The Board of Investment (BOI) in Thailand has launched a new BOI initiative aimed at fostering the growth of high-potential startups in 13 key industries. These sectors are not just deemed essential, but they are the driving force behind the country’s economic transformation and competitiveness on the global stage.
By providing a comprehensive and unwavering package of incentives and support, the BOI initiative aims to attract innovation-driven entrepreneurs and investors to contribute to Thailand’s long-term development goals.
Background of the Thai Promotion Campaign
The Thai government has recognized the crucial role of startups in spurring innovation, driving economic diversification, and creating jobs. The BOI’s initiative of startup promotion campaign forms part of the broader Thailand 4.0 strategy, which focuses on moving the country toward a high-income economy driven by technology and innovation.
Given the fast-changing global business environment and increasing competition in the ASEAN region, Thailand has identified 13 industries that are critical to its economic sustainability and growth. These industries are pivotal in shaping the country’s future economic landscape, transitioning from traditional manufacturing to more value-added sectors.
The 13 Key Industries
The BOI has selected these industries based on their potential to significantly impact economic development and innovation. They include next-generation automotive, biotechnology, smart electronics, food for the future, and digital industries.
Other targeted sectors include robotics, aviation, and logistics, which are essential for enhancing the country’s infrastructure and competitiveness. The BOI initiative also covers health and wellness, agriculture and biotechnology, and tourism-related businesses.
These industries are not just sectors, but strategic pillars that will shape Thailand’s future economic landscape, and your contribution could be pivotal in this transformation.
Eligibility Criteria for Startups
Startups interested in benefiting from this BOI initiative campaign must meet several eligibility criteria:
- Innovative and Technologically Driven: The startup must focus on innovation and utilize advanced technology to solve critical problems within their respective sectors.
- Alignment with National Development Goals: The business model must align with Thailand’s long-term economic goals, specifically contributing to the development of the 13 key industries.
- Ownership and Capitalization Requirements: Foreign investors are encouraged to participate, but startups must maintain a minimum level of Thai ownership. Startups are also required to demonstrate a sound financial plan with adequate capitalization to sustain their operations and growth.
- Value Creation: The startup must demonstrate potential for creating significant value in Thailand’s economy, either through job creation, skill development, or enhancing local industry capacity.
Incentives and Benefits for Eligible Startups
The BOI provides a range of benefits to encourage startup formation and growth. These include tax incentives such as corporate income tax exemptions for up to eight years, import duty exemptions on machinery, and reduced tariffs on raw materials used in production.
Furthermore, eligible startups can benefit from non-tax incentives, such as streamlined business registration processes, more accessible access to work permits and visas for foreign experts, and facilitated access to industrial estates and innovation hubs.
The BOI initiative also offers enhanced networking opportunities through its partnerships with global investors, venture capital funds, and industry leaders, ensuring that startups have the financial and professional support needed to scale their operations.
Eligible startups are also provided access to research and development (R&D) facilities and innovation clusters that foster collaboration between startups, universities, and established industries.
Key Takeaways
The BOI’s promotion of high-potential startups within the 13 targeted industries is a significant step toward bolstering Thailand’s long-term economic growth. By offering a mix of financial incentives, access to cutting-edge technology, and streamlined regulatory processes, the initiative provides a fertile ground for innovation and business expansion.
Focusing on critical industries such as biotechnology, robotics, and digital technology reflects Thailand’s commitment to transitioning into a knowledge-based economy.
Startups that align with the BOI’s vision not only gain access to an advantageous business environment but also play a role in transforming Thailand’s economic landscape.
This initiative presents a unique and exclusive opportunity for entrepreneurs and investors to contribute to the nation’s development while benefiting from robust government support aimed at ensuring long-term success. It’s a chance to be part of something big and make a significant impact.
In summary, this BOI initiative is a timely and strategic move to attract Thailand’s next wave of entrepreneurial talent and investment. By nurturing startups in high-potential industries, Thailand can strengthen its position as a regional innovation hub and accelerate its progress toward sustainable economic development.
About AO
AO specializes in supporting high-potential startups in Thailand, aligning with the BOI’s initiative to promote 13 key industries vital to the country’s economic growth.
We provide expert guidance in business planning, financial structuring, and compliance to help startups leverage BOI incentives and thrive in sectors like biotechnology, digital technology, and smart electronics.
As part of the Alliott Global Alliance (AGA), AO connects local startups with global resources, ensuring they are well-positioned for success in both the Thai and international markets.
At AO, we are committed to helping your startup navigate the complexities of Thailand’s business landscape and achieve sustainable growth.
Q: What are the new incentives launched by BOI to enhance investment competitiveness in Thailand?
A: The Thailand Board of Investment (BOI) has launched new incentives aimed at enhancing investment competitiveness in various sectors, including manufacturing and digital industries. These incentives include reductions in corporate income tax, financial support, and streamlined approval processes for investment projects.
Q: What sectors are targeted by the BOI’s new investment promotion initiatives?
A: The new investment promotion initiatives by BOI target several sectors such as the automotive industry, digital sector, infrastructure development, and other key industries that contribute to Thailand’s economic growth.
Q: How much must investors invest to qualify for the BOI incentives?
A: To qualify for the BOI incentives, investors must invest at least 1 million baht in eligible projects. Specific requirements may vary depending on the sector and nature of the investment.
Q: What types of incentives can be expected from the BOI’s new measures?
A: The BOI’s new measures include various incentives such as corporate income tax exemptions, reductions in import duties, and potential grants for infrastructure development aimed at boosting competitiveness for new investment projects.
Q: How does the BOI initiative promote foreign investment in Thailand?
A: The BOI promotes foreign investment in Thailand by offering attractive incentives, simplifying the approval process for foreign investors, and providing support in navigating legal and regulatory requirements. This initiative is part of Thailand’s strategy to position itself as a regional investment hub.
Q: Can investors contact the BOI for more information about the new initiatives?
A: Yes, investors can contact the BOI for more information about the new initiatives and to get assistance with investment projects. The BOI initiative provides resources and guidance to help investors understand the application process for the incentives available.
Q: What is the aim of the BOI’s new investment incentives?
A: The aim of the BOI’s new investment incentives is to attract more investment into Thailand, enhance the country’s competitiveness in the global market, and support the growth of key sectors that drive economic development.
Q: Are the BOI incentives available to both local and foreign investors?
A: Yes, the BOI incentives are available to both local and foreign investors who meet the criteria set by the Thailand Board of Investment. This inclusive approach is designed to bolster Thailand’s overall investment landscape.
Q: What role does the BOI play in facilitating infrastructure development?
A: The BOI plays a crucial role in facilitating infrastructure development by offering incentives and support for projects that enhance the country’s infrastructure capabilities. This includes utilities, transportation, and other essential services that improve the business environment in Thailand.