Registered machinery 'can be collateral'

There are currently about 10 million machines in the Thai industrial sector, but only 790,000 are registered. If they were all registered, their combined worth would be as high as Bt50 trillion – assets that could be used as collateral for fund-raising.

The DIW reported that 5,625 factories opened or expanded operations last year, employing a total of 204,492 workers, with total investment of Bt602.35 billion, an increase of 17 per cent over 2013.

This year, the DIW will promote technology in waste recycling to make factories more efficient and environment-friendly.

DIW director-general Pasu Loharjun said machinery registration was one of the services his department provided to the industrial operators.

Based on past statistics, those industrial operators that have registered ownership of machinery have often used it as collateral to obtain additional working capital.

In 2014, the total value of mortgaged machines was as high as Bt338.13 billion. The three industries with the most mortgaged machines as of last month were agricultural products, foods and plastics.

The DIW expects to see the value of machinery mortgages rise by more than 15 per cent (8,000 machines) this year to about Bt375 billion. This should benefit the future development of Thai industries.

The number of factories receiving operating permits has increased since July 1 when the processing period was shortened to 30 days, Pasu added.

Last year, those numbers rose to 5,625 factories, 204,492 workers, and Bt602.35 billion.

In January this year, 393 new factories were set up, employing 9,832 workers, with total investment value of Bt30.35 billion.