TAIPEI -- Taiwan's executive authorities on Wednesday unveiled a plan to establish a pilot free economic zone (FEZ) that is expected to boost the island's economy through economic and trade liberalization.

The FEZ will make full use of capital and technology outside the island to focus on developing high value-added industries, such as international medical care and agriculture, according to the island's Council for Economic Planning and Development (CEPD).

It will target the Chinese mainland market and other emerging markets, the CEPD said.

The FEZ will relax restrictions on duty-free imports and exports of raw materials and goods, open the service sector and loosen investment limits, as well as simplify land use, it said.

The plan will be carried out in two phases, with the first phase featuring existing free trade ports in northern, central and southern Taiwan, the CEPD said. The details of the second phase have not been revealed.