By John McCurry
Journalist
The global coronavirus pandemic will impact much more than the economy. Governments will be forced to adjust how they view healthcare and their role in the health and wellbeing of their citizens. The post-COVID world will see new urgency and attention paid to health-related policies and governments will look closely at the healthcare systems of other countries to determine best practices and the overall needs of their populations.
From a commercial standpoint, the life science and biotech industries will experience shifts as companies ramp up to identify future risks and treatments for existing threats. There will be an uptick in innovation and discovery in the post-COVID world and new biotech, medical device and technology companies will be the “dot coms” of our era.ย
Thailand is responding well to the pandemic. Its National Healthcare System has been a success story and because of its robust healthcare system, the Kingdom figures to fare comparatively well throughout the duration of the pandemic.
Earlier this year, the World Economic Forum ranked Thailand as the 6th best prepared country to deal with a pandemic, ahead of Sweden, Denmark, and Finland.
Thailand’s medical lineage runs deep and because healthcare and life sciences have always been one of Thailand’s priorities, it is no surprise that it is a top market for medical and healthcare products.
Thailand is the eighth largest medical device market in the Asia-Pacific region, specializing in production of diagnostic imaging devices, ventilators, and hemodialysis and other blood therapy devices.ย The Kingdom’s pharmaceutical industry has an annual 6.2% growth rate, which is supported by its more than 190 manufacturers.ย
In an effort to support its growing medical industry during the pandemic, the Thailand Board of Investment recently approved measures to assist its medical industry with a range of initiatives to ensure they are well positioned to weather the impact of disruptions caused by COVID-19.ย
Some of these measures include:
- Apart from the three- to eight-year tax holidays, a reduction of 50 percent of corporate income tax for an additional 3 years will be given to qualified investments in the medical sector. This measure covers projects that apply for promotion between January 1 ย– June 30, 2020 and must start production and generate income by December 31, 2020.
- A measure to support the adjustment of existing production lines to manufacture medical devices or parts by exempting import duties on machinery on the condition the equipment is imported within 2020 and the application for production line adjustment is filed by September 2020.
- Adjustments to the benefits granted for the production of raw materials used in the manufacturing of medical products to encourage a more complete value chain in Thailand. Additional benefits will also be granted for the production of nonwoven fabric used as raw materials for the production of medical masks or medical devices, by expanding the corporate income tax exemption to five years, from three years.
More information about the measures the Board of Investment has instituted to ease the impact of COVID-19 on the medical sector in Thailand can be found here.
John McCurry is Southeast Reporter GlobeSt.com, contributor to Industry Today, Site Selection Magazine and Greenville Business Magazine. A veteran writer and editor with broad-based content development experience in magazines, newspapers, radio and web. John specializes in covering economic development and the agencies charged with recruiting business. McCurry has global reporting experience, having traveled to more than 25 countries for interviews and article research. He has interviewed countless C-suite executives and government officials, including more than 25 governors of U.S states.
