Sustainism (stnsm.org) participated as an observer in the progress of Thailand’s OECD membership at the OECD Competition Peer Review event.

Thailand is currently on a crucial path towards joining the Organisation for Economic Co-operation and Development (OECD), with the goal of becoming a full member by 2030, as outlined by the Thai government. This process is akin to a “marathon” of policy reforms, where the finish line remains uncertain, but along the way, it is expected to bring significant benefits to the country. This effort aligns with the Sustainable Development Goals (SDGs) for 2030.

Thailand’s move towards OECD membership has garnered international attention, particularly from Australia, a member country with extensive experience in the OECD, and the Australian Competition and Consumer Commission (ACCC). ACCC has actively supported this process through cooperation on trade competition and consumer protection policies between the two countries.

This article will analyze both the opportunities and challenges for Thailand in joining the OECD, with a perspective from Australia, as well as the role of the ACCC and Thailand’s Trade Competition Commission (TCCT) in advancing this objective.

OECD and Its Connection to the Sustainable Development Goals (SDGs)

The Organisation for Economic Co-operation and Development (OECD) was established in 1960, following the end of World War II, with the purpose of promoting economic cooperation and development among countries with market-based economies. Today, the OECD has 38 member countries, most of which are developed nations, with 8 additional countries, including Thailand and Indonesia, in the process of becoming members.

The OECD serves as a global policy forum where member countries exchange knowledge and best practices, aiming to enhance the economic and social well-being of their populations while promoting principles of freedom and governance in development. The organization’s framework is closely aligned with the United Nations Sustainable Development Goals (SDGs), particularly those related to economic growth (SDG 8), reducing inequalities (SDG 10), combating corruption and strengthening institutions (SDG 16), and fostering international partnerships for development (SDG 17). Since 2018, the OECD has been working with Thailand through the Thailand Country Programme, supporting the country’s efforts to reform its public sector and align more closely with OECD standards. This programme has been designed to complement Thailand’s national strategy and development plans, driving inclusive and sustainable development as part of achieving the SDGs.

In essence, joining the OECD is not only a major economic and political milestone for Thailand but also a policy tool that accelerates the country’s pursuit of sustainable development in accordance with global standards.

The Role of the Trade Competition Commission (TCCT) in Aligning Policies with OECD Standards

A key requirement for any country seeking OECD membership is the need to align its laws, policies, and institutions with OECD’s best practices. This includes areas such as trade and investment liberalization, public sector governance, transparency, anti-corruption efforts, environmental protection, and climate change mitigation.

For Thailand, the Trade Competition Commission (TCCT) plays a pivotal role in driving the reform of its trade competition laws and policies to meet international standards. Thailand has continuously reformed its competition laws, and in 2017, the Trade Competition Act B.E. 2017 replaced the previous 1999 law. This established the Office of Trade Competition Commission (OTCC) as an independent agency to enforce competition laws, with TCCT overseeing policy implementation. These reforms have significantly enhanced the effectiveness and transparency of promoting fair competition in the Thai market, in line with OECD principles that emphasize free competition and the prevention of monopolies that hinder economic growth.

Furthermore, TCCT has actively sought international cooperation and advice to rapidly enhance its capacity. Under the Thailand Country Programme, competition policy has been identified as a core area to elevate Thailand’s business environment and competitiveness, with a focus on learning from the experiences of developed countries. As part of this effort, OECD experts have been engaged to provide guidance on the implementation of merger control laws in Thailand, ensuring they align with international best practices and foster economic growth.

A key aspect of this collaboration is the partnership between TCCT and the Australian Competition and Consumer Commission (ACCC). This partnership exemplifies the transfer of knowledge and capacity-building that helps Thailand adapt to OECD requirements. In February 2025, TCCT and ACCC signed a Memorandum of Understanding (MoU) to further strengthen their cooperation in enforcing competition laws, with the goal of aligning Thailand’s enforcement mechanisms with global standards in preparation for OECD membership.

This collaboration includes the exchange of knowledge between officials, study tours, joint training workshops, and coordination in applying laws to cross-border cases. Both agencies are committed to fostering a business environment that supports fair competition, which will promote trade and investment between Thailand and Australia, enhancing market efficiency and stimulating overall economic growth. This collaboration underscores Thailand’s commitment to driving high competition standards in the region and strengthens the country’s ability to comply with OECD competition policy standards.

The Benefits Thailand Will Gain from OECD Membership

Joining the OECD is akin to earning a global stamp of approval, fostering confidence in the international community and opening doors to numerous economic and social opportunities for Thailand:

• Catalyst for Reform and Improved Governance : The OECD’s accession process includes technical reviews of Thailand’s public policies across 26 committees of OECD experts, who may recommend improvements to laws, policies, or practices to align with OECD’s highest standards. This process acts as a catalyst, pushing Thailand to seriously pursue domestic reforms, particularly in transparency, public sector efficiency, and anti-corruption, all of which are key components of the SDGs. Having OECD frameworks to guide these reforms will ensure that progress is sustained, ultimately enhancing Thailand’s governance standards in the eyes of the international community.
• Promoting Trade, Investment, and Investor Confidence : Once Thailand is recognized as an OECD member, the country will gain credibility as a stable, rule-based economy. This will attract foreign investment, particularly from multinational companies, who will see Thailand as a prime destination for investment. As Thailand’s representative at the OECD, Chutinthorn from the Ministry of Foreign Affairs noted that this membership would allow Thailand to “align its legal and policy frameworks with international standards, increase investments in OECD member countries, and amplify Thailand’s voice in the global economic arena.”

This means not only increasing opportunities for Thai investors to expand abroad but also attracting more investment from developed countries into Thailand. Furthermore, implementing OECD’s competition and trade regulations will create a business environment conducive to private sector growth, boosting Thailand’s long-term competitiveness.

• Boosting Private Sector Potential, Innovation, and Human Resources Development: By adopting OECD standards across various sectors, particularly in trade competition and macroeconomic policies, Thailand’s private sector will be incentivized to enhance its efficiency, increase research and development investments, and foster innovation. Private companies will need to adjust to these transparency and governance standards, which will ensure long-term business sustainability. Additionally, Thai citizens will benefit from opportunities to develop their skills, higher quality employment, and better access to goods and services at fair prices. OECD Secretary-General Mathias Cormann (former Australian Minister for Finance) emphasized that OECD membership would support Thailand’s national reform agenda, advancing the country towards becoming a high-income nation by 2037. This will bring benefits to the Thai population, from skill development to attracting greater investment.
• Expanding Thailand’s Global Role and Negotiation Power: OECD member countries are often recognized as leaders in global economic governance. As a member, Thailand will have a seat at the table, enabling it to engage in policy discussions on global issues such as trade standards, climate change, or sustainable digital technology development. Thailand will be able to present the unique experiences of developing countries in Asia, adding diversity and relevance to the OECD’s discussions and broadening its scope. According to the OECD’s accession coordinator, Thailand’s and Indonesia’s participation will bring fresh perspectives and valuable experiences to the organization.

Moreover, Thailand will gain access to new alliances with other OECD members, enabling the exchange of best practices and potentially opening doors to further collaborations, such as free trade agreements or scientific and technological partnerships in the future. This growing role not only enhances Thailand’s international reputation but also increases the development opportunities available to the country across multiple sectors.

In summary, the benefits of OECD membership are not limited to any one dimension; they encompass a comprehensive approach to strengthening Thailand’s economy, governance, and international standing. It will serve as a catalyst for inclusive economic growth, innovation, and competitiveness, making Thailand a more attractive place for investment while contributing to global development goals.

Risks and Consequences of Failing to Join the OECD

On the other hand, if Thailand is unable to secure OECD membership, there are several risks and negative consequences that cannot be overlooked:

• Loss of Momentum for National Reforms : As mentioned, the process of preparing for OECD membership has forced Thailand to focus on improving its standards across various sectors. If Thailand fails to meet the OECD’s criteria or abandons this process prematurely, reforms could stall or regress. The country would lose the external impetus that has driven continuous improvement in its laws and governance standards. Structural problems such as corruption or monopolistic practices could persist, hindering long-term economic growth.
• Impact on Investor Confidence and Economic Opportunities : Failing to join the OECD may lead investors and the international community to perceive Thailand as falling behind in terms of development. This could erode confidence in Thailand’s policy stability and legal frameworks. As Chutinthorn noted, OECD membership is critical for enhancing credibility and attracting investment. Missing this opportunity could mean a loss of access to investment and a diminished role in the global economic arena.
• Undermining Thailand’s Leadership Role in ASEAN : Thailand is currently the second-largest economy in Southeast Asia and one of the first two countries in the region, alongside Indonesia, to pursue OECD membership. If Indonesia succeeds in joining the OECD while Thailand does not, it risks losing its status as a regional leader. Indonesia may become the primary representative of ASEAN in global economic discussions, potentially shifting investor focus towards its market. Additionally, Thailand’s inability to offer the region’s perspectives in the OECD would diminish its voice and influence in global policy circles.
• Missed Access to Policy Knowledge and Networks : The OECD is one of the world’s foremost centers of knowledge and policy innovation. Failing to become a member means that Thailand would miss out on direct access to global policymaking and the exchange of insights in critical areas. The lack of access to OECD’s benchmarking tools and policy indicators would prevent Thailand from comparing its performance with developed countries, depriving it of the opportunity to identify strengths and weaknesses in its own policy frameworks.

In conclusion, the failure to join the OECD would result in lost opportunities for Thailand to elevate its standing in multiple dimensions, especially in terms of global competitiveness and regional leadership. While these risks may not be immediate, they represent significant long-term challenges that Thailand must address through continuous reform, even without the external framework of OECD membership.

Private Sector Engagement in Supporting Thailand’s OECD Membership

As Thailand moves towards OECD membership, the private sector—especially large corporations and multinational companies operating in Thailand—can play a critical role in supporting and accelerating this process by raising the internal operational standards of their organizations to align with OECD’s sustainability and global standards. Key contributions include:

• Adopting Responsible Business Conduct (RBC) : OECD provides guidelines for multinational companies to conduct business in a way that respects human rights, labor rights, environmental sustainability, and sound governance. By publicly committing to and implementing these principles, large businesses in Thailand can improve the reputation of the Thai private sector on the international stage, aligning with one of the key goals of Thailand’s collaboration with the OECD—promoting responsible business practices and transitioning towards environmental sustainability.
• Supporting Fair Competition and Regulatory Compliance : Large companies can help cultivate a culture of fair competition by strictly adhering to Thai competition laws and avoiding monopolistic or anti-competitive practices. By cooperating with the Office of Trade Competition Commission (OTCC), businesses can help establish new standards for transparency and accountability in the marketplace. This will also make it easier for Thailand to pass OECD’s competition policy assessments and ensure the business environment is conducive to innovation and new business growth.
• Investing in Sustainable Projects and Governance Initiatives : Multinational companies can apply global best practices within their Thai operations and share knowledge with the government. Participating in policy dialogues and supporting anti-corruption and transparency projects will signal to the OECD that Thailand has the political will to advance sustainable development goals in line with international standards.
• Supporting SDG-Aligned Investments: Businesses can realign their investment strategies to support Thailand’s SDGs, such as clean energy, carbon reduction, sustainable communities, or workforce development programs. Demonstrating real-world progress on these goals will confirm to the OECD that Thailand’s private sector is committed to sustainable development alongside the government.

Ultimately, the cooperation of large businesses and multinational corporations prioritizing sustainability will empower Thailand to move smoothly and effectively toward OECD membership. Without the support of the private sector, the government alone cannot elevate standards across all dimensions. This collaboration between the government, regulatory bodies like TCCT, and the business community is key to ensuring that Thailand meets OECD standards and achieves full membership.

Conclusion

Thailand’s journey towards OECD membership represents both a golden opportunity and a monumental challenge, requiring the collective determination of all stakeholders—government, regulators, and private enterprises. From Australia’s perspective as an experienced OECD member, the benefits Thailand will reap are substantial, covering economic, social, and environmental dimensions. Australia is keenly aware that the road ahead is not without its obstacles, and as such, it has extended a helping hand through its collaboration with the ACCC to share experiences and build Thailand’s capacity to overcome these challenges. As Mathias Cormann, OECD Secretary-General, noted during the launch of Thailand’s OECD Accession Roadmap in Bangkok, the process marks “a significant step forward in our long-standing collaboration” and will drive Thailand’s reforms, creating opportunities for skill development and investment that benefit all levels of Thai society.

This statement underscores that Thailand’s progress toward OECD membership is not just about gaining membership status, but about advancing towards a future where the population enjoys a better quality of life, equitable economic competition, and balanced, sustainable development. As Thailand moves toward its 2030 goal, it must maintain political momentum and ensure the continuity of reforms, as OECD commended Thailand for clearly setting ambitious goals that will help maintain political support.

Regardless of the eventual outcome of Thailand’s OECD membership, if all sectors unite and fully commit to this “marathon” mission, Thailand will undoubtedly benefit greatly from every step taken forward, laying a more robust foundation for sustainable development in the future.