Boost for tech-related investments

THE BOARD of Investment yesterday gave the green light for technology-based incentives to push for the “Thailand 4.0” vision and drive 10 targeted industries, while approving four projects worth Bt25.3 billion.
Secretary-general Hiranya Sujinai said after the BOI meeting chaired by Prime Minister Prayut Chan-o-cha that the first of three measures under the incentives involved core technologies. 
The special investment privileges will be bestowed on core technologies showing potential on condition that they transfer technology to local educational institutions or research institutes. 
The privileges aim to be extended to two categories – targeted core technologies and enabling services.
Under the special conditions for the enterprises in both categories, corporate income tax will be waived for 10 years, while additional privileges according to project value can be requested for one to three years for a maximum of 13 years. 
Among the targeted core technologies, four groups range from biotechnology and nano-technology to advanced materials and digital technology. 
The enabling services that have high value-added to support the development of the targeted core technologies span research and development for occupational training institutes particularly in science and technology, and electronics design to engineering design, scientific testing and calibration.
Duties will also be waived for such imports as prototypes of materials, chemical substances, and plants and animals geared for research and development. 
Merit-based incentives will also be adjusted for manufacturers awarded normal privileges. 
If a manufacturer invests more for development of technology or human resources, tax deductions for such expenses will be doubled to 200 per cent. 
If such expenses involve R&D, the deductions will rise to 300 per cent.
The approved projects are: 
 Continental Tires (Thailand) Co gained investment privileges for its Bt12.38-billion tyre project in exchange for using local content. The Rayong-based project will join forces with educational institutions and research institutes, based on the investment-promotion policy for cluster-based special economic zones.
 Fuel Pipeline Transportation Co received breaks for its Bt8-billion project to transport 9 billion litres of fuel per year. The pipeline will run through 10 provinces|from the Central region to the North.
Better World Green won incentives for its Bt312.5-million refuse-derived fuel-expansion project with production capacity of 108,000 tonnes per year in Saraburi. 
Bangkok Eye Foundation gained privileges for its Bt4.6-billion, 459-metre-tall Bangkok Eye Project. 
Bangkok Eye with usable space of 22,056 square metres will be situated on state property along the Chao Phraya River and will gather His Majesty King Bhumibol Adulyadej’s lifetime works.
The Board of Investment also agreed on a relief measure for flood-stricken promoted enterprises in the South. Duties will be waived for machinery imported to replace flood-damaged equipment. 
Requests for exemptions must be submitted by December 29.