Nigeria free trade zones in 2024

Healy Consultants assists our international Clients with Nigeria free trade zone company incorporation. Investors willing to start a Nigeria Free Trade Zone companies can do so in one of the following Nigeria export processing zones: Calabar free trade zone (CFTZ), Kano free trade zone (KFTZ), LADOL free zone, ALSCON expert processing zone, Onne oil and gas free zone, and Maigatari border free zone.

Advantages of a free zone company

Register free zone company in Nigeria

  1. Nigeria boasts 14 operational Special Economic Zones, offering foreign companies i) a tax holiday on all taxes including federal, state, and local government taxes ii) duty free importation iii) 100% repatriation of capital, profits, and dividends;
  2. Business is simplified for such companies. These companies are exempt from all import and export licensing and all expatriate quotas, and one-stop approval is available for permits, operating licenses, and Nigeria business registration;
  3. All new industrial undertakings including foreign companies and individuals operating in a special economic zone, are allowed full tax holidays for three consecutive years.
  4. Calabar is designated as the primary zone in Nigeria. Government incentives include i) zero corporation tax ii) unrestricted remittance of profits and dividends iii) no import or export licenses required iv) up to 100% foreign ownership of enterprises v) sale of up to 25% of production is permitted in domestic market vi) all exports are vat zero-rated and vii) dividends received from investment in export-oriented businesses are to be free of tax.
  5. Companies formed in these zones are allowed to sell 100% of their goods into the domestic Nigerian market, while paying a significantly reduced import duty on manufactured goods sold domestically;
  6. Land is rent-free for the first 6 months, for any construction project undertaken in the zones.

Table comparing different special economic zones in Nigeria

Summary at a glance CFTZ KFTZ LADOL ALSCON
Average annual Industrial space rent per 1000 sq ft US$5,100 US$6,500 US$6,200 US$2,100
How long to set the company up? 10 weeks 10 weeks 10 weeks 10 weeks
How long to open company bank account? 2 weeks 2 weeks 2 weeks 2 weeks
Quality of utilities Poor Average Average Poor
Allowed to sign sales contracts with Nigerian Clients Yes Yes Yes Yes
Allowed to invoice Nigerian Clients Yes Yes Yes Yes
Corporate tax payable in Nigeria 0% 0% 0% 0%
Corporate bank account SCB SCB SCB SCB
Physical office space required Yes Yes Yes Yes
Industrial space availability Yes Yes Yes Yes
Allowed to import raw materials? Yes Yes Yes Yes
Allowed to export goods? Yes Yes Yes Yes
Wholly foreign owned Yes Yes Yes Yes
Can the entity hire expatriate staff in Nigeria? Yes Yes Yes Yes
Do you visit Nigeria for company incorporation? No No No No
Minimum number of directors 2 2 2 2
Minimum number of shareholders 2 2 2 2
Tax registration certificate required Yes Yes Yes Yes
Individual shareholders allowed Yes Yes Yes Yes
Corporate shareholders allowed Yes Yes Yes Yes
Corporate director(s) allowed No No No No
Public register of shareholders and directors Yes Yes Yes Yes
LLC company allowed Yes Yes Yes Yes
Can apply for immigration visas Yes Yes Yes Yes
Annual audited financial statements Yes Yes Yes Yes
Annual tax return to be submitted Yes Yes Yes Yes
Access to Nigeria double tax treaties Yes Yes Yes Yes

Frequently asked questions

External videos

Contact us

For additional information on our free trade zones services in Nigeria, please contact our in-house country expert, Mr. Kunal Fabiani, directly:
client relationship officer - Kunal
Central bank of Nigeria Nigeria customs service (NCS) Financial services regulation coordinating committee (FSRCC) in Nigeria The lagos chamber of commerce and industry Federal ministry of finance in Nigeria