1. LIBERALIZATION TO SPORT INDUSTRY IN THAILAND By Prof. Dr. Sombat Karnjanakit Chulalongkorn University A Forum Speaker at the International Forum on Sport Industry At National Chung Cheng University Taiwan, ROC 21 st – 23 th November 2014

2. TOPICS TO BE DISCUSSED  Introduction to ASEAN community  World Tourism Industry  Sport industry and businesses in Thailand  Liberalization in Sport Industry  Conclusions  Q & A

3. Thailand (Former Siam) History and Development of 852 Years 1. Kingdom of Sukhothai (1180-1350) 170 Years 2.Kingdom of Ayutthaya (1350-1767) 417 Years 3. Kingdom of Thonburi (1767-1782) 15 Years 4. Kingdom of Rattanakosin (1782-201 4 ) 232 Years 1. Kingdom of Sukhothai (1180-1350) 170 Years 2.Kingdom of Ayutthaya (1350-1767) 417 Years 3. Kingdom of Thonburi (1767-1782) 15 Years 4. Kingdom of Rattanakosin (1782-201 4 ) 232 Years 3

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5. INTRODUCTION TO THE 2015 COMMUNITY OF ASSOCIATION OF SOUTH EAST ASIAN NATIONS (ASEAN COMMUNITY)

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7. The Association of South-East ASIAN Nation Member 7

8. The Purpose of ASEAN Formation were 1. Economics Growth and Development 2. Socio-Cultural Community Stability 3. Political and Security in the Region 8

9. Development of the Association of South East Asian Nations (ASEAN) 9 th

10. ASEAN (Population Millions) Percent 15 years and below 15-64 YEAR Old 65 years old and above Indonesia241.027676 Philippine96.235614 Vietnam89.024697 Thailand*64.3197110 Myanmar54.628675 Malaysia29.027685 Cambodia15.033634 Laos6.538584 Singapore5.317749 Brunei0.426704 Total601.327676 ASEAN POPULATION แหล่งข้อมูล : Population Reference Bureau, 2012-12-12 10

11. Country รายได้จากนักท่องเที่ยว (USD) สัดส่วนรายได้ จาก นักท่องเที่ยว 1. Thailand26,25631.6% 2. Malaysia19,59923.6% 3. Singapore17,99021.7% 4. Indonesia7,9829.6% 5. Vietnam5,6206.8% 6. Philippines3,1253.8% 7. Cambodia1,6161.9% 8. Lao4060.5% 9. Myanmar73*0.1% 10.Brunei391*0.5% Total83,058 100% 11

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13. Intl’Tourists in ASEAN 2001-2012 13

14. Thailand Achievement in Tourism YearInternational Tourism Receipts 196120,000 tourists 1+ Millions Baht 1987 5 Millions 12,500 Millions Baht 199714.4 Millions54,7000 Millions Baht 201119.2 Millions700,000 Millions Baht 2013 26.5 Millions 1,000,000 Millions Baht 14

15. Thailand Tourists Receipts from International Tourism 2013 Rank 1 st in the ASEAN Rank 2 nd – 3 rd in the Asia Rank 7 th in the World Tourism Industry 15

16. UNWTO REPORT 2000 – 2013 WORLD TOURISM INDUSTRY: UNWTO REPORT 2000 – 2013 INTRODUCTION:

17. TOURISM IN THE WORLD 9% of GDP – direct, indirect and induced impact 1 in 11 jobs US$ 1.4 trillion in export 6% of the world export From 25% million international tourists in 1950 to 1087 million in 2013 5 to 6 billion domestic tourists 1.8 billion international tourists forecast for 2013 KEY FIGURES

18. Over the past six decades, tourism has experienced continued expansion and diversification, becoming one of the largest and fastest-growing economic sectors in the world. Many new destinations have emerged in addition to the traditional favorites of Europe and North America. TOURISM, KEY TO DEVELOPMENT, PROSPERITY AND WELL-BEING

19. Despite occasional shocks, international tourist arrivals have shown virtually uninterrupted growth – from 25 million in 1950 to 278 million in 1980, 528 million in 1995, and 1087 million in 2013. TOURISM, KEY TO DEVELOPMENT, PROSPERITY AND WELL-BEING

20. The market share of emerging economies increased from 30% in 1980 to 47% in 2013, and is expected to reach 57% by 2030, equivalent to over 1 billion international tourist arrivals. LONG-TERM OUTLOOK

21. Asia and the Pacific Tourist Arrivals (million) Market share (%) Average annual growth (%) 20052010201220132013 '05-'13* '05-'13* Asia and the Pacific 153.5204.9233.5248.122.86.2 North-East Asia85.9111.5122.8127.011.75.0 South-East Asia48.570.084.293.18.68.5 Oceania10.911.411.912.51.11.7 South Asia8.112.014.615.51.48.4 ASIA AND THE PACIFIC TOURIST ARRIVALS

22. SPORT INDUSTRY AND BUSINESSES IN THAILAND  SPORT GOODS AND FACTORIES  THAILAND PREMIER FOOTBALL LEAGUE

23. One of the leading brands in Thailand. Today they are manufacturer, wholesaler and exporter of Grand Sport, high quality and affordable sportswear and Sport equipment. I. GRAND SPORT

24. With their vast experience in the sport business since 1961, they have been well accepted by their customers in various countries such as: 1.Qatar, Oman, Kuwait, UAE, and Bahrain. 2.Singapore, Malaysia, Indonesia, Cambodia and Vietnam. 3. Japan, England, Australia, Austria, Bangladesh, Bhutan, Denmark, Kyrgyzstan, Maldives, Spain, Switzerland, Uzbekistan, Hong Kong. I. GRAND SPORT

25. Sportswear: Grand Sport is recognized as ASIAN brand with “Made in Thailand” label. Grand Sport Receive “ Thailand’s Brand Award ” from the Department of Export Department (DEP), Thailand’s Ministry of Commerce which help to bring about confidence in Grand Sport’s products for the international market.Thailand’s Brand Award Grand Sport offers a good range of sportswear including training suits, tracksuits, polo shirt, shorts, accessories (Bag, socks, caps) and uniform for other sports like basketball, volleyball, tennis, boxing and etc. I. GRAND SPORT

26. Sport Marketing Grand Marketing Co., Ltd. was established in 1980 to market and distribute leading quality brand names. Sport Equipment Fitness Equipment International Competition Equipment I. GRAND SPORT

27. Ball manufacturing Vega Balls Manufacturing Company Limited was then established. A factory was set up in the Export Zone, Bangpoo Industrial Estate Thailand. Basketballs are approved by FIBA Grand Sport Group is committed to remain customer driven and customer focus with our aim to be one of the leading ASIAN brands in sport market. I. GRAND SPORT

28. Grand Sport Group

29. II. FOOTBALL THAI FACTORY SPORTING GOODS CO., LTD (FBT) FBT was established in 1952 and is now Thailand's leading Sports Company which supplies quality sports apparels and equipment at reasonable price. FBT also exports to over 40 countries worldwide. FBT now has over 2,800 employees and has an annual turnover of more than 50 million US Dollars.

30. FBT manufactures all kinds of sports equipment such as sport balls, rackets, shoes, boxing equipments and sport apparel to the highest quality which meets international standards. II. FOOTBALL THAI FACTORY SPORTING GOODS CO., LTD (FBT)

31. Their products have been approved by International Sports Federation such as FIFA, FIBA, FIVB, IHF, etc. They make high quality sports equipment and apparel under their own brand: FBT, Five Star, Gold Star, La Franc. II. FOOTBALL THAI FACTORY SPORTING GOODS CO., LTD (FBT)

32. FBT PRODUCTS are also available worldwide through our International agents: 1.Singapore 2.Malaysia 3.Bhutan 4.United Kingdom 5.Canada 6.Maldives 7.Philippines 8.Myanmar 9.Srilanka 10.Laos 11.Vietnam 12.Russia 13.Australia II. FOOTBALL THAI FACTORY SPORTING GOODS CO., LTD (FBT)

33. Boxing Equipment Factory can manufacture: Over 3,000 pcs Boxing Equipment /day. Quality boxing equipment under customer OEM brand: Boxing Gloves, Headguard, Punching Mitt, Punching Bags, Training Equipment, Judo & Takwando Uniforms, Boxing Shoes etc. including high quality Boxing Ring for International Standard used in International Competition such as Asia Games and SEA Games etc. II. FOOTBALL THAI FACTORY SPORTING GOODS CO., LTD (FBT)

34. Football Thai (FBT) Sporting Group

35. III. SPORTS MANUFACTURING THAILAND CO., LTD (SSMT) In 2007, SSMT was established as a joint venture with Dunlop Sports Co. Ltd., and Capital Point Asia Ltd., the holdings company newly established by the major shareholders of Yuan Chi Group and Grand Sports Co., Ltd. SSMT purchased tennis ball production facility owned by Vega balls Manufacturing Co., Ltd. whose major shareholders are also Yuan Chi Group and Grand Sports Co., Ltd.

36. BUSINESS OF SSMT: manufactures tennis balls, Pressurized, Pressureless and rubber balls for exporting which are approved by the Board of Investment of Thailand (BOI). Products are produced according to conditions and requirements of customers under trademarks of the company and customers. III. SRIXON SPORTS MANUFACTURING THAILAND CO., LTD (SSMT)

37. IV. GSF SPORT CO., LTD. GSF Sport Co., Ltd. is one of the leading Sport Retailers in Thailand with Branches in Bangkok, Pattaya, Hua Hin, Samui Island, Phuket, Chiangmai, Chiangrai

38. Over 5,000 products with 4 new collections per Yer of World famous Brands such as Adidas, Adidas Originals, Puma, Puma Time, Lonsdale, Hustar and Colori Watches are available for Sale. IV. GSF SPORT CO., LTD.

39. V. COBRA INTERNATIONAL CO., LTD Cobra International Co., Ltd. is the Worlds leading OEM manufacturer of high-end composite products. Cobra suppliers manufacturing solutions for : Windsurfing, Surfing, (SUP) Stand Up Paddle, Wakeboarding, Kayak, Jet-Ski, Motorcycle Automotive markets.

40. V. COBRA INTERNATIONAL CO., LTD

41. Established in 1970 located in Samutprakan, The factory covered an area of 5 acres including two buildings: One 4 storeyed building covered 85M X 20M with Bladder, Carcass, Lamination, Machine Stitched Ball, Boxing Equipment & Packing section. One 2 storied building covered 85M X 20M with rubber ball section and office. There are 650 employees in the factory. VI. SIAM BALL SPORT FACTORY CO., LTD.

42. Main products are: 1. Regular Rubber & Cellular Rubber: Basketball, Soccer Ball, Volleyball, American Football, Hand Ball, Netball, Rugbyball, Water-Polo, Playground Ball, Techer Ball. 2. Laminated: Soccer Ball, Volleyball, Basketball, Hand Ball. 3. Machine Stitched Ball: Soccer Ball, Volleyball. 4.Boxing Equipment: Boxing gloves, Bag gloves, Punching bag as well as other Boxing Equipments. VI. SIAM BALL SPORT FACTORY CO., LTD.

43. Quality control (QC) & ISO. To meet with the changing demand in market, we upgrade the products regularly, not only innovating in techniques, but also excellent art designed products and they can be compared with the famous brand in the world. Foreign market such as USA, Canada, Mexico, South America, Middle America, Europe, Africa, South Africa, Middle East, Oceania as well as Asian countries. VI. SIAM BALL SPORT FACTORY CO., LTD.

44. SPORT BUSINESS COMPANIES AND MANUFACTURERS, SUPPLIERS AND SERVICES IN THAILAND CompanyScope of certification 8.Universal Sporting Goods (Thai) Co., Ltd. Sampran Nakornprathom Manufacture of sports goods 9. Techtronics International Ltd. Lamphun Manufacture of world class golf heads and grips 10. Nice Apparel Co., Ltd. Nonthaburi Manufacture of sports wear 11. NC Apparel Co., Ltd. Khonkaen Manufacture of sports ware 12. Acushnet Footjoy (Thailand) Ltd. Chonburi Manufacture of golf gloves

45. Thai Premier Football League Teams: The total value tickets and souvenir in 2010 RankThai Premier LeagueIncome (Baht) 1Muangthong United21,277,275 2Buriram PEA15,960,150 3Chonburi FC12,015,520 4Bangkokglass FC8,296,520 5Sisaket FC8,015,124

46. RankThai Premier LeagueIncome (Baht) 6Rat Cha Navy Rayong5,026,864 7Thai Port FC4,669,679 8Inseepolice FC4,508,961 9SCG Samutsongkhram FC3,728,880 10Pattaya United2,930,462

47. RankThai Premier LeagueIncome (Baht) 11BEC – Tero Sasana2,738,170 12Osotspa M – 150 Saraburi2,518,020 13TOT – CAT FC2,293,430 14TTM FC1,918,720 15Army United1,273,020 16Bangkok United1,185,589 Total98,376,511

48. Liberalization refers to a relaxation of previous government restrictions, usually in such areas of social, political, and economic policy, In some contexts this process or concept is often, referred to as deregulation. [1] Liberalization of autocratic regimes may precede democratization. Liberalization in Sport Industry Meaning

49. Economic liberalization is the lessening of government regulations and restrictions in an economy in exchange for greater participation by private entities; the doctrine is associated with classical liberalism. Thus, liberalization in short is “the removal of controls” in order to encourage economic development.

50. Liberalization policies include partial or full privatization of government institutions and assets, greater labour market flexibility, lower tax rates for businesses, less restriction on both domestic and foreign capital, open markets, etc.

51. THAILAND AND INTERNATIONAL TRADE AGREEMENT 1995: WTO – General Agreement on Trade in Service: GATS

52. 2005: FTA – Free Trade Agreement TAFTA – Thai-Australia FTA JTEPA – Japan-Thailand Economic Partnership Agreement THAILAND AND INTERNATIONAL TRADE AGREEMENT

53. ACFTA – ASEAN-China FTA AKFTA – ASEAN-Korea FTA AANZFTA – ASEAN-Australia- New Zealand FTA THAILAND AND INTERNATIONAL TRADE AGREEMENT

54. ACMECS: 5 Nations Economic Coordination (Cambodia – Myanmar – Laos – Vietnam and Thailand). GMS: Greater Mekong Sub-region (Thailand – Myanmar – Laos – Cambodia- Vietnam and China Yunnan THAILAND AND INTERNATIONAL TRADE AGREEMENT

55. AMTA: Agency for coordinating Mekong Tourism Activities IMT-GT: Indonesia-Malaysia- Thailand Growth Triangle THAILAND AND INTERNATIONAL TRADE AGREEMENT

56. CONCLUSIONS 1. Upcoming 2015 ASEAN Community will be a rapid economic growth in this region. 2. ASEAN Tourism Industry will continuing to grow more than 100 million tourists or 10 – 12 percent increasing. 3. Sport and Sport Industry have a potentiality to grow from 3% to 5%. 4. Thailand and Malaysia are continuing to be leader Nations in tourism industry in the ASEAN Community. 5. Sport Industry is the Bright Future in ASEAN and International Arena.

57. CONCLUSIONS… 6.Sport products, sport goods and sport equipment are available worldwide through international company and agents 7.Fond of sports participations, Thailand are rapidly growing in premier football league, golf profession, international tennis professions and extreme and outdoor sports 8.Thai government, sport agents should lead private sectors into international sport agency in sport industry through ASEAN and free trade agreement

58. Chulalongkorn University Pillar of the Kingdom จุฬาลงกรณ์มหาวิทยาลัย : เสา หลักของแผ่นดิน

59. Chulalongkorn University and International Ranking #1 st in Thailand Universities, #3 rd in ASEAN Universities, #41 th in Asian Universities and #242 th in Word Ranks Universities