Export processing zones

A Zone provides a site where operations involving foreign and domestic merchandise can take place which otherwise might have been done abroad for tariff and trade reasons.

Export Processing Zones (EPZ) are governed by an Act of Parliament, Export Processing Zone Act, Act.

In the area defined as the Export Processing Zone certain lawful activities can be conducted with the minimum of formalities.

A Zone provides a site where operations involving foreign and domestic merchandise can take place which otherwise might have been done abroad for tariff and trade reasons.  Any foreign or domestic merchandise, except that which is prohibited by law or order because of public health, safety or interest, may be brought into the Zone without being subject to the payment of duty and tax.

Merchandise which is permitted in a Zone may be stored, exhibited, manufactured, mixed or manipulated provided it is allowed in the Export Processing Zone Act and other applicable laws and regulations.  Merchandise may be exported, destroyed or sent into Customs territory from the Zone.  It is expected that the majority of the merchandise will be exported and the amount which is allowed into Namibia will be 30 percent of the production and must be closely controlled.  It will be subject to Customs duties and taxes if sent into Customs territory, but not if shipped to foreign destinations outside the SACU region.

Export Processing Zone Program

Manager has been designated as the Head Office Export Processing Zone Program Manager.  The program manager will be advised of all EPZ certificates issued and the relevant supporting documentation such as the trader application forms, processing schedules, Company accounts etc by the department of Trade and Industry.  He or she will be responsible for notifying the Controllers, responsible for supervision and control of EPZ companies, of an approval having been issued by Trade and Industry and to supply copies of the relevant information to be included in their trader files.  

The Program Manager will establish and maintain a central Trader file giving full details of certificates issued correspondence with Trade and Industry relating to any trader, amendments to authorization issued any other correspondence from Customs or other body.  
The Program Officer shall serve as the liaison person between Customs and Excise and Trade and Industry regarding EPZ’s and shall establish and maintain a list, and notify all ports of entry of EPZ certificates issued, giving the information provided at the end of this chapter.  The Program Manager serves as the principal advisor to the Director and shall consider and decide on any disputes or issues that arise that have not been resolved at the relevant control station.

Customs Laws and Regulations

For control purposes, Customs and Excise is mandated by Section 6 of the Export Processing Zones Act, Act No. 9 of 1995 to control the movement of goods in relation to the provisions of the Customs and Excise Act 1998. There is a further specific set of procedures issued by Customs and Excise in the EPZ handbook.

Merchandise of every description, except for that prohibited by law, may be brought into an Export Processing Zone. It can be stored or processed there under certain circumstances without being subject to the full Customs laws of Namibia.  Although Customs laws are not usually applied in the Zones they are applicable to the merchandise passing through the territory of Namibia before admission to, or after transfer from the Export Processing Zones.  In order to be able to perform their duties Customs and Excise have issued regulations which indicate the way that Zones shall be operated, maintained and administered by the competent authority (who may be referred to as the operator in these notes).

How Export Processing Zones are established

The Minister of Trade and Industry, in consultation with the Ministry of Finance, may declare any area as an Export Processing Zone.
This may consist of a developed, partly developed or undeveloped area of land or may comprise a single factory unit or group of units.

Every Export Processing Zone shall be managed by an Export Processing Zone Management Company which has obligation in regard to the provision of services and maintenance under the Export Processing Zones Act.

Origin Rules

The origin rules applicable are those to which the goods must comply by virtue of the intended destination of the exported goods.  For export to Zimbabwe, the origin provisions of the Namibia/Zimbabwe trade agreement are applicable.

Export Processing Zones Guide

Click on the link below to download the export processing zones guide.

Export Processing Zones Guide

Related Tax Types

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Frequently Asked Questions

What is a Cargo Manifest?

What is Value-Added Tax?

What is ASYCUDA?

What is the Export Processing Zone (EPZ)?

Who is classified as a taxpayer representative?

What is the Inspection Act?

What does re-importation in the same state mean?

What is the ATA Carnet?

What does NAMSAD mean?

What are Export Processing Zone Enterprises and Certificates?

What is a surety bond?

What is the Carnets De Passage En Douane (CDP Carnet)?

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