Factories that choose to leave the central region and move to periphery areas of the country will be exempted from "betterment taxes," according to a report by Globes business news service.

The Manufacturers Association of Israel announced Tuesday that a bill to give a business break to companies who move to outlying areas passed its second and third readings in the Knesset.

The bill, initiated by Kadima lawmaker Eli Aflalo, stipulates that the purchase of the land and the move must take place by the end of 2009 in order for companies to be eligible for the exemption.