Businesses in Thailand Raise Alarm Over Ownership Proposals

"BANGKOK—Foreign businesses in Thailand are raising the alarm over new proposals to prevent overseas control of joint venture firms operating in Southeast Asia’s second-largest economy, creating a fresh policy headache for the country’s military leaders.

Thailand’s Commerce Ministry is examining plans to prevent foreign directors from controlling joint venture firms that are majority-owned by Thai shareholders. At the moment, Thailand’s Foreign Business Act allows this to happen. The arrangement has helped buoy investments in the country for decades. In some instances, government officials have said some Thai shareholders act as nominees for foreign investors who ultimately control the business.

But in 2007, a military-appointed government attempted to outlaw the practice. And with the army effectively controlling the country again after seizing power in a coup d’état, officials are looking again at restricting foreign control of what are technically majority Thai-owned firms...."

Source: Wall Street Journal http://online.wsj.com/articles/foreign-businesses-in-thailand-raise-alarm-over-ownership-proposals-1415616785

I tried to find something about this news in thaivisa it's seems pretty important.

I want to know your thoughts or more info about.

Since the military leaders said before that they want a Thailand to be more thai, seems a bad panorama to many.

Edited December 4, 201411 yr by Maestro
fixed quote tags

There have been some news topics recently mentioning this new rule being pondered by the government and foreign chambers of commerce cautioning against it.

PS. I found one topic here: http://www.thaivisa.com/forum/topic/777983-thailand-eyeing-tighter-restrictions-on-foreign-businesses/

Edited December 4, 201411 yr by Maestro
added postscipt

It apparently was shelved in the last day or two.

In the news yesterday.

"The government has shelved plans to amend the Foreign Business Act (FBA), Prime Minister Prayut Chan-o-cha told a luncheon yesterday organised by the Joint Foreign Chambers of Commerce in Thailand. "

Thus far the only new rule that has been announced - and which becomes effective 5 January 2015 - is that any company that incorporates with, or increases capital above 5,000,000 baht will have 15 days to provide bank certification that the full amount of new capital has been remitted to a bank account in the company name. The exact implementation instructions or this rule change have not yet been announced.

MS

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It apparently was shelved in the last day or two.

Apparently the recent rush of trade secretaries from several major countries to meet with the government over this issue in the last 30 days succeeded in reversing Gen. Prayuth's plans despite his assertions that his plans would have no change in foreigners operating businesses in Thailand. Another government administration faux pax.

A off topic post has been removed.

hard to keep up with it

i suppose they have forgotten about all the free trade agreements prior governments already signed?

These FTA are integral to any plans the government has.

better invest in a neighboor country, where you can work without too much hassle, own 100% of your business, own land, and eventually obtain CITIZENSHIP after contributing over a number of years to the country's econnomy

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It apparently was shelved in the last day or two.

Apparently the recent rush of trade secretaries from several major countries to meet with the government over this issue in the last 30 days succeeded in reversing Gen. Prayuth's plans despite his assertions that his plans would have no change in foreigners operating businesses in Thailand. Another government administration faux pax.

Or you could say 'a government plan, they listened to knowledgable people and decided it was not a good plan after all, so a wise decision'.

hard to keep up with it

i suppose they have forgotten about all the free trade agreements prior governments already signed?

These FTA are integral to any plans the government has.

FTA's in Thailand are TOTALLY ignored. I know I tried to use ours Australia - and got laughed at so I AM TAKING MY MONEY to Vietnam no hassles! Same corruption, same price nation wide same stupid laws nation wide- unlike Thailand where it is Official to official where the changes commence and never end

And I dont have stupid CAPITAL deposit requirements.

Why any foreigner would invest any money in Thailand is beyond me....

hard to keep up with it

i suppose they have forgotten about all the free trade agreements prior governments already signed?

These FTA are integral to any plans the government has.

FTA's in Thailand are TOTALLY ignored. I know I tried to use ours Australia - and got laughed at so I AM TAKING MY MONEY to Vietnam no hassles! Same corruption, same price nation wide same stupid laws nation wide- unlike Thailand where it is Official to official where the changes commence and never end

And I dont have stupid CAPITAL deposit requirements.

You should take it up with DFAT. Thai exporters are most certainly using the FTA to their advantage. Also wasting tax payers money on negotiating useless FTAs is not something the Aust Govt would like the media to pick up.