CHAPTER ONE
THE INDUSTRIAL FIRMS AND WORKSHOPS

Article (1)

The Provisions of the Law shall apply to every industrial firm and workshop in the State.

Article (2)

An Industrial firm is any establishment engaged basically in transforming raw or primary materials into either finished or semi-finished, or intermediate products, or transform the latter two into fully processed products. This function shall also include mixing, separating, forming and reforming, assembling, filling or packing of products, in case the work is mechanically done in the firm.

Article (3)

An industrial workshop means any activity related to production or maintenance, which depends on manual technical skill, using simple equipment, and which products accordingly, are not stereotyped.

CHAPTER TWO
THE INDUSTRIAL LICENCING

Article (4)

Industrial licences shall be granted to projects relating to basic industries that prove feasible, or to those projects that are determined by the competent authorities in the oil sector.

Article (5)

No new industrial firm or workshop may be established, or any action be taken to existing ones, whether by development, modification of its capacity or size, alteration of its production quantitatively of qualitatively, merger with another project, split into more than one project, or change its location, unless a licence to this effect has been obtained from the Public Authority for Industry. Establishments operating in the oil industries, which are fully owned by the State, shall have their licences granted according to the regulations stated in a decree issued by the Minister of Commerce and Industry in agreement with the Minister of Oil.

Article (6)

The licence referred to in the above two articles may not be except to the following categories.

1. Kuwaiti individuals or companies duly established pursuant to the provisions of the Law of Commercial Companies.

B. Nationals of the Arab Countries of the Gulf Co-operation Council (G.C.C), whether individuals or companies, in accordance with the terms of the applicable treaties.

Article (7)

The Implementation Ordinance shall determine the method of submitting the application for the licence, the data, documents and designs, and all other conditions required for granting the licence, and in accordance with the following:

1. Presentation of a technical and economic feasibility study for the project, indicating the sources of finance, production cost, share capital, manpower, domestic and export marketing, and all other information as specified in the Ordinance.
2. Registration of the project with the Chamber of Commerce and Industry.
3. Conformity of the production with the specifications and measurements stipulated by the laws, and decrees issued in this respect.
4. Respect of all conditions stipulated by the various government authorities related to the protection of environment and public security.

Article (8)

Decision regarding the application for the licence shall be determined within sixty days from the date the application fulfills all conditions stipulated in this Law and its Implementation Ordinance, and such a decision must be substantiated in case of rejection.

The expiry of the said period without issuance of any decision on the relevant application shall be considered as a rejection.

Article (9)

An appeal may be brought against the decision rejecting the application within thirty days from the date of notification to the concerned party or from the date of the expiry of the period fixed for the decision should it not been rendered. The Implementation Ordinance shall define the procedures for filing the appeal and its determination.

Article (10)

A licence applicant, whose application has been rejected, may submit a new application in accordance with the rules stipulated in the Implementation Ordinance.