Government Decree on the Import of all Goods from Abroad into the Areas of Free Trade-Industrial and Special Economic Zones

Nouraei & Mostafavi Law Offices – 6 February 2023- Tehran- Iran- According to the Official Gazette of today, the Iranian government has set new rules for importing goods into the Free Trade- Industrial Zones and Special Economic Zones.

 

In its Decree, the council of ministers has set out directives respecting importation, foreign exchange, production, stock exchange, and investment in oil, gas, and petrochemical industries.

 

 The Farsi Decree was published in the Official Gazette Number 22689, dated 17 Bahman 1401 (6 February 2023). Our unofficial English translation is as follows:

 

Cabinet

Authority of approval: Council of Ministers

Particular issue number: 1632

No. H5978t/203319 —- 3/11/1401 (24 December 2022)

 

Decree on the Import of all Goods from Abroad into the Areas of Free Trade-Industrial and Special Economic Zones

 

Ministry of Economic Affairs and Finance – Ministry of Industry, Mining, and Trade – Ministry of Interior – Ministry of Foreign Affairs – Ministry of Roads and Urban Development – Ministry of Petroleum – Central Bank of the Islamic Republic of Iran – Secretariat of the Supreme Council of Free Trade-Industrial and Special Economic Zones- Central Headquarters for Combating the Smuggling of Goods and Foreign Currency.

 

 The Council of Ministers at its meeting of 25/10/1401(1 December 2022), in response to the Proposal No. 7917 dated 22/1/1401(11 April 2022) of the Economic Vice President and based on Article 138 of the Constitution Law of the Islamic Republic of Iran, approved:

 

1- Importing all goods from abroad to the free trade-industrial and special economic zones will be allowed only after statistical registration in the platform of the Comprehensive Trade System and based on the determination of the foreign currency origin by the Central Bank of the Islamic Republic of Iran (purchase of foreign currency from the banking system, own/other exports, own/others’ foreign currency account, clearing) is possible. 

 

2- To prevent disruptions in providing foreign currency, the Central Bank of the Islamic Republic of Iran is obliged to strengthen the necessary infrastructure and facilitate the required process in the mentioned zones. The guidelines for streamlining foreign exchange processes for the entry of goods into the mentioned areas will be prepared and communicated by the Central Bank of the Islamic Republic of Iran in cooperation with the Ministry of Industry, Mining and Trade and the Secretariat of the Supreme Council of Free Trade-Industrial and Special Economic Zones within three months from the date of notification of this Decree. 

3- The Secretariat of the Supreme Council of Free Trade-Industrial and Special Economic Zones, in cooperation with the Central Bank of the Islamic Republic of Iran and the Central Headquarters for Combating the Smuggling of Goods and Foreign Currency, is obliged to solve the problems of foreign currency settlement of imported goods in the special economic zones within six months from the date of notification of this Decree and take measures for launching the relevant online system in the special economic zones and to connect the online systems of the free trade-industrial and special economic zones to the leading online systems. Until the launch of the mentioned system by the Secretariat of the Supreme Council of Free Trade-Industrial and Special Economic Zones, clearing the foreign currency obligation on imports and calculating the foreign currency obligation of exports from the special economic zones will be done as conducted in the past. 

Note: The Customs of the Islamic Republic of Iran is obliged to provide needed cooperation regarding determining the inferential value of the said goods. 

4- The Secretariat of the Supreme Council of Free Trade-Industrial and Special Economic Zones along with The Ministry of Industry, Mines, and Trade, take actions to remove the restrictions on the entry of vehicles to the mentioned zones, and, if required, will submit the necessary proposal in this respect to the Council of Ministers within the framework of the laws. 

5- The Production Certificate issued by the organizations of the free trade-industrial zones and special economic zones for the export of the goods produced or processed in the zones to the mainland (if not banned) is the basis for identifying the raw materials used in the production of the product in line with the purport of Article (65) of the Law on Permanent Decrees on Country Development Plans approved in 1395 (2016). Consequently, it is unnecessary to inquire from the Ministry of Industry, Mines, and Trade. 

Note: The guidelines for issuing Production Certificates are prepared and communicated by the Ministry of Industry, Mining and Trade and the Secretariat of the Supreme Council of Free Trade-Industrial and Special Economic Zones. 

 6- The production units licensed by the organizations of the free trade-industrial and special economic zones, for receiving all banking facilities from the portal of information and services of industry, mining, and trade, are obliged to provide all the relevant information and documents to the organizations of free trade-industrial zones and special economic zones. The Organization of Free Trade-Industrial and Special Economic Zones is obliged to send the mentioned information to the relevant online systems (Behin Yaab)) of the Ministry of Industry, Mining, and Trade. 

 7- The amount of import of goods subject to the reduction of commercial benefit stated in paragraph (2) of Decree No. H 47257T/186994 dated 26/9/1390 (17 November 2011) is revised to four billion (4,0000,000,000) US dollars annually. 

8- To develop international relations and expand economic diplomacy, in line with increasing investment and facilitating commercial and financial exchanges in the free trade-industrial and special economic zones, the Secretariat of the Supreme Council of Free Trade-Industrial and Special Economic Zones is obliged to carry out studies on common border areas, cross-border areas, and particular areas shared with other countries, and, in cooperation with the ministries of Foreign Affairs, Interior, Economic Affairs and Finance, Roads and Urban Development, and Industry, Mining, and Trade, prepare a necessary proposal for such matter to be submitted to the Council of Ministers for ratification.

 9- The Securities and Exchange Organization, in cooperation with the Secretariat of the Supreme Council of Free Trade-Industrial and Special Economic Zones, is obliged to formulate a mechanism for establishing, operating, monitoring, and evaluating the performance of stock markets (stock exchanges) in the free trade-industrial zones in compliance with the related laws and regulations. 

10- The Ministry of Petroleum is obliged to provide the necessary incentives for the development and investment in the oil, gas, and petrochemical industries in the free trade-industrial and special economic zones within two months from the date of notification of this Decree in cooperation with the Secretariat of the Supreme Council of Free Trade-Industrial Zones and Special Economic Zones and submit the same to Council of Ministers for approval. 

 

First Vice President – Mohammad Mokhbar

 

(Copyrighted. Re-publication and usage wholly or partially allowed upon naming the source J. Nouraei & M. Mostafavi Law Offices).