Iran will start constructing a new customs checkpoint on the border with Azerbaijan soon, Director of the "Araz" free economic zone Sadiq Najafi told Trend on Thursday.
"The new customs checkpoint will be built in the village Gulu Beglu, bordering with the town of Horadiz, Fizuli region and will be located in a free economic zone," Najafi said.
It is planned to transport passengers and international cargo through a new customs checkpoint, Najafi added.
He said that hotels and guest houses, customs office, administrative offices, warehouses, offices of trading companies and financial organizations will be built within the first phase of the free economic zone project implementation in Gulu Beglu.
"Iranian and Azerbaijani people have historical, cultural and religious ties," he said. "The operations were launched to create an economic zone in Gulu Beglu for the further development of relations."
He added that Iran and Azerbaijan have great potential in this area to expand agriculture, livestock, the range of meat and dairy products, to increase exports and to obtain additional revenue.
The activity of legal entities wishing to invest in the economic zone of Gulu Beglu, will be exempt from paying taxes for 20 years, Najafi said. They will also be given the opportunity to purchase land plots at a bargain price and on credit, to implement a simplified customs clearance and take advantage of other benefits.
"We hope that the activity of the free economic zone will create conditions to strengthen the relations between the two countries and to develop the activity in this area," Najafi said.