The discovery came after a days-long search involving more than 50 people after Mr Hallermann failed to return to the resort last Saturday (Sept 11).
Mr Hallermann’s body was found about 200 metres from a path leading over the hills in the centre of the island, on a steep slope overlooking Ao Plaew (Flame Bay), reports state news agency TNA.
The cause of death is still unknown, the agency reported.
Mr Hallermann’s body has been recovered from the remote site and officers are in the process of investigating his death, the agency report added.
Mr Hallereman was last seen walking past a resort in the Laem Thong area on the island last Saturday. A CCTV camera recorded him walking towards the path of the hills
Mr Hallermann, an Austrian national, was last seen walking through the Laem Thong area in Moo 8, Phi Phi Island, on Saturday.
Krabi Immigration Superintendent Col Kongrit Suksai said the search team said CCTV footage from a camera in front of a hotel showed Mr Hallermann walking past the camera at 2:24pm.
He was walking alone with a backpack along the path leading to Ao Nui.
After Mr Hallermann failed to return to the resort, hotel staff posted photos of him on social media, asking if anyone had seen him. They filed a missing person report at Phi Phi Police Station on Monday (Sept 13), Col Kongrit said.
Mr Hallermann had been working on Phi Phi Island for almost 20 years. He was well known and loved by the locals.