A free trade zone in Sharjah grows to be the gateway to the rest of the world
There are about 4,000 free trade zones in the world, and some of the best ones are found in the United Arab Emirates (UAE). While Dubai takes centre stage as the commercial trade hub of the UAE, Sharjah, located just north to the emirate, is an equally attractive option for investors keen to export their products and services to the Middle East and surrounding countries.
The award-winning Hamriyah Free Zone Authority (HFZA) in Sharjah in particular, prides itself in being able to offer fast, more affordable and customised service to its investors and clients. It is currently looking for investors to utilise the available 40 per cent of its free zone.
Commencing operations in October 1998, Hamriyah Free Zone is one of the newest, youngest and fastest growing free zones. Within a short span of time, it has become the envy of other free zones by bagging two distinguished Quality awards ISO 9002 and ISO 14001 and is the recipient of numerous other Quality & Excellence awards. In fact it is the first free zone in the world to achieve ISO 14001.
“Our advantages are many and facilities include fast, efficient service and cost effective solutions,” says Dr. Rashid Al Leem, director general of Hamriyah Free Zone. Its incentives to attract foreign ownership of business, which means no requirement if a local partner, exemption from Import and Export duty and personal and corporate tax, full repatriation of capital and profits amongst others.
Established with eight companies, the HFZA has over 700 companies from 66 countries. Its range of facilities include a 14-meter-deep water port that accommodates dedicated petrochemical, bulk handling, general cargo berths, LPG and container terminals. In addition to the deep water port, Hamriyah Free Zone has an inner harbour with a 5-meter to 7-meter draft, which is an ideal location for ship repairing, dry docking, ship building and various other marine services.
The free zone has land for lease from 2,500 sq meter and up, warehouse/factory/office units for lease, executive offices with state-of-the-art communications and staff accommodation.
The type of businesses currently parked in Hamriyah Free Zone is diverse, and ranges from information technology to oil refinery. Products and services here are exported to 120 countries with major markets being the Commonwealth of Independent States, Iran, India and Pakistan.
“Nevertheless, we understand that all free zones are about the same,” says Dr. Rashid. “That is why in Hamriyah, we do more for our investors:.
“We believe the success of our investors lies with us, and our success lies with them. We work on the concept of trust.”
Apart from the standard 100 per cent tax-free environment and company ownership, exemption from all commercial levies and repatriation of capital and profits, the HFZA offers extras.
It provides tailor-made deals for companies and individuals without discrimination. It also protects the companies’ image and brand and offers a one-stop solution to new companies, which includes helping in the setting up of business in the UAE, recruitment, visas and even with sourcing for materials from all over the world.
“It is not just infrastructure here, it is also the service”, says Dr.Rashid.
The HFZA offers three types of licences: Industrial Licence, Commercial Licence and Service Licence Setting up business at Hamriyah Free Zone requires the investor project profile, licence application, project approval, submission of legal documents and signed agreements before the licence can be issued.
If all the requisite documents are approved, the licence can be handed to investors within 24 hours. “We have no red tape here, just red carpet,” says Dr. Rashid.
**This article was first published in The Halal Journal Mar/Apr 2005 edition.