Thailand, Myanmar team up on ambitious port project

Thailand and Myanmar have signed a memorandum of understanding on the development of a special economic zone for Dawei, with Thailand agreeing to provide assistance in areas including security, infrastructure and logistics. The Dawei development on Myanmar's southern Andaman coast is a key part of the impoverished country's plans to transform its economy, giving neighbours, such as Thailand an outlet to the Indian Ocean and markets to the West.

Thai Prime Minister Yingluck Shinawatra told reporters that the two nations would set up ministerial-level contacts to address related issues." In our talks, I reaffirmed the commitment of the Thai government to push forward with this cooperation with Myanmar in regard to the development of the Dawei deep sea port to have concrete progress," Yingluck said.

The Dawei project would include a 250 square kilometre (100 square mile) industrial area with a steel mill, petrochemical plant and oil refinery. The Thai developer insists all is going to plan. It is among a number of ambitious foreign-funded projects, which started before the long-ruling junta handed over power last year to a new quasi-civilian government whose ranks are filled with former generals.