> Santiago Free Zone:
An Example of Management Excellence The Santiago Free Zone Corporation (CZFS – Corporación Zona Franca Santiago) has become an important economic asset in the Dominican Republic as an entity that drives national development and showcases the benefits of integration. The CZFS owes its success to the vision and dedication of the people who have managed the corporation for 42 years. They were true free zone pioneers who provided a key element for economic growth.
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As a niche, free zones constitute a mechanism for attracting local and foreign investment and for promoting exports. As such, free zones contribute a great deal to the macroeconomic stability of the country and the creation of an export-oriented business environment. Around 70% of the Dominican Republic’s exports proceed from companies established in the free zone, businesses that generate formal employment. As the second capital of the country, Santiago has obtained the most benefits from this entrepreneurial activity. The favourable impact of the free zone sector in the Cibao Region, and especially in Santiago, can be considered one of its great contributions to the commercial activity taking place. Undoubtedly, free zones such as the CZFS are at the very centre of the economic vigour that characterises their immediate surroundings and boost prosperity. The zones constitute a vital labour alternative for the entire population, generating income through formal employment that, in turn, strengthens family life by offering sustainable living standards. Santiago, capital of the region where the CZFS is located, is strategically located with convenient access to airports and seaports. The region is also recognised as a hub of social, civic, productive, and cultural activities that, together with the agreeable climate and its hard-working and warm people, add unique values to the province. With a large pool of labour and operating in a stable political environment, the corporation has maintained sustainable growth levels over the last years, registering increased demand for industrial sites and developing their diversification in a productive area that currently holds 81 companies already installed. Textile production, shoe and candle making, chocolate processing, jewellery businesses, biodiesel, and cigars are but some of the business lines that have sprung
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“Undoubtedly, free zones such as the CZFS are at the very centre of the economic vigour that characterises their immediate surroundings and boost prosperity.” up in the free zone and are housed in buildings that comply with strict environmental standards. COMMUNITY In the PIVEM (Parque Industrial Víctor Espaillat Mera), the biggest and one of the first established in the country, corporate and social responsibilities are focused on the following areas: • Education headed towards employment • Environmental management • Healthcare • Innovation & entrepreneurship • Market value generation Growth registered at PIVEM has been defined in the master plan for 2020. The corporation’s management is mainly focused on four basic areas that have been defined as priority. First of these is the support for the physical and human infrastructure of the park. Second, the free zone’s diversification and competitive expansion. The integration of a corporate social responsibility framework that promises to be more focused, efficient, and able to generate value at corporate, environmental, and community levels is considered of paramount importance. The Education towards Employment Programme aims to strengthen the human talent pool of the community which will also benefit companies. All this can be summed up as an example of sustainable corporate leadership through social and economic investments that help benefit the city and the region. CFI.co | Capital Finance International
The Santiago Free Zone Corporation has become the preferred place for people who aspire to work and grow professionally and economically. This is mostly due to the ongoing growth of the commercial and industrial park which has become a reference point for business integration with a great sense of social and environmental responsibility and where large companies can prosper in a setting that ensures the profitability and safety of investments. In conclusion, the CZFS is currently building a new free zone concept facing the next 25 years. Some benefits to operate in the PIVEM: • Customer and efficiency-oriented culture • Streamlined solutions (permission management, company creation) • Based on the 8-90 law that provides special incentives such as tax-free operations • Access to the best talent through the Recruitment Unit • The only park in the country with a Training and Professional Innovation Center (CAPEX) • Favourable business climate for chain supply • Emergency brigade and 24/7 security system • New facilities with modern equipment and design • Safety, cameras, and controlled electronic access • Fire station, healthcare centre, and dental clinic • Sewage water treatment, net banking, day care, and heliport • On-site Free Zone Corporation offices • La Aurora Cooperative LOCATION Located in the Caribbean, just two hours away from Miami by aeroplane and a day’s sailing away by ship to the ports of Florida and the Panama Canal, Santiago offers a privileged geographic position for any production aimed at international markets. The Dominican Republic boasts a democratic system of government that guarantees political and social peace as well as a stable environment