Question

What is a “free zone” in terms of international trade? 2-3 sentences like an 11th grader

Answer 1

A "free zone" is a designated area where goods can be imported, stored, and sometimes processed without being subject to the usual customs duties or tariffs. These zones are created to encourage international trade and investment by allowing businesses to operate with fewer restrictions. Companies in free zones can often sell their products internationally and benefit from tax incentives, making them more competitive.