investment opportunities in tanzania (epzs &...

16
1 F O R E X P O R T - L E D E C O N O M I C G R O W T H E X P O R T P R O C E S S I N G Z O N E S A U T H O R I T Y EPZA Your Investment Destination of Choice INVESTMENT OPPORTUNITIES IN TANZANIA (EPZs & SEZs)

Upload: others

Post on 25-Jan-2021

0 views

Category:

Documents


0 download

TRANSCRIPT

  • 1

    FO

    R E

    X

    PORT-LED ECONOMI

    C G

    RO

    WT

    H

    EX

    PO

    RT

    PROC

    ESSING ZONES AUTH

    OR

    ITY

    EPZA

    Your Investment Destination of Choice

    INVESTMENT OPPORTUNITIES IN TANZANIA

    (EPZs & SEZs)

  • Tanzania, a Paradise for InvestorsThe Export Processing Zones Authority (EPZA) Tanzania gives you the most conducive opportunity to realize your entrepreneurial ambitions. We are an investment promotion agency of choice with a thriving investor centred culture that helps you achieve your aspirations.

    Our Country’s enabling policies, unmatched peace and stability, abundant natural resources, and strategic geographical location will enable your investment to grow further. In addition to these attractive incentive packages, availability of serviced industrial parks and consistent professional services are available to investors at all times. This is because, at EPZA we believe in supporting our investor’s aspirations.

    As one of the leading East African investment avenues, we are keen on cultivating a suitable investment climate that will help you capitalize on untapped opportunities in East Africa and the whole African continent.

    We welcome you to invest with us.

    Dr. A. Meru

    Director General, Tanzania EPZA

    2

  • BACKGROUND

    The Export Processing Zones Authority (EPZA) is an autonomous

    Government agency under the Ministry of Industry and Trade.

    The Authority was established in 2006 following the amendment

    of the EPZ Act of 2006 for the purpose of administering the EPZ

    program. Additionally, the Authority has been granted mandate

    to supervise the SEZ program following amendments of the EPZ

    and SEZ Acts of 2011. EPZA objectives among others include

    attracting and promoting investment for industrialization through

    EPZ and SEZ programmes, to facilitate EPZ and SEZ investors as

    well as issuance of EPZ and SEZ licenses.

    EPZ PROGRAM

    The Export Processing Zones program was established in 2002

    following the enactment of the Export Processing Zones Act of

    2002. The scheme promotes Export oriented manufacturing

    investment within designated zones aimed at creating international

    competitiveness for export - led economic growth.

    SEZ PROGRAM

    The Special Economic Zones program was established in 2006

    following the enactment of Special Economic Zones Act of 2006.

    The scheme promotes multi sectoral investment for both domestic

    and foreign markets.

    3

  • DISTINCTION BETWEEN EPZ AND SEZ

    EPZ scheme promotes Export oriented manufacturing investment

    within designated zones aimed at creating international competitiveness

    for export led economic growth. On otherhand, SEZ scheme promotes

    multi sectoral investment for both domestic and foreign markets.

    EPZ AND SEZ OBJECTIVES

    To promote investments in designated EPZ and SEZ areas

    To attract and encourage transfer of new technologies

    To promote processing of local raw materials

    To create and increase employment opportunities

    To increase foreign exchange earnings

    DESIGNATED EPZ AND SEZ AREAS IN TANZANIA

    MAINLAND

    Mbegani - Coast Region

    Malula - Arusha

    KIA – Kilimanjaro

    Kiyegeya - Morogoro

    Bunda, Tairo - Mara

    Bandari ya Mtwara - Mtwara

    4

  • Ujiji - Kigoma

    Kitengule - Kagera

    Luwawasi Mkuzo - Ruvuma

    Neema - Tanga

    Usagara, Nyan’gomango – Mwanza

    Iwambi –Mbeya

    Manyoni – Singida

    Kahama – Shinyanga

    Kilolo, Viwengi - Iringa

    Mererani/Simanjiro _ Manyara

    Ngongo Area - Lindi

    Kilimanjaro

    Shinyanga

    Kagera

    Kigoma

    Singida

    Mbeya

    Coast Region

    Iringa

    Lindi

    MtwaraRuvuma

    Morogoro

    Mara

    Mwanza

    Tanga

    Arusha

    Manyara

    5

  • GREAT OPPORTUNITIES FOR EPZ AND SEZ INVESTORS

    Opportunity to develop SEZ and EPZ Infrastructure

    SEZ and EPZ sites had been earmarked in all regions of

    Tanzania

    Each site is approximately 2000 hectares up to 9000 hectares.

    Local and Foreign investors are invited to develop SEZ/EPZ

    infrastructure in the earmarked regions.

    Infrastructure investments include development of industrial

    parks, ICT parks, Free port Zones and Free Trade Areas.

    Various forms of partnership accepted (BOT, BOOT, Land

    Concession Agreement etc).

    Opportunity to invest in existing SEZ and EPZ Industrial Parks

    Investors are invited to establish manufacturing units in the existing

    industrial parks. The following EPZ and SEZ Parks offer serviced land,

    industrial buildings and warehouses to EPZ ans SEZ investors:-

    BWM SEZ (DSM)

    Millennium Busines Park (DSM)

    Hifadhi EPZ Park (DSM)

    Kisongo EPZ Park (ARUSHA)

    Global Industrial Park EPZ (KISARAWE)

    Kamal Industrial Estate EPZ (BAGAMOYO)

    Kigoma SEZ

    Opportunity to construct Single Factory Unit

    Investors are invited to construct EPZ factories at any geographical

    location in Tanzania (Stand Alone EPZs).

    Opportunity to Provide EPZ and SEZ utility services

    Investors are invited to provide utility services such as power, water,

    and telecommunication on commercial basis in the EPZ Zones.

    6

  • WORLD CLASS INDUSTRIAL PARK AVAILABLE FOR LEASE

    MILLENNIUM BUSINESS PARK

    Dar es salaam

    Offer factory space for lease at US$ 6 per m2

    Located at Dar es Salaam 13 Km from port , 15 Km from airport

    Superior infrastructure

    HIFADHI EPZ – Dar es salaam

    Factory space for lease US$ 4 per m2

    Located at DSM 12 Km from port, 14 Km from airport

    Superior infrastructure

    KAMAL INDUSTRIAL ESTATE

    EPZ - Bagamoyo

    Serviced plots for sale, at US$ 59 per m2

    Located at Bagamoyo, 40 km North of DSM

    279 acres

    Access roads, power, water and gas

    GLOBAL INDUSTRIAL PARK

    EPZ - Mkuranga

    Serviced plots for sale, at US$ 60 per m2

    Located at Kisarawe, 25 km North of DSM

    25 acres

    Access roads, power, water and gas

    • Serviced plots for sale

    • US$ 60 per m2

    • Located at Kisarawe

    • 25 km North of DSM

    • 25 acres

    • Access roads, power, water, gas

    GLOBAL INDUSTRIAL PARK EPZ - Mkuranga

    7

  • LUCRATIVE EPZ AND SEZ INVESTMENT INCENTIVES

    ENJOY THE FOLLOWING UNDER EPZ AND SEZ....

    Exemption from payment of VAT and custom duties for

    raw materials, machinery, equipment, heavy duty vehicles,

    buildings, construction materials and any other goods of

    capital nature to be used for purposes of development of the

    EPZ and SEZ infrastructure.

    Exemption from withholding tax on rent, dividends and

    interest for 10years

    Exemption from taxes and levies imposed by Local

    Government authorities on products produced in EPZs.

    Exemption from VAT on utility and whalfage charges.

    Exemption from pre-shpment ispection requirement

    Exemption from payment of withholding tax on interest on

    foreign sourced loan.

    Exemption on VAT and custom duties on one administrative

    vihecle fire fighting equipment, two staff buses and

    ambulance

    Unconditional transferability of profits dividents, royalties

    Privillage procedure on work permit and visa

    IMPLAUSIBLE INCENTIVE FOR EPZ INVESTMENT

    Exemption from payment of property tax for 10 years

    8

  • ELIGIBILITY CRITERIA FOR EPZ LICENSING

    Be a new investment

    At least 80% of goods produced/processed should be

    exported.

    Annual export turnover should not be less than US$ 500,000

    for foreign investors and US$ 100,000 for local investors.

    ELIGIBILITY CRITERIA FOR SEZ LICENSING

    Be a new investment

    Minimum investment capital of USD 100,000 for local

    investors and USD 500,000 for foreign investors.

    Investment project must be located within designated SEZ

    area.

    INVESTMENT PROCEDURES

    Investors must submit applications accompanied by a copy of

    memorandum and articles of association, a copy of certificate of

    incorporation, environmental clearance certificate and a business

    plan indicating type of goods to be produced or processed,

    production volume of exports, location and EPZ and SEZ area

    where the business is intended to be carried on, type and raw

    materials to be used and production process intended to be used.9

  • TIME TO INVEST

    Preliminary evaluation of the proposal 2-3 days.

    Company registration 3-5 days.

    Residential permit Class A or B 14 days

    Environmental Impact Assessment (EIA clearance)

    • If no full EIA required – 7 days

    • If full EIA is required 3 months

    Detailed evaluation for EPZ and SEZ licensing 5 days

    EPZ AND SEZ SETUP

    Stand alone industries

    Business units

    Warehouses

    Industrial Parks

    10

  • UPCOMING SEZ PROJECTS

    BAGAMOYO SEZ

    To be established at Mbegani, Bagamoyo, 50 Km from Dar es salaam.

    9000 Ha earmarked for SEZ development.

    Will be supported by a modern port and an international airport.

    3,000 Ha will be for social infrastructure, such as residence, Schools , hospitals, entertainment centre.

    6,000 Ha are allocated for industrial, services and commercial infrastructure.

    500 Ha allocated for the port; 10,000 Ha for the airport

    The off-site infrastructure and major on-site infrastructure will be developed by the Government.

    Investors are invited to develop the port; airport; EPZ or SEZ industrial, commercial, tourist and ICT parks; hotels; warehouses; banks; schools; housing estates.

    Detailed information on the project; like land use plan and feasibility study report can be obtained from EPZA.

    Port

    Industrial

    Zone

    Commercial

    Zone

    SMEs

    Tourist Park

    Residential

    Area

    ICT Park

    Logistics

    Park

    To Dsm

    To Bagamo

    yo

    11

  • KIGOMA SEZ

    To be established in Kigoma region, Western Tanzania.

    Kigoma is a Port on lake Tanganyika; boarders Burundi,

    DRC and Zambia

    3,000 Ha have been earmarked for Kigoma SEZ.

    Feasibility study and phase one of the Master Plan has

    been completed.

    The area will be developed into an industrial cum

    commercial complex and will be a trade hub to the

    neighboring countries.

    Investors are invited to develop Kigoma port; EPZ/SEZ

    industrial, commercial, tourist, and ICT parks; warehouses;

    hotels; banks; schools; hospitals; housing estates; etc.

    Detailed information on the project; like land use plan

    and feasibility study report can be obtained from EPZA.

    Master Plan for part of Kigoma SEZ

    26

    12

  • MTWARA SEZ

    To be established in Mtwara Region just to the Mtwara

    port.

    Will be built on a 2650 ha area

    Supports southern corridor (Mtwara corridor) linking

    Mozambique, Malawi, Zambia and Congo

    Mtwara SEZ is an Integrated Project that will include....

    • Free Port Area

    • Industrial Parks, Technological Parks, Tourism Parks

    • Logistics Centers

    Mtwara area is among the area rich in oil and natural

    gas. Oil exploration companies can locate their

    investment and enjoy the free port zone facility

    13

  • PRIORITY SECTORS FOR EPZ INVESTMENTS

    • Textiles and Garments

    • Agro processing

    • Lapidary (gold, diamonds and gemstones, including the famous tanzanite)

    • Leather processing and manufacture of leather products

    • Fish processing

    • Wood products

    • Information and Communication Technology (ICT)

    industries.

    PRIORITY SECTORS FOR SEZ/ INVESTMENT

    • Agricultural & Agro Industrial

    • Industrial

    • Tourism

    • Commercial

    • Forestry

    • ICT

    • Banking & Financial centres

    Gold Tanzanite Diamond

    14

  • Gold Tanzanite Diamond

    WHY INVEST IN TANZANIAN EPZS AND SEZS

    Tanzania offers an attractive investment climate to investors

    looking for a low cost, efficient production and service

    location for international competitiveness

    The major reason why you should invest includes

    • Abundance of natural wealth which offers

    tremendous investment opportunities for

    investors. These include strategic location

    (landlocked countries depend on Tanzanian ports),

    arable land, availability of raw materials.

    • Acesss to preferential trade markets (AGOA –

    USA, EBA – Europe, Japan, SADC and EAC)

    • Political stability of more than 40 years.

    • Simplified bureaucracy, activities are streamlined

    through EPZA

    • World Class infrastructure in the zones

    • A lucrative package of incentive

    • Investment guarantees and settlement of disputes.

    Investment in Tanzania are guaranteed against

    political risks nationalisation and expropriation

    • Full protection to investiment and property

    through the constitution

    • Tanzania is a member of the inernational council

    for settlement disputes (ICSID)

    15

  • FOR MORE INFORMATION CONTACT

    Export Processing Zones Authority

    Benjamini William Mkapa SEZ

    Mabibo External

    PO BOX 12112 Dar es salaam, Tanzania

    Tel +255-22-2451827, +255-22-2451831-2

    Fax +255-22-24511830

    Website: www.epza.co.tz

    Email: [email protected]

    FO

    R E

    X

    PORT-LED ECONOMI

    C G

    RO

    WT

    H

    EX

    PO

    RT

    PROC

    ESSING ZONES AUTH

    OR

    ITY

    EPZA

    16