Park Investment Q & A


Park Investment Q & A

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The total population of Zambia is about 20 million, with over 50% of the labor force, 7.53% of the unemployment rate, and 73% of the agricultural population.
The Central Province is located in central Zambia, bordering the capital city of Lusaka. It covers an area of approximately 108000 square kilometers and has 11 urban districts, with a population of over 1.5 million, most of whom are young adults. There are three public universities, three private universities, five public colleges, multiple industry and skills training schools, as well as other training institutions in the province, such as the famous University of Murunguhi in Zambia. Every year, tens of thousands of outstanding graduates from various fields are trained, with the ability to provide high-quality and affordable labor force.
Kabwe City is the capital of the Central Province, with a population of 200000 and an area of 1572 square kilometers. It is approximately 130 kilometers away from the capital city of Lusaka. Qibangbu City has a population of 300000 to 400000 people, with a labor force of about 120000 to 160000 people. The population is distributed around Dabei Road, mainly consisting of agricultural workers with low labor skills.
The Zambia Jiangxi Economic Cooperation Zone is located at the border of Kabwe and Chipombu cities in the Central Province of Zambia.

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Zambia has abundant groundwater resources, and the existing industrial areas in Zambia generally use drilling wells and reservoirs to solve production and domestic water problems; Domestic sewage is treated and discharged through septic tanks, while industrial sewage manufacturers first treat it before discharging it through septic tanks. The park plans to build a sewage treatment plant based on the development scale of the enterprises entering the park. A 33/11 kV dedicated line and a 20 MW substation will be built in the cooperation zone, with an additional management fee of 30% on top of the basic power supply price from the power company, which is about 13-18 cents per kilowatt hour.

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The cooperation zone has planned offices, dormitories, and restaurants. Enterprises entering the park can rent and use them, or lease land and build their own after approval by the park.

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Factory building: 150 meters by 30 meters (with an area of 4500 square meters), eaves height of 8 meters;
Factory area: 230 meters x 145 meters (including two factory buildings with an area of 33350 square meters).

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The cooperation zone is under semi closed management, and the entrance and exit of the park are guarded by the cooperation zone. Regular inspections are conducted within the park; The security of the leased factory area is the responsibility of the enterprise, which can hire a security company or local police.

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The cooperation zone has planned offices, dormitories, and restaurants. Enterprises entering the park can rent and use them, or lease land and build their own after approval by the park.
Within 5 years from the announcement of dividend distribution, dividends are exempt from income tax (currently only applicable to the automotive and motorcycle assembly industry);
2. Capital machinery and equipment (including special vehicles) used by enterprises in the park for production activities shall be subject to zero import tariffs within five years;
3. Capital machinery and equipment (including special vehicles) imported shall be reduced or exempted from value-added tax; (Only applicable to park developers)
4. Enterprises entering the park are exempt from receiving export business profit dividends for 10 years from the start of operation;
5. Enterprises entering the park will be exempt from export business income tax for ten years from the start of operation. For 11-13 years, income tax will be levied at 50% of the income tax rate, and for 14-15 years, income tax will be levied at 75% of the income tax rate;

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1. Letter of Recommendation (Cooperation Zone Recommendation Letter)
Note: This recommendation letter is issued by Jiangxi United Industrial Investment Co., Ltd. in the cooperation zone and submitted and filed with the Zambia Development Agency.
2. Company Profile
Note: This introduction mainly introduces the company's shareholders, investment projects, total investment amount, and its role in promoting local labor employment and economic development.
3. Application Form
Note: The format of this application form is regulated by the Zambia Development Agency and must be filled out carefully in English according to relevant requirements.
4. Certificate of Inclusion
Note: Please provide a photocopy.
5. Certificate of Share Capital
Note: Please provide a photocopy.
6. Articles of Association
Note: Please provide a photocopy.
7.Projected/Audited Financial Statement
(Predicted/audited financial statements)
remarks:
(1) Financial statements refer to the balance sheet, income statement, and cash flow statement;
(2) For companies registered for less than one year, provide forecasted financial statements;
(3) For companies registered for more than one year, provide the latest audited financial statements.
8. Copies of Passports of Directors
Note: Provide one copy of each director's passport.
9. Company Business Plan
Note: Fill in according to the specific characteristics of the company, but at least include the main contents stipulated by the Zambia Development Agency, such as shareholder composition and equity ratio, investment funding sources, main products and sales markets, main raw materials and supply sources, proposed number of employees, etc.
10. Required Incentives
Note: The relevant incentive policies are issued by the Development Company of the Cooperation Zone.
11.Investment Licence / Bank Statement
remarks:
(1) If the company obtains an Investment License issued by the Zambia Development Agency, provide a copy of the license;
(2) If the company has not yet obtained an investment license issued by the Zambia Development Agency, it must provide proof of funds (mainly bank statements).
12.Profile of shareholder company. (Company Profile of Shareholders)

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