Thailand and the European Free Trade Association (EFTA) plan to ink a free-trade agreement in January next year, with the goal of increasing export opportunities and attracting more European investors to Thailand, the Ministry of Commerce said on Saturday.
Minister Pichai Naripthaphan was announcing successful negotiations for the Free Trade Agreement (FTA) between Thailand and the European Free Trade Association (EFTA), comprising Switzerland, Norway, Iceland and Liechtenstein.
This agreement marks a significant step in Thailand's efforts to strengthen trade relationships, expand export opportunities and attract foreign investment, aligning with Prime Minister Paetongtarn Shinawatra's directives to pursue FTAs with key trade partners, he said.
Mr Pichai said the negotiations initiated in 2022 had been completed within two years, meeting the targeted timeline.
This FTA covers 15 comprehensive areas, such as trade in goods, rules of origin, trade facilitation, services, investment, intellectual property, public procurement, competition, sustainability and SME development.
Mr Pichai said this is Thailand's first FTA with a European trade bloc, setting modern standards and addressing sustainable development goals. It is expected to pave the way for future agreements with other key partners, such as the European Union.
The Ministry of Commerce will present the finalised agreement to the cabinet for approval, with plans to sign it during the upcoming World Economic Forum (WEF) in Davos, Switzerland, in January next year. Prime Minister Paetongtarn and Mr Pichai will be present at the event.
After parliamentary endorsement, the agreement will be ratified, enabling its implementation to drive Thailand's economic growth, said the minister.
Trade between Thailand and the EFTA from January to October this year exceeded $10 billion, representing 2.03% of Thailand's total global trade and a 23.22% year-on-year increase.
Thailand's primary exports to the EFTA include jewellery, watches, canned seafood, machinery, cosmetics and rice, while imports focus on gems, gold, pharmaceuticals, scientific equipment and fresh seafood.