The Government of the Russian Federation supported a bill simplifying the acquisition of the status of a SEZ resident

The Russian government supported the amendments to the law on Special Economic Zones (SEZ) prepared by the Russian Ministry of Economic Development. The draft law proposes to increase the efficiency of SEZ administration and simplify a number of procedures for residents.

“For future residents of the SEZ, the process of obtaining the status will be accelerated and the approval procedure will be simplified. When applying for resident status, companies will have the opportunity to replace the business plan with its simplified form – an investment project passport, where all the necessary information for making a decision is visible, ”said Maxim Reshetnikov, Minister of Economic Development.

The resident’s candidacy will be considered by the region without the participation of the expert and supervisory board. This flexibility of the mechanism will make it possible to make a decision on an investor in 15 days instead of the current 40.

In addition, the draft law proposes to combine industrial-production and technology-innovative types of SEZs, as well as to expand the list of permitted activities with excisable products. It will be possible to produce and process methane and liquefied petroleum gas on the territory of the zones. When creating a SEZ, a single agreement will be concluded between the Ministry of Economic Development, the management company, the region and the municipality instead of three separate documents.

There are currently 42 SEZs in Russia. About 1000 residents are registered in the SEZ. The total amount of investments invested by residents amounted to about 632 billion rubles, more than 48 thousand jobs were created by residents.

“There are five special economic zones in the Moscow Region, where more than 200 residents already operate, and every year the demand for localization at such sites is increasing – last year alone, 24 new investors came to the SEZs near Moscow. The amendments to the law on SEZ proposed by the Ministry of Economic Development of the Russian Federation are designed to simplify the procedure for obtaining resident status and significantly reduce the time for consideration of applications, which will certainly increase business interest in such sites,” commented Ekaterina Zinovieva, Minister of Investment, Industry and Science of the Moscow Region.

“The adoption of these legislative norms will improve the system of administration of the SEZ, expand the rights of residents of the Special Economic Zones. The accepted proposals will reduce the financial and time costs of investors. It will be easier for small businesses to obtain resident status. All this will allow opening new production facilities in the regions, developing competition, creating new jobs, and thus improving the quality of life of the population,” said Eduard Kuznetsov, deputy of the State Duma Committee on Economic Policy.

“For potential SEZ residents, this is a significant simplification and acceleration of the procedures that they have to go through – after all, the period for obtaining a resident certificate has been reduced by 2.5 times. But this is also a big responsibility for the investment teams of the regions – the analysis and verification of investment plans remains only at their level. As for the proposal to combine industrial and production and technology-innovative types of SEZs, as well as expanding the list of permitted activities – for the management companies of special economic zones, this may mean an increase in those industries whose representatives can become their potential residents,” said the General Director of JSC “SEZ “Titanium Valley” Andrey Antipov.

“Improving the working mechanisms of the Special Economic Zones by the Russian government is of great importance for the regions. Investors see that specific solutions increase the efficiency of the SEZ system. This is a good sign for potential residents,” said Gleb Nikitin, Governor of the Nizhny Novgorod Region.

“The updated mechanism of the SEZ will certainly stimulate the arrival of new investors in the territory of the Kulibin SEZ due to the maximum simplification of obtaining resident status. It will also be a good help for the development of enterprises from those industries that previously could not become residents of special economic zones,” said Igor Ishchenko, General Director of JSC Nizhny Novgorod Region Development Corporation.

“The amendments to the Federal Law “On Special Economic Zones in the Russian Federation” adopted by the Government of the Russian Federation are very timely. These changes will certainly help simplify the procedure for attracting residents, speed up the process of obtaining the status of a SEZ resident and creating a SEZ,” commented Andrey Shpilenko, Director of the Association of Clusters, Technoparks and SEZ of Russia.