Thailand-India Investment Cooperation

1

Mr. Chokedee Kaewsaeng

Deputy Secretary General

Head of BOI South Asia Desk

Thailand Board of Investment

Roles of BOI in Promoting Investment between Thailand - India

• Promote both Outward & Inward Investment

• Established India Desk to facilitate Investment between 2 countries in 2005

• Established South Asia Desk (Including Bangladesh and Sri Lanka) in 2009

• BOI will establish new office in Mumbai in the second half of 2012.

2

BOI ’s South Asia Desk Roles

• Provide Investment - Related Information

• Conduct Investment Seminar in Target Cities/Sectors

• Arrange Investment Missions

• Coordinate with target countries’ government agencies on behalf of investors

• Organize Investment Matchmaking Activities

3

BOI’s South Asia Desk Activities Plan in 2012

• Organized 5 investment missions to : 1. India (Delhi Bangalore Mumbai Chennai Kolkata Hyderabad )

3 missions 2. Bangladesh (Dhaka Chittagong) 1 mission 3. Sri lanka (Colombo ) 1 mission • Activities : Conduct investment seminar on ICT, Agro, Auto & Parts

and service sectors with FICCI and CII Arrange business meeting between Thai &potential

partners Factory visit on target sectors

4. Plan to establish the BOI office in India 5

Foreign Direct Investment Applications

Source: BOI, as of 28 Dec 2011

+50%

+67%

7.62

11.47

3.36

5.43

1.230.71 0.480.71

0.360.84

0.23 0.190.06 0.1

0

4

7

11

14

US$

Bill

ion

Total Japan EU ASEAN China USA India

2010 2011 (Jan-Nov)

+67%

8

Trend of Indian Applications

27.66

87.41 87.21

51.31

150.53

61.56

102.73

13

1921

22

1513 13

0

40

80

120

160

2005 2006 2007 2008 2009 2010 2011(Jan-Nov)

US$

Mill

ion

0

5

10

15

20

25

No.

of P

roje

cts

Source: BOI, as of Dec 28, 2011 Note:US$1=Bt30.95 in November 2011

Examples of Major Indian Investments Approved by BOI Company Name Activities

Alva Aluminium Ltd Aluminium Alloy Ingot

Bharat Hotels Hotel

Birla Group Textile, Carbon Black

Indorama Polymers Public Co.,Ltd PET Resin

Linaria Chemicals (Thailand) Ltd Anti-Bacterial Agents and Anti-Tuberculosis Agents

N.T.S Steel Group Hot or cold rolled stainless steel sheets

Polyplex (Thailand) Public Co.,ltd Silicone Coated Film

Rajratan Thai Wire Co.,Ltd Tire Bead Wire

Saraff Energies Ltd Electricity from stem power

Tata Motors (Thailand) Ltd Pick-Up Truck

Tata Technologies (Thailand) Ltd R & D (Automotive)

Tata Consultancy Services (Thailand) Ltd Trade and Investment Support Office

Thai – Indo Steel Co., Ltd Stainless Steel Billets

SRF Technical Textiles Tyre cord, BOPET Film (Biaxially Oriented Polyester film)

Source: BOI as of 2011

Thailand Investment in India from April 2000 to April 2011

Rank: THAILAND ranks 34th

Percentage share of total FDI inflows: is 0.06%

Total FDI Inflows from THAILAND: are US$ 85.94 million

Source: Department of Industrial Policy and Promotion Ministry of Commerce and Industry

Top Thai Companies Investment into India from April 2000 to April 2011

• Italian Thai Development Public Co., Ltd • Major Cineplex Group Public Co. ,Ltd • Summit Auto Seats Industry Co., Ltd • Kaysorn Construction Co, Ltd • Preuksa Overseas Co., Ltd • AAPC (Thailand) Ltd • Thai Parkerizing Co., Ltd • Apline Electronic of Asia Pacific Co., Ltd • Ajinomoto Co.,Ltd (Thailand) • DET International Holding Ltd

12

Target Industries : Indian Investment to Thailand

Area Target Industries

Thailand Auto parts

Agro and food processing

IT and soft ware

Textile

Pharmaceutical

BOI’s support to investors investing in Thailand

Provide business-related information/service

NON-TAX Incentives

•100% ownership land rights for foreign investors •Permission to bring in foreign experts and technicians Work permit & VISA facilitation

• Import duty reductions or exemptions on machinery and raw materials

• Corporate income tax holidays up to 8 years; additional 50% reductions for 5 years

• Double deduction of public utility costs

• Deductions for construction/installation costs infrastructure

TAX Incentives

(1) Agriculture and Agricultural Products (2) Mining, Ceramics and Basic Metals (3) Light Industry (4) Metal Products, Machinery and Transport

Equipment (5) Electrical Appliances and Electronics Industry (6) Chemicals, Paper and Plastics (7) Services and Public Utilities

Activities Eligible for Investment Promotion

15 15

15

1. Mr. Chokedee Kaewsang

Deputy Secretary General & Head of South Asia Desk

2. Dr. Bonggot Anuroj

Executive Director, Investment Marketing Bureau & Sub-Head

of South Asia Desk

3. Ms. Nakrisorn Klaikeaw

Secretariat

4. Mr. Kritawit Madhyamankura

Desk member

BOI South Asia Desk Contact Point 02-553-8111 ext. 8154, 8186, 8119