Nationalization and confiscation of projects operating within the free zone are also prohibited. The recent launching of the project has provided many needed jobs and should be a source of employment well into the future. Foreign Investment Incentives offered in the Aden free trade zone will be optimum for foreign investors. Since 1991, only one proposal out of 600 has been rejected. Foreign investment is restricted in some areas, primarily to protect existing production and small individual investors.
Tariffs are low.
Another major barrier which has been identified by the U.S. Department of Commerce is the lack of an effective legal system. Ongoing economic and structural reforms, though, should improve the business climate. Opportunities for U.S. Business Yemen does provide opportunities to foreign companies. With a need to increase agricultural production and improve erosion control, farming equipment is needed. Fishing equipment producers will also find a market in Yemen, as the government seeks to capitalize on its natural resources.