All entrepreneurs who operate inside free trade zones in Serbia will be freed from taxes, VAT and export duties

Minister of Finance of Serbia, Mlađan Dinkić, explaining the Draft Law on Free Zones to the representatives in the Parliament of Serbia, said that its adoption would enable development of non-developed areas in the Republic, reduction of foreign-trade deficit and increase in investors' trust in the investment in Serbia.

Dinkić pointed out that there were 15 free zones in the Republic, of which only three - in Pirot, Subotica and Zrenjanin, had working licenses, whereas the rest of them were turned to the big warehouses, which made it possible for the goods to be imported and stored without payment of value added tax.

He emphasized that the free zone Pirot was one of the rare to use legal benefits and managed to export over 50% of the production of "Pirot" factory to the foreign market. The similar situation occured in Subotica.

Dinkić explained that all those who operated in the free zones would be temporarily freed from the payment of duties and VAT, whereas those who exported products would freed from the payment of those taxes for good.

Minister added that the passing of the new law was required for the sake of increase in the employment rate and economic activity in the cities and municipalities. He invited all municipalities in Serbia to examine the text of the future law, so that they would be able to attract investors to their regions and, in that way, improve standard and total economic growth.