In special economic zones [1] [2] business and trades laws differ from the rest of the country. The term, and a number of other terms, can have different specific meanings in different countries and publications. Often they have relaxed jurisdiction of customs or related national regulations. They can be ports or other large areas or smaller allocated areas.
Terms include free port (porto Franco), free zone (zona franca), bonded area (US: foreign-trade zone), free economic zone , free-trade zone , export processing zone and maquiladora .
Most commonly a free port is a special customs area or small customs territory with generally less strict customs regulations (or no customs duties or controls for transshipment). Earlier in history, some free ports like enjoyed political autonomy. Many international airports have free ports, though they tend to be called customs areas, customs zones, or international zones.
Although the enabling act came into effect in 1992, the pioneer Free Zone (the Calabar Free Trade Zone) was not fully completed until 1999, and commenced operation after official commissioning in November 2001. Since then, the Free Zones Scheme has been used as a vehicle for industrial and commercial development of the country. Private Sector participation and partnership with the Federal Government and other tiers of government has helped spread the scheme. This has culminated in the establishment of specialised Free Zones and other types of Zones, namely:
Serial Number | Name | Location | Status | Ownership |
---|---|---|---|---|
1 | Snake Island Integrated Free Zone | Lagos | Operational | Private |
2 | Kano Free Trade Zone (KFTZ) | Kano State | Operational | Fed. Govt. |
3 | Onne oil & Gas Free Zone | River State | Operational | Under Parallel Authority |
4 | Tinapa Free Zone & Tourism Resort | CRS | Operational | Private/Public |
5 | Calabar Free Trade Zone (CFTZ) | CRS | Operational | Fed. Govt. |
6 | Maigatari Border Free Zone | Jigawa State | Operational | State |
7 | LADOL Free Zone | Lagos | Operational | Private |
8 | Airline Services Export Proc. Zone | Lagos State | Operational | Private |
9 | ALSCON Export Processing Zone | Akwa Ibon | Operational | Private |
10 | Ogun Guangdong Free Trade Zone | Ogun State | Operational | Public/ Private |
11 | Sebore Farms Export Processing Zones | Adamawa State | Operational | Private |
12 | Ibom Science & Tech. Park Free Zone | Akwa Ibom | Under Cons. | Public/Private |
13 | Living Spring Free Zone | Osun State | Under Cons. | State |
14 | Lekki Free Zone | Lagos State | Under Cons. | State/ Private |
15 | Brass LNG Free Zone | Bayelsa | Under Cons. | Public/Private |
16 | Abuja Technological Village Free Zone | Abuja | Under Cons. | Public/Private |
17 | Specialized Railway Industrial FTZ - Kajola | Ogun State | Under Cons. | Public/Private |
18 | Imo Guangdong FTZ | Imo State | Under Cons. | Public/Private |
19 | OK Free Trade Zone | Ondo & Ogun | Under Cons. | States/ Private |
20 | Lagos Free Zone | Lagos State | Under Cons. | Private |
21 | Kwara Free Zone | Kwara State | Declaration | State Govt. |
22 | Oluyole Free Trade Zone | Oyo State | Declaration | State Govt. |
23 | Koko Free Trade Zone | Delta State | Declaration | State Govt. |
24 | OILSS Logistics Free Zone | Lagos | Declaration | Private |
25 | Banki Border Free Zone | Borno State | Declaration | State |
26 | NAHCO Free Trade Zone | Lagos State | Operational | Private |
The introduction of free zones has played a large role in increasing the amount of investment into Nigeria. When all the free zones are fully operational, Nigeria is projected to play a large role in expanding export-driven manufacturing activities in Africa. [3]
SN | Name | Province | Foundation date |
---|---|---|---|
1 | Mersin Free Zone | Mersin | 1987 |
2 | Antalya Free Zone | Antalya | 1987 |
3 | Aegean Free Zone | İzmir | 1990 |
4 | Istanbul Atatürk Airport Free Zone | Istanbul | 1990 |
5 | Trabzon Free Zone | Trabzon | 1992 |
6 | Istanbul Leather Industry Free Zone | Istanbul | 1995 |
7 | East Anatolia Free Zone | Erzurum | 1995 |
8 | Mardin Free Zone | Mardin | 1995 |
9 | Istanbul Stock Exchange Free Zone (İMKB) | Istanbul | 1997 |
10 | İzmir Menemen Leather Free Zone | İzmir (Menemen) | 1998 |
11 | Rize Free Zone | Rize | 1998 |
12 | Samsun Free Zone | Samsun | 1998 |
13 | Istanbul Tracia Free Zone | Istanbul | 1998 |
14 | Kayseri Free Zone | Kayseri | 1998 |
15 | Adana Yumurtalık Free Zone | Adana (Yumurtalık) | 1998 |
16 | European Free Zone | Tekirdağ (Çorlu) | 1999 |
17 | Gaziantep Free Zone | Gaziantep | 1999 |
18 | Bursa Free Zone | Bursa | 2001 |
19 | Kocaeli Free Zone | Kocaeli | 2001 |
20 | Denizli Free Zone | Denizli | 2002 |
21 | Tubitak Free Zone | Kocaeli (Gebze) | 2002 |
European Union free zones: [7]
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Тechnological–Industrial Development Zones (TIDZs) [15]
Serbia has 14 free economic zones as of September 2017; [18] these are: [18]
| GibraltarIsle of Man
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Law 19640: Special Customs Area for the Island of Tierra del Fuego [24]
Law 24331: Free Zones (of Argentina) [25]
Foreign trade zones: [27]
A free-trade zone (FTZ) is a class of special economic zone. It is a geographic area where goods may be imported, stored, handled, manufactured, or reconfigured and re-exported under specific customs regulation and generally not subject to customs duty. Free trade zones are generally organized around major seaports, international airports, and national frontiers—areas with many geographic advantages for trade.
Free economic zones (FEZ), free economic territories (FETs) or free zones (FZ) are a class of special economic zone (SEZ) designated by the trade and commerce administrations of various countries. The term is used to designate areas in which companies are taxed very lightly or not at all to encourage economic activity. The taxation rules and duties are determined by each country. The World Trade Organization (WTO) Agreement on Subsidies and Countervailing Measures (SCM) has content on the conditions and benefits of free zones.
An entrepôt or transshipment port is a port, city, or trading post where merchandise may be imported, stored, or traded, usually to be exported again. Such cities often sprang up and such ports and trading posts often developed into commercial cities due to the growth and expansion of long-distance trade. These places played a critical role in trade during the days of wind-powered shipping. In modern times customs areas have largely made entrepôts obsolete, but the term is still used to refer to duty-free ports with a high volume of re-export trade. Entrepôt also means 'warehouse' in modern French, and is derived from the Latin roots inter 'between' + positum 'position', literally 'that which is placed between'.
Jawaharlal Nehru Port, also known as JNPT and Nhava Sheva Port, is the second largest container port in India after Mundra Port. Operated by the Jawaharlal Nehru Port Trust Authority (JNPTA), it is located on the eastern shores of Arabian Sea in Navi Mumbai, Raigad district, Maharashtra. This port can be accessed via Thane Creek, a nodal city of Navi Mumbai. It is the main port of the Mumbai Metropolitan Region after Mumbai Port, also of Maharashtra and Western India. Its common name derives from the names of Nhava-Sheva village that is situated here. It is also the terminal of the Western Dedicated Freight Corridor.
The Port of Barcelona is a major port in Barcelona, Catalonia, Spain. Its 7.86 km2 (3 sq mi) are divided into three zones: Port Vell, the commercial/industrial port, and the logistics port. The port is managed by the Port Authority of Barcelona, itself owned by the state-owned Ports of the State.
The Liepaja Special Economic Zone is the only special economic zone in the Baltics consisting of a seaport, industrial area and international airport. Liepāja special economic zone was established in 1997 to develop port operations, cargo handling, logistics, manufacturing and air transportation. The goal of the Liepāja SEZ is to attract investments for the development of the port, manufacturing, and creating new working places.
Ras Al Khaimah Free Trade Zone is a special economic zone in Ras Al Khaimah. RAK FTZ is around an hour drive from Dubai.
Mariel is a municipality and town in the Artemisa Province of Cuba. It is located approximately 40 kilometres (25 mi) west of the city of Havana.
Skypier Terminal is a cross-border facility that includes a ferry pier and a coach bay integrated within Hong Kong International Airport, Chek Lap Kok, New Territories, Hong Kong. It is operated by Hong Kong International Airport Ferry Terminal Services Limited, a joint-venture company between Chu Kong Passenger Transport Co., Ltd and Shun Tak-China Travel Ship Management Limited. At this building, passengers aboard can transit from Hong Kong International Airport to piers in the Pearl River Delta of Guangdong Province or vice versa, without immigration and customs clearance through Hong Kong. Passengers can also transit to Macao through coaches or vice versa, without immigration and customs clearance through Hong Kong.
Zona Franca is a logistics and industrial area located in the Sants-Montjuïc district of Barcelona, Catalonia, Spain. Together with the adjacent Port of Barcelona it forms the neighborhood Zona Franca – Port.
The Free Economic Zone of Manaus is a free economic zone in the city of Manaus, the capital of the State of Amazonas, Northern Brazil. The initial idea, a free trade port in Manaus, came from Deputy Francisco Pereira da Silva and was subsequently formalized by Law No. 3.173 on June 6, 1957. The project was approved by the National Congress on October 23, 1951 under No. 1.310 and regulated by Decree No. 47.757 on February 2, 1960. It was then amended by rapporteur Maurício Jopper, engineer, who by agreement with the original author, justified the creation of a free economic zone instead of a free trade port.
Port Lansing is a United States Port of Entry located at Capital Region International Airport in DeWitt Township, adjacent to Lansing, Michigan. The Port allows passengers and cargo to clear customs through a U.S. Customs and Border Protection Federal Inspection Station.
The Zona Franca de Iquique, known by the acronym Zofri, is located in the coastal port city of Iquique, in Iquique Province of the Tarapacá Region, northwestern Chile.
The Intergovernmental Agreement on Dry Ports is a 2013 United Nations treaty designed to promote the cooperation of the development of dry ports in the Asia-Pacific region. It was concluded under the auspices of the United Nations Economic and Social Commission for Asia and the Pacific (UNESCAP) and is open to ratification by any state that is a UNESCAP member.
Amana Contracting and Steel Buildings is a UAE based industrial and commercial design-build construction company. It specializes in fast-track, turnkey construction of commercial, industrial and institutional low-rise facilities.
A bonded logistics park is a type of special economic zone. Trade arrangements are similar to that of a bonded warehouse but over a specific geographic area. Sometimes with international port capabilities. Goods may be stored, manipulated, or undergo manufacturing operations without payment of duty.
Shekou is an area at the southern tip of Nanshan District, Shenzhen, Guangdong Province, China. It faces Yuen Long, Hong Kong across the Shenzhen Bay. It has been designated as a Free Trade Zone by the government, alongside Qianhai, Hengqin and Nansha New Area.
Freeports in the United Kingdom are a series of government assigned special economic zones where customs rules such as taxes do not apply until goods leave the specified zone. The theoretical purpose of such freeports is to encourage economic activity in the surrounding area and increase manufacturing. Critics of such schemes, including the parliamentary opposition, see them as possible tax havens and open to money laundering.