Sindh Economic Zones Management Company (SEZMC)
“Business Growth through Sustainable Development & Innovation”
Overview
The Government of Sindh has established Sindh Economic Zones Management Company (SEZMC) under the Company’s Act (2017) to institutionally facilitate, promote, encourage and enhance the industrial base in the province.
Objectives
The objective of SEZMC as body corporate is to facilitate domestic and foreign investors to invest in the manufacturing sector by offering special exemptions and incentives leading to reduced cost of doing business with efficient infrastructure.
To work for orderly and planned industrial growth by establishing Special Economic Zones/Economic Zone(s) such as IT, Media, Internet, Marble Cities or any other business cluster subject to the approval of Government of Sindh. To identify support services required by each economic zone(s)/special economic zone(s) and/or industrial estate(s) and/or industrial park(s) and facilitate to provide/establish a linking mechanism for industries to increase productivity and to undertake and execute which may promote directly or indirectly objects of the company.
Vision Statement
The company aims to develop new industrial zones and facilitate existing zones to strengthen the industrial base in the province of Sindh.
The SEZ act 2012 declares that the SEZs can be developed either by the public sector, or the private sector exclusively or it can be on public-private partnership basis (PPP), irrespective of foreign or domestic investors. SEZ Act 2012 provides the authority of establishing SEZ with a minimum of 50 acres of land. However, 70 percent of the area should be used for processing while remaining 30 percent should be kept as non-processing area, such as hospitals, residence, vocational training institutes.
For Developers
Exemption from all custom duties and taxes on plant and machinery imported into Pakistan for the development, operation and maintenance of the KSEZ.
Exemption from all taxes on income accruable in relation to the development and operation of the SEZ for a period of five years, starting from the date of signing of the Development Agreement.
Availability of gas and electricity by federal government and water by provincial government at the door step of zone.
For Zone Enterprises
One time exemption from all custom duties and taxes on imports of plant and machinery into the SEZ for installation therein;
Exemption from all taxes on income for a period of ten years to units starting production by 30 June 2020 and five years for those doing so after 30th June 2020.
Developed Infrastructure at the doorstep of enterprises.
- Availability of utility services at the door step of each enterprise.
LSEZ shall have a minimum size of at least fifty acres.
The SEZ, upon development, shall generate economic activity in terms of exports, employment and other performance indicators.
SEZ will provide import substitution and generate direct and indirect exports.
SEZ will not target any industry or product which is being banned in the world.
SEZ will not target any industry material/input of which is being protected by other countries in the larger national interest.
Zone Application shall be in conformity with the provisions of the Act, any applicable regulations issued under the Act and other applicable provisions of law.
70% of the SEZ land area will be used for purpose of operations of zone enterprises.
Developer will be obliged to undertake to comply with all the environmental, labour and other applicable legislation in force in Pakistan.
Developer will be obliged to undertake to take all necessary approvals to start construction activities within six months of signing of development agreement.
Developer to be engaged for the particular SEZ shall be a body incorporated under the laws of Pakistan.
Articles of Association of the developer shall be approved by the Provincial SEZ entity.
Developer shall ensure that the zone enterprises start construction of facilities within six months and assume regular production within twenty four months after receipt of all required licenses and permits.
There shall be no real estate activities in the zone.
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