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Thailand E-Commerce Strategies in relationship with National Economic & Social Development Plan and National ICT Strategies (IT 2010 & ICT Master Plan). Somnuk Keretho, Ph.D.* Director, Electronic Commerce Resource Center (ECRC) National Electronics and Computer Technology Center (NECTEC)

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Thailand E-Commerce Strategiesin relationship withNational Economic & Social Development PlanandNational ICT Strategies (IT 2010 & ICT Master Plan)

Somnuk Keretho, Ph.D.*

Director, Electronic Commerce Resource Center (ECRC)

National Electronics and Computer Technology Center (NECTEC)

Thailand

“UNCTAD Expert Meeting on Electronic Commerce Strategies:

The Basic Elements of an Enabling Environment for E-Commerce”

Geneva, Palais des Nations

10 – 12 July 2002

*Also an assistant professor

in Computer Engineering,

Kasetsart University,

Thailand.


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Presentation Outline

  • National Social & Economic Development Plan

  • National ICT Policy Framework: IT 2010

  • National ICT Master Plan (2001-2006)A Vision of Knowledge-based and Sustainable Society

  • E-Commerce Strategies

  • Implementing the Vision

  • Conclusion


Thailand ict strategies and practices l.jpg

Thailand ICT Strategies and Practices

Aligning national ICT policies, strategies and work programs with

The 9th National Economic and Social Development Plan


The 1st national it policy it 2000 l.jpg
The 1st National IT Policy: IT 2000

National IT Committee (NITC) is institutionalized.

Awareness: 1995-1996 were declared the National IT Years.

Endorsed by the Cabinet in Feb 1996


It2000 national it policy l.jpg
IT2000 - National IT Policy

Sustainable Economic Power in Southeast Asia

Social Equity and Prosperity

Environmental-friendly Society

  • IT-ENABLED THAILAND

NATIONAL

INFORMATION

INFRASTRUCTURE

HUMAN

RESOURCE

GOOD

GOVERNANCE


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Improvement Opportunities for IT2000

  • The Leaders from the very top are needed.

    • The Prime Minister is the NITC chairman.

    • Government CIOs Program is a strategic move.

  • Integration with other development policies

  • Stakeholders from both private & public must participate from the beginning

  • Implementation/Action Plansmust be explicit.

  • Measuring/Monitoring Mechanisms are needed.


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Policy Coherence/Integration

  • IT 2010: National IT Policy Framework

  • National ICT Master Plan (2001-2006)

  • The 9th National Social and Economic Development Plan (2001-2006)

    Thailand’s Vision Towards the Knowledge-based and Sustainable Society/Economy

+


Timeline for it2010 and the five year national ict master plan l.jpg
Timeline for IT2010 and the five-year National ICT Master Plan

Ninth National Economic and Social Development Plan 2001-2006

Year

96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11

IT2000 (1996-2000)

IT2010 Policy (2001-2010)

National ICT Master Plan2001-2006


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Guiding PrincipleSufficiency Economy

“Through his caring leadership, His Majesty has earned the abiding love and profound respect of his people, and through his thinking he has laid the foundation for and inspired his country’s development strategy. His Majesty’s philosophy of a "sufficiency economy" now lies at the heart of Thailand’s development thinking, and indeed it will serve as the blueprint for the country’s next economic and social development plan.”

“The "sufficiency economy" philosophy centres on the concept of moderation and self-reliance. It sets out to shield the country from external shocks, and discourages exploitation of others. Its values include honesty and integrity. It seeks to achieve balance and justice.”

Source: UNCTAD X Conference Statement,Expression of appreciation to His Majesty the King of Thailand, Bangkok 12-19 Feb 2000.http://www.unctad-10.org/pdfs/ux_td388.en.pdf


National it policy framework it2010 towards the knowledge based sustainable economy society l.jpg
National IT Policy Framework:IT2010Towards the Knowledge-based & Sustainable Economy/Society

Build

Human

Capital

Promote

Innovation

Knowledge

Based

Economy

Strengthen

Information

Infrastructure

&Industry

endorsed by

National IT Committeein Oct 2001

www.nitc.go.th




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E-Commerce Policy FrameworkEC for Entrepreneurs Competitiveness EC for Exports of Trade & Services, EC for Domestic Consumption

E-Commerce As

the National Trade Strategy

Promote the

EC deployment among

business sectors

Build Trust &

Confidence

Government

renovates &

creates market

Create an

environment for fair

competition and

protect consumers

Public hearing

and government

endorsed in 2000

EC Strategy

is integrated

within IT 20101.

Participate proactively with

EC-related international forum


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E-Commerce Strategies

  • International EC Strategy

    • EC as the National Trade Strategy

    • Sector-Specific Policies to Promote EC

    • Integrated International Trade & EC Policy

  • Awareness Strategy

  • Legal & Regulatory Strategy

  • Payment & Security Strategy

  • EC Measurement and Monitoring

  • EC Promotion for SME

  • Human Capacity Building

  • Infrastructure

    • Network Infrastructure

    • Technical Standards & Protocols/Interoperability


Strategic areas of ec development l.jpg

Taxation

International

Payment

Standard Issues

E-transaction

Law

Info Resources

Electronic

Commerce

Strategies

Privacy Law

R&D

Authorization

and Certification

Prime Movers e.g.

ISPs, Marketplaces, SME’s

Sectoral industries

IPR

Consumer

Protection

Manpower

Internet

Telecom

Infrastructure

Strategic Areas of EC Development


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Legal Framework

  • Electronic Transaction Law (incorporating Digital Signature) enacted since Nov 2001

  • Information Infrastructure Law*

    • According to Section 78 of Thailand Constitution,

    • a Universal Access Law could ensure accessibility and equitably for all citizens.

  • Data Privacy Law*

  • Computer Crime Law*

  • Electronic Fund Transfer Law**

.

*These bills are under reviewed by the cabinet

**This law is in a drafted stage by stakeholders


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Economy at the Grass Roots LevelA holistic-approach development

Financial & Healthcare

  • One million baht loan for each village (~70,000 villages)

  • 30-baht Universal Health Care Project

    Infrastructure, Awareness Creation & Education

  • “Internet Tambons” Internet Access for all 7,000 district administrative offices

  • Thailand “SchoolNet Project”

  • Community-Access Services “Telecenter Project”

    Product Development, e-Marketing, e-Commerce

  • “One District (Tambon), One Product” (OTOP)

  • e-Commerce for OTOP e.g. ThaiTambon.com


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Infrastructure & Accessibility

Sustainability & Scalabilityto ensure expandability, affordability, portability and adoptability


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Internet in Schools

According to UNDP Human Development Report 2001,

“Making New Technologies Work for Human Development”,

SchoolNet Thailand is the first nation wide,

free-access network for education in South-East Asia.


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CAT

TOT

Narrowing the Digital Divide

SchoolNet Access is available free of charge to schools nationwide. Phone call is USD 0.10 per call everywhere

4,300 Schools are now online

Targeting

5,000

Schools

by the end

of 2002

2 Mbps

5.6 Mbps


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“I” over “T”

Content Creation

“I”nformation is more important

than “T”echnology.*

*Also a policy emphasized the Prime Minister.


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Digital Library for SchoolNet

  • Collaboration with Kasetsart University

  • To create educational web sites in Thai language for secondary schools students

  • Classified into 7 academic subjects; 1000 lessons

    • Computer Science

    • Mathematics

    • Physics

    • Biology

    • Chemistry

    • Environment

    • Engineering

Kasetsart

University

http://school.net.th/library/




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Internet Tambons”

Infrastructure

  • Internet access centers (PCs, Intranet work for Ministry of Interior, and Internet access for community) at all district offices (~7,000 tambons)

    • End of 2001: 1,000 offices already connected.

    • End of 2002: 3,000 offices more

    • End of 2003: the rest of 3,000 offices

  • 25 information/database systems are also developed to provide useful contents and serve the work of Department of Local Administration, Ministry of Interior (MoI).


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E-Commerce for the Grass Roots Level

E-Commerce forLocal Products and Local Tourist Attractions


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www.ThaiTambon.com

Content Development

For i-Commerce

  • Supported by Prime Minister Thaksin Shinawatra, and Community Development Department (MoI)

    • Content development about products champions of each district

    • July 2002: 4,256 districts - 14,586products, 6,103local tourist attractions and 41,907 web pages

    • Products from community (e.g. house wives, farmers, local handicraft groups, etc.)

  • End of 2002:All 7,000 districts will be included.


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Arts and cultural productsReady for the world-wide markets: Quality & Standards Development

Hand-painted benjarong bowls.


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E-Commerce Maturity Model3 levels of Development

c-Business

Integrating/Collaborating with

the back office information systems,

e.g inventory and financial systems,

and connecting with business partners

3.

t-CommerceOrdering the products online (online transaction),

E-Payment could be available online.

2.

i-Commerce Products Information available on the web,

Buying and selling on the usual (analog) channel

e.g. telephone, and fax

1.


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E-Commerce for Rural DevelopmentCommunity-access centers - Pilot Projects

Telephone/Fax

E-Commerce of

Local Products

E-Mail

E-Education

Printing Services

E-Tourism

News Services


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e-Commerce Telecenter” Pilot Project for Community Products and Local Tourist Attractions

  • Community Access Centers

    • e.g. telephones, fax, Internet access points

  • Collaborative spirit with the community

    • Information suitable to the need of the community

    • Information available from the community

    • Education, e.g. SchoolNet, Community Training

    • Products Development, e.g. standards, packaging

    • Marketing & Management

    • Logistics and Delivery

    • Payment Transaction

  • Research/Study e.g.

    • Social and economics impacts of IT in rural areas


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Community owned & operated Telecenters – Pilot Projects

  • Collaboration between many agencies, such as NECTEC, Community Organization Development Institute (NGO), Private Company (under the project funded by CIDA)

  • Pilot implementation prior to the enactment of National Information Infrastructure Law*

*According to Thailand’s Constitution Section 78:

It is the responsibility of the State to provide

information infrastructure universally and equally accessible to all.


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NECTEC Telecenters Project

  • Starting small & Learning from communities

    • Concerning social issues, not technology issues

    • Looking from the community perspectives/needs

  • Community Opinion, Ownership & Operation

  • 4 pilot projects in 4 provinces: Lampang, Pisanulok, Surin, and Chantaburi.

  • Information Access & E-Commerce Services

  • Business Model Study, e.g. logistics, stocks

  • Social Impact Study, e.g. impact analysis


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An initiative to bridge the digital divide in local community

Telecenters are operated

by monks/temples, schools,

NGO’s offices, post offices,and Tambons offices.


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E-Commerce Strategies communityfor specific-industrial sectors

E-Commerce for Fashion

(Gems, Jewelry, Clothes, etc.)

E-Tourism

B2B e-Commerce (e-Distribution)

are among the most successful e-commerce sectors in Thailand


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communityTrust & Confidence”Samples Of Some Successful

e-Business Practices


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Lessons Learned from successful community

B2B e-Commerce Business Models

could be adopted, adjusted

and promoted for other industrial

sectors.


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Conclusion community

PM Thaksin Shinawatra’s Policy

  • Development at the Grass Roots Level

  • Bridge the digital divide gap with IT, but

  • Emphasize more on the “I” than buying the “T”

    • Focus more on content and skills than purchasing technology

  • Local Heritage/Wisdom and Education Revolution towards Knowledge-based Economy

  • IT 2010 combined within the 9th National Social & Economic Plan (2001-2006)


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Conclusion community– Key Factors

  • e-Leaderships

    • Prime Minister, Government CIO’s, government/private sectors get involved, …

  • National IT Framework and Implementation Mechanisms

  • Legislation Development

  • Information Infrastructure

  • Content & Information Services Development

  • Human Resource Development


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The Challenge is in community“Implementing the Vision.”


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Thank you community

For more information

www.ecommerce.or.th

www.nitc.go.th

www.nectec.or.th

Somnuk Keretho, Ph.D.

Director, Electronic Commerce Resource Center (ECRC)

National Electronic and Computer Technology Center (NECTEC)

[email protected]


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