Thailands Industry Ministry estimated that throughout 2013, there would be investment promotion applications to Thailands Board of Investment BOI for at least Bt1 trillion, from the previous target at Bt700 billion.
Industry Minister Prasert Boonchaisuk said such an estimate was projected from investment applications from January to April this year which already reached Bt500 billion. Last year alone, investor application for promotional investments through BOI exceeded Bt1.47 trillion, growing from Bt700 billion in 2011.
The minister said the higher figure was due to Thai and foreign investors confidence in Thailand’s strong fundamentals, the governments Bt350-billion water management scheme, its infrastructure construction project of Bt2 trillion, as well as the connectivity policy of economic corridors linking roads from Thailand to neighbouring countries.
Regarding the Industrial Estate Authority of Thailand IEATs progress on area development for industrial purpose, Mr Prasert said there were 28 projects from the private sector applying to set up industrial areas, expected to be complete in 2015, of which 18 projects were of small- and medium-sized enterprises with a total investment budget at Bt21.2 billion, creating 530,000 jobs. MCOT online news
Thailand’s Board of Investment (BOI) has approved a time frame for the preparation of a new investment promotion policy, scheduled to be completed by December 2013 , and to be enforced beginning on 1 January 2015, leaving an adjustment period for investors .
According to Mr. Prasert Boonchaisuk, the Minister of Industry, the BOI board approved the time frame for the new investment promotion policy implementation t o create clarity and transparency in its operation. It provides sufficient lead time for investors and business operators to prepare themselves in order to ensure full compliance and plan their business accordingly.
The new investment promotion policy will be completed by December 2013 and become effective from 1 January 2015 onwards. Under the new policy draft, the BOI plans to shift its investment promotion focus to 10 target industries, including
1. infrastructure and logistics series,
2. primary industries,
3. medical & scientific equipment,
4. renewable energy and environmental services,
5. business support services industries, 6. advanced core technologies,
7. food and agricultural processing,
8. hospitality & wellness,
9. automotive and other transport equipment, and, finally,
10. the electronics and appliances industry. In addition, incentives will be given to new regional industry clusters such as food processing industries, a change from the previous zoning – based policy .
The benefits provided to the project, which has been further encouraged by the new strategy, will be divided into two categories, basic incentives and additional merit – based incentives . BOI focuses on promoting the activities of investment projects that are beneficial to the country.