Federal Law on Free Port of Vladivostok comes into effect
Federal Law on the Free Port of Vladivostok developed by the Ministry of Industry and Trade and signed by RF President Vladimir Putin on July 13, 2015, came into effect on October 12, 2015.
The State Duma of the Russian Federation passed the Federal Law on July 3, 2015. The Council of the Federation approved it on July 8, 2015.
The law regulates relations arising from the establishment and operation of the Vladivostok free port.
As defined by the law, the Vladivostok free port is a part of Primorye Territory covered by state measures to support business activity to attract investment in developing transport infrastructure, open and develop production facilities manufacturing competitive goods for the Asia-Pacific region markets, speed up socioeconomic development, and raise the living standards of the Far East residents.
Under the law, the free port is being established for a time-period of 70 years.
The law contemplates possible extension of this time-period as well as early termination of state support measures for business in the free port territory.
To coordinate the activity of national and municipal authorities and address funDamental issues related to the operation of the free port of Vladivostok, a supervisory board of the free port of Vladivostok has been established.
The Russian government offers the port’s residents free road and utilities infrastructure. Additionally, the porto franco residents are offered a profits tax of no less than 5 percent in the first five years, then 10 percent in the next five years. According to the developers of the law, its implementation will let generate 500,000 jobs by 2034 and raise Primorye Territory’s gross regional product (GRP) to 1.106 trillion roubles (a growth of 70 per cent on 2015) by 2021, to 1.402 trillion roubles (a growth of 120 per cent on 2015) by 2025 and to 2.1577 trillion roubles (a growth of 240 per cent on 2015) by 2034;
Related link:
Russian President signs Federal Law On the Free Port of Vladivostok >>>>
