The Philippine Economic Zone Authority, created by R.A. 7915, “The Special Economic Zone Act of 1995”, is the government agency tasked with the promotion and regulation of foreign investments on Philippine soil, in Special Economic Zones.
These zones provide tax incentives and other economic benefits to foreign investors setting up certain types of businesses within these areas:
- Export Manufacturing – Economic Zone Export Manufacturing Enterprise engaged in processing, assembly, and manufacturing of goods where 70% of the production is to be exported.
- Information Technology Service Export – Economic Zone IT Enterprise or IT Parks and Buildings of which 70% of IT service activities are rendered to clients abroad, such as: BPOs, call centers, data encoding, software development and application, content development for multi-media or internet purposes; and others.
- Tourism – Tourism Economic Zone Developers or Operators and Locators establishing and operating sports and recreation centers, accommodation, convention, and cultural facilities and their special interest attraction activities/establishments, with foreign tourists as primary clientele.
- Medical Tourism – Medical Tourism Enterprise providing medical health services, duly endorsed by the Department of Health, primarily rendering services to foreign patients.
- Agro-industrial Export Manufacturing – Agro-industrial Economic Zone Developers or Operators and Locators, engaged in the processing and/or manufacturing of agricultural products resulting in the exportation of its production.
- Agro-industrial Bio-Fuel Manufacturing – Enterprise engaged in specialized manufacturing of agricultural crops and eventual commercial processing which shall result in the production of clean energy such as bio-fuels and the like.
- Logistics and Warehousing Services – Enterprise engaged in:
- Warehousing for storage, deposit, and safekeeping of goods for PEZA-registered Economic Zone Export Manufacturing Enterprises; and/or
- Importation or local sourcing of raw materials, semi-finished goods for resale to, or for packing, covering (marking/labeling), cutting, or altering to customer specification, mounting and/or packaging into kits or marketable lots for subsequent sale to PEZA-registered Export Manufacturing Enterprises for use in their export activities, or for direct export, or for consignment to PEZA-registered Export Manufacturing Enterprises and eventual export.
- Economic Zone Development and Operation – Enterprise engaged in the development, operation and maintenance of:
- Manufacturing Economic Zone Development/Operation – infrastructure, facilities and utilites as light and power system, water supply and distribution system, sewerage and drainage system, pollution control devices, communication facilities, paved road network, administration building.
- IT Park Development/Operation – infrastructures and other support facilities required by IT Enterprises, as well as amenities or easy access thereto, required by IT professionals and workers.
- Tourism Economic Zone Development/Operation – integrated resort complex, with prescribed carrying capacities of tourist facilities and activities.
- Medical Tourism Economic Zone Development/Operation – Medical Tourism Park or Medical Tourism Center, planned and designed in accordance with the standards of the Department of Health and the Department of Tourism to have support facilities and services required for health and wellness, and provided with required infrastructure facilities and utilities.
- Agro-industrial Economic Zone Development/Operation – Agro-industrial economic zone planned and designed to have support facilities and services required for processing and agro-based manufacturing facilities, and provided with the required infrastructure facilities and utilities.
- Retirement Economic Zone Development/Operation – Retirement Economic Zone Park or Center, planned and designed in accor dance with the accreditation standards of the Philippine Retirement Authority, and provided with the required infrastructure facilities and utilities.
- Facilities Providers – Enterprise engaged in:
- Facilities for Manufacturing Enterprises – construction as owner/operator of factory buildings inside special economic zone, for lease to PEZA-registered Export Manufacturing Enterprises.
- Facilities for IT Enterprises – construction as owner/operator of buildings and other facilities inside IT Parks which are leased to PEZA-registered IT Enterprises.
- Retirement Facilities – establishment, operation and management of retirement facilities and other related activities, with foreign retirees as primary clientele, duly endorsed by the Philippine Retirement Authority, and located in a Retirement Economic Zone.
- Utilities – Enterprise engaged in the establishment, operation and maintenance of light and power systems, water supply and distribution systems inside Special Economic Zones.
Respicio & Co. Law Firm can help you determine your eligibility for PEZA-registration, and process the registration.