BANGKOK (Dow Jones) – Thailand is considering plans to upgrade the speed of its rail system and expand its logistics network nationwide, Prime Minister Abhisit Vejjajiva said.

Part of the THB170 billion ($5.26 billion) rail system budget for the next five years is aimed at doubling the speed of trains, to 100-120 kilometers per hour from 50-60 km/h, he told reporters.

Auctions for the construction of high-speed train projects are in the pipeline, he said, without elaborating on a time frame of the implementation.

Thailand is also studying routes to connect to China via the country's north while the Transport Ministry is working on the details of a network project to the east to be submitted for Cabinet approval, Abhisit said on the sidelines of a logistics seminar in Bangkok.

Abhisit said the government is also conducting a feasibility study for logistics development to support industrial projects in southern Thailand – a key tourism and agricultural region – to avoid the pitfalls suffered at the Map Ta Phut industrial estate in the country's east, where environment concerns have forced the suspension of a number of projects.