The Thai government is developing measures and incentives to persuade small and medium enterprises (SMEs) to register with the state as part of a plan to give them greater support by setting them up in special economic zones.
This as the Department of Industrial Promotion (DIP) recently unveiled a scheme to fortify SMEs’ operations in line with plans to set up 12 special economic zones in 10 border provinces.
The objective is to increase small enterprises’ competitiveness within the Association of Southeast Asian Nations (ASEAN) marketplace, said a news report by the National News Bureau of Thailand.
The establishment of the SEZs is part of the administration’s strategy to encourage trade and investment in border areas with great economic potentials, said the report.
The project aims to develop provinces along the Thai border as economic zones and logistic hubs. Each economic zone is envisioned to employ a large number of migrant labor and have regional tourism services to reap the full benefits from the ASEAN Economic Community.
Registered SMEs will be assigned into groups and will receive support according to their category. There are about 2.7 million SMEs in Thailand, of which only some 800,000 are registered, said the report.
The plan, which is being supervised by the Network of Engineering Services (NES), seeks to help develop the SMEs in these special zones by strengthening their organizational structure, intensifying personnel training, and connecting them on a larger scale, including with large enterprises, that encompasses both domestic and international linkages.
NES chief Wasin Mahatnirankul said DIP will be providing competitiveness enhancement activities to SMEs for the establishment of the SEZs in the kingdom. These SEZs are located in the provinces of Tak, Mukdahan, Sa Kaeo, Trat, Songkhla, Chiang Rai, Nong Khai, Nakhon Phanom, Narathiwat, and Kanchanaburi.
In 2014, the total value of border trade through these provinces reached THB968 billion (US$27 billion), accounting for 98% of Thailand’s border trade, said the report.
The campaign will encourage entrepreneurs to fully mine the benefits of operating in these SEZs as well as connect them with big-scale industries in Thailand and with foreign capitalists that may want to invest in the SEZs.
Twelve large businesses have reportedly received support from the government so they can help SMEs with product design and marketing.
Photo: Takeaway
