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In the 50’s and 60’s, the US military started to station troops in Thailand.
This development created an increase in inequalities between cities and countryside areas.
Plus, many more people depend on the money sent home by the prostitutes to their families, mostly in the countryside. The arrival of many US soldiers in the 50’s is commonly considered the beginning of a large-scale industry, but it did not create the phenomenon. During the Ayutthaya period (1350 – 1767), there were even state run brothels, and prostitution was legal until 1960.
In Thailand, prostitution takes place quite openly, and even if prostitution is not accepted by society as a whole, it is common throughout Thailand and to some extent, accepted.
The fact that sexual services are occurring is a barely hidden secret, but the establishments are licensed and sexual services are not supposed to be their primary activity.
This law is still in place today, despite the common knowledge that these businesses are in fact, hidden brothels.