Incentives to investors
OGFZA offers the following incentives to free zone (FZ) companies and businesses:
CUSTOM INCENTIVES (IMPORT AND EXPORT)
- No Form M required for importation into the Free Zone.
- Fast-track cargo clearance procedures (pre-release on placement of bank bond).
- Fast-track air freight cargo movement – international airports to free zones.
- No time limit on cargo storage.
- No custom duty applicable within the free zone.
- No custom duty payable for goods exported from the free zone to other countries.
- No custom duty payable on goods in transit from any part of entry in Nigeria to the Free Zone.
- Goods may be stored indefinitely, sold, exhibited, broken-up, packed, graded, cleaned, marked, loaded, unloaded, reloaded, divided, mixed, separated or otherwise manipulated.
- Goods may be worked, processed or reprocessed or otherwise manipulated or manufactured.
- Goods may be consumed in the Free zone.
- No import or export licenses required.
CASH FLOW BENEFITS
- Custom duties are paid only when goods are exported to customs territory.
- Reduction in overall project costs.
- A variety of investment opportunities.
- Investor-oriented policies.
TAX & FINANCIAL INCENTIVES
- No federal, state and local government taxes, levies and rates(no corporate tax, withholding tax, value added tax and capital gain tax).
- 100% foreign ownership.
- 100% repatriation of profit and dividends.
- 100% repatriation of foreign capital investment.
- Immigration fast-track procedure.
- No quota regime for expatriate employment.
LOGISTICS AND SUPPLY CHAIN INCENTIVES
- Waiver on pre-shipment inspection of goods (a current requirement for imports into Nigeria)
- Faster clearance of goods (time and consequent cost savings)
- Round-the-clock operations (eliminating costly delays)
- Direct access to sea port and international airport (ensuring faster and cost efficient movement of equipment)
- One-stop-shop (eliminating double handling of cargo, and the resultant cost savings)
- Availability of support services: stevedoring, terminal and supply base operators, stockist, ship/boat maintenance etc. (Reducing delays and enhancing efficiency).
(Manufacturing, Assembling, Processing)
In line with the growing needs and requests by the market and global economy, some benefits have been extended to some sectors initially excluded from the incentives.
- Duty Payment on Raw Materials only.
- Enterprises in the Free Zones are allowed to export into Nigerian territory up to 100% of their products.
- The amount of import duties on goods manufactured, processed and assembled in the Free Zones and exported into the Nigerian Customs Territory shall be the rate of duties applicable to raw materials in the state in which they were originally introduced into the Free Zones.
- All trades and commercial goods imported into the Free Zones in finished forms, without value addition, shall attract full duty on export into the Nigeria Custom Territory.
- 75% Import Duty rebate.