Free Trade Zones & SEZ
Since FTZ Act 2000 was legislated in 2000 it was never implemented for the last seventeen years.
And there a lot of reason(s) why FTZ was not implemented.
In the last quarter of 2017, Hon Minister Wera Mori gave his political support to drive FTZ/SEZ forward. The Minister’s political support has greatly triggered the reactivation of FTZ.
Currently, Commerce and Industry has submitted two policy submissions to NEC for its deliberation for Vanimo FTZ and Finschhafen SEZ.
The Bana FTZ is in the finalisation stage to be sent to NEC by end of November 2018 for its deliberation too. Kikori District in the Gulf Province and Manus have shown interest in FTZ and SEZ and they have already formed committee to commenced discussion and pursue their agenda.
Meanwhile, National Planning Department and Commerce and Industry will soon present to NEC a joint-submission on Special Purpose Economic Vehicle Policy Framework (SPEV). This is an overarching policy framework that will cater for large-scale projects such as FTZ, SEZ and IZ. This SPEV Policy is also in the finalisation stage and ready to go before NEC in November. Once the SPEV Policy is endorsed a SPEV Bill will follow suit.
So far, FTZ, SEZ and IZ program are re-activated and needs continuous government support and commitment to implement it accordingly so that we can see its real benefits.