Difference between free trade zone and special economic zone
Answers
free-trade zone can be defined as a area where goods are landed, stored, handled and manufactured. Free zones are mostly established near sea ports and near airports as these are the two basic places where the goods can be landed and then distributed all over the country for use.
whereas special economic zones are known as special areas where business rules and regulations are different from rest of the country
Government creates some special economic zones to excel economy of those areas in such areas government provides different schemes and often provides reduction in taxes and in some areas completely tax fee is free in other words industries in such areas will pay zero taxes to government.
Answer: Trade free zones are defined as duty free areas offering warehousing, storage and distribution facilities for trade, trans-shipmemt. These free trade centers are generally located in developing countries which are setted by that governmnet of the country to promote industrialisation. These free zones are located near seaports, international airport.
A special economic zone is an area in which business and trade laws are different from rest of the country. This policy mainly focuses on investing, trading, taxation, customs etc.