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Investment in Trinidad and Tobago: Several Benefits of Free Trade Zone Concept

Author: Ttfzco Hz
by Ttfzco Hz
Posted: Jul 23, 2014

Although we talk about globalization, but there are so many factors that restricts small businessmen to invest internationally. If you have ever noticed, you must have seen big corporations and industrialists investing in different countries because they have enough money to invest and even can manage paying taxes that government applies on them. This tax and duties stop several small entrepreneurs from even thinking about investing in other countries. But many people are unaware of the fact that duty free zone is a region where foreign goods can be imported and exported without imposition of duties. In this concept of free trade zone, one can invest in the other country without paying any kind of taxes to the government.

There are very few countries where free trade concept is acceptable and Trinidad and Tobago where investment is completely tax free. If I discuss this concept elaborately, then it is specific class of unique economic zone. These are the geographic areas where goods may be manufactured, landed, reconfigured or handled without the interference of the custom authorities. Such zones are mainly organized around international airports, major seaports and national frontiers. These areas are specifically the ones that have many geographic advantages for trade. These free trade zones were previously known as free ports.

There are several benefits associated with investment in Trinidad and Tobago. This will prove advantageous not only to the individual but also there are several economical benefits of this concept to the country. These include:

  1. Foreign Exchange Earnings: The foreign exchange rate may be optimistically impacted by amplified export income, which may show the way to reduced cost imports for home buyers or, otherwise, larger imports at a particular exchange price.
  2. Employment Formation and Income Generation: Setting up a free trade zone may direct to urbanization and a budge from agricultural activities to industrialization, which is anticipated to be joined with a small opportunity value to enlarge and broaden your horizons of the economy. There is a predictable net profit in conventional export goods comparative to the failure of agricultural output.
  3. Desirability of Foreign Direct Investment: Free Trade Zones are projected to create a center of attention for Foreign Direct Investment (FDI), which will augment the principal accumulation of the host country.
  4. Technological transmit and knowledge overflow: Free Trade Zones are anticipated to produce knowledge spill-over, technological transfers and demonstration effects, which will upshot in fabrication of non-traditional goods by local organizations that will gain from such production as they are enforced to produce at a superior level with more accurate quality standards. This will necessitate training of the personnel, staff and management.

There are several companies which act as a consultant and help you out in deciding which fields will good for you for making investment in Trinidad and Tobago. They will also guide you about the laws, policies, terms and conditions of investment. If you are not aware of free trade zone, they will explain you in detail where the taxes will not be deducted and where you have to pay some amount.

About the Author

Ttfz supplies total exemption solutions in a free region by practices obligations upon funds goods, spare elements, raw materials pertaining to utilization in this construction.

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Author: Ttfzco Hz

Ttfzco Hz

Member since: Jul 22, 2014
Published articles: 4

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