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PART THREE: PROSPECTIVE SECTORS FOR INVESTMENT
in the UAE
3.5 UAE Free Trade Zones – Attributes and Rules, Services, Investment, and Manufacturing
Ch 15
Free Trade Zones (FTZ) or export processing zone (EPZ), also called foreign-trade zone, formerly free port, is an area within which goods may be landed, handled, manufactured or reconfigured, and re-exported without the intervention of the customs authorities. Only when the goods are moved to consumers within the country in which the zone is located do they become subject to the prevailing customs duties.
Free Trade Zones
The world's first Free Trade Zone was established in Shannon, Ireland (Shannon Free Zone). This was an attempt by the Irish Government to promote employment within a rural area, make use of a small regional airport and generate revenue for the Irish economy. It was hugely successful, and is still in operation today
Free Trade Zones
Most FTZs located in developing countries: Brazil, Colombia, India, Indonesia, El Salvador, China, the Philippines, Malaysia, Bangladesh, Pakistan, Mexico, Costa Rica, Honduras, Guatemala, Kenya, Sri Lanka, and Madagascar have EPZ programs. In 1997, 93 countries had set up export processing zones employing 22.5 million people, and five years later, in 2003, EPZs in 116 countries employed 43 million people.
Free Trade Zones
Advantages :1- Increased Productivity2- Efficiency in Production3- Lower Consumer Prices4- New Job CreationDisadvantages1- Reduction of Government Revenue2- Smuggling3- Possible Money Laundering4- Customs Fraud
Free Trade Zones
UAE Free Zones has always been eager to assist investors and businessmen in making a reality of their goal of experiencing the most talked about business freedom in the UAE Free zones. Services include, complete documentation for licensing, visiting various sites suited to clients' requirement, assisting in visa application & residence permit and banking.
Free Trade Zones in the UAE
UAE Free Zones Costs varies from Emirate to another:
Dubai Only AED 50,000/- Sharjah Only AED 25,000/- RAK Only AED 15000
Free Trade Zones in the UAE
UAE Free Zones locations: Abu Dhabi, Dubai, others• Higher Corporation for Specialized Economic
Zones• Abu Dhabi Global Market • Abu Dhabi Airport Free Zone• Khalifa Industrial Zone• Khalifa Port and Industrial Zone• Masdar City• Zones Corp• twofour54
Free Trade Zones in the UAE
1. Dubai Airport Free zone2. Dubai Silicon Oasis3. Jebel Ali Free Zone4. Dubai Multi Commodities Center5. Dubai Internet City6. Dubai Media City7. Dubai Studio City8. Dubai Academic City9. Dubai Knowledge Village10. Dubai Outsource Zone11. Enpark12. Intl Media Production Zone13. Dubai Biotech Research Park14. Dubai Auto Zone15. Gold and Diamond Park16. Dubai Healthcare City17. Dubai Intl Financial Centre18. Dubai Logistics City19. Dubai Maritime City20. Dubai Flower Centre21. Intl Humanitarian City
Free Trade Zones in the UAE
• Sharjah Airport Free Zone• Hamriyah Free Zone• Ahmed Bin Rashid FZ (Umm Al Quwain free zone)
• Ajman Free Zone Authority • RAK Investment Authority• RAK Free Zone • RAK Maritime City• Ras Al Khaimah Media Free Zone (RAKMFZ)• RAK Center for Business Excellence or RAK Training Center for Business
Excellence. • RAK Education Zone. • RAK Financial Center. • RAK Industrial and Technology Park. • Fujairah Free Zone• Fujairah Creative City
Free Trade Zones in the UAE
UAE Free Zones Rules & Regulations:UAE allow 100% foreign ownership and have no
taxes - usually guaranteed for 15 or 50 years. Each free zone has its own specific requirements
regarding minimum office/warehouse space and permitted activities.
Companies outside the free zones require a local (Emirati) sponsor and allow maximum 49% foreign ownership.
Free Trade Zones in the UAE
UAE Free Zones Rules & Regulations:The residence visa and the
requirements in the free zones is much easier than visas requirements under the Ministry of Labor in the country.
Free Trade Zones in the UAE
UAE Free Zones and the UAE Economy:UAE Economy is open to foreign trade,
and the re-export of products is one of the main income of the country.
Free Trade Zones in the UAE
Dubai Customs Warehouse Trade
Dubai Statistics Center 2012
In Millions AED
