PRODUCTION REFORM PACKAGE IS ON THE AGENDA

29/05/2017

The "Production Reform Package", which is expected to pass through the Assembly until the end of May and is regulated by law, introduces important regulations especially on innovative, efficient and environmentally friendly production. Moreover, in order to remove all the obstacles in front of the production, it is possible to solve the problems in the sectors in particular and it is possible to produce fast solutions.

In sum:

• Regulations have been introduced to encourage innovation and productivity in industrial production. In addition to being subject to exemptions as before, manufacturers are provided with financial support and the investment climate is strengthened by investor-friendly approach.
• It is encouraged to develop the capacities of industrial firms in innovative, advanced technology-driven and more important environmentally friendly industrial production with the requirements of modern production.
• It is envisaged that the projects that need qualified human resources such as R & D should be able to be run by universities and other research institutions in coordination between institutions, not by a single institution, and that they also have qualified human resources and thus to disseminate them.
• The use of alternative energy sources is encouraged and activities that speed up energy-related R & D work are encouraged.

In addition, many new incentive mechanisms have been developed in order to encourage investors and entrepreneurs to revitalize the regions where industrial and technology are clustered, such as Investment Zones, Organized Industrial Zones (OIZ), and Technology Development Zones (TGB). Taking the risks to the investors at minimum levels or taking over by the state are also important issues of the new reform package.

Should you have any queries, please do not hesitate to contact us.

Ersin Nazalı Managing Partner, Attorney, SFA

Fatih Yalınbaş Partner, Intellectual Property

Our explanations are not in the nature of a legal opinion and recommendation, rather they contain general information regarding the subject. Therefore, before taking an action about these issues, we recommend you to consult to an expert. No claim of responsibility can be made against NAZALI due to results deriving from the content of the document.