(Decree DRAFT)
CITATION AND DEFINITION
Article 1.
a) This law shall be cited as The Horn of Africa Free Zone Law;
b) For the purpose of implementing this law the words and expressions appearing hereunder shall have the meanings assigned to each of them, unless the context otherwise requires:
“Agreement” The Agreement signed between the Government World Investments Pty. Ltd. dated
“Bill of
Implementation” The Bill of Implementation of this law.
“Board” The Board of Directors of HAFZA.
“Chairman of
HAFZA” The Chairman of the Board of Directors of HAFZA, its Chief Executive.
“Competent
Authority” Every natural or corporate body including HAFZA legally authorized to decide upon specific issues that pertain to the application of this Law.
Free Zone” Any place within the State of
“Goods” Any material or natural or agricultural or animal or industrial product.
“Government” The Government of the State under the direction of its President.
“HAFZ” Any Free Zone in the territory of the State and established as a Free Zone in accordance with the provisions of this law and its plural number are Free Zones and are hereinafter referred to as the Horn of Africa Free Zones (HAFZ).
“HAFZA” Is a Corporation established as the independent Authority from the Government to develop, operate and manage HAFZ, styled the “Horn of Africa Free Zone Authority”.
“Projects” Any Activity licensed within HAFZ provided for under article ____ of this law.
“Republic” The
“State”
“Tariff
Schedule” The Tariff Schedule and charges as determined by HAFZA at its sole discretion.
“Term” The term as set out in the Agreement and any extension thereof.
PART TWO :ESTABLISHMENT OF HAFZ
Article 2.
By virtue of the provisions of this Law, HAFZ shall cover those areas listed below and be established completely self-governing as a corporate body by HAFZA. HAFZ shall be applied in stages as determined by HAFZA. The Government shall cause a resolution to be published in the Official Gazette prescribing the geographical boundaries of HAFZ and the locations where the application shall commence and the date thereof, following consultations with HAFZA.
Regions & Sea Ports
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Hafun and adjacent suitable mainland areas
-
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Gara’ad Port and rail link Dirir
-
-
Las
Airports
-
-
-
-
Las
-
Article 3.
Other Free Zones shall be established in the territories of the Republic by a resolution to be taken by the Government with consultation with HAFZA. The establishing resolution shall prescribe the locations of these Free Zones, their areas and the purpose for which they are established.
Article 4.
HAFZA shall be responsible for the management, exploitation and development of HAFZ in the State;
a) The Board of Directors of HAFZA shall be formed at the sole discretion of the shareholders of HAFZA;
b) HAFZA shall provide its own financing for developing HAFZ;
Its financial resources shall consist of the following:-
1. Medium Term Notes asset backed from shareholders and equity partners.
2. Its own revenues accrued from works and services rendered by it to others.
3. Aid, donations and grants obtained through its International contacts.
4. Loans approved in accordance with its own constitution.
5. Any other sources approved by its Board.
a) HAFZA shall have its own administrative structure and special staff, formed as such by its Board of Directors.
Article 5.
The Government, in the course of implementing this law shall:-
a) Issue licenses and legal deeds necessary for the various work activities and occupations that are permitted within HAFZ;
b) Allocate land area necessary for warehouses and quays necessary for project owners, within the areas allocated to HAFZ;
c) Provide HAFZA with access to all oil, gas and water facilities to the boundaries of HAFZ for the development of the power sources;
d) Enable project owners to be provided with various services and facilities necessary for their activity within HAFZ.
Article 6.
1. The Government shall abstain from operations of any kind within HAFZA without express HAFZA authorization.
2. Any need for defence, air control, civil defence, customs, immigration, shall be established at the Government’s cost outside the boundaries of HAFZA.
Article 7.
a) HAFZA’s Board of Directors is the supreme authority empowered to propose and implement the general investment policies in HAFZ;
b) The Board shall set up the economic plans, investment programs and systems of HAFZ. It shall also issue the financial and administrative regulations that organize the work HAFZA, the texts of agreements, contracts, forms and various legal documents necessary for the organization of work in HAFZ. It may adopt what it deems necessary of resolutions to realize the purposes of this Law
PART TWO:
Activities Permitted and Activities Prohibited in HAFZ
Article 8.
Without prejudice to the provisions of Article 9 of this Law, the following activities shall be permitted within HAFZ:
a) Founding and establishing industrial projects and any activities related to installation, assembly, equipping and renovation of manufactured and semi-manufactured projects;
b) The bringing in of national and foreign goods, their storage, use and consumption as well as taking the same out of HAFZ;
c) Carrying out all processes pertaining to goods in HAFZ such as sorting, cleaning, blending, mixing, packaging and repackaging, breaking, segmenting, assembling and modifying shape or condition as well as maintaining and other activities that are required by trade terms and market needs;
d) All services, financial, banking, insurance and commercial activities;
e) Constructing hotels, tourist utilities and installations, casinos and sports complexes;
f) The retail and wholesale of liquor and tobacco products for use within hotels, tourist facilities, casinos, clubs, bars or private use within family homes or suitable recreation areas approved and/or licensed by HAFZA;
g) All building and construction works, maintenance of ships, aircraft and various means of transport;
h) Supply ships and other means of transport with fuel, oils, foodstuff, beverages, tobacco products and all materials necessary for their operations;
i) Any profession, vocation and other works required by activities within HAFZ.
Article 9.
The bringing in and dealing with the following goods is prohibited:-
a) Decayed and rotten goods, waste and materials that are detrimental to the environment and unsuitable for human and animal consumption;
b) Radiant materials, except those which are permitted to be brought in for industrial, medical and scientific research purposes under license from HAFZA;
c) Drugs of all kinds and derivatives, with the exception of those adequately licensed by a competent International government body for use in the manufacturing of medicines and pharmaceutical preparations and/or consumer use in compliance with the Laws in force by HAFZA.
d) .Arms, military ammunitions and explosives of any kind unless otherwise approved by the Government for security purposes;
e) Goods that violate the laws pertaining to commercial, industrial, literary or artistic copyright.
Article 10.
The following activities and practices shall be prohibited:-
a) the practicing of any free profession or vocation within HAFZ without prior permit from HAFZA;
b) The use of a license issued for a specific project to establish another one;
c) The assignment by an owner of a licensed project to another party without the prior consent of HAFZA;
d) Any other practices and activities carried out in contravention with special directives from HAFZA regarding the protection of environment.
