INDUSTRIAL PARKS

  • August 31, 2017
  • 0

Extensive development of industrial parks

  • World-class sustainable eco-parks ready for ‘plug & play’
  • Dedicated for specific sectors such as textile & apparel, leather & leather products, pharmaceuticals, agro-processing etc. and aimed at coordinated production along value chains
  • Strong government support & investment policy led by Ethiopian Investment Board (EIB) chaired by the Prime Minister
  • Located along key economic corridors & connected to ports
  • Surrounded by Infrastructures such as airports, railway lines, dry ports, universities etc.

Incentives applicable to industrial parks

Manufacturers:

  • Exempted from income tax up to 8 – 10 years
  • Exempted from duties & other taxes on imports of capital goods, construction materials, spare parts with a value of 15% of capital goods after business license, raw materials for the production of export commodities & vehicles
  • One-stop government services within the parks premises
  • Loss carry forward (for half on income tax exemption of period granted)
  • Land lease term: 60-80 years at nominal rate for factories & residential quarters
  • Expedited procedure of securing entry, work permit and certificate of residency for expatriate personnel working in industrial parks and their dependents
  • Customs facilitation – transport of imported raw materials straight from customs post to factory through bonded export factory scheme
  • Investors also benefit from no taxes on exports

Developers:

  • Exempted from income tax up to 15 years (outside Addis Ababa)
  • Exempted from duties & other taxes on imports of capital goods, construction materials, spare parts, 15% of capital goods after business licence, raw materials & vehicles
  • Provision of essential infrastructure, including dedicated power substations
  • One-stop government services within the parks premises
  • Land lease term: 60-80 years at nominal rate for factories & residential quarters

Services available in industrial parks

  • One –stop-shop (on site and in EIC’s HQ in Addis abeba)
  • One site dedicated fire prevention and protection
  • Waste treatment
  • Facilitation and after care
  • Park security
  • Cafeteria banking & other common services
  • Custom clearance service for imported raw materials & exported products

Operational

industrial parks

Hawassa Industrial Park- Flagship Park

  • Location : Located approximately 275 kms south of Addis Ababa
  • Eco- Industrial Park with zero liquid discharge(ZLD) facility
  • Cluster: Specialized in textile & garment
  • Land area: 130 ha , Phase I
  • Shed & land lease status:
    • 22 sheds of 11000 m2
    • 12 sheds of 5500 m2
    • 3 specialized sheds
  • 1st phase: >30 ha factory buildings, business district, residential quarters etc
  • Fully occupied by international & domestic manufacturers

Bole Lemi I Industrial Park

  • Location : Located in the south eastern part of Addis Ababa ,4km away from Goro square
  • Land area: 156 ha
  • Cluster: Apparel & Textiles and Leather and leather products (shoes)
  • Labor: 10,000
  • Shed & Land lease status :
    • 10 sheds of of 5500 m2
    • The remaining 10 sheds of 11,000 m2 each are already occupied for phase
  • 1st phase: 156 Ha

Upcoming

industrial parks

Dire Dawa Industrial Park

  • Location: Located in the eastern Ethiopia approximately 262 km from Djibouti
  • Proximity to port of Djibouti: 380 km
  • Labor: 1 million people in & around the city
  • Cluster: Multiple sectors including heavy industries, Textile & Apparel, vehicles assembly and Food Processing,electronic, paper & allied products, chemicals
  • Land area: 3000 ha
  • Shed & land lease status: Total sheds 15
    • 5 sheds of 11,000 m2
    • 6 sheds of 5500 m2
    • 4 sheds of 3000 m2
  • 1st phase: 150 ha

Adama Industrial Park

  • Proximity to port of Djibouti: 678 km
  • Labor: 1 million
  • Cluster: Textile & Apparel, vehicles assembly and Food Processing
  • Land area: 2000 ha
  • 1st phase: 120 ha

Mekelle Industrial Park

  • Proximity to Port of Djibouti: 750 km
  • Labor: 1 million people in & around city
  • Cluster: Textile & Apparel and Food Processing
  • Land area: 1000 ha
  • 1st phase: 75 ha

Kombolcha Industrial Park

  • Proximity to port of Djibouti: 480 km, 6 km away from Kombolcha dry port
  • Labor: 1 million people in & around city
  • Cluster: Textile & Apparel and Food Processing
  • Land area: 700 ha
  • 1st phase: 75 ha

Kilinto Industrial Park

  • Proximity to port of Djibouti: 863 km
  • Proximity to Addis Ababa: 6km (access to high skill labour)
  • Cluster: Pharmaceuticals
  • Land Area: 337 ha
  • 1st phase: 337 ha

Arerti Industrial Park

  • Proximity to Port: 50 km away from Mojo dry port
  • Proximity to Railways: 50km away from Mojo Station of Addis Ababa to Djibouti Railway
  • Proximity to Addis Ababa: 105 km
  • Cluster: Construction Materials & House hold appliance manufacturing
  • Land Area: 100 ha

Bole Lemi II Industrial Park

  • Proximity to port of Djibouti: 863 km
  • Cluster: Textile & Apparel
  • Land Area: 186 ha