Investment Opportunities in Thailand

As Chairman of International Business Expert Committee of BCIC Karnataka , I had the opportunity to organise an interactive session with Her Excellency H E Ms. Pattarat Hongtong , Ambassador of Thailand to India accompanied with her delegation, H E Mr. Racha Aribarg - Consul General of Thailand in Chennai, Ms. Sunchawee Pattanachak – Executive Director of Thai Trade Centre, Mumbai, Ms. Kanokporn Kunnawattana – Minister Counsellor, Royal Thai Embassy, New Delhi, Ms. Nakrisorn Klaikeow – Director, Thailand Board of Investment, Mumbai, Ms. Thanchanok Mia Uthaiwan – First Secretary, Royal Thai Embassy, New Delhi, Mr. Pinpong Chauvachata – Consul, Royal Thai Consulate-General, Chennai.

?The delegation led by the Ambassador of Thailand to India highlighted Thailand's strategic economic policies and incentives designed to attract foreign investors. The Ambassador discussed on the possible collaborations with Thailand in various sectors vis-à-vis Digital technology, IT, Electronics, Startup, Manufacturing, Agro and Food Processing etc.

There is good scope for enhancing bilateral trade between the two countries. The potential sectors for cooperation are auto components and automotives; food processing; marine and animal products; pharmaceuticals including ayurveda products; machinery parts; electronic items; IT hardware and IT Enabled Services; steel and metal products; gems and jewellery, entertainment industry etc.

Business Ecosystem:

Thailand is the heart of the ASEAN Economic Community and the second largest economy in Southeast Asia.

It has world class business ecosystem - 15 Free Trade Agreements with 19 nations; well-established rail, water, and air infrastructures which are connected to ASEAN countries, home to world leading Multinational Corporations and high-quality workforces, comprehensive government supporting measures aligning with BOI investment incentives and Incentives on green transition activities.

Thailand's remarkable increase in digital ranking underscores its robust presence in the global stage, 2nd best country for starting a business, 25th in IMD World Competitiveness Index and 10th in “The Agility Emerging Markets Logistics Index”.

Under the vision "Ignite Thailand," Thailand aspires to evolve into a global and regional hub, leveraging on country’s infrastructure. BOI Target Industries are Bio-Circular-Green Economy, Automotive & EV, Smart Electronics, Digital and Creative and International Business Center.

Thailand Board of Investment (BOI) , a government agency under the Prime Minister office and the Royal Thai Consulate-General, India. BOI’s India office mainly takes care of providing assistance to any interested Indian investors who seek government support for their business expansion in Thailand.

Tax & Non Tax Benefits:

The Thailand BOI offers a wide range of incentives, including both tax and non-tax benefits:

Maximum of 15 years of Corporate Income Tax Exemption with no Cap, Exemption from taxes on dividends, 50% Reduction of Corporate Income Tax with no Cap (Maximum of 5 – 10 years), Exemption of Import Duty & VAT (Machinery, Raw materials used for export production throughout the project, Materials for R&D throughout the project), Double Deduction from the costs of transportation, electricity and water supply and 25% Deduction of the cost of installation or construction of facilities for 10 yrs.

Long-term Resident (LTR) Visa- Maximum 10 years, one Stop Service for Visa & Work Permit, fast Track Lane @ Airport, 100% Foreign ownership, 100% Land ownership and NO Requirement of Foreign Business License.

Digital Sector:

Thailand represents a growing market for the digital sector, supported by well-developed infrastructure and supportive policies. Located in the strategic location with high standard of digital infrastructure and surrounded by world’s economic powerhouse, “Ignite Thailand” vision of promoting Thailand to become regional digital hub, expand submarine cable network, etc.

Thailand's digital industry is experiencing growth across segments. Thailand’s data center and cloud service market offers growth opportunities, bolstered by strong business ecosystem. Investment incentives for the digital industry aims to establish the ideal digital ecosystem for the country.

Government agencies play a vital role in developing a strong digital ecosystem and promoting growth throughout the entire digital sector.