New investment submitted to the Board of Investment in targeted clusters promoted by the government in the first 10 months of the year has reached 400 billion baht, according to Industry Minister Atchaka Sibunruang.
That accounted for more than 70% of the total investment value target of 550 billion baht this year set by Deputy Prime Minister Somkid Jatusripitak, she said.
Ms Atchaka said the Industry Ministry is working on reducing obstacles in order to help increase real investment.
Of the total investment value in the first 10 months, around 138 billion baht stemmed from 144 projects in the clusters targeted by the Thailand 4.0 policy, which is intended to modernise the economy.
The 10 sectors are: automotive and auto parts, including electric vehicles; smart electronics; affluent, medical and wellness tourism; agriculture and biotechnology; food; robotics for industry; logistics and aviation; biofuels and biochemicals; digital; and medical services.
"We have been successful in attracting more investment in the targeted industries and we expect the investment value in the targeted clusters to rise further in the remainder of this year," she said.
However, she said certain sectors still require help from the government, especially the high-tech sector. The government plans to lend support in terms of research and development (R&D).
In addition, the government also plans to build infrastructure to serve high-tech industries in order to attract more investment in that sector in the future, she said.
To encourage more investment in the aviation sector, Ms Atchaka said the government will amend regulations to allow foreigners to hold more than a 51% stake in aviation companies. This would facilitate foreign firms to start investing in the sector and help improve its technology.
"In addition, U-Tapao airport will be upgraded to serve as a platform for the further development of the aviation sector," she said.
For the robotics sector, the government plans to encourage local industries to switch to using higher technology in order to boost demand for robots and automated systems in factories that would help improve the robotics industry in the long run.
Recently, the Thai-German Institute encouraged around 50 industrial companies to use automated and robotic systems in their production lines and a further 130 companies have expressed an interest in adopting the latest technology.
For the biochemical sector, the government and the Food and Drug Administration need to amend some regulations and clarify laws controlling biochemical products, she said.
Meanwhile, the private sector has also asked for government support on visa issuance for expatriates and foreign experts in order to encourage investment in R&D.
More R&D would also help increase investment in high-tech sectors, especially in special economic zones, said Ms Atchaka.