The importance of planning for the establishment of industrial zones
7/10/2015 0:00
Dr.. Acer Yassin *
increasing importance of the establishment of an Iraqi specialized industrial zones to be an incubator for a variety of industries integrated with one another form in which it works to make optimal use
of natural and human resources available to the sector to achieve the desired diversity. But this step should be carried out in conjunction with the advance planning for these areas, which seeks to guarantee its success and continuity and ensure the desired returns from investments made in them.
That any plan has to arise from the preparation of the analysis of strengths, weaknesses, opportunities and threats points Report (SWOT) which should support on a field study and a series of workshops that must be adopted to prepare the market assessment report and forecast demand for the industrial zone proposed to include an analysis of the market of international and local perspective, through the sectoral analysis of the development of the region, and the prospect of creating opportunities for subcontracting between companies in Links region and other companies
located in the area and / or in Iraq.
and helps market analysis to determine the type of activities / services that can be provided in the region (such as industry, trade, logistics, services, training centers, technical schools 00, etc.).
In order for the market study should comply with the requirements of the region under study, it should address several angles factors:
1. Site worker or perspective «based on the show»: to analyze the types of sectors and activities that are likely to dominate the regional economy now and after 50 years, and the development of infrastructure plans that will affect the attractiveness and competitiveness of the wider region.
2. Competitors factor: the analysis of sub-sectors and activities that may make the region a unique position so that it is distinct from the national and international competition sites and allows him to have a competitive opportunity that enables him to sustainability and future expansion.
3. Investor factor or perspective «demand-driven»: any type of sub-sectors and activities that may invest in the industrial area so that your preferred list of investors for industrial sites.
The creation of any of the industrial zones throughout the country could be the beginning of a package of new of targeted policies aimed to facilitate the work local investors and perhaps attract international companies to the region.
This will help in reducing bureaucracy and design optimization of the regions to meet the investment and moving the needs of the economy in Najaf and neighboring areas area.
It may be increased economic prosperity at the local level engine necessary for the overall development, where there are many examples of industrial zones helped to stimulate the local economy of the countries was suffering from internal conflicts and problems.
In order to determine the most industrialized areas of harmonization of the Iraqi economy, we must develop realistic plans based on a set of standards has been a matrix of priorities put in order to identify sectors that may have high growth potential opportunities in Iraq in general, and Najaf, in particular in accordance with the considerations and factors that determined the current and the relative sector size depending on the number of companies that exist in Iraq, as well as the current domestic demand, which includes domestic demand and internal products based on the current levels of imports and the growth of local companies.
As for any industrial area planned to be established that analyzes the potential of domestic demand in advance through the study of the future potential of targeted sectors by using the growth rate as a criterion
as well as the current export levels and levels of export potential for the study of the future potential of these sectors at an international level by using the growth rate as a criterion. It should be analysis having to analyze the use of the available natural resources in the region or maintain the target and the amount of value-added chain, which contribute these industries.
In order to enable any industrial zone in Iraq from competing regionally and make them attract area compared to other areas nearby, to be benchmarking of the area planned analysis it under the following factors:
• indicators at the macro level and general outlook on the total environment through the study of the gross domestic product (GDP), GDP growth, inflation, the size of
the labor force.
Foreign direct investment flow, where this factor is the high degree of importance to describe the economic environment general that will work area where.
• risks in the country such as political, economic and financial risks, which it is especially important for Iraq, where they may have to the industrial zone in Iraq, some of these issues compensate by increasing the competitiveness of other factors.
• regulatory and legal environment of the State and which include the establishment of companies, obtaining licenses, labor laws, ease of international trade management, property registration.
• the tax system adopted in the State and to measure the cost required to pay taxes and time, where is the tax considerations incentive (or disincentive) financially important for both domestic and international investors to be in area.
• system of incentives and the nature of the existing companies in the region or that can be made, on the grounds that incentives are part of the conditions that contribute to the success of the region that must not be neglected.
• Operating costs: The laws concerning the operation of the labor force, and the cost of renting the buildings, utilities , transportation and basic services in the region, are all necessary to take the decision to invest in the targeted area.
* Iraqi academic
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