WORLD TRADE
ORGANIZATIONG/SCM/101/Suppl.2
11 June 2003
(03-3034)
Committee on Subsidies
and Countervailing MeasuresOriginal:  English
EXTENSION UNDER SCM ARTICLE 27.4 OF THE TRANSITION PERIOD
UNDER ARTICLE 27.2(b) FOR THE ELIMINATION
OF EXPORT SUBSIDIES
THAILAND
Supplement
The following communication, dated 6 June 2003, has been received from the Permanent
Mission of Thailand.
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Pursuant to the commitment required by the Decision of 19 December 2002 under WTO
document no. G/SCM/101, Thailand would hereby like to submit additional translation of the  IEAT
Announcements.G/SCM/101/Suppl.2
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The Announcement of Industrial Estate Authority of Thailand (IEAT)
No. 2/2538 (1995)
Requirement on Criteria, Method and Conditions in an Application
and Approval for Operating in Industrial Estate
(3rd Amendment)
Pursuant to the Announcement of Industrial Es tate Authority of Thailand (IEAT) No. 1/2531
(1988) concerning the Requirements on Criteria, Method and Conditions in an Application and
Approval for Operating in Industrial Estate, dated 1 February B.E. 2531(1988) and furtheramendment of this Announcement.  According to  the Announcement of IEAT No. 4/2535 (1992)
concerning the Requirements on Criteria Method and Conditions in an Application and Approval for
Operating in Industrial Estate (Amendment), dated 26 August B.E. 2535 (1992) and the
Announcement of IEAT No. 6/2535 (1992) concerning the Requirements on Criteria, Method and
Conditions in an Application and Approval for Operating in Industrial Estate (2
nd Amendment), dated
18 September B.E. 2535 (1992)
In order to enhance an operation in EPZ to be in line with the changing economic and
investment situation and efficient monitoring and management, by the virtue of the provisions in
Section 41 of Industrial Estate Authority of Thailand Act B.E. 2522 (1979) and the Board’s resolutionin the meeting of 10/2538 (1995) on 11 September B.E. 2538 (1995), the Board agrees to amend the
afore-mentioned Announcements as written here under:
To abrogate the provisions in clause 10 of the Announcement of IEAT No. 1/2531 (1988)
concerning with Requirements on Criteria, Method and Conditions in an Application and Approvalfor Operating in Industrial Estate, dated 1 February B.E. 2531 (1988) amended by the Announcement
of IEAT No. 4/2535 (1992) concerning the same context and the amended Approval for Operating in
Industrial Estate dated 25 August B.E. 2535 (1992) and replaced with the following:
Clause 10:  The Land users (industrial operators) in EPZ shall produce for exporting by which
export value f.o.b. in each year not less than forty per cent of total sale.
Product selling either within EPZ or to industrial operators in other EPZs or to operators who
apply for the privileges under Article 19 Bis, Bonded Warehouse of Customs Act or operators granted
export promotion under Investment Promo tion Law is regarded as export value.
Products, by-products and other materials coming from manufacturing process in EPZ and
brought into the Kingdom for domestic selling or use will be charged for tax and duties in accordance
with its condition, price and customs tax rate on the date of sending out of EPZ as if it is imported into
the Kingdom under the provisions in Section 51 of IEAT Act B.E. 2522 (1979) amended by Section 3
of IEAT Act B.E. 2534 (1991) 2
nd Edition
10.1 Operators in the EPZ shall annually submit to IEAT a report of  industrial operation
on finance, production, marketing and employment etc. in accordance with the format set by IEAT
within 180 days from the date of ending day of accounting year.G/SCM/101/Suppl.2
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10.2  Operators in the EPZ that IEAT has been notified under investigation on customs
charge by the Customs Department, IEAT may either cancel its privilege on tax exemption or when
the case at final judgement is found guilty, IEAT may withdraw land use permit due to the
appropriateness by the approval of the Board.
Given as of 15 September B.E. 2538 (1995)
(Mr. Manus Sooksamarn)
Chairman of IEAT’s Board of DirectorsG/SCM/101/Suppl.2
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The Announcement of Industrial Estate Authority of Thailand (IEAT)
No. 1/2531 (1988)
Requirements on Criteria, Method and Conditions in an Application
and Approval for Operating in Industrial Estate
By the virtue of the provisions in Section 41, Paragraph 2 of Industrial Estate Authority of
Thailand Act B.E.2522 (1979), the Board of Directors of IEAT (the Board) has stipulated
requirements on criteria, method and condition in application and approval for operating in industrial
estate as written hereunder:
Clause 1.  This Announcement will be referred to as “the requirements on criteria, method
and condition in obtaining approval and approval for operating in industrial estate.”
Clause 2.  This Announcement will be effective as from 1 February of B.E. 2531 (1988)
onwards.
Clause 3.  To abrogate the requirements on criteria, method and condition in obtaining the
application and approval for operating in industrial estate given by the Board on 31 July B.E. 2524
(1981).
Clause 4.  In this Announcement:
“IEAT” means Industrial Estate Authority of Thailand.“Land User” means a person who has been approved in writing by IEAT to use the land for
operating in industrial estate.
“Operator” means a person who has received approval in writing by IEAT to use the land for
operating in industrial estate.
Chapter 1
Criteria and Conditions
Clause 5.  Categories of business operation in industrial estate are classified as follows:
5.1  Industrial operation.
5.2  Other businesses that are beneficial and related to business activities in an industrial
estate.
Clause 6.  Qualification of operator in industrial estate:  being either an ordinary person or
juristic person who has been approved by IEAT.
In the case of foreigner, he/she requires to buy or hire the land in industrial estate, IEAT shall
submit the matter to the Board for prior approval on Land Plot.
Clause 7.  Operation in industrial estate shall be complied with stipulated and approved
master plan by IEAT of each industrial estate.
Clause 8.  Category and size of business operation should be appropriate to each industrial
estate that IEAT has stipulated and approved.G/SCM/101/Suppl.2
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Clause 9.  Any industrial operator who intends to operate his business in accordance with the
specific category of industry as stated in the Land Use Permit issued by IEAT prior to the
announcement of the industrial policy that either prohibits to set up the plant or to enlarge the plant
will be accepted that the operator has the right to ask IEAT to provide the permit for setting up theplant, enlarging and operating it.
Clause 10.  Land users (industrial operators) in the Export Processing Zone (EPZ) shall
produce only for export by which export value (f.o.b.) in each year shall be100 percent of total sale.
In case, there is necessity and appropriateness to sell the products in local market, the matter
shall be considered by the Board in case-by-case basis.
For domestic selling, the operator will be charged for tax and duties under the law on
promotion of investment, import duty and business  tax and IEAT shall bring the provisions in
Section 51 of IEAT Act B.E. 2522 (1979) into practice.
Chapter 2
Method
Clause 11.  Operators who require to operate in industrial estate shall submit an application
for land use for operating in industrial estate in format as specified by IEAT.
Clause 12.  IEAT will consider the application and will notify the result of the consideration
within 30 days except there is a necessity to consider it with another state agency.
Land use permit will be issued on the day of contract making of land use and or the day of
making contract of hire purchase, hire etc. the land or building.
Clause 13.  In the case of an industrial estate set up and managed by IEAT, applicants of land
use shall make either a sell and purchase, hire purchase or hiring contract of which is up to the case
and a land use contract for operating in industrial estate in format specified by IEAT at the office of
IEAT or at office assigned by IEAT within 30 days from the date of approval notification in writing.
In the case of joint venture industrial estate, land use applicants shall make a contract in the
format specified by IEAT at IEAT office or any assigned office by IEAT within 30 days from the date
of approved notification in writing.
If any applicant has necessity and unable to make the contract within specified time the
applicant can submit to IEAT a letter for extension of the deadline including expression of the
reasonable necessity.
In case, the applicant fails to enter into the said contract within the prescribed time and no
period extension letter is submitted to IEAT, IEAT shall consider whether the applicant no longerwishes to use the land for business operation in industrial estate.
Clause 14.  In the case of a land use applicant has the right to occupy or other right over land
in an industrial estate which came from an auction under the court rule or an order of property
custodian in bankruptcy case or inheritance case when the person requires to use the land foroperation in the industrial estate he/she shall comply with Clause 11 and make a land use contract by
adoption of the process in Clause 13 mutatis mutandis .G/SCM/101/Suppl.2
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Clause 15.  In the case of an applicant is an ordinary person and after proceeding to be a
juristic person, when the land use applicant made an application it will be accepted that the
relationship between IEAT and the land user will be the relationship between IEAT and the juristic
person instead.  The land user in this case has to make an agreement attached to the contract of land
use.
Clause 16.  A land user shall make a contract in the specified format by IEAT such as land
use contract for industrial operation, land use contract for other useful operation or related business in
industrial estate or other conditions set up by IEAT.
Chapter 3
Annex
Clause 17.  An application for approval for operating in industrial estate that has been done
prior to the date of issuing this Announcement will be valid under this requirement.  Application for
operation permit in industrial estate that has been submitted prior to the date of issuing thisAnnouncement will be accepted that it is done under this Announcement and IEAT will further
consider it under this Announcement.
Given as of 1 February B.E. 2531 (1988)
Signature Mr. Bulrit Tantaranond
Chairman of IEAT’s Board of Directors
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