Kenya - Export Processing Zones (EPZ) Enterprise Services License

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Procedure

The investor contacts the Export Processing Zones Authority with his initial project proposal and discusses it in some detail to see whether the intended activities are suitable for the EPZ scheme. The Authority provides the investor with appropriate application forms and the investor completes these and returns them to the Authority with a US$ 250 fee. The application covers such issues as intended company name, product description, shareholders, production flow chart, machinery requirements, production costs, intended markets, sources of technological know-how, project cost, sources of finance, employment created, utility requirements and intended location.

Within 30 days of receipt of the completed application the Authority advises the investor of the decision to accept, reject or accept with modifications the proposed investment project.

The approved applicant completes the registration of an EPZ company in Kenya whose articles of association and memoranda reflect only EPZ related activities.

The new firm is then issued with a letter of approval which will enable it to establish its activities in a gazetted export processing zone. This approval letter may have terms and conditions attached to it including:-

• permitted activities
• permitted volume of sales to the Kenyan market
• date by which the firm must have commenced exports

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Required Documents

• Application is in form EPZE 1(completed and signed where required)
• Production Flow Chart
• Implementation Timetable
• Letter from Bankers attesting to your capability to undertake the project
• 2 letters from buyers showing interest in purchasing your products
• Application fee

Office Locations & Contacts

Export Processing Zones Authority - Head Office
Administration Building, Viwanda Road,
off Nairobi-Namanga Highway,
Athi River, Kenya
P.O. Box 50563
Nairobi 00200
Kenya
ISDN +254-45-6621000
VoIP Lines: 020-7606040/3
Cellphone (Safaricom):0713-051172/3; (Airtel):0786-683222/0733-683222
Email: [email protected]
website: Export Processing Zones Authority contacts

Eligibility

An investor intending to venture in Export Processing

Fees

• Application - US $ 250
• Annual License - US $ 1,000

Validity

One year

Documents to Use

Application for Export Processing Zone Enterprise Service License - FORM EPZE (1)

Sample Documents

Please attach sample completed documents that would help other people.

Processing Time

30 Days

Related Videos

Videos explaining the procedure or to fill the applications. 
Attach videos using the following tag <&video type="website">video ID|width|height<&/video&> from external websites.
Please remove the "&" inside the tags during implementation.
Website = allocine, blip, dailymotion, facebook, gametrailers, googlevideo, html5, metacafe, myspace, revver, 
sevenload, viddler, vimeo, youku, youtube
width = 560, height = 340, Video ID = Can be obtained from the URL of webpage where the video is displayed.
e.g In the following url "http://www.youtube.com/watch?v=Y0US7oR_t3M" Video ID is "Y0US7oR_t3M". 
	

Instructions

The service enterprise license application is in form EPZE (1).

• No person shall carry on business as an export processing zone enterprise or hold himself out as providing or maintaining activities or facilities within an export processing zone enterprise unless he has been licensed as an export processing zone enterprise.
• The Authority may, on receiving application in the prescribed form, issue a license to any person to carry on business as an export processing zone developer, or an export processing zone operator or an export processing zone enterprise and every license issued under the Licenses section of the Export Processing Zones Act shall be in the prescribed form.
  • The Authority shall, before issuing a license allowing commercial activities, consult with the Commercial-General of the Kenya Revenue Authority.
• The Authority shall give notice to the Kenya Revenue Authority of every Export Processing Zone enterprise licensed under the Licenses section of the Export Processing Zones Act specifying
  • the activities in respect of which the enterprise is licensed and shall, in relation to commercial activities, indicate whether the enterprise is permitted to deal in goods not directly related to its manufacturing activities; and
  • any conditions attached to the license.
• No export processing zone enterprise shall be established, unless the export processing zone enterprise holds a valid license issued by the Authority.
• The license shall be granted by the Authority if the application is found to meet the objectives of the Export Processing Zones Act and if the proposed business enterprise
• is incorporated in Kenya, whether or not it is one hundred percent foreign owned, for the sole purpose of producing goods or services for export within an export processing zone;
• proposes to engage in any activity or activities eligible to be undertaken by an export processing zone enterprise in the export processing zone;
• shall not have a deleterious impact on the environment, or engage in unlawful activities, impinging on national security or may prove to be a health hazard; and
• conducts business in accordance with the laws for the time being in force save for any exemptions that may from time to time be granted.

Required Information

• Proposed Services
• Particulars of applicant/company
  • Name of applicant
  • Address of applicant
  • Telephone No.
  • Name of contact persons(s)
  • Name of Company which will under the service/project
  • Date of incorporation of company
  • Address of registered office
  • Telephone No.
• Particulars of Directors
  • Names
  • Identity Card No. /Passport No.
  • Nationality
  • Residential Address
• Cost of proposed project (KShs)
  • Land (specify area)
  • Buildings (Specify covered area)
  • Equipment
  • Pre-operational expenditure
  • Working capital requirement
• Financing
  • Authorized capital
  • Sources of fund
• Service flow chart and equipment required
• Sales schedule
• Requirement of machinery
• Market
  • Export
  • Domestic markets
• Service pricing (for each service activity, provide the percentage cost breakdown in terms of price)
• Location of premises
• Employment
• Source of technical know-how
• Declaration
• Signature of Applicant
• Details on manpower requirements for the project
• Details on electricity requirement for the project
• Details on water requirement for the project
• Details of telecommunication requirement for the project
• Details of port and airport requirements for the project
• Environmental checklist

Need for the Document

The Export Processing Zones (EPZ) Enterprise Services License is one of the EPZ enterprises licenses for companies directly involved in export-oriented business activities including brokerage, information, consultancy and repair services.

Information which might help

Contact Office: Export Processing Zones Authority HQS Athi River

Resolution Criteria: Project must be exported oriented

Please note the following in completing the form:

• Describe the services to be provided (at top of form)
• Section A: Particulars of Applicant/Company - The EPZ company to undertake the activities does not need to be formed at the stage of application. This can be done after approval of the project.
• Provide a flow chart of the service delivery process
• Ensure that the project cost (Section C) equals total finance (Section D)
• Provide bank reference letter attesting to promoters ability to raise required capital and his credit reputation, in original and signed.
• Provide 2 letters from buyers in targeted foreign markets indicating their interest or desire to source from the new EPZ manufacturing entity. These letters should be originals on company letterhead with physical address, telephone contacts and email/fax. The name of officer signing letter should be indicated
• Provide an implementation timetable showing timing of stages after licensing.
• Sign and date form where provided for.
• Ensure all Annexes are completed and signed where required
• Submit completed forms with a US $ 250 fee

Other uses of the Document/Certificate

Export-related service activities including brokerage and repair, consulting and information but excluding financial services.

The export processing zone enterprises, the export processing zone developers and the export processing zone operators are granted exemption from all existing and future taxes and duties payable under the Customs and Excise Act (Cap. 472) and Value Added Tax Act on all export processing zone imports for use in the eligible business activities of the export processing zone enterprise including machinery and equipment, spare parts, tools, raw materials, intermediate goods, construction materials and equipment, office equipment and supplies, and transportation equipment subject to the limitations on goods specified in the Second Schedule to the Export Processing Zones Act and according to the conditions specified in the Customs and Excise Act and the Value Added Tax Act.

External Links

Export Processing Zones Authority

Ministry of Industrialization and Enterprise Development

Export Processing Zones Act CAP 517

Procedures for obtaining an EPZ Enterprise License

EPZ enterprise service

Others

The Export Processing Zones Authority (EPZ