PRESS DIGEST - Thai newspapers on May 21

BANGKOK, May 21 (Reuters) - These are some of the leading stories in Thai newspapers on Wednesday. Reuters has not verified these stories and does not vouch for their accuracy.

TOP STORIES

- The Cabinet endorsed a Transport Ministry proposal to conduct a joint feasibility study with Dubai World into the development of a logistics network in southern Thailand (THE NATION)

- The government plans to introduce a major new economic stimulus package by the end of this month in response to rising fuel prices, a stagnating economy and surging inflation (BANGKOK POST)

- PM's Office Minister Jakrapob Penkair is now under fire from all sides after Thaksin Shinawatra demanded he take responsibility for a controversial speech considered by many as an attempt to challenge the royal institution (BANGKOK POST)

- Ancient statues at the Phanom Rung stone temple ruins in Buri Ram have been badly damaged and the Shiva Linga stone has been moved off its plinth (BANGKOK POST)

BUSINESS

- The Mass Rapid Transit Authority of Thailand has asked the Transport Ministry to lift the reference price for the new Purple rail line by 17 percent to reflect the rising cost of steel, concrete and building materials (BANGKOK POST)

- Sahaviriya Steel Industries SSI.BK is set to become a leading high-end steelmaker in Asean as it plans to form strategic partnerships with local producers to offer a wide variety of products (THE NATION)

- Concern is mounting about a possible steel shortage as demand rises in anticipation of work starting on government megaprojects. Global demand would also be pushed up by reconstruction following the earthquake in China and the cyclone in Myanmar (BANGKOK POST)

- The Commerce Ministry wants millers and exporters to buy glutinous paddy directly from farmers, as the Public Warehouse Organisation has not yet secured loans from the Bank for Agriculture and Agricultural Co-operatives (BANGKOK POST)

- The banking system's credits are likely to grow continuously in the second quarter if private investment picks up significantly, the Bank of Thailand said (THE NATION)

- Listed companies posted a combined net profit of 152.38 billion baht ($4.77 billion) and combined revenue of 1.78 trillion baht in the first quarter of this year, driven mainly by resources, financial and service sectors (THE NATION)

** Looking for more information from local sources? Factiva.com has eight Thai sources including the Bangkok Post and The Nation. ($1=31.94 Baht)