Mozambique SEZ & Tax Incentives: Special Economic Zones Investment Guide

Mozambique has introduced new Special Economic Zone (SEZ) and Industrial Free Zone (IFZ) regulations through Decree No. 12/2026, designed to boost industrial growth and export capacity. This framework provides clear tax benefits and operational incentives for entities establishing businesses within designated geographic and industrial zones.

SEZ and IFZ Framework

Decree No. 12/2026

The new regulations govern several key operational areas:

• Creation, establishment, and operation of SEZs

• Industrial Free Zone (IFZ) rules

• Tax incentive packages

• Entity obligations

• Land use within zones

Two Types of Special Zones

Special Economic Zones (SEZs)

• Designated geographic areas with special economic regimes

• Mocuba SEZ — newly approved

• Include infrastructure, customs facilities, and tax incentives

• Designed for export-oriented manufacturing and processing

Industrial Free Zones (IFZs)

• Free zone status for individual companies

• Not tied to a specific geographic area

• Available to export-oriented businesses

• Similar tax benefits to SEZs

Tax Incentives for SEZ/IFZ Entities

Corporate Tax Benefits

| Incentive | Standard | SEZ/IFZ |

|-----------|----------|---------|

| Corporate tax rate | 32% | Reduced (varies by zone) |

| Investment tax credit | N/A | 20% of total investment |

| Tax holiday | N/A | Up to 5 years |

| Customs duties | Standard | Exempt for capital goods |

| VAT | 17% | Exempt/reduced |

| Property tax | Standard | Reduced/exempt |

Rapid Development Zone Benefits

Companies investing in Rapid Development Zones receive:

• 20% investment tax credit over total investment

• Reduced corporate tax rate

• Customs exemptions for equipment and machinery

• Accelerated depreciation

Requirements

• Export-oriented business (minimum export ratio)

• Minimum investment threshold

• Job creation targets

• Local content requirements

• Environmental compliance

Approved SEZs in Mozambique

Mocuba SEZ (New)

• Location: Mocuba, Zambézia province

• Status: Newly approved under Decree 12/2026

• Focus: Agricultural processing, light manufacturing

• Strategic location on Nacala corridor

Existing Zones

• Beira SEZ — Central Mozambique, port access

• Nacala SEZ — Northern Mozambique, deepest port in East Africa

• Beluluane IFZ — Near Maputo, Mozal aluminum smelter

Why Evaluate a Mozambican SEZ?

1. Tax Savings

A company investing $1M in an SEZ could potentially save:

• $200,000 in investment tax credits (20%)

• $50,000-100,000 in reduced corporate tax annually

• $50,000-150,000 in customs exemptions

• Total annual savings: $300K-550K on $1M investment

2. Export Market Access

• AGOA: Duty-free access to US (through December 2026)

• EU EPA: Duty-free/quota-free access to European markets

• AfCFTA: Free trade across 54 African countries

• SADC: Regional trade preferences

3. Infrastructure

• Pre-built industrial facilities

• Port access (Maputo, Beira, Nacala)

• Customs facilities within the zone

• Power and water connections

The Smallholder Farmer's Season

For a smallholder farmer in Zambézia, the existence of organized zones like the Mocuba SEZ represents a potential shift in the local ecosystem. By facilitating agricultural processing near production areas, these zones may create more consistent demand for crops. When sponsors support a farmer through Maputo Bridge Capital, that money goes directly to the local seed and fertilizer shop, ensuring the farmer has the inputs needed to participate in a more robust regional market. After harvest, farmers repay into a Community Fund to support future participants, creating a cycle of growth alongside these industrial developments.

Frequently asked questions

What is the purpose of an Industrial Free Zone?

An Industrial Free Zone (IFZ) provides export-oriented businesses with specific tax and customs benefits, regardless of their geographic location, to encourage production and trade.

What does a 20% investment tax credit mean?

It allows a qualifying company to reduce its tax liability by an amount equal to 20% of the capital invested in an eligible project.

What are the primary logistical advantages of the Mocuba SEZ?

The Mocuba SEZ is located on the Nacala corridor, which provides strategic connectivity to one of the deepest ports in East Africa, facilitating the export of goods.

Maputo Bridge Capital and Mozambique

Maputo Bridge Capital, founded by Anselmo Boaventura in Fort Worth, Texas, focuses on connecting sponsors with verified smallholder farmers in Mozambique. Working with the COJAZ cooperative in Zambézia, MBC ensures that 92% of every sponsorship goes directly to the farmer's local seed and fertilizer shop, while 8% covers verification and documentation. We believe in transparency and direct impact.

If you would like to help a smallholder farmer, you can sponsor a farmer for as little as $25 at https://maputobridgecapital.com/sponsor-a-farmer-mozambique. Please note that sponsorships are gifts, not investments, and are not tax-deductible.