Thai Navy Finalizes High-Performance Frigate Procurement, Expecting Over 7 Billion Baht Domestic Economic Impact

The Royal Thai Navy has announced the completion of its selection process for the high-performance frigate procurement project. This project is expected to bring over 7 billion baht in domestic investment and generate an economic ripple effect of 300% on the overall economy. According to the Navy's spokesperson, Vice Admiral Parach Rattanachaiyaphan, the selection results are currently awaiting approval from the authorized individuals based on legal procedures and related regulations. While acknowledging the public's desire for a swift resolution, the Navy stated that details cannot be disclosed until the process is finalized. Upon full approval, the Royal Thai Navy is ready to promptly release the selection results and clarify all factual matters that can be disclosed, allowing the public to receive comprehensive information and verify the process based on facts, while maintaining fairness to all proposers. This high-performance frigate procurement project is significant for enhancing the Royal Thai Navy's capabilities in protecting national sovereignty and maritime interests, as well as increasing its capacity for maritime security, protecting sea lanes, and safeguarding the nation's economic benefits, which are crucial missions for national security and long-term development. The spokesperson further stated that the proposal evaluation was based on an evidence-based evaluation, considering the proposers' qualifications, technical data, price proposals, and other details submitted within the specified timeframe. The assessment strictly followed the criteria and conditions set forth in the tender specifications (TOR) under the same principles applied to all proposers, ensuring a fair, transparent, and verifiable selection process. In addition to verifying the completeness and compliance of proposals with the criteria, importance was given to the credibility, reasonableness, and feasibility of executing the proposals in all aspects. This is to ensure that the proposals concerning armaments, technology transfer, domestic investment, and economic returns offered by the proposers are genuinely achievable, yield concrete results, and maximize benefits for the Royal Thai Navy and the nation. The core of the evaluation is to meet the Royal Thai Navy's Staff Requirements, which are developed from an analysis of missions, security environments, and future maritime operational needs of the country. It also considers the policy for economic returns and domestic industrial development (Offset Policy), ensuring that this frigate procurement is more than just acquiring armaments, but rather a means of building defense capabilities alongside long-term economic, industrial, and national potential development. For the economic return proposals (Offset) that have passed the evaluation, there is an expected actual value of investment and economic activities within Thailand exceeding 7 billion baht (approximately 42% of the project value) throughout the project. This amount will be generated through investment, employment, procurement from Thai entrepreneurs, development of the shipbuilding industry, technology transfer, and upgrading the capabilities of Thai personnel. Furthermore, these proposals have an Offset Credit Value of over 150% of the project's value, covering technology transfer, industrial development, and long-term enhancement of national potential. When this investment circulates within the economy through Thai manufacturers, entrepreneurs, employment, transportation, and related businesses across the supply chain, the National Science Technology and Innovation Policy Office (STI) estimates that it will generate a total economic value of over 50 billion baht, or approximately 300% of the project's value. This reflects the long-term economic benefits for Thailand, beyond the enhancement of defense capabilities. The Navy spokesperson added that the entire evaluation process is under the supervision of observers from the Integrity Pact agreement with the Anti-Corruption Organization (Thailand), who have monitored and provided observations throughout the process to build confidence that the operations adhere to good governance, transparency, fairness, and are verifiable. The Royal Thai Navy is confident that this project selection has been conducted based on evidence, prioritizing the Navy's operational requirements while considering the long-term economic benefits and industrial development of the country, under the principles of law, good governance, value for money, and the nation's highest interests. This is because "the Navy gets its ships, and the nation benefits too." Source: INN News