Category: Corporate Strategy
(76 von 100)
Why: I want to do business in Thailand too.
Goal: Learn a business opportunity that fits my strengths.
Table of Contents
Action: Focus on Importing Food.
3 Key Concepts
- Thai ownership is needed depends on export ratio.
- Consult Board of Investment: boi.go.th
- Customs keeps records of the highest declared prices.
Summary
How to import food into Thailand?
First, get a food import license from Food and Drug Administration (FDA) and a cargo import license. Then, register the category and the product itself in FDA.
Find out more: forwarder-university.com/fda-registration-thai/
This book shows the view of establishing a business in Thailand in the year 2000. I find it very interesting to relate as I was there that year in Thailand. Let me know if you are also interested in the Thai venture.
Thai Barrier
There are many restrictions on ownership if you are looking to get into the local market. Being said, exporting is more than welcome. Just to be clear, all these barriers are pretty easy to workaround.
Business Categories
- Category A (Closed)
- Traditional agriculture
- Some service businesses such as accounting, law, architecture, and construction
- Category B (Closed Unless Approved)
- Agricultural pursuits such as cultivation, handicraft businesses
- Commercial businesses such as retailing, selling of food and drinks, antiques
- Service industries such as tour agencies, hotels, transportation
- Category C (Open)
- Commercial businesses such as wholesale trade
- All exporting, retailing of machinery, equipment and tools
If half of the production is for selling inland, Thai must own at least half of the shares.
Ownership law
Thailand is open for everyone
Board of Investment created a portal, where all supports needed are presented: boi.go.th
Thailand also has a Double Tax Agreement (DTA) with several countries. Check out https://www.rd.go.th/. Among other benefits under these treaties, foreign institutional investors can enjoy tax-free capital gains.
Check Prices
This is the highest price that customs kept when the products are imported into Thailand. They use these “check prices” to assess tariffs on subsequent shipments of similar products from the same country.
What happens if you avoid taxes?
In the US, If you still refrain from paying, the IRS obtains a legal claim to your property and assets (“lien”) and, after that, can even seize that property or garnish your wages (“levy”). In the most serious cases, you can even go to jail for up to five years for committing tax evasion.
Credit: policygenius.com
To sum up
Walls are there, but they are not that tall. Therefore, everyone with determination would not find it harder than starting a business in any other country.
I am excited to learn more about how to set up a company in Thailand. It promises many advantages for both Import and Export goods when you are doing business online.
In addition, I wonder if Thais think that “Made in Thailand” is substandard today and still honor social duty first and business later.
Goal check: I learned some opportunities about import and export businesses.
Wasu’s Review
( 4.5 / 5.0 )
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