Thailand and Chile have agreed to carry out a feasibility study this year to pave the way for the signing of a bilateral free trade agreement (FTA), local press reported Sunday.

During a meeting between newly-elected Chilean President Michelle Bachelet and visiting Foreign Minister Kantathi Suphamongkhon in Santiago Friday, Kantathi praised Chile for its economic success and spoke highly of the country's free trade policies, which have boosted the competitiveness of its private sector.

Both sides saw it necessary to strengthen economic and other ties and emphasized the need to complete a feasibility study on a Thailand-Chile FTA this year.

Kantathi urged the establishment of partnerships between Thai small and medium enterprises and Chilean companies in the field of biotechnology, reported Bangkok Post newspaper.

Other areas of potential cooperation between the two countries include hotel and restaurant industries and tourism.

Thailand considers Chile as a gateway to more trade and investment in Latin America, and Chile views Thailand as a breakthrough for the enhancement of trade and investment ties with Southeast Asia.

During a visit to Colombia, Kantathi and the Vice-President Francisco Santos explored the possibility to develop the FTA.

In Bolivia, Kantathi met with his counterpart David Choquehuanca Cespedes and discussed ways to promote economic development.

Kantathi is on a visit to Latin America covering Chile, Colombia and Bolivia. He is scheduled to return to Bangkok on Tuesday.

Source: Xinhua