Thailand, located at the heart of Asia, the fastest growing region in the world, boasts a dynamic workforce and a business environment that the World Bank rates among its top 20. It has enjoyed more than two decades of economic growth and profit. Embracing the opportunities of the 21st century, Thailand is now moving towards a knowledge-based business community that is characterised by excellence, quality and technology-driven production, while at the same time maintaining the cultural and traditional spirit that makes the kingdom a unique tourist destination.
The nation’s productivity record has made Thailand an exporting powerhouse in south-east Asia, increasing in value by 17.4% in 2006 at a staggering $128.2bn, with similar expectations for the current year.
What accounts for this impressive growth? First, Thailand is closing in on being rated as one of the world’s top ten automotive manufacturers. A bevy of Japanese, American and other car, truck and motorcycle manufacturers continue to take advantage of the kingdom’s excellent location and a state-of-the-art infrastructure, which includes several deep-sea ports, a national road and rail system, and a commitment to modernisation. The new incentives being offered by the BOI to spur production of a fuel-efficient environmentally safe car will take this industry to the next level.
In addition to the automotive industry, Thailand has a robust manufacturing base in electronics and electrical appliances, exporting about $42bn in 2006. The country also ranks as the world’s number one manufacturer of hard disk drives and is a top producer of integrated circuits.
Another impressive sector is the petrochemical industry. Thailand’s oil and gas company, PTT, is looking to expand its global presence, and companies such as Dow and Siam Cement are increasing their already sizeable investments in the country. The government is actively looking to expand opportunities in this sector.
Combining high-tech and traditional production, Thailand also continues to maintain its leading position as one of the few net food-exporting countries in the world. The kingdom remains the world’s number one exporter of natural rubber, rice, canned and frozen seafood, canned tuna, canned pineapples and cassava. It is also the number two exporter of sugar. Capitalising on the ready availability of Thailand’s abundant natural resources, food processing companies have raked in an impressive $25bn in annual earnings.
Yet the benefits of investing and locating in Thailand go beyond the balance sheet, as the country offers something for the whole family. Bangkok has a skyline of modern high-rise buildings that eases into miles of sandy coastline trimmed by palm trees and world-class resorts that can be enjoyed with one of the lowest costs of living in the world, in addition to having some of the best educational opportunities for families living abroad.
The Board of Investment of Thailand is prepared to offer incentives of up to eight years of corporate tax exemptions and duty-free imports of machinery and raw materials, as well as providing assistance to companies establishing themselves in Thailand for the entirety of their investment. Qualifying companies that are BOI sponsored also are eligible for up to 100% foreign ownership. And, the BOI offers parts and components sourcing assistance, matching your needs with local product manufacturers that will not only speed up delivery to market, but do so with quality assurance.
Please feel free to contact the BOI at any of its regional offices in New York, Los Angeles, Paris, Frankfurt, Tokyo, Osaka, Shanghai and Bangkok, or online at www.boi.go.th.
THAILAND BOARD OF INVESTMENT
555 Vibhavadi-Rangsit Rd, Chatuchak, Bangkok 10900, Thailand
Tel: +66 2537 8111, +66 2537 8555
Fax: +66 2537 8177