Latest research on the local industry in Thailand
Please find attached Collier’s Industrial Estate Research and Forecast Report, which covers the latest developments in the local industry in Thailand, as well as their forecast for the market for the remainder of the year.
The key highlights from the report:
Approximately 9,000 rai were added in 2013 with the total land area of all industrial estates / parks / zones increasing to approximately 143,200 rai at approximately 70 industrial estates.
The Eastern Seaboard area represents the largest share of the industrial estate market, especially in Chonburi and Rayong.
The average occupancy rate in the Central area is the highest followed by the Eastern Seaboard area with nearly 87%, although some new land area was supplied in the Eastern Seaboard area.
The BOI will change the investment privilege policy in 2015 to prepare for the AEC and increase the competitiveness of Thailand.
The Eastern Seaboard area was more popular with foreign and local investors in 2013 and will be in the future, due to the lower likelihood of floods, a high number of new factories related to the automotive industry and its proximity to the Deep Seaport.
Many industrial estate developers already started their new industrial estates last year and some expect to launch this year, especially in Prachinburi province. The Industrial Estate Authority of Thailand (IEAT) also plans to develop new industrial estates in many provinces around Thailand. Some of them have begun studies already and decisions should be made this year about the actual locations and total land area.
Political problems in Thailand also affected the Board of Investment (BOI), because the BOI’s term expired in October, and a new Board cannot be appointed without a permanent government. A sub-committee can approve projects of up to THB200 million only, but there is no Board to approve larger projects.Click here to download the full report Thailand Industrial Market H2 2013-en