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Who are eligible investors in EPZs?

The following categories of persons shall be eligible to establish an undertaking in a Zone, namely, a) A foreign investor. b) A foreign investor in collaboration with a foreign investors or a resident citizen of Pakistan or a company incorporated in Pakistan. c) A resident citizen of Pakistan or a company incorporated in Pakistan. Joint ventures between the above in any proportion are also allowed.

Type of industries, which can be set up in EPZs.

The Authority has devised an Action Plan, which has been put implementation. Each Zone categorized as a Product and it has been decided to promote each Zone viz Karachi Phase-I, Phase-II, Sialkot, Risalpur, Grjranwala as “Separate Product” and to promote as under:

Karachi EPZ             IT / Precision Engineering / High-Value Garments / Gems & Jewelry  

KEPZ–To reserve available land in KEPZ Phase-II and major focus on large projects i.e. I.T. Tower, high-value  

Sialkot EPZ              Surgical / Sports Goods / Leather Goods.

Risalpur EPZ            Trading-Warehousing / Furniture / Engineering.

Gujranwala EPZA     Light Engineering / Consumer Durables.

What types of industries are not allowed in EPZs?

Only four type of industries are not allowed to set up in the Zone i.e

      1. Manufacturing of Narcotics
      2. Manufacturing of Alcoholic drinks
      3. Manufacturing of Arms and Armaments
      4. Industries causing serious pollution

Can trading units of the EPZs send goods/material to tariff area?

Domestic market of Pakistan is presently available for 11 items only (i) raw cotton, (ii) dyes, (iii) aluminum ingots, (iv) hides and skins, (v) iron sheet, (vi) aluminum foil, (vii) unblended tea, (viii) supari, (ix) newsprint (x) spices in raw form and (xi) raw material for pesticide & insecticide. These can be exported from a Zone to the tariff area on payment of applicable duties and taxes.

Updated on 03/04/2017