The Cayman Islands Government has recently granted legislation allowing the addition of offshore aviation services to the Cayman Enterprise City (CEC) special economic zone. The Aviation Services Park joins the maritime sector within CEC to create the Cayman Maritime & Aviation Services Park (CMASP). It is envisioned that CMASP will create the largest transportation services group in the region which will attract international maritime and aviation service businesses to set up a physical presence in Cayman.
With this expansion, the CMASP can now include aircraft owners and brokers, technology companies and startups focused on aviation research and development, aircraft manufacturing and repair businesses, head offices of aviation industry businesses, companies that provide management consultancy and any other specialised services relating to the aviation industry.
The CEC Special Economic Zone consists of six business parks, together creating a dynamic and innovative environment based on the best special economic zones in the world. The addition of the aviation park is expected to be instrumental in further diversifying Cayman's economy and will assist in growing our client base.
The Civil Aviation Authority of the Cayman Islands has a well-established reputation as a credible aviation regulator and custodian of a world-class aircraft register. The creation of the CMASP further enhances opportunities for commercial air transport operations to be established in the Cayman Islands, as it provides alternative means for Air Operator's Certificate (AOC) holders to have their principal place of business in the territory.
With aircraft registration and other services becoming increasingly competitive around the globe, the opportunity for aviation service providers to be licensed into the CEC Special Economic Zone allows Cayman to compete with other aircraft registries seeking to attract quality clientele that operate globally.
The objective is to attract the following specific types of aviation companies to the islands: businesses involved in the transport of passengers by air over regular routes and on regular schedules, charter flights for passengers, scenic and sightseeing flights, general aviation activities, such as the transport of passengers by aero clubs for instruction or pleasure, the transport of freight by air over regular routes and on regular schedules, non-scheduled transport of freight by air, launching of satellites and space vehicles, space transport, logistics planning and aircraft management and management consulting and other specialised services to the aviation sector.
This is a very positive development for the Cayman Islands, as it presents the opportunity for multi-faceted international aviation industries to be established here. It is envisioned that the aviation park will host a dynamic international community of maritime and aviation services businesses.
Additionally, it also presents a basis for operators of Cayman Islands registered aircraft to establish their principal place of business within the jurisdiction to obtain an Air Operator's Certificate for offshore commercial air transport.
"The creation of the CMASP is an example of how a Government Authority and private enterprise can collaborate and innovate for the benefit of the jurisdiction. This will bring the Cayman Islands opportunities that didn't previously exist, and CEC will put the weight of our marketing and business development team behind the effort to promote the Registry, the CMASP and the country generally," said Charlie Kirkconnell, CEO of CEC.
Sherice Arman, a Partner with significant aviation finance and registration expertise and experience at leading international law firm, Maples and Calder, said, "The addition of the aviation services park provides an efficient solution from a cost and timing perspective for aviation companies wishing to set up a physical presence in the Cayman Islands. This is particularly helpful to companies wishing to obtain a Cayman Islands' Air Operator's Certificate, who need to establish a principal place of business within the jurisdiction."
The primary advantage for companies setting up in CMASP is that it allows them to quickly and easily take advantage of Cayman's jurisdictional benefits such as 100% exemption from the following taxes: Corporate Tax, Capital Gains Tax, Income Tax, Payroll Tax and Sales Tax. Additional government concessions include enabling companies to be fully operational in their Cayman office within CMASP in 4-6 weeks and obtain work permits within five days.
The Park's rich networking opportunities and core location allows businesses to tap into resources, partnerships and ideas in a business environment that helps them develop, innovate and grow. The CMASP provides Class A office accommodation, a global on-demand data centre and hosting services.
ABOUT THE AUTHOR
The Civil Aviation Authority of the Cayman Islands (CAACI) which is the custodian of the Cayman Islands Aircraft Registry is headed by the Director-General, Mr. P.H. Richard Smith.
With over 40 years in the aviation industry, Mr. Smith has experience in both the private and public sectors of the industry, and is a venerable veteran who is well known through the Caribbean region and internationally.
His career has been spent working with Civil Aviation Authority of the Cayman Islands (CAACI) with attachments and secondments to international training organisations and a stint with the national flag carrier - Cayman Airways, Ltd., as a pilot.
Mr. Smith is the country's foremost aviation official with authority delegated by Her Excellency the Governor.
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