FREE ECONOMIC ZONE (FEZ)
Minsk free economic zone is a part of the territory of the Republic of Belarus with strictly defined boundaries and a special legal regime establishing more favorable conditions for carrying out entrepreneurial or other economic activity.
Established in 1998 it was aimed at attracting domestic and foreign investments, creating and developing production facilities based on new and high technologies, increasing the number of workplaces and the volume of export, providing favorable conditions for the economic development of Minsk and Minsk region.
Favorable geographical position, a great number of incentives and preferences make free economic zone attractive for running your business with maximum benefit and return.
Proximity of Minsk free economic zone to the capital city also provides you with excellent opportunity to make effective use of all advantages of the city such as a huge human capacity, an extensive network of roads and railways, a high concentration of governmental bodies and business organizations.
Having 20 years experience behind, Minsk free economic zone has contributed effectively to the economic development of Minsk and Minsk region and has demonstrated significant results.
Welcome to our investor-friendly Minsk free economic zone and be aware that we have a lot to help your business grow.
1. Favorable geographical location of the country.
2. Multi-vector foreign trade policy of the state.
3. Easy access to the most potential fast-growing markets of EEU countries (Russia, Armenia, Kazakhstan, Kyrgyzstan), other CIS member-states (282 million consumers) and European Union (508,2 million consumers).
4. Well-developed logistics infrastructure.
5. Highly developed scientific and industrial potential.
6. Highly skilled workforce.
7. Legal guarantees for investors.
8. Visa-free regime of entry to Belarus
9. Belarus’ high score in the World Bank’s Doing Business ranking (Belarus was ranked 38th among 190 countries and entered the top ten countries enacting business friendly reforms)
- 20 years of efficient functioning
- 119 enterprises
- 68 companies with foreign investments
- 42 plants constructed
- investments from 21 countries amounting to more than 2 billion $
- export to 70 countries totaling over 9 billion $
- 25 000 workplaces
BENEFITS AND PREFERENCES FOR FEZ COMPANIES
Together with convenient location of Minsk free economic zone territory we offer to our companies a great number of benefits giving them a considerable return on their investment.
- No profit tax
Not paid during 10 years, after 10 years’ period - at 50% rate
- No real estate tax
*With respect to buildings and facilities built (or acquired) for project implementation within 3 years from the date of registration in FEZ
*With respect to buildings and facilities located on FEZ territory regardless of purpose of their use, provided products are exported and (or) sold to other residents of Belarusian FEZs
- No land tax
*Not paid from the date of registration in FEZ within a design-and-construction period until the commissioning but no longer than 5 years
*Not paid till the year 2021 regardless of purpose, provided products are exported and (or) sold to other residents of Belarusian FEZs
- No rent payment for land
* Not paid from the date of registration in FEZ within a design-and-construction period until the commissioning but no longer than 5 years
*Not paid regardless of purpose, provided products are exported and (or) sold to other residents of Belarusian FEZs
- No payment for the right to conclude a land rental agreement
- No land lease auction
When exporting goods outside the territory of FEZ, where the customs procedure of Free Customs Zone is applied, FEZ residents enjoy the following customs preferences:
- Exemption from value-added tax, levied by the customs authorities, when a FEZ-resident places goods under the customs procedure of release for domestic consumption that were made (obtained) with the use of foreign goods placed under the customs procedure of Free Customs Zone
- Exemption from import duties and taxes, for raw materials placed under the customs procedure of Free Customs Zone when exporting final products outside the customs territory of the Customs Union
NB: Special taxation regime applies to the sale by FEZ residents:
a) outside the Republic of Belarus to foreign legal entities and (or) individuals in accordance with the contracts concluded between them for goods (works, services) of their own production produced by these residents on the territory of FEZ;
b) goods (works, services) of their own production, which they produced in the territory of FEZ, to other FEZ residents in accordance with the agreements concluded with them.
*Once you decided to launch your production in Minsk free economic zone, make sure you have found the right place for your enterprise within the borders of Minsk FEZ territory.
*Keep in mind that the sum of money you are going to invest into project implementation should be not less than 500 thousand EUR, provided investments are carried out within 3 years from the registration date. If longer – 1 million EUR.
*In order to benefit from use of tax and customs incentives be sure your project implementation presupposes export of manufactured goods (outside the Republic of Belarus boundaries) or selling them to other residents of Belarusian FEZs.CONTACTS