Big projects to make Thailand regional hub for aviation

Government of Thailand in a move towards its mega infrastructure plan of 2020 laid down a roadmap on which investments of ฿2 trillion ($70 billion) will be drawn, with the northeastern province of Nakhon Ratchasima being one of the major centres of this development plans.

For a start, a national highway stretching from Bang Pa-In-Saraburi-Nakhon Ratchasima will be constructed with a ฿ 84,600 million ($3 billion) budget, along with the Bangkok-Nong Khai high speed rail system that will connect the capital with the Northeast region. The latter project requires an investment of ฿ 170,450 million ($5 billion).

More interestingly, a development of "Aviation Industrial Area" has recently been sanctioned by the cabinet during their recent meeting. The Ministry of Transport is in the process of conducting some studies into the possibility of developing the Area in Nakhon Ratchasima.

One of the objectives of Aviation Industrial Area is to attract industrialists particularly from aviation industry relating to manufacturing of aircraft tires as well as other rubber components in order to stimulate robust growth in rubber industry.

Areas which are under consideration of the Government to be turned into Aviation Zones include: Nakhon Ratchasima, U Tapao (Rayong province), Takhlee (Nakhon Sawan province), and Khampaeng Saen (Nakhon Pathom province).

It became clear that Nakhon Ratchasima is one of the top choices when the Department of Civil Aviation and Industrial Estate Authority of Thailand agreed that Nakhon Ratchasima Airport is the most suitable location because of the availability of land of 4,000 Rai.

The Thai-European Business Association recently organised a meeting between aviation industry entrepreneurs and the Minister of Transport. Among those attended the meeting were representatives of firms such as Rolls-Royce Motor Cars and Triumph Aviation Services-Asia (TASA). They have shown interests and willingness to support this plan.

With the advantage of Thailand's geographical location being at the heart of Asean, the country is aiming to become an Aviation Industry hub where all the training, production, aircraft reparation would be carried out.

"This project is impossible unless the Board of Investment of Thailand (BOI) lends its helping hand. I believe Thailand has a chance to become aviation industry center. This project also will fulfill many aspirations such as that of Air Asia groups which wants to be able to repair their aircrafts in Thailand. At the moment, Thailand has no aircraft repair center; Air Asia has to go to Singapore. Opening up this sector will generate national income as well," said Minister of Transport Chatchart Sithipand.

The proposed Aviation Industrial Area needs more than ฿ 1,000 million ($33 million) worth of investment. The project is under the supervision of the Industrial Estate Authority of Thailand (IEAT), the Board of Investment of Thailand (BOI), and Department of Civil Aviation (DCA).

The Nakhon Ratchasima airport with an area of 4,625 Rais has the landing capacity of 4 Boeing 737 at the current state. The Ministry of Transport will set it ready for Aircraft Repair Center in 2015.

"Countries which are investing in Thailand and the Asean Economic Community (AEC) will realize the significance of Thailand's strategic location in the region," said Praserd Bunchaisuk, Minister of Industry.

In Addition, French Ambassador to Thailand, in June, already took a group of investors to survey the preparedness of Nakhon Ratchasima province as the Aviation Industrial Area.

By Ayi Bechegoo

(Original content from Kom Chad Luek 13 July 2013)