Tashkent, Uzbekistan, Jan. 23
By Mammad Dashdemirov – Trend:
The Uzbek government has approved the regulation on the procedure for selection of investment projects for realization on the territory of free economic zones and registration of participants of free economic zones, the Uzbek Ministry of Economy told Trend.
Under the document, an enterprise applying for operating in the free economic zone must produce high-technology import-substituting products in accordance with the parameters set for the projects on localization.
Moreover, the share of exports of manufactured products must be at least 20 percent of its total volume from the second year of operation of the enterprise and 30 percent in the further years, the ministry said.
Uzbek citizens must be provided with at least 95 percent of jobs.
Among the documents provided by the applicants should be information on their state registration, experience in the implementation of similar projects, financial and economic activity for the past three years, as well as the business plan for the investment project.
The Health Ministry's conclusion is required for implementation of investment projects in pharmaceutical sector. The investment projects worth over $5 million must be coordinated with the Republican Council for Coordination of Activity of Administrative Councils of Free Economic Zones.
Presently, 14 free economic zones operate in 10 Uzbek regions. The residents of those free economic zones are exempt from income taxes, as well as from mandatory contributions to the Republican Road Fund.
The terms of the allocated benefits depend on the amount of investments. By investing from $ 300,000 to $3 million, the participant is exempt from paying taxes and fees for three years, from $3 million to $5 million- for five years, from $5 million to $10 million - for seven years, over $ 10 million - for 10 years.
Moreover, the participants of the free economic zones are exempt from customs payments for the import of equipment, raw materials, components required for production, timber, as well as for the import of technological and medical equipment, spare parts for equipment, medicines and medical products.