAT P U ! D R E A E TODAeYn/ IN e/ ONLthailand.ahk.d / http:/

BANGKOK MEGACITY Bangkok becoming a megacity as BTS Skytrain expands to urban satellite areas

Bangkok facing major challenges as a megacity

GTCC Gala Night 2016: A Night Out on Mainau


Organizer:

German-Thai Chamber of Commerce Gala Night 2016 The German-Thai Chamber of Commerce team wishs to extend its sincere gratitude to all distinguished sponsors and supporters of our GTCC Gala Night 2016 under the theme “A Night Out on Mainau�. This spectacular night would not have been possible and successful without you! We look forward to your continued co-operation in the near future.

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DEAR READERS Many capital cities in developing countries are growing into megacities and their consumption rates are enormously rising. As of 2015, there were 35 megacities in the world, including Bangkok. With an annual growth of 1.1 per cent, it is estimated that the number of Bangkok’s inhabitants will reach 10.01 million by 2025. The city’s metropolitan area is in rapid transition and increasingly facing challenges, particularly in terms of population and resource management. In this issue of Update, we provide an overview of “Bangkok Megacity” and its development aspects as contributed by GTAI, Bosch, Juslaws, and Siemens. Their articles illustrate Bangkok in various dimensions, ranging from the extension of infrastructure to the regulatory framework. The German-Thai Chamber of Commerce (GTCC) is also moving forward. Thanks to our supporters who always stand by us at all major events. Our recent Gala Night, “A Night Out on Manau”, turned out to be very successful. Together we raised substantial funds to contribute to Yaowawit School’s activities for disadvantaged children. During the past three months, GTCC successfully organised several activities, including a human resources seminar on “How Do You Measure Candidates’ Intelligence”, a business delegation on solar PV, a GTCC Extraordinary General Meeting. In co-operation with the German Embassy, GTCC was also proud to hold an exclusive meeting of GTCC members with H.E. the Prime Minister of Thailand, Gen. Prayut Chan-o-cha on 27 May 2016. In addition, a business luncheon with Dr. Eckhard Franz, Director-General, "External Economic Policy", German Federal Ministry for Economic Affairs and Energy, was organized and followed by joint economic consultations and a meeting with government officials representing Thailand’s Ministry of Commerce, Ministry of Education, and Ministry of Science and Technology, on 1-2 June 2016. Therefore, high-ranking representatives from the German-Thai business community could express their concerns and expectations of their respective business sectors directly with policy-makers in Thailand. Following the establishment of the ASEAN Economic Community (AEC), GTCC understands the significance of building regional networks and is extending co-operation with other German bilateral chambers in the region. Major collaboration has included our contribution to the ASEAN Newsletter initiated by the Singaporean-German Chamber of Commerce as well as the co-hosting of a business event on Myanmar with the Delegation of German Industry and Commerce in Myanmar. We are also planning to organise a visit to Myanmar by a business delegation, scheduled for 26-28 November 2016. Growth definitely comes with changes. GTCC is determined to improve our communication channels including a plan to launch an e-newsletter soon. Changes in the layout design of Update have already made visible in order to make the magazine more appealing and readable to our readers. I hope you like this new look and enjoy reading this issue! Best regards,

Dr. Roland Wein Update is published quarterly by the German-Thai Chamber of Commerce and distributed free of charge to members and qualified non-members in Thailand and abroad. Subscription is also available at an annual rate of US$75 (airmail). Payment can be made in cash or by cheque to the German-Thai Chamber of Commerce, Empire Tower, 1 South Sathorn Rd., Bangkok 10120, Thailand. Tel.: +66 2 670 0600. Fax: +66 2 670 0601. E-mail address: info@gtcc.org. Any opinions expressed in articles in this magazine do not necessarily reflect the views of the Chamber. Update welcomes story and photo contributions from members and non-members alike. Articles may be reproduced with acknowledgement, except for those taken from other sources.

Circulation per issue : 2,000

Publisher/Editor-in-Chief: Dr. Roland Wein Editor & Communications Director: Chadaphan Maliphan Advertising Director: Ganya Aparaks Design & Layout: Sorapol Liengboonlertchai Sub-Editor: Tony Oliver


Organizer:

SAVE THE DATE Friday 28 October 2016 18:30 - 01:00 hrs., Shangri-la Hotel, Bangkok Partners and Sponsors:

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CONTENTS

16

Megatrends pushing the need for efficient mega infrastructure

24 Photovoltaic and grid-integration business delegation

32 GTCC site visit to PowerTech 2004

36 Centralised Final examination in

automotive mechatronics by GTDEE

51 bauma China 2016: Leading event for the construction industry

BANGKOK MEGACITY

GTDEE INSIGHT

06 Bangkok becoming a megacity as BTS Skytrain

37 Sub-committee on Standards and Certification

09 Bangkok facing major challenges as a megacity

37 MoU signing ceremony between GTCC and

expands to urban satellite areas

12 Huge potential of construction and infrastructure sectors for Thailand’s AEC hub role

BUSINESS BRIEFS 20 Siemens, BTSC sign contract for 22 new four-car trains

21 M+W Group holds mid-year client cocktail reception

CHAMBER ACTIVITIES 23 Meeting with the Prime Minister of Thailand 26 Ice-Breaker Networking – Energy Efficiency 26 Business Meetings with Dr. Eckhard Franz

Meeting

KMUTNB

38 GTDEE, GIZ In-Company Training Project for the Mekong region

MEMBERS’ CORNER 42 New GTCC Members 45 New Members Orientation Programme, No. 7

TRADE FAIRS 48 InnoTrans 2016 49 Chillventa 50 EuroBLECH 2016 51 bauma China 2016 52 Spielwarenmesse 2017

OUR ANNUAL PARTNER:


Photo credit: www.property.thaivisa.com

06 BANGKOK MEGACITY

BANGKOK BECOMING A MEGACITY AS BTS SKYTRAIN EXPANDS TO URBAN SATELLITE AREAS Contributed by Dr. Waldemar Duscha, Germany Trade and Invest

The growth of Thailand’s Bangkok Metropolis appears to have no limits, either horizontally or ver tically. The public transpor t system will provide significant leverage through the expansion of the BTS Skytrain network by 230 km, at a cost of around US$ 10 billion, due for completion in 2020. The MahaNakhon Tower has reached a new height record, with the Rama IX Super Tower already close behind. Bangkok’s International Suvarnabhumi Airport is expanding its capacity by 30 per cent to serve 60 million passengers per year.

Thailand’s Bangkok Metropolis is changing at great speed, making it difficult for city planners to adjust the urban infrastructure. This is especially evident from the dirty canals and massive traffic jams on the streets, whereas public parks and recreational facilities are difficult to find. Buddhist tranquility was replaced long ago with Asian hustle and bustle. Skyscrapers containing fully air-conditioned office towers and luxurious shopping malls are shooting up like mushrooms, and are responsible for huge levels of ener gy consumption. Only a few oases exist as reminders of the contemplative old time – such as the house of Jim Thompson, founder of the Thai silk handicraft business. Cur rently, Bangkok has an estimated population of 8.9 million, but, in fact, close to one third more appear to be an unregistered “hidden population”. Together with the six neighbouring provinces – directly linked through the existing and proposed extension of the public transport system – there are

UPDATE 3/2016


BANGKOK MEGACITY 07

ROBUST DELUXE CONDO MARKET The attractiveness of the metropolis is underscored by the persistently strong demand for high-end real estate. According to Nexus Property Marketing, about 4,000 luxury condominium units have come on the market in the past five years, including 2,500 units during the past year alone. For 2016, Nexus sees the completion of nine new high-rise real estate projects, including four deluxe proper ties. Recently, record prices have been achieved for condominiums alongside the Chao Phraya River, such as the Canapaya, the 333 Riverside, the Magnolias Waterfront Residences and the MahaNakhon Tower. According to real estate agent CBRE, more than 53,000 condominium units were completed in 2015 and another 61,000 units are expected to be completed in 2016. The cumulative number of condominiums in Greater Bangkok currently amounts to about 500,000 units, of which around 60 per cent are in the city outskirts, mostly located near MRT and BTS Skytrain stations. The Sukhumvit, Lang Suan and Sathorn areas are the most popular locations for high-rise condominiums, while the areas around Soi Ari, Phahonyothin Road and Rama IX Road are very popular for low-rise single house and townhouse projects. Relatively few new office buildings are being developed. According to CBRE research, 200,000 m2 of new office space is expected to be completed in 2016; as result, demand is expected to exceed supply, and rents are expected to continue rising. The main reason is that condominiums in prime locations have achieved higher sale prices, thereby generating better returns on investment. The Thai National Board of Investment, however, promotes the demand for office buildings through tax incentives for the establishment

of international operating headquar ters, international headquar ters as well as international trading centres.

A CHANGING SKYLINE The Rama IX Super Tower is going to be the new landmark of the emerging Bangkok megacity. The US$ 550 million project is managed by developer Grand Canal Land, w h i ch i nc lud e s majo r s hare ho ld e r s Charoenkrit Enterprise (37 per cent) and the Channel 7 Group (33 per cent). The Tower is being designed by Architects 49 and has been developed in line with the ecological requirements for Leadership in Energy and Environmental Design (LEED) certification – the highest LEED rating. The building, with its premium office space and a 6-star hotel (260 rooms), will be an integral component of the new Business District “Grand Rama 9” development.

“…Bangkok Metropolis is changing at great speed, making it difficult for city planners to adjust the urban infrastructure.” The Rama IX Super Tower

The Rama IX Super Tower, which will stand 615 metres in height and have a total of 125 floors, will be the tallest skyscraper in SouthEast Asia. ASEAN's current tallest building is the Petronas twin towers in Kuala Lumpur that are 452 metres high with 88 floors. The MahaNakhon Tower in the Sathorn central business area of Bangkok, with its 77 floors and height of 314 metres, will create a new record upon completion in 2016. The building was designed by a multi-award-winning designer team including German architect Ole Scheeren.

BTS BRINGS SUBURBS CLOSER The urban passenger transport focus is on the expansion of the BTS Skytrain, which runs on high concrete piles through the most populous areas of the city. A dozen new BTS lines for the entire Greater Bangkok area are on the agenda. According to The Nation newspaper, four lines are already under construction, one line is under tender and six lines are expected to complete their bidding processes soon, while the last project is stuck at the preliminary study stage. The entire network expansion stretches more than 230 km with a construction cost of around US$ 10 billion. Among the Green, Purple, Pink, Orange, Yellow and Red Lines, the 37.5 km Orange Line (Taling Chan-Thailand Cultural CentreMin Buri) is the longest section. Photo credit: www.news.asiaone.com

estimated 14 million inhabitants. According to the latest WorldBank report, the urban population has, in fact, grown to 9.6 million in the urban area to 2,700 km2. Sixty per cent of the urban area is located outside the boundaries of the Bangkok Metropolitan Administration area. The Bangkok urban area alone accounts for 80 per cent of the total urban area in Thailand.


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Photo credit: www.junjao.com

Critical to the power requirements of the expanding BTS system as well as satisfying the overall fast-growing electricity demand in Greater Bangkok, the ongoing construction of a second power generation plant will help to boost the efficiency and security of the power supply system. The North Bangkok Combined Cycle Power Plant Block II, worth almost US$ 500 million, will contribute a further 850 MW to generating capacity and is expected to be completed in 2016. The construction contract was awarded to the Alstom and Sumitomo Corporation consortium.

SUVARNABHUMI AIRPORT EXPANSION The major international Suvarnabhumi Airport has a new passenger terminal located north of Concourse A. Recently, the investment costs were estimated by the operator, the Airports of Thailand (AoT), at around US$ 730 million. The new terminal will raise passenger handling capacity to 60 million passengers per year from the current 45 million. The original plan for the second expansion phase at a total cost of US$ 2.4 billion has been postponed. AoT is also considering a proposal to build a third reserve runway with a length of between 2,900 and 4,000 metres.

UPDATE 3/2016

In 2015, around US$ 60 million was also invested in the renovation of Terminal 2 at the smaller Don Mueang Airport, which will increase passenger handling capacity to around 30 million a year from the current 21.6 million. Terminal 2 is reser ved for domestic flight check-in. Renovation of Terminal 1 will then begin, after which it will be reserved for international flight check-in.


BANGKOK MEGACITY 09

BANGKOK FACING MAJOR CHALLENGES AS A MEGACITY Contributed by Robert Bosch Ltd., Thailand

Picture: MahaNakhon Building, Photo credit/Source: PACE Development Corporation Plc

Of the many changes to our world during the twentieth century, one of the most profound was the transformation of human settlement systems. For the first time in human history, more than half of the world’s population is urban following a century of massive migrations from rural hinterlands to burgeoning cities. In this urban transformation of the globe, one of the most dramatic and momentous developments has been the emergence of giant cities, often referred to as megacities. It is estimated that by 2050, 70 per cent of the world’s population will be living in urban areas. Bangkok is ranked 38 on the list of the largest cities and urban areas, with an annual growth of 1.1 per cent and an estimated population of 10.01 million by 2025. The demands arising from such change are numerous. The principal challenge will be how to deal with this complexity and diversity as well as the increasing number of people that will populate Bangkok’s streets, not only from the technical perspective but also the economic, political and social aspects. Considering the fact that rural-urban migration generally leads to economic growth, there is a strong incentive for nations to urbanize. As a dynamic and emerging market economy, Thailand has recorded strong growth during recent decades and the country is expecting to continue doing so; however, this growth has come with high environmental costs. The challenge, therefore, is to improve the environmental outcomes while supporting continued urban growth in terms of output and living standards.

An important foundation that comes with increased population is the creation of more living space by constructing high rise buildings. Bangkok has 52 150-m+ buildings (10 under construction) and two 300-m+ buildings. The Bayoke Tower (304 m) will soon be replaced as the highest building in Thailand, as the MahaNakhon building, which is still under construction (estimated completion in September 2016), will reach 314 m. High-rise condos are very popular in Bangkok, as they (a) are mostly reserved for prime locations in the centre of the business districts and on main roads, (b) offer more luxurious facilities and services and (c) provide extraordinary architecture, technology and lifestyles. Some buildings use “smart” construction materials that can dynamically control heat and light as well as provide the highest standard of fire and earthquake protection together with advanced wall systems that keep out sound. In addition, elevators are directly associated with skyscrapers. Although many people get stuck in elevators every day, they are not only the most widely used but also the safest means of transportation in the world. In future, lifts won’t just move up and down but also sideways, with high-tech cables replacing conventional steel cables. Magnetic fields may also be used. However, more problems appear when people leave their houses – very heavy traffic volumes caused by bus, car and motorbike journeys made Bangkok one of the worst cities in the world in terms of congestion and air pollution caused by vehicles. During the rush-hours,

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the city’s motorcycle taxi drivers are about the only form of road transport that has the chance of arriving anywhere on time. By establishing a rail transit system, the BTS project has contributed to the development of the suburban areas and mitigation of congestion problems in Bangkok’s city centre. However, since the “Skytrain” can barely cope with the volume of passengers, (~70.000 people ride the BTS per hour), expansion of the railway network has already been put into effect. In addition to increasing greenhouse gas emissions, air pollution and traffic congestion, the Bangkok Metropolitan Region’s green growth challenges include the depletion of natural assets, management of wastewater and solid waste, and high exposure and vulnerability to seasonal flooding. Therefore, demographic transformation and climate change demand highly flexible infrastructure. The long life span (up to 80 years) of a large propor tion of current networ ked infrastructure, par ticularly par ts that are buried underground, makes this challenging. In future, it will be impor tant to design networks, systems and equipment in such a way that they can be adapted to, or built around, changing conditions at minimal cost. As with climate change, urban planning and housing policy must give greater consideration than in the past to this aspect and, above all, be prepared for extreme weather events. The challenge is to make towns as resistant to this problem as possible, and to safeguard particularly vulnerable areas next to rivers and coasts. In particular, the low-lying city of Bangkok, which is built on swampy ground, needs to be protected to prevent the constant sinking. Given the current massive construction levels, the life span of building designs and structures is a key consideration, as is th e ir adaptab i l i t y t o ch a n g i n g requirements. This requires innovation in construction materials in accordance with the lifestyle of an increasingly pluralistic society. The business of established institutions is being called into question in the light of new business models that favour a “using instead of owning” approach that facilitates variable tariff systems that respond to the respective economic, environmental and social needs of all parties.

UPDATE 3/2016

“ Bangkok is ranked 38 on the list of the largest cities and urban areas, with an annual growth of 1.1 per cent and an estimated population of 10.01 million by 2025. The demands arising from such change are numerous. The principal challenge will be how to deal with this complexity and diversity....” This approach not only includes temporary operating and leasing concepts for buildings and infrastructures, but also for vehicles in the form of car-sharing services. Companies that are able to technically achieve, measure and assess this will have a clear competitive advantage. A technology company such as BOSCH is not exclusively considering the technical development of infrastructure. In designing the living spaces of the future, it is giving equal consideration to the adaptation of sensors and software solutions in future infrastructure and services. In addition to these innovative instruments, elaborated megacity infrastructure demands an increased level of “livability”. When it comes to life quality, cities such as Vienna, Zurich and Auckland have topped the various rankings, thanks to the wide availability of goods and services, low personal risk and efficient infrastructure. Bangkok is still ranked at 129 in quality of living, but is already attempting to improve this. Although the capital has just 2.2 m² of usable green space per person (which is a far cry from the

Picture:Yannawa Riverfront Project Photo credit: www.yannawariverfront.org

39-m² average among the 22 cities surveyed in the 2011 Asian Green Cities index), a new project to increase Bangkok’s quality public space is the opening up of sweeping portions of the waterfront along the Chao Phraya River for public use. The “Bangkok River Promenade” project will create 7-km-long promenades on each bank of the Chao Phraya. If this is successful, they will be tripled in length, reaching upriver beyond Bangkok. The plan for the Thai capital is the latest move across Asia to transform abandoned riverfronts into urban spaces, similar to what has already been done in Singapore with the Marina Bay waterfront. However, in terms of community flavour and creative dynamism, nothing beats the area between Klong San and Bang Rak districts – a spot that is set to be officially recognised as Bangkok's first “creative district”. The historic quar ter is home to ar t galleries, design studios, cultural attractions such as temples, mosques as well as markets and communities that date back more than a century.


BANGKOK MEGACITY 11

Finally, problems of humanity are clearly visible in megacities. Much untapped potential remains, but these cities can also be seen as centres of growth and research laboratories of the twenty-first century. German companies are known for their high level of technical exper tise and there are great economic relations between Germany and Thailand. The resulting opportunities could be German Tech industries contributing to the creation

of efficient and networked infrastructure that provides the basis for the success of these cities. Bangkok in 2020 will be a modern, smar t city. Urban planning, ecology and information technology will reach into ever y neighborhood and improve citizens’ quality of life. Sensor-based systems (see also application areas in the figure) are already in

place in many municipalities and regions all over the world. Since the “Internet of Things” (IoT) technology will be ready to take off in Thailand next year (boosted by the arrival of 4G wireless broadband networ ks), Bangkok will be generating huge amounts of data to help in finding a parking spot, conser ving water in parks, monitoring transport, crowds and pollution levels, and to keeping us safe.

Picture: Libelium Smart World Sources: World Health Organization, 2016, Global Health Observatory; Brookings Institute; Global Metro Monitor Map 2014; Mercer; Council on Tall Buildings and Urban Habitat. Research Report, 2014; World Bank report. East; Asia’s Changing Urban Landscape: Measuring a Decade of Spatial Growth; City majors statistics; Economist Intelligence Unit; OECD; the Bangkok Post; and the websites at www.cleantechnica.com, www.nationmultimedia.com and www.straitstimes.com.

Contact details: Mr. Joseph Hong, General Manager; Ms. Raffaella Hausmann, Project Manager, Special Projects Robert Bosch Ltd., Thailand Tel: +66 2 639 3101 joseph.hong@th.bosch.com; www.bosch.co.th

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HUGE POTENTIAL OF CONSTRUCTION AND INFRASTRUCTURE SECTORS FOR THAILAND’S AEC HUB ROLE Contributed by Jus Laws & Consult (J&C) Thailand is one of the top 50 economies worldwide and has been ranked third among ASEAN countries in the ease of doing business. According to the Davos World Economic Forum 2016, Thailand is the world’s best place to start a business. Thailand is the gateway to the Association of Southeast Asian Nations (ASEAN) region as its strategic location gives access to a market of more than 625 million people in ASEAN and 2.5 billion consumers in the Asian region. Bangkok is by far the country’s biggest city with a highspending middle class and it is the country’s economic engine. Due to its fast growth, Thailand is seriously committed to developing its key infrastructure in order to enhance sustainable growth in the long term. The Thai construction industry registered a solid annual growth rate (CAGR) of 6.03 per cent during 2009-2013. Furthermore, after Thailand was proposed by the ASEAN Economic Community (AEC) in 2015 as its regional hub, the construction market was projected to grow at a rate of 3.19 per cent, 1

and a number of independent firms have forecast a 9.15% CAGR. 1 Despite some temporary internal political problems, the Government of Thailand has allocated nearly US$ 100 billion for the ongoing infrastructure development plan (2014-2021).2 Thailand’sconstruction industry is expected to increase in value, to reach US$ 19.9 billion in 2019, with construction becoming the second-largest industrial sector. 3 Today, the infrastructure a n d ci v i l c o ns tr uc tio n s e c to r s are experiencing solid growth in Thailand and in the authors’ opinion there are two main reasons that explain this tendency. The first reason is the importance of the tourism and hospitality sector to Thailand’s economy. Basically tour ism makes a contribution of 10 per cent to the country’s gross domestic product (GDP) and it is projected to rise to Baht 4,496.7 billion by 2025. 4 The Government needs to modernize the key infrastructure of the country such as

"Construction in Thailand – Key trends and opportunities to 2018", Research and Markets, November 2015. market in Thailand, 2015-2019”, Technavio, July 2015. 3 “Growth forecast for Thai construction”, Mike Hayes, International Construction, November 2015. 4 “Travel & Tourism – Economic Impact 2015 Thailand” World Travel & Tourism Council, London. 2 “Construction

UPDATE 3/2016

airports, ports and motorways in order to prepare for the sheer mass of expected visitors. The regulatory environment is an important factor if the country wants to fully capitalise on its natural attractiveness to visitors from all over the world. The second reason for the solid growth of construction and infrastructure is the policy formed by the Government in May 2014 to consolidate its policy towards modernizing the country. One of the largest infrastructure projects in Asia will begin in 2016, i.e., the double-track railway project that will link China and Thailand. The project is part of the Pan-Asia Railway Network's central route, which will connect the countries of China, the Lao People’s Democratic Republic, Malaysia, Singapore and Thailand. In addition, the Transport Ministry announced that 17 infrastructure mega-projects with a value of Baht 927 billion will be tendered in 2016 and 2017.


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“ The expansion of Bangkok’s mass transit system will result in a ratio of routes-to-population that is close to that of Tokyo. Bangkok as a hub for trade and traffic in the ASEAN region will become more attractive to investors as its inner connectivity improves.” Another example of the infrastructure projects announced by the Government is the Phaholyothin Transportation Hub Area project, which is also an example of publicprivate-partnership (PPP). The project is intended to attract Baht 20 billion for railway transport, commercial buildings, metro lines and rapid transit bus hub covering an area of 372 hectares in northern Bangkok. 5 Bangkok, as a regional hub for trade and traffic and one of the world’s most attractive tourist destinations, is also at the centre of the current infrastructure projects in Thailand. The Bangkok Mass Transit system, which operates the city’s BTS “Skytrain” system recently announced that it would set aside Baht 60 billion for upcoming investments in the countr y’s rail system; it has signed purchase agreements for 46 new four-car trains, 22 of which will be provided by Siemens. The projects related to the implementation of new BTS “Skytrain” and MRT underground lines in Bangkok are tackling the impact of a growing population in Bangkok of currently almost 10 million people. 6 The appropriate management of a mega-city such as Bangkok requires a permanent symbiosis of the private and public sector in order to be able to face future challenges.

of Silom, Sukhumvit and Sathorn Roads, in the wake of mass transit expansion, are real estate market prices. Condominium developers are exploring areas where the BTS and MRT are expected to expand in the future. However, condominium developers are not the only ones who are attracted by the areas adjacent to future new mass transit lines; around the new mass transit infrastructure new clusters of businesses and industries are being born. Various ser vice businesses suppor ting transpor t maintenance at junctions and stations are being established, while other businesses responding to growing demand from new residents in the vicinity of new lines. Finally, tourism will expand to new urban areas. In Hong Kong, for example, service business revenue has over taken revenue from fares, making new rail projects profitable within a few years. This is one example of how government spending can induce economic growth. The expansion of Bangkok’s mass transit system will result in a ratio of routes-topopulation that is close to that of Tokyo. Bangkok as a hub for trade and traffic in the ASEAN region will become more attractive to investors as its inner connectivity improves.

The expectation that the mega-infrastructure projects, in par ticular the projects in the capital, will kick-start the country’s economy are well-grounded. Statistics show that countries with better infrastructure on average see a higher growth in GDP and per capita income. Regarding the regulatory framework in Thailand that applies to infrastructure and civil construction, the following laws should be considered: Private Investments in State Undertakings Act Land Code City Planning Act Building Control Act Building Construction Control Act Land Traffic Act Factory Act National Environmental Quality Act National Energy Policy Council Act Highway Act Provision of Land for Public Transportation Act Land Excavation and Land Filling Act Land Allocation Act Architect Act Engineer Act Industrial Estate Authority of Thailand Act Investment Promotion Act Ministerial regulations and other subsidiary legislation issued under the above law As all the above-mentioned infrastructure projects are being carried out in the form of PPPs it is important to take a closer look at Thailand’s PPP law. PPPs play a prominent role in the infrastructure projects in the whole country, and especially in Bangkok.

The growth of Bangkok’s population is reflected in a considerable increase in mass transit passenger numbers. Currently, the Skytrain, which now carries an average of 700,000 passengers per day, is constructing new lines. The extension of the Skytrain network will improve the life of commuters and guests in Bangkok and will change the character of huge parts of the city by way of urbanising residential areas on the outskirts of the city. One of the earliest indicators of this evolution of new urban areas outside of the prime areas 5 “Private 6

investment sought for transport hub”, The Nation, 23 April 2016. “Thailand to launch big infrastructure projects next year”, Pairat Temphairojana and Panarat Thepgumpanat, 30 November 2015, Reuters.

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The Private Investment in State Undertakings Act (PISUA), B.E. 2556 (2013) regulates PPPs in Thailand and supersedes the Private Participation in State Undertakings Act B.E. 2535 (1992). PISUA not only defines the decision-making and supervisory bodies, but also regulates the procedure of invitation to tender and the private entity selection, which is of the highest interest for potential PPP partners from the private sector, whereas the details of the tender are prescribed in Notifications of the State Enterprise Policy Office. According to the Strategic Plan stipulated by PISUA there are two categories of public projects: Projects that always require mandatory private investor s’ par ticipation. For example, development of mass transit systems in cities, toll roads, freight ports, telecommunications networ ks and high-speed internet systems; Projects in which the State should encourage private investment. For example, developing mass ticketing systems, water management systems, waste management systems, infrastr ucture for science , technology and innovation. Provisions are contained in PISUA regarding the involved agencies as well as the Strategic Plan and the procedure that applies to all PPP projects, and the following stages are prescribed for the development of PPP projects: The Project Proposal Stage, during which PPP projects are identified; The Project Implementation Stage (Tender Stage), during which private investors submit their tenders, tenders are selected and an investment agreement signed; and The Supervision and Monitoring Stage, during which the project is realised

UPDATE 3/2016

As opposed to its predecessor law, the new PISUA provides more clarity as to the scope of its application, and thus increases investment security. The new PISUA applies to all projects (except petroleum and mining concessions) with a value of Baht 1 billion or more. Such projects will regularly undergo an approval and bidding process, as outlined in the PISUA with clear time limits to encourage the prompt consideration and processing of all projects, and with certain exceptions that allow for fast-track processing and waiving of the bidding process under cer tain circumstances. Once a PPP project is finally approved and the investment contract signed, it is completed under supervision by a supervisory committee. Recently the PPP procedure, which takes place within defined time limits, has further been fast-tracked for cer tain projects: The PPP fast-track scheme will shor ten the consideration of some projects from 24 months to 8 months. The recent amendments stipulate that non-infrastructure projects with an investment between Baht 1 billion and Baht 5 billion, or infrastructure projects with an investment of less than Baht 1 billion, will not have to go through the PPP Policy Committee’s approval procedure. From a legal point of view, PPPs should be encouraged. They are beneficial to the public sector as they promote innovation and costefficiency and allow for off-balance-sheet financing. In the case of the private sector, PPPs enable access to long-term investments in the area of duties of public administration or areas that used to be in the hands of longstanding contractors. New private investors contribute with their strong motivation, competitiveness, exper tise and familiarity with the tasks at hand to the public benefit as well as the country’s modernisation in the long term.

PISUA and its related notifications show that the Thai policy-makers understand the benefits of PPPs. However, there is still room for improvement to ensure that the participation barriers for new investors are fur ther reduced and that the rules are transparent. Ideally, the procedural and supervisory rules in the PPP law would ensure that the most competitive and innovative private partner is selected in a transparent procedure. Due to the large number of infrastructure and construction projects, the leading Thai construction companies will not be able to handle all the work themselves. An enormous oppor tunity and potential exists for subcontractors and main contractors (foreign construction companies with a remarkable portfolio of previous works in third countries) through strategic joint ventures with local partners for accessing Thailand, which is one of the main infrastructure markets of ASEAN. From the personal impression of the authors, who are working in Bangkok in this sector, the scenario of infrastructure and civil construction in this countr y is going to become progressively more dynamic and proactive, and will provide construction companies based overseas with an ideal gateway for entry to the entire region.

Contact details: Yuthana Promsin, Managing Partner, Jose Herrera, Partner, and Christian Moser, Senior Associate Jus Laws & Consult (J&C) Tel: +66 2 254 4117 jherrera@juslaws.com and christian@juslaws.com www.juslaws.com


16 BANGKOK MEGACITY

MEGATRENDS PUSHING THE NEED FOR EFFICIENT MEGA INFRASTRUCTURE Contributed by Siemens

There are now 7.4 billion people on this planet and the number is expected to reach 9.5 billion in 2050. In the same year, cities in developing and emerging countries will have 3 billion more inhabitants than today. Resource and energy consumption will double if business continues as it is now. In this fast-evolving world, there are several megatrends that have emerged and are affecting us: Digital transformation – people all over th e wo r ld ar e e m b r a ci n g d i g i t a l technologies; Globalisation – advances in communication technology are making the world smaller and people are no longer limited geographically; Urbanisation – cities are expanding. In Bangkok, the urban population grew from 7.8 million to 9.6 million between 2000 and 2010; Demographic change – Not only will the world’s population increase, there will also be three times as many people older than 65. The world is ageing; Climate change – The decade between 2001 and 2010 was the warmest decade on record.

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There you have it – the megatrends that are affecting Thailand and the world at large. Consequently, the question that arises is “how can we adapt ourselves to supporting the changes in a sustainable way?” In Bangkok, there is no doubt that a strong infrastructure must be built to support the growing population, the expansion of cities and the influx of the global population. However, issues such as sustainability and environmental problems are also of no less concern. This is where the latest technology and digital information can help.


“ megatrends (that) are affecting Thailand and the world at large....the question that arises is ‘how can we adapt ourselves to supporting the changes in a sustainable way?’” Siemens is providing the world with the solutions it needs to master the challenges of demographic changes, urbanisation, climate change and globalisation. To leverage the potential of these megatrends, Siemens is focusing its innovativeness on providing solutions in terms of Sustainable Energy, Intelligent Infrastructure and Future of Manufacturing. In Thailand, Siemens is pushing the development of clean energy generation with the largest onshore wind farm in operation in South-East Asia. In terms of overall power generation, by 2016/2017 almost 30 per cent of Thailand’s electricity will be generated using Siemens’ highly efficient equipment. The latest moblity technologies in all three Bangkok mass transit projects to date – the BTS, the MRT and the Airport Rail Link – have been provided by Siemens to help people move in a faster, more convenient and environmentally friendly manner, thus improving their quality of life. Siemens is also contributing to the future expansion and development of mass transportation systems in Bangkok. Siemens can increase energy efficiency in the industrial sector, for example by helping to cut engineering time by 30 per cent and reduce maintenance costs by 15 per cent. Products and solutions by Siemens are helping to create energyefficient and sustainable infrastructure that enhances the quality of urban life, fosters competitiveness, conserves resources and minimises environmental impact. Siemens is committed to providing a range of technologies for shaping the world of today and tomorrow.

Contact details: Ploi Phayakvichien Media Relations and Communications Manager Siemens Ltd. Tel: +66 2 715 4045 ploi.p@siemens.com www.siemens.co.th

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18 BANGKOK MEGACITY

THE PROSPECT OF RENEWABLE ENERGY Contributed by B.Grimm Power Co.,Ltd. As a consequence of the recent energy price crisis and the fluctuation of energy and electricity prices, Thailand’s dependency on energy imports, valued over 1 trillion Baht in 2007, has increased, which in turn has slowed down the economic growth of the country and directly affected household with higher prices for oil and gas. The Ministry of Energy regards this as a major issue, which prompted it to seek for higher diversity of energy sources, especially through renewable energy. The policy of developing renewable energy to become a long-term and sustainable source of energy has been raised in support of Thailand’s Power Development Plan (PDP 2015, since 2015 – 2036) with the aim to meet 20 percent of the country’s energy needs through a supply from renewable sources by 2036.

a n d t o s up p o r t T hailand ’s Powe r Development Plan (PDP) for more stability of the entire nation’s energy supply by providing electricity and steam to the Electricity Generating Authority of Thailand (EGAT) and to customer in major industrial estates that are the backbone of Thailand’s economy

In suppor t of the Government’s policy towards green energy, Mrs.Preeyanar t Soontornwata, President of B.Grimm Power, a pioneer in the private power generation industry in Thailand, said that “B.Grimm Power was established with the aim to fulfill the country’s increasing needs of electricity

B.Grimm Power is a world class energy company aiming to fulfill the energy needs of all sectors in Thailand and other countries. In suppor t of the Government’s plan of renewable energy development, especially in terms of solar power, Which is clean and due to the abundant year-round sunshine in

UPDATE 3/2016

B.Grimm Power gas successfully diversified its power sources across natural gas, solar energy, hydro power, and wind energy. The company currently operates 24 power plants with a power generating capacity of 1,242 MW and steam power generating capacity of 270 Metric Tons/hour. The company has signed further contracts to run 43 power purchasing projects with a total capacity of 2,427 MW.

Thailand also a highly suitable power source. The company has already invested in solar farm projects in Nakorn-Patom, Pranakorn Sri Ayutthaya, Saraburi, and Sakaew provinces with a total combined power generating capacity of 114.2 MW. B.Grimm Power has also expanded into wind power and signed a power purchasing agreement. The farm, located in Mukdaharn Province, has a total capacity of 16 MW and is projected to increase its generating capacity in the near future. Besides its expansion into solar and wind energy projects, the company has taken significant steps into hydro power, too. 9 hydro power plant projects in Lao People’s Democratic Republic are under construction with a total generating capacity of 200 MW. The first hydro power, Xenamnoy and Xekatam Hypro Power Limited, are project to commence operation at the end of 2017 with a total power generating capacity of 20 MW.


BANGKOK MEGACITY 19

B.Grimm Power’s president, Mrs.Preeyanart Soontornwata, is confident that “for renewable energy power plant development Thailand has key advantages in terms of fuel sources, finances and manpower” but also remarks that “the current transmission lines are not yet fully capable to support the generating capacity of each renewable power plant” Recently, The control System Department of EGAT held a seminar about the electricity generation and transmission plan for the year 2016 in order to inform the Government and the private power generation sector about the electricity demand, which is estimated to increase by 4.1 percent. The Department warned all sectors to be ready for the time when natural gas power transmission from Myanmar and JDA-A18 is stopped. Mrs.Soontornwata also has a message to the investors and entrepreneurs who are planning

“ …for renewable energy power plant development, Thailand has key advantages in terms of fuel sources, finances and manpower (but) the current transmission lines are not yet fully capable to support the generating capacity of each renewable power plant….” to invest in renewable energy that “the investment needs to be planned diligently and that factors such as fuel sources, location, physical environment, and relationship with surrounding communities are critical concerns. As an investment in renewable energy requires significant funds new or otherwise less experienced investors would be wise to make co-investments with established and leading energy companies first”

Contact details: Corporate Development Department B.Grimm Power Co.,Ltd Tel 02-710-3127-8 www.bgrimmpower.com

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20 BUSINESS BRIEFS

SIEMENS, BTSC SIGN CONTRACT FOR 22 NEW FOUR-CAR TRAINS A consortium comprising Siemens and the Turkish vehicle manufacturer, Bozankaya, signed a contract with the Bangkok Mass Transit System PCL (BTSC) on 23 May 2016 at Siam Kempinski Hotel for the supply of 22 new four-car metro trains. Siemens will be responsible for overall project management, engineering and testing/commissioning of the trains, including the supply of bogies as well as the propulsion, brake, and auxiliary systems. The modernised trains will be assembled in Europe by Bozankaya and delivered to Thailand for further testing and commissioning before being put into service.

The signing ceremony was presided over by Deputy Prime Minister Dr. Somkid Jatusripitak and Bangkok Governor M.R. Sukhumbhand Paribatra, and witnessed by high-ranking government officials, the Ambassadors from Ger many, Austr ia and Tur key, and top executives from the transport industry.

The purchase is part of BTSC’s initiative to add more trains on the existing Green Line and its extension. The trains, which will have a maximum speed of 80 km/h, will provide 112 seats and 1,484 standing places at crush load, thus enabling more passengers to travel to their destinations faster. BTSC also awarded Siemens – which has been providing transportation solutions to Thailand since 1999 – with a 16-year maintenance services contract for the trains.

“We are proud to be a trusted partner of BTSC, having provided the initial E&M turnkey solution for the BTS Skytrain and continuous maintenance services since the inception of the mass transit project. We will continue to be a strong partner with Thailand, supporting the development of the country’s railway infrastructure and rolling stock as well as promoting railway knowledge through education,” according to Mr. Tomasz Mazur, Mobility Division Lead, Siemens Ltd.

UPDATE 2/2016


BUSINESS BRIEFS 21

M+W GROUP HOLDS MID-YEAR CLIENT COCKTAIL RECEPTION M+W Group in Thailand, in association with Stumpf Energy Solutions, hosted a mid-year client cocktail function on 23 June 2016 in the elegant function space named “The Residence” at the Grand Hyatt Erawan Bangkok Hotel. M+W Group is a global high-tech engineering and construction company, while Stumpf Energy Solutions develops, constructs, owns and operates solar PV power plants sited on customers’ rooftops under long-term agreements. T h e e ve n in g pr ovid e d a n e x ce l l e n t opportunity for networking as guests enjoyed a first-class banquet of hot and cold canapes, soups, meats, salads, vegetables and desserts. A violinist and pianist played throughout the evening and a special toast was given by M+W Group Chief Executive Officer, Mr. Mark Garvey, who had flown in from Singapore especially for the event. Short

speeches were given by M+W Group Thailand Managing Director, Mr. Martin Malleier as well as Stumpf Energy Solutions Thailand’s Managing Director, Mr. Gary Zieff. Both emphasised that they saw significant opportunities for business collaboration in designing and constructing sustainable facilities and solutions in advanced technology, high-tech infrastructure, life sciences and the chemical, energy and environmental sectors. Established in 1912, M+W Group has around 6,000 employees in more than 30 countries. The company offers a full range of services, ranging from concept and design to turnkey solutions in managing projects for clients in the fields of electronics, chemicals and pharmaceuticals, energy and information - from semiconductor plants to nanotechnology research centres. During financial year 2015, M+W Group generated sales of some US$ 3.4 billion (euros 3 billion). Further information about the group can be found at www.mwgroup.net.

Photo: (from left) Mr. Reinhold Habla, GTCC Trade Advisor; Mr. Martin Malleier, Managing Director of M+W Thailand; Dr. Elke Streicher, Head of Sustainability of M+W Thailand; Dr. Roland Wein, GTCC Executive Director; Ms. Christina M. Cerne, CEO of CPC Holding; and Mr. Mark Garvey, CEO of M+W’s Asia-Pacific region.

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22 CHAMBER ACTIVITIES

GTCC BUSINESS AND STUDY TRIP TO HANNOVER MESSE 2016

The German-Thai Chamber of Commerce (GTCC) organized an exclusive business and study trip to HANNOVER MESSE 2016 as well as visits to leading German automation industry sites from 24 April to 1 May 2016. Organised during 28 and 29 April, the site visits

enabled the more than 30 Thai delegates gain useful first-hand insights and experiences of the operations of SIEMENS, Wieland Electric GmbH, KUKA and FESTO.

HR SEMINAR: HOW DO YOU MEASURE CANDIDATES’ INTELLIGENCE? GTCC hosted a seminar entitled “How do you measure candidates’ intelligence?” on 26 April 2016, at the Holiday Inn Bangkok Silom. Attended by more than 30 human resources professionals, the event’s key speaker was Tom Sorensen, partner at Grant Thornton Services, who provided informative insights in HR practices.

UPDATE 3/2016


Photo credit: The German Embassy

CHAMBER ACTIVITIES 23

MEETING WITH THE PRIME MINISTER OF THAILAND Photo credit: The German Embassy

The German-Thai Chamber of Commerce (GTCC), in co-operation with the German Embassy in Bangkok, organised a meeting with H.E. Prime Minister of Thailand, Gen. Prayut Chan-o-cha on 27 May 2016, at Government House. During the meeting, the group of high-ranking representatives from the German-Thai business community had an opportunity to present their respective business sectors as well as express their concern and expectations vis-Ă -vis the Royal Thai Government. Photo credit:

The German

Embassy

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24 CHAMBER ACTIVITIES

GTCC EXTRAORDINARY GENERAL MEETING 2016 On 19 May 2016, the GTCC Board of Directors called an Extraordinary General Meeting at the Rembrandt Hotel Bangkok. The revised financial statement for 2015 was approved and the auditor for 2016 was appointed. Following the Extraordinary General Meeting, GTCC welcomed approximately 80 participants to the Stammtisch Bangkok at Bei Otto Restaurant where they enjoyed networking while enjoying authentic German food and beer.

PHOTOVOLTAIC AND GRID-INTEGRATION BUSINESS DELEGATION The German-Thai Chamber of Commerce (GTCC), in collaboration with eclareon GmbH, organized a business trip to Thailand from 22 to 26 May 2016 on the topic of “photovoltaic and grid-integration”. The objective of the visit was to foster and accelerate co-operation between Thai and German companies in the field of renewable energy, within the framework of the “Energy Solutions – Made in Germany” initiative supported by the German Federal Ministry for Economic Affairs and Energy (BMWi). During the delegation’s visit, GTCC organised a Thai-German Technology Conference on this topic at the Crowne Plaza Bangkok Lumpini Park Hotel on 23 May 2016. High-level representatives from the Depar tment of Alternative Energy Development and Efficiency of the Ministry of Energy Thailand, the Energy Regulatory Commission) and Thai Photovoltaic Industries Association as well as key energy stakeholders in Thailand presented the latest developments and future plans on the topic of “Solar PV in Thailand”. In addition, representatives from six German companies presented their latest products, technology solutions and PV best practice training. A total of 150 participants attended the conference.

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26 CHAMBER ACTIVITIES

On 25 May 2016, GTCC hosted an Ice-Breaker Networking – Energy Efficiency and Sustainability in Buildings session. The participants gained useful ideas about energy efficiency in Thailand with an example of the Häfele Design Center Phuket and other innovative building projects. The success of this networking was made possible by Office for Interior and Architecture Co., Ltd. (OIA), EGS-plan (Bangkok) Co., Ltd. and The House on Sathorn @ W Hotel.

ICE-BREAKER NETWORKING – ENERGY EFFICIENCY

A GTCC Business Luncheon "Thailand and Germany – Par tners in Europe and Asia" with Dr. Eckhard Franz, Director-General, “External Economic Policy", the German Federal Ministry for Economic Affairs and Energy, was organised on 1 June 2016. The luncheon was attended by the German Ambassador to Thailand, Mr. Peter Prügel, GTCC executives, board members and foreign business leaders. They also attended a bilateral meeting to discuss Thailand's trade policy with Ms. Chutima

BUSINESS MEETINGS WITH DR. ECKHARD FRANZ Bunyapraphasara, Permanent Secretary of the Ministry of Commerce, and Ms. Sirinart Chaimun, Director-General of the Department of Trade Negotiations, Ministry of Commerce. On 2 June 2016, they discussed topics of interest and key concerns at a bilateral economic consultation meeting with Mr. Songphol Sukchan, Director-General of the Department of European Affairs, together with several government officials representing Thailand’s Ministry of Commerce, Ministry of Education, and Ministry of Science and Technology. The meeting was organised at the Anantara Siam Bangkok Hotel.

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28 CHAMBER ACTIVITIES

Sponsor Gala Night Back row from left: Volker Braun, Zuellig Industrial; Antoine Gustin, BNP Paribas; Dirk Grossman, Lufthansa German Airlines; Matthias Pfalz, BMW Group Thailand; Dr. Roland Wein, German-Thai Chamber of Commerce; Matthias Hoffrichter, PCS Security System; Liher Urbizu, SAP System; Tobias M. Gruemmer, Rhenus Logistics; Walter Kenneth Whitty, Paulaner. Front row from left: Akharapong Puapatanakajorn, Thai – German Meat Product; Collin Hastings, Big Chilli; Chintan Shah, Deutsche Bank AG; Jimlim, JW Marriot Khao Lak; Tunyanun Leenutaphong, German Motor Work (Audi); Phongsakdi Chakshuvej, B.Grimm Trading; Axel Brauer, Brauer Holding; Puyakanit Yen-Ura, Commerzbank AG; Peter Schlegel, Global HDTV; Christophe Vincent, Dachser (Thailand); Krisna Thiengtham, Thai Nakhon ROP; Kim Eun Ju, Bumrungrad International Hospital.

GTCC GALA NIGHT 2016: A NIGHT OUT ON MAINAU On 3 June 2016, GTCC members together with their spouses, friends and business partners, including executives from more than 20 top brands in the German-Thai business community, participated in the GTCC Gala Night 2016 ” at the Shangri-La Hotel with the theme, “A Night Out on Mainau” - a special theme for 2016 offering a unique touch of an exceptional floral paradise in the south of Germany, on Mainau Island. GTCC President, Mr. Phongsakdi Chakshuvej, welcomed around 420 guests at the beginning of the Gala Night. GTCC was honoured by the presence of the German Ambassador to Thailand, Mr. Peter Prügel and his spouse, Mrs. Lucia Constantini Prügel as well as the newly-appointed Ambassador of the Royal Kingdom of Thailand to Germany, Dr. Dhiravat Bhumichitr. This magical evening was made possible by the great support of leading German and Thai companies including Audi, Brauer Holding, Global HDTV, BMW, Commerzbank, DACHSER, Lufthansa, and PCS Security and Facility Services. Donations were raised for Yaowawit School, with its more than 120 children from underprivileged families. The school, which is located in Phang-nga province, provides them with a safe environment where they can develop their life skills as well as cognitive and social competences, to become responsible members of the society.

UPDATE 3/2016


CHAMBER ACTIVITIES 29

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30 CHAMBER ACTIVITIES

UPDATE 3/2016


CHAMBER ACTIVITIES 31

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32 CHAMBER ACTIVITIES

EURO 2016 LIVE BROADCAST TO SUPPORT DIE MANNSCHAFT GTCC, in collaboration with the Germany Embassy in Thailand, German All Stars, Deutsches Eck and the Novotel Bangkok Sukhumvit 20, hosted a live broadcast of the European Football Championship 2016, starting with Germany’s kick-off match on 13 June 2016. Supporters of Die Mannschaft, in cludin g GT CC E xe cu t i ve D i re ct or, Dr. Roland Wein and staff, attended the event.

GTCC SITE VISIT TO POWERTECH 2014 GTCC, in co-operation with PowerTech, organised a site visit on 17 June 2016 to PowerTech 2004’s engine assembly plant situated at the TFD Industrial Estate in Chachoengsao province. The plant assembles engines for the two prestigious German automobile brands of Mercedes-Benz and BMW. Prior to the factory tour, Mr. Michael Welser, Managing Director of PowerTech 2004, welcomed the group of 50 visitors and provided an overview of the company's history, the engines produced for Mercedes-Benz and BMW, and its production capacity. The event was successful in terms of learning German state-of-the-art technology, exchanging information and strengthening the German-Thai business community.

UPDATE 3/2016


CHAMBER ACTIVITIES 33

EASTERN SEABOARD NETWORKING WITH AMCHAM On 17 June 2016, following the GTCC site visit to PowerTech 2004, Executive Director Dr. Roland Wein and more than 30 GTCC members joined an Eastern Seaboard Networking event and enjoyed the relaxing evening at the Drum Room, Hard Rock Hotel Pattaya. Also open to non-GTCC members, these business networking events

are designed to help participants to get connected with relevant contacts in their industry. The Eastern Seaboard Networking event this time was hosted by the American Chamber of Commerce in Thailand (AMCHAM), in collaboration with GTCC, AustCham, BCCT, SATCC, BeluThai and the Mexican Chamber of Commerce.

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36 GTDEE INSIGHT German-Thai Dual Excellence Education (GTDEE) is a two-year vocational education programme in which students work and study at the same time. Developed in Germany, and adopted in many countries all over the world, “dual vocational training” is aimed at producing skilled workers with qualifications comparable to those in Germany in their chosen fields as well as at sharing best practices from Germany’s vocational education system. In 2012, the German-Thai Chamber of Commerce (GTCC) and German International Co-operation (GIZ) brought it to Thailand in collaboration with founding company partners B. Grimm, BMW (Thailand) and Robert Bosch.

CENTRALISED FINAL EXAMINATION IN AUTOMOTIVE MECHATRONICS BY GTDEE On 29 April 2016, GTDEE hosted a centralised examination under the Automotive Mechatronics Apprenticeship Programme at Don Bosco Technological College, Bangkok, for apprentices from Mercedes-Benz Thailand and BMW Thailand sat for the PAL* examination. * The development centre for examination questions and training materials from Germany

AMATA B.GRIMM POWER FINAL EXAMINATION AND GRADUATION GTDEE organised the final examination for the 2014 batch of apprentices of the Amata B.Grimm Power Apprenticeship Programme under the German standard at King Mongkut’s University of Technology North Bangkok (KMUTNB) on 29 March 2016. Eight electric power students from Chonburi Technical College took the examination adjudicated by seven examination board members from Chonburi Technical College, Amata B.Grimm Power, KMUTNB and GTCC.

UPDATE 3/2016

On 29 April 2016, GTCC Executive Director Dr. Roland Wein presented GTCC certificates to the students, five of whom passed both theoretical and practical examinations based on the German standard.


GTDEE INSIGHT 37

SUB-COMMITTEE ON STANDARDS AND CERTIFICATION MEETING

The Public and Private Steering Committee on a Competitive Workforce (E2) held meetings on 10 May 2016 and 31 May 2016 at the Thailand Professional Qualification Institute (TPQI) office on the development of the one-standard vocational education qualification system and a linkage to the national qualification system. During the meetings, the committee endorsed qualifications based on the Thailand National Qualification Framework (NQF) in accordance with a set of criteria for the specified level of qualifications, linked to the ASEAN Qualifications Reference Framework system (AQRF).

MoU SIGNING CEREMONY BETWEEN GTCC AND KMUTNB On 27 April 2016, KMUTNB and the GTCC signed a Memorandum of Understanding on technical co-operation in introducing a Thai-German Meister programme at KMUTNB. German Ambassador to Thailand, H.E. Mr. Peter Prügel, GTCC President Mr. Phongsakdi Chakshuvej, KMUTNB President, Prof. Dr. Teravuti Boonyasopon, GTCC Executive Director Dr. Roland Wein, Director of TGDE. Asst. Prof. Dr. Phongsak Keeratiwintakorn, and the Dean of the College of Industrial Technology Asst. Prof. Preecha Ong-Aree participated in this significant event that guides the Government of Thailand’s policy on the reform of technical and vocational education and industrial training sectors.

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38 GTDEE INSIGHT

INTERNATIONAL CONFERENCE ON QUALITY ASSURANCE GTDEE par ticipated in the International Conference on Quality Assur ance for Qualifications System during 21-22 April 2016 in the Centara Grand at the Central Plaza Ladprao Hotel Bangkok. The objective of the conference was to share knowledge about the qualification systems in, Australia,

Hong Kong, Indonesia, the Republic of Korea, Malaysia, New Zealand and Thailand, including German-Thai co-operation under the GTDEE project. GTDEE Project Director Philipp Dreher presented the Dual Vocational Education of

Germany as a role model for Thailand. He also highlighted the structure of dual vocational education in Thailand that is being implemented by GTCC in co-operation with OVEC Thailand.

GTDEE, GIZ IN-COMPANY TRAINING PROJECT FOR THE MEKONG REGION GTDEE invited trainer(s) from its company partners to join the training opportunity with the project “Effective In-Company Vocational Training in the Mekong Region” by the German Corporation for International Cooperation (GIZ). The project is being implemented in collaboration with the Office of Vocational Education Commission (OVEC), which has been developing the 80-hour standards for ASEAN in-company trainers. The training was carried out during MarchMay 2016.

UPDATE 3/2016


GTDEE INSIGHT 39

PROJECT WITH ROBERT DYKERHOFF FOUNDATION IN MAE SARIANG On 25 April 2016, four students from Mae Sariang Community Education College were assigned to a project of making a bed involving the utilisation of four main skills; sawing, milling, drilling and turning. The students participating in this three-phase project (i.e., planning, execution and evaluation) were required to deliver the final product within 90 days, including the final examination at the end of the project.

MITR PHOL ORIENTATION IN KHON KAEN AND DAN CHANG On 16 May 2016, Mitr Phol organised a student orientation day at Mitr Phol Phukiew to welcome 87 students who are undergoing apprenticeship in Mitr Phol Phuvieng and Mitr Phol Phukiew (northeastern region). Assoc. Prof. Chiradet Ousawat, Mitr Phol’s Education Advisor to the President, gave a presentation on Mitr Phol’s directions and commitment to providing quality practical education for their apprentices. On the same day, Mitr Phol arranged in parallel, another orientation session at Mitr Phol Dan Chang in Suphan Buri for their new batch of 63 apprentices in Mitr Phol Dan Chang and Mitr Phol Singburi (central region). The programme from the 2 venues is similar. Mitr Phol’s human resources management personnel provided them with an overview of Mitr Phol’s business background, the company’s mission and visions, overall apprentices’ training sessions and benefits. GTDEE representatives gave the overview of GTDEE to the

apprentices, including the benefits from being a part of the GTDEE programme. In addition, the students participated in team-building activities arranged by Mitr Phol’s trainer team throughout the afternoon session.

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40 GTDEE INSIGHT

INTERVIEW WITH A VISITING MECHANICS EXPERT The GTDEE project invited Mr. Holger Gessner, an exper t in mechanics and automotive mechanics from Germany, to support Mitr Phol’s dual vocational education project in the north-eastern Thailand from 1 May to 29 July 2016. GTCC had a brief discussion with him in Khon Kaen as in the following. GTCC: We heard you have been working with Thailand on dual vocational education during the past 30 years. What can you say about the project? Mr. Gessner: Contacts always start with a company owner’s comment that “it is almost impossible to get qualified worker”, and later a school director’s feedback that “I do not have the budget to finance this vocational training” (meaning the regular courses). The problem is that the company owner has to pay less qualified young people from colleges according to the “paper” qualification, but still needs to train them for another two to three years until they have the qualifications the company needs. For him, it is waste of time and money. The company owner and his friends (e.g., the Federation of Thai Industries) have to look for another way to find better qualified people but at less cost. The company owners subsequently discovered that the most efficient vocational training is the “Dual Vocational Education” (DVT) system in Germany.

I began this type of work in the south of Thailand about three decades ago together with the Ministry of Labour. In the first year it was hard for the company owners and their trainers to see the benefits of such training. However, in the second and third year it became easier for them to get the point of this effort.

We began the “Dual Vocational Education” together with Siam Cement Co. Ltd., (now SCG) and a technical college close to a Portland factory in the field of industrial maintenance mechanics. It was possible to do it because the Ministry did not have an industrial mechanics and the fact that only 25 students were involved. However, when we expanded to other colleges and professions, it became a problem for the Ministry as the companies wanted to modify some aspects of the curriculum. GTCC: How has Thailand progressed with this project since that time? Mr. Gessner: After 30 years I can see that the practice of “Dual Vocational Education” is still not widespread. The ministry is following the same way system as 30 years ago and some companies, like Siam Cement, are still trying in this way to solve the problem of getting qualified workers.

The problem with DVT is that a company owner has to find somebody to train these young people in his factory as well as colleges that are willing to teach the theoretical side. For the colleges it means more work for the same money. For us, it means how can we get these two unequal partners together to do something that will help everybody who is involved.

KHON KAEN SCHOOL ASSESSMENT On 23-25 May 2016, quality assessments took place at Khon Kaen Technical School (KKTECH) and Khon Kaen College of Agriculture and Technology (KKCAT) involving teachers and students from KKTECH and KKCAT, with support of staff members from GTDEE. The assessment at both schools went well with the co-operation from all parties involved. The report will be handed over to both schools after the summaries of the on-site and online surveys of different parties have been completed.

UPDATE 3/2016


GTDEE INSIGHT 41

MITR PHOL SEES DUAL VOCATIONAL EDUCATION AS CRITICAL TO THAILAND’S ECONOMIC FUTURE

The German-Thai Chamber of Commerce (GTCC) recently had the opportunity to talk with Mr. Borwornnun Thongkalya, Senior Executive and Vice-President of the Human Resources and Management Group, Mitr Phol Sugar Corp., Ltd. Mr. Borwornnun is also the Project Leader of Mitr Phol’s German-Thai Dual Vocational Education (GTDEE) Programme. From the discussion, GTCC sensed the altruistic intention of Mitr Phol to contribute to the improvement of the Thai labour force in order to achieve global quality standards. Here are his observations on the subject. GTCC: What was the reason for Mitr Phol’s decision to initiate the Dual Vocational Education Project? Mr. Borwornnun: Mitr Phol’s vision for growth in the next few years creates a high demand for the right people. In particular, we need to prepare staff with special skills in our sugar cane supply development and production depar tments. If we look at vocational education in Thailand nowadays, we can see a big gap between what the students are learning in school and the actual skills that they needed at work. Mitr Phol, for example, is increasingly adopting advanced technology and international management standards in our business to ensure high-quality production. However, we are not sure if the schools have the readiness to prepare the students for such technical skills. We need people who are ready to walk with us in this direction.

The people we need must have both theoretical and specific practical skills in order to fit into our business. Instead of waiting for the schools to change, we want to help shape the future of school education in order to make it more relevant to the real world. With that in mind, in 2014 we signed a Memorandum of Understanding (MoU) with the Office of Vocational Education Commission and the German-Thai Chamber of Commerce to uplift the quality of vocational education. Through the MoU, Mitr Phol and the contracted par ties will work together on curriculum development, learning material development and skills assessment. The students participating in this programme will have one-year skills training through work-based education in Mitr Phol’s plants. The 150 scholars that Mitr Phol has already sponsored under this programme are studying at eight colleges in four subjects – plant science, farm mechanics, electrical power and industrial mechanics. GTCC: What does Mitr Phol plan to achieve through this project and how will it do it? Mr. Borwornnun: The main aim of our Dual Vocational Education System Programme is to help develop students, teachers and executives in the eight contracted vocational colleges. German-Thai Dual Excellence Education (GTDEE) Programme is guiding us in system management and training techniques that meet the German vocational standards. We are confident that the Mitr Phol

model will improve not just the global standards of Thailand’s vocational education programme but also its alignment to addressing the needs of the overall market in the country’s business sector. More importantly, it will increase Thailand’s overall competitive advantage. In addition, we hope this programme will be a guiding model for mutual co-operation between the private and government sectors in the future. GTCC: What are Mitr Phol’s goals in human resource development during the next 5-10 years? Mr. Borwornnun: Mitr Phol always considers human resources development to be an important force in organisational development. The Mitr Phol Development Institute is the key mechanism that offers learning courses and activities aimed at the optimum development of our staff. However, with the rapid growth of the business sector and the drive to attain sustainability, we need to think of ways to introduce more high-impact learning strategies in support of business development. We made the shift from the traditional classroom learning system to a more practical development framework that focuses on project assignment and coaching. The Dual Vocational Education Programme is another attempt by Mitr Phol to work with local vocational colleges in priming their students with the proper knowledge and global skills in a work-based education environment. In addition, we have an educational network, both in Thailand and elsewhere, for helping in human resources development. We hope all the human resources at Mitr Phol will soon become valuable assets not only to Mitr Phol’s business but also to global society.

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42 MEMBERS’ CORNER

NEW GTCC MEMBERS up to 30 June 2016

German-Thai Chamber of Commerce warmly welcomes 18 new members! AT Asian Trading UG

BNP Paribas Bangkok Branch

88/29 moo9 , Bangsaree, Sattahip, Chonburi 20250 Thailand Tel: +66 33 131 499 Fax: +66 33 131 500 at-asiantrading@gmx.de www.at-asiantrading-machine.com

29th Floor, Abdulrahim Place, 990 Rama IV Rd., Bangrak, Bangkok 10500 Thailand Tel: +66 2 659 8900 Fax: +66 2 636 1559 bnpthai@loxinfo.co.th www.bnpparibas.co.th

Activities Selling all kinds of used and new machine tools CNC milling turning grinding from Germany and Europe various brands. Chamber Representative Klaus Kopschek and Waraporn Hausman

BaanSuay Consult Co., Ltd. 323/127 Koolpunt Ville 9, Zentric, Moo 2, Sanpakwan, Hang Dong, Chiang Mai 50230 Thailand Tel: +66 86 886 0240 Fax: +66 52 061 886 info@bsc.asia www.bsc.asia Activities Logistics experts for road studies, loss prevention surveys, marine surveys. Consulting, supervising and inspecting of Industrial Packaging. Verification of logistical specifications, controlling of identification systems, logistical on-site-support Representation of Logistics companies. Chamber Representative Juergen KohnenConsulting

Activities Full range of banking services, in local & foreign currencies to corporate & financial institutions: short & medium term credit facilities, treasury & derivative services, trade finance & cash management services, export credit & structured finance. Chamber Representative Antoine Gustin and Somlak Tinmanee

Camfil (Thailand) Ltd. 202 Le-Concorde Tower, A3 Floor, Room No.A305, Ratchadapisek Road, Huai Khwang, Huai Khwang, Bangkok 10310 Thailand Tel: +66 2 694 1480 to 4 Fax: +66 2 694 1464 www.camfil.com Activities Development and production of air filters and clean air solutions. Chamber Representative Kongkiat Teekamongkol and Witthaya Kongvarakom

Deevanich Co., Ltd. 29/1 Moo 4, Vanapooti Road, Paknam, Bangkhla, Chachoengsao 24110 Thailand Tel: +66 38 542 126, +66 38 825 738 Fax: +66 38 542 622 deevanich@hotmail.com Activities Waste Water Management, Waste Management and other infrastructure related projects.

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Chamber Representative Karnjanapa Vichaidith and Kanyalak Vichaidith


MEMBERS’ CORNER 43

Dyslexia Thailand Co., Ltd. (iCamp Thailand) 94 Udomsuk Road, Nongbon, Pravet, Bangkok 10250 Thailand Tel: +66 2 399 5400 Fax: +66 2 399 5416 info@icampthailand.com www.icampthailand.com Activities International School Summer Camps / Education Program for Kids. Chamber Representative Joseph De Petro and Roger Immel

EMAG GmbH & Co. KG Austrasse 24, 73084 Salach, Germany Tel: +49 7162 17 4135 Fax: +49 7162 17 960 communications@emag.com www.emag.com Activities The EMAG Group offers manufacturing systems, cover the whole process chain. Access to a wide range of technologies (turning, drilling, milling, gear cutting, grinding, laser welding, ECM deburring, PECM machining, induction hardening and automations) allows EMAG to implement complete solutions for the automotiveand for the non-automotive sector. Chamber Representative Hartmut von Fugler and Achim Feinauer

Jaispirit Co., Ltd. 51/31 Moo 3, Maret, Koh Samui, 84310 Thailand Tel: +66 81 538 4206 Fax: +66 77 256 611 info@jaispirit.com www.jaispirit.com Activities Microsoft Partner Silver Small and Midmarket Cloud Solutions, Authorized Fortinet Partner Level 3 • Sales and Deployment of Microsoft Office 365 Cloud and Hybrid Solutions, IT Security, Network Planning and Design, Active Directory Design, Managing Windows Networks, Managed Hosting, Website Development, Search Engine Optimization, Remote Support. Chamber Representative Erich Alexander Constantin Göttert and Peter Lekse

Mr. Jan Eike Graeff GTCC MEMBER 2016

33/4 The Ninth Tower, Grand Rama 9, Tower A, 35th Floor, Huaykwang, Bangkok 10110 Thailand Tel: +66 84 667 7023 jan@nenerco.com www.nenerco.com Activities Consulting renewable energy project developers in project concepts, project execution, supplier choice, due diligence and more: biomass, wind, waste and solar.

Juslaws and Consult Company Limited 140 One Pacific Place, 9th Floor, Suite No. 901, Sukhumvit Road, Khlongtoey, Khlongtoey, Bangkok 10110 Thailand Tel: +66 2 254 4117 to 9 Fax: +66 2 653 0419 bangkok@juslaws.com www.juslaws.com Activities German lawyer Christian Moser and our international team provide the full range of legal and consultancy services. We specialize in company set up, BOI-registration, government licenses, contract law, public-private partnerships. Our litigation team provides representation in civil, criminal, family, labor and trade courts. Chamber Representative Christian Moser and Yuthana Promsin

Martini Group Co., Ltd. 919/387 Jewelry Trade Center, 31st Floor, Silom Road, Silom, Bangrak, Bangkok 10500 Thailand Tel: +66 2 267 2435 www.martinigroupasia.com Activities Distribution agent for Smuckzeit Europe. Establish Brands (Engelrufer, NAHU, SAFE BRAVE Herzinger, Gervida) in Asian Pacific. Conduct brand consulting service and project management. Manufacturing and trading jewelry industry related items. Provide certificated QA/QC service and supply chain management. Chamber Representative Pauline Niu and Mario Martini

www.thailand.ahk.de


44 MEMBERS’ CORNER

Nienstedt GmbH An der Brinkwiese 11, 45721 Haltern am See, Germany Tel: +49 2364 9392 0 Fax: +49 2364 9392 91 sales@nienstedt.com www.nienstedt.com

GTCC MEMBER 2016

42/34 Moo 5 Tambon Lumlukka, Amphur Lumlukka, Pathum Thani 12150 Thailand Tel: +66 84 704 6896 www.tfcosmetology.com Activities Cosmetics manufacture, logistics and distribution of cosmetical skincare, beauty haircare, supplements.

Activities Nienstedt manufactures high-performance sawing and shaping equipment allowing frozen food producers to realize novel concepts in convenience products, where portion control and the highest quality in fish, poultry and vegetable products are achieved simultaneously. Nienstedt provides solutions which are exactly tailored to customers’ needs worldwide.

Chamber Representative Arkarapat Chanajindasopon

TRANSNORM SYSTEM GmbH Foerster Strasse 2, Harsum 31177 Germany Tel: +49 5127 402 0 Fax: +49 5127 440 0 info@transnorm.com.my www.transnorm.com

Chamber Representative Wilfried Cremerius and Uwe Pinz

Shane Wilding Golf Centers 235 The Taste Thonglor, 2 nd Floor, Room Number 7-8, Sukhumvit Soi 55, Soi 11 , Sukhumvit Road, Klongton nua, Wattana Bangkok 10110 Thailand Tel: +66 2 672 5241 Fax: +66 2 672 5246 info@sw.golf, Phil@sw.golf www.sw.golf

Activities Sales, marketing, engineering, production and after-sales service for conveyor modules and subsystems for Airport, Parcel und Distribution.

Activities SWGC are Shane's latest creation with an impressive set up of hi-tech bays to fulfil every need of a golfer's development in the full swing and short game. SWGC is the place to be with more than 20 PGA certified golf instructors of different nationalities, SWGC offers you golf lessons and the possibility to finally fulfil your potential as a golfer.

TWS AQUA GmbH

Chamber Representative Georg Waldmueller and Joachim Gutmayer

Luisenweg 40 20537 Hamburg Germany Tel: +49 40 210961 60 info@tws-aqua.com www.tws-aqua.com Activities Rental of tank containers and filtration systems for drinking water. Chamber Representative Juergen Kohnen and Katja Barthel

Chamber Representatives Phillip Kirkby

Skywave Technologies (Thailand) Co., Ltd. 20/7 Sukhumvit Soi 41, Klongton Nua, Wattana, Bangkok 10110 Thailand Tel: +66 2 004 9118 info@skywavetechnologies.com www.skywavetechnologies.com Activities Skywave Technologies – “The Best IT Partner in Bangkok” - is a 100% German owned provider of IT services for international companies in Thailand and all over the world. We specialize in Software Development, IT Consulting, Support & Maintenance and IT Trainings (Security, MS Office, others). Chamber Representatives Anja Heck and Pairat Patatako

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TF Cosmetology (Thailand) Co., Ltd.

Mr.Volker Capito GTCC MEMBER 2016

Zuellighouse Level 8, 1-7 Silom Road, Bangrak, Bangkok 10500 Thailand Tel: +66 2 107 1382 to 1 iceman@icemancharity.com www.icemancharity.com Activities Founder and Supporter of the Wat Sakaeo Orphanage with 2.400 children. Director Face + Crowd Asia Pacific Ltd., Consultant of MICE business in South East Asia for events and product launches of the German industry.


MEMBERS’ CORNER 45

From Left: Martin Wenzel, KUKA Robotics (Thailand) Ltd.; Elmar Kleiner, Office for Interior & Architecture Co., Ltd.; Heidi Kleine Moeller, Millennium Hilton Bangkok; Rapheephan Phatchaneebon, Hilton Hua Hin Resort & Spa; Nattanan Narkprasit, BNP Paribas; Malee Rojwiroj, Amara Bangkok Hotel; Christoph Campbell, Buhlmann Thailand Ltd.; Supawadee Sarasri, Camfil (Thailand) Ltd.; Juergen Kohnen, BaanSuay Consult Co., Ltd. and TWS AQUA GmbH; Nitheen Kumar, Carl Zeiss Co., Ltd.; Marc Watzal, Umicore Autocat Thailand Co., Ltd.;Varidh Pramukchai, Kaiser Construction (Thailand) Co., Ltd.; Pauline Niu, Martini Group Co., Ltd.; Thipayatida Narasri, MahaSamutr Country Club Hua Hin; Christian Moser, Juslaws and Consult Co., Ltd.; Alexander Göttert, Jaispirit Co., Ltd.

NEW MEMBER ORIENTATION PROGRAMME MEETING NO. 7 On 25 May 2016, GTCC brought together 16 member companies at the W Bangkok Hotel. As par t of its New Members and Representatives Orientation Programme, the event was designed to foster the development of exclusive connections among the participants.

The new membership event was very well managed in a great environment. I was first a bit reluctant to the idea of speed dating but afterwards overwhelmed, how fast and intensive this was. 3 + 3 minutes were never enough and getting to know each other this way was a great experience. Many interesting new contacts as always! Marc Watzal, Plant Manager Umicore Autocat Thailand Co., Ltd.

Thank you very much again for organising the fantastic events. The membership orientation was really challenging and hopefully fruitful for the future. Just as an idea that it might be helpful is the Chamber could distribute a follow-up e-mail to all participating members (contact details as allowed), to facilitate communication amongst the group. Elmar Kleiner, Founder & Director Office for Interior & Architecture Co., Ltd. (OIA)

Thank you for the opportunity given to me to be a part of the New Member Orientation. It was a great pleasure for me to meet new members and representatives from so many different kinds of businesses here in Thailand, particularly if you come from outside Bangkok — amazing! Erich Göttert, Managing Director Jaispirit Co., Ltd.

www.thailand.ahk.de


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Refer your GTCC Membership Card to take advantage of great deals and offers from GTCC Members. Please visit www.Thailand.ahk.de or scan QR Code to view a full list of discount.


Don’t let the media write your story – write your own

SAVE THE DATE: 21-23 November 2016 German Sustainability Code Training The German-Thai Chamber of Commerce (GTCC), in cooperation with the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ), will organise a three-day training course in the Sustainability Code on 21-23 November 2016 at GTCC office. The hands-on training course will be instructed by Mr. Bernd Schleich Founder of Schleich Sustainability Solutions and expert in sustainability. Participants will be qualified to elaborate and write a declaration of conformity with the Sustainability Code. This will likewise enhance the international competitiveness of the organizations the participants are belonging to. Applicable worldwide, the Sustainability Code provides a framework for reporting non-financial performance. It can be used by all organisations and enterprises regardless of their size or legal structure, to achieve sustainable management. The Code is a benchmark developed by the German Council for Sustainable Development and recognised by the European Commission as a standard for compliance with the European obligation to non-financial reporting by public-interest entities (with more than 500 employees) that will come into force as of 2017. This affects about 6000 companies in Europe and will have both direct and non-direct impacts on other companies in European supply chain. The Code contains 20 qualitative criteria regarding sustainability strategy, process management, environmental and societal aspects of business operations. These criteria have been supplemented by quantifiable performance indicators, based on the Sustainability Reporting Guidelines of the Global Reporting Initiative (GRI) and key performance indicators developed by the European Federation of Financial Analysts Societies (EFFAS), to increase the comparability of the declaration of conformity. By using the Code, companies can improve their repor ting and sustainability management. The Code also offers enterprises the chance to por tray their commitment to sustainable development and their related positive achievements in a better and more publicly way. Companies can show clearly to their stakeholders and customers how they assume responsibility. The application of the Code is free of charge. For Asian companies, this is posting a challenge and chance as European markets are getting more sensitive with environmental issues, social and human rights, with regards to the development of products and services within the comprehensive supply chain. Frontrunners in improving the sustainability performance of their company and reporting adequately will be awarded by the markets, late-comers will be punished. For further information and applications, please contact Ms. Ganya Aparaks, Event & Key Account Manager, Tel: 02 670 0600 ext. 2003 or email: communications@gtcc.org.

About Mr. Bernd Schleich Mr. Bernd Schleich is the founder of Schleich Sustainability Solutions. He had been ser ving as Commissioner for Sustainability of the Administrative Board at Gesellschaft für Internationale Zusammenarbeit GmbH (GIZ) during 2012 – 2015 and Director General of Gesellschaft für Internationale Zusammenarbeit GmbH (GIZ) 2011 - 2012. His long-term commitment in sustainability management includes his various positions as Managing Director of InWent GmbH Capacity Building International from 2002 to 2010; Managing Director of Carl Duisberg Gesellschaft from 1993 to 2002; and Head of Environmental and Natural Resources Department for Carl Duisberg Gesellschaft (CDG) during 1988 – 1993.


48 TRADE FAIRS

InnoTrans 2016: DRIVING THE MARKET FORWARD AT FULL SPEED 20-23 September 2016, Berlin InnoTrans, the world’s leading trade fair for rail transportation technology, takes place every two years in Berlin. This year’s event will be held from 20 to 23 September at the Berlin Exhibition Grounds. The tenth InnoTrans, held in 2014, attracted 2,761 exhibitors from 55 countries presented their rail industry innovations to 133,595 trade visitors who came from 146 countries. Sub-divided into the five segments – railway technology, railway infrastructure, public transport, interiors and tunnel construction – InnoTrans occupies all 40 halls available at Berlin Exhibition Grounds. The five segments cover a wide range of related areas: Railway technology – railway vehicles for passenger and freight transport, sub-assemblies and components (drives, energy/electrical engineering, couplers, brakes etc.) and vehicle maintenance; Interior s – vehicle equipment (finishing, lighting, glazing, air-conditioning systems, security etc.), and travel catering and comfort services; Railway infrastructure – infrastructure and route technology (construction work, signalling and control systems, overhead line equipment etc.); Public transport – communications and information technologies, traffic management and data processing, fare management, passenger information systems, fixed structures, information technology, consulting etc.; Tunnel construction – construction machinery and components, safety technologies, finishing communications, maintenance, consulting etc. The InnoTrans Convention, the event’s top-level suppor ting programme that takes place in conjunction with the trade show, has become firmly established as an international meeting place for top decision-makers from the business, political and transpor tation communities. Featuring high-profile panel discussions and expert talks on current and future-focused mobility issues, the InnoTrans Convention is an ideal platform for face-to-face communication. This is where tomorrow's transport concepts are explored on an international level.

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The Outdoor Display is the highlight of every InnoTrans. Vehicles will be displayed on 3,500 metres of track that are located directly adjacent to the exhibition halls. From high-speed trains to hybrid locomotives, from road-rail vehicles to trams – this is where manufacturers present their new products to the trade public. It is also where vehicles are handed over to their operators. This is the place to experience hands-on technology. InnoTrans is organised by Messe Berlin GmbH. More details on InnoTrans are available at http://www.innotrans.de/en/. For further information, please contact GTCC’s official representative for Messe Berlin GmbH in Thailand, Ms. Patamaporn Wasuwat at tel: +66 0 267 0060, ext. 4010.


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CHILLVENTA: HOME OF REFRIGERATION, AIR-CONDITIONING, VENTILATION AND HEAT PUMPS 11-13 October 2016, Nuremberg

Energy efficiency and sustainability remain the driving forces behind the development of new products and systems for refrigeration, air conditioning, ventilation, and heat pumps. What future developments in heat pump efficiency are in the pipeline? What’s happening in the market for environment-friendly refrigerants? What do modern integrated c&i concepts look like? How will the individual trades be connected in the future? With their spectrum of products and services for refrigeration, air conditioning, heat pumps, industrial refrigeration and commercial refrigeration, the industry’s top players provide answers to tomorrow’s questions today at Chillventa.

CHILLVENTA - CONNECTING EXPERTS The innovation cycles in refrigeration and air conditioning are becoming shorter. Therefore, world-leading exhibition Chillventa is a must for anyone wanting to keep up with the latest trends and developments in this field. The exhibition enables the direct exchange of views with a variety of experts and qualified suppliers from all over the world. The trade show, Chillventa Congress and a varied supporting programme are devoted to the whole process chain of refrigeration, air conditioning, and ventilation and heat pumps for three days. This is the place to meet, cultivate and develop networks, and do business. Together with the key Chillventa trade fair, the European Heat Pump Summit in Nuremberg, ACREX India and the European Pavilion powered by Chillventa at China Refrigeration, NürnbergMesse has built up an impressive worldwide refrigeration, air-conditioning, ventilation

and heat pump network in recent years. In Nuremberg, too, the motto is “Chillventa Connecting Experts”. This year, the Thailand Pavilion will once again be available to welcome international traders at Chillventa. The Pavilion is initiated with support from the Department of International Tr a d e P r o m o t i o n ( D I T P ) , a n d t h e Air-Conditioning and Refrigeration Industry Club of Thailand under the patronage of the Federation of Thai Industries (FTI). Ten Thai companies will present their products at the Thailand Pavilion. For more information and exhibitor/visitor inquiries please contact GTCC’s official representative for NürnbergMesse, Mr. Nupat Khusribanchong at tel: +66 2 670 0600, ext: 3003, or by e-mail at nuernberg@gtcc.org.

www.thailand.ahk.de


50 TRADE FAIRS

EuroBLECH 2016: WORLD’S BIGGEST SHEET-METAL WORKING TECHNOLOGY SHOW 25-29 October 2016, Hannover The next EuroBLECH, the leading international trade exhibition for the sheetmetal working industry, will take place from 25 to 29 October 2016, in Hannover, Germany. This year’s event will serve as a platform for interlinked sheet metal working producers. The Internet of Things – or Industry 4.0 as it is called when referring to manufacturing – poses big challenges for the sheet-metal working industry and raises a multitude of questions. With this year’s theme “The New Generation of Sheet Metal Working”, EuroBLECH will reflect the prevailing and somewhat revolutionary development in production technology. As the global business barometer and leading industry platform for the sheetmetal working industr y, EuroBLECH will present a large var iety of tailor-made solutions for optimising and modernising production processes. Exhibiting companies will be displaying a comprehensive range of machinery, tools and systems for the entire value chain of sheet-metal processing. The exhibition profile includes sheet metal, semi-finished and finished products, welding and surface

UPDATE 3/2016

treatment, processing of hybrid structures, tools, quality control, C AD/C AM/CIM systems, and research and development. EuroBLECH 2014 attracted a record 1,573 exhibitors from 38 countries who provided an enor mous number of live machine demonstrations, on a net floor space of 86,500 m2. A total of 59,600 trade visitors explored the world’s biggest sheet-metal working show to find out about the latest technology trends in sheet-metal processing. For more details about the exhibition visit the website at http://www.euroblech.com. GTCC will organise a trip by a business delegation during 23-29 October 2016 to EuroBLECH 2016 followed by exclusive visits to leading German machine factories including Schuler Group and TRUMPF (tbc), among other manufacturers. For more details about the delegation trip as well as visitor inquiries, please contact Ms. Kamolchanok Nantaburom at +66 2 670 0600, ext. 4004 or by e-mail at kamolchanok@gtcc.org.


TRADE FAIRS 51

bauma China 2016: LEADING EVENT FOR THE CONSTRUCTION INDUSTRY 22-25 November 2016, Shanghai The eighth international trade fair for construction machinery, building material machines, mining machines, construction vehicles and construction equipment will take place at the Shanghai New International Expo Centre (SNIEC) from 22 to 25 November this year. bauma China is Asia’s largest and most impor tant event for the construction industry. It attracts a large number of international buyers – a fact that guarantees a high return on investment as well as sustainable success. Today, the show is both a platform for product presentations and a grand industr y par ty for communication, cooperation and continued growth In addition, bauma China is the leading trade fair for the entire construction and building-material machine industry in China and all of Asia. The previous event in 2014 again broke all records and delivered impressive proof of its status as the largest and most important industry event in Asia. In 2014, bauma China attracted 3,098 exhibitors from 41 countries. That represented an increase of 14 per cent compared with 2012. Despite the downward trend in the market and the significant

challenges confronting the sector at that time, the number of visitors was 189,732 from 149 countries and regions. The propor tion of visitors coming from countries outside China rose to 12 per cent.

GOOD REASONS FOR ATTENDING THE FAIR There are three key reasons for visiting bauma China: The trade fair is the community venue for the Asian construction machinery industry; It is the gateway for international companies to the Chinese market and for Chinese enterprises to the global market; bauma China promotes interaction with, and among exhibitors and visitors by responding well to their needs, facilitating trade and communication more intelligently and digitally, and providing participants with efficient services. For more details, visit the website at http://www.bauma-china.com/ GTCC will organise a visit by a business delegation to the fair. For more information please contact GTCC’s official representative of Messe Muenchen in Thailand Ms. Kamolchanok Nantaburom at +66 2 670 0600, ext. 4004, or by e-mail at muenchen@gtcc.org

www.thailand.ahk.de


52 TRADE FAIRS

SPIELWARENMESSE 2017: MORE THAN JUST TOYS 1-6 February 2017, Nuremberg Spielwarenmesse is the most impor tant event in the toy industry. This is where the international toy markets come together : well-known brands, trendy start-ups, buyers from large chains, independent retailers and many media representatives make Spielwarenmesse the world’s leading trade fair for the toy industry. From 1 to 6 February 2017, Spielwarenmesse will be held for the sixty-eighth time in Nuremberg, Germany where exhibitors can mingle with wholesalers, retailers, and buyers from chain-stores.

Spielwarenmesse – the birthplace of the trends of the year – is the place where business contacts are made, the trends of the year are born and the latest information exchanged. Everything is infused with great enthusiasm “the Spirit of Play”. Everyone who is involved in the toy industry should take this opportunity to capitalise on the best possible presentation, as Spielwarenmesse means more than just toys. Twelve product groups covering more than 1 million products, including some 75,000 new products, will be represented in 18 halls at Spielwarenmesse 2017. Covering an area of 170,000 m2, the halls are sensibly laid out to ensure short distances and synergies between each one. The biennial event attracts more than 70,000 trade visitors from 120 countries, around 90 per cent of whom make purchasing decisions. In addition, on 8 November 2016 a “Spielwarenmesse Dialogue Tour to Thailand” will be organised with Spielwarenmesse eG to meet the press and the most important representatives from the trade, the industry and toy associations. The Spielwarenmesse Dialogue is intended as an opportunity for Spielwarenmesse eG to meet important toy professionals, multipliers and trade journalists in Thailand and inform them about the key themes, services and events at Spielwarenmesse 2017. More details about Spielwarenmesse 2017 can be found online at www.spielwarenmesse.de. For additional information and exhibitor/visitor inquiries, please contact GTCC’s official representative of Spielwarenmesse in Thailand, Ms. Chonlagorn Loypetch at tel: +66 2 670 0600, ext. 4006, or by e-mail at chonlagorn@gtcc.org.

UPDATE 3/2016


Imported by : Danmark Co., Ltd. Distributed by : Flow Inter Co., Ltd. 23 Soi Chalermprakiat Rama 9 Soi 9 Sub-soi 2 Nongbon Prawet, Bangkok 10250 Tel. +66 2 748 1900-4 Fax. +66 2 748 1905 www.paulaner-thailand.com E-mail : info@paulaner-thailand.com


RAMADA PLAZA BANGKOK MENAM RIVERSIDE CELEBRATES THE 30th ANNIVERSARY. “A vision to create a magnificent place for tourists, business travellerd and MICE market” The growth in international travel and tourism over the past 30 years is illustrated perfectly by the ever-changing landscape of Thailand’s capital city. In the mid-1980s, Bangkok boasted relatively few hotels that could be classified as ‘five star’ in line with accepted international standards and Thailand’s multitude of tourism gems were yet to be discovered by many travellers living in far-away source markets such as Europe and North America. How times have changed. In 2016 Thailand is predicted to record more than 30 million international visitor arrivals and that figure is set to rocket to almost 50 million by 2020. Bangkok, regarded by many as the ‘bargain basement’ of south east Asia for both tourists and business travellers because its comparatively low average daily hotel room rates, continues to score highly in surveys that rank cities in terms of visitor attractions and overall popularity. The city is now welcoming close to 20 million visitors annually and there has been an unprecedented programme of hotel construction and refurbishment as property owners and

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operators look to keep in touch with the year on year growth in Bangkok’s tourism sector. German-born hotelier Klaus Sennik, General Manager of the Ramada Plaza Bangkok Menam Riverside, has marvelled at the city’s transformation since he first arrived in the ‘city of angels’ in 1982 to work at the Siam Intercontinental Hotel on Rama 1 road. The hotel, long since demolished to make way for the Siam Paragon shopping mall, was an important training ground for many of the region’s hospitality and tourism leaders of today.


“Bangkok today justifies its status as a ‘megacity’ – and tourism has been a major influence in the city’s growth over the past 25 years. We know that tourism contributes around 10 percent to Thailand’s GDP but in Bangkok there is a general perception that this figure is higher,” explains Klaus. “The challenge for the city’s hospitality sector, and for hotel owners and their management teams, is to keep pace with the growing expectations of business and leisure travellers arriving at Bangkok’s two international airports. This is vitally important because the growth of social media and online travel review has turned every visitor into a travel writer, sharing their views (positive and negative) with fellow netizens around the world. Our hotel, on the east bank of the Chao Phraya river, is benefitting from a riverside renaissance. It has once again become fashionable to wine , dine and stay in luxur y accommodation by Bangkok’s River of Kings.” More than 30 years ago the owners of the Ramada Plaza Bangkok Menam Riverside hotel had the vision to create a magnificent property on the city’s Charoen Krung road that provided luxury accommodation that catered for tourists, business travellers and what was quickly becoming an important and potentially lucrative MICE market - conferences, exhibitions, product launches, wedding and other major social and corporate events. “This remarkable vision has evolved over time into one of Bangkok’s best known and most popular five star hotels, now celebrating its 30th anniversary and it is a very great honour for me to serve as the hotel’s General Manager. “It is always a pleasure to welcome guests from the GermanThai Chamber of Commerce and I look forward to meeting

many more throughout the year as we continue with our 30th anniversary celebrations,” said Klaus Sennik. www.ramadaplazamenamriverside.com

GETTING THERE The hotel is within easy distance of the city’s expressway network for access to and from Don Mueang and Suvarnabhumi international airports. Major shopping malls and popular tourist attractions are also easily reached by car or by boat. The hotel operates private shuttle boats to and from Sathorn pier for convenient connections to the city’s BTS SkyTrain network at Taksin bridge.

UPDATE Q3/2016  

Bangkok Megacity: Bangkok becoming a megacity as BTS Skytrain expands to urban satellite areas; Bangkok facing major challenges as a megacit...