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Next year's outlook for the industrial-estate market looks stronger thanks to rising demand in the automobile and alternative-energy industries coupled with government support for investment, the latest report from one of the largest property consultants, Colliers International, said.

The automobile and alternative-energy industries have continued expanding despite the global financial crisis, Risinee Sarikaputra, senior manager of Colliers International, said yesterday. However, she added, this report had been completed in August, well before the current political turmoil and teetering global markets had hit Thailand.

Fortunately, she said, the government had a strong enough policy to support the automobile industry, and the alternative-energy business was booming anyway thanks to the era of expensive oil. "Both industries will be key to boosting the industrial-estate market next year," she said.

By 2010, the area covered by industrial estates will have increased by at least 24,039 rai.

According to the report, next year industrial estates will be divided into five main areas - the Eastern Seaboard, the Southern Seaboard and North, Northeast and Central areas - with 14,173 rai expected to be added to the Eastern Seaboard, followed by 6,000 rai for the Southern Seaboard, and 3,336 rai for the Central area.

Amata also plans to invest Bt2 billion next year in developing 6,000 rai in Rayong and Chon Buri, while CP Land will spend Bt6.5 billion for its 3,000-rai estate in Rayong province.

The Industrial Estate Authority of Thailand next year plans to develop 500 rai for alternative-energy projects in Khon Kaen, Risinee said, adding that the 24,039 rai of additional land to be earmarked for industrial estates does not include Golden Wealth.

Golden Wealth is the industrial-estate arm of TCC Land, which has already acquired 20,000 rai in Phetchaburi.

The company, owned by billionaire Charoen Sirivadhanabhakdi, shifted its focus to the industrial-estate market in order to diversify its risks in the highly competitive residential segment.

Of its 20,000 rai in Phetchaburi, TCC Land plans to use one-half for industrial estates and the rest for residential and hospitality projects. Of the land allocated for industrial estates, it plans to develop 1,000 rai as part of its first phase next year, Risinee said.

She said the total area marked for industrial estates in the first half of this year was 104,279 rai, of which 69,635 rai was part of the Eastern Seaboard, which had been granted Board of Investment (BoI) privileges including long-term corporate tax exemption and zero import duty on raw materials.

Although the number of projects that have received investment privileges from the BoI was flat at 640, the investment value in the first half dropped by 13.4 per cent to Bt203 billion, missing the BoI's target by Bt27 billion.

Paitma Jeerapaet, managing director of Colliers International, said the government should facilitate both local and overseas investors by improving essential infrastructure such as electricity supply and railroads, as well as offering tax privileges.