New law for businesses in industrial estates

The IEAT, a government juristic entity, is responsible for the develop¬ment and establishment of industri¬al estates - land allocated for indus¬trial factories. There are 38 industri¬al estates operating in Thailand.

Certain service providers are now allowed to operate and own land inside the general industrial zone and receive privileges from the IEAT. The type of service businesses that would qualify is left to the IEAT's discretion. Under the regulation, written approval from the IEAT is required for any mortgage, sale with redemp¬tion right, lease, hirepurchase or cre¬ation of any encumbrance on the business operator's factory, building, machinery, equipment or other assets constructed, installed or attached to the land that will affect the land util¬isation or which may result in a change of control of the business operator. If the land utilisation will not be affected, the business opera¬tor only needs to notify the IEAT in writing not later than 15 days before the transaction.