BOI Issues Incentive Amendments for Several Business Categories

1.27 Energy Crop Cultivation Business

1.  Must have adjacent areas which are not less than 50 Rais together.

2.  Must receive suitable cultivation management standard certification, such as Forest Stewardship Council (FSC), Program for the Endorsement of Forest Certification (PEFC), or other equivalent standards before the commencement date of operations.

A1

1.28 Organic Starch or Organic Flour Production Business

Must receive organic agricultural standard certification, such as the International Federation of Organic Agriculture Movements (IFOAM), Canada Organic Regime (COR), The National Organic Program (NOP), or other equivalent standards before the commencement date of operations.

A2

1.29 Native Starch or Native Flour Production Business

1.  Must use environmentally friendly technology, such as water recycling, air pollution control, etc.

2.  Must receive environmental standard certification, such as ISO 14000, or other equivalent standards before the commencement date of operation.

A4

1.30 Future Food Production Business:

1.30.1  Business of Production of Food with Health Claim

1.30.2  Novel Food Production Business

1.30.3  Organic Food Production Business

1.  No promotion is granted for the production of granulated sugar, diluted fruit juices, electrolyte drinks, energy drinks, alcoholic beverages, drinking water, soda water (both flavored and unflavored), carbonated soft drinks, vitamin water, and drinking water containing other additives.

2.  Must be assessed for health claims by the Food and Drug Administration, or other equivalent agencies, before the commencement date of operations.

1.  No promotion is granted for the production of granulated sugar, diluted fruit juices, electrolyte drinks, energy drinks, alcoholic beverages, drinking water, both flavored and unflavored soda water, carbonated soft drinks, vitamin water, and water containing other additives.

2.  Must be registered as a novel food by the Food and Drug Administration, or other equivalent agencies, before the commencement date of operation.

1.  No promotion is granted for the production of granulated sugar, diluted fruit juices, electrolyte drinks, energy drinks, alcoholic beverages, drinking water, both flavored and unflavored soda water, carbonated soft drinks, vitamin water, and drinking water containing other ingredients.

2.  Must receive organic agricultural standard certification, such as the International Federation of Organic Agriculture Movements (IFOAM), Canada Organic Regime (COR), The National Organic Program (NOP), or other equivalent standards before the commencement date of operations.

A2

1.31 Business Producing Foods for Treatment of Animal Diseases

1.  Must be registered as specifically controlled animal food or pet food for the treatment of pet diseases, or other equivalent standards before the commencement date of operations.

2.  Must be food safety management system certified, such as ISO 22000, or standards acceptable by the Global Food Safety Initiative (GFSI), etc. before the commencement date of operations.

A2

1.32 Modern Agricultural System Service Business

Must be a modern agricultural system service, such as a system for detecting or monitoring conditions, a resources control system (water, fertilizer, medications, and smart systems) etc. as approved by the Board.

A4

1.33 Biochemical Product Production Business

1.  Must use no less than 51 percent (by weight), of raw materials that come from agricultural produce, processed agricultural produce, biomass materials, waste, or by-products from the agricultural process industry.

2.  No promotion is granted to projects having only mixture or dilution processes.

3.  Must receive Ready Biodegradability Standards of international standards, such as OECD Guidelines for the Testing of Chemical, Test No. 301: Ready Biodegradability, etc. before the commencement date of operation.

A2

2.18 Mining, ore dressing, ore smelting, target potential ore metallurgy businesses:

2.18.1  Target potential mining business

2.18.2  Ore dressing business with the aim of targeting potential mining business in the same project

2.18.3  Ore smelting and/or metallurgy business in continuation of mining and target potential ores dressing business in the same project

2.18.4  Ore dressing, ores smelting, or target potential metallurgy business

1.  Prior to submitting an application for promotion, one must have a concession of mining sub-license.

2.  Must be a business related to targeting potential ores, such as rare earth, precious metals, alkali metals, quartz, potash, etc., and other ores as prescribed by the National Ores Management Policy Committee (except industrial rocks for the construction industry).

3.  Must obtain the Green Mining Certificate or CSR-DPIM standards from the Department of Primary Industries and Mines, or other international standards as approved by the Board, within 2 years of the commencement of operations.

4.  Must obtain the Mining 4.0 Certificate from the Department of Primary Industries and Mines or other international standards as approved by the Board, within 2 years of the date of commencement of operations. If not, the rights and privileges of a juristic person’s income tax exemption shall be revoked for 1 year.

5.  Within 2 years of the commencement of operations, one must have a real-time system for inspection and reporting of environmental impact. If not, the rights and privileges of a juristic person’s income tax exemption shall be revoked for 1 year.

6.  Where this juristic person is operating a mining business with the prospect of targeting potential ores, the expenses arising from the concession certified by the Department of Primary Industries and Mines may be included in calculating a juristic person’s income tax exemption.

7.  For existing businesses, irrespective of whether or not they are granted promotion, when applying for the rights and privileges under the efficiency improvement measures, the conditions under No. 3 – No. 5 must be complied with by the date of commencement of operations.

1.  Prior to applying for promotion, one must have a concession or mining sub-license.

2.  In the case that the ore dressing place is located outside the concession area, one must obtain an ore dressing license before applying for promotion.

3.  Must be a business related to targeting potential ores, such as rare earth, precious metals, alkali metal, quartz, potash, etc. and other ores as prescribed by the National Ores Management Policy Committee (except industrial rocks for the construction industry).

4.  Must obtain the Green Mining Certificate or CSR-DPIM standards from the Department of Primary Industries and Mines or other international standards as approved by the Board within 2 years of the date of commencement of operations.

5.  Must obtain the Mining 4.0 Certificate from the Department of Primary Industries and Mines, or other international standards as approved by the Board, within 2 years of the date of commencement of operation, if not, the rights and privileges of a juristic person’s income tax exemption shall be revoked for 1 year.

6.  Must have a real-time system for inspection and reporting of environmental impact within 2 years of the date of commencement of operation, if not, the rights and privileges of a juristic person’s income tax exemption shall be revoked for 1 year.

7.  Where this juristic person is operating a mining business with the prospect of targeting potential ores, the expenses arising from the concession certified by the Department of Primary Industries and Mines may be included in calculating a juristic person’s income tax exemption.

8.  For an existing business, irrespective of whether or not it is granted promotion, if applying for the rights and privileges under the efficiency improvement measures, the conditions under No. 4 – No. 6 must be complied with by the date of commencement of operation.

1.  Must have a concession or a mining sub-license before submitting an application for promotion.

2.  In the case where the ores dressing place and/or the metallurgy operation place is outside the concession area, one must obtain an ores dressing license and/or a metallurgy license before submitting an application for promotion.

3.  Must be a business related to targeting potential ores, such as rare earth, precious metals, alkali metal, quartz, potash, etc., and other ores as prescribed by the National Ores Management Policy Committee (except industrial rocks for the construction industry).

4.  Must obtain the Green Mining Certificate or CSR-DPIM standards from the Department of Primary Industries and Mines, or other international standards as approved by the Board, within 2 years of the date of commencement of operations.

5.  Must obtain the Mining 4.0 Certificate from the Department of Primary Industries and Mines or other international standards as approved by the Board within 2 years from the date of commencement of operation, if not, the rights and privileges of a juristic person’s income tax exemption shall be revoked for 1 year.

6.  Must have a real-time system for inspection and reporting of environmental impact within 2 years from the date of commencement of operations, if not, the rights and privileges of a juristic person’s income tax exemption shall be revoked for 1 year.

7.  Where this juristic person is operating a mining business with the prospect of targeting potential ores, the expenses arising from the concession certified by the Department of Primary Industries and Mines may be included in calculating a juristic person’s income tax exemption.

8.  For existing businesses, irrespective of whether or not they are granted promotion, when applying for the rights and privileges under the efficiency improvement measures, the conditions under No. 4 – No. 6 must be complied with by the date of commencement of operation.

1.  Must have an ore dressing license or a metallurgy operation license, or other licenses, from the Department of Primary Industries and Mines before submitting an application for promotion.

2.  Must be a business related to targeting potential ores, such as rare earth, precious metals, alkali metal, quartz, potash, etc. and other ores as prescribed by the National Ores Management Policy Committee (except industrial rocks for the construction industry).

3.  Must obtain the Green Mining Certificate or CSR-DPIM standards from the Department of Primary Industries and Mines, or other international standards as approved by the Board, within 2 years from the date of commencement of operation.

4.  Must obtain a Mining 4.0 Certificate from the Department of Primary Industries and Mines, or other international standards as approved by the Board, within 2 years from the date of commencement of operation, if not, the rights and privileges of a juristic person’s income tax exemption shall be revoked for 1 year.

5.  For existing businesses, irrespective of whether they are granted promotion, if applying for the rights and privileges under the efficiency improvement measures, the conditions under No. 3 – No. 4 must be complied with by the date of commencement of operation.

A2

A2

A2

A3

2.19 Cement production business

1.  Must have a production process that is of clean technology and environmentally friendly as approved by the Board, such as:

1.1  There is carbon capture and storage (CCS) technology and/or carbon capture and utilization (CCU) technology.

1.2  Renewable energy is used in the production process (except electrical energy from solar cells).

2.  Existing projects may apply for the rights and privileges under the efficiency improvement measures in respect to the reduction of impact on the environment in reducing greenhouse gas emissions only.

B