What is Thailand BOI? Can Foreign Investors Benefit?
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- Şeyda Şen
- 11/07/2024
What is Thailand BOI? Can Foreign Investors Benefit?
Thailand stands out as a dynamic economy that offers great opportunities in the business world. The various investment incentives offered by the Thai government are becoming attractive to foreign investors. The most important of these incentives is the Board of Investment (BOI) program, known as Thailand's Investment Promotion Board.
What is Thailand BOI?
Thailand's Investment Promotion Board, also known as the Board of Investment (BOI), was established in the 1990s to attract foreign investors to Thailand. The BOI supports economic growth by offering various incentives to companies that will invest in Thailand. These incentives include tax reductions, customs duty exemptions, labor employment opportunities for investors, and many other advantages. The Thai government aims to encourage investments, especially in technology, innovative industries, environmentally friendly projects, and high value-added production areas.
Can Foreign Investors Benefit from the BOI Program?
Yes, foreign investors can benefit from Thailand's BOI incentives. Thailand applies the incentives it offers to foreign investors to all investors, regardless of country. In other words, the Thailand BOI program is open to investors worldwide. These incentives offer great opportunities, especially for foreign investors planning to enter the Asian market.
What are the Advantages of the Thailand BOI?
The Thailand BOI program offers many advantages to investors. These advantages are attractive for companies that want to both save costs and conduct their business activities more efficiently.
Here are the main advantages of BOI incentives:
1. Tax Incentives
One of the biggest advantages of BOI incentives is that companies are offered tax deductions on their income. BOI can provide tax exemptions to investors for 3 to 8 years in some cases.
2. Customs Duty Exemption
BOI can grant customs duty exemptions for some products imported from abroad. This is an important advantage especially for companies that want to manufacture.
3. Employment of Foreign Workers
BOI provides investors with the ease of employing foreign workers. In Thailand, although companies are required to employ local workers in some sectors, BOI incentives make the use of foreign labor more flexible.
4. Opportunities to Operate in Special Zones
The BOI program offers additional incentives to companies operating in certain economic zones and industrial parks. These zones have advantages in terms of infrastructure and logistics.
5. Capital-Targeted Incentives
The Thailand BOI also provides capital incentives to companies operating in certain sectors. These sectors are generally within developing areas such as high technology, biotechnology, and renewable energy.
6. Access to International Markets
Thailand is one of the most developed countries in Asia and has free trade agreements with many countries in the region. Establishing a company in Thailand can provide you with easier access to Asian and world markets.
