Thailand and US hail trade relations, but piracy clouds talks
BANGKOK (AFP) — Thailand and the United States vowed Monday to boost trade relations after a return to democracy in the kingdom last year, but a dispute over intellectual property rights hung over the talks.
The United States is Thailand's top trading partner, but a coup in September 2006 prompted the US to halt discussions on a bilateral free trade agreement.
Christopher Padilla, the US under secretary for international trade who was in Bangkok for the 175th anniversary of US-Thai relations, hailed elections last December as "a welcome milestone."
"America stands with your freely elected government. America looks to invigorate and deepen our economic ties. American business is back and here to stay," he told a business gathering.
Thai Prime Minister Samak Sundaravej assured assembled US business leaders that his new government was trying to improve the investment climate, and said it had no plans to put restrictions on foreign companies.
Neither side mentioned the free trade talks, but Thailand expressed its displeasure at the kingdom's appearance for a second year on the priority watchlist of a US report on intellectual property rights protection.
"Thailand is committed to the rule of law and international obligations," Foreign Minister Noppadon Pattama said.
"We are committed to intellectual property rights protection and -- if I may add -- should have been elevated to the watch list instead of being stranded in the priority watch list."
In the US annual report released last week, Thailand was one of nine countries including China and Russia singled out for allegedly failing to respect US patents and copyrights.
It listed copyright violations on books, computer software, DVDs and cable television in Thailand as cause for concern.
Thai-US business relations have also been soured over Thailand's copy-cat drugs programme.
Thailand's military government in 2006 issued so-called compulsory licences, suspending patent protections for expensive cutting-edge treatments for AIDS, cancer and heart disease and allowing cheap, generic versions into the market.
The generic drugs programme -- which the current government has said it will keep -- infuriated western pharmaceutical companies, which complain the scheme violates their intellectual property rights.
Disagreements over pharmaceuticals were a major sticking point in earlier free trade talks between Thailand and the United States.
Padilla said the United States recognised the efforts by Thailand to curb piracy, but reiterated that it was watching the issue closely.
"I propose our two governments establish a formal bilateral dialogue on intellectual property rights and develop a joint action plan, so that Thailand may in the future be removed from the priority watch list," he said.
