Panels & Furniture Asia September/October 2020

26 | IN PERSON
September / October 2020, Issue 5 | Panels & Furniture Asia
We have 26 manufacturing units (sawmills, veneer, plywood and
furniture) promoted by Chinese investors and two manufacturing
units (sawmills and furniture) promoted by Malaysian investors.
Our readers might be curious about life in Nkok SEZ. Tell us
more about the living and work environments.
Gabon SEZ’s Single-Window Clearance building
In light of the initiatives to improve the logistics to ensure log
supply, are there plans to reduce the logistics cost for finished
products exported by the units in the SEZ?
As mentioned earlier, our first step was to build an efficient
infrastructure for the evacuation of finished products and we
have already achieved it. We are already working with different
stakeholders explaining our long-term vision and the strategy
to reduce logistics cost by increasing the volume, and we have
received quite a good response. Free On Board charges have
not increased in last two years and, with a further increase in
volume, we anticipate further decrease in logistics cost.
We have heard about the frequent custom strikes in Gabon
which has led to delays in transit time for containers. How
you intend to deal with such a crucial aspect impacting timely
shipment?
The impact of such strikes is lower for industries within the SEZ.
Gabon SEZ has as Single-Window Clearance building which
works as an autonomous structure for the manufacturing units
in Nkok SEZ. Even during port strikes, the customs department
in the facility ensures that exports are not blocked or delayed.
Given that the Government of Gabon is a partner in Gabon SEZ
and they have a good understanding about the importance
of the SEZ, we have engaged very closely with the Customs
Department over the last few years and they have supported
the units in the SEZ very well during such strikes.
A majority of our readers hail from the furniture, flooring
and door and window manufacturing sectors within South
East Asia and China. Out of all the wood processing units
currently at Nkok SEZ, specifically how many are in each of
the abovementioned sectors? How many are from the South
East Asia and China regions?
We have a total of fifteen units involved in furniture manufacturing,
three units in flooring and decking production and one unit in
door and window manufacturing. Most of the furniture units in
the SEZ are small-scale units selling to the local market. Only
four units produce furniture for exports. Units producing doors,
windows, flooring and decking are mainly export-oriented and
serve European and United States markets. All these units use
exotic hardwood for their products.
With the Single-Window Approval System, it is very easy to
set up an industrial unit in the SEZ. We have 22 government
departments/agencies housed in one single building within the
SEZ. All approvals typically required to set up and run a unit
– company registration, industry license, work permit, custom
exemption, VAT exemption, etc – are all provided at one location
and there is no need for an investor to run from one office to
another. These approvals are given in a timely manner.
Nkok SEZ has been planned to balance work, life and play, and is
divided into three areas: industrial, commercial and residential.
With more than 8,500 working in the SEZ, including 2,000
residents, the area is bustling with activity. In the residential
zone, 120 villas have been built and are occupied by senior
and technical heads of the manufacturing units. Gabon SEZ
SA, as the Operation and Maintenance Authority of Nkok SEZ,
provides reliable utilities such as electricity and water, etc. The
general estate management (ie, roads, street lights, security
and general cleanliness) has also been efficient, ensuring a
healthy work environment.
We understand that over 90% of plots in the first phase of
Gabon SEZ have been allotted and occupied – including 166
customers, over 75 operational units and 30 units under
construction. What’s the next milestone for Gabon SEZ?
The next milestones for Gabon SEZ are:
• Ensuring a more diverse ecosystem within Nkok SEZ to increase
the input to output ratio to 85% (compared to 55% currently).
• To become the largest panel-exporting African SEZ by 2022.
• Exports of more than US$3 billion by 2023 by attracting
industries which will further add value to the existing products
in the SEZ.
Which particular segment of wood processing would you
recommend for readers keen on exploring opportunities in
Gabon SEZ?
Gabon and our SEZ are perfect destinations for all kind of wood
processing. We have already been able to attract many investors
for second transformation, and this is right opportunity to focus
on industries that handle third transformation of timber (ie,
manufacturing of furniture and other consumer wood products)
as a lot of raw material is available. In terms of skills, Gabon SEZ
is partnering with the Gabonese Government to launch a training
school focusing on third transformation. The Government, by
way of the new finance law, is attempting to make industries in
third transformation more attractive using additional incentives.
Furthermore, working capital financing is available at preferred
interest rates for industries dealing with third transformation. P
For business, investment and trade enquiries, please get in touch
with the GSEZ team at gsez@olamnet.com or +24102001086.