Could you give us information about Eurasia OIZ? It is A Public Organized Industrial Zone Put Into Practice By The Participation Of Special Provincial Administration, Yalova Chamber Of Commerce, Top 50 Industrial Businessmen Association Of Turkey. Can we get information about the organization? The structure of this organization starts with the ministry of industry and technology Faruk ÖZLÜ and Head of entrepreneur delegation: Yalova Provincial Governor, Tuğba YILMAZ Chairman of the Board
What are the main reasons for foreign investors coming from abroad to invest in the Organized Industrial Zones in particular? Since our establishment, we have been in touch with industrialists in our region and in our geography, and we have clearly identified their needs and their requirements. In these studies, we can see that the industrialists do not want to deal with and stick to the state
procedures and the Ministry of Industry has some important authorities that have been awarded to the Organized Industrial Zones and foremost among them is the development and investment construction permissions. This is why especially non-local investors prefer the organized industrial zones because the bureaucratic problem is at a zero level, this is highly important. You waste time neither with the local government or any other department of the government nor face obstacles regarding both the public works permission for the land and the facilities on in for your investment. You carry out your project directly with the management of the Organized Industrial Zone and this management makes it both effective and with a lesser cost and our free consultancy department also keeps our investors up to date with the changing legislation.
So, what are the incentives and tax advantages? Yes, that was an important question. I can share with you the information that the ministry has explained in the 2017 tax package in the Organized Industrial Zones Legislation. Companies had to pay 18% VAT for land purchases, but this is 0% in the organized industrial zone. They are exempted from land title related taxes, and as for incentives, Turkey applies regional incentive plans and these incentives are higher in eastern and southeastern cities where the population and the investment are lesser, taking Istanbul as an
example, it is the city with fewer incentives, the reason why is that there is a high number of population and investment, however, Eurasia Organized Industrial Zone has a privilege in that sense, it is in the city of Yalova, at the centre of three metropolitan cities such as İstanbul, Kocaeli and Bursa. It takes 30-40 km to go to such cities from Yalova. Why is such an organized industrial zone
being constructed? Is it required?
The OIZ regions in the surrounding areas need expansion. Our country is becoming a logistics base for the industry and it has gained importance in order to create proximity to port and export networks. Land prices of industrial zones in the surrounding areas constitute major obstacles for production. 37 Turkey’s Here-June 2017 What kind of figures are they? Could you give us information about investment and feedback to Eurasia OIZ? It is possible to observe this in the first quarter JLL report of 2017, taking the industrial regions within 40 km diameter of the Eurasia
OIZ, There are a number of organized industrial zones in the Marmara region known for its proximity to the port. Their average square meter unit prices are between 500 USD and 650 USD; The Eurasian OIZ is offered as an opportunity to the industrialists and is a public OIZ and its allocable figures are at the level of 100 USD. The logistical rental yields of the zone are around 5.5 and 6 USD according to the independent research companies.
What privileges are there that are not in other OIZ? The biggest problem of OIZs is the bureaucratic and land expropriation problems in forming the OIZ and such problems have been overcome in
our OIZ. Upon OIZ is put into practice, our OIZ will have all the opportunities that other OIZ have which resides and successfully carries out its activities in Turkey. In addition, we will be especially ambitious about the infrastructure, the infrastructure will be developed with the “Modern OIZ Infrastructure” system, which will be prepared as the industry 4.0, and it will provide the opportunity to be adapted to technological developments in infrastructure. Another problem is the energy cuts in other OIZs, the Eurasian OIZ is working in a highcapacity to prevent such situations.
What are the projected investment cost and employment? We expect that over 50,000 direct employment will be provided and as for the indirect calculations, these figures may reach approximately 130.000-140-000. It will be over 3 billion USD.
Could you tell us about the start and end times of the project? The project has already started the infrastructure process and we are able to make land allocations to industrialists. The infrastructure work for the first phase will be completed in the last quarter of 2018 and the industrialists will be able to make their investments and install their facilities smoothly Who does assume the corporate management? How is it managed? Regional Directorate of Eurasia Organized Industry manages the OIZ under the supervision of the Ministry.
Leave a Reply