Salafchegan Special Economic Zone

Salafchegan Special Economic Zone was approved and established in 1997 with an area of 2000 hectares along Salafchegan-Isfahan Hwy., and while adding 1500 hectares to the area of which as a part of the development plan thereof, economic activities and business operations are done within the confines of this economic zone.

This area, as one of the most important special economic zones that is close to the political-economic center of Iran, is located at the crossroads of transit roads, the Silk Road, the vicinity of the national railway and the corridor of North, South, East and West of Iran and close to Imam Khomeini International Airport; Therefore, in order to establish relations with European countries, Central Asia and the Persian Gulf for the purpose of production, export and transit of goods, it has a privileged and unique geographic location and is able to play a decisive role in the growth of Iran’s macroeconomic indicators.

ESCAP (United Nations Economic and Social Commission for Asia and the Pacific) recognizes this special economic zone as a special and active member of the World Free Zones Organization (WFZO) and also as one of the significant priority areas being qualified for international standards for the construction of a dry port in Iran.

Over the past years, Salafchegan Special Economic Zone has always been one of the top ranks among free and special economic zones in Iran, in terms of product variety and application of several letters of approval and resolutions issued by the Value-Added Committee affiliated to the Secretariat of the High Council of Free and Special Economic Zones.

Facilities and Infrastructure of Salafchegan Special Economic Zone

• Having Access to sustainable energy sources due to its proximity to the national gas transmission lines and gas-fired power plant in Qom province
• Having regional water supply network and a concrete water tank of 5000 m³ and water service line from the transmission main of Dez influent stream
• 20 kV Distribution Network, 20 kV Substation, and Overhead Power Lines
• Gas Distribution Network and pressure reduction substations
• Using fiber optic infrastructure and electronification of services in the near future
• Telecommunication network and fiber optic for the entire special economic zone with additions, appurtenance, and fixtures to automated buildings
• The availability of 12 hectares of open warehouse and 12 thousand square meters of covered warehouse and warehousing services, unloading and loading of all kinds of goods in public warehouses with the ability to allocate a separate and private warehouse
• The upcoming launch of the railway line in Salafchegan Special Economic Zone branched off from the national north-south railway line and the domestic station and the anticipated maneuvering lines
• The availability of parcels of land in the docking Bay in the form of a logistics village for the loading of all kinds of domestic and foreign goods with different uses
• The availability of weighbridges for different inputs and outputs
• The availability of special fire station and safety services department in Salafchegan Special Economic Zone
• A walled area under 24-hour video surveillance, protected by the special security force and a network of mobile and fixed CCTV cameras with video facilities in the command room

General Benefits of Salafchegan Special Economic Zone

• Being close to the political, economic and commercial centers of Iran
• Having favorable climatic conditions for all kinds of business activities, goods depot and storage for all seasons according to the type of climate in the area
• Establishment of more than 60% of Iran’s strategic industries within a 230 km radius of this area and proximity to metropolitan cities as engines of industry, production and consumption such as Tehran, Qom, Isfahan, Arak, Saveh and…
• Being close to Imam Khomeini International Airport and Qom International Airport
• Being located within the confines of the transportation route of 17 provinces of Iran, connecting to the main highways to deliver cargo and cut freight costs
• Linking to the national railway line in the near future and the possibility of railway connection with the Central Asian countries and high seas (ESCAP)
• Offering various land-use/transport interaction models for economic activities, according to the requirements of investors
• Transferring the ownership of the building site and standing property to natural persons and legal entities through the transfer of the title deed for the entire six portions
• Getting all necessary permits issued, such as establishment permit, permit to operate, building permit, construction completion certificate, production certificate, and business license by the organization in charge of the special economic zone and cutting down visits to government agencies in accordance with Article 7 of the Law on the Formation and Management of Free Zones
• The availability of service providers such as customs office, standard office, rial and foreign exchange banks, insurance companies, well-equipped partner laboratories, transportation and clearance companies
• Establishing a labor division with the decree of the Minister of Cooperative, Labor and Social Welfare of the Islamic Republic of Iran in order to remove employment and labor issues according to the specific laws of special zones
• The availability of an employment agency in the special economic zone in order to supply skilled, expert and efficient manpower needed by production units
• Proximity to major science, research and academic centers of Iran to establish knowledge-based companies and benefit from specialized and educated forces
• The business activities of traders and producers from different countries such as Italy, Qatar, Turkey, China, India, Pakistan, Afghanistan, and so forth in Salafchegan Special Economic Zone

Benefits of Salafchegan Special Economic Zone for Foreign Investors

• Offering a possibility of purchasing land, setting up and registering a company, receiving work visas and work permits, residence permits, and business id cards for foreigners
• Resolving a contingent dispute between the employer and the worker in the labor division of Salafchegan Special Economic Zone
• Forming a committee for foreign nationals and offering a one-year employment certificate to obtain a work visa for foreign nationals
• Having complete freedom to inflow and outflow of capital, net profit, and proceeds from economic activities, business activities, and production-related work for foreign direct investment and domestic capital with foreign origin in accordance with the Law on Promotion and Protection of Foreign Investment
• Guaranteeing the return of foreign investors’ capital and profit by the Islamic Republic of Iran, after making investments in accordance with the Foreign Investment Law
• Reserving the right for foreign investors to register their company and having complete freedom to inflow and outflow of capital, and the availability of investment opportunities for Iranian and foreign nationals at any extent of participation based on the Law on Promotion and Protection of Foreign Investment
• Offering chances for employment of foreign nationals in industrial units established in the area with proportion to one foreign national and five Iranian citizens

Benefits of Manufacturing-related Activities and Production-related Work in Salafchegan Special Economic Zone

• The general use of the zone and the possibility of working in different fields such as chemical industry, metal industries, cellulose market, food industry, pharmaceutical industry, cosmetic industry, home appliance industry, electronics, and so forth
• Enjoying tax exemption for production units, both Iranian and foreign, for 7 years as of the issue date of the permit to operate with the possibility of extending the period for 2 years more, based on the rate of job creation in the zone, according to Article 132 of the Tax Law and its Subsequent Amendments
• Being exempt from paying any custom duties and charges for the use of consumables and spare parts in the production process, as well as production line machinery transited to the zone for installation in the production lines of industrials units as long as it is within the confines of the special economic zone
• The possibility of import of goods (transiting goods from the entry points of Iran to the special economic zone) and export of goods (transiting goods from the special economic zone to abroad) with minimal customs formalities
• Not needing to register an order with freezones.ir for the direct entry of raw materials and spare parts of foreign origin into the zone within the framework of a statistical register
• Being exempt from paying any custom duties and charges for the use of raw materials and spare parts of foreign origin in products, according to the already approved value added ratio
• Not needing to register an order for raw materials of foreign origin used in manufactured goods during cargo clearance and import into Iran up to the quota levied on all goods entering Iran, approved by the Value Added Committee
• Being exempt from paying any custom duties and charges for raw materials and spare parts used in the manufactured goods for export until the time they are settled in the special economic zone

Benefits of Business, Trade and Exchange Activities in Salafchegan Special Economic Zone

• Offering the chance of clearing all kinds of goods in the special customs house of the special economic zone, including cars, household appliances, cosmetics and pharmaceuticals, all kinds of tires for light and heavy machinery, all kinds of sanitary ware, and so forth in the shortest possible time
• Carrying out all customs procedures listed in Article 47 of the Law on Customs Administration, including final entry, temporary entry, temporary entry for processing, return (return to abroad), foreign transit and domestic transit
• Permissibility of clearance of imported foreign goods, in part or in whole, as temporary entry from the special economic zone
• Making opportunities for transiting goods to the special economic zone and keeping them in warehouses and re-transiting abroad according to the positive laws
• Not being subject to paying customs charges and duties in commercial exchanges made between the special economic zone with foreign countries and other free and special zones after getting recorded in customs system