For several decades Jamaica has utilized the regime of the Jamaica Export Free Zone Act 1982 (amended 1996), now repealed by the Special Economic Zone Act (SEZ) which became effective on August 01, 2016. This in an effort to accommodate international investments seeking to locate operations to a pro-business destination. One of the primary medium through which this takes place is the Kingston Free Zone (KFZ), an extra territorial facility located adjacent to the Port of Kingston.
KFZ operates within the policy framework of the Government of Jamaica. Its functions are therefore in harmony with Government policies and programs in the areas of investments, Commerce and Information Communication Technology/Business Process Outsourcing (ICT/BPO), as articulated by the Government’s medium term Policy Framework document – VISION 2030.
Initially this regime has had a positive impact on the economic development of Jamaica, creating employment opportunities, generating foreign currency inflows as well as enhancing trade. However, with the passage of time, the regime has served to limit the country’s ability to adapt to changes in the global production and market conditions that are opening opportunities for the country to actively participate in the global value and supply chains. To address this issue, the country implemented the SEZ regime. This is geared to stimulate wide scale economic activities, especially in new and emerging sectors. It also brings the country in line with the World Trade Organisation (WTO) Agreement on Subsidies and Countervailing Measures.
Investors are invited to grasp the opportunity to pursue a more flexible and integrated development of their business activities and enjoy the incentives being offered under the SEZ regime. The KFZ provides physical facilities and services for manufacturing and production, warehousing and distribution.
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