Kaohsiung Free Port Takes Applications for Residence
After more than a year of preparation, Kaohsiung Free Port began taking applications from companies desiring to move into and operate in the free port zone on Jan. 1, 2005. Eleven logistics-related companies, including Yangming Marine, have signed letters of intent to enter the zone.
ˇ@ˇ@The Kaohsiung Harbor Bureau points out that the Kaohsiung Free Port encompasses five container terminals with a total area of 397 hectares. Besides continuing to operate container-related businesses, the free port will also develop international logistics operations.
ˇ@ˇ@The harbor bureau predicts that following the establishment of the free port, it will combine with neighboring areas within the harbor, including the Kaohsiung Multifunctional Commerce and Trade Park, the export processing zone, Siaogang International Airport, and inland container terminals, to produce a multiplier effect of support by functional clusters. The free port is expected to add approximately NT$3.01 billion in new investment, create 500 jobs, and boost production value within the zone by about NT$1.2 billion.
ˇ@ˇ@According to data compiled by the Council for Economic Planning and Development (CEPD), by the end of December 2004 applications to establish free ports had been submitted by Keelung Harbor, Kaohsiung Harbor, the Economic Ministryˇ¦s Export Processing Zone Administration, Taichung Harbor, Port of Taipei, and Taoyuan Air Park. Free ports had already begun operating at Keelung and Kaohsiung. Other organizations had also expressed an intention to set up free ports, including the Tainan County Government (for the Southern Free Port), Tainan City Government (for the Anping Free Port), Kaohsiung City Government (for the Southern Star Free Port), and the Industrial Development Bureau of the Ministry of Economic Affairs (for the Changhua Coastal Industrial Park) (see Table 2).
ˇ@ˇ@The data show that almost 30 companies have expressed an intention to move into free ports, and the number is continuing to grow (see Table 3). Once all of the free ports throughout Taiwan are operating, they are expected to attract 1,000 enterprises, add NT$67.8 billion in investment within their zones, boost the zonesˇ¦ production value by NT$162.5 billion, and create 30,000 jobs.
Table 2 Establishment of Free Ports in Taiwan
ˇ@
|
Name
of Free Port |
Status |
|
1.
|
Began
operating in October 2004 |
|
2.
|
Began
operating in January 2005 |
|
3.
|
Application
submitted |
|
4.
Conversion of Export Processing
Zone to Free Port |
Application
submitted |
|
5.
|
Application
submitted |
|
6.
|
Application
submitted |
Source: Center for Economic Deregulation and Innovation, CEPD, Jan.5, 2005
Table 3 Corporate Intention to Enter Free Ports
ˇ@
|
Name
of Free Port |
Results
of Intention Survey |
|
1.
|
As
of end of November 2004, five companies had expressed intention of
becoming free port enterprises; two had signed letters of intent |
|
2.
|
As
of end of November 2004, 11 companies had expressed intention of
becoming free port enterprises and had signed letters of intent |
|
3.
|
As
of the end of May 2004, 10 companies had expressed intention of becoming
free port enterprises |
|
4.
|
As
of the end of November 2004, one company had expressed intention of
becoming free port enterprise |
|
5.
|
As
of the end of November 2004, the operator had discussed details of
becoming free port enterprises with almost 50 nearby firms |
Source: Center for Economic Deregulation and Innovation, CEPD, Jan.5, 2005
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