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The Hua Hin boom

28 February 2008

Hua Hin appears to be in boom time. There are far too many property billboards all over the town. They do spoil the look of the place. But they do show just how many developments are now under construction.

Is it a bubble or a sign of long term growth? The town is growing inland and up and down the coast. To Cha Am in he North and Pranburi in the south. The new Black MOuntain golf course is open and a new Banyan course under development. The highway from Bangkok is being widened.

By guess is that Hua Hin will continue to prosper; as a destination for Thai weekenders and European retirees.

The following is a UK based commentary on the Hua Hin property market:

From http://www.escape2fareast.co.uk/area_info/Hua_Hin.aspx

It may not be the first resort destination that springs to mind when thinking of a trip to the Kingdom of Thailand, but Hua Hin is the oldest resort in the land, and comes blessed with royal endorsement! Located 170 kilometres south of Bangkok on the west coast of Thailand, Hua Hin has long been to the Thai royal family what Balmoral is to the British monarchy.

A very attractive, grand, coastal fishing port, Hua Hin has been a resort for over 70 years, proving as popular with Thais as with visitors from overseas. A peaceful fishing village until the early 1920s, Hua Hin was effectively set up as a resort by the then King Rama VII who saw it as the perfect holiday location for his family away from bustling Bangkok. He had a palace built in 1928, named Klai Kangwon – ‘Far From Worries’ - to reflect the fact that it was precious sanctuary indeed from the pressures of ruling a nation! As a consequence, the nobility and well-to-do of Bangkok followed suit, having their own residences built in the town, firmly establishing Hua Hin as an exclusive resort from thereon in.

Hua Hin’s air of exclusivity has softened greatly in recent decades, opening to all eager to sample its considerable charms. Most are drawn to the magnificent, 5-mile-long town beach, which is considered amongst the most picturesque in the whole of South East Asia. In fact, the town takes its name – translating a little morbidly as ‘headstone’ - from the rock formations found on the beach. There are also four other fine beaches accessible from the town, and none of them ever get particularly busy as there is so much space available!

There is plenty to see and do in and around Hua Hin, starting with visits to Klai Kangwon and the many beautiful temples in the town. The stunning Wat Hua Hin is essential, and you may wish to feed the catfish in the lovely ponds at Wat Bor Fai, situated just 5 km north of the town. If close encounters with wildlife get your pulse racing, then a visit to ‘Chopstick Hill’ – 7 km south of the town – is absolutely essential. With a lovely temple at the top of the hill, the area is home to troops of long-tailed macaque monkeys that lend the hill’s other nickname of ‘Monkey Mountain’! They love nothing more than to be fed bananas and nuts, but keep your personal belongings close by, as they are also rather fond of scampering off into the jungle with them if they get half a chance!

For the outdoor type, there is a huge range of sporting activities available in Hua Hin. The area has amongst the finest golf courses in Thailand, many watersports options, go-karting (so thoroughly enjoyed throughout Thailand) and much more. As is also the case the length and breadth of the land, the local scenery is extraordinary, presenting plentiful opportunities to swim in waterfalls, explore caves and go jungle trekking with elephants. After a day of action or simply relaxing on the beach, why not dine at one of the many excellent restaurants (the seafood being amazing), or take in the atmosphere of the colourful night markets? If Hua Hin sounds too good to be true for a resort destination, then have faith that it is everything and more that has held Thai kings and princesses, and all who have followed them here, for over 70 years.

Whether you are considering purchasing property in Hua Hin as a holiday home, retirement home or solely for investment purposes, it can only represent a solid investment. With increasing numbers becoming aware of Hua Hin as a superb alternative to more ‘established’ Thai resort destinations, and the golfing community’s promotion of the superb links in the area, this lovely town is moving quickly into the spotlight. Consequently, property for sale in Hua Hin is in increasing demand.
 

Emirates to where?

26 February 2008

Emirates has announced a third route to the Indian state of Kerala, a week after UAE-based Air Arabia said it would launch a similar service.

The Dubai-based airline will begin a six-weekly service to the south Indian city of Kozhikode (Calicut) starting on 1st July 2008, in what will be the second of eight new route announcements this year.

Kozhikode will become Emirates’ 10th destination in India, following the introduction of services to Kochi in 2002 and Thiruvananthapuram in 2006. The target market is the large non-resident Indian community in the Gulf so that they may visit their families and friends."

On the Dubai-Kozhikode route, Emirates will initially operate its Boeing 777-200 and Airbus A330-200 aircraft, offering over 4,000 Business and Economy class seats and close to 200 tonnes of cargo capacity per week in both directions.

Kozhikode, formerly called Calicut, is in the north Kerala province of Malabar.It is a trading and vacation city. 

Just 15 minutes from the city centre is a place called Dolphin's Point, where visitors can see dolphins playing in the sea of an early morning. The long tree-lined beach, about 2 km away, is popular with the local people because of the Lions Club Park, the lighthouse, and two piers - and of course, the opportunity to soak in the evening breeze
 

Back to the future in Thailand

23 February 2008

The following quite depressing analysis of Thai politics comes from Chang Noi, a commentary in the Nation newspaper. He is sadly just writing what most people know yo be true. The smacking sound is Thailand's officialdom getting ready to feed again at the trough. The saddest statement is how little the coup achieved:

"The unmistakable sound heard over the last two weeks has been the simultaneous smack of many lips newly moistened by a saliva of expectancy after a long spell of drought.

There have been three general elections within three years. Elections Thai-style are expensive for candidates, for parties, and for patrons. There has been little time for recovery. On top, political chaos has disrupted budget spending. Under Thaksin rather few Cabinet posts went to MPs. Most were taken by outsiders. The Samak government is expected to be a welcome return to business as usual. Cabinet portfolios were shared among party financiers and the nominees of key faction heads in the time-honoured fashion.

Many newly anointed ministers were so overcome with excitement that they blurted out plans which have “gimme” written all them, even before they had got through the ministry door. Reverse compulsory licensing. Declare the eucalyptus tree an environmental marvel and plant thousands of hectares. Haul back the Bangkok mass-transit plans so that the specs can be changed and the whole bidding process restarted from scratch. Re-activate computer purchase schemes which are already mired in corruption charges. And refloat the irrigation fantasy which will require mega-volumes of earth moving, mega-kilometres of piping, and mega-tons of concrete without any popular demand or any calculable benefit.

If the landscape seems familiar that is because we have been here before, around a dozen years ago. No fewer than twelve of the current ministers or their nominators were members of the famous Cabinet of Banharn Silpa-archa. There is a photo of the heads of that coalition on the steps of Government House just after their alliance was formed. Samak, Thaksin, Banharn, Snoh, Sudarat, and Chalerm are all there. Banharn is trying to get them to link hands in the tableau popular at international conferences. But it isn’t really working. They look as if they don’t want to touch one another.

This similarity to the Banharn Cabinet signals a structural reversal too. This is a return to a government of small capital. Thaksin brought together a cabal of some of the biggest and most modernized corporate interests in Thailand. Several were directly represented in the Cabinet. Others were clustered close outside. Lesser businessfolk were excluded. The career path from local boss through MP to minister was suddenly disrupted. Over the last five years, several political families deserted national politics for the new and more accessible opportunities in local government. But now we are back to the old days. The tycoons are nowhere to be seen. The Cabinet is again the property of contractors, construction magnates, property dealers, and hauliers.

This means old-style feeding habits will return too. In the Thaksin era, the big corporations were less interested in crude old ways of looting the government budget. They collected their reward through increases in their profits or share prices brought about by government actions. This was sleek and even legal, most of the time. But we will be back now to the politics of loot, of padded estimates and percentage deductions.

There are two other reasons why the smacking of lips last week was especially enthusiastic and expectant. Both of these are gifts from the coup government, for which the new ministers should be truly grateful.

First, there is a lot of money around and a pressing need to spend it quickly. The coup ministers dedicated themselves to doing as little as possible. In truth, public investment has been low ever since the financial crisis over a decade ago. There is clear rationale for spending on public infrastructure and public goods of many kinds. The mega-projects have been dangling for three years, stymied by political conflict. There is money in the coffers and clear directions for spending it

Second, the total failure of the coup regime to nail anyone for corruption is an invitation to plunder with impunity. Recall that the coup regime made corruption one of its four key tasks. Look at the pitiful result.

The inability to catch big businesses for profiting through conflict of interest is perhaps not so surprising. But the total failure to prosecute anyone for the massive mining of Suvarnabhumi Airport is gob-smacking. The case over the CTX scanners has dissolved into thin air, even though it was reported months ago that the US Department of Justice had provided the names of those involved. Khunying Jaruvarn estimated that contracts were padded by 40 percent on average, but not one case has been launched. It is well established that King Power occupied far more retail space than its contract allowed, blocked safety exists, built a whole building without permission and without rental, and prejudiced airport security. Yet all attempts to bring the company to justice have been sandbagged. If these massive bits of plundering are safe from the law, then more modest piracy should be fine.

So it was not surprising that the first week of this government was dominated by a great smacking sound. And it was not surprising that the other sound of the week was a lot of snarling aimed at the media.

The old hands in this government will easily recall the problems which free media can cause. The press played a key role in exposing the multiple corruption which brought the Banharn government down after only sixteen months. The short period in the late 1990s when ITV was truly independent brought evidence of corruption to the attention of a wider swathe of the public than ever before. Thaksin’s government was doomed after it lost control of the media in mid 1995.

We can expect a return to the methods of controlling media used by the Banharn, Chavalit, and Thaksin governments: oversight, manipulation of advertising, and intimidation. Most of all, intimidation. Probably this time it will be faster and nastier. Chirmsak Pinthong was thrown off the airwaves by both Banharn and Thaksin, but this is the first time he lasted no more than a week."
 

Edison's unlikely repent

23 February 2008

Vancouver-born actor Edison Chen took a deep breath yesterday on Thursday and admitted to a packed Hong Kong news conference that he took explicit photographs that have been circulating online for weeks, featuring him with an assortment of actresses and pop stars in compromising positions.

"I would like now to apologize to all the people for all the suffering that has been caused and the problems that have arisen from this," Mr. Chen said in his first appearance since the scandal broke. "I would like to apologize to all the ladies and to all their families for any harm or hurt that they have been feeling."

It is all such hypocritical nonsense.

In reality the Hong Kong public learned, no surprise here, that bored young movie stars who have a libido and know how to operate a camera sometimes combine the two for their personal amusement.
 

Forget the self righteous condemnation; that many Hong Kong men are quietly in awe of Edison Chen's string of starlet conquests. This silly tale of on camera sexual ego and unsecured computers should never have become an international news story or a matter for prosecution over the distribution of "obscene" materials.

The truth is that Mr. Chen enjoyed photographing himself and his female companions, and would have continued to do so had his hard disk not been stolen and ransacked. His pleas for people to learn from his experience and his apology for not being a role model are implausible.
 

Thomson gets approval for Reuters acquisition

20 February 2008

Thomson Corporation said Tuesday it expected to close its 17-billion-dollar takeover of British media group Reuters in April after regulatory approval in the US, Canada and European Union.

The US Justice Department said it would require Thomson to sell financial data and related assets in three markets for financial data in order to proceed with the Canadian company's proposed 17-billion-dollar acquisition of Reuters Group PLC.

The conditional approval, taking into account antitrust concerns, paves the way for the creation of the world's biggest financial information group.

The Canadian company, whose operational headquarters is in the US state of Connecticut, said the Canadian Competition Bureau had also approved the deal.

The US condition for the sale to proceed was similar to that announced Tuesday by the European Commission.

According to the Justice Department, to preserve competition, Thomson must sell within 60 days copies of three financial datasets and must license related intellectual property to a firm or firms that will use the data in order to offer products and services in competition with the combined firm.

Thomson and Reuters said separately they expect the transaction to close in the week of April 13. Shareholder meetings for both companies have been scheduled for March 26.

The department filed a proposed settlement in federal court to protect the government's antitrust concerns.

Thomson agreed last year to buy Reuters for 8.7 billion pounds (11.5 billion euros, 17 billion dollars).

The deal would create the biggest provider of financial data to trading rooms, leapfrogging current market leader and US rival Bloomberg.

Along with the privately held US group Bloomberg, Thomson and Reuters currently dominate the market for providing financial data to banks, investment funds and other financial services firms.

In a joint statement, Thomson and Reuters said they would retain full ownership of the relevant databases and these undertakings do not affect Thomson's and Reuters' ongoing business or capabilities in these areas.

They said they were not required to complete the sales prior to the closing of the acquisition, and that all regulatory approvals needed to close the transaction had now been obtained

 

The following is a chronology of key moments in the history of a once great media name:

1851 - German-born Paul Julius Reuter opened an office in the City of London which transmitted stock market quotations between London and Paris via the new Calais-Dover cable. Reuter had previously used pigeons to fly stock prices between Aachen and Brussels, a service that operated for a year until a gap in the telegraph link was closed.

1870s - As overland telegraph and undersea cable facilities developed, Reuters expanded beyond Europe to the Far East in 1872 and South America in 1874.

1925 - The Press Association took a majority holding in Reuters.

1927 - Reuters introduced the teleprinter to distribute news to London newspapers.

1939 - Reuters moved its corporate HQ to 85 Fleet Street.

During both World Wars, Reuters came under pressure from the British government to serve British interests.

In 1941 Reuters deflected this pressure by restructuring itself as a private company. The new owners, the British national and provincial press, formed the Reuters Trust, with independent trustees.

The Trust preserves Reuters independence and neutrality. The principles of the Trust were maintained, and the power to enforce them was strengthened when Reuters became a public company in 1984. (See Reuters Independence and Trust Principles here).

1973 - Reuter Monitor launched, creating an electronic marketplace for foreign exchange. The service expanded to carry news and prices covering securities, commodities and money and led to the 1981 launch of the Reuter Monitor Dealing Service.

1984 - Reuters floated as a public company in London.

1995 - Reuters established its 'Greenhouse Fund' to take minority investments in a range of start-up technology companies, initially in the United States.

2000 - Reuters announced plans to accelerate its use of Internet technologies. Its shares set a record intraday high of 1,715 pence on March 7, days before the peak of the tech bubble.

2001, July: - U.S.-trained M&A lawyer Tom Glocer, became CEO, breaking long tradition of journalists running the company.

2003 - Reuters unveiled Fast Forward, a three-year program to make it more competitive. Its shares end a three-year decline when touching a low of 95.25 pence on March 12, having lost nearly 95 percent of their value. Staff are allowed to buy three-year options on up to 4,200 shares at 90 pence apiece.

2005 - Reuters consolidates most of its London-based operations into one building in the Canary Wharf financial district, east of London.

2007, May 4: - Reuters says it has received an approach.

2007, May 7: - Thomson confirms it has approached Reuters.

2007, May 15: - Thomson and Reuters say they have agreed a deal, valuing Reuters at $17.2 billion.

2007, July 5: - Thomson completes sale of its education assets for $7.75 billion to private equity partners Apax Partners and OMERS Capital Partners.

2008, Feb 7: Thomson said 2007 revenue rose 11 percent to $7.3 billion with operating profit up 4 percent to $1.3 billion.

 

Is Hillary down and out ?

20 February 2008

She has gone. Wisconsin probably sealed the Democratic nomination of Barack Obama. The nomination is now his barring a disaster.

Hillary has lost ten states in a row including Wisconsin on Tuesday. Hillary Rodham Clinton cannot win the nomination unless Obama makes a major mistake or her allies reveal something damaging about the Illinois senator's background.

The Clinton camp will play rough for the next two weeks. They have to. The danger for Obama is anything that undercuts his image as a candidate who rises above politics.

Obama is undeniably raw but he looks set to take the Democratic nomination. He is too well polished and advised to make a mistake that hurts in the Texas debates.He has won the most states, earned the most pledged delegates and has all the momentum.

Clinton needs to win Ohio and Texas on March 4 and in Pennsylvania on April 22 to make her come back. Only one of them can win, and it doesn't look good for her.

Ignore the Clinton advisers who argue that Wisconsin was just a bump on the road en route to the tell-all March 4 primaries.

Obama is now winning the support of the Clinton base; in Wisconsin Obama led among whites (widely among white men), moderates and those earning less than $50,000, all bastions of Clinton's past strength. Obama and Clinton split the vote among women, erasing her one-time advantage.

Demographically, Wisconsin was a warm-up for Ohio: nearly 90 percent of Tuesday's voters were white; about 40 percent earn less than $50,000 annually; nearly 60 percent have no college degree; and half are over 50 years old; all demographics that have tended to favor Clinton.

It looks increasingly likely that Rodham Clinton thought it would all be over by Super Tuesday. But it was not. Her camp had no post super Tuesday strategy and worse still no funds. The Clintons have lent US$5 million to her campaign.

 

Sports Day

19 February 2008

The mind is willing; the body is beginning to show signs of wear and tear. I thought that I had hung up my football boots in Hong Kong back in 2002 after another torn hamstring and a pitched brawl at the Hong Kong football club. They started it!

But here we are; back in goal for the corporate office at work led by "Fabio" Suchley and "Franz" Keevil, the latter strutting the pitch like a well-fed Beckenbauer. It was a fun day

 

 

 

 

 

 

 

 

 

 

 

 

Pai - not such a Paradise

16 February 2008

Lovely Pai is still a sleepy paradise in North East Thailand; hard to get to the town still survives primarily on tourism. The town is full of cheap guesthouses, souvenir shops and restaurants. In the proximity of the town are spas and elephant camps. Further outside of town, there are several waterfalls and a number of natural hot springs. Many tourists use it as a base for trekking and visiting the local villages and tribal people from all around the Pai Valley.

Recently Pai has appeared on the local tourist map and has received major infrastructure upgrades including two 7/11's, several small- to medium-size luxury resorts, a couple of live music clubs, beer bars and two sets of traffic lights. Yet the town still has a peaceful spirit especially out of season. There has however been a recent influx of business investment and land speculation by both farang and big city Thais.

In the tourist high season of November through March there are large numbers of tourists. Thai tourists make up the vast majority, particularly after Pai featured in two popular, Thai-made romantic movies.

Regular readers of this site will know that Tai and I were in Pai with her family in October and there are many pictures here.

But all is not well. It may be a sleepy town in the mountains, but Pai has over the past decade generated an unusual amount of controversy concerning the conduct of its local police, as well as the conduct of Thai drug enforcement police operating there. This is partially due to the proximity of Pai to drug routes from the Shan State in Burma.

There are many examples but worst of all was the so-called "War on Drugs" launched in February 2003 by former Prime Minister Thaksin Shinawatra, in which "more than 2,000 people in Thailand were killed as the government effectively declared 'open season' on those accused of involvement in the drug trade. This took a heavy toll on Pai district and downtown Pai in particular where a number of local people were killed without investigation.

In 2006, the Pai Police purchased a new mobile drug testing vehicle, and there have been numerous reported instances of the police entering bars and other establishments and randomly urine-testing foreign tourists. In many of these cases it is apparent that the searches were not performed legally. In Thailand, "when requesting urinalysis for drug identification purposes, at least one member of the Narcotics Suppression Police must be present. Regular Thai police do not have this right, nor do the Tourist Police. Second of all, there must be probable cause. In most cases, apprehended suspects are detained in Mae Hong Son jail for a few days, then released with a "fine" typically on the order of 5,000-10,000 baht.

On January 5th 2008, Pai made national and international news when an off-duty police officer, Sgt-Major Uthai Dechawiwat, fatally shot Canadian tourist John Leo Del Pinto, and shot and wounded a second Canadian tourist Carly Reisig, fleeing the scene immediately after the event. Nearly all involved believe that both the policeman and suspects were drunk at the time. Official police reports differ widely from eye-witness reports and it is expected that the officer will be acquitted by the Thai Justice system.

In an extremely unusual development which highlights the deep integrity issues that exist with the Pai police, reporter Andrew Drummond published an editorial in The Nation where he expressed his regrets for publishing views from all sides of the story in his earlier Nation article because: "While the facts presented were true, they have been wrongly taken in a malicious way by many...What the journalist cannot convey sometimes is his opinion of whether the witnesses are telling the truth or show immediately what links these witnesses have to the police....I am very concerned at several aspects of this case:

The police claiming that Reisig was pregnant and this had angered a jealous foreign boyfriend.
The claims by the police shooter that he had been out of town before the shooting, when other witnesses were saying the officer was drinking heavily that night in Pai.
The threats to prosecute Reisig for assault on police.
The automatic bail for the police gunman.
The fact that local police are investigating themselves.
The claims that the gun had discharged three times accidentally."

The most obvious question to be answered by Sgt Uthai, who claims his gun fired accidentally, is why how three bullets hit vital targets so accurately.

In a January, 2008 editorial published in Chiang Mai City Life (submitted in December, 2007), anonymous author "A Tourist" eerily anticipates the January, 2008 shooting in his/her strongly-worded objection to excessive police actions in Pai:

"I have noticed another significant change over the last year, which is the reason for writing this letter. The method of law enforcement in this small town needs to be seriously examined....there is also a general feeling of unrest here and I feel that it is quite obvious to the tourist travelling through. The police are unapproachable and menacing. This has a strong negative impact on the atmosphere here in Pai town. The previously friendly and welcoming town appears to have changed into a place where everyone is afraid to even walk down the street in case they are accused of doing something wrong."

For more information on the Del Pinto shooting read Bangkok based journalist - Andrew Drummond.

For more information about Pai click this great page with stories, photos and opinions.

Lessons from Hong Kong's latest internet frenzy

15 February 2008.

There are a few lessons from Hong Kong's latest and longest running scandal. One for the girl celebrities; what are you thinking letting the guy you are in bed with take digital pictures of you? For everyone else; be very careful who you ask to repair your pc! And remember that however much Hong Kong's celebrities love to stay in the bright media lights actually what sells newspapers is scandal.

And this story has been running in Hong Kong for over two weeks now.

What happened in simple. Canadian born Edison Chen, is a moderately successful cantopop and film star. He also seems able to bed, photograph and video many of Hong Kong's minor celebrities and a few of the better known ones as well. He then sent his ugly pink macbook to a back street computer shop for repair and almost instantly hundreds of x certificate photos featuring some of Hong Kong's best-known entertainers have appeared on the internet after being copied from his pc.

Hong Kong police have now arrested nine people for uploading the images, which are being constantly posted and then deleted from message-boards across the region. The pictures have also been posted to file-sharing networks with new images being uploaded daily. In mainland China the images are being reposted to message boards as soon as they are removed by moderators.

Even the church has become involved with the Catholic bishop of Hong Kong, John Tong, was moved enough to ask people to delete the photos.

The dozens of photos show Chen in separate scenes, some featuring sex, with at least six women, including Canto-pop singers Gillian Chung, (of Twins fame) Cecilia Cheung and the bizarrely named Bobo Chan.

And there is more apparently to come - Edison Chan and Maggie Q. And now three pictures of 19 year old Vincy Yeung, who is apparently Edison Chen's current girlfriend, have also been released by the mystery poster, and here's where it gets a lot juicier. Vincy is the daughter of Ricky Yeung, brother of tycoon Albert Yeung, the boss of Emperor Entertainment Group who is said to have numerous triad affiliations. Hong Kong tabloids are now running reports that there are plans by gangsters to "teach a lesson" to Chen. Organised crime is a key element in the Hong Kong entertainment industry. Chen may want to take extra protection, for a change!

The pictures began surfacing on the internet late last month where they immediately caused a frenzy in celebrity-obsessed Hong Kong. Gillian Chung features heavily in the advertising for Hong Kong Disneyland; looking at the Edison Chen pictures she might start singing "Its a small, small word."

For a little more background - here is my ex colleague Kristie Lu Stout, now with CNN - and her report on YouTube http://youtube.com/watch?v=9jFeEaSnYo0

Dubai's rocketing food prices

14 February 2008

One alarming figure in today's press was that basic food prices in the UAE have rocketed by 36%, with basmati rice expected to increase by at least a further 70%.

UAE daily Gulf News said that an expected shortage in rice would send prices sky-high, with Pakistani rice suppliers threatening to reduce exports if prices are not increased to match Indian products.

Retailers have been quick to point out that this appreciation is not of their doing; they argue that the weakening US dollar and the appreciation of certain Asian currencies are the main reasons for this trend. It has nothing to do with the profitability of the retail sector!!! Sure!

A leading hypermarket executive held the suppliers responsible, since 90 per cent of products here are imported.

There is no doubt that food price inflation is a global phenomenon; but GCC [Gulf Cooperation Council] countries have been affected because of their weak, dollar-pegged currencies.

Some examples of the soaring costs include:

Price of Basmati rice has shot up more than 50 per cent from Dh15 for a bag of 5kg to Dh22.70
A two litre bottle of cooking oil has increased 80 per cent, from Dh10.85 to Dh19.60
Indian mutton has gone through the roof from Dh13 a kg last year to Dh28 per kg
A whole chicken now costs Dh17.25 as compared to Dh10.35 last year
A 30-egg tray costs Dh14.60 today. Last year it was Dh12.30

Bangkok airport woes continue

13 February 2008

The Airline Operators Committee has (not unreasonably) proposed that a detailed plan is needed to cope with any emergencies which could arise when Suvarnabhumi airport is be left with only one operational runway while repairs are made to the other. Half of the eastern runway will be closed for 50 days for repairs, from Feb 18 to April 7.

The AOC said that Airports of Thailand (AoT) apparently have no plan to deal with any emergency during this period other than a plan to deal with heavy fog; in which case that will tell aircraft to divert to Don Muang airport and wait there for a few hours.

The AOC is demanding a workable plan in case, for example, the western runway was also forced to close during that period because of cracks or any other incident which could make it impossible to land or take-off.

AoT have not made clear whether Don Mueang would be ready to handle more flights from Suvarnabhumi if it were needed. The old airport no longer has the ground equipment or the airport, immigration and customs staff to handle international flights.

The AOC has also identified 19 critical issues, many of which it has raised before, and which now need immediate corrective actions. Most of these issues have not been addressed since the new airport opened.

- For the government to commit to a single airport concept for Bangkok with the old Don Mueang airport being used for low-cost carriers

- Urgently fixing the surface depressions in the runways, taxiways, taxi lanes and apron.

- Immediately revising and finalising the master plan for Suvarnabhumi's expansion with the construction of a mid-field terminal and a third runway.

- Putting knowledgeable and experienced personnel on AoT management.

- Relieving congestion at immigration lines, both at arrivals and departures.

- Getting rid of unauthorised tour guides, travel agents and illegal taxi drivers in the terminal.

- Improving reliability of the current baggage handling system and resolving the theft problems by activating under-covered patrols and reviewing CCTV capacity.

- Setting up a multi-party steering committee of experts to solve problems plaguing the airport's cargo operation.

If AoT continues to be run by civil servants seeking to make as much money as possible from converting the airport facility into a shopping mall none of these issues will be addressed.
 

Thailand's annual V-day crusade

12 February 2008

You always know  when Valentines day is approaching as Thailand's protectors of the nation's morality start to speak out. In Ayutthaya the provincial cultural council has apparently surveyed the activities of young people and has called called for strict monitoring of love nests for underage couples on Valentine's Day.

The local council chairlady is concerned that several love motels have appeared around the city and that all outbound highways in every direction lead to such motels.

She has urged police and related agencies to step up checks at motels which the council has found to have allowed minors, who apparently can be identified as they usually arrived on motorcycles.

The council's survey also identified six locations that young couples choose for promiscuous behaviour; they include three public parks,near the Somdej Phra Sri Suriyothai monument and King Naresuan monument and the Somdej Phra Srinakarindra Boromarajajonani park.

Teens have also been found making out in the provincial sports stadium, particularly the area on the back of a basketball field. Sadly no map was available with this new report!

Other locations include karaoke rooms, internet cafes and isolated corners in department stores. Shopping with your loved one takes on a whole new meaning in Ayutthaya.

She also said that ''the sale of condoms at grocery stores also encourages sex among youngsters.'' The good news is that if this is true then teenagers are practising safe sex and that seems far better than withdrawing (no pun intended) condoms from sale and increasing the health risks.

In her final salvo she argued that media hype surrounding Valentine's Day has also encouraged teens to skip classes to engage in sexual activity. It has nothing to do with the vast marketing hype surrounding Valentines and all the promotional activity that leads up to V day!

Meanwhile in Bangkok a recent survey conducted by Assumption University showed as many as 21.4 per cent of Thai youths were well prepared to have sex this Thursday for Valentine’s Day.

The survey was conducted between February 1 and 9 among 2,384 youths aged between 12 and 19 in Bangkok and surrounding areas. As many as 48.9 per cent of total respondents said it was their private right to have sex on Valentine’s Day. Statistically since 84.6 per cent of youths said that they had never had sex before it means that 143 of those surveyed (6%) expect to have sex for the first time this Thursday.

Meanwhile back in Dubai I will be home alone for the second year running!

The new flying yeti!

9 February 2008

Sharjah-based low-cost carrier (LCC) Air Arabia has marked the next step in its aggressive expansion strategy by establishing a new budget airline out of the Nepalese capital Kathmandu.

FlyYeti.com, a joint venture with Nepalese domestic airline Yeti Airlines is Nepal's first low-cost carrier (LCC). The airline launched its flights to Sharjah and Kuala Lumpur on January 20.

Air Arabia said it hoped that by operating from this hub it would be able to better serve markets encompassing South and Central Asia, the Far East, Middle East and Indian Subcontinent.

FlyYeti.com adheres to Air Arabia's low-cost business model and operates a single A320 aircraft. Sharjah and KL routes now operate two and three times weekly respectively. The carrier is looking to fly to Bangkok, Delhi, Hong Kong and Doha.

The announcement of Air Arabia's Nepalese airline venture comes after the LCC recently revealed plans to establish yet another hub in the Moroccan city of Rabat, having signed an agreement with private Moroccan carrier Regional Air Lines.

No kissing - this is Dubai

8 February 2008

The Mall of the Emirates has posted signs at all its entrances instructing visitors on its "Courtesy Policy."

The blue sign placed on the sliding glass doors advises visitors to "Please wear respectful clothing" and "No kissing or overt displays of affection", among other things.

The sign, however, doesn’t elaborate on what the policy regards as "non-respectful clothing" nor what the penalties for violating the policy may be.

A spokesman has apparently elaborated that if any visitor is overly-exposed, the security guards will make them aware that it is not culturally acceptable and that the policy is enforced in a positive and constructive way. Your average security guard wont be able to do this.

The blue sign placed on the sliding glass doors advises visitors to:

  • "Please wear respectful clothing"

  • "No kissing or overt displays of affection"

  • "No smoking in the mall"

  • "No consumption of alcohol in the mall"

  • "No dangerous activities, ie sport games, rollerblading or skateboarding"

More traffic chaos in Dubai

8 February 2008

Motorists will be hit by crippling traffic jams in Dubai’s Al Garhoud area following the closure of a major road leading towards Al Garhoud Bridge and Bur Dubai from Friday.

The Roads and Transport Authority (RTA) will close a section of the road and bridge leading towards Al Garhoud Bridge from Casablanca Road and Al Rebat Road, to demolish the old Al Garhoud Bridge.

Massive traffic jams are expected with airport traffic now forced to take the Al Maktoum Bridge, the Floating Bridge or the Business Bay Bridge to reach Sheikh Zayed Road and Bur Dubai.

The closure is a temporary process - but will last for at least one month - until the new Al Garhoud Bridge is opened.

The demolition and removal of the old Al Garhoud Bridge is required to ensure boat movement under the new bridge. Traffic heading to Bur Dubai using roads leading to the closed path should re-route through the Business Bay Crossing, and motorists inbound from the Airport Tunnel may go to Nad Al Hummer and drive through Al Rebat road to the Business Bay Crossing.

Motorists inbound from Marrakesh Road may drive through the free path leading to the Business Bay Crossing, while others coming from Casablanca Road may drive through Al Rebat Road towards the Business Bay Crossing.

The RTA is currently investing around $22 billion in Dubai's transport infrastructure as it looks to reduce congestion.

The investment plan allocates $12 billion for new roads, $2.5 billion each for marine transport and tram systems, $6.3 billion for the Dubai Metro and $600 million for new buses.

Construction on the new $13 million Al Garhoud Bridge began in February 2006 and its capacity is estimated at 16,000 vehicles per hour, more than double the volume of the old bridge.

No victory in this coup
 

Commentary from the Nation newspaper

4 February 2008

"The past 16 months have seen an epic battle to rule Thailand. Once the outcome of such a battle becomes certain, there's a tendency to imagine it was inevitable all along. But, at this transitory moment, it's worth looking back to review what happened.

After the coup in September 2006, the junta set out to obliterate Thaksin's political leadership. A special task force of soldiers paid with public money was sent into the villages of the North and Northeast on a hearts-and-minds mission against pro-Thaksin thinking. The tactics were based on the campaigns which mopped up the last traces of the communist movement in the 1980s. By brandishing their weapons, the soldiers would persuade people to transfer their allegiances.

By decapitating the Thai Rak Thai (TRT) party, the junta expected the alliance of MPs supporting Thaksin to fall apart. Many factions had joined the Thaksin camp since 2001 because that was the way to gain access to power. Now that TRT had been disbanded and Thaksin was in exile, faction leaders would peel away and wait until a new power centre arose. Some did indeed follow this route.

Now fast-forward to the referendum on the new Constitution in August 2007. This was not really a vote on the Charter, since few understood or cared about its intricacies, but an opinion poll on the junta's performance. Again state funds were mobilised on a large scale to secure the yes vote which the junta wanted, and state power was used to search-and-destroy the opposing campaign. This mobilisation was a dress rehearsal for the general elections that would follow. The junta seemed sublimely confident of success. General Sonthi Boonyaratglin predicted 90 per cent support. Army polls estimated 70 per cent. A junta spokesman cited 60 per cent as the minimum imaginable.

The result was a shock. Only 58 percent voted in favour. The upper North and Northeast were virulently against it. Most strikingly, many people had lied to the opinion pollsters, and to the exit pollsters on referendum day. Some enterprising journalists probed this widespread deception. They found that many people in the Northeast resented the junta's attempts to manipulate opinion using state machinery and intimidatory tactics. They lied to the pollsters in part because they were afraid of possible consequences, and in part as a way of thumbing their noses.

Meanwhile, TRT had failed to fragment as the junta hoped. Thaksin was outside the country but not off the screen. By purchasing Manchester City, employing an experienced political PR consultant in the UK, and exploiting the potential of the Internet, Thaksin kept alive the thought that he, rather than the generals, might be the future focus of power. While some factions defected, the core lineage of the TRT stayed together (Chaturon Chaisang, Sudarat Keyuraphan, Yaowapha Wongsawat, Newin Chidchob).

Once the constitution referendum was concluded, the path to a general election was clear. The junta debated delaying the polls, but finally decided against. Instead it concentrated on orchestrating a desired election result. Sonthi believed there was still time to change people's minds by using the ammunition of government money. The main strategy was to herd the defecting factions into a new political third force which would lure promising election candidates away from the pro-Thaksin camp. Sonthi prepared to launch himself into politics as the leader of this third force.

But this battlefront proved to be a minefield. The party proposed for Sonthi's entrance into politics went down with the crash of an aircraft owned by the party's chief sponsor. The faction heads fell to stabbing one another rather than carrying out the junta's mission. Prachai Leophairatana had delusions of becoming Thaksin reincarnate. Instead of a single third-force party, there were six of them.

At this delicate point Sonthi had to stand down as Army chief. With so much uncertainty, he abandoned the idea of party leadership and instead took direct charge of orchestrating the election result. With the generals' position crumbling away, their thinking became more desperate. They drew up a strategic plan which described TRT/People Power Party (PPP) as the historical extension of the communist movement and justified the continued use of state resources to fight the elections and manipulate the result. One of the action plans to implement this strategy was a campaign of anti-PPP publicity and deliberate disinformation, using state-owned media. Probably there were parallel action plans for deploying other state machinery to manage the election.

But by now TRT/PPP had regrouped and begun to concentrate its fire on the junta's embattled position. The junta tried to tie three major anti-PPP parties into a pre-poll alliance which would act as a draw for other candidates. At first the parties seemed to agree, but then they disengaged and retreated to neutral ground. Probably there were salvoes of money influencing these troop movements.

The election result again dashed the junta's hopes. People had again either lied to the pollsters or abandoned the third-force parties when they came to vote. The PPP won more seats than the junta hoped or feared. Orchestrating an anti-PPP victory would now require major manipulation by the Election Commission (EC). When the EC withheld approval of 80 seats, this still seemed possible. Sonthi went on record that he had not lost hope. But in practice, the only option was a carpet-bombing campaign that would invite international condemnation. Sonthi ran up the white flag.

The junta's attempts to resurrect the divisive thinking and intimidatory methods of the 1980s has failed. The attempt to orchestrate an election using public money and public resources has failed. Even though the Cabinet is a time-warped 13-year regression to the 1995 line-up dubbed the "7-Eleven administration" (seven parties, eleven factions, open for business 24 hours), and includes many of the same faces among ministers or their nominators (Samak, Chalerm, Thaksin, Banharn, Snoh, Sudarat, Suwit, Somsak, Anusorn and Newin), this is a victory for the principle of electoral democracy.

The lesson from this debacle is already in the old manual on the "Art of War" (Phichai Songkhram): do not fight a war when other methods are appropriate.

Chang noi - The Nation"

Dubai's new crown prince

2 February 2008

UAE Vice President and Prime Minister Sheikh Mohammad bin Rashid has issued a decree in his capacity as Dubai Ruler, appointing his son Hamdan as Crown Prince of Dubai Emirate. Hamdan becomes the clear successor to his father.

Born on 14 November, 1982, Hamdan studied at the Rashid Private School in Dubai. After graduating, he joined the UK's Sandhurst Royal Military Academy. He has attended specialized courses at the London School of Economics and the Dubai School of Government.

Hamdan is currently chairman of the Dubai Executive Council, entrusted with overseeing Dubai Government entities.

Hamdan is also the President of Dubai Sports Council, Dubai Autism Center and the Sheikh Mohammed bin Rashid Establishment for Young Business Leaders.

He has also won several awards at local and international endurance horse races, including the Gold Medal at the Asian Olympic Games.

Dubai ruler also issued another decree naming his brother Hamdan bin Rashid and his son Maktoum bin Mohammad as his deputies.

Sheikh Mohammed rules in tandem with three key lieutenants: Mohammed al-Gergawi, who heads Dubai Holding, a conglomerate of private companies owned by Sheikh Mohammed, including Dubai International Capital; Sultan bin Sulayem, who oversees government companies such as DP World and Dubai’s offshore real estate developments; and Mohammed Alabbar, the chairman of Emaar Properties, the real estate giant.

As Sheikh Hamdan gains more public prominence, his advisers could also come to play a more active role in government.

EK's 2008 expansion

1 February 2008

The Chairman of Emirates has announced that the airline will open 8 news destinations in 2008 and take delivery of 22 new airplanes (almost 2 a month).

The only announced destination so far is Cape Town. There are five other that insiders say are confirmed with two others to be agreed.

The five confirmed by insiders are:

Buenos Aires GIG
Chicago Orly ORD
Los Angeles LAX
Rio de Janeiro EZE
Madrid MAD

The Buenos Aires/Rio flight could be combined into a single route probably with the A340-500.

With regards to LAX, the Boeing 777L will be used to fly DXB-LAX-DXB nonstop. For ORD the flight will be flown non-stop by a  B777W, the same equipment as Toronto and New York.

Lots of speculation about other destinations - here are a few possibilities with comments: growth would be faster if new equipment was available; the delivery schedule of the remaining B777-200LRs is as follows:

End of Jun 2008 - A6-EWE
End of Jun 2008 - A6-EWF
End of Aug 2008 - A6-EWG
End of Sep 2008 - A6-EWH
End of Oct 2008 - A6-EWI
End of Jan 2009 - A6-EWJ

The delivery of A6-EWE will be used to upgrade GRU (Sao Paulo)to a daily service and to upgrade the aircraft used for flight EK306/307 to Beijing 5 out of 7 days a week. So any new ULR service (eg LAX) is unlikely to commence until mid summer. Even so it will likely be 3 or 4x weekly and would only upgrade to a daily by beginning of September 2008.

Berlin and Stuttgart are keenly sought by Emirates but there are concerns getting new routes approved by the German authorities etc. Berlin in 2008 as EK has stopped its Hamburg to JFK connections.
San Francisco - probably not in 2008. Ideally needs a 777L especially during the hot summer months.
Copenhagen and Stockholm. 2009 is my guess.
Dakar and other African destinations. 2009 at the earliest.
Miami - requires a 777L unless it operates one stop via Spain. Another one for 2009 when the A380s start to free up some capacity.
Calgary - decent oil/energy traffic. But not enough to justify a 777. Perhaps a 340-300. 2009 at the earliest.
Vancouver - would be nice - 2010 at best.
Barcelona - only after Madrid
Durban, South Africa. Possible for 2010 in time for the football world cup.
Geneva - likely - as Etihad does well on this route. 2009.
Mexico - possibly through Madrid or as an extension to Houston. A hot and high airport I doubt non stop to Dubai is feasible.
Edinburgh - might impact Glasgow yields. Double daily to Glasgow more likely in the short term.
Amsterdam - 2009.
Brussels - 2009
Kiev and St Petersburg - additional Russian coverage. Better than flying Aeroflot
Regional Chinese destinations. Name them all. China alongside India are some of the fastest growing economies in the world. EK performs well on these routes and one more Chinese city (Guangzhou) is likely by the end of 2008.

 

Thailand's dismal new cabinet

from The Nation

1 February 2008

"It has become obvious to everyone that the Cabinet being formed by the People Power Party-led coalition under Prime Minister Samak Sundaravej is handicapped not by lack of opportunity, but a dearth of talent. Samak or his handler, deposed prime minister Thaksin Shinawatra, may have searched in vain for well-respected professionals with unblemished track records among the rank and file of the six parties that make up the coalition. Would-be political appointees outside party politics, who might otherwise be persuaded to take up key Cabinet positions - especially ones that require some technical knowledge, such as the Finance portfolio - appear reluctant to join Samak's Cabinet.

Because of Samak's controversial past and his new-found role as Thaksin's nominee, the new prime minister is not able to access the usual pool of talent made up mainly of retired technocrats, well-known academics and prominent bankers. Such people would certainly make his Cabinet more presentable.

Failure by Samak to reassure the business community and the general public of any intention to take a more principled approach in implementing some of the populist policies that the PPP inherited from Thaksin's disbanded Thai Rak Thai Party also worries many prospective appointees with professional integrity.

Most of these talents are reluctant to associate themselves with Thaksin, who is accused of a series of corruption scandals and due to face trial in the courts for some of them. They probably also wonder if it is worthwhile to be part of a coalition government that most political observers say will be short-lived.

It is no exaggeration to say the Cabinet line-up is not a pretty sight by Thailand's standard, as a middle-income developing country.

It is true that the urban middle-class and the rural masses expect different things from the government, but the level of integrity and competence of members of the new Cabinet will lag far behind that of any previous administration in recent memory.

What is the new government going to do to restore the confidence of the public and international investors? All is not lost. There are many people in this country who are prepared to give the incoming Samak administration the benefit of the doubt.

To get off to the best possible start, the new government will need the service of advisory teams, made up of second- or third-tier talents who are willing to feed Cabinet ministers with ideas, offer policy options and act as spin-doctors. This may compensate for the lack of skill on the part of some Cabinet members.

In addition, and very quickly, the Samak government must prove beyond any reasonable doubt that its main purpose is to put the country back on track to genuine democracy and to put an end to the politics of divisiveness. It must strive to restore confidence in the economy and to work to achieve national development goals based on sound governance and good economic stewardship.

To do that, it must prove that it is capable of being magnanimous in victory. Thailand has suffered enough from missed political and economic opportunities due to the abuses committed under the five and half years of Thaksin's misrule, the military coup that suspended democracy, and almost 16 months of ineffective military-appointed government.

The least we can expect from the emerging coalition government - which controls an ample majority in the House of Representatives - is for it to do everything in its power to work solely toward a normalisation of national politics and the economy. This is no time for the ruling party to indulge in vengeful actions or to settle scores with political opponents.

Most important of all is the need for the government to show a sense of fair play. Let's not forget that the mandate the PPP and its political allies won in the December 23 general election is only for honest and responsible politics.

It cannot be emphasised enough that dirty politics - characterised by disrespect for the rule of law; corruption; suppression of civil liberties; and undermining of democratic institutions - can never be justified regardless of the size or margin of the electoral victory. Unless the new government learns from the mistakes of Thaksin, Thai politics may yet fall into the same vicious circle again.  

The Nation