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The world recession has done nothing to stop the service and goods costs in New Zealand escalating and the greed that it has created with businesses competing for work and people wanting higher salaries and more and more money for doing less. NZ needs a depression to get back to reality and as manufacturing and production Companies suffer under the heavy burden of government economics Thailand is the favoured place to go to and heres why. Thailand was never affected by the subprime housing boom because it controls its economy for its people which NZ never ever thought about and where today this phenomenon is far too late to turn the clock back. Thailand does not allow foreigners to own land unless they invest 40m baht and then they can buy 1 Rai which is under 1/2 acre only. Its also hard to get citizenship and if you do anything wrong youre out in 3 days?? NZ government allowed a free for all & soft rules. With Thailand it stops property speculation by incoming foreigners thus allowing a happy medium for Thais to be able to buy property at underinflated prices. If a foreigner wants to start a Company they must have a 51% Thai owner but its not that bad as they do allow 100% ownership for certain businesses and manufacuring is one of them. But what it does stop is the loan sharks, property speculators and finance companies who in turn move the goods and services up accordingly as properties increase in value. Now are you listening NZ. This way Thais and Thailand are not dominated by foreign investment escalation policies. It stops property inflation, it prevents outifits like telecom and Electrical companies run from overseas monopolising their business and has kept the costs and services to a respective level again looking at the care of 64million people. This is Thailand's asset and now they house the largest multi corps in the world and their people can find a job without too much trouble as more and more companies head to their shores. In other words they look after there people but remember there are no benefits there but everyone smiles at you unlike in NZ.

Now NZ is no exception as companies are moving to Thailand in droves due to the excellent labour and tax laws; the incentives the Thai government allows because you wish to employ their people nothing like what NZ offers & of course the favoured Thai food and weather which is superb. NZ starting with the Labour Government who forgot about their people apart from those on benefits and support for the next election & National government is only concerned with the big enterprises in a false way -- these governments and their MPs allowed foreigners to come in with $1m, buy what they wanted then those with money set about starting property developments that went out of control zoning into million dollar housing estates. It then allowed goods & service industries to charge what they wanted & they got into the act fast, it allowed a few to make money on the backs of many & caused NZ prices to escalate beyond imagination-- we are living in a false economy as we must rely on the dairy and tourism industry for our bread and butter nothing else --- workers want higher salaries then the service and living costs increase beyond anyones dream as the subprime got into full swing and the rest is history. Noone wants to give up there jobs and all City Councils etc are top heavy in administration running with CEOs who just care about bonuses & chiefs below who abide to rule their depts. Rules keep coming in and NZ is getting to be a country with too much red tape--in fact it is that already. So what goes up must eventually come down and this is where a depression must happen to get NZ back into the reality seat.


NZ companies are on the move bigtime!!!!!

Compared to NZ, Thailand looks after its people. NZ government does this in the name of reelection only. Theres too many lazy people here, too many benefits but then the government created these and once impregnated into ones mind are hard to reverse--but then there are no jobs anycase as the businesses are closing or moving. For any manufacturing company to stay in NZ is living hell to meet their production levels, costs and whatever else. With Thailand this is not the case. If you employ Thais and set up in Zone 3 areas which are areas away from the main centres then you can apply for BOI status (Board of Investment). The BOI will then assist you with tax FREE benefits for 5 years, importation of raw materials with no duties and lots of assistance in setting your factory up and producing. Besides look at the cost of cement $3 a bag at labour 200 baht per day and what one can buy as against the costs & red tape in NZ then it makes you ask yourself --hey Thailand is the place to setup my biz operation.


Bangkok ships out per day around 9500 FCL containers 24/7 against maybe NZ 100 FCL per every other day? so you can see why the likes of F& P, Caterpillar, Seagate, Komatsu, Sony, even Ford, Toyota, Honda, Triumph & graphic animation designers from "Lord of the rings" have set up in Thailand. Factories can run 6-7 days a week and not hassled by OSH, union, ACC or Council controls -- the factory managers live in Moo Baans that are excellent housing areas and their children can enjoy the best life can offer. Your paper work is much less and you are not killed by tax so if you want to make it work go to Thailand. Although they say Thailand is a third world country perhaps one needs to have a look at their system then compare it to NZ. Theres no balance-- Thailand has everything if not more and the goods and services way cheaper than anything in NZ.

WHY ARE MANUFACTURERS LEAVING NZ: NZ is at the end of the world and the cost to send raw materials into NZ is too expensive. 30% of all containers in and out of NZ are empty as its at the end of the road (sea) & the main shipping companies do not come here because of this reason. Trucking companies like Mainfreight use owner drivers and they charge up to $2.79 per km to take your cargo to wherever and the shipping cost alone are dear. eg to send a container from Bangkok to the UK which is further than NZ is $500 cheaper by sea. Owner drivers have to may a fee to the Company then pay themselves, the tax and RUC charges as well so see why transport costs are so dear. If a company has its own trucks they are up for salaries + these charges + other charges. Now compare the price of having a container picked up at your factory in Bkk & NZ is double the price if not triple. The landing costs are so expensive for wharf charges & slow. Next is salaries: companies who employ workers cannot pay the high salaries for the returns they receive in production as the Government then levy their taxes + ACC & the power boards & telecom charge exhorbitant rates for power & phone charges that it does not make it worth while to have a manufacturing company in NZ. Then you have the health and safety issues, the Unions and you have a Company struggling to survive as your workers only work 5 days a week. This is the norm in NZ and will remain so as it is not worth trying to set up any manufacturing business in NZ when there is no incentive. The issues are economics plain and simple nothing else.





However we can assist you as we have a Registered company in Thailand and Kiwi run. If you want to know more about setting up a company in Thailand just ask--- 16 years experience in factory and shipping & Kiwi owned Thai legal consultant. We understand all the issues of business structures from factories and manufacturing and can assist your company to make the move to Thailand.

"You won't regret moving to Thailand to set up business &

once there I bet you will say"," I wish I went years ago "


[ Check WHY THAILAND ] [ BOI Incentives THAILAND ]is better for Manufacturers than NZ


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