Baku, Azerbaijan, July 5
By Fikret Dolukhanov – Trend:
Over 15 new projects worth more than $300 million, including $78 million in the form of direct foreign investments, will be implemented in 2018 in the territory of the Angren free economic zone (FEZ), a source in the FEZ directorate told Trend.
Within the framework of these projects, enterprises will be created for processing leather, production of steel seamless pipes and fittings, electric manual drilling and grinding machines, decorative ceramic tiles and sanitary faience, conveyor belts, agricultural and automobile tires, ceramic granite tiles, electric pumps, autoclaved aerated concrete blocks, metal structures, etc.
"The investments of $89.1 million were disbursed from January to December 2017, as part of the implementation of projects in the territory of Angren, which is 57.1 percent more than in the same period in 2016. Five new production facilities with a total cost of $8.6 million were put into operation during 2017, of which $5.1 million fell on direct foreign investments. Some 338 people in the region were employed in the new enterprises," the Angren representative said.
The source also noted that 22 investment projects worth $233.9 million were implemented during the period of activity of the Angren FEZ.
"The direct foreign investments amounting to $163.1 million were attracted from such countries as China, Korea, Austria, Singapore, Russia, Great Britain, Bulgaria and others. The new enterprises created more than 1,900 new jobs and employed primarily graduates of lyceums and colleges of the cities of Ahangaran and Angren," said the FEZ representative.
The source noted that all enterprises in the territory of the FEZ are working to produce products that have demand in the market.
"During the period [January-November 2017], the enterprises of the Angren FEZ produced industrial products totaling more than 1.08 trillion soums [more than $137 million], which is 25.5 percent more than in the same period of previous year. At the same time, exports of products with high added value amounted to more than $13.1 million and increased by 10.1 percent compared to the same period of previous year," the source added.
The representative of the FEZ added that to date the enterprises of Angren have established the production of more than 28 types of different products, which are in demand in the domestic and foreign markets.
The Angren FEZ was created on April 13, 2012 by the decree of the president of Uzbekistan. The Special Industrial Zone Angren was renamed into the Free Economic Zone Angren on October 26, 2016 by the decree of President of Uzbekistan Shavkat Mirziyoyev.
Investors are provided with a wide range of benefits and preferences in the FEZ. They are exempt from the payment of land tax, income tax, tax on property for legal entities, tax for accomplishment and development of social infrastructure, single tax payment for micro-firms and small enterprises, and also obligatory deductions to the special purpose state funds at different times depending on the amount of investment.
The investors with the volume of investment from $300,000 to $3 million receive benefits for a period of three years, the investor with the volume of investments from $3 million to $5 million – for a period of five years, from $5 million to $10 million – for a period of seven years, and more than $10 million – for a period of 10 years.
In addition, investors are exempt from customs duties on imported raw materials, as well as materials and component parts used in production of the products aimed at export.
---
Follow the author on Twitter: @FDolukhanov