Faq’s


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.

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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.

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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

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What is the mode of transaction in EPZs?
All investment in a Zone shall be in foreign convertible currency.

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In how much time, the Authority (EPZA) grants sanction to a project?
Normally, it takes only two weeks time granting sanction to a project. Provided all information.

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Where are the customs formalities for import and export from EPZs completed. At Seaports or airport etc?
All import / export consignments are examined and checked within a Zone area by the Customs.

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Do investors have to undergo a process of documentation for import of routine items of industrial or office use?
There is a facility to bring goods worth US $ 5000 per month without documents against petty items.

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What is the cost of land in EPZs?
Please log into different Zones site.

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Does EPZA provides services to investors through e-mail?
Yes. EPZA has its e-mail service at info@epza.gov.pk (kindly see contact list).

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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.

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Is there any standard factory building or warehousing shed available on rent?
At the moment, there is no standard factory building available in EPZs. However, three warehousing sheds are available for storage purposes and for limited operations at monthly rent of US$ 0.25 per sq ft in Karachi Export Processing Zone. This facility is available to sanctioned units only.

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Do the Zone investors have to pay any taxes / charges?
EPZA service charges @ 0.5% on FOB value of exports and Presumptive tax @ 1% on FOB value of export .

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