You are using an outdated browser and your browsing experience will not be optimal. Please update to the latest version of Microsoft Edge, Google Chrome or Mozilla Firefox. Install Microsoft Edge

October 14, 2021

Lex Mundi Guide to Doing Business in Thailand 2021

Tilleke & Gibbins and Lex Mundi

As part of its membership in Lex Mundi, Tilleke & Gibbins has published an updated edition of its Guide to Doing Business in Thailand for 2021. This guide outlines all of the key factors for starting and operating a business in the Thai market. Issues covered include:

  • Investment incentives
  • Financial facilities
  • Exchange controls
  • Import and export regulations
  • Structures for doing business
  • Requirements for the Establishment of a Business
  • Operation of the Business
  • Cessation or Termination of the Business
  • Labor legislation, relations, and supply
  • Tax
  • Immigration requirements

This publication is part of Lex Mundi’s Guides to Doing Business series prepared by member firms in more than 100 jurisdictions worldwide. The guides serve as a useful resource when planning an international business strategy or researching a new market.

RELATED INSIGHTS​ 

September 4, 2025
With advancements in health technology, telemedicine has taken on a wider online presence in Thailand. Under the Medical Facility Act, licensed clinics and hospitals may now diagnose, prescribe, and issue electronic prescriptions during a video call, provided they maintain patient confidentiality and proper recordkeeping. As a complementary concept, a telepharmacy allows a pharmacist to verify prescriptions, counsel patients, and dispense medication from a remote site. Hospitals, clinic chains, and some retail pharmacy groups have adopted “drive-thru” or “locker” pick-up points where drugs are bagged only after a real-time video consultation with a registered pharmacist. The clear benefits of telehealth include shorter waiting times and broader access to specialists, which is in the public interest. Drug Distribution and Advertising in Thailand The online pharmacy ecosystem creates a legal bridge in that once a teleconsulting doctor issues an e-prescription, a licensed pharmacy can lawfully dispense and deliver the medicine prescribed to the patient’s door. Nonetheless, the critical compliance component remains the advertising of medicinal drugs. It is still not allowed to advertise prescription/pharmacy-dispensed drugs to the public in Thailand. Although Thailand’s Drug Act of 1967 was written more than half a century ago, it still governs the trading of every medicinal drug that makes its way to consumers in Thailand—whether bought at a pharmacy or delivered with a few taps on a smartphone. First and foremost, the pharmacy must hold a license to sell medicinal drugs as a retailer. It is also mandatory that arrangements be made for a pharmacist to be on duty during opening hours. Drugs are classified into three main categories: prescription drugs, pharmacy-dispensed drugs, and over-the-counter (OTC) drugs. The listing of OTC drugs with their prices via an online platform is allowed, as only OTC drugs may be advertised directly to the public. However, naming or showing
September 2, 2025
Thailand’s Office of the Consumer Protection Board (OCPB) has initiated a sweeping regulatory review of licensed direct sale and direct marketing businesses in Thailand and is in the process of notifying business operators to submit their annual business report and financial statement to the OCPB as part of their postlicensing obligations. This move marks a significant escalation in the government’s efforts to enforce compliance and transparency in the sector, which has faced growing scrutiny in recent years. Key Regulatory Considerations All businesses holding a direct sales or direct marketing license are required to submit their audited financial statement along with their business operation report to the OCPB within 60 days from the end of their fiscal year (extendable for up to 30 days by request, if necessary). The OCPB is currently conducting license audits as part of its enforcement duties. The office aims to complete audits for at least 90% of the 2,983 registered businesses that have obtained their license since 2022. This includes a review of the business conduct of the license holder. New license applications are also under scrutiny. Applicants are currently being subjected to background checks, and the OCPB has signaled a more rigorous vetting process moving forward. Impact of Noncompliance Failure to comply with these reporting obligations may result in escalating enforcement actions, including: Official notice to rectify noncompliance within a specified timeframe. Revocation of business registration, if the operator fails to respond. Revocation of business registration could result in a five-year prohibition on reapplying for a direct sales or direct marketing license following the revocation. The OCPB has already initiated outreach efforts, including SMS and email notifications, and has hosted seminars to raise awareness of these obligations. These measures are part of a broader initiative to enhance transparency and consumer trust in the sector. Businesses operating in the direct selling and
September 2, 2025
Thailand’s National Space Policy Committee (NSPC) has proposed new regulations that would permit foreign satellite operators to provide services within the country. The draft announcement responds to rapid advancements in digital and space technologies that have led to new global satellite operators expanding their services worldwide, including into Thailand. These include low-Earth-orbit (LEO) satellite constellations offering high-speed internet, nonterrestrial network (NTN) technologies that integrate terrestrial and satellite communications, and direct-to-device (D2D) technologies that transmit signals directly from satellites to mobile devices without relying on terrestrial networks. The draft aims to replace the existing announcement, which was issued in 2021, to better align with current national policies on foreign satellite usage. The draft announcement was published for public consultation on August 20, 2025, with the comment period concluding on September 3, 2025. Applying for Authorization Two types of operators may apply for authorization: Thai operators who intend to use foreign satellites owned by World Trade Organization (WTO) member countries to provide satellite communication services to third parties; and Foreign operators of satellites owned by WTO member countries who intend to operate a business providing satellite communication services within Thailand. Applications for approval must be submitted to the National Broadcasting and Telecommunications Commission (NBTC) according to the NBTC’s established procedures. In considering whether to permit foreign satellites to provide services within Thailand, the relevant authority will take into account technical justifications, economic benefits, social benefits, and national security considerations. Determining Satellite Ownership The determination of which country qualifies as the owner of a satellite is based primarily on the country that holds the satellite network filing rights registered with the International Telecommunication Union (ITU). The satellite network filing includes details regarding frequency usage, orbital positions, and technical specifications of the satellite operations. It serves as a regulatory tool used by the