WT/TPR/M/326/Add.1  
3 February 2016  
(16-0712)  Page: 1/40  
Trade Policy Review Body 
24 and 26 November 2015 Original: English/anglais/inglés  
 
  TRADE POLICY REVIEW 
THAILAND  
MINUTES OF THE MEETING 
Addendum 
Chairperson: H.E. Mr. Atanas Atanassov Paparizov (Bulgaria) 
This document contains the advance written questions and additional questions by WTO 
Members, and replies provided by Thailand.1 
 
 
Organe d'examen des politiques commerciales 
24 et 26 novembre 2015 
EXAMEN DES POLITIQUES COMMERCIALES 
THAÏLANDE  
COMPTE RENDU DE LA RÉUNION 
Addendum 
Président: S.E. M. Atanas Atanassov Paparizov (Bulgarie) 
Le présent document contient les questions écrites communiquées à l'avance par les 
Membres de l'OMC, leurs questions additionnelles, et les réponses fournies par Thaïlande.1 
 
 
Órgano de Examen de las Políticas Comerciales 
24 y 26 de noviembre de 2015 
EXAMEN DE LAS POLÍTICAS COMERCIALES 
TAILANDIA  
ACTA DE LA REUNIÓN 
Addendum 
Presidente: Excmo. Sr. Atanas Atanassov Paparizov (Bulgaria) 
En el presente documento figuran las preguntas presentadas anticipadamente por escrito y 
las preguntas adicionales de los Miembros de la OMC, así como las respuestas facilitadas por 
Tailandia.1 
                                               
1 In English only./En anglais seulement./En inglés solamente. WT/TPR/M/326/Add.1 
 
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  PART I: QUESTIONS ON THE SECRETARIAT REPORT (WT/TPR/S/326) 
SUMMARY 
Page 9 (Para 8) Question(s): As we observed that several safeguard and anti-dumping measures have been 
adopted against steel products during the review period, we would like to know how did Thai 
government ensure the procedural transparency while applied these measures? 
(Chinese Taipei) Anti-dumping and safeguard proceed ings of Thailand are set out to comply with 
all rights and obligations under the WTO Agreem ents. Both Anti-dumping and Safeguards Acts 
enable importers, exporters and other interested parties the opportunity to present their opinions 
with supporting evidence. Non-confidential version of information regarding the proceeding will be 
made available to all other interested parties with opportunity to respond to the claim. In addition, 
in accordance with the obligations under Article 16 of the Anti-dumping Agreement and Article 12 
of the Safeguards Agreement, Thailand consiste ntly and promptly submits notifications with 
regards to both measures. 
Page 10 (Para 11) 
Question(s): As we know that foreign companies who is interested in participating Thailand 
government procurement projects is obligated to register on e-GP system for the e-market and 
e-bidding methods. But the criteria for e-GP registration is relatively difficult for foreign companies 
such as having Thailand Tax number and complete company registration from Ministry of Commerce, Thailand in advance. Therefore, we would like to inquire that whether Thailand ever 
considers reducing the entry barriers for foreign companies who are interested in participating the 
e-GP system?  
(Chinese Taipei) The e-GP registration system is applied to every supplier who is interested in 
participating in the e-GP system, either Thai companies or foreign companies.  
Pages 10-11, paragraphs 15 and 16:  The Secretariat's Report notes that Thailand will pursue 
several measures to increase domestic consumption and investment, including income transfer 
programs and other fiscal stimulus. Please clarify whether Thailand has plans to implement new 
subsidies to encourage consumption or support farmers.  
(US) Thailand does not plan to implement any new subsidies. However, we have estimated that 
the drought will be more excessive in the next year since the impact of climate changed so, we 
may focus on the rural development and employment. 
1 ECONOMIC ENVIRONMENT 
1.3 Main Macroeconomic Policy Developments 1.3.1 Monetary and exchange rate policy 
Page 17, paragraph 1.8:  In addition to the recent relaxation of capital outflow controls, please 
clarify whether Thailand is considering other measures regarding capital flows. 
(US) The Bank of Thailand has recently announced relaxation plan on capital controls and is now 
under implementation period of such plan. The BO T's capital flows relaxation plan consists of 
(1) the relaxation on foreign exchange regulations to  facilitate residents' holdings of foreign assets 
as well as to increase the participation of non-banks in foreign exchange business and (2) the 
relaxation on measures to prevent Thai baht speculation in order to increase flexibility for 
non-residents in borrowing Thai baht from domestic financial institutions. For further details, 
please see https://www.bot.or.th/Thai/Pressand Speeches/Press/News2558/n2358e.pdf . WT/TPR/M/326/Add.1 
 
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  State-owned Enterprises (SOE's)2 
Referring to 1.4.3 in the Report by the secretariat, State enterprise reforms are considered vital to 
upgrading Thailand's growth potential. 
What are the plans and timeline to complete the transition from concessionary agreements to a 
licensing framework in the telecommunication sector?3  
(Norway): Telecommunications industry is in the transition period from concessionary agreements 
to a licensing framework. The National Broadcasting and Telecommunications Commission (NBTC) 
was established in 2010 as a single converged regulator for telecoms and broadcasting sectors. 
NBTC is responsible for licensing for the teleco m operators and the allocation of broadcasting 
frequencies. The last concession agreement in the telecommunications sector will expire in 2018.  
Currently, government is attempting to set up the neutral company to manage and oversee the 
telecommunication infrastructures of the country. This requires the dispute resolution of 
telecommunications infrastructure assets.  
2 TRADE AND INVESTMENT REGIME 
2.3 Trade Policy Formulation and Objectives 
Page 28, table 2.1 Thailand notes that it is seeking to develop an agricultural futures exchange. What products will be 
traded on the exchange and when is this expected to commence? 
(Australia) The Repeal Act of the Agricultural Futures Trading Act B.E. 2542, B.E. 2558 (2015) 
took effect on 6 November 2015. Pursuant to the Re peal Act, the Agricultural Futures Exchange of 
Thailand (AFET) will be merged with the Thaila nd Futures Exchange (TFEX). The merger process 
under the Repeal Act requires TFEX to launch its maiden agricultural futures trading within five 
months from 6 November 2015. Following the launch, AFET will wind down its trading and will be 
dissolved by 6 February 2017 at the latest. Na tural Rubber Ribbed Smoked Sheet No. 3 (RSS 
No. 3) will be TFEX's initial product to be traded on the exchange. For more information, please 
visit http://www.afet.or.th/ . 
Part II. Trade and Investment Regime: Trad e Agreements and Arrangements, Regional 
Trade Agreements: paragraph 2.16, page 31:  
It is noted that an RTA was signed with Chile in 2013 but had not yet been entered into force. 
Could Thailand indicate the status on the Thailand-Chile FTA, indicate when the text of the FTA will 
be released, and when the agreement is expected to enter into force? 
(Canada) Thailand-Chile FTA has entered into force on 5 November 2015. The text of the 
Agreement can be found at: http://www.dtn.go.th/files/FTA/TCFTA/TCFTA_-_Eng_-_00_00.pdf.  
Part II. Trade and Investment Regime: Trad e Agreements and Arrangements, Regional 
Trade Agreements: paragraph 2.17, page 31-32:  
It is noted that Thailand is in negotiations with India on the remaining goods tariff lines and on 
services and investment. 
What is the status of the Thailand-India negotiat ions and is there an expected timeframe for the 
conclusions of negotiations? 
                                               
2 Reference to 4.113 Thailand TPR Secretariat Report. 
3 See 2.29 in the Secretariat Report. WT/TPR/M/326/Add.1 
 
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  (Canada) The FTA between Thailand and India is a Comprehensive FTA that includes Trade in 
Goods, Trade in Services and Investment. Current ly, the FTA negotiations have been progressed 
more than 90 percent. Both countries will notify  the scope of the FTA after the negotiation has 
been concluded.  
No time-frame. 
It is noted that Thailand is undertaking an impact assessment on its possible participation in the 
TPP RTA negotiations. 
What is the status of the assessment and will a final report be made public? 
(Canada) Currently, Thailand is in the process of  conducting a comprehensive study and carefully 
assessing the impacts of joining the TPP Agreement in all aspects during the period while TPP 
member is undergoing internal procedure to ratify the Agreement. The final study report will be 
made public when it is completed in 2016. 
2. TRADE AND INVESTMENT REGIME 
(2) TRADE AGREEMENTS AND ARRANGEMENTS 
(iii) Preferential trade agreements 
Page 33 (Para 2.23) Could you elaborate the above duty-free quota-free  preference and related technical support that 
Thailand has provided to LDCs countries during th e review period, particularly for its neighboring 
countries in line with the AEC integration? 
(Chinese Taipei) In accordance with Thailand's  Duty Free Quota Free scheme, Thailand exempts 
customs duties and quota for 6,998 goods (at 8-digit HS code) from the all least developed 
countries as classified by the United Nations provided that a good is originating in the exporting 
beneficiary country, consigned directly to Thailand and has a certificate of origin. Goods will be 
considered as originating if a good is wholly obtained or produced in the exporting beneficiary 
country or it has a qualify value content of not less than 50 percent of FOB value and the final 
process of production is performed within the ex porting beneficiary country. Due to the fact that 
Duty Free Quota Free scheme Focuses only on providing market access for the least developed 
countries by eliminating customs duties and quota for their goods. 
2.5 Foreign Investment Regime 
Page 35, paragraph 2.27 
The report notes the government is considering how to amend the 1999 Foreign Business Act to 
make it more investor-friendly, promot e investment and enhance transparency.  
What steps will the government take to improve the investment environment and which sectors 
will these amendments be made to? What is the indicative timeframe for these amendments? 
(Australia) The Ministry of Commerce fully understands that foreign investors are concerned with 
the policy on the FBA amendment which may affect business operation of foreign investors. The 
Ministry of Commerce would like to assure that Thailand has clear policy to promote foreign 
investments and this law shall not be an obstacle to foreign investments. 
With the issuance of the Ministerial regulati on prescribing service business not subject to 
application for Foreign Business Permission B.E. 2556 (2013), Securities business and other 
businesses under the law on securities and securities exchange, Derivatives business under the 
law on derivatives, and Serving as a trustee under the law on trust for transactions in capital 
market are now excluded from (21) of List 3 annexed to the Foreign Business Act, 
B.E. 2542 (1999). WT/TPR/M/326/Add.1 
 
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  Does Thailand have any specific plans to review the regulatory regimes governing key sectors such 
as professional services, financial services, transport and education to promote more competition and enhance productivity and innovation? 
(Australia) Securities and Exchange Commission  of Thailand (SEC) has reviewed securities 
business licensing regime and the related qualifications & requirements in order to enhance 
flexibility and variety of business providers in Thai capital market in response to changing business 
environment and increasing competition. The revi ew is expected to finalise by next year. 
The SEC has amended the regulations to enhanc e product variety in Thai capital market; 
(1) allowing mutual fund to invest in non-investment grade/ unrated securities with no limit but 
diversification (the amended regulation for retail fund has been effective in Q2/2015) and (2) to 
allow fund for accredited (or sophisticated) investor to invest in more variety of securities 
(expected to finalise by 2016).  
In addition, the SEC has recently launched new regulation for registered equity crowdfunding 
business aiming at promote market-based financing for SMEs and start-up companies. The 
regulation has been in effect since May 2015 
Investment incentives are offered by the Board of Investment (BOI) with a new incentives scheme 
coming into effect in January 2015 (section 3.4.2.1)." 
Taking into account the information set out in paragraph 2.30, we would like to request Thailand 
to provide an update of the new program im plemented, including their characteristics, 
requirements to be met to be a beneficiary and, if possible, a reference to the benefits that have 
been achieved 
(Mexico) The BOI's new incentive scheme which has come into effect from 1 January 2015, aims 
to encounter the rapid changes of the current and future economic situations, to enhance 
Thailand's competitiveness and to achieve sustainable development. Moreover, the new scheme is 
in line with  the direction of Thailand's development under the National Economic and Social 
Development Plan.  
Investment activities stipulated by BOI, which covering all sectors, are eligible for investment 
promotion and the following incentives are granted: 
 Exemption of import duty on machinery. 
 Exemption of import duty on raw or essential materials used in manufacturing export products 
for 1 year (extendable). 
 3-8 year corporate income tax exemption. 
 Other non-tax incentives such as permission to own land, facilitation for visas and work permits 
for foreign experts. 
However, the results from the new incentive scheme is too early to evaluate, since it has recently 
come into force in January 2015. 
3 TRADE POLICIES AND PRACTICES BY MEASURE 
Para 3.2 Page 38 
Is there a foreseen date for completion of the transposition of the binding commitments to 
SA2012? 
(Mexico) Thailand has undertaken domestic transposition to HS2012 and already implemented 
HS2012 since 1 January 2012. WT/TPR/M/326/Add.1 
 
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  Para 3.3. Page 38 
Question: Are there any additional future actions that are scheduled for the operation of the AEO 
in Thailand? 
(Mexico) For AEO programme in Thailand, AEO St andard Division, Customs Standard Procedures 
and Valuation Bureau plans to review and extend the benefits as well as to enhance cooperation 
with other authorities regarding the operation on AEO programme. Moreover, it also plans to 
extend the number and categories of operators.  
With regard to Mutual Recognition Arrangement, the cooperation among ASEAN Member States; 
for example, experience exchange on AEO programme and MRA negotiation, are being carried out. 
Page 39, paragraph 3.7 
The report highlights that language used in government procurement tenders excludes foreign 
products, and there irregularities in government procurement practices persist. 
Given recent comments from senior Thai government figures on the need to stamp out corruption, 
can Thailand elaborate on the efforts of the gove rnment to prevent irregularities in this area? 
(Australia) The Regulations of the Office of th e Prime Minister on Procurement B.E. 2535 (1992) 
applies to all central government agencies. However, state -owned enterprises  and local authorities 
have their own procurement regulations. All ce ntral government agencies must abide by the 
Regulations of the Office of the Prime Minister  on Procurement B.E. 2535 (1992). The suppliers 
can file complaints with Government Procurement Committee, if they find irregularities in 
government procurement practices. Thailand is currently reforming the new Public Procurement 
Act which will apply to all central government agencies, state -owned enterprises  and local 
authorities. 
Please provide the details on any amendments  to the procurement regulations now under 
consideration by the government, including amendments which will enable foreign products and 
organisations to compete in tenders. 
(Australia) Thailand is in the process of proposing draft Public Procurement Act for the National 
Legislative Assembly's consideration and amendment. However, the new Public Procurement Act 
will increase more transparency, efficiency and widely open for competition. 
3.2 Measures Directly Affecting Imports 
3.2.1 Customs clearance 3.2.1.1 Registration and documentation 
Page 40, paragraph 3.10:  The Secretariat's Report notes that in the period under review 
Thailand is shifting from the "gold card" scheme to an authorized economic operator system. The 
process to shift beneficiaries from the "gold card" scheme started in 2013. What is the status of 
the shift? Have all companies been transferred to the AEO program? What are the differences 
between the "gold card" scheme and the AEO program? Which companies are eligible to apply to the AEO program? What are the benefits to companies under the AEO program? 
What is the status of the shift? 
(United States) As from 2013, the beneficiaries of Gold Card Scheme are being shifted to the 
Authorized Economic Operator (AEO), if the gold card importers or exporters did not apply for AEO 
program, their gold card status expired on 1 October 2013. Those who applied for AEO prior to 
1 October 2013 still have the rights under the Gold Card Scheme until the Customs Department 
approves them as AEO operators. In brief, ther e are 46 importers/exporters that are pending for 
the AEO approval. As a result, they still have the rights under Gold Card Scheme. 
Have all companies been transferred to the AEO program? WT/TPR/M/326/Add.1 
 
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  (United States) Refer to the answer No. 1, not all companies have been transferred to AEO. 
What are the differences between the "gold card" scheme and the AEO program? 
(United States) Gold Card Scheme was one of the measures to facilitate import and export 
procedures. The Customs Department would grant the gold card status for importers or exporters 
with good record and reliable background. Meanwhile, AEO program is a measure to both secure 
and facilitate global trade. The Customs Department  is aware of the global security supply chain. 
Thus, the Customs Department adopted the SAF E FoS by signing in Letter of Intent on 
May 9, 2006 to stimulate and express the intention to implement WCO SAFE FoS.  
For AEO program, its framework highlights on global trade security as well as the global trade 
facilitation. The Customs Department emphasizes on the security measure of the operators. To 
ensure that the operators are appropriate for AEO status, the operators shall provide necessary 
documents and prepare for the following process: 
 examination and verification applicants' qualification;  
 on-site validation visit. 
In this regard, the benefits of Gold Card Sc heme and AEO program are rather similar. In 
comparison, here are the benefits of Gold Card Scheme and AEO program: 
Gold Card Scheme benefits AEO program benefits 
 Importation 
Processing import proced ures via "Green Line" 
A manifest is written off after the clearance of goods 
The goods are exempted from examination unless it 
is a random examination 
 Exportation 
Processing export procedures via "Green Line" 
The goods are exempted from examination unless it 
is a random examination 
 Drawback claims as we ll as tax and duty 
compensation claims are approved at the time 
of filing. 
 Other future privileges as determined by the 
Director-General.   Exemption from physical examination except 
other procedure/related laws otherwise stated 
or having reasonable suspicious.  
 In case of physical examination needed, the 
AEO cargo will be prioritized under special track 
provided.  
 In case of any doubt or controversial during the 
course of undertaking the Customs procedure or 
clearance, the operator can have a consultation 
process with the assigned competent officer or 
the customs committee at that Customs office 
to seek a solution.  
 In case that the goods sample(s) is required for 
laboratory analysis or  assessment purposes 
before clearance of goods, the sample of AEO 
cargo will be taken and that shipment can be 
released before final de termination except other 
laws or regulations pertaining customs 
otherwise stated.  
 Importation of goods in form of bulk cargo is 
not required to deposit the security.  
 The exported goods from Thailand will be 
recognized by the foreign Customs 
administrations through the Mutual Recognition 
Arrangement (MRA), wh ich benefit to the 
clearance of goods in importing countries.  
 The privileges on re-export, transshipment, 
transit and duty drawback, duty compensation 
and duty free zone are simplified and enhanced 
as appropriate.  
 Instead of 5 normal year audit, the AEO 
Importer and exporter will be audited only for 
the last two years from the date of importation 
or exportation.  
 Customs incentives on legal proceedings will be 
simplified and enhanced as appropriate.  
 WT/TPR/M/326/Add.1 
 
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  Which companies are eligible to apply to the AEO program? 
(United States) The companies who wish to apply AEO shall prepare a complete application form 
and necessary supplement documents, the qualifications are as follows: 
Importer and Exporter Category 
 Being the juristic person registered in Thailand and having the paid-up capital not less than 
5 million baht; 
 Having a stable financial status based on the profit shown in the financial statements certified 
by auditor and submitted to the Ministry of Commerce. With that regard, the applicant's 
business must gained profit for the last two accounting years retrospectively. Additionally, the 
applicant's financial status shall be certified by either the Federation of Thai Industries or the 
Thai Chamber of Commerce or the Thai National Shippers' Council or the Thai Airfreight 
Forwarders Association or the Thai Gold Card Importer & Exporter Association; 
 Carrying on its business related to import or export not less than three years and be able to 
undertake the customs procedure by electronic means according to the criteria prescribed by 
the Customs Department (e-customs), or hire the customs broker with AEO status or used to 
hire the licensed customs broker; 
 Having no customs offence record concerning smuggling according to Section 27 of the 
Customs Act B.E. 2469 (1926), the offence concerning document forgery and usage of such 
document according to the Thai Criminal Law. Thai Customs will retrospectively check the 
customs violation records for the last three years from the date of submission the AEO 
application form; 
 Having a control plan, a management and an assessment against the risks in doing safely 
business in accordance with the Guideline for the Security Measures in Supply Chain, details as 
attached to this Customs Notification; 
 Having an appropriate workplace for business and having the headquarters being located at 
the address as registered at the Department of Business Development, Ministry of Commerce; 
 Having never been revoked from the AEO status in the past three years from the date of 
submission. 
Customs Broker Category 
 Receiving a permission from Thai Customs to be  a Customs broker or licensed Customs broker 
according to the Customs Notification No 76/2552 dated 14th October 2009;  
 Being the juristic person registered in Thailand and having the paid-up capital not less than 
1 million baht;  
 Being a member of a customs approved association and dealing with customs clearance of 
goods, not less than 3 years;  
 Having a stable financial status based on the profit shown in the financial statements certified 
by an accredited auditor and submitted to the Ministry of Commerce. With this regard, the 
applicant's business must gained profit for the last three accounting years;  
 Having no customs offence record concerning smuggling according to Section 27 of the 
Customs Act B.E. 2469 (1926), the offence concerning document forgery and usage of such 
document according to the Thai Criminal Law. Thai Customs will retrospectively check the 
customs violation records for the last three years from the date of submission the AEO 
application form;  
 WT/TPR/M/326/Add.1 
 
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   Being able to undertake the customs procedure by electronic means according to the criteria 
prescribed by Thai Customs (e-customs);  
 Having, at least, one person of full-time custom s expert, certified by Thai Customs and having 
workers or employees that are registered as operating staff for clearance of goods in the 
number proportionate to their workload;  
 Having a control plan, a management and an assessment against the risks in doing safely 
business in accordance with the Guideline for the Security Measures in Supply Chain, details as 
attached to this Customs Notification;  
 Having an appropriate workplace for customs broker business, located at the address as 
registered at the Department of Business Development, the Ministry of Commerce;  
 Having Brokers' license or the authorization under the licensed customs broker scheme and 
having never been revoked in the last th ree years from the date of submission.  
What are the benefits to companies under the AEO program? 
(United States) The benefits for AEO operators are as follows: 
 Exemption from physical examination except other procedure/related laws otherwise stated or 
having reasonable suspicious. 
 In case of physical examination needed, the AEO cargo will be prioritized under special track 
provided. 
 In case of any doubt or controversial during the course of undertaking the Customs procedure 
or clearance, the operator can have a consultation process with the assigned competent officer 
or the customs committee at that Customs office to seek a solution. 
 In case that the goods sample(s) is required for laboratory analysis or assessment purposes 
before clearance of goods, the sample of AEO cargo will be taken and that shipment can be 
released before final determination except other laws or regulations pertaining customs 
otherwise stated. 
 Importation of goods in form of bulk cargo is not required to deposit the security. 
 The exported goods from Thailand will be recognized by the foreign Customs administrations 
through the Mutual Recognition Arrangement (MRA),  which benefit to the clearance of goods in 
importing countries. 
 The privileges on re-export, transshipment, tran sit and duty drawback, duty compensation and 
duty free zone are simplified and enhanced as appropriate. 
 Instead of 5 normal year audit, the AEO Importer and exporter will be audited only for the last 
two years from the date of importation or exportation. 
 Customs incentives on legal proceedings will be simplified and enhanced as appropriate. 
Page 41, paragraph 3.17 
In the World Bank "ease of doing business" report 2016, Thailand was ranked 49th, down from 46th 
in 2015.  
We would welcome advice on progress towards simplifying taxation structures, improving customs 
procedures and trade facilitation to promote ease of doing business, as well as amendment to the 
Customs Act. WT/TPR/M/326/Add.1 
 
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  (Australia)  At present, the draft Customs Act, B.E.  …, which contains provisions on the 
above-mentioned issues, has been approved by the Cabinet. The draft is now under consideration 
of the Office of the Council of State. 
Para 3.23 
Question 1: With regard to the possibility of further unilateral cuts and simplification of the tariff 
structure, we would like to know whether progress has been made in the course of this year and if not the case, if Thailand could anticipate future developments. 
Does Thailand have any plan to improve its tariff structure in this area?  
(Mexico, Canada, Australia) The Ministry of Finance is in the period of reformation the import tariff 
structure for enhancing the ability of domestic entrepreneurs to compete and there are 2 phases. 
Phase1 is the reduction of import tariff structur e for goods/products that cannot be produced by 
domestic manufacturers, such as machinery, tools and machinery supplies and this phase has 
been operated successfully since 30 December 2014. Phase 2 is the reduction of import tariff 
structure for goods/products that are not grouped in Phase 1.  
Questions 3:  Please share the experience and introduce the problems encountered during the 
implementation of tariff reduction in the APEC List of Environmental Goods. For example, how 
many kinds of environmental goods are entitled  to tariff reduction? How are the specific 
environmental products identified  under six-digit tariff numbers? 
(China) There are 3 major problems encountered duri ng the implementation of tariff reduction in 
the APEC List of Environmental Goods. 
(1) The clarification of products. Most of the product's description is not practical for customs' 
administration 
(2) The mismatch between HS code and product's description identified in Annex C. 
(3) Not every of products under each HS code are environmental-related so it is difficult to 
convince stakeholders about reducing their tariffs. However, we will try to identify the specific 
environmental products with ex-out description under 8 digit HS code. 
Part III. Trade Policies and Practices by Meas ure: Measures Directly Affecting Imports 
Tariffs, Bound Tariffs: paragraph 3.28, page 46: 
The non-comparability of Thailand 's HS2002 and HS2012 nomenclatures is noted here with respect 
to Thailand's bound tariffs.  
Can Thailand confirm whether applied rates have been raised to the bound rate or above the 
bound rate on any tariff lines where there has been a change (i.e., transposition) from HS2002 to HS2012?  
(Canada) Transposition ta riff lines from HS2002 to HS2012 have no effects on bound rate. 
3.2.2.6 Tariff-rate quotas 
Para 3.30 Page 46 Additional information concerning the difference of criteria used for the purposes of quota 
allocation is requested, since the Secretariat's  report notes that in some cases only certain groups 
of producers have access to quotas. WT/TPR/M/326/Add.1 
 
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  (Mexico) The quota allocation is subject to the concerning committees, quota and allocations 
unused quota of TRQ products are allocated to various types of importers by different quota 
administration methods. 
3.2.2 Tariffs 
3.2.2.7 Special duties  
Paragraph 3.32, page 47 Could Thailand elaborate on the compliance of these special fees and import bans with its WTO 
commitments, particularly the GATT 1994 Articles I, II, III, VIII and XI? 
Page 47, paragraph 3.32:  The Secretariat's Report states that Thailand's Investment Promotion 
Act allows its Board of Investment (BOI) to impose special fees on imports of goods deemed 
similar to those produced by BOI-promoted domest ic commercial entities, although no recourse to 
this measure has taken place since 2004. Please explain whether Thailand intends to abolish the BOI's authority to impose such special fees on imports in the future. 
(EU, US) Although the BOI retains its authority according to the Investment Promotion Act 
Article 49-50, this measure has not been exercised since 2004. 
Table 3.2 Products subject to import licensing and prohibition, 2015 
page 48 
The table in question mentions the following rationales as a basis for tariff quotas, import 
surcharges and non-automatic licensing with respect to certain goods: "stabilize price of raw material used for animal food" and "to be consis tent with the need for production and domestic 
use". In our view, the said reasons are not completely in line with the Articles XI, XX and XXI of 
the GATT.  
Question 1: Could Thailand please provide more detailed information concerning the mentioned 
grounds? 
(Russian Federation) Import surcharge principles and non-automatic licensing comply with the 
commitment of Thailand under the WTO. 
Question 2: Please clarify what is meant by "import surcharges"? Please provide further details. 
(Russian Federation) According to the Notification  of the Ministry of Commerce on the importation 
of goods (No. 74) B.E. 2533 (1990) dated 7 March 1990, the import surcharge refers to an 
addition fee impose on import of fishmeal with protein content of more than 60%. However, since 
1 January 1998 until now, the import surcharge rate on such product is 0 baht per metric ton. 
Question 3: Concerning oil cake residues, from th e extraction of soya bean oil, could Thailand 
please clarify is there tariff quota, import surcharge for non-WTO Members only? 
(Russian Federation) Oil cake residues, from the extraction of soybean oil is a TRQ product which 
has quota volume of 230,559 tonnes, the in quota tariff is 20 percent and out quota tariff of 
133 percent. However, in the recent year, the applied rate for this product is 2 percent with 
unlimited import volume. 
Question 4:  Could Thailand please elaborate on the reasons for application of measures to fishmeal 
with protein content of less/more than 60%? 
(Russian Federation) Thailand apply some measures to these products to: (1) stabilize price of raw 
material used for the animal feed; (2) control and monitor for proper use of these products. WT/TPR/M/326/Add.1 
 
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  Paragraph 3.42, page 52 
The EU would like to know the timeline for the mandatory industry standard for new pneumatic 
tyres of rubber to come into effect. 
(EU) TISI is in the process of drafting mandatory standards for pneumatic tyres, as list below, that 
are expected to complete in 2016, and will take effect around 2018. 
(1) Pneumatic Tyre for Motor Vehicles and Their Trailers 
(2) Pneumatic Tyre for Commercial Vehicles and Their Trailers 
(3) Pneumatic Tyre for Motorcycles and Mopeds 
3.2.5.2 Safeguards 
Para 3.49 Page 53 
In connection with the "Safeguard Measures on Increased Imports Act B.E. 2550 (2007)", 
Chapter 3 (Determination of establishing protective measures and enforcement thereof), Article 26, paragraph 3, could Thailand elaborate on the kind of measures considered under the phrase "or other measures to reduce the volume imported goods"? 
(Mexico) Article 5.1 of the Agreement on Safeguards allows Members to apply "safeguard 
measures only to the extent necessary to prevent or remedy serious injury and to facilitate 
adjustment" and give an opportunity to Members to "choose measures most suitable for the 
achievement of these objectives." In Thailand's view, provided that all conditions are met, any 
measure that reduces or restricts the volume of imported products in order to allow the domestic 
industry the opportunity to implement the adju stment plans is deemed to be appropriate. 
Safeguard measures can take a variety of forms.  They may involve an increase of tariffs or 
quantitative restrictions or a combination of both in the form of tariff quotas. In practice, Thailand 
imposed only three safeguard measures, all in the form of additional duties. 
Page 54, paragraph 3.51 
Concerning sector-specific safeguards, Thailand reserves the right to take special safeguards 
(SSG) action on 55 items including milk. 
Can Thailand inform members of the instances wh en it has taken SSG action during the review 
period and the exceptional circumstances that necessitated the SSG action.  
(Australia)  GATT 1944 Article 19, the Uruguay Round Safegu ards Agreement, and in Article 5, the 
Special Safeguard Provision, on present Agriculture Agreement allow the country members to 
make temporarily action to raise their tariff with the special circumstances such as a surge in 
imports or price fall in order to restrict imports of a product with such products have to post in its 
schedules of commitments. Thailand has reserved the right to use the Special Agricultural 
Safeguard (SSG) on the listed of 52 tariff lines on the schedules of commitments on agriculture. 
However, the SSG has never been applied since then. If the SSG would applied, it is in line with 
the agreement under WTO. 
3.2.6.1 Standards and other technical requirements 
Para 3.52 Page 54 
What are the main changes and/or updates between the strategic plan (2011-2015) and the new 
plan (2016-2020)? 
(Mexico) The strategic plan (2016-2020) will focus on the TISI to elevate the standards of products 
and services (conformity assessment in line with the standards/services), to promote consumers' 
confidence and capacity building of entrepreneurs to increase competitiveness at regional and 
international levels. WT/TPR/M/326/Add.1 
 
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  Please specify the authorities (bodies) responsible for quality control and for phytosanitary 
requirements for exports and imports of agricultural  products (brief description of their functions, 
areas of competence, their higher authorities, mechanism of interagency cooperation). 
(Russian Federation) Phytosanitary requirements for imports of agricultural products is a 
responsibility of Department of Agriculture and for exports of agricultural products is a 
responsibility of National Bureau of Agri cultural Commodities and Food Standards.  
For more information, please refer to:  
https://www.ippc.int/static/media/files/repo rtingobligation/2015/04/10/1309960296_NPPO_gener
al_information_2013042321-18En.pdf .  
Page 55 (Para 3.55 ) 
Questions:  Please introduce in detail the 9 accredited environment management system 
certification bodies mentioned in the paragraph. 
(China) As of November 2015, there are 8 a ccredited environmental management system 
certification bodies. The list is available on website at 
http://www.tisi.go.th/eng/accreditation/item/76.html . 
Page 55 para 3.56 
Question: Could Thailand provide the name list  of the contracting party/body regarding the 
bilateral MRA on automotive products?  
(Chinese Taipei) Mutual Recognition Arrangemen t on Automotive Products between the Thai 
Industrial Standards Institute of the Kingdom of Th ailand and the Federal Office of Road Safety of 
Australia (See Notification G/TBT/10.7/N/22/Rev.1).  
This arrangement covers only road vehicles, equi pment and parts originating in the countries of 
the Parties to the Arrangement. The Parties will mutually accept test reports for road vehicles, 
equipment and parts issued and/or certified by ea ch Party as demonstration of compliance with 
technical regulations listed in Annex I and administered under the legislative, regulatory and 
administrative provisions listed in Annex II by the Thai Industrial Standards Institute of the 
Kingdom of Thailand and The Federal O ffice of Road Safety of Australia. 
Para 3.57 
Question 1: Regarding the technical regulation on alcoholic beverages, which is the current status 
of regulation? 
(Mexico) The Notification of Alcoholic Beverage Control Committee, regarding to Rule, Procedure 
and Condition for Labels of Alcoholic Beverage B.E. 2558(2015) became effective on 22 April 2015. 
In case of guidance document on the regulation  had been provided for the propose of expressed 
their intention to intendment of law, not any effect like a law.  
Question 2: In the framework of the WTO Committee on Technical Barriers to Trade, there are 
permanent concerns of various WTO Members on this measure, will Thailand foresee additional  
amendments to the regulations I order to address the concerns? 
(Mexico) Thailand emphasize in all concerns, We ha ve well-realised with the fulfilment of the TBT 
agreement. We are strongly believed that our polic y is not based on trade barrier intention but to 
fulfil our ultimate goal of addressing alcoho l-related problems and served the purpose of 
consumer's protection. WT/TPR/M/326/Add.1 
 
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  3.2.6.2 Sanitary and Phytosanitary measures 
Page 56, Paragraph 3.58 Question: Under the heading Sanitary and Phytosanitary measures, the report notes that 'The 
trend towards primary responsibility being given to  the private sector and more coordination by 
the Government is being continued.' 
Could Thailand please clarify this comment? Does it mean that Thailand is moving towards private 
sector responsibility for policy development of SP S measures and/or certification of SPS conditions 
through Approved Officer-type schemes? If so, what measures are in place to ensure that the 
Appropriate Level of Protection is being provided  without interference from domestic industries 
which may have an interest in SPS measures being more trade restrictive than necessary? 
(Australia) According to the Cabinet Resolution as of 11 May B.E. 2553, government agencies have 
been authorized to transfer their responsibilities of inspection and certification to the private 
sectors for the purpose of lightening the government duties as well as responding to the farmers 
and manufacturers' demands. The responsibilities transferred to private sectors are limited to 
accredited laboratories and GAP/GMP inspection and certification. However, government agencies 
still responsible for policy development of SPS measures, issuance of health certificates and 
phytosanitary certificates for export, and supervising the operation of private sectors for 
transferred responsibilities. 
Paragraph 3.63, page 57 
Question: Could Thailand provide the estimated time line for the pest risk assessment (PRA) for 
imports of prohibited articles and explain which are the criteria in use for prioritising the 
applications?  
(EU) A standard Pest Risk Assessment for the new market access request of prohibited articles 
normally take approximately 24 months. It may take more than 24 months if the information 
submitted by exporting countries is not adequate  or both sides are not agreeable on proposed 
import conditions. 
Page 58 para 3.65 
Question: While Canada recognizes the on-going efforts the Government of Thailand is making to 
actively resolve this market access issue, Canada would be grateful if Thailand could provide an 
update on when it intends to adopt the MR Ls for ractopamine as adopted by the Codex 
Alimentarius Commission. 
(Canada) Thailand has strictly controlled animal feed and human food by enforcing measures that 
are applicable, in a non-discriminatory manner, to both locally produced products and imported 
products. The Ministry of Agriculture has prohibited the use of Beta-Agonist, including 
ractopamine, in any animal feed production under Animal Feed Quality Control Act since 1982. 
Furthermore, under the Notification of the Ministry of Public Health in 2003, all food products sold 
in Thailand must not be contaminated with Be ta-Agonist. Consequently, all meat products in 
Thailand are Ractopamine free. 
The Codex Alimentarius Commission established MRLs for ractopamine in cattle and pig tissues 
in 2012. Risk analysis by Codex considers the safety of consuming in four kinds of tissue only 
while consumers in Thailand consume many internal organs. In addition, The information from 
additional risks assessment analysis of China for ractopamine in the other pig's tissues which the 
result was submitted to Joint FAO/WHO Expert Committee on Food Additives (JECFA) for 
evaluation shown that there is high level of ractopamine residues in such tissues. 
Therefore, in terms of reviewing the Thai regulati ons with regard to MRL in food products, it has 
been discussed in overall picture with the relevant  agencies, namely the Ministry of Agriculture and 
Cooperatives, Ministry of Commerce, Ministry of Pu blic Health, Ministry of Science and Technology WT/TPR/M/326/Add.1 
 
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  and Ministry of Industry which is concluded that  the measures and legislation prohibiting the use 
of beta-agonist in animal feed and the residues are still implemented. The rationale behind such 
prohibit legislation is to protect consumer's health because Thai consumers consume the other 
pig's tissues which Codex does not set MRLs value. 
Question: Could you please explain the reason fo r higher inspection fee for the imported goods 
than for domestic products?  
(Russian Federation) The fees for domestically produced meat are collected under the Animal 
Slaughter Control and Meat Sale Act B.E. 2535 (1 992). The fees cover, among others, slaughter 
fee, fee for using slaughter house, and lairage fee or  fee for using animal handling facilities before 
slaughtering. These fees are collected by the loca l administrative authority under the Ministry of 
Interior. This Act was enacted for the safety benefit for local consumption and supporting free 
trade in the country. 
While the inspection fees for imported meat are collected in order to assure safety of meat product 
when importing to Thailand. The fees cover testing animal and animal products, including 
inspection process, collecting the sample, and laboratory diagnosis. The fees are under the 
regulation under the Animal Epidemic Act. 
Therefore, these two types of fees are different in  the perspectives of intentions and purposes of 
the fees. 
In addition, the new Animal Epidemics Act is effective since 2014, however, it is awaiting for the 
implementing regulations which will result in a fi vefold increase in inspection fees, from the 
current ceiling rates of B 20/kg (US$667/MT) to B 100/kg (US$3,330/MT). 
page 59 para 3.69 
Question: With respect to the plain packaging law on tobacco products, which is the status of that 
law? Will this law be notified to the TBT Committee of the WTO? 
(Mexico) Notification of the Ministry of Public Health Re: Criteria, Procedures, Conditions for 
Displaying Statements about Dangers and Hazards of Consuming Tobacco Products on Cigarette 
Label pursuant to Tobacco Product Control Act B.E. 2535 (A.D. 1992) (No.18) B.E. 2558 
(A.D. 2015) had been notified to the TBT Committee and in force since 30 September 2015 (See 
Notification G/TBT/N/THA/468). 
Question: It might Thailand deliver more information about the current state of the law in plain 
packaging for products of snuff? 
(Honduras) The draft Tobacco Consumption Contro l Act is being considered by the Council of 
State. 
Question: The Secretariat report emphasizes the "Ministry of Health" is considering a plain 
packaging law. Could Thailand clarify whether the Ministry of Trade and the Ministry of Finance 
have any role in the decision to introduce plain packaging in Thailand? 
(Honduras) When the draft law was first submitted to the Cabinet, the Secretariat of the Cabinet 
invited comments from the relevant agencies, including the Ministry of Commerce and Ministry of 
Finance for the consideration of the Cabinet and the Council of State. 
Question: Has the Ministry of Health conducted any scientific study or independent research on the 
Thai market that concludes that prohibiting the display of product names, marks and the name of 
the manufacturer or Importer of tobacco products, would have significant impact on tobacco consumption in Thailand? WT/TPR/M/326/Add.1 
 
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  (Honduras) Scientific study or independent research on the Thai market has not been conducted. 
However, the empirical evidence based on Cigarette  consumer's buying behaviors shows that they 
do not change brands frequently and they tend to remain loyal to particular brands for extended 
periods of time. 
Question: Other measures have Thailand considered that are consistent with its WTO 
commitments, and less trade-restrictive than plain packaging for tobacco products? 
(Honduras) Thailand does not consider any additional measures. 
Question: Can Thailand explain how statement regardin g the value of intellectual property rights is 
consistent with the proposal to prohibit the display and use of trademarks in tobacco and, 
eventually, alcoholic products? 
(Honduras) The core mission of the Ministry of Public Health (MPH) is to promote public health, to 
ensure quality public health system and universal access to healthcare with participation of the 
people, communities and all sectors. The objective of the Tobacco Consumption Control Act is to  
reduce public health risks caused by tobacco consumption which is a legitimate public policy 
objective. Furthermore, there is no restriction in this Act to prevent the use of trademark. 
Question: Thailand Could Provide Further information on the decision to extend plain packaging to 
alcoholic products? When Thailand is planning to implement measure? 
(Honduras) Thailand has not implemented yet plain packaging measure to both tobacco products 
and alcoholic beverages. Moreover, Thailand does not plan to extent plain packing measure to 
alcohol product. 
Question: If, as the Secretariat report suggests is implemented plain packaging for tobacco and 
alcoholic products, what would be the impact on trademarks currently being used on these products in Thailand? 
(Honduras) The Tobacco Consumption Control Act has not yet entered into force. 
Question: Taking into account the need for industry to get acquainted with the new rules, as well as the important changes introduced by the new rules and the fact that several aspects remain unclear, the EU would like to know whether Thaila nd has considered extending the implementation 
period of the alcohol labelling regulation into a longer time frame. Furthermore, the EU is also 
wondering whether Thailand is planning to issue additional technical guidelines on the implementation of this measure, in order to further clarify implementation aspects.  
(EU) We cannot consider on extending the implementation period into a longer time frame 
anymore. Grace period that was given is a normal and reasonable time frame. However, additional 
time of 180 days is also given so that manufacturers would have enough time to comply with the 
regulation. 
Question: The EU also noted that the alcohol labelling regulation prohibits widely used terms which indicate quality, such as ''finest'' or ''premium'' on the labels. Could Thailand explain how this measure could discourage irresponsible consumption of alcohol? 
(EU) The use of word relate to quality or characte ristics of a product such as "finest", "premium", 
"original", "rare" and "limited" can mislead consumers into believing that the product is better or 
special than other brand, according to various studies conducted by various academic institutions. 
Question: Could Thailand provide an update on the current status of the proposed graphic labels 
and warning regulation on alcoholic beverages? 
(EU) At present, the considering of selection a suitable picture is ongoing. WT/TPR/M/326/Add.1 
 
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  Question a) Has the implementation period of the measure been extended (from 6 to 12 months)? 
Is Thailand considering an extension? 
(Brazil) We cannot reconsider to extend an implementation period of the measure. The 
implementation period which remarked in the notification is reasonable because if compare to the 
same characteristic of other law that related to changing label's measure issue in Thailand, for 
example food, drug or tobacco this notification can be considered as a normal implementation 
period. 
Question b) Are the criteria for the new labelling requirements for alcoholic beverage packages or 
pictorial labels/warning statements based on international norms, recommendations or standards? 
(Brazil) Base on TBT and TRIPS 
TBT: on the issue of Technical Regulations and St andards - Article 2: Preparation, Adoption and 
Application of Technical Regulations by Central Government Bodies  
With respect to their central government bodies: 
Members shall ensure that in respect of technical regulations, products imported from the territory 
of any Member shall be accorded treatment no less favourable than that accorded to like products 
of national origin and to like products originating in any other country. 
Members shall ensure that technical regulations are not prepared, adopted or applied with a view 
to or with the effect of creating unnecessary obstacles to international trade. For this purpose, 
technical regulations shall not be more trade-restrictive than necessary to fulfil a legitimate 
objective, taking account of the risks non-fulfilment would create. Such legitimate objectives are, 
inter alia:  national security requirements; the preventi on of deceptive practices; protection of 
human health or safety, animal or plant life or health, or the environment. In assessing such risks, 
relevant elements of consideration are, inter alia:  available scientific and technical information, 
related processing technology or intended end-uses of products 
TRIPS:  Part I — General Provisions and Basic Principles  Article 8 – Principles 
Members may, in formulating or amending their laws and regulations, adopt measures necessary 
to protect public health and nutrition, and to promote the public interest in sectors of vital 
importance to their socio-economic and technological development, provided that such measures 
are consistent with the provisions of this Agreement 
Question c) How does Thailand define, in scientific grounds, whether a piece of information 
provided in labels is "regarded as an unfair message to consumers or which may cause negative 
social effects" or "directly or indirectly persuades consumption or make claims on the benefit or quality of an alcoholic beverage"? 
(Brazil) Define by refer to measure presented in The Notification clearly, 
The Labels of Alcoholic Beverage shall not use any messages as follows: 
1. The message which is unfair to consumers or leads to consequentially affected to social 
although these messages may relate to sources, condition, quality or characteristics of 
products or services including delivery, procurement or application of products or services;  
The messages being regarded as unfair message to  consumers or consequentially affected to 
social are defined as follows: 
a. the message which is false or exaggerated; 
b. the message which misleads the content of pr oducts or services although these messages 
 may refer to an academic report, statistical data or unrealistic or exaggerated information; WT/TPR/M/326/Add.1 
 
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  c. the message that directly or indirectly supports an illegal or morality or leads to discredit to 
 the national culture; 
d. The message that leads to disharmony or prejudice to the social or people. 
The message which directly or indirectly persuades to consume or pretentiously exaggerates the 
benefit or quality of alcoholic beverage. 
Question d) Has Thailand published any implementation guide for the regulation? 
(Brazil) The Notification's implementation guide in Thai language was published in Office of Alcohol 
Control Committee's website since 27 September 2015. 
Question e) Can Thailand provide a version of the new regulation in English or Spanish, as 
requested before by the Brazilian Delegation in Geneva? 
(Brazil) The name of new regulation is "Notification of the Alcoholic Beverages Control Committee, 
Regarding to Rules, Procedure and Condition for Labels of Alcoholic Beverages 	B.E. 2558 (2015)" 
which the same main point as presented in Thailand's Draft Notification of Alcoholic Beverages 
Control (G/TBT/N/THA/437). For Technical guideline document had been provided for the propose 
of expressed their intention to intendment of law,  not a law, thus can be sent this document to 
your embassy for translation 
Question: The Secretariat's Report discusses a number of requirements related to alcohol labelling. 
Please explain what the alcohol label approval process is and which government authorities are 
responsible for implementing and enforcing the alco hol labelling regulations. Please also provide 
clear guidelines on prohibited texts. Finally, please explain what information would be considered 
misleading to consumers.  
(US) This Notification has not defined to subm it for verifying or any label approval process 	from 
Thai official in order to decrease procedure and difficulty to Alcoholic Beverage's manufacturers 
and importers. However, to provide facility , a manufacturers and importers 	could be consult to 
Office of Alcohol Control Committees, Department of Disease Control, Ministry of Public Health 	on 
Alcoholic Beverage's label and container issue. Office of Alcohol Control Committee not has priority 
to approve a label, the priority for issue a label ho ld by Excise Department. For prohibited texts, it 
presents clearly in the Notification as this follow: 
The messages being regarded as unfair message to  consumers or consequentially affected to 
social are defined as follows: 
a. the message which is false or exaggerated; 
b. the message which misleads the content of products or services although these messages may 
refer to an academic report, statistical data or unrealistic or exaggerated information; 
c. the message that directly or indirectly supports an illegal or morality or leads to discredit to 
the national culture; 
d. The message that leads to disharmony or prejudice to the social or people. 
3.2.7 Government procurement 
Page 60 para 3.71 
Question: When will Thailand be in a position to consider moving from observer to the Committee 
on Government Procurement to full member of the GPA? WT/TPR/M/326/Add.1 
 
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  (Canada) Thailand has to consider the conditions rules and regulations of GPA, develop Thailand 
government procurement rules and regulation to comply with GPA and enhance the understanding 
of GPA to government agencies, government entities and suppliers before applying to the GPA 
member. 
Page 60 para 3.74 
Question: We understand that, during the period of review, the Government of Thailand began 
working on a draft Procurement Law. What is the st atus of law? What are the goals and objectives 
of the Procurement Law?  
(US) The objectives of the new Public Procurement are to elevate the Regulations of the Office of 
the Prime Minister on Procurement B.B. 2535 (1992) to be Public Procurement Act, harmonized all 
procurement regulations of government agencies, local authorities, and state-owned enterprise, 
disclose public procurement information to public as much as possible in order to increase 
transparency, competition and fairness in public procurement. 
Page 61 para 3.77 
Question: The EU understands that Thailand is in an ongoing process of reforming its government 
procurement legislation to manage the risk of corruption in public procurement. Could Thailand provide more detailed information on the revision schedule? 
(EU, Canada) Thailand has expected that the new Public procurement Act will be enforced in 2016. 
Question: Does Thailand plan to eliminate the price preference against foreign suppliers in order to improve competition and technology transfer?  
(EU) Thailand is in the process of proposing draf t Public Procurement Act for National Legislative 
Assembly consideration and amendment. However,  the new Public Procurement Act will increase 
more transparency, efficiency and widely open for competition. 
Page 63 para 3.82  
Question: Will all procuring entities be covered by this new act? 
(Canada) The new Public procurement Act will co ver all government agencies, state enterprises 
and local authorities. 
Question: Will the new act treat domestic and foreign companies differently? 
(Canada, New Zealand) Thailand is in the proce ss of proposing drafted Public Procurement Act for 
parliament consideration and amendment. However, the new Public Procurement Act will increase 
more transparency, efficiency and widely open for competition. 
Page 64 para 3.86 
Question: What are the considerations of Thailand in reinstating export tax for such products as 
rice? How would Thailand address the concern over the implications of its export tax policy on 
global price?  
(Hong Kong, China) Thailand repealed the imposition of export tax on rice. Thailand's export taxes 
for wood and leather are primarily for the purpose of conserving the environment. WT/TPR/M/326/Add.1 
 
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  3.3.3 Export prohibitions, restrictions and licensing 
Table 3.4 Products subject to export licensing,  registration requirements or prohibitions, 2015  
Questions: Could Thailand clarify which are the impo rt requirements applied to exporters to the EU 
and US to become member to the food association? Could Thailand also explain what situation 
applies when exporting to countries other than the US and the EU? 
(EU) There is no mandatory import requirement applied to exporters to become a member of the 
food association for exporting crustaceans to the EU and US, however, the export requirements as 
mentioned in the Notification of the Ministry of  Commerce on the Export Regulation of (No.43) 
B.E. 2530(1987) are applied in order to control the quality standard of "frozen or chilled shrimp", 
"frozen or chilled octopus", and "food with shrimp ingredient over 10 percent by weigh"  exporting 
to the US and the EU as Thailand's major export market. 
Exporting of such products to countries other th an the US and the EU, the exporters shall not be 
required to be a member of Thai Frozen Food Association. 
Question: Could Thailand submit a detailed descrip tion of the exports procedures of canned tuna? 
In particular, could Thailand clarify how these two associations regulate the export system?  
(EU) The product subject to the Notification of th e Ministry of Commerce on the Export Regulation 
of Canned Tuna B.E. 2557 (2014) is "Canned Tuna" in various forms including whole or in pieces, 
but not minced of Tunas (of the genus Thunnus), sk ipjack (strip-bellied bonito) or bonito (Sarda 
spp.) in airtight can under the Thai Cust oms Tariff Code 1604.14.11 and 1604.14.19.  
According to the Ministry of Commerce's Notifi cation, the exporters of canned tuna to every 
country shall be a member of "Thailand Food Processors' Association" 	or  
"Thai Tuna Industry Association". However, this regulation shall not be applied to canned tuna 
carrying out or taking out with a vehicle for consumption in such vehicle, as a sample product, or 
as an example for research in the amounts as necessary. 
These two associations have authority to regulate the export system. However, each association 
can determine the criteria for applying for membership such as having the food manufacturing 
license from the Food and Drug Administration of  Thailand, having the certificate on GMP/HACCP 
as the confirmation of announced intentions to pr actice the Food Safety Policy, IUU Fishing Policy 
and sustainable policy and ethical code of conduct of the Association in order to control their 
members to conform with their conditions and restrictions. 
3.3.4.3 Industrial Estate Auth ority of Thailand free zones 
3.3.4.4 3.3.4.4 Customs free zones 
Page 68 para 3.96 Question: We would appreciate to know whether th e authority has detected investor's preferences 
for any of the types of free zones described in the re port of the Secretariat, and if that preferences 
may be associated with some kind of particular advantage. 
(Mexico) Advantages of Free Zone 
All of the advantages a Free Zone Scheme can offer manufacturers and processors located in 
Thailand are numerous. A few main benefits that account for most of the companies that use a 
Free Zone Scheme are listed below: 
1. Relief from import and internal taxes/duties: imported merchandise, removed into or 
manufactured in a Free Zone for industrial or commercial operations or any other operations 
involving economic growth and development, is not subject to import taxes and duties. This 
includes: machinery, equipment, and parts; foreign merchandise; and merchandise 
transferred from other Free Zones. In addition the imported merchandise removed into or WT/TPR/M/326/Add.1 
 
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  manufactured in a Free Zone is also not subject to Value Added Tax (VAT), excise taxes, 
alcohol tax, including tax stamp and fees under the Alcohol Act, Tobacco Act, and Playing-Card 
Act. Additionally, a "ZERO" tax rate is applied to calculate VAT for domestic merchandise 
removed into a Free Zone, provided that such  merchandise subject to export duty or 
exempted from export duty under the Customs Act. 
2. Relief from export duty on re-exports: without a Free Zone, if a manufacturer or processor 
imports a component or raw material into Thailand, it is required to pay import taxes and 
duties at the time the component or raw material enters the country. However, a Free Zone is 
considered to be outside Thailand and Thai Customs territory. Accordingly, when foreign 
merchandise is brought into a Free Zone, no taxes and duties is owed until the merchandise 
leaves the Zone and enters Thailand for consumption. Only then is the merchandise 
considered imported and the duty paid. If the imported merchandise is re-exported to other 
countries, no Customs duty is charged. 
3. Relief from standard/quality control requirements: imported merchandise or domestic raw 
materials removed into a Free Zone for manufacturing, mixing, assembling, packing, or any 
other operations is relieved from standard/quality control requirements or any other similar 
requirements; provided that such merchandise is re-exported to other countries. Duty 
Exemption on Waste, Scrap, and Yield Loss: If the processor or manufacturer is conducting its 
operations within a Free Zone environment, the merchandise is not considered imported, and 
therefore scrap, waste, or yield loss from an imported component is exempted from import 
and internal taxes and duties, if applicable. 
4. Eligible for export tax refund/exemption schemes: merchandise entitled to export tax 
refund/exemption schemes when exported is still qualified for such schemes after it is 
removed into a Free Zone. 
3.4.1.1.1 Excise tax 
Page 70, paragraph 3.104 Question: On 24 April 2013, a new excise tax struct ure for automobiles taking into account carbon 
emission was approved and expected to enter into force in 2016. 
We would appreciate advice on the effective da te of the new automotive excise tax regime.  
(Australia) The new regime is expected to enter into force on 1 January 2016. 
Para 3.106 
Question: Does the government have any further plans to reform excises so that it addresses 
concerns about the current regime potentially disadvantages imported vehicles? 
(Australia) The future reformation of excise tax law will transform tax base, by using suggested 
retail price (exclude VAT) as tax base to meet the challenges of AEC and social outcomes. This will 
create fairness as goods imported and produced domestically are subject to the same tax base and 
enhance the transparency of the tax calculation and address the problem in which the previous 
excise tax system created. 
Para 3.107 
Question: Why has the government changed the basis for excise tax computation from an 
ex-factory price, CIF price, or last wholesale pric e, to a "suggested retail price" and how will this 
impact on importers? 
(Australia) The Excise Department treats all the traders equally by applying the same tax rate to the 
same products. In detail, spirits tax burden will vary on their type and quantity not vary on the place 
of origins. Therefore, the same tax rate is applied on the same type of spirits. WT/TPR/M/326/Add.1 
 
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  Page 74, Para 3.116 
Question ： 
3.116…According to the authorities, currently there are neither incentives in place nor any plans 
for new incentives for Thai companies investing abroad. The BOI only provides consultation 
services domestically as well as training programs aimed to prepare companies in their ventures abroad. Please introduce the specific measures for the incentive plans based on regions, activities 
and performance. 
(China) Currently the BOI does not provide incentives for Thai investors investing overseas. 
Page 75 para 3.118 
Question: We would like to know more detail ab out the achievements reached by establishing 
special economic zones. 
(Mexico) Achievement reached for special economic zone (SEZ) in Thailand: 
(1) Designated 10 border SEZ areas namely: Tak SEZ, Sakaeo SEZ, Songkhla SEZ, Mukdahan 
SEZ, Trat SEZ, Nong Khai SEZ, NakhonPhanom SEZ, Chiang Rai SEZ, Kanchanaburi SEZ and 
Narathiwat SEZ. 
(2) Specified special investment privilege for border SEZ, for general activities and 13 target 
activities (Announcement of the Board of Investment No. 4/2014).  
General Activities 13 Target Activities 
1. Additional corporate income tax exemptions of 3 
years but not exceeding 8 years in total. 1. Exemption of corporate income tax for a period of 
8 years 
2. If the activities are in Group A1 or A2, which are 
entitled to 8 years corporate income tax exemption, 
then a 50 percent reduction of corporate income tax 
for next 5 years will be permitted 2. 50 percent reduction of th e normal rate of juristic 
person income tax on the net profit deriving from 
the promoted activity for next 5 years 
3. Permission to double deduct costs of 
transportation, electricity and water supply for a 
period of 10 years. ✓ 
4. Permission to  deduct 25 percent of investment 
costs on the installation or construction of facilities. ✓ 
5. Exemption of import  duty for machinery. ✓ 
6. Exemption of import duty for raw materials and 
essentials used in the production of products for 
export for  
a period of 5 years. ✓ 
7. Permission to employ foreign unskilled workers 
for promoted projects (according to conditions 
determined by the Board.) ✓ 
8. Non-tax incentives. ✓ 
From February-August 2015, the Board of Investment  approved 2 projects; total investment cost 
about 300 million baht in Tak SEZ. 
Questions: If feasible, we would like to know which elements were taken into account in defining 
that the establishment of a special economic zone would be more advantageous than the creation 
of a free zone. 
(Mexico) Why SEZ would be more advantageous than the creation of a Free zone? 
(1) For Thai Government: the objective of border SEZ in Thailand is to enhance trade and 
investment in border areas and to decentralize ec onomics activities, social activities to border 
areas. Thus, for decentralization objective, bo rder SEZ is more appropriate than a Free zone 
which emphasizes on trade and investment in enclosed area, while Thai border SEZ also WT/TPR/M/326/Add.1 
 
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  encompass surrounding communities so that not only investors but also the communities 
around the area will benefit. 
(2) For investors: special investment privilege in border SEZ is higher than in a free zone and also 
migrant labor can be legally utilized and it is not limited to export. 
Question: To which extent applicable requirements for benefiting from a special economic zone 
may differ with respect to requirements applicable in a free zone which operates in Thailand. 
(Mexico) The requirements for benefiting from loca ting in SEZs are different  from that of a free 
zone. To receive incentives from the BOI, not only must a project be located in the SEZs, but it 
also has to engage in activities eligible for investment promotion. In a contrary, in order to enjoy 
the benefit from locating in a free zone, a project is not required to engage in a specified activity. 
Page 75, paragraph 3.119 
Question: The report notes incentives to improve cooperation between the industrial and education 
sectors.  
What other efforts has the government taken to improve investment in education and promote 
trade in education services? 
(Australia) The BOI promotes investment in educational services i.e. vocational training center. 
The approved projects will be granted both tax and non-tax incentives, such as 8-year corporate 
tax exemption, import duty exemption on machinery, permission to own land for doing the 
business. 
Page 76, Para 3.122 
Question: Please introduce the criteria for recognizing ROHs and IHQs and the conditions for 
enjoying preferential policies. 
(China, Singapore) Under the new investment promotion scheme, ROHs is replaced by policies to 
promote IHQs which was defined as a company incorporated under Thai law that provides any of 
the following activities to their branches or "associated enterprises", whether located in Thailand or 
overseas. International Headquarters (IHQ) established in Thailand must conduct activities within 
the following scope: 
(1) Managerial services or technical services or 
(2) Supporting services which include:  
 General management, business planning, and business coordination 
 Procurement of raw materials and parts 
 Research and development 
 Technical support 
 Marketing and sales promotion 
 Human resource management and training 
 Financial advisory services 
 Economic and investment analysis and research 
 Credit management and control 
 Any other supporting services as stipulated by the Director-General of the Revenue 
Department 
International Headquarters (IHQ) projects applying for the BOI investment promotion will receive 
the following incentives: 
 Permission to bring in skilled personnel and ex perts into the Kingdom to work in investment 
promoted activities 
 Permission to own land WT/TPR/M/326/Add.1 
 
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   Exemption of import duty on machinery (Only machinery for R&D and training activities) 
 Exemption of import duty on raw materials and parts for export purpose 
 Conditions to apply for privileges offered by the BOI 
o Must supervise associated enterprises in foreign countries or its foreign branches in at 
least one country  
o The paid-up registered capital must not be less than THB 10 million 	
The IHQ projects can also apply for the different set of incentiv es from the Revenue Department. 
3.4.3 State involvement in production and trade 
Page 79, paragraph 3.130 Question: Since 2014, a State Enterprises Policy Committee has been tasked to spearhead reform 
policies and monitoring standards, in order to help state enterprises fulfil their missions more 
efficiently.  
We would welcome an update on SOEs reform, including a progress on the corporatisation of 
13 SOEs and the setting up of a holding company to manage the performance of these SOEs and 
shield them from direct political intervention.  
(Australia, Mexico, Canada) The main objective of  SOE reforms is to increase efficiency and 
effectiveness, enhance transparency and accountabil ity, and mitigate political abuses. One of the 
main processes is to set up the ownership structure (i.e. National holding company), which will be 
an independent supervision to manage and monitor the performance of major SOEs. This requires 
a new legislation that establishes the governance structure, outlining responsibilities of and 
relationships among the State Enterprise Policy Committee (SEPC), the State Enterprise Policy 
Office, National holding company, and SOEs. The draft Act comprises two main parts: the 
overseeing of SOEs and the esta blishment of the holding entity. 
According to the governance structure in the propos ed legislation, the SEPC will supervise 55 SOEs 
and will design policies in a macro perspective. These 55 SOEs are divided into 2 groups. On the 
one hand, National holding company will govern SOEs that are listed and limited companies (in the 
first stage of implementation). On the other hand , the State Enterprise Policy Office will command 
the rest. Currently, the Act for establishing such governance structure is now being drafted and 
supervised by the SEPC. The proposed legislat ion is expected to be under the Cabinet's 
consideration by the end of 2015. 
In addition to the above legal framework, the SEPC establishes "National Holding Company" 
Establishment Subcommittee to determine the action plan and timeframe for setting up National 
holding company, and propose the governance st ructure, budget, personnel and compensation 
scheme for National holding company. 
Page 81 para 3.133 
Question: Has the TCC issued any guidelines concerning mergers and acquisitions? How many 
mergers and acquisitions cases have been reviewed since the last trade policy review? 
(China) A guideline concerning mergers and acquisitions is currently under the consideration of the 
OTCC. 
Page 82 para 3.134 
Question: Paragraph 3.134 states that the Trade Competition Commission (TCC) and sectoral 
regulators (in the case of telecommunications the National Broadcasting and Telecommunications Commission -NBTC-) may have concurrent and overlapping powers, and it is not always clear as to which authority shall be the enforcement authority in the case of an overlap. In this regard, has 
there been any case of alleged anticompetitive practices in the telecommunications sector where 
the concurrent power generated conflicts  between authorities, NBTC and TCC? WT/TPR/M/326/Add.1 
 
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  (Mexico) No, there has not been any case wher e conflicts between the NBTC and TCC arose. 
Question: Following a possible matching or overlappi ng powers of the TCC and sectoral regulators, 
it is requested to know if there are additional  actions to be carried out on this subject. 
(Mexico) Thus far, the two authorities have been in close cooperation in order to prevent and deal 
with any possible conflicts in a timely manner.  
Question: Could Thailand provide a timeframe for th e inclusion of state own enterprises within the 
scope of its Trade Competition Act?  
(EU) Trade Competition Act (under the responsibility of Ministry of Commerce) is now being 
revised. One of the key agenda is to include state own enterprises (with an exemption for some 
public interest purposes) within the scope of Trade Competition Act. Currently, Ministry of 
Commerce is still on the process to get appr oval from National Legislative Assembly. 
We estimate the timeframe of less than two years st arting from the submission of the draft to the 
Council of State to the publication of the law in the Royal Gazette. 
Question: The Secretariat's Report notes that the only entities that are exempt from the Trade 
Competition Act "are the central, provincial or local government administrations, state-owned 
enterprises regulated under the law on budgetary procedures, [etc.]." We understand that as a 
result of this "exemption" that certain SOEs are exempt from requirements private firms have to 
meet. For instance, the Government Pharmaceutical Organization (GPO) is not subject to the 
licensing requirements on the production, sale and importation of pharmaceutical products. Does this mean that the GPO does not have to go through marketing approval for their products? What 
is the basis for not requiring the licenses for the GPO? 
(US) The Office of Trade Competition Commission does not have an authority over the licensing 
requirements referred to in the question. 
Questions: Are there any mechanisms of division of labor between the TCC and sectoral regulatory 
authorities when dealing with an antitrust case? Does a central body coordinate the TCC and 
sectoral regulatory authorities on an overlapping antitrust case?  
(Chinese Taipei) There is no formal mechanism of  division of labour and no central body to 
coordinate the work of the TCC and sectoral regu latory authorities. However, the OTCC and other 
two sectoral regulatory authorities, Office of the National Broadcasting and Telecommunication Commission and Office of the Energy Regulatory Commission, have been in close cooperation in 
dealing with any case that might overla p the authorities of the two offices. 
Question: Do the groups and businesses, which are fully or partially exempt from the application of 
the TCA, be reviewed periodically for their necessity of exempting? 
(Chinese Taipei) No. There has never been an issue of Ministerial Regulation prescribing 
businesses which can be fully or partially exempted  from the application of the law (Section 4(4) 
of the Competition Act), has never been issued  
Page 82 para 3.135 
3.135... Concerning anticompetitive mergers, no  business operators can merge if the merger 
results in a monopoly or unfair competition according to the TCC's thresholds, except where permission is obtained from the TCC. However, the thresholds prescribed by the TCC have not yet 
been issued, so the merger control provision has never become effective though still under 
consideration. WT/TPR/M/326/Add.1 
 
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  Question: As stated above, the TCC has not formulated any thresholds for reporting merger cases. 
Are there any relevant provisions in the existing laws related to mergers? If not, what are the conditions for reporting a case to the TCC?  
(China) The relevant provision on mergers and acquisition under the Competition Act 1999 is 
Section 26, prohibiting any mergers or acquisitions which may result in a monopoly or unfair 
competition as provided in the announcement published in the Royal Gazette.  
Para 3.137 
Question: Under what circumstances is "a term of imprisonment" set out in the TCA (1999) used 
as penalties? 
(China) All violations to the Competition Act are subject to imprisonment of up to three years 
and/or a fine of up to six million Baht. However, because no case has reached trial, there has been 
no precedence on the circumstances where "impriso nment" will be imposed. There is no guideline 
on this matter 
Page 83 Para 3.138 
Question: We note that since Thailand's Trade Competition Act came into force in 1999, there have 
been 95 claims made to the Trade Competition Commission (TCC) and decisions were made by the TCC in 84 of the cases (as of January 2015). We note that no case has reached trial or prosecution 
to date. Could Thailand elaborate on the considerations behind the absence of trials and 
prosecutions, as well as the outcomes, of these cases? 
(Singapore) There was one case that reached the public prosecutor but it did not continue to trial 
as the public prosecutor did not find sufficient evid ence to go to trial. Summary of decisions made 
by the TCC or the statuses of claims can be found on the website http://otcc.dit.go.th .  
Page 83 para 3.139 
Question: Authorities intend to amend the Trade Competition Act 1999 (TCA) to ensure the 
changes are enforced within the current government's tenure. 
Could Thailand provide more information on the efforts to reform the TCA? 
(Australia) Amendment of the Competition Act 1999 has been one of the major national reform 
issues under the current government since 2014. Last month, the National Reform Council 
submitted its draft amendment text to the Cabinet. The text was discussed among relevant 
government agencies. Currently, the Ministry of  Commerce by the Office of Trade Competition 
Commission (OTCC) is in the process towards submitting its own amendment text to the Cabinet. 
The proposed areas of reform in both texts include coverage of application of the law, the 
establishment of OTCC as an independent body, and adjustment of the penalties to be suitable 
with the present situation. 
Question: The Secretariat report notes that efforts were made to amend the TCA. These include 
the Office of Trade Competition Commission's (OTCC) consideratio n of alternative definitions for 
dominant players in various sectors, reducing the minimum turnover for companies to be held 
accountable, and setting differe nt market-share figures. 
Would the amendments expand the scope of the law to cover state enterprises that run businesses 
in competition with the private sector?  WT/TPR/M/326/Add.1 
 
- 27 - 
 
  (Australia) Among the proposed ch anges, the OTCC requested for the change of coverage of the 
law so that state-owned enterprises are excluded from the application of the law only for the 
operations according to the law or the public policy which are necessary for national security, 
public interests, maintenance of public benefits, or provision of public facilities. All the proposed 
changes will be subject to a parliamentary approval after consideration by the Council of State. 
Page 84, Paragraph 3.141 
Question: Thailand's Central Commission on Prices of Goods and Services (CCP) lists sugar under 
its Controlled List which is subject to price controls. 
How does the world price factor into the CCPs decisions regarding price controls for sugar? 
(Australia) There is a ceiling price for sugar sold in the domestic market, which have been fixed 
since 1984. The actual domestic market prices are determined by domestic market mechanisms, 
up to the limit of the ceiling price. Export prices  are determined by the global market mechanisms 
and global prices. As such, there is no artificial  relation between the domestic prices and export 
prices as both are determined by the respective market mechanisms. 
3.4.6. Intellectual Property Rights 
Page 88, paragraph 3.151: The Secretariat's Re port provides updates regarding Thailand's 
progress acceding to several international IP treaties governed by WIPO.  
Question: Please provide an update regarding th e status of Thailand's accession to the Hague 
Agreement Concerning the International Re gistration of Industrial Designs.  
The Secretariat's Report also notes that Thailand is currently not a contracting party to the WIPO 
Internet Treaties (WCT and WPPT), and also indicates in paragraph 3.164 that the 2015 
amendments to the Copyright Act were intended to  align the law with the obligations in these two 
treaties.  
(US) Thailand is preparing domestic procedures to access to the Hague Agreement Concerning the 
Registration of Industrial Designs. 
Question: Please provide an update as to Thaila nd's plans with respect to joining the Internet 
Treaties. In addition, please clarify Thailand's plans (and timing) toward acceding to the Marrakesh 
VIP Treaty (2013) and the Beijing Treaty on Audio-visual Works (2012). 
(US) Thailand has not yet been party of the WC T, the WPPT, the Marrakesh VIP Treaty and the 
Beijing Treaty. The Department of Intellectual Pr operty (DIP) under the Ministry of Commerce has 
however recently amended the Copyright Act B.E. 2537 by adding new provisions which are in line 
with the WIPO Internet Treaties and except ion provision for persons with disabilities. 
Question: As part of the Intellectual Property Rights Action Plan 2011-2015, ASEAN Member States 
have agreed collectively to accede to the Protocol Relating to the Madrid Agreement Concerning 
the International Registration of Marks by 2015. We should be grateful to know Thailand's latest 
progress in this regard. 
Question: It is requested to know if there is any scheduled accession to the Protocol relating to the 
Madrid Agreement Concerning the International Registration of Marks. 
(Hong Kong, China; Mexico) Thailand is amending the Trademark Act B.E.2534 (1991) to support 
future accession of Thailand to the Madrid Protocol The draft amendment is under consideration of 
the National Legislative Assembly (NLA). It is expected that Thailand will be able to accede to the 
Madrid Protocol at the beginning of 2016 WT/TPR/M/326/Add.1 
 
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  Page 88 para 3.152 
Question: As of end-June 2015 the acceptance  of the Protocol amending the WTO TRIPS 
Agreement was in the process of Parliamentary approval" Australia commends Thailand on progress towards accepting this important instrument, and encourages members yet to do so to 
take this important step. Can Thailand provide further information on the expected time frame for 
accepting the Protocol? 
(Australia) Thailand recognizes the importance of accepting the Protocol amending the TRIPS 
Agreement which is currently under consideration of the National Legislative Assembly (NLA). It is 
expected that Thailand will be in a position to accept the Protocol in the beginning of 2016. 
3.4.6.1 Legislative and in stitutional developments 
Page 89, paragraph 3.154: The Secretariat's Report states that the Department of Intellectual 
Property, through the Office of Higher Education Commission, has set "guidelines for using IP at a 
commercial level."  
Question: Please provide details on the substance of  these guidelines as well as to which entities 
they are directed (e.g., SME, independent inventors, domestic, foreign, multinationals, etc.). 
Would the government of Thailand enforce these guid elines on entities or are they more a set of 
best practices? 
(US) The Department of Intellectual Property (D IP) under the Ministry of Commerce is the key 
agency responsible for protecting intellectual prop erty rights, promoting creativity and innovation, 
and encouraging proper management of intellectual property as well as the commercial 
exploitation of IPR. Therefore, the DIP suppor ts Higher Education Commission to set up the 
Technology Licensing Office (TLO) in order to manage their intellectual property rights and 
promote transfer and commercialization of patented technologies. Operating under the concept 
"From Lab to Market", the TLOs play an important role in paving the way for economic and social 
development by helping turn scientific progress into tangible products. The Technology Licensing 
Office (TLO) does not set any guideline for using IP at a commercial level. 
3.4.6.2 Industrial property 
3.4.6.2.1 Patents 
Pages 89-90, paragraph 3.155: The Secretariat's Report indicates that amendments to the Patent 
Act are under consideration.  
Question: What is the status of the bill? What changes are being considered? 
The Secretariat's Report also states that "a product design is defined as any form or composition 
of lines or colours that gives a special appearance to a product and can serve as a pattern for an industrial or a handicraft product". 
(US) The objective of the future amendment of the Patent Act is to support accession of Thailand 
to Hague Agreement Concerning the Registration of Industrial Designs. It is still under 
consideration of the Department of Intellectual Property (DIP) under the Ministry of Commerce. 
Question: Please clarify how this definition of indu strial design eligibility covers designs embodied 
in a graphical user interface (GUI). 
(US) Under Article 3 of the Patent Act  B.E. 2522 (1979) "a product design is defined as any form 
or composition of lines or colours that gives a special appearance to a product and can serve as a 
pattern for an industrial or a handicraft product". Therefore, a graphical user interface (GUI) could 
be considered as elements of design or colors of product. WT/TPR/M/326/Add.1 
 
- 29 - 
 
  Page 90 para 3.156 
Question: Could Thailand provide statistics on its backlog in 'invention patents' for the 
period 2011-2014, outlining what actions are taken to address this problem? 
(EU, US, Japan, Chinese Taipei) The number of pa tent applications increases annually while the 
number of examiners is limited. According to statistics dated 30 September 2015, there are 
28,025 pending patent applications. Currently, the De partment of Intellectual Property (DIP) has 
24 patent examiners handling approximat ely 8,000 patent applications yearly. 
Thailand realizes that IP registration services ca n be further improved to ensure timelines and safe 
costs of doing business. In this connection, th e Department of Intellectual Property (DIP) is 
holding a dialogue with the Office of the Civil Service Commission and in the process to seek for 
the approval to increase patent examiners. 
The reduction of backlog has thus been the DIP' s priority. We plan to increase the number of 
examiners in order to resolve bottlenecks, improve IT  system to enhance IP registration efficiency, 
introduce legislative change to streamline the registration process, The DIP has maintained close 
cooperation with other IP Offices, especially the WIPO, ASEAN and Japan, to share patent 
information to facilitate the examination of the examiners. 
Question: Could Thailand explain how Thai Patent Act compensates patentee to meet the 
requirement under the Article 33 of TRIPS, if the backlog may not be rapidly reversed? 
(Japan) Section 35 of the Patent Act B.E.2522 (1979) provides that the patent will be protected for 
20 year from the date of filing of the application in the country. 
Question: Section 9(4) of Thai Patent Act provides "methods of diagnosis, treatment or cure of 
human and animal diseases" are not patentable. The Decision No. 1/2533 rejected medical use patent application despite the claim directs to medical use, not method of treatment under Section 9 (4). Could Thailand explain how this interpretation to Section 9(4) meets the 
requirement under the Article 27.1 of TRIPS? 
(Japan) According to the DIP's Manual for Examination of Applications for Patents of Inventions 
and Petty Patents of Chemical and Pharmaceutical  Products, "use" which shows the procedure and 
method leading to concrete success is considered as "process" in accordance with Article 27.1 of 
the TRIPS Agreement, provided that the claim for medical use complies with the general principles 
contained in Section 5 of the Patent Act B.E.2522 (1979) (novelty, inventive step and industrial 
applicability) and is not in conflict with Section 9 of the Patent Act B.E.2522 (1979). 
The Decision No.1/2553 was rejected by the Patent Committee because the claims were 
considered as "the method for treatment" which are prohibited by Section 9 (4). 
Question: Has Thailand considered joining the Patent Law Treaty? This would reduce formalities, 
thereby making getting patents less cumbersome. 
(EU) Thailand has no plan to join the Patent Law Treaty yet. We have nevertheless engaged in 
cooperation with WIPO and EPO to optimize workflow.  
Question: Please expand on the details of this program, especially regarding the pendency of these 
25 ASPEC routed applications. Also, please provid e an updated status regarding ASPEC use since 
July 2015. Finally, please provide further details regarding the types of applications received by 
DIP through ASPEC, include enitity nationalit y and the subject matter of the invention. WT/TPR/M/326/Add.1 
 
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  (US) The ASEAN Patent Examination Co-operation (ASPEC) is the first regional patent 
work-sharing programme among 9 participating ASEAN Member States (AMS) IP Offices of Brunei 
Darussalam, Cambodia, Indonesia, Lao PDR, Malaysia, the Philippines, Singapore, Thailand, and 
Viet Nam. The programme was launched on 15 June 2009. 
The purpose of the ASPEC is to share search and examination results between the participating 
offices to allow applicants in participating countries to obtain corresponding patents faster and 
more efficiently. The programme would reduce duplication on the search and examination work 
done, thereby saving time and effort. Additionally, search and examination work done on a 
corresponding application serves as a useful reference in producing quality reports. Recently, 
Thailand received 28 ASPEC routed applications which are from Singapore, Malaysia, and 
Indonesia. 
Page 90 para 3.157 
Question: Could Thailand clarify how, allowing generic applicants to rely on proprietary test data 
submitted to regulatory authorities during the rele vant protection period, complies with the second 
obligation under Article 39.3 of the TRIPS Agreement to protect test data against unfair 
commercial use? 
(EU) Article 39.3 of TRIPS requires Members to protect undisclosed test and data submitted to 
regulatory authorities against unfair commercial use. Thailand's Ministry of Public Health has 
observed the obligation on data protection through the issuance of the Ministry of Public Health 
Regulation on the Protection of Undisclosed Drug Registration Data B.E. 2550 (2007) which 
provides that the pharmaceutical test data subm itted for marketing approval shall be protected 
against disclosure and unfair commercial use. The use of or reference to or reliance on any 
disclosed  scientific knowledge on the safety and efficacy  of a drug in the public domain in support 
of the marketing authorization of generic produc ts by generic manufacturers is allowed and in 
compliance with the obligation under Article 39.3 of TRIPS. 
Page 90, para 3.158 
Question: While imposing tobacco control, the Thai authorities should take into full account the 
protection of intellectual property rights (especially trademarks) in tobacco products. How can 
"plain packaging" protect trademarks? 
How can the Tobacco Consumption Control Act ensure a fair competition environment for the sale 
of tobacco products? 
(China) Thailand confirms its commitments to protect trademarks in accordance with the TRIPS 
Agreement. The tobacco plain packaging ha s not been implemented yet in Thailand. 
The objective of the Tobacco Consumption Control Act is to reduce public health risks caused by 
tobacco consumption which is a legitimate public policy objective. 
Question: The Secretariat's report states that "[a]s of 2014 the Ministry was considering a plain 
packaging Law, the Tobacco Consumption Control Act, which includes language prohibiting the 
display of product names, marks, importer or manufacturer names on tobacco products, and 
similar regulation could also be extended to alcoholic products. The new regulation could require warning labels on all cigarette packages to cover 85% of a package (up from 55%), thus 
restricting the size of trademarks on tobacco pr oduct labels; the authorities indicated that the 
registered trademarks are still protected under the Trademark Act."  
Please provide an update regarding whether simi lar plain packaging regulations will indeed be 
extended to alcoholic beverages. Would such regulations be imposed on foreign entities that 
manufacture and/or sell their alcoholic beverages in Thailand?  WT/TPR/M/326/Add.1 
 
- 31 - 
 
  (US) Thailand confirms that the new regulation requires health warnings on all cigarette packages 
to cover 85% of a package (up from 55%), thus re stricting the existing size of trademarks on 
tobacco product labels; the relevant registered trademarks are still protected under the Trademark 
Act. Thailand has not implemented yet plain pa ckaging measure to both tobacco products and 
alcoholic beverages. If yes, it would apply to both domestic and foreign products on a 
non-discriminatory basis 
3.4.6.2.3 Trade Secrets 
Page 91 para 3.160 
Question: The Secretariat Report notes that "Under the Trade Secrets Act B.E. 2545 (2002), last 
amended in 2015 (section 3.4.6.1), undisclosed information remains protected only when not 
generally known or readily accessible within the business, its secrecy makes it valuable, and it is in 
the control of the information owners who have taken steps to keep it secret". Could Thailand tell us how many civil and criminal actions against willful misappropriation or disclosure of trade secrets/undisclosed information had been brought since 2002? Or, could Thailand tell us any 
statistical data about those kinds of cases? 
(Japan) According to the Central Intellectual Property and International Trade Court's official 
website, there are 41 civil cases and 28 criminal cases filed against willful misappropriation or 
disclosure of trade secrets/undisclosed information from 2002 to 2014 
3.4.6.3 Copyright and related rights 
3.4.6.3.1 Copyright 
Paragraph 3.161, page 91 
Question: Is Thailand considering joining the WIPO Copyright Treaty (WCT) and the WIPO 
Performances and Phonograms Treaty? If it is not, how does the government intend to address the fast-growing problem of online piracy in Thailand taking into account that current protection is 
widely considered to be insufficient for the effect ive prevention and countering of digital copyright 
infringement?  
(EU) Even though Thailand has not yet joined the WIPO Copyright Treaty (WCT) and the WIPO 
Performances and Phonograms Treaty (WPPT), the Department of Intellectual Property (DIP) 
under the Ministry of Commerce has recently am ended the Copyright Act B.E. 2537 by adding new 
provisions which are broadly in line with the Treaties. On February 5, 2015, the Copyright Act 
(No.2) B.E. 2558 and the Copyright Act (No.3) B.E. 2558 were published in the Government 
Gazette and came into force on August 4, 2015 and April 6, 2015 respectively. 
The Copyright Act (No.2) B.E. 2558 was designed to improve the protection fo r copyrighted works on 
the Internet as well as to solve the problem of online piracy in Thailand. The amended law covers the 
following provisions: 
 protection of technological protection measures; 
 protection of rights management information; 
 limitations on ISP's liability; 
 exhaustion of rights; 
 exception for temporary reproduction; 
 moral rights of performers; 
 punitive damages; and 
 allows the court to give an order that such things are unusable or issue an order to destroy such 
things whereas the infringer shall be liable to any cost of such. 
Page 93, paragraph 3.166: The Secretariat's Repo rt states that Thailand's recent copyright 
amendments fail to provide adequate protections "against the circumvention of technological 
protection measures" and "omit a much-needed landlord liability provision."  WT/TPR/M/326/Add.1 
 
- 32 - 
 
  Question: Please provide an update as to whether there have been any developments to 
addressing these two deficiencies noted by the Secretariat's Report. 
(US) The Department of Intellectual Property (D IP) under the Ministry of Commerce has recently 
amended the Copyright Act B.E. 2537 by adding new provisions which are in line with the Treaties. 
On February 5, 2015, the Copyright Act (No.2) B.E. 2558 and the Copyright Act (No.3) B.E. 2558 
were published in the Government Gazette and they came into force on August 4, 2015 and 
April 6, 2015 respectively. 
The Copyright Act (No.2) B.E. 2558 was designed to improve the protection fo r copyrighted works on 
the Internet as well as to solve the problem of onlin e piracy in Thailand by adding several provisions 
including the provisions on protection of technolo gical protection measures. (Section 53/4 and section 
53/5 of the Copyright Ac t B.E. 2537 as amended by the Copy right Act (No.2) B.E. 2558 and the 
Copyright Act (No.3) B.E. 2558). 
Even though there is no specific landlord liability prov ision, in any case, if there is strong evidence that 
a landlord is a principal, an instigator or a supporter in committing an infringement of intellectual 
property rights, an injured person is able to make a complaint to the competent official to carry 
out criminal proceedings against the landlord of the place where an infringer sells infringing 
products in accordance with section 83, section 84 or section 86 of the Thai Panel Code. 
3.4.6.4 Government use and compulsory licensing 
Pages 93-94, paragraph 3.170: The Secretariat's Report states that current Thai law permits any 
interested person to apply for a compulsory license to translate a work into Thai or to reproduce a 
translation published in Thai, under special circumstances. We understand that Thailand has 
deposited with WIPO a notification in which the Government avails itself of the provisions found in Article II of the Appendix to the Berne Convention.  
Question: Please identify how many of these transl ation reproduction licenses have been issued in 
recent years.  
(US) Article 54 of Copyright Act B.E. 2537 (1994) allows a Thai national, who desires to seek a 
copyright license for a work which has already been registered but has not been translated into 
the Thai language for the benefit of study, teachi ng or research without a profit-seeking purpose, 
apply for a compulsory license to translate a work into Thai or to reproduce a translation published 
in Thai, under special circumstances. Since this regulation was published, there has not been any 
application for the translation reproduction licence. 
3.4.6.7 Enforcement 
3.4.6.7.1 Features 
Pages 94-95, paragraphs 3.174-175: The Secretariat Report outlines a wide range of concerns 
related to IP enforcement, despite Thailand's efforts.  Question: Please identify what steps Thailand is taking, beyond the efforts described in the report, 
to address the deficiencies in its enforcement. 
(US) Thailand is not a major manufacturing site but the country remains market for IPR infringing 
goods. The Department of Intellectual Property of Thailand focuses its efforts more on public 
education and awareness campaigns to nurture a resp ect for IP rights. This tackles the problem at 
its roots and we believe this will be a long-term solution. 
Question: Could Thailand outline what actions it is taking to address this problem, providing 
examples of actual actions that have been carried out?  
(EU) The Thai Customs Department focuses its enforcement efforts on trademark counterfeiting 
and copyright piracy at the border. With respect to trademark protection, a rights holder can file a 
Customs trademark recordation form with Department of Intellectual Property (DIP) and the WT/TPR/M/326/Add.1 
 
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  information will be published in http://www.thaiipr.com . Customs officers can ex-officio or take 
actions based on the recordation submitted to intercept shipment containing goods suspected of 
infringing trademark. Regarding copyright, since th ere is no copyright registration, rights holder 
must make a request to Customs for suspension of  release of goods and provide guarantee or file 
a complaint with the police and notify customs officers. Most border measures are taken against 
trademark counterfeiting. Copyright owners seldom  file a request for suspension of suspected 
pirated goods. 
The Thai Customs Department has recognized that the trade in counterfeit and pirated goods is 
posing increasing risks for the country. Various actions have been initiated to assist Customs in 
combating counterfeiting and piracy. Thai Customs established a specialized unit called "IPRs 
Coordination Center" under the Investigation and Suppression Bureau to focus mainly on IPRs 
related issue e.g. advises Customs officers on IPR matters, liaises with rights holder and etc. 
Several tools have been deployed e.g. online  Customs trademark recordation database, Word 
Customs Organizations Interface Public Members (I PM) system and etc. Also, Thai Customs utilizes 
risk management indicators to locate suspicious shipments and actively monitor the postal system 
for goods suspected of infringing IPR and have noticed a large increase in this method of 
distribution, in recent years. 
The challenges that Thai Customs faces concerning trademark protection are that the rights holder 
does not file Customs trademark recordation, is not present on the scene to inspect the goods 
especially when the quantity is small or when seized at the remote border or grant power of 
attorney to the representative only for trademark registration not for trademark enforcement. 
3.4.6.7.2 Border enforcement 
Page 95, Paragraph 3.176 Question: "Upon request of the rights holders or suspicion and in collaboration with the DIP, 
customs officers are allowed to seize, at the border , trademark- or copyright- infringing goods that 
are being imported or exported." 
• Can Thailand please elaborate on the process for enforcing IPR following seizure of goods at 
 the border?  
• Can seized goods be forfeited by the importer? • Is there a time limit for the rights holder to initiate court proceedings? • Does Thailand prosecute IPR infringements wi thout the involvement of the rights holder? 
(Australia, Japan) As far as trademark inspection is concerned, the process can be initiated by 
both rights holders and customs officers. Rights holders can file a recordation or inform Customs 
of any suspicious shipments or Customs can act ex-officio. With regard to copyright, rights holder 
must make a request to Customs for suspension of release of goods. In ex-officio cases, the rights 
holder has to formally request a suspension of release of goods within 24 hours after being notified 
by Customs. When the rights holder cannot determine immediately whether the goods are pirated 
or counterfeit or not, he/she will be given another 10 days to verify. If the goods are found 
trademark or copyright infringing, the case will be transferred to the Customs Legal Bureau for 
administrative settlement or prosecution. After the case is finalized, the infringing goods will be 
destroyed at the government expense. 
Section 24 of Customs Act, B.E. 2469 (1926) provided that any article liable to forfeiture under 
this Act may be seized at any time and any place by the Customs officers, administrative or police 
officers. 
With regard to Customs offence, the Customs Department is responsible for initiating court 
proceedings within 15 years from the date the offence is committed. 
The rights holder is responsible for verification of  the authenticity of the suspected goods and will 
have to stand as a witness in court. WT/TPR/M/326/Add.1 
 
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  Question: "Between 2011 and 2014 the number of arrests for IPRs violations under the Customs 
Act increased by 38.7%" 
Does Thailand attribute this increase to a growing problem or better modes of detection and 
enforcement?  
(Australia) It is very unlikely to draw a conclusion or pattern on our seizures statistics. While the 
number of cases went up, the quantity of goods decreased by 40%. 
Question: Japan would like to know the scope of intellectual property rights subject to ex officio 
suspension at the border with respect to import shipments. In addition, Japan would like to know 
whether the scope of intellectual property rights su bject to ex officio suspension at the border with 
respect to export shipments is the same as that of import shipments. 
(Japan) The Thai Customs Department focuses its enforcement efforts on trademark counterfeiting 
and copyright piracy at the border. With respect to trademark protection, a rights holder can file a 
Customs trademark recordation form with Department of Intellectual Property (DIP) and the 
information will be published in http://www.thaiipr.com . Customs officers can ex-officio or take 
actions based on the recordation submitted to intercept shipment containing goods suspected of 
infringing trademark. Regarding copyright, since th ere is no copyright registration, rights holder 
must make a request to Customs for suspension of  release of goods and provide guarantee or file 
a complaint with the police and notify customs officers. Most border measures are taken against 
trademark counterfeiting. Copyright owners seldom  file a request for suspension of suspected 
pirated goods. 
4. TRADE POLICIES BY SECTOR  
Page 97, Paragraph 4.1 Question: Could Thailand elaborate on the "vario us short-term support measures (that) were 
taken over the period 2014/15" for rice producers? What were these support measures and what 
were the eligibility criteria to access this support? 
(Australia) The income compensation for low-income group project is granted to assist the farmers 
to earn enough income for their livelihood due to the severe drought. The compensation is 
1,000 baht per rai to the maximum of 15,000 baht per households. The target farmers are the 
ones who planted in-season rice crop in 2014/2015 and registered and certified by the Department 
of Agricultural Extension. The farmers will rece ive money transfers through accounts opened with 
the Bank for Agriculture and Agricultural Cooperatives. 
Minimization of the production cost of rice is the short-term project to help farmers to access 
cheaper inputs. The government has requested the cooperation from entrepreneurs to sell their 
inputs (such as seeds, fertilizers and pesticides) in fair price to farmers. 
4.2.3.1 Legal, institutional, and policy framework 
Page 101, Paragraph 4.14 Question: Could Thailand please elaborate on the Water Sources Development Scheme? Are the 
irrigation systems provided under this Scheme on-farm or off-farm? 
(Australia) Currently, Thailand has about 20 percent of irrigated agricultural land while suffering 
from a severe drought. Therefore, the promotion of integrated water management is needed in 
order to increase the efficiency of agricultural land for farmers in the area of irrigation water 
thoroughly and fairly by the administration of water supply and drainage. Also, the irrigated areas 
were increased by the construction of new water delivery system with the scientific principle 
selection, the supply of water in the farms and communities including the prevention and 
mitigation of floods and droughts with the construction of the flood way. The irrigation system 
provides under this scheme is mainly on farm assistance. The land development is to restore soil WT/TPR/M/326/Add.1 
 
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  in cultivated areas continuously by providing the knowledge transfer in improving soil substances 
and developing their own organic fertilizer etc. There is no incentive in money at all. The measures 
are taken to support irrigation and land development for sustainable solutions in agriculture. 
4.15 p 101 
Question:  Do these six schemes  including Farmer Market Scheme apply as well to farmers' foreign 
trade activities (for instance, do they contribute to farmers' exports)? 
(Russian Federation) The six guidelines of the MOAC roadmap 2015 are the structural and 
mechanical development and supports with covering the impact mitigation of natural disasters. 
They are also included improving the regulatory in accordance with international standard and 
commitment and area-based agricultural extension without focusing on specific products. 
4.2.3.2 Border Measures 
Page 102, Paragraph 4.19 Question:  
The report notes that imports of almost all the main agricultural commodities which Thailand 
produces are subject to the highest tariff rates. 
How is Thailand working to increase the competitiveness of these key agricultural industries given 
its various tariff reduction commitments in bilateral and multilateral preferential trade 
agreements? 
(Australia) Thailand need to concentrate on pr oduction technology, research and development, 
and processed food in value chain intensively in order to increase the value of products. 
Pages 102-103, Table 4.5 TR Q fill rates, 2011-2013 
For some agricultural products there are particular importers being eligible for import under tariff 
rate quotas (Marketing Organization for Farmers, Public Warehouse Corporation, Thai Food Processors' Association, and Thailand's Cooperative of Onion farmers).  
Question 1: Can these companies be considered as state trading enterprises? If no, please explain 
the reasons. 
(Russian Federation) Marketing Organization for Farmers (MOF) and the Public Warehouse 
Organization (PWO) are state enterprises. Thai Food Processors' Association is an importer of 
soybeans to be processed into soybean oil for domestic consumption. The Cooperative of Onion 
farmers is an importer of onion seed for domestic supply of onion.  
Question 2: Could Thailand please explain the reas ons why the lowest fill rates (zero) are showed 
by the Public Warehouse Corporation as an eligible importer for certain agricultural products?  
(Russian Federation) For some certain products, there are several sources of import other than 
from WTO member countries such as:  
(1) Garlic can be imported under ASEAN-CHINA FTA and AFTA with preferential tariff. 
(2) Maize can be imported from ASEAN neighboring countries with zero tariff rates under AFTA. 
(3) Palm oil can be imported from ASEAN neighborin g countries with zero tariff rate under AFTA. 
Hence, WTO quotas are under-utilised. 
Question 3: Could Thailand please explain the rationale for maintaining the mechanism of the 
eligible importers?  WT/TPR/M/326/Add.1 
 
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  (Russian Federation) The designated of eligible importers for some products are consider on the 
basis of the actual request, actual import, actual production capacity, and historical import data. 
These mechanisms are for making sure of actual use of the import products. 
Question 4: Could Thailand please clarify the reasons why soy beans and soy bean cake are 
subject to import by "listed domestic associations"? 
(Russian Federation) The only users of soybean cake in Thailand are those in the stock feed 
business. The quotas allocation for soybean cake is on "Licensing on Demand" basis. There is no 
selection bias. 
Page 103, paragraph 4.21 
Question: Please explain what specific action Thailand is taking to address concerns about non-transparent TRQ allocation practices for skim milk powder, potatoes, soybean meal, etc. 
(US) Thailand's TRQ allocation aims to facilitate trade-flow and reflects local demand. The 
expansion of import quotas for certain products are taken when there is an increasing in demand, 
such as: 
 Milk powder: from bounded 55,000 tonnes to 77,172 tonnes. 
 Potatoes: from 302 tonnes to 45,000 tonnes 
 Soybeans: from 10,922 tonnes to unlimited with tari ff rate of 2 % instead of 20% as bounded. 
Normally, the committee's decision of expanding the quotas and reduction of tariff for TRQ 
products with excess demand will be announced in 3-years time period in advance. This process 
will facilitate the entrepreneurs in planning thei r importing strategy. The quota allocation is based 
on "Licensing on Demand" manner. Eligible importers can submit their requests to concerned 
committee. Generally, the committee would issue license for importing these products. 
Question: The report points out that "Thailand reserves the right to use the special agricultural 
safeguard (SSG) on 55 tariff lines". 
Could Thailand please elaborate more on the 55 tariff lines subject to the SSG? 
(EU) GATT  1944Article 19, the Uruguay Round Safeguards Agreement, and in Article 5, the Special 
Safeguard Provision, on present Agriculture Agreement allow the country members to make 
temporarily action to raise their tariff with the special circumstances such as a surge in imports or 
price fall in order to restrict imports of a product with such products have to post in its schedules 
of commitments. Thailand has reserved the right to use the Special Agricultural Safeguard (SSG) 
on the listed of 52 tariff lines on the schedules of commitments on agriculture. However, the SSG 
has never been applied since then. If the SSG would applied, it is in line with the agreement under 
WTO. 
Page 105, Paragraph 4.28 
Question: Under the Paddy Pledging Scheme, large stockpiles of rice were generated (reportedly 
17 million tonnes) and stocks have recently been gradually released onto the market. Can Thailand 
elaborate on the measures it is using to dispose of the surplus and what impact this is having on 
both domestic rice prices and global rice market prices? 
(Australia) To release 17 million tonnes of rice  stockpiles in Thailand, the Government has taken 
inclusive measures for good management and gradually set up auctions for both domestic and 
export purchases. The released amount shall be carefully considered by all stakeholders and 
conducted with transparency approach in order not to affect the domestic prices and the global 
market prices. WT/TPR/M/326/Add.1 
 
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  Question: Over the period 1 October 2014 to 30 September 2015 the Government of Thailand 
provided soft loans to rice farmers. Could Thaila nd please elaborate on the nature of these loans 
and how they were used, what the concessional interest rate was compared to normal market 
rates, and what percentage of rice farmer s made use of the soft loans on offer? 
(Australia) The income compensation for low-income group project is granted to assist the farmers 
to earn enough income for their livelihood due to the severe drought. The compensation is 
1,000 baht per rai to the maximum of 15,000 baht per households. The target farmers are the 
ones who planted in-season rice crop in 2014/2015 and registered and certified by the Department 
of Agricultural Extension. The farmers will rece ive money transfers through accounts opened with 
the Bank for Agriculture and Agricultural Cooperatives. 
Minimization of the production cost of rice is the short-term project to help farmers to access 
cheaper inputs. The government has requested the cooperation from entrepreneurs to sell their 
inputs (such as seeds, fertilizers and pesticides) in fair price to farmers. 
Reduce interest rate for wet season cropping in year 2014/2015 – by 3 percent/year. The 
maximum loan amount is 50,000 baht/person (1,430 USD), and loan period does not exceed 
6 months. 
Part IV Trade Policy by Sector: Manufac turing, Policy objectives and measures: 
paragraph 4.69, page 116: 
Question: This paragraph notes the limited production capability of Thai manufacturers in 
high-technology products, and the need to transform Thailand from a low-cost exporter to creating 
and selling production of a higher value.  
Is a lowering or elimination of tariff barriers for products, including high technology products, 
which serve as inputs, an element in Thailand's strategy to becoming a producer of higher value goods?  
(Canada) Yes. 
Question: Does Thailand view rapid tariff elimination provided by trade liberalization initiatives such as the expansion of the Information Technology Agreement as a means of achieving this 
objective?  
(Canada) Yes. 
(7) SERVICES (ii) Financial services 
Page 121 (Para 4.87) Question(s): With respect to the upcoming FSMP III, would Thai Government please further 
elaborate its policy and blueprint of further libe ralizing the market access for foreign banks? In 
particular, any planned schedule for granting licenses to new foreign bank branches? 
(Chinese Taipei) Please see page 124 paragraph 4.99 for details on liberalization of market access 
for foreign banks. Further policy implications regarding foreign banks are conditional on the new 
foreign banks' performance and resulting impact on the Thai financial system, which remain to be 
evaluated as the new entrants have just recently begun their operations. FSMP III is now under 
the BOT's consideration and the information is not publicly available yet. WT/TPR/M/326/Add.1 
 
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  Banking services 
Page 124 para 4.99 
Question: How many foreign commercial bank subsidiary applications and licences have been 
received and granted since the last TPR of Thailand? Are reasons for rejection of the application 
provided at the request of the applicant? Does th e response from foreign bank branches meet any 
anticipation set before the implementation of the policy? Will the Thai government take any action to further encourage foreign commercial bank branches to apply for subsidiary licences? 
(Hong Kong, China) Since 2011, two new foreign commercial bank subsidiary licenses and one 
branch to subsidiary upgrade have been grante d. The license application process is based on 
prudential measures to ensure that only strongly committed banks of appropriate financial 
strength can become licensed. Further policy implications regarding new foreign bank licenses are 
conditional on the new subsidiaries' performance and resulting impacts on the Thai financial 
system, which remains to be evaluated as the new entrants have just recently begun their 
operations. 
The criteria for granting banking licenses are clea rly specified through the BOT Notifications. Any 
interested applicants might inquire for further details during their application processes from time 
to time. Since 2011, the banks that applied for licenses successfully met those criteria. 
Insurance services 
Page 126 para 4.110 
The consulting team hired by the Office of the Insurance Commission (OIC) proposed through their 
guideline that foreign reinsurers should be registered or authorised so that they can be regulated. 
However, this recommendation has not been adopted. 
Question: Why did the OIC decide not to adopt the recommendation from the consulting team? Is 
the Thai government considering other plans to develop reinsurance supervision? 
(Hong Kong, China) The OIC cannot adopt the recommendation because it would be a violation of 
the insurance law as stated in Sections 7 and 8 of the Life Insurance Act B.E. 2535 (1992), 
amended by the Life Insurance Act (No.2) B.E. 2551 (2008) and Sections 6 and 7 of the Non-life 
Insurance Act B.E. 2535 (1992), amended by the Non-life Insurance Act (No.2) B.E. 2551 (2008). 
The Insurance Acts prescribe the requirements in which an insurance company must comply with 
in order to obtain a license and operate in Thailand. 
The full text of the Insurance Acts can be found at: 
http://www.oic.or.th/upload/lifei nsurrance/download/883-4137.pdf ; 
http://www.oic.or.th/upload/nonlifeinsurrance/download/884-9305.pdf   
4.7.3 Telecommunications 
Page 127, paragraph 4.113 
Question: The report highlights the challenges of reforming the telecommunications sector, with 
the legacy of existing concession agreements crea ting a disadvantage to new license holders. The 
last concession agreement in the sector will expire in 2018. 
Could Thailand elaborate on efforts to reform the telecommunications sector and how will it 
manage the expiration of concession agreements? 
(Australia) The plans and timeline: According to Section 70 in the Private Investment in State 
Undertaking Act B.E. 2556 (2013), the state-owned enterprises or the host of BTO 
(Build-Transfer-Operate) project are required to set up contingency plan after the termination of 
the concession agreement. WT/TPR/M/326/Add.1 
 
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  Question: Are the existing concession operators required to comply with regulations/rules of the 
regulatory body? If not, how could the Thai government ensure fair competition among the existing operators and new licence holders? Given the last concession agreement will expire in 
2018, is there any plan to align the regulatory re quirements for both existing operators and new 
licence holders? 
(Hong Kong, China) Yes, all operators are equally treated on the same regulations by law. 
Page 128 para 4.120 
Question: Could Thailand ensure investors that frequencies allocated free-of-charge on public 
grounds to e.g. SOEs will not be used to compete in the market place with private mobile operators who have purchase bandwidth through auctions? 
(EU) Thailand can ensure the investors that frequencies allocated free-of-charge on public grounds 
will not be used to compete in the market place. Frequency bands allocated free-of-charge on 
public grounds are used with unlicensed conditio ns, or provided to the public based on public 
welfare and not through the market place. Accordin g to the Act on Organization to Assign Radio 
Frequency and to Regulate the Broadcasting and Telecommunications Services B.E. 2553 (2010), 
all frequency bands allocated for telecommunication business must have gone through auction 
processes and NBTC will insist this principle to future amendments made to the Act. 
Question: With regard to Cyber Security Bill, co uld Thailand confirm that the currently licensed 
private and public International Gateway (IG) operators will be permitted to provide consumers access to global Internet services also in the future  instead of being forced to direct their services 
through a Single Gateway managed by a SOE (not ably Communication Authority of Thailand)?  
(EU) There is no reference to public Internat ional Gateway (IG) in the Cyber security Bill. 
Paragraph 4.122, page 129 
Other actions NBTC has taken to implement the Master Plan have included: (a) efforts to ensure 
that FDI thresholds are not being circumvented. A relevant footnote refers to NBTC Notification on 
the prescription of prohibited acts which are deemed as foreign dominance.  
Question: Could Thailand confirm that the Telecommunications Business Act limits only the 
amount of equity ownership a foreigner can hold in a Thai company, not the voting shares or 
foreigners' ability to control the company through preferential shares similarly to the Foreign Business Act?  
(EU) In accordance to Section 8 (1) of Teleco mmunication Business Act B.E. 2544 prescribed the 
Commission may prescribe the prohibition that the applicant for certain nature or categories of 
telecommunications business who is a juristic person, shall not commit any other act which has 
the nature of business takeover by a person who is not of Thai nationality. 
Question: Could Thailand ensure that this Notification on Foreign Dominance does not incorporate 
any new limitations to national treatment elements, which have not been introduced into its Specific Schedule of Commitment? 
(EU) The Notification is based on the authority given by the Telecommunications Business Act 
B.E. 2544 (2001)  amended by (No. 2) B.E. 2549 (2006). The Notification regulates only Thai 
companies not foreign companies. Therefore, the Notification does not incorporate any new 
limitations to national treatment elements. 
Question(s): It is stated that there have been no changes on FDI caps since 2012. According to 
Telecommunications Business Act, it is stated that in case of juristic person, the shareholding proportion of Thai national shall not be less than seventy-five percent of its total capital, and not WT/TPR/M/326/Add.1 
 
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  less than three fourth of the total amount of the di rector as well as its authorized person shall be 
of Thai nationality. We'd like to clarify whether the FDI cap still remains at 25%. 
(Chinese Taipei) At the present, The Telecommunications Business Act B.E. 2544 amended by 
(No. 2) B.E. 2549 (2006) in regards of the applic ant for a Type Two and Type Three licenses shall 
not be a foreigner under the law on foreign business. In pursuant to the Foreign Business Act 
B.E. 2542 (1999), the foreign shareholding shall not exceed 49% not 25%, respectively. 
Page 130-131 (Paragraph 4.131)  
Question: We note that the Thailand Board of Investment offers incentives for maritime 
transportation services, including corporate income  tax exemptions of eight years. Could Thailand 
provide us with more information regarding the conditions and eligibility requirements for the 
corporate tax exemptions? 
(Singapore) To be eligible for investment promotion for maritime transportation services, an 
investment project must comply with the criteria  of the Marine Department. There is no foreign 
equity restriction for this activity. 
Air transport services 
Page 133 para 4.140  
It is noted that foreign companies wanting to provide ground-handling services need to meet the 
additional legal requirements specified in the Foreign Business Act B.E. 2542 and the Private 
Investment in State Undertakings Act B.E. 2566 (2013). 
Question: At present, how many foreign companies can provide ground-handling services in 
Thailand? What are the additional legal requirements specified in Foreign Business Act B.E. 2542 
and the Private Investment in State Undertak ings Act B.E. 2566 (2013)? Are there similar 
requirements in other services sectors? Does the Thai government have any plans to remove these additional requirements for foreign companie s so as to encourage foreign investment? 
(Hong Kong, China) At present, there is no provider owned by foreigners. 
Tourism services 
Page 136 para 4.155 
The Board of Investment (BOI) offered some incentives for various tourism promotion services 
under certain conditions as well as various activities to support tourism. These incentives included corporate income tax and customs duty exemptions. 
Question: We are interested to know more about the details of these incentives. What are the 
conditions of application? Are foreign companies eligible for these incentives? If so, will they receive the same treatment as local companies? 
(Hong Kong, China) Tourism promotion services and activities to support tourism which are listed 
on the BOI list of eligible activities are eligible for tax and non-tax incentives from the BOI. 
Conditions for eligibility vary from activity to activity. Foreign investors receive equal treatment to 
local investors. 
__________