Clearance Authorization for renovated production lines
Now that the complementary finance law 2020 (CFL2020) is issued, the prohibition of import of used products has been lifted.
Indeed, this will allow investors to resort to this means of financing and take advantage to develop their business.
Moreover, according to article 57 of the said law, investors are granted a derogation in order to import renovated production chains essential to the functioning of their businesses.
What are the equipment concerned by the article 57?
According to article 57 of CFL2020, that the equipment constituting a homogeneous production chain, renovated and in working order are the concerned ones.
In fact, by production chains it is meant those consisting of the extraction, manufacture or, packaging of products.
Those production chains must have been subject to a renovation confirmed by an independent authorized inspection and control body.
Therefore, the investor should integrate these production chains into consumption for the specific needs of his activity, and within the strict deadlines necessary for his proper functioning.
Who can benefit from this disposition?
The CFL2020 has not provided an updated definition of the beneficiaries. Nevertheless, article 54 of financial law of 2010 provided that investors duly registered in the commercial register whose activity is directly linked to the production chain purpose, are eligible for this authorization.
Indeed, beneficiaries should also justify having an infrastructure suitable for operating the imported production chain.
Thus, the ratio of this provision is to be read in the framework of the politics aimed to promote the investments and it does not cover trading transactions.
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