Customs Dept eyes fresh incentives for EEC investors
THE CUSTOMS Department is ready to offer investors more incentives, should the new government introduce new policies related to the junta-led administration’s Eastern Economic Corridor (EEC) initiative, customs executives said.
The new government, likely to be led by pro-junta Phalang Pracharat Party, is expected to continue the ambitious EEC project. The aim of the initiative was to upgrade the economy.
Kanit Sangsubhan, secretary-general of the EEC Office, said he wants initial investments to be directed towards the expansion of the Laem Chabang Port and U-tapao Airport before the EEC Office calls on the new government to offer more incentives for investors to put money into the project.
On Friday, the Customs Department launched an e-coastal trading system aiming to provide convenient clearance services for businesses moving their goods around the country. Importers and exporters can contact officials via electronic means and settle customs fees and duties via the e-billing system, which will cut down time spent meeting customs officials, director-general of the Customs Department Krisada Chinavicharana said.
The new measures will also help improve Thailand’s rank in the World Bank’s Ease of Doing Business index, he said.
The e-coastal trading system will integrate customs procedures for global trading, such as the pre-arrival processing system which will allow importers to remove their goods out of the port quickly and help them keep their business costs low, Krisada said.
Also, he said, efficient customs clearance at Laem Chabang Port will encourage foreign direct investment in the EEC. The Customs Department is willing to provide new incentives if asked by the EEC Office and government, he added.
The Customs Department is already operating duty-free zones in the EEC, where businesses can import goods for re-export or exhibition purposes without having to seek an import licence, Customs Department spokesman Chaiyut Kumkun said.
The incentives being offered at present aim to make EEC attractive for investment in logistics as it is targeted as a distribution hub in the Asean region. The China-based e-commerce giant Alibaba Group has expressed its intention to spend Bt13.5 billion on setting up a distribution hub in the EEC.
Chaiyut said, however, that the boom in e-commerce has resulted in up to 10 million packages being posted to Thailand, which presents a huge challenge to tax officials in terms of collecting duties and examining the packages for safety reasons. He added that the department plans to introduce artificial intelligence to support customs procedures.
Separately, a consortium led by Charoen Pokphand Holdings won the bid for the construction of a high-speed rail network worth Bt224.5 billion, connecting three international airports, namely Suvarnabhumi and Don Mueang in Bangkok and U-tapao in Rayong. The Cabinet will approve the winning bid today.
Meanwhile, former industry minister Uttama Savanayana, who is now the leader of Phalang Pracharat Party, has projected that investment in the EEC will reach Bt1.3 trillion between 2019 and 2023.
Key infrastructure projects, estimated to cost up to Bt608 billion, will include a high speed rail, the U-tapao airport and aviation city, aircraft maintenance hub in U-tapao, a digital park and an extension of the Map Ta Phut Industrial Port.
