What is the Kutaisi Free Industrial Zone?

The Kutaisi FIZ includes two independent sites:

Kutaisi Free Zone (KFZ) is a municipal zone established in 2009, specializing in light manufacturing. It currently provides 60,000 m² of free production space and employs 500 people.
Hualing Kutaisi FIZ is a private zone owned by the Hualing Group, launched in 2015. It covers an area of 36 hectares and the process of registering a company and opening a bank account takes only 12⁠–⁠24 hours.

Both sites offer a full set of tax benefits: 0 % CIT, 0 % VAT, 0 % import/export duties and 0 % dividend tax – a classic scheme of tax privileges of Georgian FIZs.

Comparative table of Kutaisi Free Industrial Zones

Parameter	Kutaisi Free Zone	Hualing Kutaisi FIZ
Area	110,000 m² (of which 68,000 m² are free)	36 hectares of greenfield + ready warehouses
Registration time	1⁠–⁠2 working days, 100 % foreign capital	12⁠–⁠24 hours, online signature
License	от 3,500 USD/year	from 4,000 USD/year
Warehouse rental	about 1.8 USD/m²	about 2.2 USD/m²
Electricity tariff	regional average	“lowest in the region”
Clusters	household appliances, food products, lubricants.	woodworking, furniture, metal, building materials
Location	19 km to KUT airport, 95 km to Poti port	19 km to KUT, 95 km to Poti

Tax incentives (applies to both zones)

Tax	Out-of-area tax rate	In FIZ Kutaisi
CIT (corporation)	15 %	0 %
VAT	18 %	0 %
Duty on import/export	0 / 5 / 12 %	0 %
Tax on dividends	5 %	0 %

A flat tax of 4 % of the proceeds is applied on domestic sales in Georgia.

Step‐by‐step company registration in the Kutaisi FIZ

Select a site (KFZ or Hualing) and reserve the name online.
Prepare incorporation documents (articles of association + passport of the founder) and have them translated or apostilled.
Sign the contract with the administration (electronic signature is allowed).
Register in the registry of the zone: 24⁠–⁠48 hours for KFZ or 12⁠–⁠24 hours for Hualing.
Open a bank account (with Bank of Georgia or TBC).

The full set of documents can be executed remotely by general power of attorney.

Who are the right people for each zone?

Kutaisi Free Zone

Home appliance manufacturers (example: Atlantic, Silkway).
Food and small agro-export companies.
Manufacturers of plastic products and oils (example: UG Lubricants).

Hualing Kutaisi FIZ

Companies engaged in woodworking and furniture manufacturing.
Manufacturers of metal structures and building materials.
Warehouse hubs for e‐commerce with access to EU and Turkish markets.

Frequently asked questions on FIZ Kutaisi

Is it possible to transfer production from one zone to another?: Yes, the legal entity continues to be a resident of FIZ Georgia; a new lease agreement and customs re‐registration will be required.
Do I need a local director?: No, only a foreign sole founder is sufficient.
How much does the accounting service cost?: From 1,200 USD per year (minimal reporting, but books must be kept).

Conclusion

Kutaisi FIZ offers two formats for business: the more affordable KFZ with quick registration and low rent, and the private Hualing zone with a large greenfield area and the lowest electricity tariffs in the region. Both provide tax benefits and convenient logistics due to proximity to the airport and port.

Not sure which site to choose?

Fill in the form – we will help you compare KFZ and Hualing costs for your project and register a turnkey company in 48 hours.