Key Takeaways
- Verify production formula approvals for raw materials imported under BOI Section 36.
- Maintain inventory stock balance reports separating BOI materials from Free Zone items.
- File electronic raw material reconciliation (e-RM) with the Investor Club Association on schedule.
- Appoint customs brokers experienced in managing joint BOI and customs privilege declarations.
Import Duty Privileges and Raw Material Reconciliation Under BOI
Manufacturers holding BOI investment promotion cards utilize Section 36 to exempt import duties on raw materials imported for export production. Storing these components in a Free Zone defers VAT and customs entries until production begins. Importers must reconcile raw materials electronically to prevent tax back-claims.
Inventory System Compliance and Audits
Customs and the Board of Investment strictly audit warehouse stock balances. Importers must deploy inventory tracking software capable of segregating raw materials by customs privilege class, ensuring transparent audit trails for regular inspections.
Looking for Hassle-Free Logistics? Choose LOGISTICS NO LIMIT CO., LTD.!
We specialize in cross-border trucking, customs clearance, and global supply chain management. Secure, compliant, and tracked in real-time.
Contact Our Experts NowOfficial Reference Agencies and Regulations
- Thai Customs Department: Latest customs decrees, notifications, and cargo release facilitation measures at border entry points.
- Ministry of Finance & WCO: Annual custom tariff rate revisions and international AEO safety guidelines (SAFE Framework of Standards).
Coordinating BOI machinery and raw material import duty privileges (e.g. BOI Section 36) with customs Free Zones or Bonded Warehouses allows manufacturers to maximize import duty and VAT exemptions (0% VAT). This dual-privilege strategy optimizes cash flow and increases international cost competitiveness.
Frequently Asked Questions
Q: Can used machinery be imported under BOI promotion schemes?
A: Yes. However, importers must obtain a used machinery efficiency certificate to secure advance approval from the BOI before customs import declaration filing.
