November 3, 2007
THAILAND-CAMBODIA : Trade
Thai-Cambodian Border Trade Robust After Rules Relaxed
Thai-Cambodian border trade is brisk again after stagnating when Cambodian authorities limited the transport of agricultural produce via Thai farm trucks.
Cambodia has now again allowed Thai farmers vehicles to cross the border to transport agricultural products after banning Thai farm trucks from travelling more than 500 metres into its territory from border crossings at Thailand's Chanthaburi and Sa Kaeo provinces from August to October, according to the head of a a border trade operators association in Chanthaburi's Soidao district.
Cambodia claimed that because Thai vehicles are run by right-side steering wheels, it was unsafe for Thai drivers to operate Thai vehicles inside the neighbouring country.
However, the order was revoked by the governor of Battambang on October 30. Relaxation of the stringent rule makes border trade robust and lucrative once again, after trade had stagnated during the past two months.
The ruling was cancelled because it also affected Cambodian farmers and they suffered losses of unsold farm produce because there were no Thai trucks to carry their products in Cambodia.
Thailand is their most important agriculture market. However, Cambodia will increase the per-vehicle charge for allowing Thai trucks to enter more than 500 metres into its territory.