DEFINITION OF FREE ZONE: Regarding the legal nature, it constitutes a customs destination which is conceived as a specific area within the customs territory of the European Union in which any type of goods can be introduced, regardless of their nature, quantity, origin or destination, and which does not incur the obligation to pay the corresponding taxes during their stay in that zone, i.e., the goods are exempt from Import tariffs, Indirect Taxes and, as the case may be, Special Taxes.
From such a definition, we infer that Free Zones are essentially an instrument for promoting foreign trade activities, since the benefits are intended to facilitate the free international traffic of goods, reducing the costs involved:
– Any kind of industrial, trade and services activity may be carried out within the Free Zone boundaries.
– Fully exempt from tariffs and taxes on goods proceeding from or shipped to a third country outside the European Union.
– Suspension of the tariff and tax obligations of the goods up to the time of their consumption or release for free circulation in the European Community territory.
– Simplified customs formalities.
– Indefinite storage of goods, usual handling operations and substantial processing subject to express authorization from the competent customs body.