Export processing zone

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An Export processing zone or EPZ eases tax and labor restrictions and their primary purpose is to generate export revenues in poor developing countries. EPZs are largely identical with free trade zones.

In 2002 there were 43 million people working in about 3000 EPZs spanning 116 countries producing clothes, shoes, sneakers, electronics, and toys. The basic objectives of EPZs are to enhance foreign exchange earnings, develop export-oriented industries and to generate employment opportunities.

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