Armenian Prime Minister hurried to create FEZ on border with Iran

ArmInfo. The issues of organizing  the free economic zone (FEZ) in Syunik region were discussed on March  23 during a meeting in the government of Armenia, the press service  of the country's executive body reports.

Minister of Economic Development and Investments of Armenia Suren  Karayan reported that as a result of discussions with representatives  of the CCI of Armenia and LLC "Free Economic Zone of Syunik" it is  planned to create an organizational company for FEZ in Syunik.

The head of the government presented steps on the formation of the  FEZ, the public-private partnership, the organization of the first  stage and the implementation of the risk management program. It was  noted that for the implementation of the first stage of works it is  planned to invest $ 2.5-3 million, and the duration and deadlines for  the completion of construction will be established by the decision of  the Government of Armenia.

Karen Karapetyan instructed to speed up the process and submit a  draft decision on the creation of FEZ in Syunik at the forthcoming  meeting of the Government. The head of government noted that by  adopting the relevant decision the Government will approve the  application for the creation of a free economic zone in Syunik, and  in autumn 2017 the FEZ in Megri will start operating.

According to an early statement of the Armenian Ministry of Economic  Development and Investments, the Armenian government received  numerous applications from local, Russian, Iranian and European  companies to obtain the status of an operator of the FEZ. The cost of  the program for creating a free economic zone between Armenia and  Iran is estimated at about $ 28 million, and taking into account  current costs, the total amount will be about $ 32 million. At the  first stage it is expected that the FEZ will occupy the territory of  10-15 hectares, since it is considered that on this tape will be  located production and logistics facilities, as well as office and  storage facilities. But in the future it is planned to expand the  territory of the FEZ to 45-50 hectares, resulting in the construction  of tourist infrastructure. 

It was also reported that for 10 years the income of the  company-organizer of the FEZ will be $ 52 million, and the number of  employees of the company, the organizer of the free economic zone,  from 60 to 70 people. According to the forecasts, 120 companies will  be attracted over 10 years, which will export $ 80- $ 100 million per  year. Iran, the countries of the Eurasian Economic Union (EEU) and  countries of the Middle East are defined as target countries for  export.