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INVESTMENT IN CAMBODIA. Arranged by Mrs. Tui Pakarat -Rutten Managing Director of Intra Group of Company and the President of TBCC H/P: +66 81 839 2452 E-mail: manager@intra-mekong.com. ความร่วมมือในภูมิภาค ภายใต้ความตกลงระหว่างประเทศ. การพัฒนาโครงข่ายเชื่อมโยงในภูมิภาค.
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INVESTMENT IN CAMBODIA Arranged by Mrs. Tui Pakarat-Rutten Managing Director of Intra Group of Company and the President of TBCC H/P: +66 81 839 2452 E-mail: manager@intra-mekong.com
ความร่วมมือในภูมิภาคภายใต้ความตกลงระหว่างประเทศความร่วมมือในภูมิภาคภายใต้ความตกลงระหว่างประเทศ การพัฒนาโครงข่ายเชื่อมโยงในภูมิภาค Regional Cooperation: ACMECS GMS BIMSTEC IMT-GT/JDS Korea Kunming China India Afghanistan Japan (JTEPA) China เชียงราย Pakistan Myanmar Lao PDR Haiphong India Bangladesh GMS มุกดาหาร-สุวรรณเขต แม่สอด-เมียววดี Myanmar Danang Yangon Laos BIMSTEC Thailand Vietbam Vietnam Philippines Bangkok Cambodia Cambodia Andaman Sea ACMECS Sri Lanka Ho Chi Minh ตราด– เกาะกง Malaysia IMT-GT/JDS Brunei Gulf of Thailand Singapore Indonesia Malaysia Source: ดร.จุฬา สุขมานพ
The Greater Mekong Sub Region (GMS) People’s Republic of China Land area: 633 thou sq km Population: 93.8 M GDP per capita: US$1,032 (figures for Yunnan and Guangxi only) Myanmar Land area: 677 thou sq km Population: 54.8 M GDP per capita: US$255 Viet Nam Land area: 332 thou sq km Population: 83.1 M GDP per capita: US$622 Thailand Land area: 513 thou sq km Population: 65.3 M GDP per capita: US$2,727 Lao PDR Land area: 237 thou sq km Population: 5.6 M GDP per capita: US$491 The GMS in 2005 Land area: 2.6 M sq km Population: 316 M GDP per capita: US$1,102 Cambodia Land area: 181 thou sq km Population: 13.8 M GDP per capita: US$393
Cambodia has embraced the globalization process as part of its outward looking economic development strategy…. ACCESS TO THE EUROPEAN MARKET ACCESS TO THE U.S. MARKET 1996 1996 JOINING ASEAN 2004 1999 JOINING WTO
CAMBODIA PROFILE • Land area : 181,035 sq.km. • Population: 14.720 Million • Labor force (young) : 7,053,398 (Female: 3,608,345) • Population growth rate : 1.54% • GDP (2011) : 6% • GDP per capita in 2011 : $812 • Inflation (2011) : 5.5% • Exchange rate: USD 1= 4053 Riels
Economic Performance Average growth for last 5 years is 10.3% Source: SNEC & MEF
Cambodia Population Pyramid for 2010 Predicted age and sex distribution for the year 2010
Population Unit : million Minimum wage in Cambodia $45.62 – $50.69 / month Source : Cambodia Outlook 2010
Reasons to invest in Cambodia • Close to Thailand similar language and culture • Open economy • Competitive Investment Incentives • One Stop Service – Fast-Track Investment Approval Process (28 days) • Low Labor Cost • Strategic Location • Preferential Trading Status: MSN & GSP ( Most Favors Nation Treatment MSN; Generalized System Preferences) • Access to ASEAN and World Markets
Hat Lek, Thailand/Koh Kong, Cambodia:(Cham Yeam Checkpoint) (Most direct access to Sihanoukville) • Chong Jom, Thailand/O'Smach, Oddar Meanchey, Cambodia • Chong Sa Ngam, Thailand/Anlong Veng, Oddar Meanchey • Ban Pakard, Chantaburi, Thailand/Phsar Prom Pailin, Cambodia (Prom Checkpoint) • Ban Laem, Chantaburi, Thailand/Daung Lem, Battambang, Cambodia (Daung Checkpoint)
Southern Line Phnom Penh-Sihanoukville Port 264km Southern Line Phnom Penh-Sihanoukville Port 264km
AH Routes in Thailand • AH1: Aranyaprathet-Hin Kong-Bang pa –in (-Bangkok)-Mae Sot: 701 Km • AH2: Sa Dao-Hat Yai-Bangkok-Chiang Rai- Tachilek: 1,913 Km • AH3: Chiang Kong -Chaing Rai: 117 Km • AH12:Nong Lhai-Udon Thani-Nakhon Ratchasima-Hin Kong: 511 Km • AH13: Nakhon Sawan-Phitsanulok-Huai Kon : 557 Km • AH15: Nakho Phanom-Udon Thani : 243 Km • AH16: Tak- Khon Kaen-Mukhdahan: 689 Km • AH18: Hat Yai-Sungai Kolok: 268 Km • AH19: Bangkok-Laem Chabang-Kabin Buri – Nakhon Ratchasima: 458 Km • AH112: Klong Loy-Bang Saphan: 29 Km • AH121: Mukdaharn-Yasothon-Buriram – Sakaeo: 421 Km • AH123: BongTi-Kanchanaburi-Nakhon Pathom-Bangkok-Chonburi-Laem Chabang-Maptaput-Rayong-Trat-Hat Lek: 574 Km • Total: 6,693 km • Source : DTN Thailand
20% Corporate Tax • Tax holidays: Trigger period +3years+n; 6y <TH<9y • Full Import Duty Exemption • Repatriation of profit (withholding tax) • Reinvestment of earning (special depreciation) Investment Incentives
Information & Application Approval Customs Duty & Tax Exemption Visa & Work Permit Company Registration A ONE STOP SERVICE
Licensing Authorities Council of Ministers : CDC but needs approval from CoM for project with investment capital exceeding $ 50 million, BOT, BOOT, BOO or BLT, long-term strategy, sensitive projects: negative impact on the environment and natural resource exploitation CDC : less than $ 50 million Provincial Authorities : less than $ 2 million
Investment Approval Investment application CDC issues a Conditional Registration Certificate to the Applicant 3 working days • Company Registration / Ministry of Commerce • Relevant licenses, as appropriate / Ministry of Industry and Energy • Review and approval of construction plan / local authorities- • Ministry of Land Management, Urban Planning and Construction. • Initial environmental impact assessment / Ministry of Environment • Tax Department Registration / Ministry of Economy and Finance 28 working days CDC issues a Final Registration Certificate to the Applicant
Investment Protection The Investment Law and Sub-decree contains a number of important guarantees for the investors: • Equal treatment of all investors • No requirement of local equity participation • No price controls on products or services • No restriction on forex convertibility • Free remittance of foreign currencies abroad
Australia Austria China Croatia Cuba Czech France Germany Indonesia Japan Kuwait Lao PDR • Malaysia • Netherlands • N. Korea • OPEC • Pakistan • Philippine • ROK • Singapore • Switzerland • Thailand • USA (OPIC) • Vietnam Bilateral agreement on the promotion and protection of investments between the Kingdom of Cambodia and other countries
EncouragedInvestment Activities • Agriculture and agro-industry • Transport and telecommunications • Energy and electricity • Labor-intensive industries, processing and manufacturing; • Tourism • Human resource development • Oil & Gas, Mining
Southern China Kunming Myanmar Hanoi Laos Yangon o Vientiane Vietnam Thailand Manila Bangkok . CAMBODIA The Philippines Phnom Penh 1h:30 in average Brunei Begawan Kuala Lumpur Malaysia Singapore Jakarta Indonesia
Invest in Cambodia and you have 600 million consumers at your doorstep
How to choose the partner ? Law and Regulation Information Implementation of ASEAN FTA Exchange Rate and Inflation Government Services Tariff What should we aware of investing in Cambodia?
http://www.investincambodia.com http:// www.cambodiasez.gov.kh http:// www.tbcccambodia.org http://www.asean.org http://www.affalog.net http://www.adb.org/GMS/Cross-Border/about.asp http://www.adb.org/GMS/Economic-Corridors http://www.eastasiawatch.in.th http://upload.wikimedia.org/wikipedia/commons/2/21/Asian_Highways.png http://www.unescap.org/ttdw/FFmeeting/FFForum_2010/7.pdf http://info.worldbank.org/etools/tradesurvey/mode1b.asp#moreinfo http://www.nesdb.go.th Useful link
THANK YOUSO MUCHFOR YOUR ATTENTION Arranged by Mrs. Tui Pakarat-Rutten Managing Director of Intra Group of Company and The President of TBCC H/P: +66 81 839 2452 E-mail: manager@intra-mekong.com