By Hamid Mahmood ISLAMABAD, Mar. 22 (INP-WealthPK): The Dhabeji Special Economic Zone (DSEZ) under the China-Pakistan Economic Corridor (CPEC) is a key project for the Sindh provincial government, particularly for Thatta district, because it would improve industrial collaboration between Pakistan and China while also increasing commerce with the rest of the world. The Dhabeji SEZ is being developed through public-private partnership (PPP) at a cost of over $102 million to provide plug and play facilities to investors within the next five years, according to chief minister Sindh, who spoke at the signing ceremony of a concession agreement for the SEZ development recently. The proposal will make it easier for Chinese and other foreign investors to start new businesses or relocate current operations to the SEZ. According to a statement from the chief minister's office, CPEC has reached key milestones thanks to the combined efforts of the governments, businesses, and people of both countries. Adnan Khan, a socio-economic development expert, said while talking to WealthPK that DSEZ is a game-changer for the people of Sindh and Karachi. He said the zone will, directly and indirectly, produce thousands of jobs. All SEZs not only enhanced the country's infrastructure, but also helped to relieve the country's energy issue, and are now poised to improve the country's industrialization. The government has granted 1,530 acres of land to build DSEZ, according to a CPEC official. The DSEZ will be developed in three stages. Dhabeji Industrial Zone will be built in two phases, with Phase I covering 750 acres and Phase II covering 780 acres of land. Dhabeji has a number of benefits in terms of location, including convenient access to Port Qasim, which saves time and allows raw materials to be imported and completed items to be exported without incurring significant interior transportation expenses. The construction of a direct access road linking Port Qasim and the Dhabeji Zone is underway, he added. To facilitate export-oriented industries, a dedicated cargo deck connecting the zone with ML-1 from Dhabeji Junction and a Jetty connecting Port Qasim alongside the Dhabeji zone from Creekside are planned. Karachi Airport via National Highway allows safe travel of foreign workers and management personnel, and National Highway allows the transportation of goods to upcountry and Central Asian nations utilizing the National Trade Corridor. The first phase of the CPEC, which focuses on energy and infrastructure projects, was completed successfully, and the second phase is expected to strengthen Pak-China agricultural cooperation and usher in an age of industrialization through SEZs. If structural, institutional, regulatory, and infrastructure constraints are addressed, Special Economic Zones (SEZs) may be a potent platform for attracting local and international direct investments (FDI). SEZs can promote the export-led industry, resulting in more employment and improved welfare. Evidence shows that SEZs are being developed as part of governments' growth strategies all around the world. In the early stages of the development of SEZs, policy incentives are critical. Tax cuts are frequently used to attract businesses, as they lower the cost of doing business and so influence corporate decisions. In general, most SEZs provide business tax and land leasing fee savings. Property tax, car licensing tax, education surtax, urban maintenance, construction tax, and municipal overheads may all be reduced in some SEZs, lowering the cost of doing business. More crucially, SEZs provide tax breaks or exemptions to those who are regarded as having managerial or technical skills. The SEZs play a key role in promoting corporate financing by removing financial market barriers. Currently, the government offers low-interest loans from the development bank, encourages ventures, equities, and bonds in particular industries targeted by SEZs, and offers low-interest loans to small and medium-sized businesses. To minimize enterprises' expenses, the most prevalent method is to subsidize infrastructure construction and supply of telecommunication, transportation, utilities, and other infrastructure. The SEZs also provide investment research and facilitation services, such as gathering market data, assisting project management, assigning technical consultants, and hosting seminars and trainings for both employees and employers. Firms, particularly small and medium-sized businesses, are attracted to subsidized infrastructure and investment facilitation.