Thailand eyeing tighter restrictions on foreign businesses

[arrowsdawdle]

Are they seriously going to do this?

I mean seriously? The economy is tanking, the world economy isn't exactltbrosy and they want to risk chasing people away?

Thai economics is different, just like Thai electricity. Business gets slow, raise the prices.

[builderstu]

It's absolutely correct, thailand can stand on their own feet without foreign investment. They do not need coke, they do not need Pepsi, they do not need Toyota, they do not need Nike, they do not need Pizza Hut or even 7-11. All the people working in these companies and many many more can all go back home and grow rice or sugar. They can make it on their own with 150 baht a day.

Why do they just not put a big sign at the airport arrivals desk and say "all foreigners place your wallet in this basket and Check in for your onward journey out as we do not provide any visas and we do not want you to have any business here and we do not want our Thai people to have relationships with you, but we want your money. Krap."

[Alwyn]

You got to love the British Ambassador...

"Thailand faces a choice," British Ambassador Mark Kent wrote in a blog post circulated by the British Chamber of Commerce.
"It can choose to seize the initiative again and make itself the most attractive destination for foreign investment ... or it can choose a different path."

No sh*t Sherlock! More incisive commentary from the master himself <sigh>

[whybother]

It was announced during Yingluck's tenure.

Huh?!???

Proof please?

Last week the Japanese envoy warned of an exodus after I quote being 'shocked at the revelation', British ambassador Mark Kent took the time to write a blog post. In 2007 United States ambassador to Thailand Ralph Boyce spoke out : http://www.nationmultimedia.com/2007/04/01/national/national_30030797.php So if this was "announced" during Yingluck's tenure, or discussed seriously, surely you have news articles, or is this one of the secret secret evil plans only yellows know about?

UNBELIEVABLE. get your head out of the sand.

Get MY head out of the sand?

I have been at various meetings of the one of the JFCCT committees and it has been discussed regularly for well over 12 months.

Do a google search on JFCCT Foreign Dominance regulations. You will see there are minutes and press releases even as early as Jan 2013 talking about the these changes to the foreign business act. Most of the talk then was about the 3G licences, particularly relating to DTAC, but it was discussed then that there was no reason the proposed changes wouldn't affect SME's as well as the big companies.

My point is, this isn't something that the current government has suddenly thought up. It's been an issue for a number of years and there was discussion of it being implemented 12-18 months ago.

[Anthony5]

"With the ASEAN Economic Community due to be implemented next year,

This is what it is all about, they are digging themselves in already to reap all the benefits from Asean, but make sure they have not to give back anything.

[timewilltell]

The mentality is bizarre. I was going to say that the Western nations should get together and advise their trade associations not to trade here citing the difficulty of business and especially the security of investment given the devious and thieving mentality that pervades business here. However maybe Thailand is doing a great job all on its own. It really is looking more like a backward, inward looking nation full of corrupt despots the more time goes on. Such a shame it is wasting the head start it had on its neighbours due to its good fortune of being proximate to Vietnam which gave its infrastructure such a head start. The greed of the corrupt rulers protecting their thievery will be the downfall of this place sadly.

[Mr Somtam]

Execellent. For those who complain, no one asked you to start a 'business' in Thailand. Somehow foreigners stil think that Thai need them, think twice. Most Thai having university degrees are very well educated whether it is IT, economics etc and can work at any Multi National. For the small 'businesses' I think it is completely logic government helps to protect Thai interest.

Are you trying to be funny or do you really mean what you say?

In the western world, we have 15 year old computer geeks more educated in IT than 25 year olds with a university degree in IT.

I have worked with around 30 "programmers" here in Thailand during my eight years here and none comes even close to compete with programming skills or creativity to solve normal everyday programming problems with a farang.

Thai culture puts a halt on creative thinking as no one wants to stand out in the crowd.

Thais can't even understand and learn from English written computer literature as their language skills are too poor.

For those few Thais that can, they themselves, flees Thailand and ends up in another country who pays more, don't have illiterate bosses etc.

I have Saïd it before: english is the language of the rest of the world, of computers, science, the internet, business etc. Etc.

Please have at least one tv channel show english programs with thai subs so maybe someone can learn how english sounds ...

Mai pen rai...

[daveAustin]

Mmmmm, I can't wait to see a reawakening, English-speaking Burma leapfrog the dozing, insular, ever so slightly arrogant 'Tiger'.

[arrowsdawdle]

Wow

If that is for real then we may just have to consider shutting down, sacking all the locals we currently support and go with international freelancers instead

And you will not be alone in that thinking.

I have been thinking this through and the claim that it is to "protect local Thai business who are not yet ready to compete".. Well if that statement really was true then dont grant any foreign investments in the areas you are trying to protect, right?

Also, the status quo is 49% ownership is foreign but Board can be foreign so Executive decisions are made by foreigners,, so proposed changes,, board has to be Thai and executive decisions have to be Thai made.. Thinking about the second option, how does this protect local business? The Thai board will still have resources and expertise of a foreign company,, do they think that a Thai board will make "moral" decisions not to trample on local businesses too much? To pull back the aggressive expansion plans as it will kick Mr and Mrs not ready into the weeds?

Get real, this is about money, the top nobs gleaning money.. Foreigners invest money, own less then half their investment from day 1 and then give all decision making over to locals..

I think we should ALL just tell them where to go, pack up and tender the enormous amount of foreign money here to neighbouring countries. Its about time the foreigners made Thailand realise how much we ALL need International business and said enough! We take our business elsewhere....!

I am going to have a very serious look at it over the coming weeks.

Agreed, this topic certainly has my attention.

My final comment on the topic tonight would be for some of us it's actually a case of...

How much do you trust your wife?

Sure she is the majority share holder but she is a teacher who makes her own salary and has little clue of what happens in "her" business anyway.

Regardless of percentages on paper it's 100% my business and 100% my decision on what happens.

However as much as I believe in our relationship, it's an unhealthy and unnecessary risk to take in business and probably in a relationship too.

I guess the other thing to consider for myself and others in this boat would be...

If you move your business back to your home country because of this, does that remove the risk? i.e. the real risk in my case is if we were to separate and she turned nasty. In which case it may not matter which country my assets/business are in anyway....

Maybe the voting rights is a false sense of security anyway

Food for thought for some of us, although I suspect different for those who actually have real Thai investors involved

Even people that have been in LOS a long time seem incognizant that it is not about the wife so much as it is about the family, leaving her no cultural option but to do their bidding. And it may be folly to expect the wife to warn you of impending disaster when youthful conditioning implants a susceptibility for becoming a de facto sleeper agent at a moment's notice. What makes it so hard to spot in advance is the Thai disdain for planning, allowing the trust and faith to be genuine...TFN. A contract of any kind in LOS is just a pause in the negotiation.

[NanLaew]

A source from the ministry said that any changes are still preliminary and that all changes would have to go through both the legislative assembly army and the cabinet army.

Edited for clarity.

[franzs]

have read many posts here,

a lot of weeping and complaining,

so why this guys not moving on to Laos, Cambodia, Myanmar Malaysia, Philippines?

because there is nothing anywhere like Thailand,

[givenall]

<script type='text/javascript'>window.mod_pagespeed_start = Number(new Date());</script>

Didn't we just last week have a headline to make investing more, eh what was the word, attractive?

One thing we all overlook is that during the economic time, the Rich in Thailand got richer so why do the rich who run the country give shxt if economy tanks

They thing they own the country and all the poor people in it

[Friendly Stranger]

This should of happened a long time ago. All these farangs taking money off hard working Thais!

Thailand has long been the country of innovation and self sustainability! Western nations should be grateful to be allowed to business at all in the Kingdom, they try to learn the Thai's business practices, customer service, law enforcement, in which all fields Thais lead the world.

555

I'm glad you included that laugh at the end.

[Beetlejuice]

Execellent. For those who complain, no one asked you to start a 'business' in Thailand. Somehow foreigners stil think that Thai need them, think twice. Most Thai having university degrees are very well educated whether it is IT, economics etc and can work at any Multi National. For the small 'businesses' I think it is completely logic government helps to protect Thai interest.

Are you trying to be funny or do you really mean what you say?

In the western world, we have 15 year old computer geeks more educated in IT than 25 year olds with a university degree in IT.

I have worked with around 30 "programmers" here in Thailand during my eight years here and none comes even close to compete with programming skills or creativity to solve normal everyday programming problems with a farang.

Thai culture puts a halt on creative thinking as no one wants to stand out in the crowd.

Thais can't even understand and learn from English written computer literature as their language skills are too poor.

For those few Thais that can, they themselves, flees Thailand and ends up in another country who pays more, don't have illiterate bosses etc.

I have Saïd it before: english is the language of the rest of the world, of computers, science, the internet, business etc. Etc.

Please have at least one tv channel show english programs with thai subs so maybe someone can learn how english sounds ...

Mai pen rai...

They do. Most of the satellite TV channels show English language movies, news and business affairs programmes, shopping channels, documentaries, western music channels, sports programmes and educational programmes complete with those annoying big white Thai subtitles. Many come with a choice of watching both in English or badly dubbed in Thai, mostly the same irritating Thai guy and woman that seen to be the voice overs for all the English language programmes that are shown in Thailand.

[ColdSingha]

have read many posts here,

a lot of weeping and complaining,

so why this guys not moving on to Laos, Cambodia, Myanmar Malaysia, Philippines?

because there is nothing anywhere like Thailand,

really?! this post again??

let me try to explain in simpler terms.. just because there are elements of thai society i don't like that doesn't mean i dislike everything here, or put another way i can't stand chicken vindaloo but that doesn't mean i don't love a curry. capiche?

the world is not black or white.

[naidraw66]

This should of happened a long time ago. All these farangs taking money off hard working Thais!

Thailand has long been the country of innovation and self sustainability! Western nations should be grateful to be allowed to business at all in the Kingdom, they try to learn the Thai's business practices, customer service, law enforcement, in which all fields Thais lead the world.

555

What planet are you on, or should I say Ill have a bit of whaever your smoking . . .

Say no more

555

[Carrerakiss]

It has to be remembered that this proposal is an old chestnut that is regularly floated, at least once a year. Perhaps one day it will become a reality, perhaps it never will.

The timing is unfortunate. As many have said, the business climate is poor. Many traditional industries are under pressure, tourism, rice, rubber, automotive. FDI is weak. The political climTe is, well, the best you can say is stable at the moment, but most FDI is a long term decision and who knows what the next civilian government will bring, if indeed it comes at all.

I doubt this announcement is a final nail in the coffin, but it doesn't help to bring this proposal to the forefront at this time.

The big question is.........does a military led government have the economic expertise to know that if enacted, this change would be very detrimental to existing and proposed FDI?

We will see.

[Anthony5]

This should of happened a long time ago. All these farangs taking money off hard working Thais!

Thailand has long been the country of innovation and self sustainability! Western nations should be grateful to be allowed to business at all in the Kingdom, they try to learn the Thai's business practices, customer service, law enforcement, in which all fields Thais lead the world.

555

What planet are you on, or should I say Ill have a bit of whaever your smoking . . .

Say no more

555

Indeed you should take something about what peptidebomber is smoking, because the stuff you're smoking seems to kill the brain.

[khunpa]

Our move is already planned for the beginning of 2015.

A shame really, since we have a very fast growing and succesful IT-business here. But considering the racist-like and non-caring attitude, we have been facing from the authorities since the very beginning, it is simply not worth it. EVERYTHING is just too difficult and unsecure here. But worst is the racist-like attitude, which I am personally sick of it and which is the reason for our move.

We built a good business and created local jobs, but we are still treated like "shit" most of the times, we come in contact with the authorities. Just doing a work-permit takes more effort and requires more paper than used on a bloody 5-year rocket-scientist degree. This place is going down the drain and they have only themselves and their ignorance (stupidity) to blame for it. The article is a good example of their complete lack of international outlook and understanding of their own current situation.

Luckily, there are many countries nearby who are both grateful and happy, to welcome a company like ours. So not long until they can no longer see us as a problem anymore. "Thailand a developed country by 2025...." Good luck with that! They will for sure need it.

[mok199]

with all the harsh changes in visa and buisness and law and govt,it is almost like they want to get rid of foriengers.....and i thought they liked us..

[rayongchelsea]

have read many posts here,

a lot of weeping and complaining,

so why this guys not moving on to Laos, Cambodia, Myanmar Malaysia, Philippines?

because there is nothing anywhere like Thailand,

really?! this post again??

let me try to explain in simpler terms.. just because there are elements of thai society i don't like that doesn't mean i dislike everything here, or put another way i can't stand chicken vindaloo but that doesn't mean i don't love a curry. capiche?

the world is not black or white.

He has probably never even run a business in thailand.

[SRC]

I love the kaos and uncertainty of Thailand. Never a dull moment and always good for a laugh.

This is what I am looking forward to as well. As for this issue, I think Thai's should welcome businesses from abroad. As long as it improves the economy. It is being proven in the US that small business is good for the economy and should be encouraged. Big corporations should not.

[khunpa]

with all the harsh changes in visa and buisness and law and govt,it is almost like they want to get rid of foriengers.....and i thought they liked us..

They DO like us and also like foreign-investment.

You are just not allowed to own, what you invest in and if you can stay in your own country and send just send the money here, then that would be preferred. :-)

[metisdead]

An inflammatory post has been removed as well as a reply.

[ikke]

I think it's time for the ex-General to begin clearing his desk. He has done a lot of good things, but now we

need a prime minister who can see the folly of these new regulations, and move the country forward.

I need two things to be cleared here ....

He has done a lot of good things .... what exactly do you mean ?

Second a picture of one of the most incompetent previous PM's ?

I just don't get it.

[firestar]

So what if the Yingluck government is gone? That doesn't change the fact that these changes have been discussed for over 12 months well before this government, well before the coup, well before the protests and well before the amnesty mess started.

Again...

Where is your proof??

You are making the claim it is "fact" so the onus of proof rests squarely on your shoulders.

The mere rumor of these restrictions is enough for the Japanese envoy to speak out, the British ambassador to write a blog post, BP to write front page articles for the past 2 weeks ago... surely if Yingluck had been discussing these changes The Nation and others would have been all over it. So find one person, one link other than "whybother" who can confirm your 'facts'. I'll be waiting....

It's getting even beyond red or yellow with you. fanaticism.

____________

Edited November 20, 2014 by firestar

[Halion]

Does not get much dumber than this. The enrichment of foreign business practice is the only hope they have to drag themselves out of the mire of Thainess and corruption.

[flakes]

Why dont they stop wasting time and ban all foreign companies, foreigners per se and close the border to "The Greatest Country On Earth"

Give it 10 years before its 4th world.

Well no their scheme its more profitable for them :

Its hi welcome with your investments in Thailand...We take 51% of your business then take over and control your assets and you can go back to where you came from empty hands,,,

[balo]

Just move your businesss to Cambodia , very easy to operate from there , and same lifestyle etc.

Forget Thailand if they don't want us.

[mikiea]

hmmmm....... sounds like commerce " hub" implosion