Business Establishment at Industrial Park, Industrial Estate, Industrial Zone in Thailand
Overview of Industrial Zone in Thailand
Industrial factories in Thailand are mainly constructed on the designated area for industrial activities. There are; however, factories located either within property that is developed specifically for industrial operations such as Industrial Park, Industrial Estate, and Industrial Zone, or outside of these properties depending on entrepreneurial suitability. Most industrial zones are located in the Eastern and Central region of Thailand as they are close to Laem Chabang Port, Suvarnabhumi International Airport, and Bangkok.
Hence, the 304 Industrial Park has chosen to locate their premises on a strategic industrial zone in order to support prosperous and sustainable growth of businesses. Currently there are well-developed projects in the Eastern region which are Prachinburi and Chachoengsao. The total area of both developed and developing projects is about 20,000 rai or 3,200 hectares.
Land Purchase and Business Establishment in Industrial Park, Industrial Estate, and Industrial Zone
Foreign investors might not know whether they are able to purchase land in Thailand, and what the differences between purchasing land in Industrial Park, Industrial Estate, or Industrial Zone are. These can simply be explained below.
Foreign companies promoted by Thailand's Board of Investment (BOI) can purchase land and hold land titles in Industrial Park, Industrial Estate, or Industrial Zone in Thailand. However, the terms used for these varies depending on laws and regulations of project establishment and governing authorities. For instance, Industrial Park is established under the Investment Promotion Act, and Industrial Estate is established under the Industrial Estate Authority of Thailand Act.
The main responsibilities for developers of these 3 types of establishment are similar. These include reporting an environmental impact assessment before starting to develop the project, developing project areas in accordance with applicable standards specified by governing authorities, and providing basic public utility system and all other facilities.
Those who wish to purchase land in Industrial Park, Industrial Estate, or Industrial Zone shall apply for approval or permission at a corresponding government sector for each step deemed related and necessary for business establishment in each type of the premise. Whereas the terms used for licenses of the same matter might differ, depending on the government sector that approves or permits such activity.