Zona Franca of Iquique
The Zona Franca de Iquique, known by the acronym Zofri (in English Free Zone of Iquique), is located in the coastal port city of Iquique, in Iquique Province of the Tarapacá Region, northwestern Chile.
History[edit]
It was created under the military government of Chile (1973–1990) of Augusto Pinochet on June 25 of 1975, and zone by Ordonnance, in order to support the economic development of the area, as far as jobs and economic integration is about.
It has become an important center of trade in foreign countries in the region as Argentina, Brazil, Paraguay, Peru and Bolivia. Its strategic location allows it to be the entrance and exit to products that make trade between the Mercosur, Latin America, and Asia.
The ZOFRI administration, by law transfers the equivalent of 15% of its revenue to municipalities in the Tarapacá Region and Arica y Parinacota Region.
Among its business lines include:
Companies operating in ZOFRI have the following franchises:
From a customs standpoint goods remain within the precincts of Zofri are considered as if they were abroad, therefore the goods leaving the premises ZOFRI to destinations abroad are not taxed. For sales within Chile, there is differentiated tax treatment for sales on the I region or the rest of the country.[3]