What key logistics and service functions will be based on the mainland?

Question

Accepted Answer

Logistics and Global Services to be Centred on Forest City Mainland

The mainland area of Forest City within the Special Financial Zone (SFZ) will serve as the primary hub for logistics services, global service centres, and transfer services. This strategic focus aims to leverage specific incentives designed to attract investment and foster growth in these key sectors. The development plans underscore a commitment to diversifying economic activities within the region, with a particular emphasis on enhancing connectivity and business support functions.
Focus on Logistics Services

The logistics services sector is designated for development on the mainland of Forest City, benefiting from a significant fiscal incentive. Companies operating within this sector will be eligible for a 100 per cent investment tax allowance, which can be utilized for a period of five years. This allowance permits the deduction of 100 per cent of statutory income against qualifying expenditures, thereby substantially reducing the tax burden for businesses engaged in logistics operations.
Development of Global Service Centres

Global service centres are also a core component of the mainland's development strategy within the Forest City SFZ. Businesses established in this category will receive a preferential tax rate of five per cent. This reduced rate is applicable for a duration of up to 20 years, providing a long-term financial advantage designed to encourage the establishment and expansion of international business operations and support functions.
Attracting Industry Interest

The proposed incentives for the Forest City SFZ have already generated considerable interest from major players in the logistics industry. Notably, Tiong Nam Logistics Holdings Bhd has expressed its willingness to invest in the zone. This early engagement from established companies indicates a positive reception to the economic framework being put in place and suggests a strong potential for the mainland to become a significant centre for logistics and related services.

Reading history

Hide →

This history is cleared when the page is closed.

What key logistics and service functions will be based on the mainland?

Loading

Was this article helpful?

Helpful

Not helpful

Report an issue

1

0

0

Share with friends