An aerial view of a community in Mukdahan province on the bank of the Mekong River. Mukdahan is among 10 provinces chosen by the government for development of special economic zones. THITI WANNAMONTHA

Nineteen privately owned companies bought 31 bid envelopes to participate in auctions that will determine who can convert state lands into special economic zones (SEZs) in Trat, Mukdahan and Nong Khai provinces.

The potential bidders include Property Perfect Plc (PF) for Trat province; CP Land, which bought bid documents for three provinces; and Advance Finance Co, which is interested in Mukdahan and Nong Khai provinces, director-general of the Treasury Department Chakkrit Parapuntakul said.

Bid document purchases for state lands in the three provinces was closed yesterday.

The department will put 2,693 rai -- 718 rai in Nong Khai, 1,080 rai in Mukdahan and 895 rai in Trat -- under the hammer.

Rental contracts will last for 50 years, with the rental rate and fee at the auctions starting from 24,000 baht per rai per year and 160,000 baht per rai per year, respectively.

SEZ development is a major government policy aimed at boosting investment and trade along border areas. The government decided two years ago to set up industrial estates in SEZs in 10 provinces for the purposes of agriculture, industry, logistics and tourism. Half were designated for the first phase -- Tak, Sa Kaeo, Trat, Mukdahan and Songkhla. For the second phase, Chiang Rai, Kanchanaburi, Narathiwat, Nakhon Phanom and Nong Khai were named.

Mr Chakkrit said the higher-than-expected bidding interest could be attributed to the vast space in each land plot, the government's tax perks, including the Board of Thailand's tax privileges and corporate income tax cuts, and the government's plan to develop infrastructure in the areas.

The business model for land utilisation is the main factor that the Treasury Department will take into consideration when determining the successful bidders, he said, adding that the environment, the bidders' financial positions, and proposed rents and returns to state will also be used in making the decision.

With the call for bids now closed, the agency will offer interested parties 60 days to submit their proposals. It will take another 30 days to consider their projects and send them to a committee on SEZs chaired by Prime Minister Prayut Chan-o-cha, after which the successful proposals will go to the cabinet for final approval.

Meanwhile, Mr Chakkrit said the Royal Thai Mint is in talks with the Laotian government to supply its coins.

The Royal Thai Mint is preparing to mint sample coins worth 500 kip (two baht) and 1,000 kip to replace the corresponding banknotes. He added that it would be possible to replace the 500 and 1,000-kip banknotes with coins, as the latter has a longer lifespan than banknotes, and the cost of minting coins is not high.

The Treasury Department will also discuss the possibility of minting coins for Cambodia during talks in early August. It is further making an appointment with the finance ministry of Myanmar to discuss the possibility of supplying the country's coins.