• Wednesday, April 24, 2024
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Explainer: Everything about Kaduna’s Green Economic Zone

Explainer: Everything about Kaduna’s Green Economic Zone

The Green Economic Zone (GEZ) located along the main Kaduna-Jos highway, is Nigeria’s third economic free zone in the country, after the Lekki Free Zone and Eko Atlantic City, located in Lagos.

Licensed in June 2022 by the Nigerian Export Zones Authority as a recognised free trade zone, GEZ is in a private-public partnership with KK Kingdom, a major developer of the initiative.

Its purpose is to foster economic growth and take advantage of benefits the state of Kaduna provides, like its proximity to densely populated states, favourable climate for cultivation and large production population.

Read also: Afreximbank signs $50mln term loan facility with Green Economic Zone Kaduna

The GEZ, just like the Lekki Free Zone, is designed to attract investors. It offers opportunities to recruit, retain and develop local and international talent, contributing to the development of a sustainable economy.

According to its financial report, a major driver of its revenue is driven by land sales inside the zone.

At its handover Certificate of Declaration event held in 2022, Nasir El-Rufai, former governor of Kaduna state, expressed hope for the establishment of the zone.

“The Green Economic Zone is a special economic zone that is produced for exports, edible oils, textiles, and ,” he said.

The Kaduna Economic Zone offers many economic benefits to the state and country at large.

First Green Economy in Nigeria

The Green Economy Zone, Kaduna is the first green economic zone in Nigeria, attracting green investments and accelerating climate change initiatives in Kaduna, aimed at improving human well-being.

It is a first-of-its-kind initiative in Nigeria and was created to increase the state and country’s foreign direct investment while boosting growth and development.

A good place for business

The GEZ provides a good functioning environment for businesses. It provides a 24-hour power supply, security, water, security, a waste recycling plant, warehouses to store goods and a Customs clearing facility.

It also offers proximity to suppliers, especially for commodity processing companies. It provides access to relatively cheap man labour, and other business efficiencies.

Read also: Lagos strengthens climate change advocacy for economic growth

The GEZ Kaduna ensures that manufacturing, trade and logistics derive long-term advantage.

Located near the Kaduna International Airport, and the Kaduna-Abuja Railway, the GEZ enables multimodal connectivity via air, road, and rail networks.

It offers a range of advantages for people in business who would like to start up or proceed to a more convenient business centre.

Great incentives for investors

Investors always look for places where they would get incentives and the GEZ provides investment returns for its investors.

Every investor in the zone will have a dedicated relationship manager to facilitate licenses, clearances and permits swiftly and efficiently.

Investors also get tax holidays from all federal, state and local government tax rates and levies.

They will be able to operate under free importation of capital goods, machinery components, spare parts, raw materials and consumable items into the zone.

Also, investors get 100 percent return on capital investment in the zone at any time, with capital appreciation of the investment.

A manufacturing hub

One core vision of the GEZ is to be a leading manufacturing hub in Kaduna and ultimately Nigeria.

The zone specialises in the production of textiles, edible oil, and clothing, among a range of other things. It provides a range of job opportunities for residents of Kaduna.

These jobs made available by manufacturing companies in the zone, create jobs for people.

Read also: $10bn Steel investment will catalyse economic growth Tinubu

Overall, Kaduna’s Green Economic Zone is home to Nigeria Customs Service, Nigeria Immigration Services, Department of State Security Offices and Nigeria’s Police Force, among other large manufacturing companies, and agencies.