ISLAMABAD: Pakistan makes key assurances to China on the Sales Taxexemption and other taxes exemption over Gwadar Port, Gwadar Free Zone,Media report has revealed.
Pakistan has assured China that it will provide Sales Tax exemption for 23years and other tax exemptions on equipment and material purchased locallyfor industrial units established in the Gwadar Free Zone.
According to official documents, both Pakistan and China welcomed theprogress of the construction of the Initial Zone of Gwadar Free Zone.
Both the sides agreed that further efforts were needed for businessattraction explicitly stipulating sales tax exemption for 23 years and taxexemption on equipment and materials purchased in Pakistan locally.
Pakistan and China also agreed that active efforts such as local tax breaksin the Balochistan province and the provision of fiber optic communicationby the Pakistani side were needed to address the development hurdles of theGwadar Port and the Free Zone.
Pakistan would offer the concessions in a piece of legislation to be tabledbefore the Parliament for promulgation into an act.
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Both the sides agreed to the need of fast execution of Gwadarinfrastructure and assistance projects including the New GwadarInternational Airport (NGIA), Gwadar Vocational and Training Centre,expansion of China-Pakistan Government Faqeer Colony Middle School andconstruction of the Pak-China Friendship Hospital and Eastbay Expressway.
To advance the integrated development of Gwadar Port and the Gwadar region,both the sides expressed satisfaction over the progress of Gwadar Free Zonedevelopment.
The Phase-I of Gwadar Free Zone has been completed with all the plotsleased out to more than 30 Pakistani and Chinese investors registered inthe Free Zone.
The annual Gwadar Expo, Gwadar Marble and Mineral Exhibition and otherbusiness events have been promoting Gwadar as an emerging regional economichub of Pakistan.
