On establishment of the special economic zone "Ontustik" Decree of the President of the Republic of Kazakhstan dated July 6, 2005 No. 1605 In accordance with the Law of the Republic of Kazakhstan of January 26, 1996 "On special economic zones in the Republic of Kazakhstan" and to develop the plants of cotton, textile and garment industry in the Republic of Kazakhstan, I issue this Decree. See Z1100000469 1. To establish the special economic zone "Ontustik" (hereinafter - SEZ) until July 1, 2030. Footnote. Item 1 as amended by the Decree of the President of the Republic of Kazakhstan dated 23.10.2008 No. 683. 2. To approve the following: 1) Regulation on the special economic zone "Ontustik"; 2) target performance indicators and critical non-achievement level of target indicators of the special economic zone "Ontustik". Footnote. Item 2 is in the wording of the Decree of the President of the Republic of Kazakhstan dated 29.12.2012 No. 457. 3. Government of the Republic of Kazakhstan shall take measures to provide for activity of the special economic zone "Ontustik". 4. The present Decree shall come into force from July 1,2005. President of the Republic of Kazakhstan APPROVED BY the Decree of the President of the Republic of Kazakhstan dated July 6, 2005 No. 1605 REGULATION on special economic zone "Ontustik" Footnote. Regulation is in the wording of the Decree of the President of the Republic of Kazakhstan dated 29.12.2012 No. 457. 1. General provisions 1. Special economic zone "Ontustik" (hereinafter - SEZ) is located on the territory of Sayram region of South Kazakhstan oblast according to the attached plan. The territory of SEZ is 200 hectares and is an integral part of the territory of the Republic of Kazakhstan. 2. SEZ is created for: 1) accelerated development of the region to promote the economy of the country entering the global economic relation system, creation of high-performance, including high-tech and competitive industries, development of new products, attracting investments, improving the legal regulations of market relations, introducing modern administration and economic management methods and finding solution to social problems. 2) development of the plants of cotton, textile and garment industry in the Republic of Kazakhstan; 3) development of textile industry; 4) involvement of manufacturers of the world brands to manufacture textile products; 5) creation of high-tech industries, quality improvement and textile product expansion. 3. SEZ activities are regulated by the Constitution of the Republic of Kazakhstan, the Law of the Republic of Kazakhstan dated July 21, 2011 "On special economic zones in the Republic of Kazakhstan", this Regulation and other regulatory legal acts of the Republic of Kazakhstan. 4. Priority activities on the territory of SEZ are: 1) production of finished textile, except for clothing; 2) production of other knitted goods; 3) production of clothing, except for clothes made of fur and leather; 4) finishing work, weaving factory and spinning industry; 5) production of nonwovens, except for clothing; 6) production of carpets and rugs; 7) production of wood pulp and cellulose; 8) production of paper and cardboard; 9) production of leather, except for leather tannage and currying; fur finishing and colouring; 10) production of stationary products. Footnote. Item 4 is in the wording of the Decree of the President of the Republic of Kazakhstan dated 31.07.2014 No. 872. 2. SEZ management 5. SEZ management shall be conducted in accordance with the Law of the Republic of Kazakhstan of July 21, 2011 "On special economic zones in the Republic of Kazakhstan". 3. Taxation on the territory of SEZ 6. Taxation on the territory of SEZ is regulated by the tax legislation of the Republic of Kazakhstan. 4. Customs regulation 7. Customs regulation on the territory of SEZ is provided in accordance with the provisions of the customs legislation of the Customs Union and the Republic of Kazakhstan 8. The customs procedure of customs-free zone can be applied on the territory of SEZ or within other parts of its territory. 9. The customs procedure of customs-free zone includes goods intended for distribution and (or) use on the territory of SEZ by persons carrying out priority activities on the territory of SEZ in accordance with the agreement on activities performed as a member of SEZ. 10. Territory of SEZ where the customs procedure of customs-free zone is applied is the customs control zone. The boundaries are built up along the perimeter of the territory of SEZ in accordance with the customs legislation of the Republic of Kazakhstan to perform the customs control. 11. Places for temporary storage of goods can be created on the territory of SEZ in accordance with the procedure as provided for by the customs legislation of the Customs Union and the Republic of Kazakhstan. 12. Goods included into the customs procedure of customs-free zone, and goods of the Customs Union, not included into the customs procedure of customs-free zone, and foreign goods included into other customs procedures can be distributed and used on the territory of SEZ. 13. Goods imported into the territory of SEZ and included into the customs procedure of customs-free zone shall be considered as goods which are outside the customs territory of the Customs Union to use customs duties and taxes, and non-tariff regulation measures. 14. Customs operations related to temporary storage, customs declaration, customs clearance and release of goods, and customs control on the territory of SEZ shall be carried out in accordance with the procedure as provided for by the customs legislation of the Customs Union and the Republic of Kazakhstan. 5. Environmental Protection 15. SEZ activities in terms of environmental management is carried out in accordance with environmental laws of the Republic of Kazakhstan and is based on the rational and efficient use of natural resources by creating conditions for transition to sustainable development and environmental protection on the basis of a balance of economic, social and environmental aspects to increase the quality of life. 6. Final Provisions 16. The conditions provided by this Regulation may be changed by the Decree of the President of the Republic of Kazakhstan. 17. Pre-term abolition of SEZ shall be conducted in accordance with the Law of the Republic of Kazakhstan of July 21, 2011 "On special economic zones in the Republic of Kazakhstan". 18. SEZ activities not regulated by this Regulation shall be conducted in accordance with the current Law of the Republic of Kazakhstan and the Customs Union. ATTACHMENT to the Regulation on the special economic zone "Ontustik", approved by the Decree of the President of the Republic of Kazakhstan dated July 6, 2005 No. 1605 PLAN of the territory of the special economic zone "Ontustik" Total area of the special economic zone "Ontustik" = 200 ha APPROVED BY the Decree of the President of the Republic of Kazakhstan dated July 6, 2005 No. 1605 TARGET PERFORMANCE INDICATORS and critical non-achievement level of target indicators of the special economic zone "Ontustik" Footnote. Decree is supplemented with target indicators in accordance with the Decree of the President of the Republic of Kazakhstan dated 29.12.2012 No. 457. Ite m No. Goals, objectives and performance (names) Unit Base perio d (2012 ) 1 1. 2 Total volume of investments, including: Volume of foreign investment Volume of domestic investment Production output of goods and services (works) on the territory of special economic zone** Annual growth of investment in non-energy sectors of economy of the region (manufacturi 3 billion tenge 4 26,1 1) 2) 2. 3. billion tenge Achievement by 2015 target critic indicat al or level 5 6 32,8 27,1 Achievement by 2020 target critic indicat al or level 7 8 38,6 32,8 Achievement by 2025 target critic indicat al or level 9 10 43,5 38,6 Achievement by 2030 target critic indicat al or level 11 12 51,2 43,5 2,3 1,0 4,5 2,3 5,1 4,5 7,3 5,1 billion tenge 26,1 30,5 26,1 34,1 30,5 38,4 34,1 43,9 38,4 billion tenge 0,8 9,8 5,2 18,8 9,8 36,8 18,8 45,8 36,8 % 0,075 0,3 0,15 0,3 0,15 0,3 0,15 0,3 0,15 4. 5. 6. 7. ng industry) Number of participants Number of jobs, created on the territory of special economic zone Local content share in total production output on the territory of special economic zone Share of exports in total production on the territory of special economic zone Compan y people 5 7 5 10 7 12 10 15 12 484 3000 1500 3500 3000 4200 3500 5000 4200 % 70 70 30 70 30 70 30 70 30 % 50 50 30 50 30 50 30 50 30 © 2012. 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