Free trade zone to help increase attractiveness of Baku port (Exclusive)
Baku, Azerbaijan, June 28
By Ilkin Shafiyev - Trend:
Creation of a free trade zone (FTZ) in Alat will help significantly increase cargo transshipment through the Baku International Sea Trade Port, a source in the government Trend.
"The free trade zone provides for the application of tax and customs privileges, which is very attractive for foreign investors. At the same time, this zone is created not only for the transit of goods - processing, packaging areas and so on will also be functioning there. That is, the added value will be created there. For example, some equipment from Europe, with the final destination in Central Asia arrives in Alat in disassembled form. Here, it will be assembled and thus the added value will be created. Or, for example, cotton, which Uzbekistan supplies to Europe, can be processed here and turned into finished textile products," the source said.
The source said that the best world experience was used in the creation of the FTZ.
"In particular, we can mention Dubai and Singapore. We have the opportunity to use their experience."
"The FTZ will help attract transit cargo from the region and thus contribute to the growth of transshipment through the Baku port. Once the North-South project is completed, it will also be possible to attract the cargo transported from India to Europe. In general, it will help to create new jobs, increase GDP, and will have a multiplier effect on the economy of Azerbaijan," the source said.
The free economic zone is being created in Alat on the basis of a decree of the head of state, signed March 2016. The territory of the new Baku International Sea Trade Port is also included in the zone.
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