Trade zones are most important features of a country which helps to develop the business industry of a country. Generally when we say free trade zones, it means a special zone of a country where the importers and exporters can share their goods and services without any barriers. Generally some of the countries only accept these free trade zone concepts and most of the countries don’t prefer this concept to their countries, because it can be a financial and political threat to that country. Most of the times countries used to create free trade zone agreements with their friendly countries and countries which are really closed to them. It is because then only they can create a strong bond with a different country. If two countries are not in good terms and they have conflicts among them, then this free trade zone cannot work independently and neutrally. Moreover, some other countries use this free trade zone to sort out their personal issues and revenges. For example, by the rules of free movement of workers in free trade zones, the terrorists also stared to move as workers to a different country. That’s the reason why most of the countries have a negative thought on this free trade zones.
When a country enters into this free trade zone, then they can get so many benefits. Especially this zone helps countries to create a strong bond with other surrounding countries. That’s the reason why when a country faces any dangerous situation then the surrounding countries come forward to help and protect the other country. Moreover, this zone helps people to get so many goods and services in a better price. This is the reason why states of the countries encourage their company setups to join this free trade zones.
Another important thing which we have to consider is that this free trade zone helps the different country people to move and exchange their good and services without any tax barriers. A good example for this free trade zone is that, the Ajman free zone which is established in UAE. This is one of the world’s famous free trade zones where most of the Middle East countries allowed doing their trades without any barriers.
Though the free trade zones have so many advantages and some disadvantages, we have to understand the necessity of such profitable zone to our country. By arranging all the protections, security services and precautionary services we can avoid the risks which can be cause by this free trade zone.