BANGKOK: Thailand’s new Alcohol Control Act has officially come into force, but the absence of crucial secondary regulations is causing alarm among business operators. The law, which took effect on Saturday, November 8, aims to regulate alcohol advertising and sales, but its incomplete framework may disrupt trade and impact the tourism sector.
The new legislation has left the private sector in a state of uncertainty. Business operators are particularly concerned about the missing sub-regulations that are necessary for the law’s practical implementation. Prapawee Hemathas, Secretary-General of the Craft Beer Trade Association, emphasized the critical need for clarity, especially regarding advertising and publicity rules, which are essential for modern marketing strategies.
Concerns Over Missing Regulations
The new law permits publicity but not advertising, a distinction that is legally significant yet often misunderstood. Under the previous law, businesses were prohibited from displaying product images or beer bottles on social media, posing a challenge for small producers.
“Without clear secondary regulations, businesses will struggle to survive,” said Prapawee Hemathas.
Despite the law’s enactment, the industry remains anxious due to the absence of key sub-regulations, including those concerning advertising, sales hours, and zoning. Prapawee expressed disappointment over the main law’s enactment without the necessary secondary regulations, which should have been issued concurrently. The uncertainty extends to sales hours and zoning, with no official confirmation on the afternoon sales ban from 2 pm to 5 pm.
Impact on Business Operations
Many business owners feel “stuck,” caught between the desire to comply with the law and the lack of clear guidance, particularly in marketing and consumer communication. The potential for misinterpretation poses a significant risk, as it could lead to prosecution.
“A single misinterpretation could lead to prosecution,” Prapawee warned.
Sorathep Rojpotjanaruch, President of the Restaurant Business Entrepreneurs Association, argued that government regulations should facilitate business operations rather than hinder them. The new law also reiterates penalties for drinking outside permitted hours, with fines of up to 10,000 baht for both venues and customers who violate these rules.
International Reactions and Economic Implications
Australia has already issued an advisory warning travelers about the new restrictions, and other countries are expected to follow suit. This development could have significant repercussions for Thailand’s tourism economy, particularly in key tourist zones across Bangkok and other major provinces.
“This law will inevitably have a huge impact on Thailand’s tourism economy and restaurant businesses,” Sorathep noted.
The announcement comes as Thailand continues to recover from the economic impacts of the COVID-19 pandemic. The tourism sector, a vital component of the country’s economy, is particularly vulnerable to regulatory changes that could deter international visitors.
Looking Forward
The move represents a significant shift in Thailand’s approach to alcohol regulation, but the lack of secondary legislation highlights the challenges of implementing such sweeping changes. Business operators are calling for prompt action from the government to issue the necessary sub-regulations and provide clarity to ensure compliance and support economic recovery.
As the situation unfolds, stakeholders in the alcohol and tourism sectors are closely monitoring the government’s next steps. The hope is that clear guidelines will soon be established to balance regulatory goals with the needs of businesses and the tourism industry.