WELCOME TO POIPET PP SEZ
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1 WELCOME TO POIPET PP SEZ ppsez.com February 2017
2 GENERAL INVESTMENT POLICIES IN CAMBODIA
3 COMMITMENT OF THE CAMBODIAN GOVERNMENT TO SPECIAL ECONOMIC ZONES Council for the Development of Cambodia (CDC) (Chairman - Prime Minister HUN SEN) Issue of a sub-decree on SEZ s 12/2005 Cambodian SEZ Board (CSEZB) The SEZ Administration: A one-stop service center Council for the Development of Cambodia Customs & Excise Department Ministry of Commerce Ministry of Labor & Vocational Training Cam control SEZ Trouble Shooting Committee (Chaired by Prime Minister HUN SEN) Solution Prime Minister HUN SEN directly attends to solve issues concerning SEZ s
4 INCENTIVES FOR INVESTORS (1) To qualify for Government-endorsed financial benefits, an Investment Project will be granted status as a Qualified Investment Project - QIP INDUSTRY REQUIRED MIN. INVESTMENT US$ Supporting industries: If 100% of the production supplies export industries only $ 100,000 Production of animal feed $ 200,000 Production of leather products and related products, metal products, electrical and electronic appliances and office materials, toys and porting goods, motor vehicles parts and accessories, ceramic products Production of food + beverage, products for textiles industry, garments, textiles footwear and hats, furniture and fixtures that do not use nature wood, paper and paper products, rubber and plastics products, clean water supply, traditional medicines, freezing and processing of aquatic products for export, processing of any kind of cereals and crops $ 300,000 $ 500,000 Production of chemicals, cement, fertilizers and petrochemicals, pharmaceuticals $ 1,000,000
5 INCENTIVES FOR INVESTORS (2) Tax Incentives for Qualified Investment Projects, QIP 1. Import duty exemption on construction materials and production equipment 2. Import duty exemption on production materials for export industry and export duty exemption Trigger Period + 3 years + Priority Period 3. Profit tax exemption Maximum trigger period: Either the first year of profit or 3 years after the QIP earns its first revenue, whichever sooner
6 INCENTIVES FOR INVESTORS (3) Tax incentives for QIP approved SEZ Investor Exemption of 10% VAT in addition to import duty exemption Type of QIP Construction materials Production equipment Production materials Export Industry Exempted Exempted Exempted Domestic Industry Exempted Exempted Not Exempted Other benefits Equal market access for foreign investors 50 year lease of land available to foreign investor (transferable) Unrestricted currency exchange and fund transfer
7 POI PET PPSEZ 1 INFORMATION
8 POI PET PPSEZ COMPANY STRUCTURE PHNOM PENH SEZ PLC (PPSP) PHNOM PENH SEZ 357 ha 100% subsidiary POI PET PPSEZ CO., LTD. POIPET PP SEZ 52 ha+ 13ha for future expansion
9 PHNOM PENH SEZ INTERNATIONAL INVESTORS & INDUSTRY TYPES Automotive industry Precision electronics Health care products Precision casting Microelectronics Beverages Food processing Diamond polishing Organic fertilizers Optical parts Domestic steel products
10 PHNOM PENH SEZ TIMELINE Registered with MoC and obtained SEZ license under Sub-decree No. 33 from RGC ISO 9001:2008 (QMS) and ISO 14001:2004 (EMS) certified Laurelton Diamonds (Cambodia) Co., Ltd. & YHS (Cambodia) Food & Beverage Pte Ltd. joined Cambodia Beverage Company Ltd., SVI Public Company Limited & Taisun Vietnam Co., Ltd have joined First tenant started operations at Phnom Penh SEZ Minebea (Cambodia) Co., Ltd. and Sumi (Cambodia) Wiring Systems Co., Ltd. joined Purchased HA of vacant land in Poipet, Cambodia Phnom Penh SEZ Listed on Cambodian Stock Exchange market (PPSP)
11 COMPANY PROFILE INCORPORATION December 22 nd, 2015 CRC issued Awaiting sub-decree CAPITAL 5,000,000 US dollars SHAREHOLDERS PHNOM PENH SEZ PLC. 100% Board of Directors Lok Chumteav Oknha Lim Chhiv Ho as Chairwoman of the Board Hiroshi UEMATSU (Mr.) TAN Kak Khun / Eric (Mr.) TAN Soeun Muoy / Janice (Ms.)
12 WHY POIPET PPSEZ? Utilities - High standard infrastructure, access to reliable power & water supplies, flood protection, waste water disposal 10 year s experience with Phnom Penh SEZ the leading SEZ in Cambodia and only SEZ listed on the Cambodian stock market (CSX) Logistics Convenient location and connectivity Land titling Complies with land law and regulation Services One-stop service assistance with government applications and processing, HR support (hiring and management) Management Professionally managed: we make your job easier and your business more productive.
13 LOCATION
14 LOCATION (2) Road direction map (Poipet Location)
15 MASTER PLAN POIPET PPSEZ PROJECT Total area of 65.7 ha Located 6 Km east of the Poipet city center, with access to one of the key border crossing points with Thailand in the northwest of Cambodia Strategically located with access to National Road No. 5 (a designated part of the Asian Highway 1)
16 CAPACITIES Electrical power License for connecting from national substation has been released (Current capacity 1MW, will increase according to requirement) Water supply City water supply Waste water treatment plant Treatment Capacity 1,600 m3 /day Flood mitigation Extensive system of collection and piping System of earth dike to exclude rain water
17 PROGRESS (FEB. 2017) Finished all area s UXO Removal Finished earth works Site office is established Drainage pipe under construction
18 LABOR COST IN CAMBODIA Minimum wage: Working times: US$ 153 per month 26 8 hours/day Allowances Transportation& accommodation Attendance bonus Food allowance National social security fund (NSSF) Seniority allowance : US$ 8 per month : US$10 per month : KHR 2,500 (over time only) : KHR 1,600-8,000 / Month : US$2 - US$11 (from the second year up to US$11)
19 POPULATION (CAMBODIAN INTER - CENSAL POPULATION SURVEY 2013) Poipet is located in Bantey Meanchey province, and close to Battambang Province and Siem Reap province 2,000,000 1,800,000 1,600,000 1,400,000 1,200,000 1,000, , , , ,000 Cambodia Population in Kampong Cham Phnom Penh Prey Veng Battam Bang Kandal Takeo Siemreap Kampong Speu Bantey Meanchey Kampong Thom Both Sexes Male Female
20 AVAILABLE CUSTOMER AND HR SERVICES Staff & worker recruitment services Staff training in good management and leadership practices Certified HR and Admin training courses by Phnom Penh SEZ for investors national staff Government liaison and assistance for customers Labor management support for industrial relations matters Updates on statutory changes in HR and related Government regulations.
21 TRANSPARENCY OF PROCESSES Phnom Penh SEZ Plc. is a public listed company operating on highest standards(its 100% subsidiary Poi pet PPSEZ Co., Ltd. will implement the same standard) Our good relationships with relevant government agencies are critical to our investors success. Phnom Penh SEZ PLC has signed an MoU with Cambodia s Anti Corruption Unit to re-enforce transparency of business processes and has a zero tolerance policy A majority of signatories to the MoU are located in Phnom Penh SEZ Anti-Corruption
22 TENTATIVE LAND PRICE & UTILITY COST Industrial land with 50 years lease: US$ 48/m2 Water: R2,000/ m3 Sewage treatment: Tbc (based on 80% of purchase water volume) Electricity: $0.16/Kwh Infrastructure maintenance: $0.06/sqm/month(+10% VAT) Please be noted that above prices may be changed. Please confirm with us for updated information.
23 CONTACT US For further information or enquiries please contact Ms. Michelle Zhao Senior Manager T: +855 (0) F: +855 (0) M: +855 (0)
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