OIZ, R&D and Incentive Glossary
OIZ and Industrial Terminology Glossary
Concise definitions of 50+ key concepts around Organized Industrial Zones (OIZ), R&D and Design Centres, Technoparks, KOSGEB-TÜBİTAK and green transformation.
Organized Industrial Zone (OIZ)
- Organized Industrial Zone (OIZ)
- A designated manufacturing area established under Law No. 4562 where infrastructure is delivered collectively to enable planned industrial development.
- Law No. 4562 (OIZ Law)
- Primary Turkish law governing OIZ establishment, governance bodies and infrastructure and oversight processes.
- OIZ Implementing Regulation
- Secondary legislation detailing application of Law No. 4562 including procedural provisions.
- Founding Committee
- Founding governance body composed of representatives from local administrations and chambers of commerce/industry.
- General Assembly
- Highest decision-making body, replacing the Founding Committee after OIZ registration.
- Board of Directors
- Executive body responsible for allocations, tenders, contracts and day-to-day operations.
- Supervisory Board
- Independent body auditing financial and administrative operations and reporting to the General Assembly.
- Regional Directorate
- Professional management unit running daily administrative and technical services of the OIZ.
- Participant
- A manufacturer that has received a parcel allocation in an OIZ and operates from that parcel.
- Pre-Allocation
- Provisional land allocation contingent on fulfilment of investment and production commitments.
- Definitive Allocation
- Permanent land grant to a participant after pre-allocation conditions are fulfilled.
- Allocation Revocation
- Withdrawal of allocation by the Board where investment or production commitments are not met within regulatory timelines.
- Attendance Fee
- Compensation paid to OIZ body members per meeting or per month, capped by Presidential Decree.
- Ministry Credit
- Credit support provided by the Ministry of Industry and Technology for OIZ infrastructure and general administration.
- Progress Payment
- Payment in infrastructure projects tied to the completion percentage, evidenced by a technical report.
- Green OIZ
- Sustainability performance tier certified by the Ministry based on energy, waste, water and carbon criteria.
- Smart OIZ
- Digital transformation model integrating big data, AI, IoT and automation into OIZ management.
- Business Continuity Plan (BCP)
- Document defining risk analysis, response and recovery procedures for uninterrupted critical operations.
R&D and Design Centre
- R&D Centre
- Certified unit under Law No. 5746 benefiting from R&D deduction, subject to minimum staff and facility requirements.
- Design Centre
- Unit focused on industrial design benefiting from incentives similar to R&D Centres under Law No. 5746.
- Law No. 5746
- Law on Supporting R&D and Design Activities, defining R&D deduction, withholding incentive and social-security premium support.
- R&D Deduction
- Tax advantage allowing 100% of eligible R&D expenses to be deducted from the corporate tax base.
- Full-Time Equivalent (FTE)
- Calculation method measuring R&D personnel work time for eligibility thresholds.
- Person-Month
- Work-time unit representing one person working for one month on average on a project.
- Activity Report
- Annual report documenting R&D or Design Centre activities, outputs and expenses to the Ministry.
- Pre-Audit
- Advisor-led simulation of the Ministry audit to detect and remediate risk findings in advance.
Technopark and TDZ
- Technopark / Technology Development Zone (TDZ)
- Special economic zone established under Law No. 4691 where R&D, design and software activities enjoy tax exemptions.
- Law No. 4691
- Law on Technology Development Zones defining incentives and managing-company operations.
- Managing Company
- Legal entity handling planning, operation, leasing, project admission and Ministry coordination of a TDZ.
- Technopark Portal
- Ministry-managed system used for TDZ project submissions, exemption certificates, personnel records and audits.
- Technopark Exemption
- Bundle of income/corporate tax, VAT and withholding exemptions granted to zone firms under Law No. 4691.
- Incubation Centre (GO)
- Early-stage startup facility that, since 2022, may be opened outside the TDZ boundary with Ministry approval.
KOSGEB, TÜBİTAK and Grants
- KOSGEB
- Small and Medium Enterprises Development Organization of Türkiye; runs SME grant and support programmes.
- SME
- Enterprise classified by headcount, annual turnover or balance-sheet thresholds defined by regulation.
- SME Declaration
- Document proving SME status, kept up to date for KOSGEB applications.
- TÜBİTAK
- Scientific and Technological Research Council of Türkiye; evaluates and funds R&D and innovation projects.
- TÜBİTAK 1501
- Industrial R&D Projects Support Programme targeting medium and large enterprises.
- TÜBİTAK 1507
- SME R&D Start-up Support Programme for SMEs within their first five R&D projects.
Green Transformation and Other
- European Green Deal
- EU strategic framework for the 2050 carbon-neutral target.
- Carbon Border Adjustment Mechanism (CBAM)
- EU border pricing mechanism on certain imports based on their carbon footprint.
- Sustainability Certification
- Third-party verification of energy, water, waste and carbon performance (e.g. Green OIZ, LEED, BREEAM).
- KVKK
- Turkey’s Law No. 6698 on the Protection of Personal Data, the national data-protection framework.
- Resilience
- Capacity of an organisation to sustain operations through disruptions and recover quickly.
- Digital Transformation
- Redesign of business processes through digital technologies for efficiency, transparency and quality.