Challenges and Commitments

GGC conducts business with the commitment of transparency and adheres to the principles of accuracy, transparency, verifiability and awareness of duties and responsibilities in relation to tax operations to build trust and maximize benefits to stakeholders related to the Company's business operations. This is sustainable in the long term. The company has prepared a tax policy under good corporate governance and operates its tax strategy efficiently, consisting of 3 pillars: Tax Ethics, Tax Risk Management, and Tax Transparency.

Key Stakeholders

Shareholder, Investor and Analyst
Supplier and Business Partner
Community, Social and Environment

Tax Strategy Guidelines

GGC has formulated a tax policy to supervise risk management and disclose tax information with transparency, consistent with the Company’s strategy and business goals.

Tax Transparency

GGC publicly reports on the following for each tax jurisdiction in which we operate, which consists of the Company’s revenue, earning before tax, and corporate income tax paid as follows:

Corporate Income Tax Payment for 2023 (million THB)

Countries with production bases
Loss Before Tax***
Income Tax Paid
Income Tax Accrued
Number of Employees

*100% of revenue comes from Thailand.
** Sales and service income
*** Operating Profit before tax

GGC is engaged in primary activities in the Oleochemical Industry, with its main production base located in Thailand. In addition, it also cooperates with associates / business partners in various business operations to support future business expansion, which the Company is committed to supervising to ensure that associates and business partners will conduct business in accordance with the Company's set tax practices.

GGC Group's Main Business Units and Primary Activities
Thailand Business Activities
Global Green Chemicals Public Company Limited Production, distribution and transportation of oleochemical products
Thai Fatty Alcohols Co., Ltd. Production and distribution of biochemical and fatty alcohols products
GGC Biochemical Co., Ltd. Holding and operating local business
Joint venture
Thai Ethoxylate Co., Ltd. Production and sale of Fatty Alcohol Ethoxylates
Indirect joint venture
GGC KTIS Bioindustrial Co., Ltd. Production and distribution of electricity and ethanol from sugarcane

In addition, the Company has disclosed the Reported Tax Rates and Actual Tax Rates in 2022 and 2023 as follows:

Unit: Million THB

Details 2022 2023 Average
Earning (loss) before Tax 1,089 (120) -
Reported Tax 136 82 -
Reported Tax Rate (percent) 12.49 (68.33) (27.92)
Cash Taxes Paid 33.29 120 -
Cash Tax Rate (percent) 3.06 (100) (48.47)

In this regard, GGC properly manages corporate income tax according to Thai law. In 2023, the Company has a reported tax rate of (68.33) and the actual tax paid of (100), which is lower than domestic rate of 20 percent, according to law. This is because the Company received the privilege of corporate income tax exemption and Single Jurisdiction Tax Code from the Board of Investment of Thailand (BOI). The Company has received tax exemption privileges in 1 main area:

Corporate income tax exemption for
An Audit of GGC’s Actual Tax Rate can be explained as follows:

Unit: Million THB

Details Rate 2022 Rate 2023
Operating profit before tax 1,089 (120)
Income tax using the corporate income tax rate of Thailand. 20% 218 20% (24)
Non-Taxed Income - -
Additional deductible expenses (115) (7)
Accumulated tax loss (Refers to Timing-Issues outside of the two years period) 16 92
Expenses that are not subject to taxation 24 5
Share of profit from investments in joint ventures (9) 17
List of temporary differences - -
Others 2 (1)
Total 12.49% 136 (68.33%) 82


In 2023, Net Operating Loss entitled to tax exemption privileges is accounted for 306 million THB which stems from the operating loss from 2nd Methyl Ester Plant of 194 million THB. In addition, GGC had the operating loss from the investment promotion of effectiveness of the machinery performance of the 1st Methyl Ester Plant of 174 million THB. However, GGC generated net operating gain from “the Investment Promotion Certificate” tax exemption from the investment of the 2nd Glycerin Plant of 62 million THB, with explanation as follows.

  1. Income exempt from tax from BOI privileges in the amount of 7,241 million THB and 8,852 million THB in 2022 and 2023, respectively.
  2. The result of the deduction of expenses / income from tax privileges for investment promotion under the Revenue Code and the Investment Promotion Act in the amount of 47 million THB and 193 million THB in 2022 and 2023, respectively.