Problems relating to Trade and Investment on Thailand

 
19. Industrial standards, approval of safety standards
Issue
Issue details
Requests
Reference
(1) Restrictions upon Steel Products by Compulsory Standards - Ministry of Industry tightened its standards for steel products in response to the pressure from the domestic mill:
-- 1993.12 - Strict observance of bar steel (TIS Standard)
-- 1998.05 - Strict observance of section steel (TIS Standard)
-- 1998.12 - Strict observance of wire rod (TIS Standard)
-- 1999.01 - Strict observance of hot rolled plate (TIS Standard)
-- 2002.05 - Strict observance of cold rolled plate (TIS Standard)
-- 2008.09 - TISI partially changed hot-rolled steel TIS528 (2548), voiding the old licence.
-- 2008.12 - TISI started strict implementation of the compulsory standard approval (On 26 January 2009, New regulation was promulgated, enforced, and immediately repealed. After that, new product inspection standard (PIS) was promulgated.)
-- 2009.03.04 - PIS entered into force.
-- 2010.3-6 - Japanese blast furnace manufacturers (JBFMs) received factory audit under the 1st manufacturers' audit. TISI demanded production of an excessive amount of documents. Its inefficient inspection together has increased the burden to each manufacturer to respond to the TISI requests.
-- 2011, 6-11 JBFMs received the continuation of Audit for the 2nd year, without reduction in the audit procedures. As a result burdens upon JBFMs continued.		 - It is requested that GOT:
-- repeals the examination scheme,
-- clarifies and streamlines the procedures (including the exclusion scheme),
-- reduces auditing process, and
-- reduces auditing frequency.		 - Industrial Standard Act
- Each Compulsory Standard
- Products Inspection Rules
  (Action)
- On 28 June 2011, TISI promulgated new Implementation Rules of Industrial Standards (IRIS) which entered into force retroactively from 17 June 2011). IRIS stipulates Application Form, and Certification (that the subject product is compatible with the TISI Standards).
  (Improvement)
- In December 2012, an MFS, blast furnace manufacturer, received the 3rd continuous audit. The TISI inspector referred to the TISI's internal review now under way on simplifying the auditing for manufacturers with good standing and impeccable records in the past auditing.
- In November 2013, Thai Industrial Standards Institute (TISI) started its study whether to conduct steel mill inspection at an interval of once every 2-3 years.
(2) Long Waiting Period required for Acquisition of TISI Product Certification - Standards auditing by TISI is required prior to introduction of new products into the Thailand market, such as audio/visual equipment, whether imported or domestically manufactured. It takes about 2-months from date of filing application to grant of approval.
- Implementing Problems over the acquisition of TISI (Thai Industrial Standard), product certification are epitomised as follows:
Requirements for filing of model-by-model application, ordeal of factory inspection, extraordinary lengthy examination of documents, etc., sometimes affect the production schedule and shipments.		 - It is requested that TISI shortens the audit period.
- It is requested that TISI simplifies the product certification procedures.		 - TISI Standards
- Ministerial Regulation No. 13 (B.E. 2497) on Exchange Control
- Detailed Regulation of Revenue Code
  (Action)
- In November 2007, GOT and GOJ ratified Japan-Thailand Economic Partnership Agreement that includes the Chapter on Mutual Recognition and Standards and Conformity Assessment.
- On 26 January 2009, Thai Industrial Standards Institute of Ministry of Industry promulgated new standard TISI-R-PC-01(03), tightening the standards of examination among others on factory auditing, notice of purchase order, application requirement for each delivery, and examination procedure.
- In 2009, the Chairperson of Japanese Chamber of Commerce, Bangkok ("JTC") and the Chairperson of the Metal Division petitioned Mr. Charnchai Chairungrueng, Minister of Industry on the following issues:
(1) A prompt attention to resolve the delay in the certification application,
(2) Deferring the start for operating the new rule, and
(3) Joint study for a rational change in operating the standard certification.
In return the Minister of Industry responded as follows:
(1) Instructions are given to the Ministry to resolve the delay in standard approval within 43 days, and
(2) The Minister welcomes the proposal for the Joint study for a rational change in operating the standard certification.
(TSUSHO KOHO, JETRO Daily e-mail news service, 22 May 2009).
(3) Compulsory Factory Examination For Acquisition of Safety Standard - Factory audit by TISI auditor is a compulsory requirement, including imported products in small amount of sales. The idea of such imports must be abandoned as the cost of TISI auditing does not warrant. - It is requested that GOT streamlines the certification procedures.

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