Currently, Thailand’s strengths are based on robust agricultural activities, rich natural resources, and diversity of biological resources and physical geography. Thailand has implemented the BCG Economy model (Bio-Circular-Green), focuses on four industries – Agriculture and Food; Medical and Wellness; Bioenergy, Biomaterial and Biochemical; and Tourism and Creative Economy. Thailand has employed Science, technology and innovation to enhance the capacity and competitiveness of players and stakeholders in the value chain, both upstream and downstream.
Digital technology is already the driving forces behind Thai economic growth and an integral part of people’s lives. Thailand’s digital-market landscape is fully geared to the fast adoption of new technologies, and places Thailand well along the road to become successful digital economy. By 2025, Thailand aims to be the digital hub of Southeast Asia, and also the first to offer 5G commercially in Southeast Asia.
Thailand has established Digital & Tech Startup Ecosystem to accelerate the creation of new entrepreneurs using scientific knowledge, systematic technology and innovation which increase competitiveness of new economic creation.
Thailand has invested in infrastructure to play a role in the post-COVID recovery – Eastern Economic Corridor : EEC; South Economic Corridor : SEC; Connectivity of urban and inter-city, including connecting to CLMV.
Thailand's World Ranking
According to the latest World Bank ratings (2019), Thailand is ranked 21st out of 190 economies in terms of Ease of Doing Business (EODB). Thailand rose from its previous 27th place to the current position.
Thailand also has been ranked in other areas;
* Thailand’s 7thplace worldwide in the 2021 ‘Best Countries Heritage’ listing, moving up two spots from 2020’s position and being the only Southeast Asian country, and one of only 3 Asian countries to feature in the top 10 (India at the 6th, and Japan at 10th rank) The Heritage list is based on five attributes of a country – culturally accessible, a rich history, great food, many cultural attractions, and many geographical attractions.
* The best in the world of Thailand’s health care system among 89 countries including ASEAN, followed by Singapore (24th), Malaysia (34th), the Philippines (38th), Indonesia (52nd), and Vietnam (66th). The indices are Infrastructure (98.7), Cost (94.99), Medicine Availability (98.74), Government Readiness (96.1). While Thailand ranked the overall health care Index in 13th place, according to CEO WORLD magazine’s Health Care Index. The Health Care Index, a statistical analysis of the overall quality of the world health care system, includes health care infrastructure; health care professionals (doctors, nursing staff, and other health workers) competencies; cost (USD p.a. per capita); quality medicine availability, and government readiness.
Thailand's Economic Overview
The Thai central bank now expects the Thailand’s economy expects to grow 4.5% in 2022 as the Thai central bank forecasts. The economic growth in Thailand contracted by 6.1% in 2020 due to COVID-19 caused a decline in external demand affecting trade and tourism, supply chain disruptions, and weakening domestic consumption. The COVID-19 pandemic struck Thailand and the economic impact has been severe, leading to widespread job losses with unemployment rate at 1.5%, while Inflation rate expects at -0.27%.
Thailand locates in the central mainland of Southeast Asia, connected to CLMV; Myanmar on the west, Cambodia, Lao PDR and Vietnam on the east, Malaysia, Brunei, Indonesia, and Singapore in the south. Thailand is considered as the strategic location of investors’ gateway to Asia. Thailand is at the crossroads of ASEAN and other dynamic markets in Asia such as China and India. CLMVT markets depicts of 242 million consumers. allows Thailand access to a burgeoning consumer population overseas aside from its equally huge population of 66.41 million people.
Thailand offers investors a world-class infrastructure. Trade and business transactions are made easier through Thailand’s extensive highway system, modern city-wide mass transit, international airports, deep seaports, and international river ports. As the hub of ASEAN, Thailand advocates for free and fair trade. It is instrumental in the formulation of the ASEAN Free Trade Area and a signatory to a number of other free trade agreements.
Business opportunities in Thailand are abundant across several industries which include Automotive, Automation and Robotics, Aerospace, Machinery, Medical, Health & Wellness Hub, Alternative Energy, food, Bio-economy, Bio-plastic, Digital Economy & Software, Electrical & Electronics, Printing, Smart Electronics, Textile, and Rubber Industries, etc.
3 Focused Strategic Sectors in the era of Industrial 4.0
Business opportunities in Thailand are abundant across several industries with 3 focused strategic sectors in the era of industrial 4.0 including automotive, automation and robotics, aerospace, machinery, medical, alternative energy, food, bio-economy, bio-plastic, digital economy & software, electrical & electronics, printing, smart electronics, textile, and rubber industries, etc.
It categorizes to Physical, Digital and Biological sectors. Physical sector includes Automotive, Automation and Robotics, Aerospace, Machinery; Self-driving Vehicles, Electric Vehicles, Advanced Robotics, Smart Sensor, Smart Devices, Wearable internet, AR/VR, new material, 3D printing
Digital sector comprises of IoT (Internet of Things), High Speed Internet (5G), AI (Artificial Intelligence), Digital Platform / E-commerce, Big Data, Cloud Computing, Fintech, E-banking, E-payment, Search Engine, Social Media, Digital Economy & Software.
Biological sector are Genetic Engineering, Bioinformatic for Synthetic Biology, Personalized Medicine, Regenerative Medicine and Tissue Engineering, Neuro Technology, Alternative Energy, Food; Future Food, Plant-based Food, Bio-plastic, Bio-economy.
13 Milestones of Thailand's Changes with 4 Dimensions of Development
Thailand’s strategy targets the Progressive Society : Sustainable Value-Creation Economy with the BCG model (Bio – Circular – Green Model). The BCG Model capitalizes the country’s strengths in biological diversity and cultural richness and employs technology and innovation to transform Thailand to a value-based and innovation-driven economy. The model also conforms with the UN Sustainable Development Goals (SDGs) and is also intended to align with the Sufficiency Economy Philosophy (SEP) which is also the key principle of Thailand’s social and economic development. Sufficiency Economy Philosophy (SEP) initiated by H.M. King Bhumibol Adulyadej, the Great. The development approach is based on Buddhism creating sustainable development through the integration of the physical, social and spiritual dimension.
Based on Thailand’s strengths in robust agricultural activities, rich natural resources, and diversity in terms of both biological resources and physical geography, BCG model focuses on promoting four industries – namely Agriculture and Food; Medical and Wellness; Bioenergy, Biomaterial and Biochemical; and Tourism and Creative Economy.
The 4 Dimensions of Development consists of 13 Milestones
1. Target Production & Services Sectors
- ASEAN Digital Hub with Tech Synergy
- Gateway of Trade, Investment and Logistics
- Global Medical & Wellness Hub
- World Recognition Hub of EV and Auto Parts Production
- Sustainable Tourism
- Agricultural and High Value Agro-Processing
2. Opportunities & Equality of Social and Economics
- High Competent SME with Competitive Abilities
- Smart Cities, Smart Districts
- Intergenerational Poverty and Social Protections
3. Sustainability of Natural Resources Environment
- Bio-Tech and Circular Economy (Low Carbon Society)
- Reduce Risks of Natural Disasters and Climate Change
4. Driving Factors for Changes
- High Competent Manpower
- Modern, High Efficient Government Administration for People