CHAPTER
325
THE BAHAMAS FREE TRADE ZONE |
ARRANGEMENT OF
SECTIONS |
SECTION |
|
|
Minister to designate areas in which zones may be
established. |
Establishment of trade zones. |
Acquisition of land necessary for free trade
zone. |
Management and control of free trade zone. |
Powers of the Corporation. |
Application for and grant of licence to occupy
free trade zone. |
Privileges afforded undertakings in a free trade
zone. |
Conditions to which occupants of free trade zone
are subject. |
Regulation of goods entering and exiting free
trade zone. |
|
Entry by officials upon premises in a free trade
zone. |
Exercise by the Corporation of additional functions. |
Appeal against revocations of licence. |
Application of funds of the Corporation. |
|
|
CHAPTER 325 |
THE BAHAMAS FREE
TRADE ZONE |
An Act
providing for the establishment and the operation of free industrial and
commercial zones within The Bahamas. | 25 of 1984 |
[Commencement 31st
December, 1984] |
1. This Act may be cited as The Bahamas Free Trade Zone
Act. | Short title. |
2. In this Act- | Interpretation. |
"the
Corporation" means the Corporation established by The
Bahamas Agricultural and Industrial Corporation Act; |
"free trade
zone" means a free industrial and commercial zone area established under
section 4; |
"licence"
means a licence issued under section 8; |
"the
Minister" means the Minister assigned responsibility for relations with
the Corporation. |
3. The Minister may by notice published in the Gazette
designate areas within The Bahamas within which free trade zones may be
established for the carrying on of any such commercial or industrial
undertaking as may be specified in the notice and which notice may prohibit
specific undertakings from being carried on in the zone. | Minister to designate areas in which zones may be
established. |
4. (1) Subject to subsection (2), the Corporation with
the approval of the Minister may, having regard to the accessibility to
facilities pertaining to sea, air and land transportation within an area
designated under section 3, establish and maintain over the land therein a free
industrial and commercial zone area. | Establishment of trade zones. |
(2) No free trade
zone shall be established over any land unless the fee simple title to the land
or a lease for not less than 50 years is held by the Corporation. |
5. Notwithstanding anything to the contrary in any
other law, when any immovable property, not being Crown land is needed for the
purpose of the establishment of a free trade zone, which purpose is hereby
deemed to be a public purpose within the meaning of the
Acquisition of Land Act, the Corporation may, in default of agreement with the
owner of the land, and with the approval of the Minister request the Minister
responsible for the administration of that Act to acquire the property
thereunder. | Acquisition of land necessary for free trade zone. |
6. (1) Subject to the provisions of this Act, the
Corporation shall be responsible for the day to day management, supervision and
control of a free trade zone. | Management and control of free trade zone. |
(2) It shall be
the responsibility of the Corporation to cause to be provided to licensees for
use in the respective undertakings carried on in free trade zones, services,
facilities and supplies relating to water, sewerage, telecommunications and
fuel upon such terms and conditions as the Corporation deems necessary. |
7. For the purpose of carrying out of the
responsibilities imposed upon it by section 6 the Corporation may enter into
such agreements as it deems necessary to facilitate or secure the discharge of
the respective responsibilities by it or on its behalf and without prejudice to
the generality of the foregoing, the Corporation for that purpose may- | Powers of the Corporation. |
(a) with the
approval of the Minister, contract the services of any person to carry out the
duties relating to the day to day management and supervision of any free trade
zone and that person shall when carrying out such duties under the contract be
subject to the directions of the Corporation and be included in any reference
made to the Corporation in this Act or its regulations; |
(b) contract
the services of architects, builders and engineers to prepare the sites and
erect thereon buildings; |
(c) conclude
tenancy agreements with industrial or commercial establishments for use of such
sites or buildings; |
(d) subject to
the approval of the competent authority, secure or implement measures for the
control of movement of raw materials and goods into and out of a free trade
zone; |
(e) subject to
the approval of the competent authority, adopt measures to control the movement
(including their residence and presence) of persons into and out of a free
trade zone; |
(f) subject to
the approval of the competent authority, adopt measures to prevent any loss of
materials or goods from, or injury to persons, or breach of the peace within, a
free trade zone. |
8. (1) Persons who are desirous of establishing and
carrying on an industrial or commercial undertaking within a free trade zone
may make application in the prescribed manner to the Corporation. | Application for and grant of licence to occupy free
trade zone. |
(2) The
Corporation may, upon being satisfied that the character of the undertaking
described in an application made pursuant to subsection (1) is one which is not
prohibited by the notice referred to in section 3 and with the approval of the
Minister, issue a licence to the applicant to establish and carry on the
undertaking on the site within the free trade zone as is described in the
licence subject to such terms and conditions and the payment of such fees as
are prescribed by this Act or otherwise. |
(3) The Minister
in considering the approval of the application shall ensure that the
establishment of the respective undertaking is not prejudicial to the public
interest. |
(4) A licence to
establish and carry on an undertaking in a free trade zone may be revoked by
the Corporation with the approval of the Minister upon breach of any term or
condition to which the licence is subject. |
(5) No person
shall carry on any undertaking within a free trade zone except under and in
accordance with an existing licence. |
(6) Any person who
contravenes subsection (5) shall be guilty of a offence and liable on summary
conviction to a fine of ten thousand dollars and in addition on conviction the
court may order any property, machinery or goods of that person within the free
trade zone to be forfeited to the Crown. |
9. (1) Save as provided in this Act or in any
regulations made thereunder and notwithstanding anything to the contrary in any
other law- | Privileges afforded undertakings in a free trade zone. |
(a) the holder
of a licence issued under section 8 shall during the currency of the licence be
entitled to establish and engage in the undertaking. mentioned in the licence
without having to obtain any permit or other licences in respect thereof; |
(b) no taxes or
levies shall be imposed charged or collected by the Government on or in respect
of any transaction wholly executed between the undertaking being carried on
within the free trade zone and a person carrying on business outside The
Bahamas; |
(c) no taxes or
rates shall be levied upon any property, machinery or goods within a free trade
zone and not being consumable stores or for use or disposal elsewhere in The
Bahamas; |
(d) no taxes of
any kind other than national insurance dues, if any, shall be levied upon or
against the earnings accruing to any person by virtue of the carrying on of or
his employment in any undertaking within a free trade zone or upon the
distribution of any such earnings to persons ordinarily resident outside The
Bahamas; |
(e) all goods,
articles and things of every description required for the carrying on of any
licensed undertaking in a free trade zone, except consumable stores or such
goods the possession or importation of which is otherwise prohibited or
restricted by any law, may without being subject to duties of customs be
brought in accordance with the prescribed manner into that zone; |
(f) no export
taxes or levies of any kind shall be levied, charged or collected by the
Government on the exportation from a free trade zone to any place outside The
Bahamas of any goods, articles or things that were the subject of the exemption
under paragraph (e) or are produced or manufactured by a licensed undertaking
in that zone. |
(2) In this
section- |
(a) "consumable
stores" means- |
(i) any
goods, articles or things lawfully imported for the personal use of any person
or made available after its importation for the personal use either by sale or
gift or otherwise of any person whether such person be employed or resident
within a free trade zone or not; |
(ii) any
goods, articles or things lawfully imported into a free trade zone and
subsequently exported therefrom to any other part of The Bahamas (not being
another free trade zone) and any goods, articles or things assembled, processed
or manufactured within a free trade zone and subsequently exported therefrom to
any other part of The Bahamas (not being another free trade zone); |
(iii) any
goods, articles or things sold to the passengers, officers or crew of any
vessel landing at a free trade zone. |
(b) "export"
in relation to a free trade zone includes a reference to the time when any
goods, articles or things leave a free trade zone. |
10. A licence issued under section 8 shall without
prejudice to such conditions as may be prescribed under section 12 be deemed
subject to the following conditions- | Conditions to which occupants of free trade zone are
subject. |
(a) the
licensee shall take all reasonable measures to ensure that no danger to the
health or safety of persons or the environment is constituted or threatened by
the condition of the premises whereon his undertaking is carried on, the
process of manufacture (if any) involved therein and his system of work; |
(b) The
licensee undertakes to hold the Corporation free and harmless for any loss
incurred by the licensee by reason of, or ensuing from the failure in any
service to the free trade zone pertaining to the supply of water, electricity,
sewerage, telecommunications or other services that are normally provided to or
within the zone and not under the control of the Corporation; |
(c) the
licensee undertakes to indemnify and to keep indemnified the Corporation
against any claim by the Government for the payment of duties of customs in
respect of any transaction made by or on behalf of the licensee; |
(d) the
licensee undertakes to secure and maintain insurance in the prescribed amount
relating to any liability for injury or damage occasioned by or to any person
and his property in the free trade zone while that person is on premises
whereon the licensee is conducting business operations or utilising the common
approaches contiguous to those premises; |
(e) the
licensee undertakes to hold the Corporation free and harmless for any loss or
damage to goods, articles, machinery and things upon the premises occupied by
the licensee in the free trade zone or for any loss or damage arising from any
acts or omission of other licensees; |
(f) the
licensee undertakes to secure and maintain in respect of his employees in the
free trade zone workmen's compensation insurance and further to ensure that all
agents or contractors engaged by him to carry out work for his benefit within
the zone effect similar insurance in respect of their employees; |
(g) the
licensee shall observe all conditions and requirements as are imposed upon him
by or under this Act and endeavour to ensure a like compliance therewith by his
employees and agents. |
11. (1) The Minister of Finance may, on the
recommendation of the Corporation or as he sees fit, having regard to the
purposes of this Act, make in respect thereof such regulations as he deems
necessary as regards- | Regulation of goods entering and exiting free trade
zone. |
(a) the entry,
removal and importation and exportation of goods, articles, machinery or other
things into or from a free trade zone; and |
(b) the seizure
and forfeiture of goods, articles, machinery or other things intended for or
brought into or out of a free trade zone in breach of the customs laws. |
(2)
Notwithstanding anything to the contrary in any other law, regulations made
under subsection (1) may make such amendments (including adaptions and
modifications) to any customs laws as are deemed necessary for the purposes of
this Act and limited in application to the operation of a free trade zone. |
(3) In this
section "customs laws" has the same meaning as within the
Customs Management Act and for the purposes of this Act includes any amendment,
adaptation or modification made thereto under subsection (2). |
12. Subject to section 11, the Corporation with the
approval of the Minister may, for the purposes of giving effect to the
provisions of this Act, make such regulations as the Corporation deems
necessary and without prejudice to the generality thereof regulations may be
made as regards- | Regulations. |
(a) the
management, supervision control and operation of a free trade zone; |
(b) the terms
and conditions subject to which licensees would occupy areas within a free
trade zone for the purpose of or incidental to the carrying on of an
undertaking within the zone; |
(c) the payment
of such fees to the Corporation by licensees or persons entering a free trade
zone; |
(d) the
re-imbursement of the Corporation by licensees in the free trade zone of
expenditure incurred by the Corporation in the provision of services to the
zone; |
(e) the
measures including the seizure and sale of property which the Corporation may
take to secure payment by licensees in the free trade zone of sums due to the
Corporation or the Government of The Bahamas. |
(f) the
conveyance, storage, labelling, packaging of goods for or from a free trade zone; |
(g) providing
for anything which is required to be prescribed under this Act. |
13. (1) Any officer or agent of the Corporation duly
authorised in writing by the Corporation for the purpose and any officer of the
departments of Customs and Immigration, respectively, may enter and search
without warrant at any time of the day or night premises in a free trade zone
in which any industrial or commercial activity is carried on and inspect and
take or make copies of any books or other documents kept therein as are
necessary for the purpose of ensuring that there is compliance with or for
enforcing the provisions of any law. | Entry by officials upon premises in a free trade zone. |
(2) Any person who
hinders any person referred to in subsection (1) in the exercise by that person
of the powers conferred upon him by that subsection shall be guilty of an
offence punishable on summary conviction by a fine of five hundred dollars and
to imprisonment of six months. |
14. (1) The functions conferred upon the Corporation
by this Act are additional and without prejudice to those conferred upon it by The
Bahamas Agricultural and Industrial Corporation Act, and for the purpose of the
discharge of the functions herein conferred the Corporation may exercise any
lawful act and enter into any transaction which in the opinion of the
Corporation is necessary for the respective purpose. | Exercise by the Corporation of additional functions. |
(2) In respect of
the carrying out of the functions conferred by this Act upon the Corporation,
the Minister may give to the Corporation directions of a general or of a
specific nature as to the policy to be followed by the Corporation in the
carrying out or pursuit of those functions as appear to the Minister to be
requisite in the public interest and the Corporation shall give effect to any
such directions. |
15. (1) If a person is aggrieved by a decision
revoking his licence he may by motion appeal to the Supreme Court against that
decision within twenty-one days after the receipt of the decision by serving a
written notice, signed by his counsel and attorney or by himself, on the
secretary of the Corporation of his intention to appeal and of the grounds of
appeal. | Appeal against revocations of licence. |
(2) The secretary
shall upon receiving the notice of appeal transmit to the Registrar of the
Supreme Court a copy of the decision and all papers relating to the appeal. |
(3) Notice of the
date of the hearing of the appeal fixed by the Registrar shall be given to the
parties and at the hearing the appellant shall not, unless by leave of the
Court, go into any matters not raised by the grounds of appeal set out in his
notice. |
(4) Upon the
hearing of the appeal the Court may make such order, including an order for
costs, as it thinks fit. |
(5) The decision
revoking a licence shall remain in force subject to an order of a court to the
contrary on the final disposal of any appeal proceedings. |
16. Any moneys required to be expended by the
Corporation for the purpose of the carrying out of the functions conferred upon
it by this Act may be derived from the funds and resources placed at the
disposal of the Corporation. | Application of funds of the Corporation. |
17. (1) Except in so far as may be necessary for the
due performance of his functions as a member, officer, agent or employee of the
Corporation or when lawfully required (in The Bahamas) to do so by any court or
under the provisions of any other law, such member, officer, agent or employee
shall preserve and aid in preserving secrecy with regard to all matters that
may come to his knowledge in the course of the carrying out of his functions
and which are related to the affairs of the Corporation or of any customer or
client of the Corporation or of any person who has any dealings with the
Corporation. | Secrecy. |
(2) Any member,
officer, agent or employee of the Corporation who- |
(a) communicates
in breach of subsection (1) any matter referred to in that subsection; or |
(b) suffers or
permits any unauthorised person to have access to any records or documents
relating to any customer or client thereof or other person having dealings with
the Corporation whereby such preservation of secrecy as provided for by subsection
(1) is, or is likely to be, breached, |
shall be
guilty of an offence and liable on summary conviction to a fine of two thousand
dollars or to imprisonment for one year. |
18. (1) The provisions of this Act relating to the
authority of persons to enter and search premises within a free trade zone do
not derogate from any like provision conferred by any law in respect to the
search of premises. | Cumulative provisions. |
(2) Where an act
or omission constitutes an offence under this Act or any other law, the
offender shall be liable to proceedings under either or both but shall not be
liable to be punished twice for the same offence. |