A Qualified Industrial Zone (QIZ) refers to a specific type of economic zone established in certain countries with a primary aim of promoting trade and economic cooperation. A QIZ is commonly observed in the Middle East region and represents a joint venture between multiple nations. The main objective of a QIZ is to incentivize and facilitate trade activities, particularly in the textile and apparel sectors, between participating countries.
To establish a Qualified Industrial Zone, specific criteria must be met. These criteria typically include the fulfillment of requirements related to labor rights, minimal levels of local content, and cooperation with designated countries. Once a QIZ is established, it allows for duty-free and quota-free trade between the participating countries, boosting economic growth and providing employment opportunities.
The concept of a QIZ also involves encouraging foreign direct investment (FDI) by offering numerous incentives, such as tax breaks, streamlined customs procedures, and access to an abundant local workforce. Additionally, QIZs aim to promote peace and strengthen diplomatic ties by fostering economic collaboration between neighboring countries.
Overall, a Qualified Industrial Zone is a designated economic area where specific trade regulations and incentives are implemented to encourage commerce, particularly in the textile and apparel sectors. It serves as a platform for mutually beneficial economic cooperation among participating nations, leading to increased trade volume, job creation, and overall economic growth.
