president of national science and technology development...

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Message By President of National Science and Technology Development Agency COMMITTING TO R&D – DRIVING THE GROWTH OF THE BIOINDUSTRY In the midst of economic challenges around the world, the need to position Thailand's economy to take advantage of new opportunities is increasingly clear. This is also one of the major drivers for Thailand's investment in R&D, to enable the local bioindustry to develop, grow and flourish, so that it can contribute to the continual economic and social development in the country. Thailand's efforts to strengthen the bioindustry hinges on the coordinated development of R&D capability and capacity of both the public and private sectors. With its strong commitment to R&D investments and manpower development through various programmes and initiatives, Thailand is making good progress in bringing the industry to the next level. However, much still needs to be done, especially in encouraging and enabling local companies to take the lead in this endeavor. Thailand's efforts to grow the bioplastics industry, which is expected to be one of the most promising sector within the bioindustry, are a good indication of the country's resolve to advance the industry. The Ministry of Science and Technology is establishing major programmes to promote investment in the bioplastics industry. The programmes address Thailand's readiness in terms of biomass materials, biomass technology, international standards for Thai bioplastics, investment promotion privileges, environ- mental management, as well as marketing and awareness promotion. The National Roadmap for the Development of Bioplastics Industry (2008- 2012) was approved in 2008. With a budget of 1.8 billion baht, it is anticipated that Thailand will transform itself to a ìbioplastic hubî of Asia. What is important at this juncture is for Thai companies to quickly leverage on these positive developments and build up their own capabilities to become world-class players in the bioplastics industry. For the broader bioindustry, the same holds true. By setting their sights far and making their R&D efforts consistent, Thai companies in the bioindustry will benefit from stronger capabilities and greater capacity for research and development. I am confident that we will see the emergence and development of more businesses in the bioindustry that will help put Thailand on the biotechnology world map. I would like to convey my best wishes to the publishers of the Thailand Biotech Guide. I also like to congratulate them for bringing the topic of R&D into focus in this latest edition of the Guide. Thaweesak Koanantakool, Ph. D. President National Science and Technology Development Agency

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Page 1: President of National Science and Technology Development ...biotec.or.th/BIOTECen2015/images/stories/News/Banner/editorial article.pdfNATIONAL SCIENCE AND TECHNOLOGY DEVELOPMENT AGENCY

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Message By

President of NationalScience and TechnologyDevelopment Agency

COMMITTING TO R&D – DRIVING THE GROWTHOF THE BIOINDUSTRY

In the midst of economic challenges around the world, the need toposition Thailand's economy to take advantage of new opportunities isincreasingly clear. This is also one of the major drivers for Thailand'sinvestment in R&D, to enable the local bioindustry to develop, grow andflourish, so that it can contribute to the continual economic and socialdevelopment in the country.

Thailand's efforts to strengthen the bioindustry hinges on the coordinateddevelopment of R&D capability and capacity of both the public andprivate sectors. With its strong commitment to R&D investments andmanpower development through various programmes and initiatives,Thailand is making good progress in bringing the industry to the next level.However, much still needs to be done, especially in encouraging andenabling local companies to take the lead in this endeavor.

Thailand's efforts to grow the bioplastics industry, which is expected to beone of the most promising sector within the bioindustry, are a goodindication of the country's resolve to advance the industry. The Ministry ofScience and Technology is establishing major programmes to promoteinvestment in the bioplastics industry. The programmes address Thailand'sreadiness in terms of biomass materials, biomass technology, internationalstandards for Thai bioplastics, investment promotion privileges, environ-mental management, as well as marketing and awareness promotion.

The National Roadmap for the Development of Bioplastics Industry (2008-2012) was approved in 2008. With a budget of 1.8 billion baht, it isanticipated that Thailand will transform itself to a ìbioplastic hubî of Asia.What is important at this juncture is for Thai companies to quickly leverageon these positive developments and build up their own capabilities tobecome world-class players in the bioplastics industry.

For the broader bioindustry, the same holds true. By setting their sights farand making their R&D efforts consistent, Thai companies in the bioindustrywill benefit from stronger capabilities and greater capacity for researchand development. I am confident that we will see the emergence anddevelopment of more businesses in the bioindustry that will help putThailand on the biotechnology world map.

I would like to convey my best wishes to the publishers of the ThailandBiotech Guide. I also like to congratulate them for bringing the topic ofR&D into focus in this latest edition of the Guide.

Thaweesak Koanantakool, Ph. D.President

National Science and TechnologyDevelopment Agency

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Message By

The Secretary General ofthe Thailand Board ofInvestment

CREATING VALUE THROUGH COMMERCIALIZATION

In this era of the knowledge-based economy, it is imperative for Thailandto invest in R&D and innovation to enhance the country’s globalcompetitiveness. Just as important, however, is the fact that, Thailand musttransform the fruits of its R&D efforts into high-value products and servicesin the market. Toward this end, the Board of Investment (BOI) has givenpriority to R&D, and has allocated significant resources to promotecollaborations between the public and private sectors along with thecommercialization of promising technologies by companies.

To help companies manage risk and raise their chances of success,Thailand has put in place various enabling factors. These include a host ofattractive support programs for companies and entrepreneurs, andcomprehensive start-up and incubator facilities such as those found atthe Thailand Science Park. With these resources, companies in thebioindustry will be better positioned to tackle the complex challengesassociated with technology commercialization.

Still, government agencies such as the BOI can only create and facilitatea conducive business environment for investors, companies andentrepreneurs. Ultimately, the players in the private sector must take thelead in turning the many innovations from our research laboratories intoreal-world business opportunities.

Hence the focus of this edition of the Thailand Biotech Guide, which aimsto spur Thai companies into thinking about their role in the innovationprocess, is indeed timely. It is my hope that companies will takeadvantage of Thailand’s inherent strengths in the bioindustry and createnew products and services that will yield attractive returns for the countrygenerating momentum for the industry to flourish.

Dr. Atchaka SibunruangSecretary General

Office of the Board of Investment

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U s e f u l A d d r e s s e s

AGRICULTURAL RESEARCH DEVELOPMENT AGENCY(PUBLIC ORGANIZATION)2003/61 Phaholyothin Rd.Ladyao, ChatuchakBangkok 10900Tel: (66) 2579 7435Fax: (66) 2579 7235Email: [email protected]: www.arda.or.th

BIOTECHNOLOGY ALLIANCE ASSOCIATIONRoom 308, 3/F, Kasetsart University Alumni Association Bldg.50 Phaholyothin Rd.Ladyao, ChatuchakBangkok 10900Tel: (66) 2940 5264Email: [email protected]: www.geocities.com/baa05thai/member.html

DEPARTMENT OF AGRICULTURE3/F, The Center of Operation Training and Conveying Technology Bldg.ChatuchakBangkok 10900Tel: (66) 2561 4057Email: [email protected]: www.doa.go.th

DEPARTMENT OF INTELLECTUAL PROPERTY44/100 Nonthaburi 1 Rd.Bangkrasor, MuangNonthaburi 11000Tel: (66) 2547 4621 to 5Fax: (66) 2547 4696Website: www.ipthailand.org

DEPARTMENT OF LIVESTOCK DEVELOPMENTPhayathai Rd.Bangkok 10400Tel: (66) 2653 4444Fax: (66) 2653 4925Email: [email protected]: www.dld.go.th

DEPARTMENT OF MEDICAL SCIENCES88/7 Tiwanon Rd.MuangNonthaburi 11000Tel: (66) 2589 9850 to 8Fax: (66) 2591 5974Website: www.dmsc.moph.go.th

DEPARTMENT OF SCIENCE SERVICE75/7 Rama 6 Rd.RatchathewiBangkok 10400Tel: (66) 2201 7000Fax: (66) 2201 7466Website: www.dss.go.th

EXPORT-IMPORT BANK OF THAILANDExim Bldg.1193 Phaholyothin Rd.PhayathaiBangkok 10400Tel: (66) 2271 3700Fax: (66) 2271 3204Email: [email protected]: www.exim.go.th

FOOD AND DRUG ADMINISTRATION88/24 Tiwanon Rd.MuangNonthaburi 11000Tel: (66) 2590 7000Website: www.fda.moph.go.th

FOOD SCIENCE AND TECHNOLOGY ASSOCIATIONOF THAILAND (FOSTAT)Room 407, 4/F, NSTDA Bldg.Rama 6 Rd.RatchathewiBangkok 10400Tel: (66) 2644 8150 EXT 409, 410Fax: (66) 2644 8122Email: [email protected]: www.fostat.org

INDUSTRIAL ESTATE AUTHORITY OF THAILAND618 Nikommakkasan Rd.RatchthewiBangkok 10400Tel: (66) 2253 0561Fax: (66) 2253 4086Email: [email protected]: www.ieat.go.th

INDUSTRIAL PARK CENTER, KING MONGKUTûSUNIVERSITY OF TECHNOLOGY THONBURI83 Moo 8Thakham, BangkuntienBangkok 10150Tel: (66) 2470 7400Fax: (66) 2452 3455Website: www.ipc.kmutt.ac.th

Useful Addresses 12/14/10, 5:17 PM24

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U s e f u l A d d r e s s e s

INSTITUTE FOR SMALL AND MEDIUM ENTERPRISEDEVELOPMENT (ISMED)99 ISMED Bldg. (Gymnasium1), Thammasat University Rangsit CenterKlong LuangPathumthani 12120Tel: (66) 2564 4000 to 6Fax: (66) 2564 2737Website: www.ismed.or.th

MARINE BIOTECHNOLOGY RESEARCH UNIT ATCHULALONGKORN UNIVERSITY254 Phayathai Rd.PhatumwanBangkok 10330Tel: (66) 2218 5279Fax: (66) 2254 7680Website: www.biotec.or.th/marine

NATIONAL CENTER FOR GENETIC ENGINEERING ANDBIOTECHNOLOGY (BIOTEC)113 Thailand Science Park, Phaholyothin Rd.Klong Nueng, Klong LuangPathumthani 12120Tel: (66) 2564 6700Fax: (66) 2564 6701Website: www.biotec.or.th

NATIONAL FOOD INSTITUTEIndustrial Development Foundation Nation Food Institute2008 Soi Arun Ammarin 36, Arun Ammarin Rd.Bangyeekhan, BangphladBangkok 10700Tel: (66) 2886 8088Fax: (66) 2886 8106 to 7Website: www.nfi.or.th

NATIONAL INNOVATION AGENCY73/1 Rama 6 Rd.RajdheveeBangkok 10400Tel: (66) 2644 6000Fax: (66) 2644 8444Email: [email protected]: www.nia.or.th

NATIONAL SCIENCE AND TECHNOLOGYDEVELOPMENT AGENCY (NSTDA)111 Thailand Science Park, Phaholyothin Rd.Klongnueng, Klong LuangPathumthani 12120Tel: (66) 2564 7000Fax: (66) 2564 7001 to 5Email: [email protected]: www.nstda.or.th

OFFFICE OF SMALL AND MEDIUM ENTERPRISESPROMOTION (SMEs)G/F, 15/F, 17-20/F, 23/F TST Tower21 Vibhavadi-Rangsit Rd.Chompphom, ChatuchakBangkok 10900Tel: (66) 2278 8800Fax: (66) 2273 8850Email: [email protected]: www.sme.go.th

OFFICE OF THE NATIONAL RESEARCH COUCIL OFTHAILAND196 Phaholyothai Rd.ChatuchakBangkok 10900Tel: (66) 2561 2445Website: www.nrct.go.th

PHARMACEUTICAL RESEARCH … MANUFACTURERSASSOCIATION19/F, Phaholyothin Place Bldg.408/85 Phaholyothin Rd.Samsen Nai, PhayathaiBangkok 10400Tel: (66) 2619 0232 to 36Fax: (66) 2619 0237Email: [email protected]: www.prema.or.th

PROTEIN SOCIETY OF THAILAND (PST)C/O Center for Excellence in Protein Structure and Function (CPSF)Room 427, 4/F, Chalermprakiat Bldg.Faculty of Science, Mahidol UniversityRama 6 Rd.Bangkok 10400Tel: (66) 2201 5840Fax: (66) 2201 5843Email: [email protected]: http://cbag2.sc.mahidol.ac.th/protein

SERVICE CENTER FOR MEDICINAL PLANTINFORMATION447 Sriayudhya Rd.RatchathewiBangkok 10400Tel: (66) 2644 8677 to 91Fax: (66) 2354 4327Email: [email protected]: www.medplant.mahidol.ac.th

Useful Addresses 12/14/10, 5:17 PM25

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U s e f u l A d d r e s s e s

SHRIMP BIOTECHNOLOGY BUSINESS UNIT (SBBU)BIOTEC, Pilot Plant, Module 2, National Center for Genetic Engineeringand Biotechnology117 Science Park, Phaholyothin Rd.Klong Nueng, Klong LuangPathumthani 12120Tel: (66) 2564 6531Fax: (66) 2564 6602Email: [email protected]: www.biotec.or.th/sbbu/TH/index.asp

TECHNOLOGY MANAGEMENT CENTER (TMC)111 Thailand Science Park, Phaholyothin Rd.Klong Nueng, Klong LuangPathumthani 12120Tel: (66) 2564 7000Fax: (66) 2564 7001 to 5Website: www.tmc.nstda.or.th

THAI SOCIETY FOR BIOTECHNOLOGY73/1 Rama 6 Rd.RajdheveeBangkok 10400Tel: (66) 2644 8150 EXT 405, 407Fax: (66) 2644 8150 EXT 406Email: [email protected]: www.biotec.or.th/tsb/home/default.asp

THAILAND BOARD OF IVESTMENT555 Vibhavadi-Rangsit Rd.ChatuchakBangkok 10900Tel: (66) 2537 8111 to 55Fax: (66) 2537 8177Email: [email protected]: www.boi.go.th

THAILAND CENTER OF EXCELLENCE FOR LIFESCIENCES (TCELS)22/F CMMU Bldg.69 Vibhavadi-Rangsit Rd.Samsen Nai, PhayathaiBangkok 10400Tel: (66) 2644 9524Fax: (66) 2644 9538Website: www.tcels.or.th

THAILAND SCIENCE PARK (TSP)111 Phaholyothin Rd.Klongnueng, Klong LuangPathumthani 12120Tel: (66) 2564 7222Fax: (66) 2564 7201Email: [email protected]: www.sciencepark.or.th

THE ASIA AND PACIFIC SEED ASSOCIATION7/F Institute of Food Research and Product Development Bldg.726, 731 Kasetsart UniversityChatuchakBangkok 10903Tel: (66) 2940 5464Fax: (66) 2940 5467Email: [email protected]: www.apsaseed.org

THE FEDERATION OF THAI INDUSTRIES4/F, Zone C, Queen Sirikit National Convention Center60 New Rachadapisek Rd.KlongtoeyBangkok 10110Tel: (66) 2345 1000Fax: (66) 2345 1296 to 99Email: [email protected]: www.fti.or.th

THE GEVERNMENT PHARMACEUTICAL ORGANIZATION75/1 Rama 6 Rd.RatchatewiBangkok 10400Tel: (66) 2203 8000Fax: (66) 2354 8780Website: www.gpo.or.th

THE THAILAND RESEARCH FUND (TRF)14/F, SM Tower979/17-21 Phaholyothin Rd.Samsen Nai, PhayathaiBangkok 10400Tel: (66) 2278 8200 (30 Lines)Fax: (66) 2298 0476Email: [email protected]: www.trf.or.th

Useful Addresses 12/14/10, 5:17 PM26

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Featured Company

Betagro GroupBetagro Group is one of the leading companies in Thailand's food and agro-industry. It has

been at the forefront of applying technologies and using R&D to gain competitiveness in

both domestic and international markets.

The company set up the Betagro Science Center in 2005 as a clear commitment to its long

term R&D efforts. The centre conducts research in key areas including food, biotechnology,

livestock and animal health products. The center also functions as a central laboratory to

support the Group's other businesses as well as external customers. These support services

include pathology, bacteriology, virology & serology and chemical research services.

Furthermore, the Betagro Science Center is well recognised by the industry and academia

for its research work, and has established a strong track record for research collaborations

with universities and public research institutes like BIOTEC.

Questions & Answers with Mr Rutjawate Taharnklaew

General Manager, Betagro Science Center R&D Director, Betagro Group

How is the direction of R&D managed within Betagro?

How important is the university/institute-industry linkage to your company's R&D efforts?

We realised the importance of university-industry linkage very early

on and started building up our R&D connections and network since

the beginning. Our network includes the National Centers i.e. BIOTEC,

MTEC, NECTEC and NANOTEC as well as the universities i.e. Kasetsart,

Khonkaen, Chulalongkorn, Mahidol, Chiangmai, KMUTT, KMUTL and

etc. We are also quite open to R&D collaborations with overseas

organisations. Since setting up the Betagro Science Center, we have

conducted contract research with BIOTEC and the universities while

building up our research capacity at the same time. At the moment

we have in-house research as well as co-research with the institutes

mentioned earlier.

The research and development process at Betagro is steered by the

Research and Development Committee (RDC) which consists of a

multidisciplinary group of people i.e. marketing, R&D, engineering

and technician from 6 business lines. The R&D directions and

activities are initiated and conducted by the Betagro Science

Center and/or the business lines with the Center's support. The

Center is therefore the key organisation that leads the efforts,

motivates the teams involved and coordinates the overall process.

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Featured Company

i+MED Laboratories Co., Ltdi+MED is one of the pioneering companies in Thailand's biotech sector. Founded in 2001,

the company's initial focus was the development and production of rapid test kits such as

home pregnancy tests and drug tests. It has since successfully commercialised a number of

technologies that were came out from local research institutes like the National Center for

Genetic Engineering and Biotechnology (BIOTEC), including the world's first strip test for

screening alpha Thalassemia as well as the CD4SELECT liquid reagent, which is a simple to

use, inexpensive and accurate method for counting CD4+ lymphocytes in the blood.

i+MED currently focuses on 4 business segments, namely the diagnostic business (e.g. rapid

diagnostic tests, biochemistry), medical device business (e.g. digital hearing aid device and

hemostatic wound dressing), life sciences business (e.g. monoclonal reagents, molecular

technology) and bio-business services (e.g. rapid test prototype development, clinical study).

Questions & Answers with Mr. Komkrit Sajjaanantakul

Managing Director i+MED Laboratories Company Limited

Our policy is that instead of focusing on global competition, we are

on the look out for global collaborations. A strong global network is

important to us when launching new products, especially in the

medical device and bio-business space. We realised that as a Thai

company, we are not at the top of the list of technology and

bio-businesses. Therefore, to access the global market, we need to

work with the right partners to maximise the benefits of our R&D

efforts and our innovative products.

How does R&D benefit your company?

How does your company address global competition?

We have no doubts about the benefits of R&D as it relates to our

competitiveness. We are selling to a niche market. Our R&D

activities are focused on making better products that have better

performance, superior quality and yet affordable to our users. We

are targeting our niche market with high-value products and

leveraging on the economies of scope rather than the economies

of scale, to bring about greater savings and value

for our customers.

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Featured Company

Microinnovate Co., LtdMicroinnovate is an innovative biotechnology company that has established Thailand's

first microbial manufacturing plant to produce microbial and animal bio-fermentation feed

on an industrial scale – up to 1,000 tons per year. The company, which is a joint venture

between the Nitikanjana Group and the National Science and Technology Development

Agency, is currently developing products in the following categories:

• Probiotics that are used in animal feed and food

• Inoculums used in agriculture and waste treatment

• Digested proteins which are easily digested and absorbed by livestock

• Enzymes that are used in the production of animal feed, food and ethanol

Microinnovate has used microorganisms developed by researchers at the National Center

for Genetic Engineering and Biotechnology and leveraged upon the expertise of

researchers from King Mongkut's University of Technology Thonburi to cultivate the

microorganisms for the industrial production process. The company's plant will help

Thailand reduce its dependence of similar imported products by almost 1 billion baht in its

first 5 years of operation.

Questions & Answers with Mr. Soraphahol Nitikanchana

Assistant Managing Director Microinnovate Company Limited

How does your company benefit from its R&D activities?

Our R&D activities allow us to give our products unique features which

differentiate them from the competitors. R&D also lets us

continuously enhance these features, allowing our company to be

more competitive in both local and overseas markets in the long run.

What is a key success factor for your company's product development process?

Understanding the true market demand and the real needs of the

customer is a key success factor of our new product development

process. Each of our products has to pass three steps before making

it to the market. Firstly, we let the potential user of the product work

with our researchers so that we can discover the real need of the

customer. Secondly, we validate the feasibility of the production

process by developing laboratory scale production. Thirdly, we test

the final product by letting the actual end-customers use the

product in real life situations.

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Featured Company

PTT Chemical Plc.PTT Chemical Plc. is Thailand's largest petrochemical producer by market value and

a leading industrial player in Southeast Asia. The company has strong commitments to R&D

and therefore has established a dedicated Science and Innovation Center that focuses on

research and development activities in areas including:

• Applied material

• Bioscience and biotechnology

• Catalysis and chemical technology

• Process and production technology

The Science and Innovation Center functions to develop unique solutions and technologies

that will help support the company's current and future businesses. In addition, it also

provides advanced analytical testing services for all business units in the organisation.

Besides the facilities at the Science and Innovation Center, the company has also set up a

robust research support infrastructure/programme, which includes innovation management

functions (e.g. R&D liaison, project management, IP management), technical development

services (e.g. scaling up process, process improvement and optimisation) and other

supporting services (e.g. HR and legal affairs).

Questions & Answers with Dr.Chaya Chandavasu

Vice President - Science & Innovation PTT Chemical Public Company Limited

What determines your company's R&D direction?

What are examples of ways that your company encourages innovation?

The Science and Innovation Center provides research incentives to

all researchers to motivate them to deliver quality R&D work. The

Center also honours those researchers who have outstanding

performance through an internal technology showcase event,

which is held annually.

Our R&D direction depends strictly on our company's growth strategy.

Most of our research projects are initiated by a ëmarket-backed'

approach where most innovations are developed specifically for

targeted products. Valuable inputs from marketing and production

departments are taken into account. Once a technology is developed

and its value to our business is clear, the project can proceed to the

commercialisation phase. To facilitate the entire process, our Science

and Innovation Center have built up all necessary research capabilities

to ensure successful implementation of the technology from laboratory

scale to commercialisation phase.

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Incentives for Biotech BusinessBiotech businesses are often perceived as risky since they involve the capability to establish strongintellectual property positions on unique technologies.

The BOI provides a maximum 8 years tax holiday and

tax exemption for imported equipment. A biotech

business related to the following list can request these

privileges under category 7.19: Biotechnology1.

1. Using biotechnology in the seed industry, plant

and animal improvement

2. Biopharmaceutical agents using biotechnology

e.g. drugs, vaccines and therapeutic proteins

3. Diagnostics for diseases screening, biosensor and

gene chips

4. Bio-molecules and bioactive compounds using

microbes, plants and animal cells e.g. enzyme,

monoclonal antibody and recombinant protein

5. Raw material and essential materials used in

molecular biological experiment or test

6. Biological analysis and/or synthesis services

For the other biotech businesses that are not included

in category 7.19, the investors may request for

incentives under the Skills, Technology & Innovation

(STI)2 category. However, the nature of the tax

holiday under the STI incentives will depend on the

actual expenses for the following activities:

1. R&D or design

2. Advanced technological training

3. Supporting educational or research institutions

4. Supporting the science and technology

development fund

They also require a long gestation period and large

amount of capital investment. The Thai government

appreciates the challenges faced by biotech

companies and has created various support

programs and incentives to help biotech businesses.

Some of these include tax incentives, financial

support and supporting infrastructure.

Tax Incentives

Tax incentives provide basic support that is

applicable to all industries. However, biotech

businesses enjoy special benefits that are unique

among knowledge-based sectors. Currently, there

are two agencies that administer tax incentives:

the Thailand Board of Investment (BOI) and the

Revenue Department.

1 http://www.boi.go.th/english/download/boi_forms/484/Explanatory%20Note%20Biotech(eng)Revised.pdf2 http://www.boi.go.th/english/download/boi_forms/529/Unofficial%20Translation%20Explanatory%20STI.pdf

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The total maximum period for the tax holiday is

8 years.

The Revenue Department (RD) offers a deduction on

earnings before tax which is equivalent to 200% of

research and development expenses that a

company incur for its project. The Research and

Development Certification Committee Secretariat

(RDC) under the National Science and Technology

Development Agency (NSTDA) is an authorized

agency that can certify whether the project has the

qualified R&D activities. The company can contact

the RDC and ask for assistance directly.

Financial support

Financial support for businesses is a major factor

driving the development and sustainability of the

biotech industry especially among the SMEs. The

government agencies such as NSTDA and the

National Innovation Agency (NIA), are able to

provide grant, soft loan and matching fund to

businesses.

NSTDA aims to enhance R&D capability and

investment in the private sector. Its key focus is to

promote joint investment in R&D among the three

parties: research institute, university and private

company. It expects joint R&D research to be a key

approach to enhancing companies' research

capability. To facilitate this, NSTDA is able to provide

a soft loan of up to 30 million baht to companies that

are upgrading their R&D capabilities and

manufacturing processes. In addition, it is able to

match investment with the private company at a

maximum ratio: 49:51.

BOI Investment Promotion Application Workflow

Editorial

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National Nanotechnology Center (NANOTEC). These

centers of excellence act as a magnet to attract

private investment in R&D to the TSP and Thailand.

These centers, together with other surrounding

public research institutions, are home to over 2,600

researchers. Around 70% of these personnel are

available to work with the industry in joint research or

contract research. In the biotechnology area, there

are about 400 researchers, with 140 of them having

PhDs.

In addition to the national centers, other facilities

include a pilot plant, a greenhouse, and a

convention and exhibition center. Currently, the TSP

plays host of around 60 companies. A third of these

companies are in involved in the biotech field. These

companies automatically qualify to receive a tax

holiday for up to 8 years. Beyond the 8 years, they

are subjected to only 50% of the normal tax rate for

another 5 years. Come next year, there will be space

available for 200 more companies under the TSP

phase II.

Besides offering industrial space to the companies

NIA provides 3 types of financial support. One is an

interest-free soft loan of up to 5 million baht for a

company to start up its commercial operation. The

NIA is also able to provide a project grant to

companies that are setting up pilot projects,

creating prototypes or conducting feasibility tests.

The grant supports up to 75% of the project expense

for up to 3 years. The last financial support focuses

on helping companies establish an innovation

network. Companies can apply for reimbursement

of expenses associated with the set up (up to a

maximum amount of 5 million baht) of the network

for up to 3 years.

Infrastructure

The Thailand Science Park (TSP) is the place for the

biotech companies and investors to seek out R&D

activities and to establish a network in the local R&D

community. The TSP is located about 20 km from the

airport, in the Pathumthani province which is fast

becoming a major Science City in Thailand. The TSP

has a unique and vibrant environment that is

conducive for working and yet provides for a

high-quality lifestyle.

Within the TSP, there are 4 leading national research

centers: National Center for Genetic Engineering and

Biotechnology (BIOTEC), National Electronics and

Computer Technology Center (NECTEC), National

Metal and Materials Technology Center (MTEC) and

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and businesses, the TSP also provides other

beneficial services which include:

• Industrial Technology Assistance Program:

iTAP–provide technical support

• Company Directed Technology Development

Program: CD–provide financial support

• Research and Development Certification

Committee Secretariat: RDC–provide service on

corporate income tax exemption

• Technology Licensing Office: TLO–provide

services related to intellectual property right

• Science and Technology Knowledge Service:

STKS–provide information services

• NSTDA Investment Center: NIC–provide support

on technology business investment

• Technology Business Incubator–provide good

environment for new entrepreneurs

Attracted by Thailand's rich biodiversity and the high

quality of researchers here, international companies

like Shiseido Southeast Asia Research Center, Alltech

Asia-Pacific Bioscience Center, Ecolab Southeast Asia

Technical Research Center, Air Products Asia

(Technology) Center, and Virbac Animal Health

Biotechnologies R&D center, have set up their R&D

centers in TSP. This has allowed them to conduct joint

research with Thai scientists and leverage upon local

R&D resources. Local companies like the Betagro

Group, which set up its Betagro Science Center in

TSP, are also good examples of Thai companies that

have progressively built up their own R&D

capabilities. Betagro has strengthened its R&D

capabilities over the years through contract research,

joint research and in-house research at its own R&D

facility.

Through a combination of factors including

attractive incentives, robust infrastructure and

quality manpower, Thailand has continued to hold

its own as a key destination for biotechnology

research and investment in Asia. With upcoming

developments like the completion of next phase of

TSP, Thailand is well positioned to attract even more

interest among companies looking to tap into

opportunities in the regional biotechnology sector.

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