Cabinet Approves Chinese Grant to Boost Agricultural Exports Via Railway

On October 27, 2026, Deputy Government Spokesperson Lalida Periswatan revealed that the government is advancing economic and trade cooperation with the People's Republic of China to increase opportunities for Thai entrepreneurs, especially in the agricultural sector, to access the Chinese market. The Cabinet approved the draft Agreement of Cooperation on Projects of the 2025 Mekong-Lancang Cooperation Special Fund between the Ministry of Commerce and the Chinese Embassy in Thailand. It also authorized the Ministry of Commerce's Permanent Secretary or a designee to sign the agreement to receive Chinese support of 166,100 US dollars or no more than 1,229,100 yuan. The funds will finance a project promoting agricultural business for trade via high-speed rail in the Mekong-Lancang region, aiming to develop entrepreneur potential and expand Thai agricultural exports through the Thailand-Laos-China railway route.

Lalida stated that the Ministry of Commerce, under the supervision of Deputy Prime Minister and Commerce Minister Supamas Isarabhakdi, prioritizes enhancing Thai entrepreneurs' competitiveness, particularly by leveraging transport connectivity between Thailand, Laos, and China alongside free trade agreement (FTA) benefits and essential trade information exchange. This supports entrepreneurs in planning exports and expanding agricultural markets more effectively.

The Ministry assigned the Mekong Institute (MI) as the implementing agency, targeting 150 participants from government agencies, the private sector, and agricultural businesses. They will undergo training on trade, FTA utilization, and cross-border data linkage before jointly creating a Joint Action Plan to promote agricultural business development and expand trade opportunities in the Mekong-Lancang subregion.

The spokesperson emphasized the project's focus on encouraging entrepreneurs to utilize the Thailand-Laos-China railway, a cross-border freight corridor, to increase logistics options and support Thai agricultural market expansion. This includes building understanding of trade opportunities, regulations, and FTA benefits, enabling entrepreneurs to systematically prepare for foreign markets and enhance regional competitiveness.

China will allocate the 166,100 US dollars (not exceeding 1,229,100 yuan) for the three-year project. Under the draft agreement, China must disburse the budget within 20 working days after signing, and Thailand must formally confirm receipt within 10 working days. The signing date marks the project start, with requirements for monitoring, evaluation, budget auditing, and progress reporting to ensure transparent and maximally beneficial use of the support funds.

Regarding the Mekong-Lancang Special Fund