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Grant Approval for Industrial Estate Developers

Industrial Estate Authority of Thailand

HANDBOOK

www.ieat.go.th

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Grant Approval for Industrial Estate Developers

PREFACE
(.) /

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www.ieat.go.th .

2548
The Industrial Estate Authority of Thailand, or the IEAT, has responsibilities in granting
approval to operators wishing to establish or expand an industrial estate. Some grants of the IEAT
are permits for the master plan, construction plans of infrastructure systems, facilities, and land
allotment. The IEAT also provides services to developers for land utilization, construction, commercing
operation, tax privilege requests, and work permits for alien, skilled workers. These services will be
carried out accordingly to the laws regulations and with respect to announcement. Furthermore,
the IEAT has been enhancing the procedures and regulations in order to give more convenience to
its applicants. The enhancements will provide applicants with fast, convenient, transparent and
accountable services.
The Development for joint managing industrial estate handbook was complied by the IEAT
with the objective of aiding its applicants in the initial procedure processes. The handbook provides
applicants with easy step by step procedures for all grants and approval. Applicants can obtain
more information from the IEAT website at www.ieat.go.th, or by contacting the Joint Industrial
Estate Administration Department and all industrial estate offices.
The Industrial Estate Authority of Thailand
February 2005
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CONTENTS

3 1
Part 1 Editorial
4
1
5

The Definition of Joint Managing Industrial Estate

2
Privileges Received from Joint Managing

9 2 /
Part 2 Grant Approval Procedures for Industrial Estate Developers
9
1
10

11

12

12

13

The Establishment of Joint Managing Industrial Estate

Declaration of an Industrial Estate Zone

(Environmental Impact Assessment : EIA)

Approval for the Environmental Impact Assessment
(Master Plan)
Application for Authorization of the Master Plan

Application for Authorization Construction Plans of Infrastructure Systems and
other Facilities

Application for permit Land Allotment of Industrial Estate

18
Appendix

Privileges for Industrial Operators and Export Processing Operators in IEAT

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Grant Approval for Industrial Estate Developers

1
EDITORIAL


(Developer)


(Strategic Production Base)


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/

Presently The Industrial Estate Authority of Thailand (IEAT) has made many alterations to its
structure, which is distinctly different from its original one. The purpose of the alterations were
because there will be more association and collaboration between the government sector and the
private sector (Developer).
This cooperation force between both sectors will generate growth of Thailand's industry
enabling Thailand to compete with its regional neighbors and foreign countries. The industry will
abide by the environmental and safety laws along with adhering to the government policies in
expanding the industry throughout the region. All of this will be in accordance to the structure
of the Joint Managing Industrial Estate, which is a strategic production base containing
organization techniques with factors in production, business and service that work and balance
alongside the environment and society.
The IEAT has assembled a handbook grant approval for industrial estate developers to be of
beneficial use when developers apply for various grant approvals with hopes of fast, convenient,
transparent, accountable and standard services.
3

1
1.1

1.2
(Developer)

1.3
(Developer)

1.4

1 The Definition of Joint Managing Industrial Estate

1.1 An area used for industrial purposes and for any activities relating to the establishment of
an industry under the agreement of the Industrial Estate Royal Decree.
1.2. An area established and equipped by the developer that complete with infrastructure
systems and facilities. The procurement of land, developed, serving and will be consistently
maintained infrastructure systems that there are invested by the developer.
1.3. An area that has been authorized and regulated by the Industrial Estate. The Industrial
Estate also administers and provides support to the developer in developing the area into
an Industrial Estate in accordance to the laws, regulations, and standards of IEAT and
concerning of the offices.
1.4 An area in which the developer receives privileges in accordance to the Industrial Estate
Royal Decree and additional support for the project provided by the government sector.
As sush as industrial Estate operated by IEAT.

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Grant Approval for Industrial Estate Developers

2
2.1
(1) . (Marketing)

(2) .

(3)



(4)

2 Privileges Received from Joint Managing

2.1 Developer
(1) The developer will receive privileges according to the IEAT Royal Decree in Marketing.
This will create trust in conjunction with forming a good reputation in the eyes of both
Thai and foreign investors.
(2) Joint Managing Industrial Estate will be supported by the government. The government
will guarantee that the IEAT will be the government sector responsible for operators
establishing a factory in the Industrial Estate for eternity.
(3) The application process is faster, more convenient, and concise due to the fact that
developer apply for grants declaration of industrial estate zone, permit land allotment,
building construction permit, commercing operation etc. at the Industrial Estate
without having to permit to further at other organizations.
(4) Developers will receive privileges in coordination with both government and private
organizations.

2.2
(1)

(2)
.

(3) .

(4)

2.2 Industrial Estate Authority of Thailand (IEAT)

(1) The IEAT will achieve the government policies of expanding the Industrial Estate
throughout the region under the environmental regulation and management system.
(2) The IEAT will form ties with both the government and private sectors in developing
industrys the infrastructure. This will in supporting investment and industrial operation,
so that the IEAT will not be burdened in forming its own industrial estate.
(3) IEAT will accomplish its provided of having the private sector take part in the
establishment of an Industrial Estate.
(4) A figure of speech of the Industrial Estate Authority of Thailand (IEAT) is created since
the private sector is taking part in the joint managing.

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Grant Approval for Industrial Estate Developers

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1.

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7

2.

60

3.
7

EIA

3
/ .

. .

. EIA

4.

6.

.

3

5
5
/

5.

*
.
. .

-
-

-

././.2

. ./. 2

Diagram of Grant Approval Procedures for Industrial Estate Developers

1. The Establishment of Joint Managing Industrial Estate
Submit Application form for the
Establishment of an Industrial Estate *

IEAT will Evaluate the Pre Feasibility Study

Site Location Survay

Evaluation Results and Proceed to

procedures by the Applicants

Submit to the Board of Directors of the IEAT

7 Days

Authorization of Joint Managing Contract

2. Declaration of an Industrial Estate Zone

Declared an
Industrial Estate
Zone

Create Draft of
Declaration and Map

60 Days

3 Approval Process for the Environmental Impact Assessment (EIA)

7 Days

Submit the EIA

to the IEAT

The IEAT review EIA and make

preliminary comment

Results to the
Applicants

Submit to office of Natural

Resources and Environmental Policy
and Planning for Approval (ONEP)

3 Days
Proposal to the Ministry of Industry or the Chairman
of Board of Directors of the IEAT for Declaration
of an Industrial Estate Zone and announcement
under the Government Gazette

EIA Approved by ONEP

4. Application for Authorization of the Master Plan

Submit application
form for Approval of the
Master Plan Along with
Related Documents

IEAT Evaluation and

Coordination with
Applicants that stating
detail of evaluation
within 3 Days

6. Application for permit Land Allotment of Industrial Estate

Submit Application for
permit Land Allotment

5 Days
5 Days
Incomplete Documents/
Disagrecment Applicants
Change and improvement

Authorization of the
Master Plan

5. Application for Authorization Construction Plans of

Infrastructure Systems and Other Facilities
Submit Application form
for the Approval of the
IEAT Evaluation with
Infrastructure Systems
Coordination with
and Other Facilities of
Applicants
Construction Plans
Approval of
Infrastructure Systems
and Other Facilities of
Construction Plans

5 Days

must submit all the required documents for

* Applicants
establishing an industrial estate as required by the IEAT.

IEAT Evaluation

This is in order for the IEAT to propose the following document

to Board of Directors of the IEAT for evaluation

Acknowledged of evaluation
results by applicants and Follow
out procedures :
- Measure and Divide
Land Deed
- Request for Infrastructure
Systems Inspection
- Conduct a letter of
guarantee for unfinished
Infrastructure Systems

Applicant Request for the

issue permission of Land
Allotment

Proposal to the Board of Directors of the

IEAT or Governor or Deputy Governor
Evaluation of Agreement while conducting
a notification of the Evaluation Results
operation 2 to the Applicant and Province

IEAT Evaluation and

Offer to Governor or Deputy
Governor Operations 2
Authorization in Issue and
Notification of permission
5 Days
Issue Permission of Land
Allotment and Inform
Notification of Permission
to the Province

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Grant Approval for Industrial Estate Developers

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GRANT APPROVAL PROCEDURES FOR INDUSTRIAL ESTATE DEVELOPERS
1
1.1


1.2


1.3


1.4

1 The Establishment of Joint Managing Industrial Estate

1.1 Private or Government Sectors interested in proposing an area for establishment of joint
managing industrial estate will submit an application form its along with related
documents to the Strategy and Strategic Planning Division of the Strategy Department in
the Industrial Estate Authority of Thailand.
1.2 The IEAT will evaluate the initial suitability notification of evaluation results to the private
or government sectors. In cases where location is suitability. The IEAT will coordinate with
private or government sector for an inspection date of survey location.
1.3 The IEAT will survey location inspection according to the location inspection routine of
establishment. If the location abides by the regulations its. The IEAT will be submitted to
the Board of Directors of IEAT for agreement establishment while conducting a notification
of the evaluation results.
1.4 In the case where there is consent, the IEAT coordinate with the private or government
sector in drafting joint managing contract and the date of authorization its.

1.5 . 1/2539 22 2539

2
1
. .

2
.

1.5 The joint managing according to the IEAT announcement of 1/1996 (Authorized on
August 22 1996) consists of 2 alternative methods :
Alternative 1 The developer transfers rights of all immovable property, instruments,
infrastructure systems, and other facilities to the IEAT. The IEAT will be
manage for the above services.
Alternative 2 The developer does not transfer rights of all immovable property,
instruments, infrastructure systems, and other facilities to the IEAT.
The developer will be manage for the above services.

2
2.1

2 Declaration of Industrial Estate Zone

2.1 The developer submits application for the Declaration of Industrial Estate Zone
along with related documents to the Legal Department or the Joint Industrial Estate
Administration Department in the IEAT.
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Grant Approval for Industrial Estate Developers

2.2
.
2.3

3
(Environmental Impact Assessment : EIA )
3.1

3.2

3.3

3.4

2.2 The IEAT will evaluate the application along with related documents while creating a
declaration and map. It is to be submitted to the Chairman of Board of Directors of the IEAT.
2.3 The IEAT will sent declaration that announce under the Government Gazette.

3 Approval for the Environmental Impact Assessment (EIA)

3.1 The developer submits application for the Environmental Impact Assessment (EIA) to the
Environment and Energy Division and Environmental of Safety Department in the IEAT.
3.2 Environment and Energy Division and Environmental of Safety Department will evaluate
premiere application along with providing suggestions to the developer and consult
company.
3.3 The IEAT will send the EIA to the Natural Resources and Environmental Policy and Planning.
3.4 The Natural Resources and Environmental Policy and Planning will give consent on the EIA.

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4
4.1 (Master Plan)
(Conceptual Design)

4.2

4.3

5
5.1


5.2

4 Application for Authorization of the Master Plan

4.1 The developer submits application for authorization of the Master Plan with the
conceptual design and related documents to the Developer Business Service Division of
the Joint Industrial Estate Administration Department in the IEAT.
4.2 The IEAT will coordinate with developer and a consultant state detail of the evaluation.
4.3 The Master Plan will be approved by the IEAT.

5 Application for Authorization Construction Plans of Infrastructure Systems and other

Facilities
5.1 The developer submits an application for the approval for construction plans of
infrastructure systems and other facilities along with related documents to the Developer
Business Service Division of the Joint Industrial Estate Administration Department in the
IEAT.
5.2 The IEAT will evaluate the construction plans of infrastructure systems and other facilities
and notification of the evaluation results.
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Grant Approval for Industrial Estate Developers

6
6.1
(1)

(2)

(3) .
( 2 )

(4)
-
-

6 Application for permit Land Allotment of Industrial Estate

6.1 Permit Procedures for Land Allotment of Industrial Estate
(1) The developer submits an application for Land Allotment along with related documents
to the Developer Business Service Division of the Joint Industrial Estate Administration
Department in the IEAT.
(2) The IEAT will evaluate the application and coordinate with applicants in stating
detail its. The IEAT survey location of issue a permit land allotment of industrial estate.
(3) The IEAT will submit a proposal of authorization to the Board of Directors of the IEAT or
Governor or Deputy Governor Operation 2 and evaluate agreement while conducting a
notification of the evaluation results for the applicant and the province.
(4) After the developer has been notified of the results and process to :
- The developer will submit the measured and divided land deed to the Land and
Premise Division of the province in which the land is located on.
- The developer will submit for inspection of infrastructure and other facilities at the
Developer Business Service Division of the Joint Industrial Estate Administration
Department.
13

(5)

(6)
( 2)

- Working group inspection of the infrastructure systems and facilities Land
Allotment of joint managing industrial estate will be conducted.
In cases where the infrastructure systems and other facilities have not yet been
completed, the developer must have a bank or a financial institution that conduct
a letter of guaranteeing the unfinished infrastructure systems.
In cases where all the infrastructure systems and facilities have been completed the
developer will carry out the next procedures.
(5) The developer will submit application for the Issue permission of land allotment
along with related documents to the Developer Business Service Division of the Joint
Industrial Estate Administration Department in the IEAT.
(6) The IEAT will evaluate the application that has submited an authorization in issue
permission and Plan of Land Allotment Project by the Governor of the IEAT or Deputy
Governor Operation 2. The IEAT will be sent issue permission and plan of land allotment
project to the developer and copy its will be sent to notify the province.
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Grant Approval for Industrial Estate Developers

6.2
(1)


(2)

(3) ( 2)


(4)
-
-

6.2 Application for permit to revise the plan of Industrial Estate Land Allotment Project
(1) The developer will submit an application of Request for permit of revise the plan of
Industrial Estate Land Allotment Project along with related documents to the
Developer Business Service Division of the Joint Industrial Estate Administration
Department in the IEAT.
(2) The IEAT will evaluate the documents and coordinate with developer in stating details.
The IEAT survey location of issue a permit land allotment of industrial estate.
(3) The IEAT will submit a proposal to Governor of the IEAT or Deputy Governor Operation 2
for approval of revision in the Plan of Industrial Estate Land Allotment Project along with
a notification letter of the evaluation results to the developer and the province.
(4) After the developer has been notified of the results, Follow out procedures :
- The developer will submit the measurement and divided land deed to these Land in
Province Land Office.
- The developer will submit for inspection of infrastructure and other facilities at the
Developer Business service Division of the Joint Industrial Estate Administration
Department.
15

(5)
(
)

- Working group inspect of the infrastructure systems and facilities in the joint
managing industrial estate land allotment project will conduct infrastructure and
other facilities.
In cases where the infrastructure systems and other facilities have been unfinished,
the developer must have a bank or a financial institution that conduct a letter of
guaranteeing the unfinished systems.
In cases where all the infrastructure systems and facilities have been completed the
developer will carry out the next procedures.
(5) The developer will submit an application for an issue permission of revised the plan of
industrial estate land allotment project and permission of land allotment (in cases
where the developer submit for additional land allotment) along with related
documents to the Developer Business Service Division of the Joint Industrial Estate
Administration Department.

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Grant Approval for Industrial Estate Developers

(6)
( 2)

6.3
(1)


(2)

(3)
( 2)

(6) The IEAT will evaluate the application and submit an authorization an issue permission
of revised the plan of industrial estate land allotment project, permission of land
allotment and plan of land allotment project by Governor of the IEAT or Deputy
Governor Operations 2. The IEAT will be sent to the developer and a copy of issue
permission and plan of land allotment project will be sent to notify the province.
6.3 Application for permit Land Mortgage of Allotted Land
(1) The developer will submit an application for land mortgage of allotted land along with
related documents to the Developer Business Service Division of the Joint Industrial
Estate Administration Department in the IEAT.
(2) The IEAT will evaluate the application and coordinate with developer in stating details.
The IEAT survey location of issue a permit land mortgage of Allotted Land.
(3) The IEAT will submit a proposal to the Board of Directors of the IEAT or Governor or
Deputy Governor operation 2 for evaluation in issuing a land mortgage permit to the
developer. The IEAT will be sent to the developer and the province for notification.
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APPENDIX

.. 2522

1.
.
( 44)
2.

. ( 45)
3. 45
.
( 46)

Privilege which the Industrial Operator and Export Processing Operators

in Industrial Estates shall receive, under the Act Governing The Industrial Estate
Authority of Thailand B.E. 2522, as Amended
Non-Tax Privilege in General Industrial Zone and Export Processing Zone
1. Both Thai and alien industrial operator and trader for export, shall be permitted to hold title
over land in industrial estates to operate its business for areas which the Board of Director
of IEAT deems appropriate, to the extent of exceeding the limit prescribed by other laws
(Section 44)
2. An industrial operator and trader for export shall be permitted to bring in aliens who are
skilled persons, expert, their spouses and dependents, into the Kingdom and live in the
Kingdom, for the number and within the periods which the Board of Director of IEAT deems
appropriate. (Section 45)
3. An alien skilled person and expert who is permitted to stay in the Kingdom under Section
45 is allowed to work in the position which the Board of Director of IEAT approves,
throughout the period permitted to stay in the Kingdom. (Section 46)
18

4.


( 47)

1.


( 48 ... . .. 2522 )

4. An industrial operator and trader for export who has domicile outside the Kingdom shall be
permitted to remit money in foreign currencies out of the Kingdom only when the said
amount is an inward remitted investment, dividends or profit derived from such investment,
foreign loan and the money which the operator has obligations in foreign countries (section
47)

Tax Privilege in Export Processing Zone

1. Exemption from special fees subject to the law governing investment promotion, import
duty, value added tax and excise tax for machinery, equipment, tools, including part there
of which are required for production of goods and those used in the construction, assembly
or installation of a factory or building (under Section 48 of Act Governing the Industrial
Estate Authority of Thailand B.E. 2522, as amended.)

19

2.
( 49 ... .
.. 2522 )
3. 49
( 50 ... . .. 2522
)
4.

48 49 ( 52)

2. Exemption from special fees subject to the laws governing investment promotion, import
duty, value added tax and excise tax for items imported for use in production of goods
(under Section 49 of Act Governing the Industrial Estate Authority of Thailand B.E. 2522,
as amended)
3. Exemption from export duty, value added tax and excise tax for items imported under
Section 49, including by-products and items derived from such production (under Section
50 of Act Governing the Industrial Estate Authority of Thailand B.E. 2522, as amended.)
4. Exemption from or refund of taxes and duty for things subject to the provisions of laws to
be exempted from or refund of taxes and duty, upon exportation of items out of the
Kingdom, even though such items were not exported but were imported into the Export
Processing Zone for use under Section 48 or Section 49 (Section 52)

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Industrial Estate Authority of Thailand

618 10400
. : (66) 2253 0561 : (66) 2650 0210 Call Center (66) 2365 9699
Internet Home Page : http://www.ieat.go.th E-mail : ieat@ieat.go.th