There’s hardly anyone who doesn’t like Thailand. No matter in which part of the world I am, it is needless to say that I will find people waxing eloquent about Thailand, the people, the beauty, the world-class facilities, and the culture.
Of all the plusses, the country has an optimal business environment. The World Bank ranks it 26th, where it is easy to conduct business. The Thai economy’s strength is in its diversity, from agriculture, industry, and services to tourism. Besides, the workforce is inexpensive, yet skilled. Moreover, the country is located in the heart of Asia that makes it a gateway to the Southeast Asia and the Greater Mekong Basin region, wherein the emerging markets are having huge economic potentials.
To promote number of investments in Thailand, innumerable government policies have been implemented, especially in favor of free trade. For instance, there are no restrictions in the manufacturing sector. Also, those who will be in export only; they have the advantage of owning 100% shares in the company.
Similarly, the Board of Investment in Thailand offers a good number of incentives in the six industrial sectors, including 8 years of tax exemptions and 50% tax reduction for 5 years, and double transport, re-supply, and electricity deductions plus 25% deduction on the net profits for construction and establishment costs. Below are the 6 sectors;
- Agriculture and food;
- Renewable and alternative energies;
- Automotive;
- Electronics, information and communication technologies (ICT);
- Fashion;
- High added value services (including leisure, health and tourism);
Also, BOI implemented measures focuses at contributing to increase company’s liquidity and it offers import tax exemptions on the raw materials that are required for production. In fact, a Seven-Year Investment Promotion Strategy has been approved by the BOI to give priority to the investments.
