IRAN AND TURKEY ECONOMIC CONSORTIUM
News May 20, 2025

From Jolfa to Khoda Afarin: The Investment Roadmap in Aras Free Zone

15 admin From Jolfa to Khoda Afarin: The Investment Roadmap in Aras Free Zone

From Jolfa to Khoda Afarin: The Investment Roadmap in Aras Free Zone

Aras Free Zone (AFZ) is one of Iran’s most strategic free trade-industrial zones, located in the northwest of the country within East Azerbaijan Province, bordering Armenia, the Republic of Azerbaijan, and Nakhchivan Autonomous Republic. Thanks to its unique location and access to regional markets, including the Caucasus, Eurasia, and Europe, Aras has become a vital gateway for export development, international transit, and foreign investment.

Strategic Location & Cross-Border Advantage

Stretching along the Aras River, the zone includes key border terminals like Jolfa, Norduz, and Khoda Afarin, providing direct access to neighboring countries and linking Iran to the North–South International Transport Corridor. With close proximity to major transportation routes—such as the Jolfa International Railway, Tabriz International Airport, and arterial highways—Aras is a prime logistics hub for regional trade.

Structure of the Aras Free Zone

Aras comprises seven distinct yet interconnected subzones, each with unique advantages:
    1.    Jolfa Subzone – The core industrial, agricultural, and commercial center
    2.    Norduz Subzone – A vital export/transit gate to Armenia
    3.    Khoda Afarin Subzone – Rich in natural resources, ideal for agriculture and tourism
    4.    Gholibaghlu Subzone – Focused on livestock and modern agricultural ventures
    5.    Alamdar Subzone – Suitable for farming and agro-processing industries
    6.    Shoja Subzone – A hub for horticulture and related industries
    7.    Gharlogh Subzone – Rich in minerals, suitable for downstream industries

Key Investment Incentives in Aras

Aras Free Zone offers a range of legal and financial incentives for both domestic and international investors:
    •    20-year tax exemption
    •    Zero customs duties on raw materials and equipment
    •    Full foreign ownership permitted
    •    Streamlined company registration and visa issuance
    •    Government-backed infrastructure support (electricity, water, internet, etc.)

Top Investment Opportunities in Aras

1. Industry and Manufacturing
    •    Food processing, pharmaceuticals, textiles, and export-driven manufacturing
    •    Establishment of factories and assembly lines targeting nearby international markets

2. Agriculture and Agro-Industry
    •    Development of modern greenhouses, seed production, and organic farming
    •    Establishing export-oriented agro-processing and packaging facilities

3. Tourism and Health Tourism
    •    Ecotourism and cultural tourism development in Jolfa and Khoda Afarin
    •    Construction of resorts, wellness centers, and local hospitality infrastructure

4. Logistics and Transit
    •    Establishment of multimodal transport hubs, cold storage, and trade warehouses
    •    Investment in intermodal (rail-road) logistics for regional exports

5. Technology and Innovation
    •    Investment in IT, electronics, and renewable energy startups
    •    Creation of technology parks and support for knowledge-based companies

Existing Infrastructure

Aras Free Zone boasts advanced industrial parks, a reliable power grid, quality water supply, stable internet access, smart customs systems, and proximity to air and rail networks, offering a strong foundation for business and export-oriented production.

Conclusion

With its strategic location, diverse subzones, and investor-friendly regulations, Aras Free Zone is a dynamic ecosystem for growth, innovation, and international trade. It serves as a key platform for Iranian and foreign investors seeking safe, profitable, and export-ready ventures.

Whether you’re looking to expand your industrial footprint, tap into regional markets, or develop sustainable agriculture and tourism projects, Aras is the ideal destination to turn your vision into reality.


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