Mersin Free Economic Zone (Turkey). Residency

The first Free Economic Zone (FEZ) of Turkey was established in 1987 in the Mediterranean harbor of Mersin and has the following indicators:

• Area — 836 decares (0.836 km2; 0.323 sq mi)
• Capacity — 9 million tons of bulk trucks 2.6 million tons of containerized cargo

The management company is Mesbash Mersin, which manages the FEZ according to the “Construction–operation-Transfer” model (eng. BOT) and is responsible for:

• conclusion of lease agreements for investment areas;
• collecting rent for outdoor areas and transferring it to a special account;
• delivery of investment sites;
• other services that may be requested by user companies.

The authority issuing the license to operate in the FEZ is the Ministry of Foreign Trade of Turkey. Security services in the free zones are provided by the police.

Income and expenses of free zones:

• Fees charged for licenses and operating permits,
• The fees payable in advance amount to 0.5 percent of the value of CIF goods imported into the zone from abroad, and the fees payable in advance amount to 0.5 percent of the value of FOB goods exported from the zone towards Turkey,
• payments specified in contracts concluded with individuals and legal entities managing free zones.,
• Other income received from activities in the zone is credited to a Special Account to be opened with the Central Bank of the Republic of Turkey, after deducting transfers of the share of income specified in contracts concluded by the concerned administration with legal entities.

Goods used during the investment and construction stages, goods imported into the zone for reconstruction and capacity building purposes, as well as goods that do not belong to users, imported into the zone for maintenance and repair purposes, temporarily imported tools, fixtures and equipment, as well as goods imported for the purpose of outsourcing materials processing, goods imported into the zone from abroad and/or sent to Turkey by users who are not manufacturers, who received a license to operate after 06/02/2004, are not subject to payments, specified in subparagraph (b) of paragraph 1 of this article. However, the fee is charged for the added value created during the maintenance, repair and processing of materials outsourced, as well as for goods imported into the zone from abroad and sold inside the zone by users who are not manufacturers who received a license to operate after 06/02/2004.

Goods in Free Zones

Trade carried out between the free zone and other regions of Turkey is subject to the foreign trade regime. Upon request, goods of Turkish origin worth less than 5,000 US dollars or their equivalent in Turkish lira may be exempt from export procedures.

Currency exchange and services

Article 9. All payments related to the activities of the free zone are made in the form of foreign currency. The Council of Ministers may decide that payments will also be made in the form of Turkish lira. Transport and port services in free zones are provided either by the operator, or by government agencies and agencies, or by individuals or legal entities.

Taxes

Residents of the FEZ of Mersin are exempt from income or corporate tax on income received as a result of their activities in these zones, within the period specified in their licenses to carry out activities on the date of entry into force of this article. Residents have a number of other significant preferences.

The international business law company AG CONSULT is ready to provide you with a full range of services to obtain the status of a resident of the Free Economic Zone in Mersin.

Write to us by e-mail: info@yangconsult.com