I. Introduction of Cha Lo Border-gate Economic Zone

Cha Lo Border-gate Economic Zone was established according to Decision No.137/2002/QD-TTg dated October 15, 2002 of the Prime Minister, including six communes: Dan Hoa, Hoa Thanh, Hoa Tien, Hoa Phuc and Hong Hoa of Minh Hoa District, Quang Binh province with the total natural land of 538 km². 

The Central Area of Cha Lo Border Gate Economic Zone

 Develop the Cha Lo Border-gate Economic Zone towards the market opening and international economic integration; adapt to competitive and cooperative environment in accordance with the socio-economic development of Quang Binh province, especially with the economic corridor of Highway No.12A and economic corridor along the Ho Chi Minh Road and Hon La economic zone; and in accordance with the development of the North Central region and West-East economic corridor; ensure the association and cooperation with the border-gate economic zones in the region, including Lao Bao, Cau Treo and Vung Ang Economic Zone. 

 Cha Lo International Border Gate

 Build and develop Cha Lo Border-gate Economic Zone in comprehensive way to become a western urban and economic center of the province and an import and export center for goods and services; combine the economic development with the distribution of labors and residents in the economic sectors in order to improve the people’s spiritual and material life. Ensure security and national defence, strengthen and develop foreign affairs relation with the international and regional countries, especially with the Lao People’s Democratic Republic.

II. Preferential policies for investment

Land:

Apply one-price policy for services, products and land rent in the economic zone for organizations, individuals without any difference between domestic and foreign ones who have manufacturing and business activities in the economic zone.

Land rent period is 50 years. Area for rent is according to the actual demand of each project.

Exemption of land rent is 15 years since the project is completed and put into operation.

Tax:

The rate of enterprise income tax is 10% for 15 years since the enterprise operates and gets revenue from activities of preferential tax. Being exempted from tax for 4 years since there is income which must pay tax and getting the tax reduction of 50% for the next 9 years.

Being exempted from import tax for 5 years since the beginning date of project for the goods as materials, components and semi-finished products which cannot be manufactured in our country and must be imported to manufacture in economic zone;

Getting income tax reduction of 50% for those whose income is in the range of income tax;

High-tech projects meet the current regulations; projects in the special preferential list of attracting investment and having great socio- economic impacts. These projects endure enterprise income tax rate of 10% during the project cycle.

Other preferential policies:

There is available investment in essential infrastructures as electricity, water supply, road to the fence of functional areas in the economic zone;

Support site preparation;

Support training cost for local employees who are first recruited.