The Kamal Group, a private firm, has announced it will spend US$300 million to establish an export processing zone (EPZ) in Tanzania.[hidepost=9][/hidepost]
The Kamal Industrial Estate is spread over 279 acres in the Bagamoyo District close to the capital Dar es Salaam.
Director-general of the Export Processing Zones Authority, Dr Adelhelm Meru, said the project will have a positive impact on Tanzania’s exports and foreign exchange earnings.
Benefits of investing in the EPZ would include:
- Remission of customs duty, value added tax and any other tax charged on raw materials and goods of a capital nature related to production in the EPZ;
- Exemption from payment of corporate tax for an initial period of ten years;
- Exemption from payment of withholding tax on rent, dividends and interest for the first ten years;
- Exemption from payment of all taxes and levies imposed by local government authorities on products produced in the EPZ for the first ten years;
- Exemption from pre-shipment or destination inspection for requirements; and
- On site customs inspection of goods in the EPZ.
The Kamal Group is also involved in steel, mining, construction, agriculture equipment, and industrial and medical gases.
The newspaper further reports the EPZ has already attracted interest from prospective investors in the United Arab Emirates, India and China.