BY JOEL EVANS OWUSU Accra(Greater Accra), 2 Dec '98 -- Sixty-one companies have so far been registered as freezone enterprises by the Ghana Freezones Board (GFZB), which begun operations in 1996.
Of the registered companies, 25 are situated in Tema, the industrial hub of the nation. Mr. George Aboagye, Executive Secretary of GFZB told participants at the on-going TEXPO '98 at Tema, today.
He said the freezone concept aims at wooing investors to boost the industrial climate and help make Ghana a middle income earning country by 2020.
Mr Aboagye said the concept will help to create employment and reduce social misdeamanors due to idling.
He said a free zone enterprise enjoys exemption from the 35% tax payable by manufacturers, adding that this will conserve substantial capital for investment.
A company, operating in the freezone must export 70% of its products which will will help to popularize made-in-Ghana goods abroad and increase foreign exchange earnings, Mr Aboagye said.
Certificates for companies that qualify to operate in the free are processed within six weeks of application after paying the requisite fee of 1,000 dollars.
Companies that are not able to show that they have external market for 70 per cent of their products are disqualified from operating in the free zones and some companies have been rejected because they failed to meet the environmental safety requirements set by the board.
In his contribution, Mr. Samuel Grant, Managing Director of Ghana Biscuits Company (GHABICO), said his company has benefited from the challenges of the free zone concept immensely and is currently turning out 140 tones of products monthly.
He said 90% of their exports penetrate West Africa markets with the rest in Angola, Mozambique and Sudan. He cited the 'Akwaaba biscuit' as being popular in 13 neighbouring states.
GHABICO was the first company to be registered by GFZB in 1996.
