Gwangyang hinterland development by government

The hinterlands at Gwangyang Port are now a public works project.
The MOMAF Yeosoo Regional Office revealed Feb. 5 that the national development plan was finalized with the inclusion of hinterland development at Gwanayang port.
According to the Yeosoo MOMAF Office, the KCTA (Korea Container Terminal Authority) and local governments pushed ahead with "the third body sector" for the hinterland project in order to advance development. However, as the idea keeps being put forward that the government should develop the port and lease it cheaply in order to foster the port as a hub in Northeast Asia, over the past year MOMAF has reviewing the situation with related ministries and finalized their decisions.
As a result, the hinterland east of Hapo, 588,000 pyoung wide, will be given around 170 billion won for infrastructure such as roads and bridges, and around 57.9 billion won to organize a logistic complex as wide as 210,000 pyoung. Gwangyang city will pour 60 billion won into the project to develop 350,000 pyong by 2008.
Given that the hinterland project will be a national infrastructure development project, it will be designated as a Custom Free Zone upon completion. Especially, for the purpose of drawing businesses, Gwangyang will benefit as follow: complete exemption of corporate taxes and income tax for 7 years (50% reduction for the 3 years following), complete exemption for acquisition taxes, property tax and land tax for 5 years (50% reduction for the next 3 years) and a free 50 year lease on the government owned land it will occupy.
An official at Yeosoo MOMAF expected, "This decision would bring on more import and export cargoes as well as transit cargoes to the port with the help of the quick development of the hinterlands. By nurturing and improving the port-related industry in the complex and the port hinterland, logistic costs would also be saved."
In the long term, logistic industry development will produce high-value services, producing 240 billion won in added value and giving birth to 13,000 jobs by 2011.