The legal framework setting up the activity of Free Trade Zones in Romania is represented by Law no.84/1992, concerning the regime of free zones in Romania, the Romanian Government Urgency Ordinance no.31/1997, concerning the regime of foreign investments in Romania and Law no. 332/2001 regarding the promotion of FDI with significant impact on the economy.
Incentives offered by the Romanian legislation are:
· the land and constructions in free zones may be leased or rented to Romanian or foreign natural or legal persons, for a period of maximum 50 years;
· the means of transportation, merchandise and other goods coming in or out from abroad directly in the free zones, are exempt from the payment of the VAT and customs duties;
· companies operating based upon license within the free trade zone are paying 5% tax on profit
· materials, accessories and other goods exported from Romanian customs territory into free zones, enjoy of a zero VAT rate and are exempt from customs duties payment (after the fulfilment of all export formalities provided by the Romanian legislation);
· the goods from a free zone can be carried to another free zone without the payment of customs duties.
The activities which may be carried out within Free Trade Zones are: handling, storing, sorting, measures, packing, conditioning, processing, assembling, manufacturing, testing, auctioning, buying, selling, hiring and concession of land and buildings (concession may be done for a period up to 50 years), the quantitative and qualitative control of goods, surveying, repairing, dismantling, exhibitions, stock's exchange operations, commercial-financial operations, inner or international transports or forwarding, brokerage, agency and ship handling services, as well as other free zones' specific activities. For all of these activities and for the goods entering or leaving the free zone, all documents, requested by Romanian laws in force, are necessary to be issued. All mentioned any natural or legal persons, foreign, might carry out activities or Romanian, on grounds of a license issued by the Free Trade Zone Administration.
At the national level, the activity of the Free Trade Zones is co-ordinate by "General Directorate of the Free Trade Zone Agency", in the frame of the Ministry of Public Works, Transport and Lodging, 771131, Bucharest 1, 38 Dinicu Golescu Av., tel: +40-21-2223636, 6375640; fax:+40- 21-3120772; web site: http://www.mt.ro
The port Constanta South, one of the biggest ports in the Europe, is located along the fourth and seventh pan - European transport corridors. Moreover, it has the privilege of being the Black Sea largest harbour, allowing big tonnage ships to operate easily in the wharf area with depth of 13.5 meters. Due to its position and dimension, the Constanta port has a particular prospect for the attraction of the port traffic and the development of the economic activities as well as for the international carriage of goods by sea.
The most complex and important free zone in Romania is Constanta South Free Zone, placed on the south of Constanta Harbour, building up the biggest harbour in the South-East of Europe. In 1997, it has extended in the Basarabi Harbor and it became Constanta South and Basarabi Free Zone.
Free Zone Constanta South benefits of the existence of transport infrastructures (maritime, river, rail and road) which provides the connections with diverse supply sources and markets from Central Europe, Mediterranean Basin, Near and Middle East. There is intense commodity traffic through this free zone, as there are ferryboat and RO-RO terminals.Constanta South Free Zone has a total surface of 134,6 ha, divided in 3 platforms.
Platform no. 1 has 26,5 ha and it is divided in 2 enclosures. It has covered and uncovered storage, having road and rail connections, permitting the achievement of spaces for production. This enclosure has direct access to the berths where maritime and river ships can accost. Its berth front has a total length of 230 meters, providing the anchoring and the operation of the great capacity ships, with a draught to 20 meters.
Platform no. 2 has 10,5 ha.
Platform no. 3 has 97,6 ha, mostly under water.
The port aquatory is connected to the Danube River through Danube - Black Sea Channel, nearby to free zone. In access zones of the channel are accepted ships with maximum capacity of 5,000 DWT, the depth of the channel is 7 meters.
Is a branch of Constanta South Free Zone, with an area of 11,4 hectares in which 0,7 ha are aquatory. This zone became operational by the end of March 1999. Feasibility studies have been elaborated for setting up other three branches in Constanta, Medgidia, Cernavoda and Mihail Kogalniceanu airport.
The Administration of Constanta South and Basarabi Free Trade Zones:
General Manager: Constantin SUCIU
Tel: 0040-241-741601/02/03- 602301/04
Ferry Boat Terminal
The Giurgiu Free Zone lies on 262,81 ha, being limited by water on three sides (Danube River and two shipping channels). Giugiu Free Zone was established in 1996 in the South of Romania. Advantaged by its geographical position, Giurgiu Free Zone is an opening for commercial relation with Balkan Half-Isle and Middle East. Giugiu Free Zone location benefits of: infrastructure works (banks, platforms, roads and railways accesses), superstructure works, both for commercial and industrial production spaces, arrangement for electric power connection, communication infrastructure, telephone connection through optic fibbers and digital telephone exchange, free grounds for production and commercial spaces arrangement. For the loading-unloading activities there are 580 meters of berth. The free zone has an oil petroleum terminal with 50,000 tons store capacity for diverse oil products.
Curtici – Arad Free Zone was established in the West of the country, on the railway corridor no. 4, (Berlin – Istanbul/Salonic). It consists of 2 sites: the first has 75 hectares in Curtici town, and the second one has 15 hectares inside the Arad International traffic Airport. It is placed on a European main line, nearby three-road transport frontier connections, together with air one.
Therefore, the carriage in and out the free zone works like this:
Rail transport works through Curtici marshalling yard for going out, and by internal main lines for going inside the country.
The road transport works on the following main lines:
North – South highway (Trans – European), on the Budapest – Szeged – Arad – Deva – Pitesti – Bucuresti - Constanta variant;
Arad International Airport – Arad belt – Sofronea – Curtici;
Air transport shall be done using Arad International Airport.
The Administration of Arad-Curtici Free Trade Zone:
81, Revolutiei Av, 2 900 Arad-Romania
Sulina Free Zone is the first established one, starting to function on March 22 1993. It is situated on the eastern edge of the Danube, where the Sulina branch flows into the Black Sea. It has 100,98 ha surface, and it benefits on a very complex infrastructure and harbour endowment.
The main activities in Sulina Free Zone are the trading ones, because of its specific situation: there are no road, rail or airport connections.
The river and the sea are the only available transport ways for Sulina Free Zone. At the same time, those who are using Sulina Free Trade Zone have access -through International Sulina Channel -to Western and Northern Europe and to the Middle East region- through Black Sea.
The Sulina Free Zone has over 70,000 sqm of platforms, fenced and equipped for open storage, more than 5,000 sqm covered areas, in warehouse, fit to accommodate any general cargo, 3 floating cranes of 16 ft capacity, provided also with grabs, 2 floating cranes of 32 ft, perfectly fit for 20 ft and 40 ft containers handling (all cranes are self-propelled), 2 river pushers, each of 840 HP and one sea/river tugboat of 630 HP, 2 covered river barges Europe 2A-type of 1500 MTS capacity each, several 3,5-10 ft forklifts, bobcats for bulk cargo trimming, tractors and trailers etc., all serving 5 operational berths. These can accommodate any sea vessel whose draft does not exceed the 23-ft limit, imposed still by Sulina Bar.
The Administration of the Sulina Free Trade Zone:
202 Intai Street, 8829, Sulina, Romania
Bucharest office - Tel: 0040-21-6138723
Tulcea office Tel: 0040-240-517632
Galati and Braila Free Zones have been established on Danube flow, in 1994.
It is located inside the area of Galati harbour, very near to the Romanian border with the Republic of Moldova and Ukraine. The Galati harbour is the gateway to the Community of the Independent State. It has direct access to the Danube. There is allowed the access of the vessels with a draught of 24-ft (7,3 m). Galati Free Trade Zone is connected, through the Black Sea, with the Mediteranean Sea and with the Western Europe on the route Danube-Main-Rhin. Within Galati Free Trade Zone there is the connection point of the Romanian railway network with the wide gauge railway system from the CIS territory. Here a large railway network with ordinary gauge assures the direct access to the Western Europe. Roads: The access ways inside Galati Free Zone are connected with the Romanian road network, being connected, at the same time, with all the countries from Eastern and Western Europe. For supplementary information, you can contact Galati Free Trade Zone Administration in Galati, Galati County, Romania, Cristal Building, Al. Ioan Cuza Str., 6200 Galati.
Braila Free Zone has an area of 114,418 hectares and consists of 3 distinct sites. Site 1 is located in the downstream berth area, also in the vicinity of the proposed container terminal, between the Danube left bank and the protection embankment (71,618 hectares). Site 2 has 34,5 hectares and it is located at the outskirts of Braila, in the "Varsatura" area. Site 3 has 8,3 hectares and it is located in the existing harbour area that is situated between the Naval Station and the Fishery, bordered by the Danube bank and the river shore. The site is provided with platforms, buildings and utilities that can be easily adapted to specific Free Zone activities.
The Administration of the Braila Free Trade Zone:
10-12 Mihai Eminescu Str., 6100 Braila, Romania