Taiwan-based Topco Scientific has expressed interest in investing Bt10 billion to start up an integrated solar-cell plant in Thailand.

"It plans to take advantage of abundant raw materials and use the local infrastructure to turn Thailand into a competitive production base for exports to other countries in ASEAN," Monta Pranootnorapal, governor of the Industrial Estate Authority of Thailand (IEAT), said yesterday.

"The plant will produce electronic parts as well," she told a seminar on the "Thai-Taiwanese Economic Forum, the Bridge to ASEAN".

The company is seeking local partners to form a joint venture to build the plant on an industrial estate in Ratchaburi, pending a final decision later this year, she said.

Some 20 Taiwanese firms are exploring the possibility of setting up facilities in IEAT's industrial parks for processed agricultural products and other manufactured goods, she added.

Santi Vilassakdanont, chairman of the Federation of Thai Industries, said Taiwanese investors were expected to become more active in Thailand particularly in the electronics, auto parts and alternative-energy industries.

About 300 Taiwanese, mostly from the electronics, auto parts, telecommunications and RFID fields, attended the event, which included business matching between 20 Taiwanese firms and 100 Thai companies.

Foreign companies are encouraged to form joint ventures so that the country can derive benefits from technology transfer and opportunities to expand overseas customer bases.

Surayuth Phettrakul, vice industry minister, said Taiwan wanted to relocate its investment overseas due to the global economic crisis, so Thailand had to be more aggressive as Vietnam and Malaysia were also competing for foreign investment.

According to the Board of Investment, Taiwan invested Bt7.4 billion in 45 projects here last year. In the first half of this year, 11 Taiwanese projects were submitted for BOI incentives. They were worth Bt616 million, sharply down from the same period last year.

Atchaka Sribunruang Brimble, secretary-general of the BoI, said the agency had tried to maintain Taiwanese investment, particularly in the electronics, machinery, food and biotech industries.

It opened an office in Taipei last year to facilitate investment expansion.