CHAPTER 1 NATIONAL BACKGROUND. Fig. 1. Flag of the Kingdom of Thailand. Fig. 2. Map of the Kingdom of Thailand

Transcription

1 CHAPTER 1 NATIONAL BACKGROUND Fig. 1. Flag of the Kingdom of Thailand Fig. 2. Map of the Kingdom of Thailand Theodora.com 1

2 Box 1. Basic Facts and Figures Official Language: Thai Capital: Bangkok Major Cities: North: Chiang-mai, South: Songkla, Central region: Ayutthaya and Chonburi, North Eastern: Nakhon Ratchasima and Khon Kaen Currency: Baht Climate: sub-tropical; rainy, warm, cloudy southwest monsoon (mid-may to September); dry, cool northeast monsoon (November to mid-march); southern isthmus always hot and humid Population: 64,631,595 (2006 estimate); 60,916,441 (2000 census) Population Growth Rate: 0.68% (2006 estimate) Total Area: 514,000 km 2, 511,770 km 2 (land) and 2,230 km 2 (water) GDP per capita: $ 8,542 Industries: tourism, textiles and garments, agricultural processing, beverages, tobacco, cement, light manufacturing such as jewelry and electric appliances, computers and parts, integrated circuits, furniture, plastics, automobiles and automotive parts; world's secondlargest tungsten producer and third-largest tin producer. A. Geography The Kingdom of Thailand is in Southeast Asia, bordering Laos and Cambodia to the east, the Gulf of Thailand and Malaysia to the south, and the Andaman Sea and Myanmar (Burma) to the west 1. It has a total area of 514,000 km 2, with 511,770km 2 of land and 2,230 km 2 of water. The country is divided into four geographical regions: Central (includes Bangkok, the capital of Thailand), North, Northeast, and South (which includes the eastern region). The northern part of the country is mountainous, with Doi Inthanon being the highest point at 2,576 meters. The Khorat plateau is located at the northeast of the country, bordered to the east by the Mekong River. At the center of the country, the flat Chao Phraya river valley runs into the Gulf of Thailand. The South consists of the narrow Kra Isthmus that widens into the Malay Peninsula 2. Thailand has a sub-tropical climate with three seasons, rainy, cool and hot. The rainy season is warm and cloudy with southwest monsoon during mid-may to September. The cool season is dry with the northeast monsoon blowing from November through middle of March. The southern isthmus is always hot and humid 3. The southern part of Thailand experiences only hot and dry season 4. The average temperature for the country is from a low 20 o C to a high 37 o C 5. Major cities besides Bangkok are Nakhon Ratchasima, Udon Thani, Nakhon Sawan, Chiang Mai, Surat Thani, Phuket, and Hat Yai (Songkhla Province) 6. B. History There are conflicting opinions on the origin of the Thais. The land has been inhabited since the beginning of civilization in Asia. Thai history can be divided in a pre- and post-sukhothai period. The Sukhothai period is considered as the first Thai kingdom. 1. Pre-Sukhothai Period There are many theories regarding the origin of Thais. One theory is that the people migrated southwards to Southeast Asia from the Altai mountain range in northwestern China- Mongolia 7. Another is that the Thais who migrated from Szechuan province of central China founded a kingdom in southern China called Nanchao and were driven further south to IndoChina and present-day Thailand by the Mongol ruler Kublai Khan in A third hypothesis propounds that the Thais were originally of Austronesian, rather than Mongoloid stock, and had migrated northwards from the Malay Archipelago 8. These suppositions are unconvincing since archeological and historical evidence does not corroborate with these theories. 2

3 The most convincing of all is that relying on linguistic proof. From a research done in the southern Chinese provinces of Kwangtung, Kwangsi, and Yunnan, where the Thai language is still spoken, it seems that the Thais migrated southward from these provinces 9. It was averred that Thailand was inhabited during prehistoric times. Most recent archeological findings on Ban Chiang suggest that a strong well-developed culture, with early agriculture and bronze metallurgy existed in the northeast about 3,000 B.C. a. Dvaravati Civilization From the 9 th to the 11 th century, the Mon civilization called Dvaravati, who shared a common lineage as the Khmers, occupied the central and western parts of the country. Dvaravati influence could still be seen in Nakhon Pathom, Khu Bua, Phong Tuk, and Lawo (Lopburi). Dvaravati is an "Indianized" culture, where Theravada Buddhism is the dominant religion 10. By the 11 th to 12 th century, the influence of the Mon spread to central Thailand. The capital of this empire was the great city of Angkor, and the Khmer rulers were masters of a tightly organized society with capability for territorial and cultural expansion 11. The Sanskrit language was incorporated in Mon-Thai vocabulary. They also built stone temples in the northeast, notably in Phimai and Phanom Rung. The Khmer empire declined during the th century AD and was finally defeated by the Thais of Ayutthaya in b. Lan Na Period The chronicles of the origin of "Lan Na" and "Chiang Saen" are found in the Mae Kong River 13. King Mengrai was the first ruler enthroned in The Lan Na period flourished for 200 years. The kingdom extended from the borders of Thailand to Lamphum and conquered the ancient Mon of Harupinjaya. Its capital was located in Chiang Mai, which was the navel of the eight world synod of Theravada Buddhism, in the River Ping. Its arts and literature reached the peak in the middle of 15 th century, the King Tilokoraj period 14. After his death, internal conflicts ensued which further weakened the Sukhothai s successors. 2. Sukhothai Period Sukhothai was founded in 1238 by two Thai governors Khun Klang Thao (Si Inthrathit) and Khun Pha Muang. These governors rebelled against the Khmers and gave independence to the region 15 which stretched from Lampang in the north to Vientiane in Laos and southwards to the Malay Peninsula. This period was considered as the golden age of Thai culture. A famous inscription read as follows: There is fish in the water and rice in the fields, indicating a prosperous land. Under King Ramkhamhaeng, an organized writing system was developed which became the basis for the script that eventually developed to be the modern Thai alphabet 16. This lasted only until the 15 th century when Ayutthaya became a centralized state over-powering Sukhothai and eventually becoming a province in the kingdom. 3. Post-Sukhothai Period a. Ayutthaya Period For 417 years, the kingdom of Ayutthaya was the dominant power in the fertile Menam or Chao Phraya Basin 17. This was founded by U-Thong in It is an island-city, which is surrounded by three rivers: the Chao Phraya, the Pasak and the Loburi. It is also bound by rice terraces. Impressed with its prosperity, Europeans traded with the Thais in the early and mid16 th century. However, in 1765, the Kingdom was invaded by the Burmese who burnt the city down. b. Rattanakosin Period * * Named after a small island in the center of Bangkok. 3

4 After Ayutthaya fell into the hands of the Burmese for two years, the Kingdom could not be united. Phaya Taksin, a Thai general, proclaimed himself king in He became the ruler of the new capital of Thonburi, located at the bank of Chao Phraya River, opposite of Bangkok. He was eventually deposed and executed in 1782, and the Chakri dynasty was established 19. The capital was moved to Bangkok. During the 19 th century, diplomatic relations and trade agreements were established with the European powers 20. With King Mongkut s (Rama IV) and King Chulalongkorn s (Rama V) diplomatic skills, colonization by either France or Great Britain was prevented. However, Thai s territory became smaller, with France taking Laos and Cambodia while Britain claiming some Malayan territories. King Prachadhipok (Rama VII) changed the government from absolute monarchy to a democratic one in King Bhumipol Adulyadej (Rama IX), the present king, was enthroned in 1946 and is considered as the longest reigning monarch in the world. Under Rama IX's government, the country's name was officially changed from "Siam" to "Thailand" in 1946 which was defined in Thai as "Prathet Thai" - the word "Prathet" means "country" and the word "Thai" means "free" 21. A democratic government was elected in A brief episode of military intervention occurred in 1991, with casualties during protests in May However, new elections were held in September 1992 and since then, elected governments have held office 24. C. Government Thailand has a constitutional monarchy. The king has little direct power under the constitution but is the anointed protector of Thai Buddhism and a symbol of national identity and unity 25. The monarch s position is hereditary. The king also has the responsibility to appoint a Prime Minister by choosing among the members of the lower house of parliament. Following a national election for the House of Representatives, the leader of the party that will be able to organize a majority coalition government usually becomes the head of the government or the Prime Minister 26. The bicameral Thai parliament is the National Assembly (rathasapha) which has two chambers the Senate (wuthisapha), consisting of 200 seats, and the House of Representatives with 500 members. The Senate is a non-partisan body with limited legislative powers 27. Every province has at least one senator. Of the 500 members of the House of Representatives, 400 are Nino di Bari directly elected from constituent districts, while the rest are drawn proportionally from the party lists. Members of the House of Representatives serve four-year terms, while Senators serve sixyear terms 28. The court system (san) has three layers, the highest judicial body being the Supreme Court (sandika) whose judges are directly appointed by the monarch 29. All of the courts are under the Thai Ministry of Justice 30. The Court of Appeals is divided into three districts, and there are three judges for each court. The country is divided into 75 provinces (changwat), which are further grouped into five provinces according to location. There are also two special districts: the capital of Bangkok (Krung Thep Maha Nakhon) and Pattaya. The latter, though, is still considered a part of the Chonburi province. The 75 provinces are as follows: North Chiang-Mai, Chiang-Rai, KamphaengPhet, Lampang, Lamphun, Mae Hong Son, Nakhon Sawan, Nan, Phayao, Phetchabun, Phichit, Phitsanulok, Phrae, Sukhothai, Tak, Uthai Thani, Uttaradit 4

5 Northeast Amnat Chareon, Buri Ram, Chaiyaphum, Kalasin, Khon Kaen, Loei, Maha Sarakham, Mukdahan, Nakhon Phanom, Nakhon Ratchasima, Nong Bua Lamphu, Nong Khai, Roi Et, Sakon Nakhon, Si Sa Ket, Surin, Ubon Ratchathani, Udon Thani, Yasothon East Chanthaburi, Chon Buri, Prachin Buri, Rayong, Sa Kaeo, Trat Central Ang Thong, Phra Nakhon Si Ayutthaya, Chachoengsao, Chai Nat, Kanchanaburi, Lop Buri, Nakhon Nayok, Nakhon Pathom, Nonthaburi, Pathum Thani, Phetchaburi, Prachuap Khiri Khan, Ratchaburi, Samut Prakan, Samut Sakhon, Samut Songkhram, Saraburi, Sing Buri, Sauphan Buri South Chumphon, Krabi, Nakhon Si Thammarat, Narathiwat, Pattani, Phang Nga, Phatthalung, Phuket, Ranong, Satun, Songkhla, Surat Thani, Trang, Yala Special Governed Districts Krung Thep Maha Nakhon (Bangkok), Mueng Pattaya (Pattaya) Some Thais still count Bangkok as one province, making Thailand a 76-province country. Bangkok's governor is popularly elected, but those in the remaining provinces are career civil servants appointed by the Ministry of Interior 32. The leaders are guided by the constitution, which was ratified and signed by King Bhumipol Aduldej (Rama IX) on 11 October D. Economy As in many of the developing countries, the major urban centers are those that experience the highest economic growth. Bangkok and its environs are the most prosperous, but the infertile northeast is the poorest 33. The Thai government is stimulating provincial economic growth through implementation of programs, such as the Eastern Seaboard project and the development of the alternate deep-sea port on Thailand s southern peninsula to reduce the regional income differentials. Aside from these programs, discussions with Malaysia to develop the economy of provinces along the Thai-Malaysian border are being held. The economy of Thailand is export-dependent, with exports accounting for 60 percent of the gross domestic product (GDP) 34. Thailand was able to recover from the Asian financial crisis in through increased demand of the foreign markets, such as the United States (US). When Prime Minister Thaksin was elected in 2001, the administration stimulated the increase of domestic demand and reduced the country s reliance on foreign trade and investment. Since then, the Thaksin administration has refined its economic plans, embracing a dual track economic policy that combines domestic stimulus with Thailand s traditional promotion of open markets and foreign investment 35. This was known as Thaksinomics (see Box 2). Box 2. Thaksinomics The core of Thaksinomics revolves around populist economic policies designed to increase the purchasing power of Thailand's rural lower classes that make up the majority of the country's population. These policies have included: A three-year debt moratorium for farmers, combined with orders to Thailand's stateowned banks, to aggressively extend 5 loans to farmers, villages, and SMEs (small and medium-size enterprises) at discounted rates. Subsidized petrol and diesel prices, starting January 2004 in order to cushion the impact of rising world oil prices on consumers. The government has also forced the

6 Roughly 60 percent of Thailand s labor force are employed in agriculture 36. Rice is the most important crop, where Thailand is one of the major exporters in the world rice market. Other agricultural commodities produced in significant quantities include fish and fishery products, tapioca, rubber, grain, and sugar 37. Processed foods for export like canned tuna, pineapples, and frozen shrimp are increasing in demand. The manufacturing sector has the largest contribution to the country s economic growth. Industries registering rapid increases in production included computers and electronics, garments and footwear, furniture, wood products, canned foods, toys, plastic products, gems, and jewelry 38. High-technology products such as integrated circuits and parts, electrical appliances, and vehicles are now leading Thailand s strong growth in exports 39. Their main export partners are US, Japan, China, Singapore, Malaysia, and Hong Kong. In addition to the mentioned industries, other significant industries are tobacco and cement. Thailand is also the world s second largest tungsten producer and the third largest tin producer. Thailand ranks 73 rd of the 177 countries in the UNDP 2005 Human Development Report, with a human development index (HDI) value of It has a life expectancy of 70 years. The combined primary, secondary and tertiary gross enrollment ratio was 73 percent with a purchasing power per capita (PPP) of USD$ 7,

7 Box 3. Macroeconomics Economic growth slowed to 4.5 percent in 2005, the lowest rate since 2001 (growth had averaged 6.2% over ). Still, the performance is notable because several adverse factors affected the economy in the first half of the year. The tsunami on 26 December 2004 battered the tourism industry in the southwest of the country; a severe drought affected output from agriculture (still an important export sector); sporadic political unrest continued in the southern provinces; and perhaps more important than all of these factors, high oil prices hurt the economy. As the year advanced, growth picked up with a strong recovery in agriculture and tourism with a healthy expansion of exports, such as manufactured goods, including electronics. Agricultural products also benefited from high external demand. Second-half gross domestic product (GDP) growth at five percent was about one percentage point higher than in the first half. On the demand side, higher energy prices and rising interest rates damped private consumption and investment. Consumption remained the major contributor to GDP growth, adding 3.4 percentage points; investment contributed 2.9 percentage points; but a contraction in net exports subtracted 2.1 percentage points. With rapidly rising retail oil prices pushing up power and transport prices and with increasing wages, consumer inflation in 2005 rose to 4.5 percent from 2.8 percent in 2004 ( the highest rate in seven years). Year-on-year inflation peaked at 6.2 percent in October, subsequently declining to 5.8 percent in December. Fuel subsidies, which had been introduced in January 2004, were gradually removed over the first half of 2005 and completely abolished in July in one of the major government policy initiatives of the year. In total, however, the subsidies still cost the government an equivalent of $2.3 billion in When the subsidy on diesel prices was eliminated in July, its price immediately jumped by 16 percent. Over the year, retail prices of diesel and gasoline rose by 57 percent and 33 percent, respectively. Oil-price increases percolated to other prices. Core inflation (excluding food and energy) accelerated but remained comparatively subdued at 1.6 percent in Concerns about rising inflationary pressures and an interest rate differential with the United States prompted the Bank of Thailand to lift its 14-day repurchase interest rate in stages to four percent by December, and then to 4.5 percent by March The fiscal position remained strong in FY2005 (ended 30 September 2005). Revenue collection expanded by 13.3 percent from 2004, as collection of corporate income tax and value-added tax continued to rise. In spite of a mid-year supplementary budget of Baht (B) 50 billion, government spending was kept within the original budget target. Overall, the budget showed a small surplus of 0.1% of GDP, similar to that in The government initiated a huge $42 billion megaprojects investment program to improve physical and social infrastructure, covering the period , an amount equivalent to about five percent of GDP each year. The program targets substantial investments in transport projects (including urban mass-transit systems), water resources development, energy, low-cost housing, and health and education. While some expenditures on the program were made under the 2005 budget, they did not significantly affect government outlays. The program s impact will be felt mainly from The authorities continued to repay some of the more expensive external debt in 2005, and by year-end total public debt stood at a comfortable 44 percent of GDP, below the government s self-imposed ceiling of 50 percent. Source: Asian Development Bank (ADB) Asian Development Outlook 2006 Thailand. 7

8 Box 3. Continuation A major positive factor in 2005 was the export performance. Agricultural exports improved as higher farm prices and favorable weather conditions in the last three quarters of the year lifted crop production. Meat and fisheries were also beneficiaries of increased export demand. Manufacturing exports of high-technology products (mainly electronics), automobiles, chemicals, plastics, and rubber all expanded robustly. Merchandise exports rose by 15 percent. However, as a result of the rising cost of oil imports and buoyant demand for capital goods as capacity utilization rose after a long period of low business investment in manufacturing total imports increased by 26 percent. After seven years of surpluses, the trade balance swung into deficit in 2005 and for the first time since the Asian crisis, the current account balance was in deficit by $3.7 billion, or 2.1 percent of GDP. Strong capital inflows ensured a comfortable overall balance-of-payments outcome. Together with a narrowing of the interest rate differential with US dollar rates, these inflows caused the Baht to strengthen toward the end of the year. International reserves rose to a high of $52.1 billion, nearly twice their level of The government had hoped that new listings of major companies would give a boost to the stock market in However, an initial public offering of the shares in EGAT, the state electricity generation authority, was suspended in November by the supreme administrative court on the grounds that the issue may violate the constitution. The government wanted to raise about $800 million by selling 25 percent of the shares in EGAT. Moreover, Thai Beverage, a major privately owned liquor company, postponed a listing in Thailand because of opposition from anti-alcohol groups proposing instead to list in Singapore. It had planned an initial public offering in Thailand valued at up to $1 billion. Even with these setbacks, strengthening the capital markets remains a priority for the Thai Government. A capital market development master plan, finalized in January 2006, includes measures to increase the supply of high-quality stocks, encourage participation of institutional investors in the stock market, and strengthen domestic securities companies. Source: Asian Development Bank (ADB) Asian Development Outlook 2006 Thailand. In 2006, the economy is expected to benefit from an influx of investment and a revived tourism sector. However, a possible avian flu epidemic could significantly harm economic prospects throughout the region 41. E. Ethnic Groups Thailand has more than 30 ethnic groups varying in history, language, religion, appearance, and patterns of livelihood 42. According to the 2000 Population and Housing Census 43, majority (99.3%) of the population of Thailand are Thai. A very small fraction (0.7%) are Chinese, Myanmars (Burmese) and Laotians. According to The World Factbook by the CIA, the Thais comprise three-fourths (75%) of the total population. The Chinese account for 14 percent of the population. The remaining 11 percent make up the other ethnic groups, with the Malays (3-4%), Khmers (1%), and the Vietnamese or Annamese. Thais may be divided into three major groups Central Thai (Siamese) of the Central Valley; Eastern Thai (Lao) of the Northeast (Khorat); Northern Thai (Lao) of North Thailand; and Southern Thai (Chao Pak Thai) of peninsular Thailand and three minor groups Phuthai of northeastern Khorat; Shan of the far northwestern corner of northern Thailand; and the Lue in the northeastern section of northern Thailand

9 The Malays are located in the southern isthmus, while the Khmers are found along the Cambodian border from the Mekong River to the Gulf of Thailand. The Vietnamese of Annamese are situated in the southern Khorat and on the southeast coastline. Small numbers of residents from India, Europe, and the US live mainly in urban areas 46. Principal tribal groups, mainly hill people include the Kui and Kaleung in the northeast; the Mons, living mainly on the peninsula along the Burmese border; and the Karens, living along the northern Burmese border 47. There are 20 other minority groups living in Thailand. These include the Akha, Musso, Mao, Kamuk, Tin, Lawa and So. They are very small in number. Most of these tribes are primitive and live by shifting cultivation in rugged, isolated mountain or dense forest terrain 48. F. Languages The several branches of Thai are united by a common language. Thai language is most dominant and widely used. The ethnic minorities, including the Malays generally speak their own language. Thai language is understood. English is considered the secondary language of the elite. Other languages spoken are Chinese, Lao, Malay, and Mon-Khmer 49. G. Religions Theravada Buddhism is the predominant religion in the country. The Buddhist clergy, or Sangha, consists of two main schools which are governed by the same ecclesiastical hierarchy 50. Monks belonging to the older Mahanikaya School far outnumber those of the Dhammayuttika School, an order that grew out of a 19 th century reform movement led by King Mongkut (Rama IV). 51 Majority of the population (94.2%) belong to this religious belief. Mahayana Buddhism is practiced primarily by small groups of Chinese and Vietnamese immigrants 52. Out of the five southern-most provinces that border Malaysia, four are dominated by Islam. They constitute about 4.6 percent of the total population. The majority of Muslims are ethnic Malays, but the Muslim population encompasses groups of diverse ethnic and national origin,including descendants of immigrants from South Asia, China, Cambodia, and Indonesia 53. According to the report made by the Religious Affairs Department (RAD), there are 3,479 registered mosques in 64 provinces. The largest number is found in Pattani province. Christians constitute 0.8% of the total population. There are several Protestant denominations, and most belong to one of four umbrella organizations 54. The Church of Christ, founded in the mid-1930 s, is considered the oldest of these groupings. The Evangelical Foundation of Thailand is deemed to be the largest. Baptists and Seventh-day Adventists are recognized by authorities as separate Protestant denominations and are organized under similar umbrella groups 55. The rest are comprised by Animists, Confucians, Hindus, Jewish, Sikh, and Taoists. The ethnic Chinese minority (Sino-Thai) has retained some religious traditions from China, including adherence to popular Taoist beliefs 56. The Mien hill tribes are followers of a form of Taoism. Followers of the Sikh religion mostly reside in Bangkok, Chiang Mai, Nakhon Ratchasima, Pattaya and Phuket. They have 17 Sikh temples found within the country. 9

10 References 1 Wikipedia Thailand. Website: last accessed 21 May Ibid. 3 Ibid. 4 Kingdom-of-Thailand.com. n.d. Kingdom of Thailand: culture, society, history, customs, sports Thailand. Website: last accessed 21 May Ibid. 6 Wikipedia Thailand, loc. cit. 7 Royal Thai Embassy, Ottawa. n.d. History of Thailand. Website: last accessed 21 May Ibid. 9 Ibid. 10 Ibid. 11 Ibid. 12 Kingdom-of-Thailand.com. n.d. Kingdom of Thailand: History from Sukhothai, Ayutthaya to Rattanakosin Era. Website: last accessed 21 May Internet AuNet Center Thai History: The Origins of Thais. Website: last accessed 21 May Ibid. 15 Ibid. 16 Ibid. 17 Royal Thai Embassy, Ottawa. n.d. History of Thailand, loc. cit. 18 Internet AuNet Center Thai History: The Origins of Thais, loc. cit. 19 Kingdom-of-Thailand.com. n.d. Kingdom of Thailand: culture, society, history, customs, sports Thailand, loc. cit. 20 Ibid. 21 Internet AuNet Center Thai History: The Origins of Thais, loc. cit. 22 Kingdom-of-Thailand.com. n.d. Kingdom of Thailand: culture, society, history, customs, sports Thailand, loc. cit. 23 Ibid. 24 Ibid. 25 Wikipedia Thailand, loc. cit. 26 Wikipedia Politics of Thailand. Website: last accessed 21 May Ibid. 28 Wikipedia Thailand, loc. cit. 10

11 29 Ibid. 30 Wikipedia Politics of Thailand, loc. cit. 32 Wikipedia Politics of Thailand, loc. cit. 33 Wikipedia Economy of Thailand. Website: last accessed 21 May Ibid. 35 Ibid. 36 Ibid. 37 Ibid. 38 Ibid. 39 Ibid. 40 United Nations Development Programme (UNDP) Human Development Report 2005 Country Fact Sheets. Website: last accessed 21 May Central Intelligence Agency (CIA) CIA The World Factbook Thailand. Website: last accessed 21 May Encyclopedia of the Nations Thailand Ethnic Groups. Website: last accessed 31 May National Statistical Office Population and Housing Census. n.d. 44 Encyclopedia of the Nations Thailand Ethnic Groups, loc. cit. 46 Ibid. 47 Ibid. 48 Ibid. 49 AsianInfo.org The Thai Language. Website: last accessed 21 May U.S. Department of State, Bureau of Democracy, Human Rights, and Labor Thailand: International Religious Freedom Report Website: last accessed 21 May Ibid. 52 Ibid. 53 Ibid. 54 Ibid. 55 Ibid. 56 Ibid. 11