UK Investors — Setup Company in Thailand Easily

5 min readAug 8, 2022

A Joint Trade and Economic Committee between Thailand and the UK has been established to look into new possibilities for enhancing bilateral trade. The group considered joint ventures in a number of significant industries, including healthcare, financial services, and the digital economy. There are great opportunities for UK Investors, specially in the Digital Economy to setup company in Thailand.

For British companies operating in these fields, Thailand offers expanding potential. Please note that, Thailand is one of the four ASEAN nations that will have a GDP of more than US$1 trillion by 2030. Thailand and the UK are aiming to increase their bilateral commerce to $7 billion through JETCO after it fell to US$5.5 billion in 2021.

On June 21, 2022, the UK and Thailand established the first Joint Economic and Trade Committee (JETCO). Particularly, this establishment is to examine and discuss potential new avenues for bilateral trade. Additionally, it will resolve trade restrictions that have an impact on businesses.

The two nations comes together in partnerships in a number of sectors. Specifically, this includes the digital economy, agriculture, healthcare, and financial services. There is an decrease in trade between Thailand and the UK over the past five years. In figures, the fall is from $7 billion in 2017 to US$5.5 billion in 2021. The two parties want to raise this amount back to $7 billion. However, in 2021, the UK ranked as Thailand’s 22nd-largest trading partner, making up 1% of all Thai trade. Thailand, which accounted for just 0.4% of all UK commerce, was the UK’s 40th largest trading partner.

Areas of cooperation between Thailand and UK businesses

Digital Economy for UK Investors to Setup Company in Thailand

A Letter of Intent on Digital Cooperation was signed between both the nations. This agreement involves the Department for Digital, Culture, Media, and Sport in the UK and the Ministry of Digital Economy and Society of Thailand under JETCO. The letter wants to increase digital economic collaboration and foster a competitive market.

Thailand’s digital economy had a Gross Merchandise Value (GMV) of $30 billion in 2021. By 2025, the sector will reach a GMV of US$56 billion. Therefore, this will make Thailand ASEAN’s third-largest economy after Vietnam and Indonesia. Since the beginning of the epidemic, Thailand has addition of about nine million new digital customers. Specifically, this is with e-commerce serving as the primary engine for the expansion of its digital economy. Moreover, by 2025, the GMV of the e-commerce industry will reach US$35 billion.

Agriculture, Food and Beverages Trade for UK Investors to Setup Company in Thailand

Future discussions between Thailand and the UK will take place yearly to advance agricultural trade links. The promotion of policy exchange and market access will be key areas of cooperation.

Thailand’s agriculture industry contributes 8% to the GDP of the nation. Therefore, this makes it one of the most diverse and competitive in the world. It has played a significant role in the early economic growth of the nation. This industry has a solid basis due to the nation’s naturally fertile terrain and well-developed infrastructure. Additionally, this helps both smallholder farmers and large agribusiness firms to remain at the forefront of global agri-business. Thailand ranks among the top exporters of rice, rubber, seafood, and sugar in the world. It also serves as the headquarters of numerous international food manufacturing firms like Mondelez International, Coca-Cola, and Danone. Thailand’s agricultural exports reached 1.3 trillion baht (US$36.6 billion), according to the Office of Agricultural Economics in Thailand.

Thailand is willing to work with British companies to address inefficiencies in the agriculture industry. , such as a lack of current technology and expertise in modern farming methods. By intensifying these measures, the Thai government intends to raise domestic output.

Healthcare Industry for UK Investors to Setup Company in Thailand

Both nations will look into the possibility of importing medical supplies. Long term, healthcare in Thailand has the potential to be a significant economic engine. One of only a few of lower-middle-income nations to implement universal health care. However, it now covers nearly the entire population of the nation.

Thailand’s healthcare system stands 13th in the world. Note that, it surpasses Norway (15), New Zealand (16), Germany (17), Switzerland (18), and the United States (30). The UK came in at number 10.

The Thai government also seeks to promote their nation as a manufacturing and medical tourism destination. Prior to the epidemic in 2019, Thailand was top among medical tourism destinations worldwide with almost four million visitors. Thailand is a popular destination for medical tourists because of the country’s affordable yet high-quality medical care, particularly for procedures like plastic surgery, cardiac, orthopedic, infertility treatment, and eye surgery, among others.

Over US$5 billion in medical equipment exports from Thailand as in 2020, with more than the US$2.6 billion in imports. The top sub-sectors are as follows:

Cardiovascular devices;
Ophthalmic devices;
Dental devices;
Clinic diagnostic devices;
Neurological and surgical devices; and
Ultrasound and x-ray devices.

Financial Services for UK Investors to Setup Company in Thailand

The UK and Thailand’s Central Bank want to collaborate more closely on financial innovation, corporate governance, sustainable finance, and accounting standards. To boost financial services and economic development, the British government and the Bank of Thailand established a strategic collaboration in 2020.

The UK’s third-largest OECD financial services sector in 2020 contributed £164 billion (US$201 billion), or 8.6 percent, to overall economic activity. The industry in London was the biggest.

Since the 1997 Asian financial crisis, Thailand has made significant strides in expanding its financial industry, especially in raising standards and regaining the soundness of its financial system. By shutting 56 financial institutions, encouraging nationalization, and encouraging small and medium-sized banks to join with international banks, the nation overhauled its banking industry.

Therefore, UK Investors planning to setup your company in Thailand, reach out to us for complete legal support. We extend our support even after you start your business in Thailand. This is through our professional accounting and taxation services. We deal in Payroll Management as well in compliance with Thai and International Corporate Laws. Reach out to us by emailing your requirements to us.

Originally published at https://www.konradlegal.com on August 8, 2022.