The Wall Street Journal reports that as implementation of ASEAN Economic Community 2015 is approaching, Thailand is aiming to become center for Regional Operating Headquarter (ROH) for multinational companies who would like to setup their regional operating headquarter to expand their operation within the region or to prepare itself for the upcoming AEC in 2015.
Strategically located within Southeast Asia with networks of modern infrastructures, quality skilled labor, easy access to raw materials and attractive tax incentives significantly represent a cost-effective investment for any companies who want to save costs and at the same time remain competitive.
According to CB Richard Ellis' survey in 2012, Thailand Total Occupancy Costs for offices is much cheaper than other regional contenders such as China, India, Malaysia, Indonesia, Singapore, or Vietnam. Taxes and Regulatory Burden are also areas in which Thailand are very competitive. Currently World Bank survey ranked Thailand no. 18 out of 185 on the countries' ease of doing business.
Government policies are also supportive and complement Thailand's apparent strengths in its position as a strategically located business hub and center for production and regional outsourcing. Other than Regional Operating Headquarter, the Board of Investment of Thailand is also promoting the following related activities with tax and non-tax incentives very depending on the activities.
International Procurement Offices, involving sourcing, quality control, and packaging
International Distribution Centers
Trade and Investment Support Offices
Research and Development
The Thailand Board of Investment acts as a focal point for investors in dealing with different government agencies by bringing together under one roof the representatives from different relevant ministries. The BOI offers assistance on applications for business licenses, factory certification, environmental impact assessments, and many other matters.
For investors who are interested in establishing the Regional Operating Headquarter in Thailand, please visit the BOI's website www.boi.go.th for more details on incentives and conditions in setting up a ROH.