1. Economic Outlook and Business Opportunities in Thailand by Mr
Economic Outlook and Business Opportunities in Thailand by Mr. Arin Jira, Vice Chairman, Federation of Thai Industries (FTI)
28 March 2014
At SOFOFA, Santiago,
Chile

2. Thailand : Economic Outlook in 2013 and 2014
2013 (%)
2014 (%)
GDP Growth
2.9
Export of goods and services
4.2
6.0
Import of goods and services
2.3
4.6
Private Investment
Public Investment
-2.8
1.3
3.8
0.3
Inflation
The World Bank ranks Thailand 18th out of 189 countries, according to the 2014 Doing Business Report.

3. Thailand : 2nd Largest Economy in ASEAN
GDP US$ 385 billion (2013)
GDP per capita US$5,647
45% Industry
43% Services
12% Agriculture
Population : 67 million
Labor Force: 40.2 million
Growing Economy
Strong Export and a Vibrant Domestic Consumer Market
2nd Lowest corporate income tax in South East Asia (20%)
Sources: BOI, NESDB

4. Thailand: the Crossroads of ASEAN
10 Countries, One Single Market in 2015
GDP
US$ 2.3 trillion
Popula-tion
607 million
FDI
US$ 111 billion
GDP Growth
5.7% (2011)
6.4% (2012)
5.2% (2013)
ASEAN’s GDP to double to US$ 4.7 trillion in 2020.
Source: BOI

5. Thailand’s Extensive Free Trade Agreement Networks
ASEAN-Korea
ASEAN-China
ASEAN-Japan
ASEAN-India
ASEAN-CER
Thai-India
JTEPA
Thai-Australia
Thai-NZ
Thai-EU
BIMSTEC
ASEAN
Thai-Peru
RCEP
Thai-Chile
11 FTA Agreements
Under Negotiation
Finalized
In Effect
Source: Ministry of Commerce

6. Thailand Investment Promotion Policy
No restrictions on foreign currency remittances
No foreign equity restrictions in manufacturing sector and promoted service sector
No export requirements
No local content requirements
Liberal Investment Policy
Source: BOI

7. Thailand’s Attractive Investment Incentives
Tax Incentives:
Import duty exemptions/ reduction
Corporate Income Tax/ Exemption for 3 to 8 years.
Additional 50% reduction of corporate income tax for up to 5 years
Double deductions for infrastructure construction /installation costs.
Non-Tax Incentives:
Land ownership rights for foreign investors
Work permit & visa facilitation

8. Activities Eligible for Investment Promotion

9. Target Industries: Automotive Agriculture & food processing Machinery
Chemicals
Biotechnology
Alternative energy
Electrical/Electronics (E & E)
Healthcare sector
Creative Industry

10. Trade and Investment Relations between Thailand and Chile
2012
(million US$)
2013
Total Trade
978.43
886.16
Export to Chile
628.25
619.06
Import from Chile
350.18
267.10

11. Trade and Investment Relations between Thailand and Chile
Main exports: automobiles & auto parts, canned and processed seafood, rubber products, canned & processed fruits, textile & garment, electronic & electrical appliances, and construction materials.
Main imports: fresh & chilled seafood, natural minerals (copper), pulp & paper, fertilizer & pesticide, chemicals, wine and fruits.

12. Trade and Investment Relations between Thailand and Chile
Chilean Investments in Thailand
Sigdo Koppers S.A.
SQM Company (fertilizer)
CFR Pharmaceutical S.A.

13. Thank You