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Criteria to be considered

CRITERIA TO BE CONSIDERED IN THE OPERATING LICENSE APPLICATIONS

No: 2009/1

Date of Publication: 09.01.2009

Effective Date: 09.01.2009

                                                                        CIRCULAR

                                                                         2009/1

In article 1 of the Free Zones Law No. 3218 amended by Law No. 5810 of 25/11/2008, it is stated that the establishment purpose of free zones is to promote export-oriented investment and production, to accelerate direct foreign investments and technology introduction, to direct companies to export and to develop international trade. 

On the other hand, it is ensured in article 11 of the Free Zones Implementation Regulation that any real and legal person desiring to operate in a zone shall submit or send "Operating License Application Form” to the Directorate of Zone to obtain an “Operating License”, and then the Directorate of Zone shall make necessary evaluation on the said form.

In this regard, the following issues shall be considered in the evaluation of aforementioned Operating License application (including renewal and duration extension applications) by taking into consideration regional and sectoral differences by the Directorate of Zone.

  1. It is essential that the activity must refer to manufacturing and mostly for overseas sale.
  1. Although overseas sale is essential in purchasing and sales activities, domestic sales, especially raw materials, intermediate and investment goods, can also be allowed at certain rates.
  1. The activity referred in the application should comply with the following issues;
  1. a) It should not be harmful to human health and the environment,
  2. b) It should not cover the sensitive products to be specified by the General Directorate,
  3. c) It should not provide an environment for destructive and unfair competition in the domestic market.
  1. The following issues are considered in the evaluation process;
  2. a) It should have the capacity of creating employment in a certain extent,
  3. b) It should be a foreign direct investment,
  4. c) It should have new and/or high technology,
  5. d) It should be a service to support international trade,
  6. e) It should comply with sectoral specialization and clustering in the free zone
  1. The physical and infrastructural facilities of the zone are required to be appropriate for the planned activity.
  1. Past performances of the applicant company and its partners or the company partners to be newly established should meet the investment, manufacturing, trade and capital sizes as commitments in the application form.
  1. Additional criteria can be requested by the General Directorate by considering general economic situation in Turkey and in the world, changes in the balance of supply and demand in domestic and foreign markets, protection of the competitive power of our companies.

The provisions of Circular 98/4 that are contrary to this Circular shall not be implemented.

This Circular shall become effective at the publication date.

Contact Information: General Directorate of Free Zones

E-mail : sbgm@ticaret.gov.tr