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April 2016 vol. 26 no. 4
Thailand Investment Review
Thailand Arbitration Center Offers
Business Care Support To Investors
Thailand, a Growing Market for
Automation and Robotics
CT Asia Robotics Leads the Way In
Thailand’s Robotics Revolution
thailand board of investment
www.boi.go.th
SUBCON Thailand Continues To Link Regional
Manufacturing To Global Industries
SUBCONThailand2016FamedforbeingAsia’sLargestInternationalIndustrialSubcontracting
and Business Matching Event that focuses on industrial linkage development
THAILAND INVESTMENT REVIEW02
april
2016
TIR
boi net application (jan-feb 2016)
foreign INVESTMENT BY major economies
FOREIGN INVESTMENT BY TARGET SECTOR
TOTAL INVESTMENT
187 Projects
919 m
TOTAL Foreign
INVESTMENT
120 Projects
354 M
page
BOI Net Application 02
Cover Story :
SUBCON Thailand Continues To Link Regional Manufacturing To Global Industries 03-04
Industry Focus :
Thailand, a Growing Market for Automation and Robotics 05-06
News Bites 06
Company Interview :
CT Asia Robotics Leads the Way In Thailand’s Robotics Revolution 07-08
Short Article :
Thailand Arbitration Center Offers Business Care Support To Investors 09
BOI's Missions and Events 10
Thailand Economy-At-A-Glance 11
About BOI 12
CONTENT
TIR
APRIL 2016
usa
2 projects
0.3 m
europe
23 projects
82 m
china
13 projects
107 m
thailand
singapore
12 projects
10 m
australia
4 projects
7 m
malaysia
4 projects
7 m
hong kong
6 projects
31 m
TAIWAN
3 projects
13 m
JAPAN
43 projects
72 m
Unit: US$ (US$ = 35.30 THB )
Note: Investment projects with foreign equity participation from more than one country are reported in the ïŹgures for both countries / Statistics on net applications are adjusted
whenever applications are returned to applicants due to insufïŹcient information.
For more details, please see link http://www.boi.go.th/index.php?page=Report_investment
Digital
16 Projects
4 M
logistics
1 Project
12 m
value-added
agriculture
6 Projects
61 M
Intl. Business Hub
25 Projects
16 M
science, tech
& innovation
25 Projects
420 M
india
3 projects
16 m
Other target sectors : 1 project (2 M)
THAILAND INVESTMENT REVIEW 03
april
2016
TIR
cover story
The Thailand Board of Investment
(BOI), the BOI Unit for Industrial
Linkage Development (BUILD) and
UBM Asia (Thailand) are proud to
present SUBCON Thailand 2016.
Famed for being ASEAN’s Largest
International Industrial Subcontracting
and Business Matching Event
that focuses on industrial
linkage development,
the 10th
exciting
edition represents
an ideal opportunity
for entrepreneurs to
ïŹnd new businesses
as well as establish
long-term, global
partnerships.
With the ASEAN Economic
Community (AEC) now a reality,
SUBCON Thailand 2016 offers
excellent opportunities for business
expansion, with the support and
beneïŹt of government investment
policies. Featuring more than 350
industrial subcontractors, the event
provides buyers and manufacturers
from 18 countries, with opportunities
to view and source a wide range
of locally manufactured parts and
components. Industrial-part makers in
multiple industries will have unique
opportunities to establish partnerships
with large Tier 1 and Tier 2
corporations.
Attended by an
average of 25,000
industrial part-
buyers from around
the world annually,
the exhibitors
include both domestic
and international
manufacturers and suppliers
of industrial parts in the aerospace,
metal, medical, machinery, plastic,
rubber, construction, electrical
appliances and electronics industries,
and other related supporting industries
such as logistics and service providers.
Around 21,490 international buyers
and visitors participated in the 2015
show which had a transaction
value of THB 7.92 billion (USD
224 million), with more expected
in follow-up deals. Representatives
from 375 companies were present
and about 4,611 business matches
were made.
This premier event not only
helps businesses to expand and
grow, but it also showcases
Thailand’s industrial sub-contracting
potential and promotes the country
as an ASEAN investment hub.
It also publicizes the government’s
support in the form of policies
and incentives, helping to increase
investor’s conïŹdence in the Thai
industries.
Key Unique Business
Advantages
SUBCON Thailand offers
a number of unique business
advantages over similar events. Firstly
it facilitates business negotiations
and business matching allowing the
SUBCON Thailand
Continues To Link Regional
Manufacturing To Global Industries
l
coral
an
SUBCON Thailand
has a track record of
around THB45billion
(USD1.3billion) of business
transactions conducted
over a 9 year period with
over 25,000 business
matches
SUBCONSUBCON THAILAND 2016
ASEAN'S LARGEST INTERNATIONAL INDUSTRIAL SUBCONTRACTING EVENT
THAILAND INVESTMENT REVIEW04
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2016
TIR
respective parties to build mutually
beneïŹcially relationships.
Secondly it provides
manufacturers the best
possible opportunity
to showcase their
products andservices.
Thirdly it acts as an
excellent business
platform for new
industries such as
medical devices, aerospace
etc. introducing part-makers
Why should you attend SUBCON Thailand 2016?
es
s
SUBCON Thailand
2016 will also feature
seminars on key future
industries such as the
Aerospace and Medical
Device industries
to these future industries in the
form of seminars.
The special ‘Business
M a t c h m a k i n g
Program’ connects
top industrial part
buyers with Thai
subcontractors
to source parts,
establish business
collaborations and
identify new marketing
channels. Registered part-
buyers can set up appointments in
advance with suppliers who fulïŹll
their requirements, through an online
program, saving everyone valuable
time.Topglobalmanufacturers,suchas
Suzuki, Mitsubishi Electric, Samsung
Electronics, Honda Trading, Mercedes
Benz,tonameafew,will be able toeasily
interact with representatives from
Thailand's diverse industries.
Participating buyers will be able
to features their part requirements at
a Buyer’s Village while an Industrial
Clinic will assist entrepreneurs with
valuable advice from government and
private agencies. The Academic-to-
Business (A2B) program will help
manufacturers link with educational
institutions and research agencies,
to commercialize their innovations.
Future Business Potential
Anew feature this year is a special
showcasethathighlights manufacturing
technology and innovation in the
medical device industry. There is
high demand for medical devices
and equipment, as medical facilities
improve at hospitals and clinics, with
old equipment being replaced by
more advanced devices. As most of
the sophisticated equipment used at
present is imported, there are excellent
opportunities for investors to explore
the Medical Device industry.
Business Matchmaking & Business Transactions: 2007-2015
5,000
4,500
4,000
3,500
3,000
2,500
2,000
1,500
1,000
500
0
12
10
8
6
4
2
0
2007
1.20
2.56
3.02
4.53
5.48
6.33
6.80 7.05
7.92
1,024
1,563
2,041
2,537
3,109
3,473
3,540 3,826
4,611
2008 2009 2010 2011 2012 2013 2014 2015
We invite you to join SUBCON Thailand 2016 and take advantage of this golden opportunity to interact
with key industry leaders and attend seminars that will cover business strategies, product development and
investment opportunity analyses. This highly successful international event will take place from Wednesday
to Saturday, 11-14 May 2016 at the Bangkok International Trade and Exhibition Centre (BITEC). BITEC
is a leading convention center and it is located in Bang Na district in Bangkok. Opening hours are from
10:00 to 18:00.
Investors considering Thailand will not only have access to the country’s local population of 67 million people,
but also over three hundred million people in the Greater Mekong sub-region (GMS), over six hundred million
in the ASEAN Community and over 3 billion people in the Regional Comprehensive Economic Partnership
(RCEP). Given the immense potential that exists here in terms of creating and establishing business partnerships
that serve some of the world’s largest markets, SUBCON Thailand 2016 is not an event to be missed.
Business Transactions
(Billions THB)
Business Matching
(Paris)
Business Matching
Financial Transactions
THAILAND INVESTMENT REVIEW 05
april
2016
TIR
industry focus
Thailand, a Growing Market for
Automation and Robotics
Automation and Robotics
Usher In A New Era
Over the past half a century,
dynamic advances in automation
and robotics have been transforming
both business and society.Automation
and robotics were initially used to
increase productivity on the production
ïŹ‚oor of factories and utilized simple
technologies. Now however, many
corporations around the world are
transitioning into Industry 4.0, making
use of artiïŹcial intelligence, big data
management, and the Internet of
Things (IoT) to seamlessly work
together, to exponentially increase
both production and productivity.
Rising Automation and
Robotics Industry
Both automation and robotics
have gained an important foothold in
Thailand’s growth and development.
Many universities in Thailand offer
courses for students interested in this
ïŹeld, with the most specialized course
being offered by the Institute of Field
Robotics (FIBO) at King Mongkut’s
University of Technology, Thonburi.
Many robots developed in-house
by universities and private companies,
in both the industrial and service
categories, have also found use in
real world applications. Mahidol
University’s Bartlab Rescue Robot,
Hive Ground’s Flare Stack Inspection
Drone and Zeabus Autonomous
Underwater vehicle (AUV), and CT
Asia Robotics’s Dinsow Robot are
some prominent examples. Given
these advances, it is evident that Thai
researchers and engineers possess the
necessary skills and technical know-
how, and that Thailand is ready to be
a hub for investment in these areas.
Investors can also draw upon
the country’s other established
advantages, such as its high user
base, especially in the Automotive
and Electrical and Electronics
industries - two prominent areas
that demonstrate high automation
and robotics growth globally
Thai MarketPlace:
Opportunities
The International Federation of
Robotics (IFR) considers the above
two industries to be the two major
industries that drive global automation
and robotics growth. Since 2010,
the automotive industry has
considerably increased investments
in industrial robots worldwide, with
an average sales growth (CAGR) of
27% (2010-2014).As for the electrical
and electronics industry, global robot
sales increased considerably by 34%
(2014) to 48,400 units, reaching
a new peak due to the rising demand
for electronic products and the need
to automate production.
Thesesalesgrowthnumberssignify
big opportunities in Thailand as the
country is a hub for automotive and
electrical and electronics production
in ASEAN. Thailand ranked 12th
globally for motor vehicle production
and 6th
for commercial vehicle
production in 2015. As for the
electrical and electronics industry,
THAILAND INVESTMENT REVIEW06
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2016
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NEWS BITEs
Thai Robot Helps Scientists Forecast Weather More Accurately
A Thai robot capable of climbing towers to collect air samples is helping scientists monitor pollution and
weather conditions at different heights. Built by researchers at Kasetsart University, Bangkok, the robot can
analyze greenhouse gases and measure the concentration of minute particles. Scientists can use the data it
collects, to model weather patterns and improve their forecast accuracy. The project is important because it
represents a new way of monitoring air quality that is automated, reliable, low-cost and low-maintenance. By
removing the need for air sampling equipment to be transported by human operators to high locations and the
associated costs involved with employing them, the robot represents a safe and long-term solution that will
also help scientists to study trends in the context of climate change and urbanization.
Thai Scientists Create Low-Cost Automatic Medicine Dispenser
An automatic medicine dispenser called B-Hive1, has been developed by scientists at the Institute of Field
Robotics (FIBO) at King Mongkut's University of Technology Thonburi (KMUTT), in collaboration with the
Thailand Center of Excellence for Life Sciences (TCELS) and Supreme Hitera Co., Ltd, under the "Talent
Mobility" project. Designed to make dispensing medicines faster, the device is capable of receiving as many as
150 prescriptions per hour directly from doctors and dispensing medication accordingly. Not only is it expected
to ease the workload of pharmacists, but it is also much more affordable, costing about half the cost of similar
devices. B-Hive1 is ready for commercial use.
Thailand has experienced a 7% growth
in export value as measured from
2011, reaching an impressive ïŹgure
of THB 435 billion (USD 12 billion)
in 2015. The country is also renowned
for being the second largest global
producer and exporter of data storage
units like Hard Disk Drives (HDD).
According to FIBO, the import
value of machinery related to
automation in Thailand is around
THB 100 billion (USD
3 billion) per year.
This large import
ïŹgure showcases
the high local
demand that
exists for these
products; the
investment
opportunities
here are huge.
Currently, many
big corporations in
Thailand, both private and
public, are also actively looking to
develop systems related to automation
and robotics.
BOI Incentives Encourage
Growth
The BOI recognizes the importance
of automation and robotics and
they belong to the future industries
promoted under the Super Cluster
category. Examples of activities
eligible for incentives in these
industries include microelectronics
design, embedded system design,
and embedded software. Recently,
the BOI approved additional
activities to expedite
investment projects in
these future industries.
High value-added
softwaredevelopment
is one of those
additional activities
a n d i t i n c l u d e s
developing system
software for advanced
technology devices (including
business process management) and
developing industrial software used
to support manufacturing. Investors
can apply for general incentives that
includean8yearincometaxexemption
and import duty on machinery,
and raw materials. However,
they can apply for incentives under
the Super Cluster policy if they
meet certain speciïŹc criteria and
not only get an 8 year income tax
exemption, but also 50% Corporate
Income Tax (CIT) reduction for 5
years. Non-tax incentives include
the right to own land and work permits
for expatriates.
Activities that include the
manufacture of automation machinery
and/or automation equipment with
engineering, and the assembly of
robots or automation equipment
and/or automation parts, are eligible
for an 8 year and 5 year income tax
exemption respectively, under general
incentives. If the projects qualify
though under the Super Cluster
category, they will get an 8 year
income tax exemption as well as
a 50% CIT reduction for 5 years.
IFR estimates
that yearly shipments
of multipurpose industrial
robots in Thailand will
increase to 7,500 units
in 2018, from 3,221 units
in 2013, an impressive
growth forecast of
133%
THAILAND INVESTMENT REVIEW 07
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2016
TIR
Company Interview
Advances in Robotics and
Automation represent the latest
stage in our ongoing digital evolution,
providing manufacturers with an
edge by speeding up manufacturing
processes without sacriïŹcing quality
standards. Thailand is making great
strides in this area by using industrial
robots and service robots to increase
overall productivity and enhance the
quality of life. Computer Telephony
Asia Robotics (CTAsia Robotics) is
a Bangkok-based innovative company
that is taking advantage of this rising
robotics revolution to propel itself
forward.
Established in 2009,
under the leadership
of robot pioneer,
Mr. Chalermpon
Punnotok, CT Asia
Robotics, is the ïŹrst
100% Thai company
to manufacture and
develop commercial
service robots in Thailand.
CT Asia Robotics Leads the Way In
Thailand’s Robotics
Revolution
Growing from a small, local
company to a world recognized
brand in a 6 year timeframe, the
company today employs more than
70 people and has sold more than
40 robots to date internationally,
to countries like Japan and Sweden.
CT Asia Genesis
CT Asia originally started out
as a software company around 19
years ago, competing with global
names like IBM, CISCO, Siemen, and
Ericsson. Gaining valuable experience
and capital from the software
business, Mr. Punnotok
eventually founded
CT Asia Robotics to
encompass his larger
vision. His goal was
to not only bring in
more innovation
a n d a d v a n c e d
technology to provide
a platform, and offer job
opportunities to Thai robotic
competition winners, but to also create
a product of lasting value that would
gain global recognition.
Investing in the robotics industry
madesense,accordingtoMr.Punnotok,
as it was one of the government-
targeted future industries that not only
possessed high value, but also had a
high barrier to entry. Deciding to use
the robotics platform as a springboard,
he studied the opportunities in
various industries such as agriculture,
tourism and more, before settling on
the healthcare industry. Thailand’s
world-class medical facilities were
not the only reason for this choice;
with more than 1,000 public and
300 private hospitals nationwide
and an increasing aging population
both nationally and globally,
Mr. Punnotok saw tremendous
potential in this sector.
According to
the United Nations,
there were 901 million
people aged 60 years or
over in 2015. This figure
is projected to rise to
1.4 billion people
in 2030
THAILAND INVESTMENT REVIEW08
april
2016
TIR
Dinsow, The First 100% Thai
Robot
Witnessing a key need in terms of
the lack of qualiïŹed medical
staff to take care of a
rapidly aging populace,
Mr. Punnotok
decided to create
a service robot that
was capable of
taking care of the
elderly. Bringing the
best minds to work on
the task from all over the
country, the company released the
ïŹrst 100% Thai commercial, service
robot, called Dinsow, in 2010.The ïŹrst
generation of Dinsow was initially
utilized to entertain customers and
serve them meals at 10 branches of the
popular MK Suki Restaurant chain.
Further research and development on
the robot continued, until in 2014,
CTAsia Robotics released the third-
generation of Dinsow. Equipped
with a camera, infrared and thermal
sensors, and artiïŹcial intelligence,
this robot is capable of keeping track
of an elderly person's movements,
even in a dark room, allowing loved
ones to also keep track of them,
through an accompanying smartphone
application. Asenior person can also
easily call his or her children, or
listen to entertainment through the
Dinsow robot. In 2014, Dinsow
became the ïŹrst Thai robot
to be exported to Sweden
and Japan.
CT Asia Robotics
continues to partner
with Thai and Japanese
hospitals and Mr.
Punnotok expects to
sell about 100,000 Dinsow
robots internationally in the
next two years.
Thai Robotics Industry:
Opportunities
Asia's robotics and automation
marketsareseeingdynamicgrowth.
Mr. Punnotok sees immense growth
opportunities in the service robots
sector, both locally and globally.
The service robots sector is
currently in the Research and
Development phase, according to
Mr. Punnotok, and is still very niche
compared to industrial robots. Given
the lack of key players, there is plenty
of room to grow and advance in this
"Today, Dinsow
is considered to
be number one in the
world among elderly care
robots,"
says Mr. Punnotok
"The service robot sector has the
potential to grow to be three times the
size of the industrial
robot sector,"
says Mr. Punnotok,
“and in 10 years time, service robots
will be more commercialized and
more present in everyday life"
ïŹeld, he says. Mr. Punnotok advises
potential investors eyeing the Thai
Robotics industry to leverage existing
industries like food, tourism and
agriculture, where service robots are
virtually nonexistent and address key
requirements there.
According to the International
Federation of Robotics, the
international market value for robotic
systems is now around USD 32 billion.
Thailand ranked 8th
in the world
in 2014, for its supply of robotics.
However in 2014, the total supply
of about 3,700 robots represented
less than 2% of global installations.
There is a clear demand here that
investors can address. With its
immense potential to revolutionize
key industries, the opportunities in
Thailand's robotics and automation
industries have never been more
promising.
THAILAND INVESTMENT REVIEW 09
april
2016
TIR
short article
Thailand Arbitration Center Offers
Business Care Support To Investors
Investors seeking to establish a business in Thailand have the beneïŹt of the country’s many advantages, such as
its excellent location withinASEAN, its good infrastructure and established logistics systems. However, as with
the operation of any business over time, they are likely to face challenges, such as possible disputes with other
parties. While a quick resolution beneïŹts all concerned, ïŹnding one, might not be the easiest task.
Thailand Arbitration Center
This is where the ThailandArbitration Center (THAC)
comes in. Established by the Arbitration Institute Act
2007, under the umbrella of the Ministry of Justice, the
THAC provides an independent international standard
arbitration platform for resolving cross-border and
international business disputes.
The primary advantage of the Alternative Dispute
Resolution (ADR) process is that it is comparatively quick.
Mediation takes anywhere from 1 to 3 days, arbitration,
from 6 months to 2 years and litigation takes between
5 to 10 years. The speed of the process helps to minimize
disruptions to the businesses of the concerned parties. It
also allows them to save on lengthy litigation costs, and
as the process is private and conïŹdential, this helps to
eliminate possible negative impacts to their reputation,
as well as possibly salvaging their working relationship.
Other ADR beneïŹts include the possibility for a win/
win settlement for mediation. Since Thailand is part of
the New York Convention, the award for arbitration is
enforceable in 154 countries.
THAC Services
The THAC provides international standard arbitration
and mediation services, and can arbitrate cases in 15
languages, and mediate cases in 6 languages. The center
comes fully equipped with facilities and services for
administering ADR cases. It also provides access to the
Alternative Dispute ResolutionAcademy (ADRA), which
conducts seminars on the usage of ADR in managing
disputes, as well as providing training courses on arbitration
and mediation.
The THAC is under the leadership of Managing
Director, Pasit Asawawattanaporn, and is located on
the 26th
Floor, Bhiraj Tower (Emquartier), Bangkok.
For more information, please visit the THAC website at
www.thac.or.thorcall02-018-1615oremailinfo@thac.or.th.
Arbitrationandmediationaregloballyrecognizedas
theprimarytoolsforresolvingdisputesforbusiness,
trade, construction, logistics, and investments
THAILAND INVESTMENT REVIEW10
april
2016
TIR
BOI's missions and events
Deputy Prime Minister, Dr. Somkid Jatusripitak, led the government’s investment roadshow in Seoul, Korea, along with
the economic team and BOI Secretary General, Mrs. Hirunya Suchinai, from 21
st
– 25
th
March 2016. The mission included
a seminar entitled “Thailand: Moving Forward to Sustainable Growth” organized by the BOI on 24
th
March 2016
at Lotte Seoul Hotel.
The Director of the BOI Taipei OfïŹce, Ms. Ratanawimon Naree Sukreekhet,
led an investment mission in Taipei, Taiwan from 20
th
– 24
th
March 2016.
Activities included a one-on-one meeting with Taiwanese potential investors
and a Roundtable Meeting on "Business Opportunities for Thailand - Taiwan
Biotechnology Collaboration” on 22
nd
March 2016, presented by
Dr. Nataporn Chanvarasuth, Senior Researcher at the National Science and
Technology Development Agency (NSTDA).
BOI Secretary General, Mrs. Hirunya Suchinai, chaired the 6
th
meeting
of the Sub-Committee on Enhancement of Business Environment (EBE)
under the Japan-Thailand Economic Partnership Agreement (JTEPA)
at the Landmark Hotel, Bangkok on 3
rd
March 2016. The meeting was
joined by H.E. Mr. Shiro Sadoshima, Ambassador of Japan to Thailand
and representatives from nearly 30 related Thai and Japanese government
agencies and private sectors.
BOI Deputy Secretary General, Ms.Ajarin Pattanapanchai, gave a presentation
on “New Investment Promotion Measures” at the seminar entitled “BOI
Policy Update: Moving Towards a New Engine of Growth” on 11
th
March
2016 at Napalai Ballroom, Dusit Thani Hotel, Bangkok, in order to publicize
the BOI’s investment promotion policy to Chinese investors.
THAILAND INVESTMENT REVIEW 11
april
2016
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thailand ECONOMY-AT-A-GLANCE
gdp by sector 2015
TOP 10 EXPORTS (JAN-feb 2016)thailand export value
gdp/capita
projected (2016)
US$ = 35.30 THB
population (2016) asean population (2016) liteRacy rate (2015) minimum wage
68.0 million 638 million 97 % 300 baht/day (8.50 us$)
gdp growth
(%yoy)
$ 201.7 billion
TOTAL EXPORT VALUE
(2015)
$ 34.6 billion
TRADE
BALANCE (2015)
63.9 %
CAPACITY UTILIZATION
(JAN 2016)
-0.50
HEADLINE INFLATION
(FEB 2016)
$ 34.8 billion
CURRENT ACCOUNT
BALANCE (2015)
$ 149.3 billion
INTERNATIONAL
RESERVES (2015)
96.4 %
MANUFACTURING
PRODUCTION INDEX
(2015)
105.5
HEADLINE CONSUMER
PRICE INDEX (2016)
(The base year is 2011=100)
corporate income tax withholding tax value added tax
2015 2016
(Projected)
2016
(Projected)
$ 5,736.4
2.9 %
3 %
-
4 %
„
35.30
thb
40.32
thb
50.85
thb
31.62
thb
5.51
thb
€ £
1. Motor cars, parts and accessories (24.0%)
2. Precious stones and jewelry (20.1%)
3. Computer parts and devices (15.9%)
4. Plastic beads (7.0%)
5. Electronic integrated circuits (6.3%)
6. Machinery and parts thereof (6.1%)
7. Rubber products (5.5%)
8. Chemical products (5.4%)
9. Air conditioner and components (4.9%)
10. Rice products (4.7%)
demographics
gross domestic product
export figures
other economic indicators
average exchange rates ( as of 1 apr 2016 ) tax rates
9 %
58 %
33 %
agriculture
industry
Source : The Revenue Department
Source : Bank of Thailand, Ministry of Commerce and World Bank
Source : WTO, Ministry of CommerceNote : *2009-2015 CAGR
Source: NESDB
Source: United Nations
Source : Bank of Thailand
0.00
0.10
0.05
0.15
0.20
0.25
20102009 2011 2012 2013 2014 2015
5.66 %*
[ TRILLION USD ]
total investment
growth (%yoy)
2015
4.7 %2.8%
services
s y 10 - 20 % 1 - 10 % 7 %
$ 395.2
billion
4.9 %
1
2
3
4
5
6
7
8
9 10
$ 17.6
billion
THAILAND INVESTMENT REVIEW12
april
2016
TIR
about boi
boi overseas offices
HEAD OFFICE, OFFICE OF THE BOARD OF INVESTMENT
555 Vibhavadi-Rangsit Road, Chatuchak, Bangkok 10900 Thailand
Website : www.boi.go.th Email : head@boi.go.th
Beijing
Thailand Board of Investment,
Beijing OfïŹce
Royal Thai Embassy
No.40 Guang Hua Road.
Beijing, 100600, P.R.China
Tel. : +86 10 6532 4510
Fax : +86 10 6532 1620
Email : beijing@boi.go.th
New York
Thailand Board of Investment,
New York OfïŹce
7WorldTrade Center, 34th
FL.,Suite F
250 Greenwich St., New York, NY
10007 USA
Tel. : +1 212 422 9009
Fax : +1 212 422 9119
Email : nyc@boi.go.th
Stockholm
Thailand Board of Investment,
Stockholm OfïŹce
Stureplan 4C, 4th
Floor,
114 35 Stockholm, Sweden
Tel. : +46 8 463 11 58
+46 8 463 11 72
+46 8 463 11 74-75
Fax : +46 8 463 11 60
Email : stockholm@boi.go.th
Frankfurt
Thailand Board of Investment,
Frankfurt OfïŹce
Bethmannstr 58, 5.OG
60311 Frankfurt am Main
Federal Republic of Germany
Tel. : +49 69 9291 230
Fax : +49 69 9291 2320
Email : fra@boi.go.th
Osaka
Thailand Board of Investment,
Osaka OfïŹce
Royal Thai Consulate-General,
Osaka,BangkokBankBldg.7th
Floor
1-9-16 Kyutaro-Machi, Chuo-Hu
Osaka 541-0056 Japan
Tel. : +81 6 6271 1395
Fax : +81 6 6271 1394
Email : osaka@boi.go.th
Sydney
Thailand Board of Investment,
Sydney OfïŹce
Level 1, 234 George Street, NSW
2000,Australia
Tel. : +61 2 9252 4884
Fax : +61 2 9252 2883
Email : sydney@boi.go.th
Guangzhou
Thailand Board of Investment,
Guangzhou OfïŹce
Investment Promotion Section
Royal Thai Consulate-General,
No.36YouheRoad,HaizhuDistrict,
Guangzhou,P.R.C.510310
Tel.: +862083858988ext.220-225
+862083877770(DirectLine)
Fax : +86 20 8387 2700
Email : guangzhou@boi.go.th
Paris
Thailand Board of Investment,
Paris OfïŹce
Ambassade Royale de Thailande
8, Rue Greuze
75116 Paris, France
Tel. : +33 1 5690 2600-1
Fax : +33 1 5690 2602
Email : par@boi.go.th
Taipei
Thailand Board of Investment,
Taipei OfïŹce
TaipeiWorldTradeCenter,3rd
Floor,
Room 3E40, No.5, Xin-yi Road,
Sec.5 Teipei 110, Taiwan, R.O.C.
Tel. : +88 6 2 2345 6663
Fax : +88 6 2 2345 9223
Email : taipei@boi.go.th
Los Angeles
Thailand Board of Investment,
LosAngeles OfïŹce
Royal Thai Consulate-General
611 North Larchmont
Boulevard, 3rd
Floor,
LosAngeles, CA90004 USA
Tel. : +1(0) 323 960 1199
Fax : +1(0) 323 960 1190
Email : boila@boi.go.th
Seoul
Thailand Board of Investment,
Seoul OfïŹce
#1804,18th
Floor,DaeyungakTower
25-5, 1-KA, Chungmu-Ro,
Chung-Ku, Seoul, 100-706, Korea
Tel. : +82 2 319 9998
Fax : +82 2 319 9997
Email : seoul@boi.go.th
Tokyo
Thailand Board of Investment,
Tokyo OfïŹce
Royal Thai Embassy, 8th
Floor.,
Fukuda Building West, 2-11-3
Akasaka, Minato-ku,Tokyo
107-0052 Japan
Tel. : +81 3 3582 1806
Fax : +81 3 3589 5176
Email : tyo@boi.go.th
Mumbai
Thailand Board of Investment,
Mumbai OfïŹce
Royal Thai Consulate-General,
Express Tower, 12th
Floor, Barrister
Rajni Petel Marg, Nariman Point,
Mumbai, Maharashtra 400021
Tel. : (91 22) 2204 1589-90
Fax : (91 22) 2282 1525
Email : mumbai@boi.go.th
Shanghai
Thailand Board of Investment,
Shanghai OfïŹce
Royal Thai Consulate General
2nd
Floor, 18 Wanshan Road,
Changning District, Shanghai
200336, P.R. China
Tel.: +862162883030ext.828,829
Fax : +86 21 6288 3030 ext. 827
Email : shanghai@boi.go.th
los angeles
new york
stockholm frankfurt
paris
mumbai
tokyo
osaka
guangzhou
shanghai
sydney
beijing
seoul
taipei
thailand
headquarterS
The OfïŹce of the Board of Investment (BOI) is the principal government agency that operates under the Prime Minister's OfïŹce
for the purpose of encouraging investment in Thailand. We at the BOI serve as the professional contact points for investors,
providing them with useful investment information and services. We offer business support and investment incentives to
foreign investors in Thailand, including tax and non-tax incentives.Afew non-tax incentives include granting land ownership
to foreigners and facilitating visas and work permits. Besides serving the needs of overseas investors, we also offer consultation
services to Thai investors who are interested in investment opportunities abroad.

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Thailand Investment Review, April 2016

  • 1. April 2016 vol. 26 no. 4 Thailand Investment Review Thailand Arbitration Center Offers Business Care Support To Investors Thailand, a Growing Market for Automation and Robotics CT Asia Robotics Leads the Way In Thailand’s Robotics Revolution thailand board of investment www.boi.go.th SUBCON Thailand Continues To Link Regional Manufacturing To Global Industries SUBCONThailand2016FamedforbeingAsia’sLargestInternationalIndustrialSubcontracting and Business Matching Event that focuses on industrial linkage development
  • 2. THAILAND INVESTMENT REVIEW02 april 2016 TIR boi net application (jan-feb 2016) foreign INVESTMENT BY major economies FOREIGN INVESTMENT BY TARGET SECTOR TOTAL INVESTMENT 187 Projects 919 m TOTAL Foreign INVESTMENT 120 Projects 354 M page BOI Net Application 02 Cover Story : SUBCON Thailand Continues To Link Regional Manufacturing To Global Industries 03-04 Industry Focus : Thailand, a Growing Market for Automation and Robotics 05-06 News Bites 06 Company Interview : CT Asia Robotics Leads the Way In Thailand’s Robotics Revolution 07-08 Short Article : Thailand Arbitration Center Offers Business Care Support To Investors 09 BOI's Missions and Events 10 Thailand Economy-At-A-Glance 11 About BOI 12 CONTENT TIR APRIL 2016 usa 2 projects 0.3 m europe 23 projects 82 m china 13 projects 107 m thailand singapore 12 projects 10 m australia 4 projects 7 m malaysia 4 projects 7 m hong kong 6 projects 31 m TAIWAN 3 projects 13 m JAPAN 43 projects 72 m Unit: US$ (US$ = 35.30 THB ) Note: Investment projects with foreign equity participation from more than one country are reported in the ïŹgures for both countries / Statistics on net applications are adjusted whenever applications are returned to applicants due to insufïŹcient information. For more details, please see link http://www.boi.go.th/index.php?page=Report_investment Digital 16 Projects 4 M logistics 1 Project 12 m value-added agriculture 6 Projects 61 M Intl. Business Hub 25 Projects 16 M science, tech & innovation 25 Projects 420 M india 3 projects 16 m Other target sectors : 1 project (2 M)
  • 3. THAILAND INVESTMENT REVIEW 03 april 2016 TIR cover story The Thailand Board of Investment (BOI), the BOI Unit for Industrial Linkage Development (BUILD) and UBM Asia (Thailand) are proud to present SUBCON Thailand 2016. Famed for being ASEAN’s Largest International Industrial Subcontracting and Business Matching Event that focuses on industrial linkage development, the 10th exciting edition represents an ideal opportunity for entrepreneurs to ïŹnd new businesses as well as establish long-term, global partnerships. With the ASEAN Economic Community (AEC) now a reality, SUBCON Thailand 2016 offers excellent opportunities for business expansion, with the support and beneïŹt of government investment policies. Featuring more than 350 industrial subcontractors, the event provides buyers and manufacturers from 18 countries, with opportunities to view and source a wide range of locally manufactured parts and components. Industrial-part makers in multiple industries will have unique opportunities to establish partnerships with large Tier 1 and Tier 2 corporations. Attended by an average of 25,000 industrial part- buyers from around the world annually, the exhibitors include both domestic and international manufacturers and suppliers of industrial parts in the aerospace, metal, medical, machinery, plastic, rubber, construction, electrical appliances and electronics industries, and other related supporting industries such as logistics and service providers. Around 21,490 international buyers and visitors participated in the 2015 show which had a transaction value of THB 7.92 billion (USD 224 million), with more expected in follow-up deals. Representatives from 375 companies were present and about 4,611 business matches were made. This premier event not only helps businesses to expand and grow, but it also showcases Thailand’s industrial sub-contracting potential and promotes the country as an ASEAN investment hub. It also publicizes the government’s support in the form of policies and incentives, helping to increase investor’s conïŹdence in the Thai industries. Key Unique Business Advantages SUBCON Thailand offers a number of unique business advantages over similar events. Firstly it facilitates business negotiations and business matching allowing the SUBCON Thailand Continues To Link Regional Manufacturing To Global Industries l coral an SUBCON Thailand has a track record of around THB45billion (USD1.3billion) of business transactions conducted over a 9 year period with over 25,000 business matches SUBCONSUBCON THAILAND 2016 ASEAN'S LARGEST INTERNATIONAL INDUSTRIAL SUBCONTRACTING EVENT
  • 4. THAILAND INVESTMENT REVIEW04 april 2016 TIR respective parties to build mutually beneïŹcially relationships. Secondly it provides manufacturers the best possible opportunity to showcase their products andservices. Thirdly it acts as an excellent business platform for new industries such as medical devices, aerospace etc. introducing part-makers Why should you attend SUBCON Thailand 2016? es s SUBCON Thailand 2016 will also feature seminars on key future industries such as the Aerospace and Medical Device industries to these future industries in the form of seminars. The special ‘Business M a t c h m a k i n g Program’ connects top industrial part buyers with Thai subcontractors to source parts, establish business collaborations and identify new marketing channels. Registered part- buyers can set up appointments in advance with suppliers who fulïŹll their requirements, through an online program, saving everyone valuable time.Topglobalmanufacturers,suchas Suzuki, Mitsubishi Electric, Samsung Electronics, Honda Trading, Mercedes Benz,tonameafew,will be able toeasily interact with representatives from Thailand's diverse industries. Participating buyers will be able to features their part requirements at a Buyer’s Village while an Industrial Clinic will assist entrepreneurs with valuable advice from government and private agencies. The Academic-to- Business (A2B) program will help manufacturers link with educational institutions and research agencies, to commercialize their innovations. Future Business Potential Anew feature this year is a special showcasethathighlights manufacturing technology and innovation in the medical device industry. There is high demand for medical devices and equipment, as medical facilities improve at hospitals and clinics, with old equipment being replaced by more advanced devices. As most of the sophisticated equipment used at present is imported, there are excellent opportunities for investors to explore the Medical Device industry. Business Matchmaking & Business Transactions: 2007-2015 5,000 4,500 4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 0 12 10 8 6 4 2 0 2007 1.20 2.56 3.02 4.53 5.48 6.33 6.80 7.05 7.92 1,024 1,563 2,041 2,537 3,109 3,473 3,540 3,826 4,611 2008 2009 2010 2011 2012 2013 2014 2015 We invite you to join SUBCON Thailand 2016 and take advantage of this golden opportunity to interact with key industry leaders and attend seminars that will cover business strategies, product development and investment opportunity analyses. This highly successful international event will take place from Wednesday to Saturday, 11-14 May 2016 at the Bangkok International Trade and Exhibition Centre (BITEC). BITEC is a leading convention center and it is located in Bang Na district in Bangkok. Opening hours are from 10:00 to 18:00. Investors considering Thailand will not only have access to the country’s local population of 67 million people, but also over three hundred million people in the Greater Mekong sub-region (GMS), over six hundred million in the ASEAN Community and over 3 billion people in the Regional Comprehensive Economic Partnership (RCEP). Given the immense potential that exists here in terms of creating and establishing business partnerships that serve some of the world’s largest markets, SUBCON Thailand 2016 is not an event to be missed. Business Transactions (Billions THB) Business Matching (Paris) Business Matching Financial Transactions
  • 5. THAILAND INVESTMENT REVIEW 05 april 2016 TIR industry focus Thailand, a Growing Market for Automation and Robotics Automation and Robotics Usher In A New Era Over the past half a century, dynamic advances in automation and robotics have been transforming both business and society.Automation and robotics were initially used to increase productivity on the production ïŹ‚oor of factories and utilized simple technologies. Now however, many corporations around the world are transitioning into Industry 4.0, making use of artiïŹcial intelligence, big data management, and the Internet of Things (IoT) to seamlessly work together, to exponentially increase both production and productivity. Rising Automation and Robotics Industry Both automation and robotics have gained an important foothold in Thailand’s growth and development. Many universities in Thailand offer courses for students interested in this ïŹeld, with the most specialized course being offered by the Institute of Field Robotics (FIBO) at King Mongkut’s University of Technology, Thonburi. Many robots developed in-house by universities and private companies, in both the industrial and service categories, have also found use in real world applications. Mahidol University’s Bartlab Rescue Robot, Hive Ground’s Flare Stack Inspection Drone and Zeabus Autonomous Underwater vehicle (AUV), and CT Asia Robotics’s Dinsow Robot are some prominent examples. Given these advances, it is evident that Thai researchers and engineers possess the necessary skills and technical know- how, and that Thailand is ready to be a hub for investment in these areas. Investors can also draw upon the country’s other established advantages, such as its high user base, especially in the Automotive and Electrical and Electronics industries - two prominent areas that demonstrate high automation and robotics growth globally Thai MarketPlace: Opportunities The International Federation of Robotics (IFR) considers the above two industries to be the two major industries that drive global automation and robotics growth. Since 2010, the automotive industry has considerably increased investments in industrial robots worldwide, with an average sales growth (CAGR) of 27% (2010-2014).As for the electrical and electronics industry, global robot sales increased considerably by 34% (2014) to 48,400 units, reaching a new peak due to the rising demand for electronic products and the need to automate production. Thesesalesgrowthnumberssignify big opportunities in Thailand as the country is a hub for automotive and electrical and electronics production in ASEAN. Thailand ranked 12th globally for motor vehicle production and 6th for commercial vehicle production in 2015. As for the electrical and electronics industry,
  • 6. THAILAND INVESTMENT REVIEW06 april 2016 TIR NEWS BITEs Thai Robot Helps Scientists Forecast Weather More Accurately A Thai robot capable of climbing towers to collect air samples is helping scientists monitor pollution and weather conditions at different heights. Built by researchers at Kasetsart University, Bangkok, the robot can analyze greenhouse gases and measure the concentration of minute particles. Scientists can use the data it collects, to model weather patterns and improve their forecast accuracy. The project is important because it represents a new way of monitoring air quality that is automated, reliable, low-cost and low-maintenance. By removing the need for air sampling equipment to be transported by human operators to high locations and the associated costs involved with employing them, the robot represents a safe and long-term solution that will also help scientists to study trends in the context of climate change and urbanization. Thai Scientists Create Low-Cost Automatic Medicine Dispenser An automatic medicine dispenser called B-Hive1, has been developed by scientists at the Institute of Field Robotics (FIBO) at King Mongkut's University of Technology Thonburi (KMUTT), in collaboration with the Thailand Center of Excellence for Life Sciences (TCELS) and Supreme Hitera Co., Ltd, under the "Talent Mobility" project. Designed to make dispensing medicines faster, the device is capable of receiving as many as 150 prescriptions per hour directly from doctors and dispensing medication accordingly. Not only is it expected to ease the workload of pharmacists, but it is also much more affordable, costing about half the cost of similar devices. B-Hive1 is ready for commercial use. Thailand has experienced a 7% growth in export value as measured from 2011, reaching an impressive ïŹgure of THB 435 billion (USD 12 billion) in 2015. The country is also renowned for being the second largest global producer and exporter of data storage units like Hard Disk Drives (HDD). According to FIBO, the import value of machinery related to automation in Thailand is around THB 100 billion (USD 3 billion) per year. This large import ïŹgure showcases the high local demand that exists for these products; the investment opportunities here are huge. Currently, many big corporations in Thailand, both private and public, are also actively looking to develop systems related to automation and robotics. BOI Incentives Encourage Growth The BOI recognizes the importance of automation and robotics and they belong to the future industries promoted under the Super Cluster category. Examples of activities eligible for incentives in these industries include microelectronics design, embedded system design, and embedded software. Recently, the BOI approved additional activities to expedite investment projects in these future industries. High value-added softwaredevelopment is one of those additional activities a n d i t i n c l u d e s developing system software for advanced technology devices (including business process management) and developing industrial software used to support manufacturing. Investors can apply for general incentives that includean8yearincometaxexemption and import duty on machinery, and raw materials. However, they can apply for incentives under the Super Cluster policy if they meet certain speciïŹc criteria and not only get an 8 year income tax exemption, but also 50% Corporate Income Tax (CIT) reduction for 5 years. Non-tax incentives include the right to own land and work permits for expatriates. Activities that include the manufacture of automation machinery and/or automation equipment with engineering, and the assembly of robots or automation equipment and/or automation parts, are eligible for an 8 year and 5 year income tax exemption respectively, under general incentives. If the projects qualify though under the Super Cluster category, they will get an 8 year income tax exemption as well as a 50% CIT reduction for 5 years. IFR estimates that yearly shipments of multipurpose industrial robots in Thailand will increase to 7,500 units in 2018, from 3,221 units in 2013, an impressive growth forecast of 133%
  • 7. THAILAND INVESTMENT REVIEW 07 april 2016 TIR Company Interview Advances in Robotics and Automation represent the latest stage in our ongoing digital evolution, providing manufacturers with an edge by speeding up manufacturing processes without sacriïŹcing quality standards. Thailand is making great strides in this area by using industrial robots and service robots to increase overall productivity and enhance the quality of life. Computer Telephony Asia Robotics (CTAsia Robotics) is a Bangkok-based innovative company that is taking advantage of this rising robotics revolution to propel itself forward. Established in 2009, under the leadership of robot pioneer, Mr. Chalermpon Punnotok, CT Asia Robotics, is the ïŹrst 100% Thai company to manufacture and develop commercial service robots in Thailand. CT Asia Robotics Leads the Way In Thailand’s Robotics Revolution Growing from a small, local company to a world recognized brand in a 6 year timeframe, the company today employs more than 70 people and has sold more than 40 robots to date internationally, to countries like Japan and Sweden. CT Asia Genesis CT Asia originally started out as a software company around 19 years ago, competing with global names like IBM, CISCO, Siemen, and Ericsson. Gaining valuable experience and capital from the software business, Mr. Punnotok eventually founded CT Asia Robotics to encompass his larger vision. His goal was to not only bring in more innovation a n d a d v a n c e d technology to provide a platform, and offer job opportunities to Thai robotic competition winners, but to also create a product of lasting value that would gain global recognition. Investing in the robotics industry madesense,accordingtoMr.Punnotok, as it was one of the government- targeted future industries that not only possessed high value, but also had a high barrier to entry. Deciding to use the robotics platform as a springboard, he studied the opportunities in various industries such as agriculture, tourism and more, before settling on the healthcare industry. Thailand’s world-class medical facilities were not the only reason for this choice; with more than 1,000 public and 300 private hospitals nationwide and an increasing aging population both nationally and globally, Mr. Punnotok saw tremendous potential in this sector. According to the United Nations, there were 901 million people aged 60 years or over in 2015. This figure is projected to rise to 1.4 billion people in 2030
  • 8. THAILAND INVESTMENT REVIEW08 april 2016 TIR Dinsow, The First 100% Thai Robot Witnessing a key need in terms of the lack of qualiïŹed medical staff to take care of a rapidly aging populace, Mr. Punnotok decided to create a service robot that was capable of taking care of the elderly. Bringing the best minds to work on the task from all over the country, the company released the ïŹrst 100% Thai commercial, service robot, called Dinsow, in 2010.The ïŹrst generation of Dinsow was initially utilized to entertain customers and serve them meals at 10 branches of the popular MK Suki Restaurant chain. Further research and development on the robot continued, until in 2014, CTAsia Robotics released the third- generation of Dinsow. Equipped with a camera, infrared and thermal sensors, and artiïŹcial intelligence, this robot is capable of keeping track of an elderly person's movements, even in a dark room, allowing loved ones to also keep track of them, through an accompanying smartphone application. Asenior person can also easily call his or her children, or listen to entertainment through the Dinsow robot. In 2014, Dinsow became the ïŹrst Thai robot to be exported to Sweden and Japan. CT Asia Robotics continues to partner with Thai and Japanese hospitals and Mr. Punnotok expects to sell about 100,000 Dinsow robots internationally in the next two years. Thai Robotics Industry: Opportunities Asia's robotics and automation marketsareseeingdynamicgrowth. Mr. Punnotok sees immense growth opportunities in the service robots sector, both locally and globally. The service robots sector is currently in the Research and Development phase, according to Mr. Punnotok, and is still very niche compared to industrial robots. Given the lack of key players, there is plenty of room to grow and advance in this "Today, Dinsow is considered to be number one in the world among elderly care robots," says Mr. Punnotok "The service robot sector has the potential to grow to be three times the size of the industrial robot sector," says Mr. Punnotok, “and in 10 years time, service robots will be more commercialized and more present in everyday life" ïŹeld, he says. Mr. Punnotok advises potential investors eyeing the Thai Robotics industry to leverage existing industries like food, tourism and agriculture, where service robots are virtually nonexistent and address key requirements there. According to the International Federation of Robotics, the international market value for robotic systems is now around USD 32 billion. Thailand ranked 8th in the world in 2014, for its supply of robotics. However in 2014, the total supply of about 3,700 robots represented less than 2% of global installations. There is a clear demand here that investors can address. With its immense potential to revolutionize key industries, the opportunities in Thailand's robotics and automation industries have never been more promising.
  • 9. THAILAND INVESTMENT REVIEW 09 april 2016 TIR short article Thailand Arbitration Center Offers Business Care Support To Investors Investors seeking to establish a business in Thailand have the beneïŹt of the country’s many advantages, such as its excellent location withinASEAN, its good infrastructure and established logistics systems. However, as with the operation of any business over time, they are likely to face challenges, such as possible disputes with other parties. While a quick resolution beneïŹts all concerned, ïŹnding one, might not be the easiest task. Thailand Arbitration Center This is where the ThailandArbitration Center (THAC) comes in. Established by the Arbitration Institute Act 2007, under the umbrella of the Ministry of Justice, the THAC provides an independent international standard arbitration platform for resolving cross-border and international business disputes. The primary advantage of the Alternative Dispute Resolution (ADR) process is that it is comparatively quick. Mediation takes anywhere from 1 to 3 days, arbitration, from 6 months to 2 years and litigation takes between 5 to 10 years. The speed of the process helps to minimize disruptions to the businesses of the concerned parties. It also allows them to save on lengthy litigation costs, and as the process is private and conïŹdential, this helps to eliminate possible negative impacts to their reputation, as well as possibly salvaging their working relationship. Other ADR beneïŹts include the possibility for a win/ win settlement for mediation. Since Thailand is part of the New York Convention, the award for arbitration is enforceable in 154 countries. THAC Services The THAC provides international standard arbitration and mediation services, and can arbitrate cases in 15 languages, and mediate cases in 6 languages. The center comes fully equipped with facilities and services for administering ADR cases. It also provides access to the Alternative Dispute ResolutionAcademy (ADRA), which conducts seminars on the usage of ADR in managing disputes, as well as providing training courses on arbitration and mediation. The THAC is under the leadership of Managing Director, Pasit Asawawattanaporn, and is located on the 26th Floor, Bhiraj Tower (Emquartier), Bangkok. For more information, please visit the THAC website at www.thac.or.thorcall02-018-1615oremailinfo@thac.or.th. Arbitrationandmediationaregloballyrecognizedas theprimarytoolsforresolvingdisputesforbusiness, trade, construction, logistics, and investments
  • 10. THAILAND INVESTMENT REVIEW10 april 2016 TIR BOI's missions and events Deputy Prime Minister, Dr. Somkid Jatusripitak, led the government’s investment roadshow in Seoul, Korea, along with the economic team and BOI Secretary General, Mrs. Hirunya Suchinai, from 21 st – 25 th March 2016. The mission included a seminar entitled “Thailand: Moving Forward to Sustainable Growth” organized by the BOI on 24 th March 2016 at Lotte Seoul Hotel. The Director of the BOI Taipei OfïŹce, Ms. Ratanawimon Naree Sukreekhet, led an investment mission in Taipei, Taiwan from 20 th – 24 th March 2016. Activities included a one-on-one meeting with Taiwanese potential investors and a Roundtable Meeting on "Business Opportunities for Thailand - Taiwan Biotechnology Collaboration” on 22 nd March 2016, presented by Dr. Nataporn Chanvarasuth, Senior Researcher at the National Science and Technology Development Agency (NSTDA). BOI Secretary General, Mrs. Hirunya Suchinai, chaired the 6 th meeting of the Sub-Committee on Enhancement of Business Environment (EBE) under the Japan-Thailand Economic Partnership Agreement (JTEPA) at the Landmark Hotel, Bangkok on 3 rd March 2016. The meeting was joined by H.E. Mr. Shiro Sadoshima, Ambassador of Japan to Thailand and representatives from nearly 30 related Thai and Japanese government agencies and private sectors. BOI Deputy Secretary General, Ms.Ajarin Pattanapanchai, gave a presentation on “New Investment Promotion Measures” at the seminar entitled “BOI Policy Update: Moving Towards a New Engine of Growth” on 11 th March 2016 at Napalai Ballroom, Dusit Thani Hotel, Bangkok, in order to publicize the BOI’s investment promotion policy to Chinese investors.
  • 11. THAILAND INVESTMENT REVIEW 11 april 2016 TIR thailand ECONOMY-AT-A-GLANCE gdp by sector 2015 TOP 10 EXPORTS (JAN-feb 2016)thailand export value gdp/capita projected (2016) US$ = 35.30 THB population (2016) asean population (2016) liteRacy rate (2015) minimum wage 68.0 million 638 million 97 % 300 baht/day (8.50 us$) gdp growth (%yoy) $ 201.7 billion TOTAL EXPORT VALUE (2015) $ 34.6 billion TRADE BALANCE (2015) 63.9 % CAPACITY UTILIZATION (JAN 2016) -0.50 HEADLINE INFLATION (FEB 2016) $ 34.8 billion CURRENT ACCOUNT BALANCE (2015) $ 149.3 billion INTERNATIONAL RESERVES (2015) 96.4 % MANUFACTURING PRODUCTION INDEX (2015) 105.5 HEADLINE CONSUMER PRICE INDEX (2016) (The base year is 2011=100) corporate income tax withholding tax value added tax 2015 2016 (Projected) 2016 (Projected) $ 5,736.4 2.9 % 3 % - 4 % „ 35.30 thb 40.32 thb 50.85 thb 31.62 thb 5.51 thb € ÂŁ 1. Motor cars, parts and accessories (24.0%) 2. Precious stones and jewelry (20.1%) 3. Computer parts and devices (15.9%) 4. Plastic beads (7.0%) 5. Electronic integrated circuits (6.3%) 6. Machinery and parts thereof (6.1%) 7. Rubber products (5.5%) 8. Chemical products (5.4%) 9. Air conditioner and components (4.9%) 10. Rice products (4.7%) demographics gross domestic product export figures other economic indicators average exchange rates ( as of 1 apr 2016 ) tax rates 9 % 58 % 33 % agriculture industry Source : The Revenue Department Source : Bank of Thailand, Ministry of Commerce and World Bank Source : WTO, Ministry of CommerceNote : *2009-2015 CAGR Source: NESDB Source: United Nations Source : Bank of Thailand 0.00 0.10 0.05 0.15 0.20 0.25 20102009 2011 2012 2013 2014 2015 5.66 %* [ TRILLION USD ] total investment growth (%yoy) 2015 4.7 %2.8% services s y 10 - 20 % 1 - 10 % 7 % $ 395.2 billion 4.9 % 1 2 3 4 5 6 7 8 9 10 $ 17.6 billion
  • 12. THAILAND INVESTMENT REVIEW12 april 2016 TIR about boi boi overseas offices HEAD OFFICE, OFFICE OF THE BOARD OF INVESTMENT 555 Vibhavadi-Rangsit Road, Chatuchak, Bangkok 10900 Thailand Website : www.boi.go.th Email : head@boi.go.th Beijing Thailand Board of Investment, Beijing OfïŹce Royal Thai Embassy No.40 Guang Hua Road. Beijing, 100600, P.R.China Tel. : +86 10 6532 4510 Fax : +86 10 6532 1620 Email : beijing@boi.go.th New York Thailand Board of Investment, New York OfïŹce 7WorldTrade Center, 34th FL.,Suite F 250 Greenwich St., New York, NY 10007 USA Tel. : +1 212 422 9009 Fax : +1 212 422 9119 Email : nyc@boi.go.th Stockholm Thailand Board of Investment, Stockholm OfïŹce Stureplan 4C, 4th Floor, 114 35 Stockholm, Sweden Tel. : +46 8 463 11 58 +46 8 463 11 72 +46 8 463 11 74-75 Fax : +46 8 463 11 60 Email : stockholm@boi.go.th Frankfurt Thailand Board of Investment, Frankfurt OfïŹce Bethmannstr 58, 5.OG 60311 Frankfurt am Main Federal Republic of Germany Tel. : +49 69 9291 230 Fax : +49 69 9291 2320 Email : fra@boi.go.th Osaka Thailand Board of Investment, Osaka OfïŹce Royal Thai Consulate-General, Osaka,BangkokBankBldg.7th Floor 1-9-16 Kyutaro-Machi, Chuo-Hu Osaka 541-0056 Japan Tel. : +81 6 6271 1395 Fax : +81 6 6271 1394 Email : osaka@boi.go.th Sydney Thailand Board of Investment, Sydney OfïŹce Level 1, 234 George Street, NSW 2000,Australia Tel. : +61 2 9252 4884 Fax : +61 2 9252 2883 Email : sydney@boi.go.th Guangzhou Thailand Board of Investment, Guangzhou OfïŹce Investment Promotion Section Royal Thai Consulate-General, No.36YouheRoad,HaizhuDistrict, Guangzhou,P.R.C.510310 Tel.: +862083858988ext.220-225 +862083877770(DirectLine) Fax : +86 20 8387 2700 Email : guangzhou@boi.go.th Paris Thailand Board of Investment, Paris OfïŹce Ambassade Royale de Thailande 8, Rue Greuze 75116 Paris, France Tel. : +33 1 5690 2600-1 Fax : +33 1 5690 2602 Email : par@boi.go.th Taipei Thailand Board of Investment, Taipei OfïŹce TaipeiWorldTradeCenter,3rd Floor, Room 3E40, No.5, Xin-yi Road, Sec.5 Teipei 110, Taiwan, R.O.C. Tel. : +88 6 2 2345 6663 Fax : +88 6 2 2345 9223 Email : taipei@boi.go.th Los Angeles Thailand Board of Investment, LosAngeles OfïŹce Royal Thai Consulate-General 611 North Larchmont Boulevard, 3rd Floor, LosAngeles, CA90004 USA Tel. : +1(0) 323 960 1199 Fax : +1(0) 323 960 1190 Email : boila@boi.go.th Seoul Thailand Board of Investment, Seoul OfïŹce #1804,18th Floor,DaeyungakTower 25-5, 1-KA, Chungmu-Ro, Chung-Ku, Seoul, 100-706, Korea Tel. : +82 2 319 9998 Fax : +82 2 319 9997 Email : seoul@boi.go.th Tokyo Thailand Board of Investment, Tokyo OfïŹce Royal Thai Embassy, 8th Floor., Fukuda Building West, 2-11-3 Akasaka, Minato-ku,Tokyo 107-0052 Japan Tel. : +81 3 3582 1806 Fax : +81 3 3589 5176 Email : tyo@boi.go.th Mumbai Thailand Board of Investment, Mumbai OfïŹce Royal Thai Consulate-General, Express Tower, 12th Floor, Barrister Rajni Petel Marg, Nariman Point, Mumbai, Maharashtra 400021 Tel. : (91 22) 2204 1589-90 Fax : (91 22) 2282 1525 Email : mumbai@boi.go.th Shanghai Thailand Board of Investment, Shanghai OfïŹce Royal Thai Consulate General 2nd Floor, 18 Wanshan Road, Changning District, Shanghai 200336, P.R. China Tel.: +862162883030ext.828,829 Fax : +86 21 6288 3030 ext. 827 Email : shanghai@boi.go.th los angeles new york stockholm frankfurt paris mumbai tokyo osaka guangzhou shanghai sydney beijing seoul taipei thailand headquarterS The OfïŹce of the Board of Investment (BOI) is the principal government agency that operates under the Prime Minister's OfïŹce for the purpose of encouraging investment in Thailand. We at the BOI serve as the professional contact points for investors, providing them with useful investment information and services. We offer business support and investment incentives to foreign investors in Thailand, including tax and non-tax incentives.Afew non-tax incentives include granting land ownership to foreigners and facilitating visas and work permits. Besides serving the needs of overseas investors, we also offer consultation services to Thai investors who are interested in investment opportunities abroad.