A. BUSINESS COSTS*
1. Industrial Land Cost (average cost in USD)
| Location |
Land Sale(per sq.m) |
Land Lease(per sq. m) |
Prime Areas
(capital city) |
US$ 30-50 |
US$ 3 - 5/ year (2004) |
Other Areas |
US$ 20-30 |
Less than US$ 0.5/year (2001) |
2. Office Space Cost (average cost in USD) (2001)
| Type of Office |
Location |
Office Space Area
(sq. m) |
Rental Cost |
| Prime Areas |
Vientiane |
50 |
Approx.
US$ 300/month |
Other Areas |
Vientiane |
50 |
Approx.
US$ 30/month |
3. Factory Building Cost (average cost in USD) (2001)
| Type of Factory |
Location |
Total Area |
Factory lease cost |
Ready-built Factory |
Prime Areas
Other Areas |
1,800
(sq. m)
1,800
(sq. m) |
US$ 1,500-3,000/month
US$ 800-2,000/month |
4. Warehouse Cost (average cost in USD) (2001)
| Type of Warehouse |
Location |
Total Area |
Rental Cost |
Light goods
Heavy goods |
Vientiane
Vientiane |
50 m 2
1 tone |
2,500 Kip/day
2,500 Kip/day |
Source :Transport Mixte du Laos
*The quoted price under “Business Cost” can be varied subject to negotiation.
B. PRODUCTION COSTS
1. MANPOWER COST
Minimum Monthly Wage for Labors: US$ 28/month (Kip 290,000.00)
* year 2005
Salaries (in USD) (2001)
| Position |
Monthly median salary range |
Manager Entry Level
Manager Middle Level
Manager Senior Level
Accountant
Secretary
Office Clerk
Messenger
Driver
Janitor
|
300-500
400-500
400-700
100-300
40-200
40-200
100-350
40 or more
100-250
|
2. UTILITY COSTS
a) Electricity Cost
| Category |
Power Usage |
Tariff (Kip/kWh) |
| Residential |
0 – 5 kwh
51 – 150 Kwh
>150 Kwh |
113
265
765 |
Business/Industrial |
Commercial
Entertainment
Government Office
Irrigation, agriculture
Industry |
826
1,095
706
295
636 |
Source: Entreprise d'Electricite du Laos (EDL ) (2005)
b) Water Cost
| Tariff Category |
Consumption Block
(m 3 / month) |
Tariff
(USD / m 3 ) |
| Residential |
0-5
6-30
more than 30 |
0.03
0.04
0.05 |
| Business/ Industrial |
1-10
11-50
more than 50 |
0.10
0.14
0.18 |
Source: Lao Water Supply Enterprise (2005)
c) Gas Tariff
| Category |
Wholesale (kip/cage) |
Retail (kip/cage) |
48 kg cage |
326,000 |
341,000 |
15 kg cage |
102,000 |
107,000 |
4 kg cage |
27,000 |
28,500 |
Source: Pasansak Gas (2005)
d) Fuel Cost
Petrol |
Wholesale (kip/ litre) |
Retail (kip/ litre) |
Unleaded |
5,830 |
5,930 |
Premium |
6,470 |
6,570 |
Diesel |
4,880 |
4,980 |
Source: Lao State Fuel Company (2005)
e) Telephone
| Category |
Tariff (Kip/mn)
(Call within Vientiane ) |
Tariff (Kip/mn)
(Call to other provinces) |
| Fixed line |
200 |
360 |
| Mobile |
300 |
360 |
Prepaid Mobile |
700 |
900 |
Source: Lao Telecom (2005)
Remark: USD 1 = 10,500 Kip
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