Investment privileges, infrastructure development and labour issues for special economic zones (SEZs) are likely to be settled by working agencies this month.
"The Finance Ministry is now considering a tax incentive for those investing in the five SEZs approved recently by the National Council for Peace and Order," said Arkhom Termpittayapaisith, secretary-general of the National Economic and Social Development Board.
A plan to set up a policy committee to supervise SEZs is also expected by next month.
The new SEZs are meant to boost border trade and alleviate the problem of labourers from neighbouring countries concentrating in major cities. The five are in Tak's Mae Sot district, Sa Kaeo's Aranyaprathet district, Trat's Khlong Yai district, Mukdahan's Muang district and Songkhla's Sadao district.
According to Mr Arkhom, investors in these SEZs would be entitled to receive more tax incentives than those under Zone 3 of the Board of Investment (BoI). Investors in Zone 3 are exempt from paying corporate income tax for eight years and get tariff waivers for imported machinery.
Finance permanent secretary Rungson Sriworasat said recently his ministry might allow investors in the new SEZs to receive the tax exemption for an additional three to five years. He said the BoI should also revise the tax incentive criteria by offering privileges to the tech sector and other knowledge-based industries that the country needs.
But incentives should not focus too much on taxes, he said, as Thailand needs tax revenue for its 2.4-trillion-baht infrastructure plan.
Mr Arkhom said the junta also aims to tackle farm product smugglers from neighbouring countries who seek the higher prices offered in Thailand under intervention schemes.
The Thai Chamber of Commerce recently forecast that SEZs would increase Thailand's border trade by at least 20% a year and boost tourism and movement of labour. Vice-president Niyom Waiyaratpanich estimated 2014 growth in border trade of 7-8% from last year's 924 billion baht.
According to the chamber, Thailand's border trade with neighbouring countries grew by 5.7% in the first five months of the year to 405 billion baht. Border trade with Malaysia contributed the most, followed by Myanmar, Laos and Cambodia.
Once the new SEZs are in place, border trade at the Sadao-Padang Besar checkpoint is expected to rise to 500 billion baht from an estimated 330 billion now. Border trade via Mae Sot is expected to rise to 50 billion baht from 46 billion, Khlong Luek trade rising to 100 billion from 59 billion baht and Mukdahan trade doubling from 30 billion baht now. Projected figures for Khlong Yai were unavailable.