By Omer Bilal Islamabad, February 21, (INP-WealthPK): The Punjab Industrial Estates Development and Management Company (PIEDMC) has awarded the status of special zone enterprise (SZE) to 19 companies which have been allotted plots in the Quaid-e-Azam Business Park, Sheikhupura and Vehari Industrial Estates. The decision will lead to an investment of around Rs55 billion and the creation of job opportunities. In this regard, the Special Economic Zone (SEZ) committee met in Lahore and approved sub-leasing for five companies including Novatex Limited, Poly Pak, Texo Poli, Urban Premier and Ishtiaq Steels in the Quaid-e-Azam Business Park and GST Steel and Pristine Industries in the Vehari Industrial Estate. A BOI official informed WealthPK that multinational companies’ delegations from Afghanistan, China, Turkey, the UAE, Qatar and Denmark also visited the industrial zones to install manufacturing and export-oriented units. He said a business portal was being established for every SEZ and three private companies had applied to install large-scale manufacturing plants. These companies are expected to invest around Rs8 billion which will help boost exports. A PIEDMC official informed Wealthpk that the developers shall execute formal sub-lease agreements after completion of construction activities within 24 months of the date of the approval of Zone Enterprise Entry Application (ZEEA). He added that anyone who wants to establish a zone enterprise shall submit four copies of the application to the SEZ Committee as prescribed in the Rules along with the prescribed documents as per Annex- 2 of the First Schedule of the Rules. While answering a question, he informed WealthPK that the SEZ Committee will examine the Zone Enterprise Entry Application within 30 working days. The committee will inspect the business plan, which covers the next five years’ production, exports, employment generation, domestic raw material consumption, imported raw material, and local and imported machinery. In case of rejection of the application, a rejection letter stating the reasons will be issued within thirty (30) days. The applicant has the right of appeal. According to the Special Economic Zone Rule 2013, each SEZ shall use 70% of the area for operations of zone enterprises, while industries with special enterprise status will be given a one-time exemption for machinery import and income tax exemption for 10 years. The companies that have been given the status of zone enterprise will start construction work in the next six months and complete the project in two years. The developer with the leased land from the SEZ Authority, except as provided under Rule 30(2), shall only sub-lease the land to the zone enterprises for authorized commercial activities. The term of the sub-lease agreement shall be as per the agreement between the zone enterprise and the developer whereas no real estate activities may take place in the zone. An enterprise zone has been granted special tax breaks, regulatory exemptions, or other public assistance in order to encourage private economic development and job creation. Each zone will assist the investor in the provision of electricity and water, approval of environmental, construction plan, building approval, registration of complaint, and registration with the Securities and Exchange Commission of Pakistan (SECP) under one roof.