The Investors Guide 2012 / 2013

Serbian Potentials

The Investors Guide

2012

In association with

Serbian Potentials | the Investors Guide |

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| the Investors Guide | Serbian Potentials

Serbian Potentials | the Investors Guide |

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Serbian Potentials | the Investors Guide |

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The Investors Guide

Serbian Potentials EDITOR: Saša Marić s.maric@aim.rs ART DIRECTOR: Branislav Ninković CONTRIBUTORS: Mirjana Zec, Magda Janjić, Jovana Gligorijević, Rob Dugdale, Steve MacKenzie, Zorica Todorović Mirković PHOTOS: Zoran Petrović

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Serbia: the region’s leading investment destination

Nebojša Ćirić, Serbian Ministar of the Economy and Regional Development

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Still a major regional competitor

Božidar Laganin, Director of the Serbian Investment and Export Promotion Agency (SIEPA)

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Al eksandrovac, Aleksinac, Aranđelovac

A rilje, Babušnica, Bajina Bašta

GENERAL MANAGER: Ivan Novčić i.novcic@cma.rs FINANCIAL DIRECTOR: Ana Besedić a.besedic@cma.rs EDITORIAL MANAGER: Tanja Banković t.bankovic@aim.rs PRINTING: Rotografika d.o.o., Segedinski put 72, Subotica CorD is published by: alliance international media Makenzijeva 67, 11000 Belgrade, Serbia Phone: +(381 11) 2450 508 Fax: +(381 11) 2450 122 E-mail: cordeditorial@aim.rs www.cordmagazine.com www.allianceinternationalmedia.com ISSN no: 1451-7833 All rights reserved alliance international media 2012

KRU PANJ, KRUŠEVAC, KURŠUMLIJA

KU ČEVO L AJKOVAC, LAPOVO, LEBANE L ESKOVAC, LJIG, LJUBOVIJA

ZVORNIK

P RIJEPOLJE RA ČA REKOVAC

, SJENICA, SMEDEREVO

S MEDEREVSKA PALANKA S OKOBANJA, SVILAJNAC, SVRLJIG

S URDULICA

M ALO CRNIĆE, MEDVEĐA,

14 16 17 18 20 21 22 24 25 26 27

bela palanka B eograd

| the Investors Guide | Serbian Potentials

MIONICA

M EROšINA N EGOTIN, NIŠKA BANJA, NOVA VAROŠ

b ATOČINA, bLACE, bOGATIĆ

CR NA TRAVA, ČAČAK, ČAJETINA

Ć IĆEVAC, ĆUPRIJA. DESPOTOVAC

D IMITROVGRAD, DOLJEVAC, GOLUBAC

GA DŽIN HAN GOR NJI MILANOVAC, IVANJICA, JAGOdINA

ŠABAC

, TOPOLA, TRSTENIK TRGOVIŠTE

VA LJEVO

b OSILEGRAD, bRUS, BUJANOVAC

56 57 58 59 60 61 62 64 65 66

TUTI N, UB, UŽICE

b ojnik, BOLJEVAC, BOR

K LADOVO, KNIĆ, KNJAŽEVAC

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KRALJEVO

47 48 50 51 52 54 55

Contents

P ROKUPLJE, RAŠKA, RAŽANJ

M AJDANPEK

TRANSLATION: Snežana Bjelotomić

EXECUTIVE DIRECTOR: Ruža Ristanović r.ristanovic@aim.rs

KOCE LJEVA, KOSJERIĆ,

L OZNICA, LUČANI, MALI

LECTOR: Mark Pullen m.pullen@aim.rs

PROJECT MANAGERS: Biljana Dević b.devic@aim.rs Nataša Nešić n.nesic@aim.rs Svetlana Okanović s.okanovic@aim.rs Jelena Bulić j.bulic@aim.rs

28 30 31 32 33 34 35 36 37 38 39

KRAGUJEVAC

40 42 43 44 45 46

N IŠ N OVI PAZAR O SEČINA, PARAĆIN, PIROT P ETROVAC NA MLAVI P OŽAREVAC, PREŠEVO, PRIBOJ

P OŽEGA

VE LIKA PLANA VARVARI

N, VELIKO GRADIŠTE, VLADIČIN HAN

V LADIMIRCI V LASOTINCE, VRANJE, VRNJAČKA BANJA

ŽABARI

, ŽAGUBICA, ZAJEČAR ŽITORAĐA

Serbia: the region’s leading investment destination Nebojša Ćirić, Serbian Ministar of the Economy and Regional Development

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pessimism, as investor interest remains high and daily conhe dynamic times in which we live constantly offer tact with them is maintained. Implementation of a number of new challenges that can only be properly responded to projects is expected to begin in the near future. through constant work, learning and the evaluating of our Serbia can also be proud of the new investment plans of position compared to others. Imposing oneself and enduring investors who have already made initial investments, which on the market is the imperative of any economy and, with the is also an indicator of the quality of an investment destinadevelopment of new technologies, competition and consumer tion. Big textile industry names that are already operating in awareness, this becomes increasingly demanding not just for Serbia, including companies like Gruppo Fiorentino, Pompea small economies like ours, but also for much larger and strongor Golden Lady, are opting to reinvest – not once, but severer economies. However, challenges exist in order to encoural times. The result of that is not only the revival of particuage us to continuously improve, progress and find new and lar industries, but also the expansion of capacities and hirbetter solutions to ensure that successes certainly won't being of staff, to the benefit of local communities and the encome failures. tire country.

With its geographic location, high quality and educatFiat's arrival opened the way for the investments of many ed workforce, favourable tax environment, government supother international companies, both its supply chain compaport through incentives and financial subsidies, good coopernies and those doing business with other automotive giants. ation with local governments, as well as free trade agreements with the Russian Federation, Belarus, Kazakhstan, Serbia can also be proud of the new investment Turkey, the U.S., the EU and the countries of EFTA plans of investors who have already made initial and CEFTA, Serbia has positioned itself as a leading investment destination in the region. In March investments, which is also an indicator of the quality of this year Serbia completed its advantages with the an investment destination. gaining of EU membership candidate status, which Companies that are clearly satisfied with the business enrepresents an additional signal to existing and prospective invironment in Serbia include the likes of Norma Group, Grah vestors that Serbia is a reliable and stable country with a clear Automotive, Dytech and the Yura company, which has reinEuropean course. vested three times since coming to Serbia and now employs Serbia has attracted foreign direct investment (FDI) worth several thousand people. around US$25 billion since the year 2000. The opening of This is actually the best message to future investors and Microsoft's development and innovation centre in Serbia, the best recommendation for Serbia - investors already operfollowed by construction of the most modern NCR Centre ating in Serbia continue with new investment and the reinvestfor technical support, as well as the investments of compament of their capital. nies like Fiat, Siemens, NCR, Cooper Tyres, Swarovski, Bosch, Likewise, the European Cities and Regions of the Future Deleuze, Benetton, Telenor, Stada, Jura, Gazprom Neft and nu2012/2013 competition, which is traditionally organised by merous others, clearly indicate that Serbia succeeded in highthe Financial Times Group magazine FDI Intelligence, saw sevlighting its strengths and prove that the country is a safe and en Serbian towns and regions ranked among the top 10 in predictable location for doing business.

Europe in different FDI-related categories. This is not just anAs is the case with every election year, this year's specifiother positive reference for Serbian cities and regions, but alcities also mean that there has been a slightly lower level of so provides the impetus for the future success of all of us. ■ investment activity. However, there is no reason for fear and Serbian Potentials | the Investors Guide |

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interview Božidar Laganin Director of the Serbian Investment and Export Promotion Agency (SIEPA)

Still a major regional competitor A change in the structure of foreign investments in Serbia should also be noted – from those “large” industrial and financially intensive investments to medium and smaller scale investments that provide a greater long term benefit for the country

"A

possible. A lot depends on the length of the post-election ccording to the period, with inflows currently still slowed.

National Bank There are also serious distortions on the world’s markets, of Serbia, the only institution authorised especially in the Eurozone, which is the most interesting to to monitor investments, us. Greece has always been one of our five largest investhe results of foreign intors, but we certainly won’t have that this year. On the othvestment inflows for the er hand, we are witnessing growing interest from Germany, first quarter of this year are for example. There is also a global shift in the focus of in€180 million. The central vestment towards countries of Southeast Europe and furbank registers funds exther east, but also in Latin America, which means there are clusively based on counfewer investors considering this area at all. try of origin and not the A change in the structure of foreign investments in Serbia commercial entity makshould also be noted – from those “large” industrial and ing the investment, but we financially intensive investments to medium and smaller believe that these are inscale investments that provide a greater long term benevestments announced late fit for the country. last year – Cooper Tyres, Bosch, Swarovski et al. One • SIEPA deals with the promotion of export, but promoshould be honest and admit that this represents a drop of tions cannot function without serious investment. Does about 40% compared to results from the same period last Serbia invest enough in the promotion of this imporyear, but also that we expect improvements following the fortant field, compared to European standards and the mation of a new government countries of the region?

The crisis has affected everyone and - Absolutely not! Compared because many investment has been seen everywhere, but we to the competition and inprocesses are on hold awaiting implementation and decisionare fighting for new investors under ternational standards, our makers and institutions," said these conditions and they are coming. budget is extremely low, Božidar Laganin, Director of the while the prices on interSerbian Investment and Export Promotion Agency (SIEPA). national markets are the same for everyone. In our • In 2011 Serbia attracted €2.2 billion of foreign investment. What volume of investment do you expect by the end of this year?

- It is pointless to predict at this moment. At the start of this year we said that we would be very pleased if we could repeat last year’s results, but we fear that it is now almost im8

| the Investors Guide | Serbian Potentials

country marketing and promotion costs are traditionally seen as the least important, i.e. “if there’s anything left over”.

We also lack a strategy for the promotion of the whole country, of which the economy is only one component. We know very well that there are all those here who have been invited and are experts in the marketing and branding of

Serbia, and that they have been critical of anyone else who tries to do that for the country.

Our public is critical of every attempt at lobbying, i.e. representation abroad, and characterises all of those efforts through various conspiracy theories. And then they criticise you for doing nothing because they have heard, for example, that the Kosovo Albanians are paying astronomical sums to lobbyists around the world or because they have seen a promotional film about Croatia on CNN. This is all due to a low level of understanding of the importance and method of implementing these activities.

• Today Serbia has a leading position in the region in terms of foreign investment levels. How can such a trend be maintained in the future?

- We are still very competitive in relation to the region and the best evidence of that are our better results in terms of investment inflows in relation to neighbouring countries, some of which are in the EU. That said, the crisis has affected everyone and has been seen everywhere, but we are fighting for new investors under these conditions and they are coming. They’re not arriving as quickly or in as great a volume as we would like, but there is interest and it is higher than the interest in “the competition”. I think awareness of the need to have some incentive packages for investors has also finally matured here, because for investors startups are the toughest part and those funds ultimately return to our budget through taxes and contributions.

Serbia has a workforce that everyone praises and it is a mistake to think this relates purely to low labour costs. One can find cheap workers in Romania, which is an EU country, but not technically literate workers. That has been largely determined by foreign employers.

Now they are also our free trade agreements with markets that represent a combined total of around a billion people.

We also have a favourable tax environment and system of subsidies and are also the only ones with some good news at this difficult time (Fiat, Bosch, Swarovski, Panasonic) – with companies that know how to “ring bells” in the ears of possible future foreign direct investors.

• Bulgarian Economy Minister Delijan Dobrev said recently that Serbia is his country’s main competitor when it comes to attracting foreign investment. Which countries are Serbia’s top competitors?

- When it comes to labour-intensive investments, which are usually seeking reduced basic costs, i.e. production costs, then our main competitors are Bulgaria, Romania and Macedonia. As other factors important to potential investors change or are added, thus the competition extends to other countries in the neighbourhood or the broader region of Southeast Europe. These are primarily Hungary, Croatia, the Czech Republic and Slovakia.

Nevertheless, we are always led by the slogan “Long live the competition!” because we know that it is precisely those countries that makes us better and more competitive

and we often exchange information with them. There are also more and more examples of companies that complete their production cycles by working in several countries of the region, so we are also interdependent to an extent.

At the end of the day, it is precisely in regional cooperation and the diversification of markets that the future of the world economy lies. Here no country will survive alone and isolated.

• In which countries and industries do you expect a new influx of investment?

- The automotive sector is certainly the most dynamic. Here Fiat provided a great drive with its investment, so now we have suppliers and other companies that have come here on a wave of interest initiated by the Italians. The information and communication technology (ICT) sector is also very interesting to foreigners and the Serbian government has declared the third strategic goal as the electronics industry.

We traditionally have a strong food & beverage/agricultural sector and many

Serbia has a workforce that everyone praises and it is a mistake to think this relates purely to low labour costs.

One can find cheap workers in Romania, which is an EU country, but not technically literate workers. analyses have indicated that health food and water will be the most sought after products in the future.

• With the exception of Vojvodina, are any other Serbian regions planning to open offices in Brussels?

- We really aren’t informed or responsible for this issue.

Vojvodina is one of two autonomous Serbian provinces and, as such, is at a higher level of decision making and foreign representation.

• What kind of feedback and communication do you have with economic ambassadors?

- SIEPA advisors often have daily or at least weekly communication with these people and there are more and more investment projects that we combine forces to work on. I would characterise that communication as a professional partnership. ■ Serbian Potentials | the Investors Guide |

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aleksandrovac

aleksinac

aranđelovac

Wine haven

Investment Plan

City Celebrated

by Water

Aleksandrovac is the administrative, economic, academic and cultural hub of the municipality

Close to Aleksinac are important transport links, including Corridor 10, rail links and Constantine the Great Airport

The Municipality of Aranđelovac is exceptionally rich in water and minerals

The municipality of Aleksandrovac is located in the Rasina district of central Serbia and the town of Aleksandrovac is the administrative, economic, academic and cultural hub of the municipality. It covers an area of 387km2.

Aleskandrovac’s geographical position and climate are perfectly suited for the cultivation of all varieties of grapes, making wine and tourism the two primary directions of local development.

The municipality has exceptional tourism potential, thanks to the nearby Mt Kopaonik and Vrnjačka Banja (spa town). Moreover, the area is home to many vineyards and Župa’s “vintage” events. The most famous is the Župska berba (Parish vintage) tourist event, which has been held annually for the last 46 years. Župa is dedicated to grape growing and winemaking and wine cellars can be visited. The Tourism Organisation of Aleksandrovac can provide all avail-

Aleksinac is located in southeast Serbia and the municipality covers an area of 707 km2 and is home to 57,749 inhabitants. Its agricultural plains lie in the valley of the South Morava and the lower reaches of the River Moravice. A main gas pipeline runs through the central part of the municipality and gas installations are underway.

The population is predominantly engaged in agriculture, with animal husbandry and vegeta-

Aranđelovac lies on the northeastern foothills of the forested Bukulja Mountain near the source of the River Kubršnica. It covers an area of 375,89km2 and is home to 48,000 residents in 16,573 households.

The modernisation of roads passing through the municipality gives Aranđelovac a transit character and the road transport situation is relatively favourable, with regional M4 road connecting the Ibar national road to highway E75. Aranđelovac is 55km from Kragujevac, 74km from Belgrade and 105km from Belgrade’s Nikola Tesla Airport.

The mineral-rich Venčac and Bukulja mountains represent bases for mining and industrial production of Aranđelovac’s industry. The most significant materials are Venčac’s marble and refractory clay and calcite from the northern slopes of Bukulja.

The kaolin and Vrbać clays that are found in large underground pockets have a special significance. The greatest mass of high quality marble has been discovered on Mount Venčac.

The municipality’s underground water reserves have always received special attention and are ac-

able information on tourist offers.

The basic characteristics of the municipality’s villages, the population structure and urban infrastructure, provide the basis for the further development of the municipality. It also has a local development office for the promotion of economic growth.

As 65.4% of the municipality’s territory is agricultural land (78.8% is actually cultivated land), it is no surprise that agriculture is the main economic activity in the municipality. Vineyards, fruit and vegetable crops and livestock are the most widespread agricultural activities.

ble cultivation as the most developed sub-sectors. A smaller portion of the local population is employed in industry concentrated in the town of Aleksinac and the Aleksinac mine.

Near the town are important transportation routes: an international railway route (running north – south) and international highway. About, 30 km away is the international Airport in Niš.

In the vicinity of Aleksinac there is also the Lake Bovan artificial reservoir, covering an area of 110 hectares and supplying the town and most of the municipality with drinking water. Lake Bovan is ideal for the development of tourism.

Under the auspices of the Exchange programme, which is funded by the European Union and implemented by the Standing Conference of Towns and Municipalities, the municipality has implemented the project “Strategic Plan for the Economic Development Aleksinac”, with the consulting assistance of experts from the Municipality of Šentjur from Slovenia.

cessible via a number of springs that usually emerge through porous geological layers. The most numerous springs are in the higher reaches of the municipality and most of them have been tapped.

The Kubršnica Industrial Zone covers an area of 197 ha and is home to the large industrial facilities of companies Knjaz Miloš, KubršnicaUniverzum, Pobeda, Venčac, Karbon and others.

contact Јugоslаv Stајkоvаc,

contact Ivan Dimić,

contact Snežana Jovčić,

president of the municipality Тrg Оslоbоđеnjа 7; Аlеksаndrоvаc 37230 Теl: 037 552275; Fаx: 037 751297 Еmаil: sоаlеks@ptt.rs; Url: www.аlеksаndrоvаc.cо.rs Foreign languages: English

Address: Knjaza Miloša 169 Place & postcode: Aleksinac18000 Tel: 018 804711; Fax: 018 804107 Email: predsednik@aleksinac.org Url: www.aleksinac.org

Address: Vеnаc Slоbоdе 10 Place & post code: 34300 Аrаnđеlоvаc Tel: 034 711 722; Fax: 034 724 935 Email: s.jovicic@arandjelovac.rs Url: www.arandjelovac.rs

10 | the Investors Guide | Serbian Potentials

Grading ltd • Construction, renovation and reconstruction of residential, commercial and industrial buildings.

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Grading is the owner of real estate suitable for the development of a production/logistics centre in central Serbia.

http://www.grading.rs/eng/

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arilje

babušnica

bajina bašta

Raspberries for Healthy Environment the World

Under Tara’s Slopes

The raspberries grown in Arilje are known worldwide and have protected origin status

Babušnica has numerous brownfield sites and two industrial zones

Bajina Bašta has more than a thousand species of plants, with many endemic species growing alongside the rivers Drina and Tara

The Municipality of Arilje is located in western Serbia and covers an area of 349km2. In terms of transport capacities, the municipality is served by the M21/1 and M21 regional roads. The main BelgradeBar railroad passes through the municipality.

Arilje’s economy is almost completely privatised.

The dominant industries are agriculture and food processing, as well as the textiles, metal processing and timber industries. The raspberries grown in Arilje

The municipality of Babušnica is located in the Pirot district, some 311km from Belgrade.

The climate is temperate continental, with vegetation delayed by 15-20 days in relation to the rest of central Serbia. It covers an area of 529km2 and has a mountainous landscape.

Natural resources in the municipality include water, mineral resources (coal), pastureland and possibilities to produce healthy food, thanks to an ecologically clean environment.

There are no human polluters in the area.

Babušnica has a number of brownfield sites and two industrial zones. The Babušnica Industrial Zone is located beside the road to Leskovac and covers an area of 25.7ha, while the Rašina Bara Industrial Zone runs alongside the M9 national road. Both sites are intended for heavy industry.

The municipality has potential in the textile industry, chemical industry, the manufacture of construction materials (clay products), as well as production of organic food and the overall agri-

Bajina Bašta is located on the River Drina in western Serbia and belongs to the Zlatibor District.

Dominated by the magnificent Mount Tara, Bajina Bašta extends over an area of 673km and is home to nearly 30,000 residents.

This region is a centre of forestry, hydropower and adventure tourism.

The economy of Bajina Bašta is linked to the hydro power station of the same name. In addition to hydro-

are known worldwide and have protected origin status. Over 5,000 small production facilities can produce over 20 million kilos of raspberries and generate substantial annual revenues. The privatisation of the public sector has been completed and the unemployment rate is declining steadily.

According to spatial planning documents, there are two industrial zone. The land for these zones is privately owned, but each zone is adequately equipped in terms of infrastructure.

The procedure for issuing local permits is carried out in three phases. Phase one is approval of spatial planning documentation and conditions. This phase lasts between 15 and 30 days. Phase two is providing a building permit, which can be granted in 15 days or less. The third phase is registering construction work, which takes up to three days.

The first raspberry trade fair, financed by the EU, will be held in late June under the title “Raspberry over the border” (Malinom preko granice). It will bring together a great number of exhibitors, while other events will also be organised.

business sector.

Investors can obtain all necessary permits and documentation with the support of the local administration.

The municipality of Babušnica is located beyond regional road routes and the nearest link to the regional road and corridor 10 is via Pirot, which is 25 km away.

electric plants, metal industries IKL and GP Razvoj, there is also clothing manufacturing and a large number of micro facilities for wood processing. The area surrounding the town of Bajina Bašta is home to orchards and fields used to cultivate fruit and vegetables.

It is estimated that the most profitable invest opportunities in this area are in tourism. The Tara National Park can be directly accessed from the town of Bajina Bašta and covers an area of 19,175 hectares. The national park has more than a thousand species of plants, with many endemic species growing alongside the rivers Drina and Tara. The national park represents a great opportunity and a challenge for the future development of the municipality.

Lake Perućac on the River Drina and Lake Zaovine in the Beli Rzav Valley are both ideal for water sports, while the slopes of Mount Tara are good for winter sports and there is great potential for the development of hunting tourism. There are three tourist accommodation sites in the park: the Kaludjerske bare site has two hotels, at Predov Krst there is a hunting lodge and Mitrovac of Tara has a children’s camp.

contact Zoran Todorović,

contact Saša Stamenković,

contact Zlatan Jovanović,

municipal president, Мilаn Pеtrоvić, coordinator of the Office for Local Economic Development Address: Svеtоg Аhiliја 53; Аrilје 31230 Теl: 031 891255; Fаx: 031 891287; Mob: 064 8497310 Еmаil: аrilје@аrilје.оrg.rs; Url: www.аrilје.оrg.rs

President of the Municipality of Babušnica Address: Ratka Pavlović 1, Babušnica 18330 Tel: 010 385112, 385191 Email: sobabusnica@ptt.rs Foreign languages: English

President of the Municipality of Bајinа Bаštа Address: Dušаna Višića 28, Bајinа Bаštа 31250 Теl: 031 865280, Fаks: 031 865 282 Еmаil: sоbb@nаdlаnu.cоm, Url: www.bајinаbаstа.rs Foreign languages: English

12 | the Investors Guide | Serbian Potentials

Serbian Potentials | the Investors Guide | 13

bela palanka

Two Industrial Zones The Municipality has defined industrial zones beside the highway slip roads for Pan-European Corridor 10 and a spatial zone reserved for wind farms, mini hydro plants and solar power stations.

GORAN MILJKOVIĆ President of the municipality of Bela Palanka

“There are areas intended for the development of eco-ethno tourism”

contact: Goran Miljković

Address: Karađorđeva 28 Place & postcode: Bela Palanka 18310 Tel: 018 855023, 018 855188 Email: sobelapalanka@belapanka.org.rs Url: www.belapalnka.org.rs Foreign languages: English and Russian

14 | the Investors Guide | Serbian Potentials

B

ela Palanka is situated on Pan-European Corridor 10 in southeast Serbia, between Niš and the Bulgarian capital of Sofia. It belongs administratively to the Pirot district. It covers an area of 517 km2 and has direct road links to large regional centres: Belgrade (280km), Sofia (108km), Thessaloniki (450km), Niš (42km) and Pirot (27km).

Relatively close to Niš and Sofia, the municipality is traversed by the international rail route BudapestBelgrade-Sofia-Istanbul and the route of the future international gas pipeline. Its available skilled workforce is well educated.

The Municipality has defined industrial zones beside the highway slip roads for Pan-European Corridor 10 and a spatial zone reserved for wind farms, mini hydro plants and solar power stations.

Technical documentation for a large number of investment projects has been completed and the spatial plan of the units of local government and detailed regulatory plans have been adopted, while the Spatial Plan for the purposes of the Suva Planina (Dry Mountain) Special Nature Reserve is in the final stages.

It has membership of the Euro-region Nišava and the Southeast Serbia Regional Tourism Organisation.

It has a business-like and efficient administration, swift licensing procedures and lower tax breaks and utility fees than surrounding municipalities. The municipality has a flexible approach to dealing with the needs of investors The average salary in the municipality is below the national average. The Municipality of Bela

Local thermal springs represent unexploited resources, while in the agriculture sector land is suitable for growing fruit orchards and medicinal herbs, pasture areas are ideal for livestock breeding Palanka is ranked 165th of 167 municipalities in Serbia in terms of income and has the highest percentage of unused labour and the lowest incomes in Serbia.

The Balvan Industrial Zone is located in the outskirts of Bela Palanka from the direction of Niš, less than two kilometres from the access ramp to the new Corridor 10 route and next to the Niš-Sofia highway and the Corridor 10 railway that connects Western Europe with the Middle East.

Also testifying to the excellent strategic location of this industrial zone is its close proximity to the airports of Niš (40 km) and Sofia (115 km). Passing beside the Balvan zone is the regional water supply route Ljuberađa - Niš, which provides the possibility of connection to water supplies, while Serbian Railways is set to erect a 110 kV transformer station in the centre of the industrial zone that will serve the needs of electrification of the Corridor 10 railway and have enough capacity to meet the needs of the zone. Land is mostly privately-owned and the total planned area of the industrial zone is 14.4 ha, 2.4 ha of which is currently occupied by three companies operating there.

The Murica Industrial Zone is situated next to the Niš-Sofia highway at the very entrance to Bela Palanka from the direction of Niš. It is just 200 metres from the access ramp to the new Corridor 10 route. The total planned area of the zone is eight hectares and the land is currently being repurchased. It is connected to water, electricity and sewage systems. The Municipality is prepared to lease land to potential investors free of charge.

The production hall of the former factory "Vesna" in Crvena Reka is now privately owned.

Currently not beng used for production purposes, the facility is available to potential tenants. It is located on a plot of about two hectares just twenty metres from the Niš-Sofia international highway and 60 km from the border with Bulgaria. The commercial building is currently in the phase of renovation. It has an area of approximately 2,200m2 and is made of solid material, with a renewed steel roof structure. The building has one large hall and a few smaller halls with separate entrances, access ramps for loading, a number of offices, a kitchen and canteen, boiler room, several sanitary facilities, as well as several smaller general purpose rooms.

The building also has an independent supply of very high quality technical water from its own wells. Possible uses: offices, manufacturing, warehouse space, service area for vehicles and parking, shopping centre, department store, opened and closed markets etc. There is a possibility to transform this facility into a duty free zone, hotel or health resort, showroom and exhibition space. The Municipality of Bela Palanka is characterised by a flexible approach to the needs of investors and the swift provision of essential information. Construction land development fees are reduced to just 300RSD per square-metre for the first zone, 220RSd for the second zone and 100RSD/m2 for the third zone.

Potential investors can receive all necessary permits and documentation required to launch operations in just 10 days.

Significant investors operating in the municipality are: Conal Group - Kladovo and POWERGEN - Belgrade, in the mini-hydro plant construction sector, and ENEOLIKA ENERGY-Novi Sad in the wind farm construction sector, as well as Grubin - Anatomical footwear from Stara Pazova.

Passing through the territory of the municipality is branch "C" of Corridor 10 – national 'A' road Niš-Sofia – for a distance of 32 kilometres.

This is the main transport artery connecting central and western Europe to the Middle East. The

entire territory of the municipality is covered by WiFi and ADSL internet networks.

The municipality of Bela Palanka offers exceptional benefits for the development of distribution networks, because the central part of the municipality is traversed by the transmission pipeline 110kVTS110/10kV "Niš 5 – Niška Banja" - TS110/35kV "Pirot2", which enables high-quality technical solutions and provides a rational choice of location for the construction of 110/35/10kV substations and connection to the specified transmission line. Serbia's only rail link with the Republic of Bulgaria also passes

power plants, wind farms, solar power stations and the Suva Planina eco-ethno tourism complex.

Local thermal springs represent unexploited resources, while in the agriculture sector land is suitable for growing fruit orchards and medicinal herbs, pasture areas are ideal for sheep, cattle and goats, while the unpolluted environment is suitable for organic production.

When it come to the tourism sector, there are two protected areas suitable for eco-ethno tourism, adrenaline sports, hiking, climbing, paragliding, mountain biking (Special Nature Reserve

The Municipality of Bela Palanka is characterised by a flexible approach to the needs of investors and the swift provision of essential information through the municipality of Bela Palanka and is part of a large international rail freight and passenger route.

The connectivity of local roads in the municipality is relatively good, while regional and national roads are excellent.

The Municipality of Bela Palanka has no business parks.

Investments launched in the municipality include construction of a cement plant, mini hydro

Suva Planina, Nature Park Sićevac Gorge). The municipality's land is classified as an area of very high quality natural environment. The cultural and historical heritage of Bela Palanka is represented by settlements that are 2300 years old.

The Divljana and Vrelo complexes are partly arranged.

There is a need for additional accommodation capacities (a detailed regulatory plan for a hotel complex in Vrelo has been defined). ■ Serbian Potentials | the Investors Guide | 15

beograd

Strategically important position Today Belgrade is a large industrial, commercial, tourist, cultural, educational and political hub and an important customer market of 1.7 million

dragan đilas President of the municipality of Beograd

“One of Europe’s most enjoyable places to meet and do business”

contact: Dragoslava Jovanovića 2 11000 Beograd Tel: 011/ 3229 678 Fax: 011/ 3231 092 Website: www.beograd.rs

16 | the Investors Guide | Serbian Potentials

and industrial engineering: machine tools, equipThe real potential of Belgrade lies in its educated ment and tools, industrial computer systems, robotpopulation, who are ready to accept and implement ics and industrial engineering; electronics and telenew technologies and are more open to learning communications: computer technology, microelecnew languages than in any other country in the retronics and telecommunications technology; agrigion. Belgrade is a friendly and dynamic place to live cultural machinery and transportation: combine harand spend quality leisure time, with a wide range of vesters, tractors, agricultural equipment, buses, regucultural events, many sports and recreational cenlar and diesel engines and equipment; shipbuilding: tres, a well-established range of places to eat and designing and construction of all types of vessels stay, as well as an attractive nightlife scene. for all purposes, with a load capacity of up to 7,000 Belgrade is investing significant resources in intonnes; pharmaceutical and the chemicals indusfrastructure and the development of construction try: production of medicines, pharmaceutical prodland, resulting in the availability of a substantial ucts and industrial preparations, processing of plasamount of building land for all purposes. tic substances, naphtha After a period of and rubber derivatives, isolation, Belgrade has production of cosmetquickly regained its repics and detergents; the utation among intertextile industry: producnational business peotion of textiles and knitple as one of Europe’s wear, modern high qualimost enjoyable places to ty clothing design based meet and do business. on natural wool, cotThe position of the ton and synthetic fibres; Serbian capital is straBelgrade has quickly regained its manufacture of footwear tegically important, reputation among international and accessories: highwith the city located at business people as one of Europe’s quality fashion footwear, the crossroads of major European road and most enjoyable places to meet and sports shoes and accesdo business sories made of natural rail routes connectleather and other materiing Europe with Asia. als; printing, publishing and paper industry: printing Situated on the confluence of the rivers Sava and of books, magazines and newspapers, production of Danube, it is also easily accessible by river, while the paper, cardboard and paper accessories; cinematogcompletion of construction of an international cargo raphy: production and distribution of films. terminal will make Belgrade’s Nikola Tesla Airport a cargo hub of Southeast Europe.

Urban Municipalities An urban municipality is part of the territory of Industry and mining the City of Belgrade where certain operations of loIndustry is the most important element of cal self-government, as defined by the City Charter, Belgrade’s economy and has the largest share in toare conducted. Belgrade’s urban municipalities are tal social product (26.4%). Solid foundations for the conditionally divided (in relation to their geographic long-term development of industry have been esposition and powers) into 17: Čukarica, Novi Beograd, tablished in Belgrade within the framework of existPalilula, Rakovica, Savski venac, Stari grad, Voždovac, ing complexes: Energy supply and processing equipVračar, Zemun, Zvezdara, Barajevo, Grocka, Lazarevac, ment, equipment for power plants, mining, food and Mladenovac, Obrenovac, Sopot and Surčin. ■ processing industry; the machine building industry

batičona

BLACE

bogatić

Rich industrial past

The Glory of the Plum

Ever More Greenhouses

Numerous benefits for investors, starting with almost complete exemptions from administrative fees

Blace is proud of its private enterprises and local business folk, who maintain high quality and high quantity operations

Bogatić is a small town and municipality in Serbia’s Mačva district

Batočina municipality is located in the Šumadija Region. It covers 136 km2 and is home to 12,700 inhabitants. Situated halfway along the Belgrade- Niš Corridor 10 highway, it is only 25 km from Kragujevac.

The municipality has a rich industrial past, linked to the former industrial giant Zastava.

Even today there are a number of larger companies, including Grah Automotive – a motor vehicle components manufacturer with over 350 employees, and Straževica quarry – with over 60 employees, then

The Municipality of Blace covers an area of 306km on the eastern slopes of Mount Kopaonik and the southern foothills of Mount Jastrebac.

Despite being on the margins of the country’s main transport corridors, Blace lies at the centre of local and regional road networks and, therefore, offers good transit routes.

The primary economic activity in this area is agriculture and Blaca is renowned for the production and processing of agricultural products.

Blace has a skilled workforce, a good local road network (each village is connected to the centre of the municipality by asphalt roads), good links with large consumer centres, more than 6,500 hectares of orchards, including 5,000 hectares of plums, 700 ha of cherries, 500 ha of apples and pears, rich in a number of old apple and pear varieties, and 100 hectares of forest berry fruits.

Industrial production is not developed here.

Blace is proud of its private enterprises and local business folk, who maintain high quality and high quantity operations. The entrepreneurial spirit of business operators from Blace, cou-

Bogatić is a small town and municipality located in the Mačva district of Serbia. The town is home to about 7,500 residents, while the municipality has around 33,000 inhabitants. The municipality of Bogatić covers an area of 384km2.

Here agricultural production, animal husbandry and vegetable cultivation are developed.

Tourism is developing more and more, especially rural tourism, so it is the expected that Bogatić will become a tourist centre in this part of Serbia.

Polipak ltd. (production and processing of PVC materials), Aluroll (production and retail of aluminium products), Minela (soft drinks producer) and Brzan Plast (plastics processing), which employ between 50 and 150 workers each.

The Municipality boasts the Brzan Industrial Zone, which covers an area of 17 ha and is set to be fully equipped by the end of 2012. Located beside the Belgrade-Niš highway and the Belgrade-Niš rail line, it also has direct access to the regional road R214 Batočina-Jagodina. Batočina municipality is located on pan-European Corridor 10 and is also traversed by the M.1.11 regional road, which quickly merges with the Kragujevac-Batočina national road.

The Lapovo-Kraljevo rail line also passes through the municipality and is serviced by a passenger station and freight transport terminal.

Future investors can expect many benefits from the Municipality of Batočina, such as exemptions from 50% to 100% of administrative fees and swift issuance of necessary documents within 24 hours of application.

pled with a good environment for doing business, help to secure a solid basis for successful future operations.

The Municipality of Blace is aiming to become one of the few municipalities in Serbia to have no social enterprises, but rather a developing private sector with local state-owned enterprises.

A large number of companies have announced their inclusion in the construction of tourist and recreational complexes for relaxation and recreation, taking advantage of the geothermal potential of the area. In addition to this, the construction of greenhouses is widespread here because it increases the production quality of vegetables.

Bogatić’s greenhouses cover an area of 20 ha.

The municipality has an industrial zone in the Dublje area. The land here is owned by the state, while the municipality has usage rights.

Zone has a so-called workspace, which comprises a demonstration centre for the exploitation of geo-thermal water. All research relating to the use of geothermal energy for commercial purposes can be carried out here.

The Municipality offers construction land at extremely low prices and low rates of tax for locations that have complete utility infrastructure. Bearing in mind that the regulations on urban planning are all regulated in detail, any interested investor can obtain a building permit within the legally specified deadlines.

contact Aleksandra Ivić,

contact Radoje Krstović,

contact Slobodan Savić ,

Director of municipal funds, Dragiša Đuričković, Head of municipal administration Place & post code: Batočina 34227, Tel: 034/ 6842-118, Fax: 034/ 6842-314, Email: opstinabatocina@gmail.com, Url: www.sobatocina.org.rs

Mayor, Jovica Ćurčić, Deputy Mayor Address: Kаrаđоrđеvа 4 , Blаcе 18420 Теl: 027 371110, Fаx: 027 371138 Еmаil: blаcе@blаcе.оrg.rs, Url: www.blаcе.оrg.rs Foreign languages: English

Address: М. Vitоmirоvićа 1, Bоgаtić 15350 Теl: 015 786126, Fаx: 015 786174 Еmаil: оpstinаbоgаtic@nаdlаnu.cоm Url: www.bоgаtic.rs Foreign languages: English Serbian Potentials | the Investors Guide | 17

bojnik

boljevac

bor

A Healthy Environment

Permit in 100 Days

City of copper & gold

The Municipality of Bojnik is located in south-east Serbia’s Jablanički County

Investors can take advantage of resources like forests, water, agriculture, minerals and tourism

A diverse local economy comprises more than 480 companies and about 850 micro-enterprises

The Municipality of Bojnik is located in southeast Serbia’s Jablanički County. It covers an area of 264 square kilometres and has close to 15,000 inhabitants. The Bojnik municipality is surrounded by the municipality of Medveđa in the south-west, the municipality of Lebane in the south, the municipality of Leskovac in the east, and the municipalities of Žitorađa and Prokuplje in the north. Bojnik is 45 kilometres from Niš, and is linked to the E-75 (Corridor 10) international motorway.

The advantages offered by the Municipality of Bojnik include fertile arable land, water resources, and a preserved and natural potential suitable for the development of tourism and a healthy environment. When it comes to industrial branches, there are two cold storage plants and there is also the production of construction materials.

Bojnik has an industrial zone that is partially equipped with infrastructure. As Bojnik is considered one of the 24 most underdeveloped municipalities, potential investors are entitled to apply for loans from the Ministry of the Economy and Regional Development under very favourable con-

The Municipality of Boljevac is located in eastern Serbia and covers an area of 827 km2.

Here the Paraćin-Zaječar M5 national road connects the Crni Timok Valley to the Belgrade-Niš highway.

Local natural resources include forests, water resources, agricultural land, mineral resources and conditions for the development of tourism and eco tourism.

The Town and Municipality of Bor consists of a central urban settlement and 12 surrounding villages, with a total population of 55,817 and a total area of 856km2.

A diverse local economy consists of 482 companies and about 850 micro-enterprises, which mainly cover activities like trade, processing and services. The economic structure of Bor is such that numerous industries are represented, from manufacturing (27%) and trade (25%), followed by agriculture (14%), transport and communications (14%) and other activities (20%).

Regardless of the seeming diversity, the dominant sectors in Bor are mining and the production of metals, primarily copper, but also gold and silver. The RTB Bor mining basin contributions greatly to total GDP and employs nearly 25 percent of the municipality’s active workforce.

The Municipality of Bor conducts intensive measures aimed at creating conditions for the development of industry and business, such as establishing industrial zones and creating favourable conditions for development of SMEs, the organising and associating of individual agricultural producers and

ditions.

The industrial branches that are most suitable for investments are food processing, the exploitation of raw materials, tourist capacities, and water resources. The most important investors in the municipality are the cold storage plants in Bojnik, SBB Produkt – Beograd and cold storage plants Jugovoće in Donji Konjuvac.

The most significant waterway is the river Crni Timok.

The Mirovo Industrial Zone is located four kilometres from Boljevac village along the ParaćinZaječar M5 national road. Company BTR -EXP ltd.

– Boljevac is already based at this zone and is engaged in the production of industrial charcoal.

The deadline for obtaining necessary permits ranges from 50 to 100 days, provided investors have properly prepared and submitted all relevant project documentation.

The most important investors in Boljevac are: Millennium Group ltd. – Belgrade Euroaqua ltd. – Belgrade, drinking water factory East Point ltd. – Belgrade, pellet factory BTR–EXP ltd. – Belgrade Unimer – Boljevac, production of ornamental stone, dolomite etc.

New investors include: Tersa Balkan ltd. (bio energy) Eksplozivi Rudex ltd.

identifying natural resources and cultural and historical sites, as well as better organising capacities for tourist accommodation.

Bor is now among the most developed local economies, because the dominant industry is within the structure of the municipality and infrastructure is highly developed, as are other factors relevant to the future development of Bor.

contact Ivan Stojanović,

contact Zorica Maslovarić,

contact Danijela Jovanović,

President of the Municipality Trg Slobode 1, 16205 Bojnik Tel: +381-16-821-214, extension 115, Fax: +381-16-821-174 Email: predsednik@bojnik.rs Language spoken: English

deputy municipal president Tel/Fax: 030 463 412 Email: kabinet@opstinaboljevac.rs Url: www.boljevac.org.rs Language spoken: English

Address: Моšе Piјаdе 3, Bоr 19210 Теl: 030 423980, Fаx: 030 427310 Еmаil: sоbоr@оpstinаbоr.rs Url: www.оpstinаbоr.rs, Foreign languages: English

18 | the Investors Guide | Serbian Potentials

Serbian Potentials | the Investors Guide | 19

bosilegrad

brus

bujanovac

EU Border

Focus on Tourism

Great Business Environment

Bosilegrad is located in the far southeast of Serbia, some 400 km from Belgrade and just 132km from Sofija.

With the Kopaonik Mountain resort covering 70% of the municipality’s territory

The city is also located close to three international airports

The municipality is linked to neighbouring regions through the Bosilegrad-Vlasina regional road to Vladičin Han, which is located about 70 kilometres away. There is also a railway line and the Ribarci border crossing (Bulgaria) is located just 10 kilometres from the town of Bosilegrad. Municipal authorities are working to renovate the Kriva Palanka border crossing with Macedonia. The municipality has a population of

Brus is a town and municipality located in the Rasina District. It covers an area of 606 square kilometres. Belgrade is 234 kilometres away.

The area’s main economic branches are tourism and agriculture, with the Kopaonik Mountain resort covering 70% of the municipality’s territory. Well-developed facilities for tourists are located at the Kopaonik ski resort, including an information centre in the resort village. Kopaonik lies near the main transportation routes in Serbia. The closest airport is in Nis. The municipality boasts the Jug (south) industrial zone, which houses six factories employing close to 1,500 workers. The zone has adequate infrastructure and utility facilities.

The Municipality of Brus offers potential investors all the available capacities for obtaining relevant documentation. Also, dependant on how big an investment is the municipality will also accommodate investors by offering favourable payment conditions, such as payments in instalments.

The municipal authorities are keen to assist potential investors obtain the required permits

The city of Bujanovac is located in the centre of traffic routes, next to a main road and railroad line, and part of international Corridor E10. The city is also located close to three international airports.

The border crossing with Macedonia, Cukarka, is 23 km from the city. The territory of Bujanovac municipality occupies an area of 461 square kilometres.

This part of the country is blessed by natural beauty, mineral treasures and tourist attractions.

10,000, most of whom reside in the city.

In terms of natural resources, the municipality has significant mineral deposits and 28% of Bosilegrad’s territory is made up of forests.

There are also several potential tourist sites, including Lake Lisin, several village communities, ethno centres, health, spa, hunting and fishing locations.

The Municipality is currently in a position to offer potential investors land plots at the Rasadnik residential/commercial zone, which covers over 6,640 square metres and is owned by the municipality. This area has adequate infrastructure.

There is also a facility for drying fruits and vegetables, which was part of pharmaceutical company Zdravlje from Leskovac and is now owned by the Municipality. There are also facilities including a former sock factory and electronic industry facilities.

All of these facilities are adequately equipped in terms of infrastructure.

in the most efficient manner and the shortest possible time.

Belgian company Vision Europe is the leading investor in Brus, with an investment worth €150 million. There are also companies like Leemans Marie Jean, which owns two hotels in Brzeć, and Greek company Otway, which is also based in Brzeć.

In the territory of Bujanovac municipality, under the protection of the state, is the natural resource of great importance ‘Dolina Pcinje’ (Pcinje Valley), which is under the second category of protection.

Bujanovac municipality is rich with mineral and thermal springs of the sodium bicarbonate type. The thermal waters in Bujanovac are an important incentive for the development of spa tourism.

One industrial and one production business zone exist in the Bujanovac municipality. The industrial zone occupies an area of 60 hectares. The production business zone occupies an area of 72 hectares and has electrical power..

The reduction of the amount invested in infrastructure is prescribed, if the investor uses their funds to carry out construction work in connection with community infrastructure. On June 8th, 2010, Bujanovac municipality became one of the certified municipalities of the National Alliance for Local Economic Development, as a municipality with a favourable business environment.

contact Živkо Stоilkоv,

contact Zoran Obradović,

contact Fazila Azemović,

independent expert associate for urbanisation Address: Georgi Dimitrova 82, Bоsilеgrаd 17540 Теl: 017 877006, Fаx: 017 877167, Моb: 063 461945 Еmаil: z.stоilkоv@gmаil.cоm Url: www.bоsilеgrаd.rs

President of the Municipality Kralja Petra I/120, 37220 Brus Tel: +381-37-826-840, Fax: +381-37-826-966 Email: predopstinebrus@nadlanu.com Languages spoken: English

Manager of the Office for Local Economic Development Karađorđa Petrovića 115, 17520 Bujanovac Tel: +381-17-654-517, Fax: +381-17-654-517 Email: kler-bujanovac@hotmail.com

20 | the Investors Guide | Serbian Potentials

crna trava

ČaČAK

ČAJETINA

Unspoilt Nature

Tax Breaks for Job Creators

Favourable Position

Crna Trava has two primary resources: people and unspoilt nature

The City of Čačak is in central Serbia’s Moravica District and is home to 114,809 inhabitants

Čajetina’s main economic branches are tourism, agriculture, textiles, metal and wood processing

Crna Trava is a village and municipality located in the Jablanica District of Serbia. The Municipality of Crna Trava occupies an area of 312 square kilometres and comprises 25 settlements with a total population of 2569 inhabitants. A sufferer of mass outward migration, just 20 years ago the municipality had a population of 20,000.

Crna Trava borders the municipalities of Vlasotince to the north/north-west, Leskovac to the west, Surdulica to the south/south-east and Babušnica to the north-east. Crna Trava is one of the poorest municipalities in Serbia. There is almost no business or company operating successfully here, which ensures that outward migration is still an issue.

The most famous company originating from the municipality is construction company Crnotravac, which now has its head office in Belgrade and not Crna Trava.

Despite the assistance Crna Trava has been afforded by the international community and the government of Serbia, it has been insufficient to raise the municipality to the level of the developed mu-

The City’s advantages include a good location, a developed infrastructure and SME sector and adopted strategic and planning documents. Čačak les at the crossroads of important transport routes. Towards Belgrade, Pristina and Skopje is the M22 Ibar highway, towards Sarajevo and Podgorica is the M5 national road, and there is also the Bar and Niš-Čačak–Požega railway line, which is part of the Belgrade – Bar

The municipality of Čajetina is situated in south-western Serbia and covers an area of 647 square kilometres. The municipality has a favourable geographical position and is traversed by regional roads leading to Montenegro and BiH. Čajetina’s main economic branches are tourism, agriculture, textiles, metal and wood processing. Mount Zlatibor represents the tourism centre of the municipality. There is an open air museum called Staro Selo (Old Village) in Sirogojno, a waterfall in Gostilje, monasteries in Uvac and Dubrava, a gallery on the Borova Glava and in Trnava, the Tornik ski centre and the Obudovica ski slope. Agricultural land makes up some 56% of the municipality’s territory. The most developed agricultural branches are cattle breeding and fruit cultivation.

The most profitable area for investment is in tourism, including the building of tourist capacities and the development of recreational activities, as well as in the processing industry, primarily meat and dairy production, which both have a long tradition in this area. Potential investors are

nicipalities of Serbia.

Crna Trava has two primary resources: people and unspoilt nature. Over the years, the municipality has lost the people, but the natural resources remain and have flourished. The area’s acidic but fertile soil, at an altitude of 1,380 metres above sea level, was identified as an optimum area for the cultivation of blueberries.

line. The Lađevci Airport is 35 km from Čačak. Čačak has developed institutional support for investors (the City Administration for Local Economic Development, Faculty of Technical Engineering, Faculty of Agriculture, Institute for Fruit Growing, Chamber of Commerce, local business associations, the Information Centre for SMEs, as well as banks and insurance companies).

The City of Čačak also offers investors incentives from the city budget intended to promote employment and benefits in the form of reductions in construction land development fees.

Industries present n Čačak include metal processing, productions of chemicals and food, textiles, cellulose processing and the defence industry. The agriculture, trade and services sectors are also well developed.

Information on locations available for investments can be found through the database of the city’s official website: www.cacak.org.rs/ Industrijske_zone-46-1.

offered incentives, such as reduced utility taxes and the expedited issuing of relevant permits.

The municipality is ready to assist investors in every way possible to secure the best conditions for the implementation of an investment, depending on the complexity of an investment and business activity, as well as the investor’s willingness to implement the project as soon as possible.

contact Slavoljub Blagojević,

contact Vlajisav Papić,

contact Milan Stamatović,

President of the Municipality, Vatroslav Slavković, Assistant of the Municipality President, 16215 Crna Trava, Languages spoken:English Tel: +381 (0) 16 811 118; 811 182 ,Fax: +381 (0) 16 811 118 Email: officeledctrava@neobee.net

Address: Župana Stracimira 2, Čačak 32000 Tel: 032 309 019, Fax: 032 343 701 Mob: 064 825 5730 Email: socacak@eunet.rs , Url: www.cacak.org.rs Foreign languages: English

President of the Municipality 28, Zlatiborska, 31310 Čajetina Tel: +381-31-831-367, Fax: +381-31-831- 447 E-mail: cajetina@gmail.com, Website: www.cajetina.org.rs Languages spoken: English Serbian Potentials | the Investors Guide | 21

ĆiĆEVAC

ĆUPRIJA

DESPOTOVAC

Effective management

Two Industrial Zones

Underground Investment

The Municipality of Ćićevac is no longer among the most undeveloped municipalities

The potential for tourism is untapped

Beljanica mountain, the only limestone mountain in eastern Serbia

Ćićevac is a town and municipality in the Rasina District of central Serbia at the confluence of the South and West Morava rivers. Surrounded by mountains, it is situated on two important transportation corridors: the Belgrade-Niš rail route and the Belgrade- Niš Corridor 10 highway both run through the municipality. The Pojate-Kruševac regional road also passes through the city of Ćićevac.

Ćuprija is located at the very heart of the Pomoravlje region and is 150 kilometres from Belgrade. The municipality covers an area of 287 square kilometres and has close to 40,000 inhabitants in 17 towns and villages. Ćuprija is located near to Corridor 10 motorway, which links the municipality to Austria, Hungary, Greece and Bulgaria. The international railway lines of Budapest – Thessaloniki and Budapest - Sofia traverse the municipality..

The dominant economic components of the municipality include wholesale and retail, the processing industry, transport, storage, communication and real estate.

There is also significant forestry potential.

Total arable land in the municipality covers an area of 29,000 hectares which is mainly used for agricultural production, while the remainder is covered in orchards and vineyards. The potential for tourism is untapped; however there are a number of traditional cultural and sporting events.

The Municipality of Ćuprija has two industri-

The municipality of Despotovac is located in the Pomoravlje district. Despotovac and covers an area of 623 square kilometres, and is well connected to neighbouring municipalities and is also in the vicinity of pan-European Transport Corridor 10.

The town of Despotovac is around 130 kilometres from Belgrade and 140 kilometres from Niš. There is also the Markovac-Svilajnac-Despotovac-Resavica railway line, which is 42 kilometres long.

The dominant industrial branched are wood processing, production of construction materials, retail, hospitality, agriculture and transport.

From this year the municipality of Ćićevac is longer among the group of the 40 most underdeveloped municipalities in Serbia. In addition to its proximity to the highway, rail line and waterways, the privatization of two collectives in Stalać also contributed to this.

The Pojate Industrial Zone (location 1) occupies an area of 2.18 hectares next to the panEuropean Corridor 10. Location 2 extends over 27 hectares and is also located near highway E75, the M5 regional road and the future of E761 highway.

The industrial zone s sufficiently equipped in terms of infrastructure.

The municipality will award plot of construction land free of charge, provided certain conditions are met. Permits are issued within three days of submission of all relevant documentation.

al zones (1 and 2), though both currently lack adequate infrastructure. Industrial Zone 1 stretches across 80 hectares. It is in close proximity to the E-75 motorway. Industrial Zone 2 covers 165 hectares.

The municipal authorities have adopted a detailed regulation plan for the Dobričevo Batinac industrial zone.

The territory of the municipality of Despotovac is ideal for agricultural production, which is the dominant economic branch here alongside mining and forestry. The exceptional geo-morphological composition of the land, coupled with a favourable climate, provides a solid basis for the further development of agriculture and the municipality’s numerous settlements.

The municipality recommends that investors consider the following branches: mining, forestry, agriculture and tourism. Beljanica mountain, the only limestone mountain in eastern Serbia, boasts an attractive landscape and hydrology potential, highlands with possible ski resort locations, as well as many waterfalls.

The touristic destination of Resavska Cave offers insight into the underground world and depicts a history of prehistoric human settlements in this part of Europe. Two kilometres northwest of Despotovac lies the Manasija Monastery.

It takes up to 30 days for the municipal authorities to issue an investor with all the required permits and documentation.

contact Drаgаnа Rаdоsаvlјеvić,

contact Borivoje Kalaba,

contact Danilo Nikolić,

Head of the cabinet of the municipal president Address: Kаrаđоrđеvа 106, Ćićеvаc 37210 Теl: 037 811260, 811421, Fаx: 037 811260 Еmаil: kаbinеtcicеvаc@gmаil.cоm Foreign languages: Engllish

President of the Municipality Tel: +381-35-8470-248, ext. 102, Mob: +381-63-600-095 Address: 13.oktobra 7, 35230 Ćuprija Email: info@cuprija.rs, Website: www.cuprija.rs Languages: Serbian, English, French, German, Italian & Russian

Assistant to the Municipal President for Economic Development Milosava Zdravkovića resavca 4 Tel: +381-35-611-117, Fax: +381-35-613-606 Email: danilon@ptt.rs, Language spoken: English

22 | the Investors Guide | Serbian Potentials

Serbian Potentials | the Investors Guide | 23

DIMITROVGRAD

doljevac

golubac

Tourism Brings Development

Attractive Incentives

Potential River Tourism

Tourism is an opportunity for development, thanks to the Stara Planina Nature Park

Alongside agriculture as the leading industry, industry, crafts and trade are also represented

Golubac is located in the area where the Danube is the widest

Tourism is an opportunity for development, thanks to the Stara Planina Nature Park. The municipality of Dimitrovgrad is located on the border with Bulgaria. It covers an area of 481 km and has 11,748 inhabitants.

Pan-European Corridor10 (E80 highway and E70 railway) passes through the municipality.

Construction of the ski centre under the Babin Zub (Granny’s Tooth) peak will drive the development of the whole municipality, particularly food production, especially organic, because the soil, water and air completely clean.

Support for the development of livestock is offered through improved genetic potential of dairy cows and sheep, with this region renowned for its dairy products.

The nearby lakes Savat 1 and Savat 2 in the Zabrdje karst valley are rich in carp and other fish. The lakes are ideal for competitive and recreational sailing and are surrounded by trails for cycling, horse riding and walking. The Municipality offers multi-year leases of 200 ha of arable land and offers investors the Gradina Logistics Centre of 36.37 ha. It is located on the border with Bulgaria along Pan-European Corridor10 (E80 highway and E70 railway), which is available for heavy

Doljevac is a municipality in the Nišava of District of central Serbia that includes part of the fertile South Morava Valley. Passing through this interesting environment are the South Morava, railroads and other transport routes. Doljevac and its surroundings have a very favourable position geographically and in terms of transport.

A favourable position in terms of transport influenced the fact that this area has a significant number

The town and municipality of Golubac are located in eastern Serbia on the right bank of the River Danube. It covers an area of 368 square kilometres.

Golubac is 130 kilometres from Belgrade via the M25.1 regional road (Belgrade-Kladovo), which is the most important transport route in the municipality (the so-called Đerdapska highway). The River Danube is the main waterway in the area and the great river is at its widest in the Golubac region (five to six kilometres from bank to bank).

Golubac is located in the area where the Danube is the widest. In order for river tourism to develop further here, river banks and harbours require development. Plans are in place to construct a marina in Golubac that will be in line with relevant European standards.

Here one will find the largest national park in Serbia.

Agriculture and the processing industry represent the dominant economic branches in Golubac.

The municipality has assigned a site near the M.25.1 regional road to be used as an industrial

road and rail freight. Location permits are granted in 15 days and construction permits in eight days.

The Beleš Industrial Zone covers 5.95 ha beside the regional road on an area available for heavy goods vehicles.

The local infrastructure is well developed and the town is traversed by a branch of Corridor 10 consists of an international road and railway.

of warehouses, purchasing stations, storage facilities, business units and trading companies, and why there is great interest in new investments in this sector.

The Doljevac Municipality’s Regional Plan for 2007 to 2021 envisages three zones: an industrial zone in Pukovac (100 ha), the Doljevac Loop commercial business zone (20 ha) and an industrial zone in Belotintsi (40 ha).

The Municipality also offers lower prices for public utilities and infrastructure development, exemptions of up to 10 years on payments of local fees, leases of state-owned land free of charge or under reduced rates and mediation in obtaining land from private owners. Conditions are good for development of the building materials industry, timber, chemicals, food processng and tourism (excursions, transit, hunting and fishing, cultural manifestations and rural).

The Municipality has no business parks.

Permits under the responsibility of the Municipality are granted within five days, while carrying out project/ technical documentation, acquiring all other approvals and obtaining our licenses takes around six months.

zone. Water, electricity and sewage systems are all nearby, while a fibre optic cable is currently being laid. The local authorities recommend stone, wood, fruit and vegetable processing as the branches of most appeal to investors.

The municipality offers reduced land development and land utilisation fees, while the deadline for issuing relevant permits is two to three days.

contact Dejan Milev,

contact Jovica Pešić,

contact Dr Nebojša Mijović,

Address: Balkanska 2, Dimitrovgrad, 18320 Tel: 010 361 100, Fax: 010 361 100 Email: predsednik@dimitrovgrad.rs Url: www.dimitrovgrad.rs Foreign languages: English, Bulgarian

Address: Nikole Tesle 121,Doljevac 18410 Tel: 018 810054, Fax: 018 810055) Email: opstina@opstinsdoljevac.rs, jocapesic@gmail.com Url: www.opstinadoljevac.rs Foreign languages: English

Municipal President Cara Lazara 15, 12223 Golubac Tel: +381(0)64/85-89-323, Fax: +381(0)12/678-426 Email: office@golubac.org.rs, Website: www.golubac.rs Languages: Serbian, English, Russian and Romanian

24 | the Investors Guide | Serbian Potentials

Calcite Mining

gadžin han

Significant mineral reserves exist here and the most important sites are the calcite mine at Ćelije and the bentonite mines at the Ličje and Ravna Dubrava sites land development fees.

The municipality of Gadžin Han belongs to the Local charges are paid at once or in instalNišava District and borders the municipalities of ments over a 24-month period. In the case of a Bela Palanka, Babušnica, Vlasotince, Leskovac and one-time payment carried out within 15 days of Doljevac, as well as the city of Niš. It comprises the date of signing the contract, the investor will 34 settlements and covers an area of 325.5 km2. be entitled to a reduction in fees.

Part of the municipality borders the River South Required local permits and documentation for Morava, while the rest is surrounded by the mounlaunching operations are issued within legal deadtains of Seličevica, Babička Gora and Suva Plunina. lines.

Gadžin Han is served by Pan-European The territory of Gadžin Han extends between Corridor 10 highway E75 (Niš-Skopje). The climattwo corridors: Corridor 10 (Ljubljana-Zagrebic characteristics of the municipality provide an Belgrade- Niš-Leskovac-Skopje-Thessaloniki) and advantage for cultivating vineyards or producing Corridor 10c (Niš-Dimitrovgrad-Gradina-Sofia). It seeds, tobacco and forest fruits. The most imporis also traversed by national ‘B’ roads Niš-Gadžin tant mineral reserves are extracted from the calHan-Banjinca and Gadžin Han-Brestovac. cite mine at Ćelije, with established reserves of 1.6 Local roads cover a total length of about 82km. million tonnes or 36 years’ worth of exploitation, It is planned for the municiand the bentonite mines at the pal road network to allow diLičje and Ravna Dubrava sites, rect interconnection between with confirmed reserves for 30 all settlements, with regionyears of exploitation. al routes and the centre of The territory of Gadžin Gadžin Han municipality.

Han municipality provides exThe municipality is supceptional benefits for the conplied with water from local struction of mini hydro plants, sources, primarily the existwind farms and solar parks. ing Vrelo spring in the village In accordance with the of Gornji Dušnik and potenSpatial Plan of the Republic tial springs above the village of Serbia, the Municipality of of Veliki Krčimir, through the Gadžin Han is defined as a The territory of Gadžin unique Zaplanjski water supsmall industrial centre (with ply system. fewer than 1,000 employees Han extends between An electrical power system in industry). Locations availatwo corridors: Corridor 10 has been developed and proble for possible investments on (Ljubljana-Zagreb-Belgrade- vides high-quality and cost-efthe territory of the municipality Niš-Leskovac-Skopjefective electricity. The municiare as follows: The municipality does Thessaloniki) and Corridor pality is crossed by two pipelines owned by electricity pronot have business parks, but 10c (Niš-Dimitrovgradvider Elektromreže Srbije. brownfield sites, equipped Gradina-Sofia).

ADSL connections are in terms of infrastructure, are present, while there are plans to upgrade the comavailable in the form of disused capacities within munications network (optical cables) to national existing enterprises, Industrial Complex MIN AGH connections and the telecommunications network Gadžin Han. at the regional level, linking all levels of switching.

Conditions are appropriate for the developThe Municipality of Gadžin Han plans to comment of the machine, textile, electrical, mechaniplete connection to the regional solid waste mancal and agriculture/food industries. Agriculture is agement system and is directed within the Niš addeveloping in rural areas. ministrative district, while the leader of the action Investors constructing commercial/production is the City of Nis. ■ facilities are eligible for reductions in construction

Sаšа Đоrđеvić President the of Municipality of Gadžin Han

“The municipality is supplied with water from local sources, primarily the existing Vrelo spring”

contact: Sаšа Đоrđеvić

President of the Municipality of Gаdžin Hаn Address: Мilоšа Оbilićа b.b.

Place & postcode: Gаdžin Hаn 18240 Теl: 018 860112, Fаx: 018 861100 Моb: 063 406775 Email: sasa.djordjevic@gadzinhan.rs Url: www.gadzinhan.rs Foreign languages: English Serbian Potentials | the Investors Guide | 25

gornji milanovac

ivanjica

jagodina

Export Leader

Five Day Building Town Permit of the Future

Gornji Milanovac is a significant location on the map of Serbia in terms of cultural history and economics.

The most important foreign trade partners of the municipality are Spain, Syria and Italy

Since 2004 Jagodina has become one of the leading Serbian towns

Thanks to a favorable geographic location and preplanned development from a small town into a modern municipality, Gornji Milanovac has exceptional economic potential.

It spreads over 836km2 and has a population of 44,438. The average gross monthly salary in the municipality was 46,308 dinars for the month of April 2012. Industrial zones are in the immediate vicinity of highway M22 and are home to most local factories. The general regulatory plan envisages the expansion of industrial zones around Gornji Milanovac.

The municipality has no business parks, but the formation of a new industrial zone is expected along the route of the planned Belgrade-South Adriatic highway. Municipal staff members are available to offer any type of professional/technical assistance to interested investors. Necessary permits and documents are granted within legal deadlines.

The companies operating in the municipality include a significant percentage of foreign investors, through shares in local companies, who hail from Slovenia, Sweden, Norway, Luxembourg, Italy and elsewhere. Gornji Milanovac is a modern urban town

The municipality of Ivanjica is situated in an area of southwest Serbia known as the Starovlaško-Raška Plateau. The municipality stretches across 1,090 square kilometres of arable and woodland, making it the sixth largest municipality in Serbia. Ivanjica encompasses 48 towns and villages, 42 boroughs and 18 local communities, and 224 kilometres from Belgrade.

The economy of Ivanjica municipality is typi-

The town of Jagodina is situated in Central Serbia, 136 kilometres from Belgrade and 100 kilometres north of Niš. The Corridor X runs straight through Jagodina, as does the electric double-track railway which connects Central to South Europe and further on to Asia. The population here stands at close to 83,000.

In addition to its cable factory, Jagodina is also known for being home to one of the oldest Balkan breweries, Jagodinska Pivara (The Jagodinska Brewery).

An industrial zone covering 150 hectares of land is currently being built and it's plots will include full infrastructure. In addition to this, local authorities have provided a location for yet another industrial zone, stretching across 14.6 hectares.

Since 2004 Jagodina has become one of the leading Serbian towns in social, infrastructure, investment, tourism, cultural and sports development. In 2009 the Business Journalist Club declared Jagodina ‘The Town of the Future’. Jagodina has a wonderful zoo called ‘The Tiger’, which is the only zoo south of Belgrade, as well as a water park and a wax figure museum which

with complete infrastructure coverage. All municipal communities are connected via asphalt roads, with a local road network and the Ibar national road.

Gornji Milanovac is a foreign trade leader in the Moravica District and one of the leading exporters in Serbia. Swedish company Tetrapak’s Gornji Milanovac factory has been awarded twice as the best factory in the entire Tetrapak family.

fied by the processing industry, lumber processing, the production of textile products and production of raspberries and potatoes. Private property participates with 64% in the realisation of national income, while public and state properties participate with 27%.

The coverage of imports by exports is 92%.

The most important foreign trade partners of the municipality are Spain, Syria and Italy, followed by Montenegro, Bosnia and Herzegovina and Germany. The majority of imports are from Hungary, Austria, Italy and Czech Republic. 98.41% of Ivanjica municipality’s exports and 94.8% of its imports are related to the European Union and the former Yugoslav republics.

The Ivanjica industrial zone has been regulated by the General Spatial Plan and will be located between Senjak and Bukovica. All that remains to be resolved is the ownership rights of certain land plots.

An investor can obtain a building permit in five days, providing all relevant documentation has been submitted.

is the only one in Serbia. By creating these unique tourist attractions, Jagodina has become one of the leading tourist centres in Serbia. In March 2010 this year, the town was again awarded by the Business Journalist Club with ‘The Crystal Prism’ for being ‘The Town of the Future’ in the area of tourism development. In 2009 over 200,000 tourists from Serbia and abroad visited the Jagodina water park.

contact Sandra Ralović,

contact Radomir Ristić,

contact Životije Jovanović,

Address: Takovska 2, Gornji Milanovac 32300 Tel: 032 713 474, Fax: 032 720 282 Email: sandra.ralovic@gornjimilanovac.rs Url: www.gornjimilanovac.rs Foreign languages: English

President of the Municipality Venjamina Marinkovića 1, 32250 Ivanjica Tel: +381 32 661 444, Mob: +381 64 88 99 450 Email: soivanjica@sezampro.yu, Website: www.ivanjica.rs Languages spoken: Serbian & English

Kralja Petra 6, 35000 Jagodina Tel/Fax: +381-35-221-220, Mob: 064-81-97-070 Email: sojagodina@gmail.com, Website: www.jagodina.org.rs Language spoken: English

26 | the Investors Guide | Serbian Potentials

kladovo

kniĆ

Knjaževac

A Border Municipality

Ideal for Organic Food

Well developed infrastructure

The municipality is connected to the Danube in regards to transport and the economy

Knić offers almost ideal conditions for the production of organic food

Available for brownfield and greenfield investments

The municipality of Kladovo is located at the far northeast of Serbia. It occupies an area of around 630 square kilometres, and is one of the smaller municipalities in Serbia. It borders the municipalities of Negotin and Majdanpek, while the Danube represents its border with Romania and Europe. The municipality is connected to the Danube in regards to transport and the economy, with its sailing, fishing, tour-

The municipality of Knić located in the Šumadija district, covers 413 square kilometres and is also located along the Belgrade-Kraljevo-Skoplje railway corridor. It is linked to the E-75 motorway and the Ibarska regional road via the M-23 and M-23.1, as well as the R-212 and R-212a roads.

The municipality’s most abundant natural resources include arable land, raw minerals, water potential and favourable conditions for the development of tourism.

Investors are advised to invest in agricultural processing systems, that is the processing of animal and vegetable raw materials, dairy products, fruit and vegetable drying facilities, cheese production, meat, fruit and vegetable processing, bread making and confectionary production. Knić offers almost ideal conditions for the production of organic food in a clean environment, as well as excellent potential for the development of rural, agro and eco tourism.

The municipality’s industrial zone stretches across 40 hectares of land and is complete with the required infrastructure. Land in the industrial zone is not owned by the municipality and on-

The Municipality of Knjaževac is located in eastern Serbia along the border with Bulgaria. It belongs to the Zaječar District, covers an area of 1202km² and is home to 30,905 inhabitants.

The Town of Knjaževac is 45 km from the nearest highway and 300 km from Belgrade.

The most significant local industrial branches cover textiles, food production, footwear, wood and metal processing.

istic, hydro-energetic potential and other areas. Its position on the Danube, facing Romania and close to Bulgaria, both of them EU members, is a distinct advantage of the Kladovo municipality.

The economy of the municipality of Kladovo primarily consists of: industry, agriculture, tourism and catering. The most important industrial entity in the area is the hydro-electrical power in Djerdap I, which is the largest water power plant in the country and one of the largest in Europe and the world. The municipality has several industrial zones which are well equipped, as well as plans for a new one. The Electrical Power Industry of Serbia and other domestic but also foreign (Dutch and Romanian) investors have invested into these zones so far.

New investors are able receive many benefits, especially for ecologically clean programs and employment on a large scale. Reduction are also planned for investors employing small or larger numbers of employees.

ly 10% of the zone is currently occupied. There is a seven-day deadline for processing a request for the issuance of the urban planning act, an excerpt from the urban planning document and registration of construction works, while a construction permit is issued over a period ranging from one month up to six months. Up to a month is required to obtain an operating licence.

The Stara Planina (Old Mountain) Ski Centre is located mainly on the territory of Knjaževac, with two hotels, a mountain dormitory lodge, several smaller guest houses, ski lanes, and cable and gondola ski lifts.

An industrial zone is located in the town of Knjaževac itself. It is fully equipped in terms of infrastructure and available for both brownfield and greenfield investments.

The Municipality of Knjaževac enables investors employing more than 10 local workers to pay reduced fees for building land development equating, in this instance, to 20% of the required minimum fee. Investors participating in the construction of individual utility infrastructure facilities are exempt from charges for that part of participation.

The Municipality of Knjaževac is characterised by its relatively well developed infrastructure. The most significant road is the M25 national road, section Niš-Kladovo, which links the municipality to highway E75.

Knjaževac does not have any business parks

contact Dimitrije Singurilović,

contact Borislav Busarac,

contact Dragan Milutinović,

Manager of the Department for the Economy and Social Activities, Kralja Aleksandra 35, 19320 Kladovo, Tel. +381-19-801-450, Fax +381-19-801-563, Email: mitaplaninar@kladovonet.com, Languages spoken: all – expert translators available

President, Snežana Đokić, Assistant to the Municipal President, Opština Knić, 34 240 Knić Tel: +381 34511 999, Fax: +381 34510 113, Mob: +381 63 1088 051, Email: snezana.bankovic@knic.rs Language spoken: English

Address: Cara Dušana 19 Place and post code: Knjaževac, 19350 Tel: 019 731 256, Fax: 019 731 256 Email: office@ark.rs Url: www.ark.rs Serbian Potentials | the Investors Guide | 27

Kragujevac

Mecca For Investors The most important investor is Fiat, which established the joint venture Fiat Automobili Srbija with the Serbian government, worth over a billion euros

Veroljub Stevanović President of the municipality of Kragujevac

“Investors receive significant benefits and incentives per employee”

contact: City Investments and Development Administration Tel: 034 306145 Nеbојšа Vаsilјеvić, City Council member for Investments and the Development of City Resources Tеl: 034 506103 Dаlibоr Јеkić, City Council member for the Economy and Private Entrepreneurship Tеl: 034 364489 Address: Trg Slobode 3 Place & postcode: Kragujevac 34000 Email: gradonacelnik@kg.org.rs Url: www.kragujevac.rs

28 | the Investors Guide | Serbian Potentials

The City of Kragujevac takes the central position in Central Serbia and represents the administrative, economic, academic and healthcare centre of the Morava region and the Šumadija district. It is located around 140km south of Belgrade and is close to Pan-European Corridor 10, which it will be directly connected to via a national ‘A’ road (26km).

Alongside the road network, railway routes cover four main directions: towards Belgrade and Budapest, Niš and Sofia, Podgorica and Bar and Skopje and Thessalonica.

The closest airports are Nikola Tesla Belgrade (160km) and Constantine the Great – Niš (140km), while restoration of the Lađevci Airport (60km) is ongoing.

Kragujevac covers an area of 835km2 and has a population of 177,468.

Average monthly income per employee in Kragujevac in April 2012 was 53,900RSD (gross) or 38,938RSD (net).

The city is known for its long tradition of producing cannons and other firearms, dating back to 1853. However, after World War II heavy industry expanded to include the production of motor vehicles (Zastava cars and Iveco trucks).

The processing industry is also progressing, led by the sectors of furniture production (Forma

Ideale), milk processing (Meggle, Kuč Company), drinks (Flores, Swisslion), the textile industry and footwear manufacturing.

The most important investor is Fiat, which established the joint venture Fiat Automobili Srbija with the Serbian government, worth over a billion euros. Aside from housing Fiat, the FAS Grošnica Free Zone is also the home of companies Proma Magneti, Sigit, HTL and Johnson Controls.

Through the privatisation of former social enterprises and greenfield investments, the city has welcomed partners including Meggle - Germany, NTU, TPV and Viator&Vektor from Slovenia, Scholtz – Germany, Intertrust – Bulgaria, Rap Marine – Norway, Hedlemeier – Austria etc.

Apart from the trade sector, other service sectors, like banking and insurance, are also developed in Kragujevac. After the year 2000, major retail chains launched their operations in the city. These include Metro Cash & Carry, Mercator (Roda Centre), Delta, Tuš, Dis and the biggest retailer in the city, Plaza. Company Supernova will also start construction of its retail outlet very soon.

In order to achieve maximum results in economic development, the City’s strategic goals

the defining of a set of incentives for indozen smaller companies operating in this include creation of an enabling economvestors and a proactive policy for private sector. The city is also home to the BioIRC ic environment, attraction of direct inbusiness start-ups.

– Bio-Engineering Research-Development vestments and development of human reMajor steps have also been taken to Centre. Contributing to this is also the exsources. As such, investors engaged in procreate a more versatile development in the isting Business Innovation Centre, which is duction activities receive incentives of as municipality, which the biggest agriculturnot a classic business incubator, but is fomuch as €7,000 per employee, dependal budget in Serbia also contributed to. cused on innovative activities. ing on the number of jobs created, while Even before the arrival of Fiat, the Construction of the future Technology benefits for IT solutions and software engiresults achieved by the city led to Park (decision on adoption of the neering products are around €15,000.

Kragujevac being recognised by economFeasibility Study taken on 19th January Incentives for investors in producic journalists in 2007 as the “City of the 2010) will complete the city’s efforts to tion activities include reduced land lease Future” (silver cup) and in 2008 it renurture more versatile development. prices, depending on the number of jobs ceived an award as the city with the most Aside from the commitment of the locreated: 5-19 employees = €2,000 per employee, 20-50 employees = €2,500 per employee, 51-200 employees = €5,000 per employee, over 200 employees = €7,000 per employee, over 250 employees = €15,000 per employee. For activities in the IT solutions and software engineering sector and the Serbian headquarters of foreign companies the price of €1/1m² (up to 1 ha/ over 20 employees) applies.

Logistics and other support to domestic and foreign investors are offered by the Apart from the trade sector, other service sectors, like banking and Investment and Development Administration and the insurance, are also developed in Kragujevac. After the year 2000, Department for Economy and major retail chains launched their operations in the city Local Economic Development. favourable business environment, precal government, we should also mention Location permits are issued within seven sented by the National Alliance for Local the good cooperation enjoyed with the days, provided the investor doesn’t have Economic Development (NALED) and Regional Chamber of Commerce, Regional any additional requests, while constructhe Ministry of Economy and Regional Agency for Economic Development of tion permits are issued within 1-2 days Development. Šumadija and the Morava region, the of the submission of complete, techniKragujevac is inviting future invesKragujevac University and its 11 faculcally correct and approved project doctors. Where there is room for “Fiat”, there ties, the branch office of the National umentation. will be room for you too!

Employment Service in Kragujevac, and The main strategic aim of the City is to Foreign investors currently operattwo entrepreneurs’ associations: Sloga develop the automotive industry through ing in Kragujevac include Fiat automoand Šumadija. strong cooperation, as well as the military bile Srbija – joint investment of Fiat and The city offers potential investors industry, due to the necessary resources the Serbian Government in Kragujevac’s land in the following planned industrial and long tradition here. The processing informer Zastava car plant, worth over a zones: Denino brdo (14ha), Metino brdo dustry sector is also important. billion euros.

(40ha), Grošnica (30ha), where four Fiat In order to gradually change the moAside from Fiat, over €320 million collaborators have already occupied half no-structural character of its metal inhas been invested in Kragujevac by the space and where the “FAS Free Zone” dustry, the City is seeking to develop Plaza, Supernova, TPV Šumadija, Metro was formed) and Cvetojevac (10ha). new technologies based on software encash & carry, Delta M, Merkator, Ju - broThe local government’s dedicagineering, hardware and bioengineerker Group, Tuš, Forma Ideale, Aik Banka tion to the economic development of ing. It has the potential to do so because, AD, Global Finance, Nelt, DIS, Freenergy, Kragujevac is evidenced in the formation aside from Kragujevac’s former software Delta Generali Insurance, Global Blue of a development budget focused on the company Hermes Softlab, now a memColony, Nikom VIP Mobile and over 250 construction and equipping of industrial ber of Comtrade (the biggest IT company other investors. ■ zones and other infrastructure, as well as in Southeast Europe), there are around a Serbian Potentials | the Investors Guide | 29

koceljeva

kosjerić

kraljevo

Assistance and Support

Renewable Sources

Big Potential

The municipal authorities guarantee the issuance of relevant permits and approvals in the shortest possible time.

Agricultural production is extensive and widespread in the municipality

A favourable geo-strategic position at the location where important road and railroad tracks intersect

Koceljeva is a municipality located in the Mačva district of Serbia. The territory of the municipality covers an area of 25,727 hectares.

The town of Koceljeva is 80 kilometres west of Belgrade and Belgrade airport via the M-21 regional road, 30 kilometres from the nearest port on the Sava River.

The municipality’s main economic branches are agriculture, food production and non-metal processing.

The municipality boasts an industrial zone that covers an area of close to 30 hectares. It is fully equipped with infrastructure, and offers a water and electricity supply, telephone land lines, a sewage system etc.

Investors opting to set up production facilities in Koceljeva will only be required to pay 20% of their utility expenses. Investors are offered additional incentives if they choose to invest in the municipality’s settlements.

The municipal authorities guarantee the issuance of relevant permits and approvals in the shortest possible time.

Koceljeva municipality has extremely fa-

The town and municipality of Kosjerić is in a mountainous area in the Zlatibor district of western Serbia. The municipal area covers 358 square kilometres, of which agricultural land covers 19,682 hectares.

The main Belgrade-Bar railway passes through Kosjerić and links the local industrial railway to the cement factory Kosjerić.

As well as the main road linking Novi Sad-Šabac-

Kraljevo is territorially the biggest local selfgovernment in Serbia, occupying the area of 1530 square kilometres. It has a favourable geo-strategic position at the location where important road and railroad tracks intersect. It represents an economic, trade and industrial centre in south-western Serbia. A rich cultural and historical heritage and natural resources represent an important tourism potential. This city has a tradition of machine and mechanical industry. The most important branches of industry are: machinery, metal, food and timber.

Brownfield location: Medijapan business production zone has a 6000 square meter production hall on the site. The total area of accompanying land parcels is around six hectares. This location has the necessary communal infrastructure.

Greenfield location: ‘Seovac’ industrial zone occupies an area of 153.29 hectares. The military airport Ladjevci is located around eight kilometres from the zone. The zone has the necessary communal infrastructure. The city of Kraljevo owns a two hectare lot in this zone, which can be offered to

vourable conditions for rural tourism development. First of all there is well preserved nature, a mild climate, clean air, unpolluted rivers, and rich flora and fauna. Natural beauty and a rich cultural heritage are enriched with the hospitality of the local population who receive each guest as a friend and offer them rich and healthy natural food.

Valjevo-Kosjerić-Požega-Užice-Prijepolje-Bijelo Polje and further south, Kosjerić is connected to the Ibarska Magistrala (Celije). Kosjerić features predominantly private and shareholder firms, which are mainly concentrated in the service sector, metal construction and the chemicals industry.

Agricultural production is extensive and widespread in the municipality. There is organised production of raspberries (around 4,000 tonnes per year) and plums. The municipality is currently seeking opportunities to organise cultivation/farming of snails, strawberries, mushrooms and fish.

Tourism in Kosjerić is mainly based on rural tourism activities, while the number of guest beds is growing year on year in line with the increasing number of guests.

The local government believes that rural development in Kosjerić should be turned into organic production, as great opportunities exist for the production of organic food namely suitable land, well preserved nature and the availability of energy from renewable sources.

potential investors.

There is an industrial zone ‘Stari Aerodrom’ (Old Airport) covers 9.58 hectares. This zone is located in the construction area and is fully equipped with communal infrastructure (water supply system, sewerage, industrial water, electrical power, gas, industrial railroad). Sports airport which can be used for light air traffic is located close to the zone.

contact Branislav S. Mićić,

contact Dragan Vujadinović,

contact Ljubiša Simović,

LED Assistant to the Municipal President Nemanjina 74, 15220 Koceljeva Tel: +381-15-556-537, Fax: +381-15-556-587 Email: pomocnik@koceljeva.gov.rs, www.koceljeva.gov.rs Languages spoken: Serbian, English and Czech

Municipal President, c/o Dragan Milaković, Olge Grbić 10, 31260 Kosjerić Tel: +381-31-783-582, Mob: +381-69-8256-256 draganmilakovic@yahoo.com, www.kosjeric-online.com Languages spoken: Serbian and English

Mayor, Mirjana Prodanović, LER Trg Jovana Sarića number 1, Kraljevo 36000 Tel: +381-36-306-031, Fax: +381-36-306-098 Email: gradonacelnik@kraljevo.org, www.kraljevo.org Languages spoken: English

30 | the Investors Guide | Serbian Potentials

krupanj

kruševac

kuršumlija

Awaiting Vacant Successful Privatisation Facilities

Favourable Fruit Production

Rađevina and the hub of Krupanj are located in western Serbia on the left bank of the River Drina

Local companies that have been successfully privatised

The geographic position of the municipality gives it a general transit character

The municipality covers a territory of 342 km² and has 23 settlements. It is situated 64km from Valjevo and 150km from Belgrade. The main regional roads are Krupanj-Loznica-Šabac-Beograd and Krupanj-Zavlaka-Tekeriš.

The majority of the working population is engaged in agriculture and the private sector has several metal processing facilities and cold storage units for the freezing of forest fruits. Raspberries are cultivated over an area

The city of Kruševac is situated in central Serbia, just 23 kilometres from the pan-European Corridor 10 (Belgrade-Niš motorway). Kruševac covers an area of 854 square kilometres.

The nearest international airport is 80 kilometres away in Niš, while the Port of Belgrade is 200 kilometres away. The city lies on two rivers: the Western Morava and the Rasina. A reservoir was built 20 kilometres from Kruševac on the River Rasina and is home to the Majdevo water factory.

In terms of infrastructure, 85% of the municipality’s territory is serviced by water supply and sewage systems. There is also the Pojate-Kruševac gas pipeline, a well developed road and rail transport infrastructure, the Rosulje airport, mobile and fixed-line telephony networks and internet connections.

Machine processing, chemical/textile industries and the service sector dominate in Kruševac. Local companies that have been successfully privatised include Henkel-Merima and Trayal Corporation, while those currently undergoing privatisation include IMK ‘14. Oktobar’ and chemical company Župa.

Kuršumlija is located in southern Serbia, occupying an area of 952 square kilometres, and belongs to the administrative district of Toplica. The geographic position of the municipality gives it a general transit character, as the regional road of strategic importance linking Niš to Priština to Peć goes by here.

Kuršumlija’s territory offers attractive and wellpreserved nature. This is a hilly and mountainous

of around 800 hectares, followed by plums – with an annual yield of 100-120 wagons – and about 100 wagons of blackberries. There is also a trade surplus in the potato, with around 5,000 tonnes produced. There are also conditions for organic farming, while animal husbandry has been developed through the production of milk and meat. Farming of rainbow trout, carp and other fish species is also becoming an increasingly lucrative business.

Tourism is also one of the municipality’s development priorities, as the area is ecologically unpolluted and boasts attractive nature complemented by sites of cultural and historical interest. Krupanj has an equipped location earmarked for the construction of a hotel in the broader town centre. There are no business parks, but the municipality does have significant space in manufacturing facilities that can be used for various production programmes, such as that of the Krupanjka factory, which boasts over 30,000 metres of covered space.

Permits and licenses are granted within three to 12 months, depending on the nature of investments.

The state of the Municipality of Krupanj’s road infrastructure is not satisfactory.

contact Milan Jovanović and Jelena Milosavljević, Office for Local Economic Development Address: Maršala Tita 2, Krupanj 15314 Tel: 015 581 475, ext. 118 and 126, Fax: 015 581 103 krupanjso1@open.telekom.rs, www.krupanj.org.rs

Historical sites include the Lazarica church, monasteries Naupare, Đunis, Veluće and others.

There are several spas, including the Vrnjačka and Ribarska spas and other health and tourism facilities. Moreover, the forested Jastrebica mountain is just 20 kilometres away and Kopaonik mountain’s major ski centre and winter sports resort is just 90 kilometres away.

area with dense forests stocked with forest-fruits, traversed by wild, clean rivers and dotted with numerous spas and springs with clean drinking water.

The most important tourist potential here is in the three spas of Prolom, Kuršumlijska and Lukovska, which boast mineral waters of exceptional quality, favourable climatic conditions and a well preserved environment. The tourist offering is completed by the famous Đavolja Varoš, a unique natural phenomenon, the Kopaonik mountain range, a mine, and the mountains of Radan, Sokolović and Pilatovice, as well as diverse hunting opportunities.

The municipality consists of 37,500 hectares of arable land, which offers ample opportunity for the development of agriculture. Furthermore, the municipality offers extremely favourable conditions for fruit growing, especially that of apple and plum. The existence of large areas of meadows and pastures offers the potential of developing livestock breeding operations, while the exploitation of forest fruits is also well developed.

contact Dragan Jovanović,

contact Vesna Jakovljević,

Mayor of Kruševac, Miloš Jovanović, Head of the Kruševac City Administration Gazimestanska bb, 37000 Kruševac Tel/fax: +381-37-421-567, 037-417-720, Language: English protokol@krusevac.org.rs, www.krusevac.org.rs

Municipal President Proleterskih brigade bb, 18430 Kuršumlija Tel. +381-27-381-383, Fax. +381-27-381-785 president@kursumlija.org, www.kursumlija.org Language spoken English Serbian Potentials | the Investors Guide | 31

kučevo

River of Gold Investors interested in producing and processing food, particularly organic food, and utilising hunting and tourism development opportunities are expected

Zoran Milekić President of the municipality of Kučevo

“The municipality has a plant for the production of lime and stone”

contact: Zoran Milekić

President of the Municipality of Kučevo Address: Svetog Save 76 Place & postcode: Kučevo12240 Тel: 012 852178 Fax: 012 852684 Email: sokucevo@kucevo.rs, Url: www.kucevo.rs; Foreign languages: English

32 | the Investors Guide | Serbian Potentials

Kučevo is also rich in thermo-mineral waters, The municipality of Kučevo is located in the which has been confirmed by all tests carried out south-eastern part of Braničevo district and covers to date and represents a very significant potenthe upper slopes of Homolje Mountain, gradually tial of the municipality, in addition to interesting descending into the Stiška Valley. It covers a total brownfield sites for different purposes. The muarea of 721 km2. nicipality has a plant for the production of lime The municipality is intersected by two imporand stone, which was part of the former U.S. Steeltant transport routes: National road M24 PožarevacSerbia and is currently not in use, as well as a plant Majdanpek-Zaječar and National rail route Belgradeof former enterprise ŠIK Kučevo, which is now Požarevac-Majdanpek-Prahovo Harbour. owned by the NiCo company. The municipality’s Kučevo is well connected (regional roads) to village of Neresnica is home the municipalities of Veliko to the Villa of King Alexander, Gradište and Golubac, which complete with pools, which are crossed by Pan-European could prove very interesting Corridor 7 (River Danube). as a bespoke tourist resort.

Kučevo is 70km from PanEuropean Corridor 10, i.e.

Clean and unpolluted, the highway E75 (Belgrade-Niš), land here is appropriate for inand its natural geographical vestors interested in producposition makes it easy to dising and processing food, partribute goods and materials ticularly organic food, and utiboth within the country and lising hunting and tourism deto the wider region, especialvelopment opportunities. This ly considering its close proxarea is also well known for it imity to countries in the relocal brands such as Homolje gion, firstly Romania. lamb, cheese and rakia fruit Thanks to precious metbrandy. There are numerous als, namely gold and silver, associations and cooperatives, the Kučeva area and the surThe municipality’s village which are based on healthy rounding area, the River Pek agricultural production, inof Neresnica is home to and its tributaries and surcluding the association of beethe Villa of King Alexander, keepers, fruit farmers etc. The rounding hamlets, have been known since ancient times. complete with pools, which area is also rich in medicinal According to some records, could prove very interesting herbs and is suitable for the it is indicated that even the as a bespoke tourist resort. commercial cultivation of meArgonauts sought the legendicinal plants. dary Golden Fleece along the banks of this goldThe municipality itself has a good geographbearing river. ic position and the local government has a generNatural resources (forests, stone and quartz al regulatory plan and is constantly endeavouring quarries) determined the structure of the economy to create the best possible business environment, of this municipality in the past, and even today inwhere investors can be assured that all necessary vestments in this field in Kučevo have been made local permits will be issued in the shortest possiby companies CITI, ABM et al., which are mainly loble time, up to 30 days. There is also a skilled workcated in the industrial zone “At ŠIK”. force, particularly from wood-based industries.

Industrial zone is equipped in terms of infraThere are also excellent facilities for constructure, with water supply and sewage networks, structing a sports and recreational centre on the as well as low-voltage electricity network. The zone banks of the Pek, as well as an ethno tourist vilitself has its own industrial rail track, the possible lage along the river Potajnice, which is itself a natexpansion of which is planned. ural phenomenon. ■

lajkovac

lapovo

lebane

Cargo Transport Municipality Opportunities of Potential

Orchard Plantations

The municipality provides incentives for building permits

Lapovo municipality is set to gain a stable, secure economy that will make it a significant part of Serbia and Europe

The climate and soil in the municipality of Lebane provide ideal conditions for growing and storing

Lajkovac is a small town and municipality located in western Serbia, close to the town of Lazarevac. It is located in the Kolubara River valley and is near the Ibar motorway, the main route from Serbia to Montenegro. The municipality of Lajkovac covers an area of 186 square kilometres. It is 69 kilometres from Belgrade and 27 kilometres from Valjevo.

Lajkovac’s industrial zone stretches over

Lapovo is a small town and municipality in central Serbia’s Šumadija district, covering an area of just 55 square kilometres. The municipality of Lapovo contains only two settlements: the Town of Lapovo and the village of Lapovo.

Lapovo is one of the most promising towns in the surrounding area, thanks to its great geographical location. It is situated at the intersection of the Belgrade-Niš motorway and the main regional railway Belgrade-Skopje-ThessalonicaAthens. The municipality has well developed construction, graphics and chemical industries and trade sectors.

With an advanced road network, development of communal services and protected primary health care, coupled with the municipality’s natural conditions for further development and the new economic environment being created, Lapovo municipality is set to gain a stable, secure economy that will make it a significant part of Serbia and Europe. The Lapovo free zone has been established on a site between the international highway E-75 and the international rail line

The municipality of Lebane is located in the south-west of Central Serbia, in the Jablanica River basin. The municipality stretches over 337 square kilometres and has 25,000 inhabitants.

The pan-European Corridor 10 motorway is just 20 kilometres south-west of Lebane, while the important city of Niš is only 65 kilometres away.

Total agricultural land in the territory of Lebane is 18,517 hectares - forests occupy

104.5 hectares and is suitable for small and medium-sized enterprises (SMEs). Advantages of the business and commercial zone of Lajkovac include: its proximity to important routes and the opportunities for cargo transport (BelgradeBar Railway, Ibar motorway); it is only 70 kilometres to Belgrade on the Niš Motorway via Aranđelovac; the Adriatic motorway route which runs along four kilometres of the zone; closeness to the inland navigation routes of the Danube in Belgrade and the Sava in Šabac; closeness to other large towns, business and commercial centres such as Čačak, Aranðelovac, Obrenovac, Ub, Valjevo; and the fact that land prices are lower than in the area of Belgrade and nearby municipalities.

Land here is privately-owned and partially equipped with infrastructure. The municipality provides incentives for building permits, that is, if an investor wants to set up an SME, the land utilisation fee can be reduced by over 50%, depending on the number of workers that will be hired.

tracks and covers an area of approximately 80 hectares, with the possibility of further enlargement. There are two halls of 250 square metres and one hall of 1000 square metres, while electricity and gas facilities are also nearby.

The municipality of Lapovo offers substantial benefits to companies hiring significant numbers of workers.

7,987 hectares. The climate and soil in the municipality of Lebane provide ideal conditions for growing and storing all kinds of domestic animals and game. Fruit production in the municipality covers 1,500 hectares, of which in the individual sector is 1,350 hectares, 150 hectares is made up of fruit production orchard of apples, pears and cherries.

The Lebane industrial zone, which is located at the very heart of the town, covers an area of 12 hectares and includes constructed facilities covering 17,662 square metres. The following comparative advantages are offered to potential investors: cheap workforce, low land development and land utilization fees, and high quality agricultural produce. Permits can be obtained within legal deadlines and in line with the Law on Spatial Planning and Construction.

The biggest investor in the municipality is Por Werner & Weber, which handles the removal and depositing of utility waste from the municipality’s territory.

contact Dušan Živanović,

contact Nebojša Miletić,

contact Dr Mića Stanković,

President, Katariba Janjić, Kancelarija LER, Omladinski Trg 1, 14224 Lajkovac Tel: +381(0)14/3433-109; 014/3433-108, Fax: 14/3433-332 kabinet@lajkovac.org.rs, www.lajkovac.org.rs Languages spoken: English and German

President of the Municipality Njegoševa 18, 34220 Lapovo Tel: +381 (0) 34 853 516, Fax: +381 (0) 34 853 105 Email: office@lapovo.org, www.lapovo.org Languages spoken: English

President of the Municipality, Cara Dušana 116, 16230 Lebane Tel: +381(0)64/852-98-24, Fax: +381(0)16/843-083 Email: kabinet@lebane.org.rs, Website: www.lebane.org.rs Languages spoken: English Serbian Potentials | the Investors Guide | 33

leskovac

ljig

ljubovija

Green Zone North

Good Transport Access

Tobacco and Raspberries

The local administration is a service economy, according to the turnkey system

The municipality has a large number of companies operating in the field of industrial production

Agriculture remains the most important economic activity in the municipality

The City of Leskovac occupies an area of 1,025km2 and is one of the biggest local governments in Serbia. A significant transit centre, it is located on Pan-European Corridor 10. Leskovac is traversed by the BelgradeAthens international rail route and the city is the central hub for a number of municipalities in southern Serbia. It is located at the centre of the Leskovac Valley, which is crossed by five rivers - a rare phenomenon in the world.

Agriculture provides the basis for the development of Leskovac, though developing in parallel are the pharmaceutical, food processing, wood processing and textile industries.

Close to Pan-European Corridor 10, Leskovac has 100ha of land that is equipped in terms of utility infrastructure and is intended for potential investors dealing in storage/warehousing and the processing of agricultural products. Project Zelene Zone – Sever (Green Zone – North) envisages the forming of a unique agricultural products exchange.

Local administration is in the service of the economy. Investors are tracked from the initial phase to the opening up production facilities. Depending on the level of investment and number of jobs created, inves-

Ljig is a town and municipality in central Serbia’s Kolubara district. It covers an area of 279 square kilometres and is surrounded by the mountains of Rajac and Rudnik.

Ljig has an excellent geographical position and good transport access. The municipality is linked via the Ibarska Highway, to Belgrade (80 km) and Čačak (70 km); and via a regional road to Valjevo (38 km).

Locally, Rajac Mountain is only 10 km away and Banja

The municipality of Ljubovija is located in western Serbia on the right bank of the River Drina.

Ljubovija belongs to the Mačva district. The municipality is small, covering just 356 square kilometres.

The municipality has a favourable geographical position.

Agriculture remains the most important economic activity in the municipality, providing the greatest contribution to the average income among all economic activities. Though the percentage of the population engaged in agricultural activities is constantly decreasing, it remains the most prevalent. Moreover, agricultural yields are increasing thanks to the introduction of new varieties, modern mechanisation and technology to vegetable farming and fruit growing operations. Almost all households are currently involved in growing raspberries, while there is the same level of popularity and success in tobacco growing.

The municipal territory includes land that the local authorities are ready to offer potential investors.

The industrial zone, which already houses a number of companies, offers potential for the realisation of numerous projects and the municipality is seeking se-

tors are partially or fully exempt from paying mandatory land lease fees, building land development fees and other local utility taxes. As part of a private-public partnership with Austrian company Porr Werner Weber, Leskovac became the first municipality in Serbia to implement a regional solid waste management programme through construction of a sanitary landfill site that adheres to the highest international standards.

Vrujci is just nine kilometres away.

Ljig has a very favourable position for agriculture. The municipality has over three hundred registered orchards, 80% of which are plum plantations.

The municipality has a large number of companies operating in the field of industrial production, with building materials production, metal processing, the food industry and tourism represented.

Sites of specific potential include thermal mineral springs with substantial reserves as deep as 850 metres.

The municipality has developed profitable projects and devised developmental documents for the accelerated procedure of constructing tourist facilities: the spatial plan of the municipality of Ljig led to the adoption of the regulatory plan for Ljig Spa and Rajac Mountain, as well as the creation of an industrial zone on 175 hectares of land. Moreover, local Ljig authorities are set to commence work on repairing the municipality’s section of the main BelgradeUžice-Adriatic coast road, which will significantly improve the area’s investment potential

rious investors.

The industrial zone is located along the main M-19 road and the border with neighbouring Republika Srpska. The aforementioned area of the industrial zone includes available warehousing space, halls and office space, as well as some workforce capacities in a number of companies and agricultural co-operatives

contact Milorad Mladenović,

contact Miroslav Maksimović,

contact Milovan Kovačević,

Milorad Mladenović Address: Pana Đukića 9-11,Leskovac 16000 Tel: 016 200804, Fax: 016 252522 milorad.mladenovic@gradleskovac.org, www.gradleskovac.org, Foreign languages: English

Luke Spasojevića 7, 14240 Ljig Tel: +381 014 85 030, Fax: +381 014 85 044 Email:drmaksimovic@ptt.yu Website: www.ljig.rs Language spoken: English

Municipal President Vojvode Mišića 48, 15320 Ljubovija Tel: + 381 (0) 15 661 960 , Fax: +381 (0) 15 662 870 Tel/Fax: +381 (0) 15 661 411 www.ljubovija.org, Language spoken: English

34 | the Investors Guide | Serbian Potentials

Loznica

lučani

mali zvornik

Industry and tourism

Raspberries, Good Energy Plums and Apples Potential

Loznica has well-developed transport infrastructure

The municipality is well-known for its fruit production

The area boasts natural mineral and other resources, a sufficient workforce and developed industries

Loznica covers an area of 612 square kilometres and has 86.413 inhabitants. The local transport infrastructure is well developed. Corridor 10, the M19 and highway E70 are all nearby and the distant to Belgrade’s Nikola Tesla airport is only 110 kilometers.

The most significant industrial branches are food processing, metal processing, paper processing, pharmaceuticals and construction. The geo-

The municipality and town of Lučani is situated in western Serbia, in the Dragačevo region within the Moravica. The municipality stretches across 454 square kilometres and can be reached from a number of directions - Čačak, from Kraljevo, Požega, and Ivanjica. The roads and railroads are functional and they connect this part of Serbia with Belgrade and Montenegro. The municipality currently has around 25,000 inhabitants, with almost half of the workforce active in agriculture. A quarter of the available workforce works in industry, while a quarter is employed in the remaining economic branches.

The municipality is well-known for its fruit production including raspberries, plums, apples, and potatoes. Lučani is also famous for its trumpet festival Sabor Trubača (The Trumpeters’ Assembly), which could be an interesting investment opportunity in itself. The dominant branches in the municipality are agriculture, the processing industry and the chemical industry. The municipality’s workforce has a diverse educational background and the municipality has a large in-

The municipality of Mali Zvornik is situated in central Podrinje, in western Serbia. The municipality stretches across 184 square kilometres.

Mali Zvornik has a relatively favourable transport and strategic position; it stretches along the main road between Belgrade and Bjelovar, which is the main transportation route in Western Serbia.

The municipality also has an important transit and border position, linked as it is to neighbour-

graphical position of Loznica is such that, in addition to fully-equipped industrial zones that are excellent locations for investment, there are many beautiful tourist spots. That’s why the local authorities are ready to develop tourism as well as industry. The industrial zone has relevant infrastructure, while urban infrastructure is well developed and there is a qualified workforce that helps the city maintain a business-friendly environment.

The Šepak Industrial Zone covers 82.66 hectares of land on the border with Bosnia & Hercegovina. Some 30 hectares of the zone is equipped with roads, water and sanitation, electricity and gas supply, telephone lines and internet connections. The state provides incentives based on the acts of the Government of Serbia which envisage the sale of construction land at discount prices.

The Lagator business and residential zone covers an area of 20 hectares. The state provides incentives, again on the basis od the relevant Government of Serbia act.

dustrial zone with complete infrastructure.

Municipal authorities provide incentives depending on the number of workers that an investor hires. Plans are also in place to construct an industrial park here and it is worth mentioning that the municipal authorities are issuing permits to potential investors in the shortest time possible.

ing Republika Srpska (Bosnia) via three bridges – rail, road and pedestrian. The municipality’s good energy potential is offered by the River Drina and hydro-electric capacities (the Zvornik hydro-electric power plant and mini reservoir on the River Radaljska).

The area boasts abundant natural resources, a sufficient workforce, developed wood and metal processing industries and raw minerals.

Development of the tourism sector is supported by Mali Zvornik’s beautifully preserved nature, Drinsko Lake, Radaljska Spa, its rich historic and cultural heritage, a distinctive local cultural identity, good quality agricultural produce and food, quality mineral springs and potential for the development of health and spa tourism at Radaljska Spa. The municipality’s economy is based on small scale industrial capacities and the utilisation of local natural resources. Most of the working population is employed in industry and mining (83.8%), while the rest is engaged in non-production sectors.

contact Ivana Kapetanovic,

contact Mladomir Sretenović,

contact Branko Radić,

head of the Office for local economic development Address: Kаrаđоrđеvа 2, Lоznicа 15300 Теl: 015 879293, Fаx: 015 882921, Моb: 064 6405374 Еmаil: ikapetanovic@lоznicа.rs, Url: www.lоznicа.rs Foreign languages: English

President, Mr Miloš Velanac, Assistant, JA 5, 32240 Lučani,Tel: +381(0)32/817-151, Fax: +381(0)32/817-151, Mob: +381(0)63/660-281, Email: led.solucani@sezampro.rs, Website: www.lucani.rs, Languages: Serbian, English, German, Russian and French

Head of the Department of the Municipal Economy Kralja Petra I 38, 15318 Mali Zvornik Tel: +381(0)15/471-859, Fax: +381(0)15/471-885 Email: opstmzv@ptt.rs, Website: www.malizvornik.org Languages spoken: English Serbian Potentials | the Investors Guide | 35

majdanpek

Mines & Forests The municipality of Majdanpek is located in the northern part of eastern Serbia and covers the largest forest and mining complex area in this part of the country.

Dragan Popović President the of Municipality of Majdanpek

“This area is known as the “cradle of ancient Europe” because of the Lepenski Vir and Rudna Glava archaeological sites”

contact: Dragan Popović

President of the Municipality of Majdanpek Address: Svetog Save bb Place & postcode: Majdanpek 19250 Tel: 030 581240 Fax: 030 581580 Email: majdanpekso@ptt.rs Url: www.majdanpek.rs Foreign languages: English

36 | the Investors Guide | Serbian Potentials

Incentives vary according to sector of activity Majdanpek stretches between Lake Đerdap to and number of employees, while investors are exthe north, Mount Miroč (632m) to the northeast, empt from paying locally administered taxes for a Mount Deli Jovan (1,133m) to the east, Mount Stola period of three years.

(1155 m) to the south, the mountains of Mali Krš There is potential to develop tourism thanks to (929m) and Veliki Krš (1,148m) to the southwest the area’s natural beauty, biodiversity, cultural and and the slopes of Mount Homolje (923 m) to the historical monuments and existing facilities. north. With an area of 932km2, the municipality of Local permits are issued by the Municipality Majdanpek is ranked 11th in Serbia in terms of size within a 30-day deadline, while environmental imand consists of 14 settlements. pact assessments can take up to six months.

Bordering the municipality of Braničevo and the The road infrastructure network has a solBor district, the Danube gives Majdanpek a natural id base, while investment in rail transport and navborder with neighbouring Romania. The climate is igable waterways would have a positive influence continental, while the area around the Danube has a on the development of tourtemperate climate. ism. The most important transThe local economy is comport routes are the M24 nationposed of 108 enterprises and al road (Majdanpek-Miloševa788 retail outlets, with SMEs the Kula-Klokočevac-Negotin) and dominant company form. The the M25 (Golubac-Porečki majority of companies operate bridge), as well as numerous rein the trade sector, followed by gional roads. the processing industry and agMajdanpek municipality is riculture, transport, construction, 131km away from highway E75 mineral mining and quarrying.

(Corridor 10) via Požarevac and The municipal economy is away via Paraćin. based on mining and quarryThe municipal economy 170km The municipality is linked ing, with the most famous facilis based on mining and to rail routes leading to and ities being the Majdanpek copquarrying, with the most from Majdanpek. Rail links to per mine and the Majdanpek Belgrade run via Kučevo and Processing Industry. There is alfamous facilities being Požarevac, while the train line so a service sector, tourism and the Majdanpek copper a varied tourist offer, a manufacmine and the Majdanpek to Niš and Prahovo runs via Bor and Zaječar. The River Danube turing sector, agriculture, hunting Processing Industry runs for 54km along the northand forestry. The wood industry ern edge of the municipality. has great potential for development due to an abunThe Bor Regional Development Project provides dant base of raw materials. funding assistance for local communities seeking to The educational structure of Majdanpek means establish and operate business incubators for small that the greatest share of the population has combusinesses and individual entrepreneurs. pleted secondary school (34.9%), followed by priThis area gained the epithet “cradle of ancient mary school graduates (26.5%) and residents with Europe” thanks to the cultural values of the Lepenski college and university degrees (5.1%).

Vir and Rudna Glava archaeological sites.

An industrial zone has already been formed, This is also the home of Serbia’s largest national though equipping the site is only in the planning park, the Đerdap, or Iron Gate, National Park, as well phase. The zone is directly connected to highway as the mountain and village of Miroč, Mount Starica M24 and has a train station located on its edge. (suitable for climbing), the Valja Prerast natural stone Electricity is supplied for existing users. The water bridge and the Veliki Zaton reservoir, an important supply network extends to the edge of the zone. fishing area. The banks of the Danube also have There is no sewage system, but an optical cable exmany areas suitable for sport fishing. ■ tends throughout the entire zone.

malo crniće

medveđa

mionica

Healthy Holidays

Attractive Exemptions

Malo Crnice municipality is among the smaller municipalities in Serbia and belongs to the Branicevo district

Support of investors in the The municipality has beautifully municipality of Medveđa is evident in preserved nature, which offers good the effective local administration potential for the development of tourism

Malo Crniće municipality is among the smaller municipalities in Serbia and belongs to the Branicevo district. It covers an area of 279 square kilometres and has 18,610 inhabitants residing in the municipality’s 19 settlements.

Malo Crniće includes a wide, fertile valley banking the main flow of the river Mlava, which widens through the valley. The valley entrance is surrounded by low hills, while at its end tower the Homolje

Medveđa municipality is located in southern Serbia’s Jablanički county with an area of 524 square kilometres.

The municipality boasts economic zones with industrial facilities, which are fully equipped in terms of infrastructure.

The site of the Banja Sijarinska spa resort has been earmarked as the location for construction of factories - one for the production of mineral water and one for liquid carbon dioxide gas. The site already has a water supply and energy network.

Support of investors in the municipality of Medveđa is evident in the effective local administration, which ensures that investors can obtain construction permits within 60 days.. However, plans envisage a 10-year tax exemption for investments in excess of €7.5 million that create 100 new jobs, as well as exemption from excise duties on equipment and raw materials. Depending on the type of operation the investor intends to set up and whether it is a geenfield or brownfield investment, the deadline for obtaining necessary permits ranges from 15 to 30 days,

mountains.

The greatest natural resources of this municipality are fertile land, water resources and areas of unspoilt nature.

Local authorities have adopted a decision to develop the spatial plan of the municipality of Malo Crniće. An integral part of this decision relates to the programme to develop the spatial plan in accordance with the law on planning and construction. Moreover, a decision has been made to adopt local strategies for the sustainable development of Malo Crniće for the period between 2010 and 2013.

The final draft strategy was developed in conjunction with a local partnership team, the coordinator of working groups, working groups and regional development experts, along with council leaders and the municipal coordinator. This document presents the needs of the municipality and its inhabitants in the coming years. Malo Crniće also has potential for the development of tourism based on nature trips, short breaks and health holidays (rural, ethnic, ecological, recreational and hunting).

MB Farmakom Šabac, the new owner of the Lece mine in Medveđa, has commenced operations. This was a brownfield investment worth nine million euros and the new owners intend to employ 200 new workers in the first phase.

Russian investor, Adriatic Stroinvest, has begun construction of a luxury five-star hotel at Sijarinska Banja.

Invest In Nature The municipality of Mionica is 80 kilometres south of Belgrade in western Serbia. It covers an area of 329 square kilometres and has a population of 16,785. Over 60% of the municipality’s population is engaged in agriculture.

There are several regional roads in close proximity to the municipality, including the important Ibarska highway, which is just 20 kilometres from Mionica. There is also the Belgrade-Bar railway and

a small airport seven kilometres away in Divci.

The municipality has beautifully preserved nature, which offers good potential for the development of tourism, as well as the development of organic food production.

Tourism in the municipality of Mionica is varied. Mionica is widely known for its well-developed tourist facilities. In recent times the development of rural tourism has become more popular and several ethnic centres designed to accommodate tourists have been established.

There are several construction projects going on in nearby Vrujci, where the water has healing powers and is beneficial to the treatment of rheumatism, nervous tension and high blood pressure.

There are also thermal springs in Lepenica (two kilometres from Mionica) and a sports and recreational centre is currently being built there.

Mionica doesn’t have an industrial zone, but municipal authorities are efficient in issuing relevant permits. This procedure usually takes up to 15 days

contact Dr Esidol Perić,

contact Slobodan Drašković,

contact Milan Gavrilović,

Municipal President Marsala Tita 80, 12311 Malo Crniće Tel: +381 (0) 12 280 009, Fax: +381 (0) 12 280 006 predsednik@opstinamalocrnice.org, www.opstinamalocrnice.org, Language spoken: English

Municipal President, Jablanička 48, 16240 Medveđa Tel: +381 (0) 16 891 197, Fax: +381 (0) 16 891 106 Email: somedvedja@yahoo.com, www.medvedja.org.rs Languages: Serbian, English, French, Russian and German

President of the Municipality Vojvode Mišića 30, 14242 Mionica Tel: +381-14-62-020; 62-666, Fax: +381-14-62-241 Email: somionica@ptt.rs, Website: www.mionica.org.

Languages spoken: Serbian, Russian, English and French Serbian Potentials | the Investors Guide | 37

MEROŠINA

Oblacina Cherry The population of the municipality is predominantly engaged in agriculture, primarily fruit growing

M Slobodan Todorović President the of Municipality of Merošina

“Merošina’s tourism potential is represented

by Lake Oblačina and Mali Jastrebac Mountain”

contact: Slobodan Todorović

Cаrа Lаzаrа 17 Place & postcode: Меrоšin 18252 Tel: 018 4892004 Fаx: 018 4892035 Email: slobamer@gmail.com Snežana Dinić, Head of the Department of General Administration and non-economic activities Tеl: 018 4892034; Fаx: 018 4892035 Email: strucnasluzba12@gmail.com.

Foreign languages: English

38 | the Investors Guide | Serbian Potentials

cover all settlements but are present in the cenerošina municipality is in central Serbia tral part Merošina. and occupies an area of 193km 2.

The territory of the Municipality of Merošina According to the 2011 census, it is home does not yet have bespoke business parks. to 14,314 inhabitants in 27 settlements. Among The tourism potential of the municipality is the smallest municipalities in Serbia in terms of represented by Merošina’s Lake Oblačina – covsurface area, it borders the territory of the City of ering an area of 23ha, with a maximum depth of Niš and the municipalities Aleksinac, Prokuplje, 4.7m, it is supplied by underground water and Žitorađa and Doljevac. has a dull green coloured, is partly covered by It spreads over the western part of the Nišava reeds and is rich in fish, mainly carp.

Valley and is enclosed to the north and northThe middle part of the municipality is trawest by the Mali Jastrebac mountain massif. The versed by the Niš-Prokuplje national road, which east side is partly bordered by the South Morava. represents the municipality’s link to the Corridor It is connected to Pan-European Corridor 10 10 highway and conand middle of the nects eastern and territory is traversed south-eastern Serbia by the Niš-Prokuplje with Kosovo and national road, which Montenegro. It is lorepresents the mucated 230km from nicipality’s link to Belgrade, 220km the Belgrade-Nis from Skopje and highway and con160km from Sofia. nects eastern and Merošina municsoutheastern Serbia ipality’s most valuawith the province of ble natural resource Kosovo. Merošina, is agricultural land is an equal distance that provides condi(17km) from both Businesses need to invest in the tions for diverse agNiš and Prokuplje.

The population Municipality of Merošina because local ricultural producof the municipality taxes and fees are adjusted to the level tion (first place in is predominantly enof development of the municipality fruit production belongs to the famous gaged in agriculture, and are in the group of lower “Oblačina cherries”, primarily fruit growthen plums, strawberries, blackberries, raspbering: the famous "Oblačina cherry", cultivated on ries and melons under covered conditions). about 1,500 ha, plum cultivar 'Stanley', strawberThe Municipality of Merošina’s tourism pories, raspberries and blackberries, as well as vegtential is represented by both Lake Oblačina and etable production under greenhouse: tomatoes, Mali Jastrebac Mountain, which is only around peppers, cucumbers etc.

12km from the seat of the municipality. This enMost companies are located in Mramorsko ables the development of mountaineering, winHill Industrial Zone, which is equipped with inter sports, camping and hunting wild game. frastructure (electricity, water and sewage). As Businesses need to invest in the Municipality for infrastructure across the territory of the muof Merošina because local taxes and fees are adnicipality, all settlements are linked through justed to the level of development of the munictransport infrastructure (local/regional roads) ipality and are in the group of lower fees in comand have electricity and telephone lines, while parison to neighboring municipalities. ■ the sewage and water supply networks do not

negotin

niška banja

nova varoš

A Fantastic Location

Town of tourism

Recreational Tourism

The national investment plan has granted financial assistance

This spa town boasts thermomineral and natural mineral water, as well as mud rich in minerals

The municipality has good hydropotential and quality timber

The municipality of Negotin is in the Negotinski district and covers an area of 1,089 square kilometres beside the tri-state border between Serbia, Romania and Bulgaria.

Small enterprises account for a significant share of the economic activity in the municipality, while there are around 1,000 private entrepreneurs and over 200 companies.

The municipality’s greatest potential lies in the

Niška Banja (Niš Spa) is situated 10km southeast of Niš, near the confluence of the Nišava and South Morava rivers. It covers an area of 145km2 and has a temperate continental climate.

Niška Banja’s transportation infrastructure links it to a well-developed road and rail network and a large number of bus routes. Local rail and road routes are the part of the main Balkan corridor Belgrade-Niš-Sofia-Istanbul and Belgrade-NišSkopje-Thessaloniki-Athens. Niška Banja is 12km from Niš’s Constantine the Great Airport.

The local mineral water springs are among the group of alkali-ground water (36-38°C), slightly mineralized and with a capacity of 56 litres per second.

The spa’s clinical centre is surrounded by green forests that stretch over an area of more than 70 hectares. The municipality’s highest potential and greatest investment opportunities are in health tourism, sports tourism, conference tourism and the hotel and catering industries.

Plans are in place to construct infrastructure for tourism development. To date the municipality has cooperated with the European Agency

The municipality of Nova Varoš is situated in south-west Serbia at the very heart of the Zlatibor district. The municipality covers an area of 581.47 square kilometres and has 19,982 inhabitants. It is linked to neighbouring municipalities via regional roads, while the Belgrade-Bar railway runs 15 kilometres from Nova Varoš.

Nova Varoš has exceptional natural tourist potential with such features as well preserved coun-

River Danube and with its favourable geographical position make it suitable for wind farms and agriculture.

The Negotin municipality has an industrial zone that covers an area of 46.5 hectares and is intended for production activities, storage facilities, warehouses and other commercial properties. A section of the zone covering 29.5 hectares has constructed roads, running water and an electrical supply, while plans for the remaining 17 hectares envisage the construction of a sewage system and continuation of the existing water system, electricity grid with public lighting, roads and telephone lines. The national investment plan has granted financial assistance to bring to fruition the plans for the industrial zone.

The advantages of the industrial zone lie primarily in its vicinity to main roads, the local railway station and the Prahovo Harbour on the Danube (part of pan-European Corridor 7). The industrial zone is situated 136 km from Corridor 10 and 150 km from the Niš Airport. The biggest investor in the municipality is Neochimiki L.V. Lavrentiadis S.A.

for Reconstruction, USAID and the Government of Denmark.

Potential investment sites include the Ada Ženeva sports and recreation centre (including an artificial lake, hotel, catering and sporting facilities), the Lozni Kalem recreation centre (aqua park), the Vrtop sports complex (tennis courts, wellness centre) and the Koritnik ethno village.

tryside, over 500,000,000 cubic meters of top quality water in many lakes and springs, villages that are suitable for rural tourism and Zlatar mountain, which is ideal for the development of health, sports and recreational tourism..

The municipality has good hydro-potential and quality timber. As a mountainous and environmentally clean region, Nova Varoš is suitable for the production of organic food (especially meat, milk and dairy products, potatoes, carrots, raspberries, forest and medicinal herbs). The most developed industrial branches in the municipality are wood processing, plastic materials processing and the machine parts industry. Most of the workforce has completed high school education.

The following industrial branches are suitable for investment: timber processing, the cultivation and processing of medicinal herbs, meat, milk and dairy production, fish ponds, bottling of natural water, tourism (building tourist facilities on Zlatar Mountain), growing and processing potatoes and carrots, livestock breeding, etc.

contact Dr Vlajko Djordjević,

contact Dragana Jovanović,

contact Slaviša Purić, President of

President of the Municipality Trg Stevana Mokranjca 1, 19300 Negotin Tel: +381-19-544-000, Fax : +381-19-541-386 ouc.negotin@yahoo.com , www.negotin.rs Languages spoken: English

Address: Sinđеlićeva 3 Place & post code: Niškа Bаnjа 18205 Теl: 018 4548108 www.goniskabanja.org.rs pitanja@goniskabanja.org.rs

the Municipality, Živko Kolašinac, Assistant Karađorđeva 32, 31320 Nova Varoš Tel: +381(0)33/62-140, 62-142, Fax: 33/62-140, 62-142 Email: ounvaros@gmail.com, Website: www.novavaros.rs Languages spoken: English Serbian Potentials | the Investors Guide | 39

niš

The third largest city in Serbia Niš is among Serbia’s most developed cities and represents an industrial and tourist hub of national importance

Miloš Simonović President of the municipality of Niš

“Easily accessible from all directions”

contact: Miloš Simonović

Mayor of Niš Address: Gradska kuća (City House), 7 Jula Street, 2 Place & postcode: Niš 18000 Email: info@ni.rs, Url: www.ni.rs Milan Randjelović, Local Economic Development Office, Tel: 018 209239 kler@ni.rs, www.kler.ni.rs Free Zone South email: info@slobodnazona.rs Free Zone South url: www.slobodnazona.rs

40 | the Investors Guide | Serbian Potentials

The City of Niš is one of the oldest in the Balkans and is currently the third largest city in Serbia. It is the regional centre of Southeast Serbia in terms of administration, commerce and industry, politics, culture, sports and tourism. As such, its huge development potential is undeniable. Niš is among Serbia’s most developed cities and represents an industrial and tourist hub of national importance.

The city covers an area of 600km2 and is divided into five urban municipalities. Niš also has 74 suburban and rural settlements. The city’s total population is just over 258,000 citizens, which accounts for 3.3% of the population of Serbia and 65.5% of the population of the Nišava District.

In the mid-20th century, the post-war economy of the City of Niš was characterised by strong industrialisation focused on the machinery and electronic industry, which employed approximately 40,000 workers.

These branches have since been joined by the textile, metal processing, manufacturing and tobacco industries, as well as highly developed trade, transportation and food production/ processing.

Nowadays Niš’s economy is characterised by a large number of SMEs, especially in the electronics field. The most important exporters in the City of Niš are Phillip Morris International – Tobacco industry Niš, Nissal, Vulić & Vulić, Stokoimpeks, Jugo-impex, Firgonais, Yumis, Vossloh MIN skretnice, UNIJAPAK, Engel Sistem and others.

The workforce is characterised by its exceptional efficiency, while traditionally it has specialised in the electronics and machine industries. Moreover, the unique combination of high quality and low costs is one of the key factors in reaching a strong business performance. The quality of the local workforce is best reflected in robust industrial productivity, rising at an 11% rate between 2004 and 2008.

The Donje Medjurovo Industrial Zone covers

254.3ha and is fully equipped in terms of infrastructure, with gas, electricity, drainage and sewage systems, access roads, rail links and internet connection. It is located in the west of the city, just 2km from Pan-European Corridor 10, 5km from the city centre and 4 km from Constantine the Great International Airport.

The North (Sever) Industrial Zone covers 650ha and is also fully equipped in terms of, with gas, electricity, drainage and sewage systems, access roads, rail links and internet connection. It is located in the west of the city, just 1km from Pan-European Corridor 10, 4km from

The most important areas for investment in Niš are the automotive industry, electronics, IT and software development, the mechanical industry, textile industry, food industry and logistics the city centre and less than a kilometre from Constantine the Great International Airport.

The East (Istok) Industrial Zone covers 73.7ha and is also fully equipped in terms of, with gas, electricity, drainage and sewage systems, access roads, rail links and internet connection. It is situated in the east of the city, just 2km from Corridor 10, 5km from the centre of the city and 8km from Constantine the Great International

along the River Vardar Valley to Thessaloniki Prokuplje, according to which 70% will Airport. This is a new industrial zone with an and Athens and the other heading east along be owned by the City of Niš and 30% by additional 34ha. the Nišava and Marica Valley to Sofia, Istanbul Prokuplje. The companies that will benefit The Ivana Milutinovica Street Industrial and further on to the Middle East. from the services offered by doing business Zone (17.93ha) is fully equipped with gas, Air traffic is conducted through the airin Free Zone South are mostly orientated toelectricity, wastewater and sewage systems, port Constantine the Great, which is located ward the automotive and textile industries. access roads, 23/23 internet and railway ac4 km from the center of The City of Niš. The The City of Nis is the regional centre of cess. It is situated in the western part of the airport is situated in an area with good weathSoutheast Serbia in terms of administration, City, just 4km from Corridor 10, 3km from the city centre and 5km from Constantine the Great International Airport.

When it comes to realising investment projects, the City of Niš can provide land at prices below market value of free of charge, in accordance with the Serbian government Decree defining the rules for providing cheap or free land to investors. The City also provides a personal assistant from Local Economic Development Office to guide and support an investment project from start to finish.

The most important areas for investment in Niš are the automotive industry, electronics, IT and software development, the mechanical industry, textile industry, food industry and logistics.

The City of Niš provides on-site information in 3 days, location permits take 7 days, construction permits are issued in 5 days, as is approval for construction when permits are not required. Technical control takes a day The City of Nis is the regional centre of Southeast Serbia in terms of to complete and usage permits are issued in 3 days. administration, commerce and industry, politics, culture, sports and tourism The City of Niš has attracted nuer conditions throughout the whole year, with merous foreign investors, such as Phillip commerce and industry, politics, culture, a few foggy and snowy days, so that in the Morris, the Yura Corporation, Benetton, sports and tourism. Apart from a very favourpast it has been used as an alternative airport Shinwon, Dytech F&F Serbia, Harder Digital, able location, human resources represent for the airport in Priština, Podgorica, Belgrade, Mr. Bricolage, Metro Cash & Carry, OMV, one of its main strengths.

Tivat, Ohrid, Skopje and Sofia.

Eko Serbia (Hellenic Petroleum), Inter Moll, The quality of Niš’s intellectual capital is Free Zone South has its main office in Niš Mercator, Jysk, Intermarche, Gazprom Neft, based on an education system that producand is situated at three separate locations: Haj Ararat etc. es well-educated, fast learning, multilingual within the Donje Medjurovo Industrial Zone, As a regional hub and transport intersecand IT literate people. Moreover, apart from at Niš’s NITEX complex (Benetton) and in the tion, Niš is characterised by solid infrastrucbeing qualified, local workers are also very industrial zone in Prokuplje, where the factoture: transport infrastructure, electricity, gas, competitive in an economic sense and have ry LEONI is situated (28ha, 48ha, 38m2). Free water, wastewater management, optic caa strong work ethic. bles etc. Niš is easily accessible from all diThe unemployment rate is slightly highZone South is due to have around 7,500 workrections, thanks to its status as a European er than the national average, due to the ers by the end of 2012, representing a total road transport hub (Corridor 10) and rail tertransformation of massive industries into investment of nearly €90 million: Benetton minal, as well as the site of the Constantine numerous SMEs during the transition peri€43.2 million, Yura Corporation €15 million, the Great Airport. od. This characterises the City of Niš as an Shinwon €13 million, Daytech €8 million and The main road links heading south from underdeveloped region and ensures that LMB Soft €1 million.

Belgrade through the River Morava Valley average earnings are 10 to 20% lower than The decision to form this Free Zone was split at Niš, with one route heading south in the rest of the country. ■ adopted by the city assemblies of Niš and Serbian Potentials | the Investors Guide | 41

Novi Pazar

Textile heaven The Pešter plateau has huge untapped potential for the production of milk, dairy, meat and processed meat products.

T meho mahmutović President of the municipality of Novi Pazar

“The Novi Pazar Industrial Zone offers various possibilities for cooperation”

contact:

Ramiz Paljevac and Nebojša Milinković

Address: Stevana Nemanje 2 Place & post code: Novi Pazar 36300 Tel: 020 316 469 / 331 040 Fax: 020 311 942 Email: office@novipazar.org.rs; odsekzaprivredu@hotmail.com Url: www.novipazar.rs

42 | the Investors Guide | Serbian Potentials

plateau has huge untapped potential for the prohe City of Novi Pazar covers 742 km2 of duction of milk, dairy, meat and processed meat mountainous area in southwest Serbia. An products. ecologically healthy environment, there are The Municipality is absolutely committed to no major environmental pollutants within a 150 reducing the time required to complete adminiskm radius. trative procedures for individual licenses, offerThe city of Novi Pazar has 1,015 active compaing exemptions from payments of utility charges nies and 2,809 trade and retail outlets. and taking care to assist investment projects and Novi Pazar has two universities with 5,125 stutheir implementation. dents. It has a high percentage of highly qualified Through its partners, workers in the textile, footNovi Pazar has made interwear, construction and metmediate level investments al industry sectors, as well in textile garments (denim as in the field of transport. fabric), furniture and shoes.

The Novi Pazar Industrial Investors here are from Zone offers various posTurkey, Italy, Russia and sibilities for cooperation: Germany. joint ventures, individuNovi Pazar’s national investments, land lease, al and regional roads: M22 business incubators and all Raška-Novi Pazar, M8 Novi other forms of investment.

Pazar-Sjenica-Aljinovići and The industrial zone is loR118a Novi Pazar-Tutin. cated in the greater metroAs well as having a politan area alongside the The most significant qualified workforce that Belgrade-Bar highway and sectors in Novi Pazar are boasts years of experience is equipped with all supthe textile sector, footwear and tradition in the noted porting infrastructure. manufacturer, health food fields, Novi Pazar also has The ASSTEX Textile Association has been production, tourism, trade and existing facilities for brownformed in the textile secconstruction, as well as the field investments: TK Raška tor and developed into a wood processing and furniture (16 ha), Vojin Popović (7 ha) and Prva Petoletka (3 ha). business cluster. The NP production sectors The city of Novi Pazar SHOES association/cluster is a multi-ethnic community with a specific gehas also been formed by local footwear producographical location. A witness to a turbulent hisers. Furniture manufacturers, food companies and tory, it is surrounded by the mountains of Golija firms from the construction sector are in the procand Rogozna and the undulating slopes of the ess of forming their own clusters.

Pešter plateau. As such, it is also suitable for the The installed but unexploited capacities of the development of mountain, sport/recreation and textile industry reach an annual volume of three spa tourism. million metres, while in the footwear sector this Novi Pazar is known for its commercial and equates to two million pairs of shoes. entrepreneurial spirit and is exceptional thanks The most significant sectors in Novi Pazar are to its natural resources and cultural values of nathe textile sector, footwear manufacturer, health tional and international importance. The creativifood production, tourism, trade and construction, ty of its people – a recognisable resource of Novi as well as the wood processing and furniture proPazar – has propelled the local private sector to duction sectors. the fore. Its operators include a large number of The area has great potential for the produclocal SMEs. ■ tion and breeding of cattle and sheep. The Pešter

osečina

paraćin

pirot

Fruit growing region

Benefits from the Budget

Business Incubator Launched

Osečina’s economy is known for its agricultural, food processing, chemical industry and arts & crafts

The Municipality of Paraćin is located 156 km south of Belgrade along international Corridor 10 highway E75

The municipality’s dominant industries are rubber, textiles and food production

The Municipality of Osečina is in Western Serbia. It is located along the left and right side of the Valjevo – Loznica main road and the Valjevo – Loznica railroad, which is currently under construction.

In the north, Osečina borders with the municipality of Koceljeva, in the east with Valjevo, in the south with Ljubovija and in the west with municipalities of Krupanj and Loznica. The municipality’s cen-

The most dominant sectors are the chemicals industry, non-ferrous metals, the food & beverage industry and the manufacture of construction materials. Paraćin has the Zmič Industrial Zone, which covers an area of 39 hectares and has 36.5 ha available for purchase or leasing over 80 years. The full starting price is €3.15/m² plus transfer fees of €0.4/m².

All roads have been constructed for Phase I of the industrial zone’s development. The local government offers several incentives for the building of business/manufacturing facilities that are dependent on the number of jobs created, construction land, obligation payment methods, company start-upd etc.

The most promising sectors for investment are construction, the food & beverage and textiles industries, trade, services/logistical centres and tourism. A deadline of 30 days applies for the granting of all approvals, while investors can obtain all necessary permits and documentation to commence operations in a period of 46 days.

The municipality does not have a business park.

Paraćin is at the crossroads of important roads, has direct access to Corridor 10 and is at the start

The Municipality of Pirot is located in southeast Serbia and covers an area of 1,232 km². It is home to 57,911 inhabitants.

Pirot’s most significant transport route is panEuropean Corridor 10.

Pirot’s Advantages: - Favourable geographical location - on Corridor 10 - Skilled workforce

tre – the town of Osečina – has close to 3,500 residents and is located 32 km north-west from Valjevo in the direction of Loznica and 130 km south-west from Belgrade in the north-east direction towards the Republic of Srpska.

Osečina’s economy is known for its agricultural, food processing, chemical industry and arts & crafts.

There are also several small plastic, paper and wood product manufacturers. The private sector is quite developed and is mostly made of SMEs, small arts & crafts and retail shops. According to the 2005 data, the municipality had a total of 28 industrial companies, 8 agricultural companies, 6 retail companies, 2 tourism, catering, and transportation companies and one that is engaged in forestry and construction.

Investors who hire over 10 workers are exempt from paying for access to water and sewage, as well as the utility tax for the period of two years, while those who hire over 10 workers are exempt from paying the aformentioned fees for a year.

Industrial branches that are suitable for investing are the food and plastic material processing.

of the international road E761 towards Zaječar and Bulgaria and national road E760 towards Kruševac and Montenegro. It has direct access to the E85 international rail line, which connects northern and southern Europe and the Middle East.

Niš’s Constantine the Great Airport is 80 km away. Paraćin is a modern, safe and economically developed municipality.

- Certificate of Pirot Municipality with a favourable business environment - Greenfield and brownfield sites - Available Industrial and commercial zones - Tradition of small business and tradesmen The municipality’s dominant industries are rubber, textiles and food production, as well as the chemical industry. The top local operators are Tigar Tyres, Tigar AD and clothing manufacturers Prvi Maj and Slobodna Zona. Pirot is fully equipped in terms of infrastructure and in 2011. it sold part of the Beg Bašča Industrial Zone.

The territory of the municipality also includes a Free Zone covering an area of 65 ha. According to its results, it is the most successful zone of its kind in Serbia.

With the aim of attracting investment, the Municipality of Pirot has decided to offer incentives for the construction and use of the facilities within local industrial and free zones, as well as benefits for new users of the Free Zone. The biggest foreign investor in the municipality is tyre giant Michelin.

contact Nenad Stevanović,

contact Jasmina Vidović,

contact Marija Đošić,

Karađorđeva 78 14253 Osečina Tel. 014/451-031, Fax: 014/451-158 E-mail: kabinet.predsednik@osecina.com Foreign language: English

Address: Tome Živanovića 10 Place & post code: Paraćin 35250 Tel: 035 563-489, Fax: 035 563-165, Mob: 063 438-745 Email: jasmina_vidovic@paracin.rs , Url: www.Paracin.rs Foreign languages: English

Address: Srpskih vladara 82, Pirot Place & post code: Pirot 18300 Tel: 010 305 580, Fax: 011 305 578 Email: ledo@pirot.rs Url: www.pirot.rs Serbian Potentials | the Investors Guide | 43

petrovac na mlavi

Ecological Projects Only In an administrative sense, the Municipality of Petrovac na Mlavi belongs to the Braničevo District

Radiša Dragojević President the of Municipality of Petrovac na Mlavi

“The municipality has significant tourism potential that is awaiting significant exploitation”

contact: Radiša Dragojević

Address: Srpskih vlаdаrа 165 Place & postcode: Pеtrоvаc nа Мlаvi 12300 Теl: 012 332722, 331280, 333533 Fаx: 012 331283 Email: info@petrovacnamlavi.rs

44 | the Investors Guide | Serbian Potentials

Smederevo.

Petrovac na Mlavi consists of 34 villages and As the municipality of Petrovac na Mlavi is locovers an area of 655km2. According to the latcated in a preserved environment, we welcome all est census, it is home to a total of 30,325 resiindustries that do not significantly pollute the endents, while some 10,282 local citizens are workvironment. Primary desirable investments are in ing abroad. the tourism industry and the processing of agriculThe seat of the municipality, the settlement of tural products.

Petrovac na Mlavi, is the only urban settlement in The municipality has significant tourism pothe municipality. It covers an area of 13.8 km2 and, tential that is awaiting significant exploitation. according to the 2011 census, has a population of The most important tourism areas are the Mlava 7,229 permanent residents and 760 locals based thermals - a hot water source for the Ždrelo Spa, abroad, making a total of 8,152. the Gornjačka Gorge, the Bistrica ethno unit, lakes The local economy is dominated by the agriBusur and Korenica, the Trest resort and the Gorko cultural sector, while a significant share is also ocOko air spa at Stamnica. cupied by stone quarrying, manufacturing of medThis area has the most fertile agricultural land, ical supplies and the processing of dairy products. settlements, industrial zones and the most imporThere are several facilities for the production of tant infrastructure facilities. A aluminium and PVC products, rational organisational concept as well as furniture production. is provided by the Municipality Significant investors operating and the development and use in the municipality are Alpine, of this space is one of the uniEkofil and MBS Commerce. versal priorities for the overThe industrial zone is locatall development of the municed on the outskirts of the town ipality and will be achieved of Petrovac na Mlavi alongside through a balanced arrangethe regional road and covers a ment of business activities, total area of 88.9ha. The zone the creating of improved living is developed under the auspicconditions, completion of all es of the Petrovac 2026 Master Important roads intersect aspects of infrastructure and Plan and the PDR Industrial on the territory of the the functional differentiation Zone, thus obtaining construcof settlements in accordance tion and operating permits is municipality and lead not a problem and does not retowards the Morava and with principles of environmenquire much time. Planning and Mlava valleys and towards tal protection.

The urbanisation of the project documentation is curthe Danube seat of the municipality will rently being prepared for the continue alongside the development of central creation of a modern business park in the seat of functions and the creation of conditions for carrythe municipality. ing out specific functions in secondary rural cenImportant roads intersect on the territory of tres, with the aim of meeting the needs of these the municipality and lead towards the Morava and satellite settlements and thereby enabling the and Mlava valleys and towards the Danube. One functional development of the municipality’s netof the region’s most important routes, regionwork of settlements. al ‘B’ road R105, passes through the municipality In order to realise this concept and the rationand connects Bor, Žagubica and Petrovac na Mlavi al organisation and use of space, a general plan for in one direction and Požarevac and Corridor 10 the city of Petrovac is being compiled, as well as (Belgrade-Niš) in the other. regulatory plans for secondary rural settlements, Petrovac na Mlavi is 116km from Belgrade, with the provision of space for the exploitation of 36km from Požarevac, 84km from Kragujevac and the Melnica mine. ■ about 70km from the duty free zone and port of

požarevac

preševo

priboj

Among 19 most Great Economic Full Support developed cities Potential for Investors Municipality offers investors its own locations

Preševo has great economic potential in large irrigated agricultural areas and numerous unexploited opportunities

A key transport town, Priboj is crossed by the main BelgradeBar railway

Požarevac is located in northeast Central Serbia, some 82km southeast of Belgrade. It is home to 74,070 inhabitants and covers an area of 481km2 (74% agricultural land).

The municipality's main roads are highway M-24 (linked to Corridor 10 / Belgrade-Niš highway), and the M25.1 Đerdap national road.

Its competitive advantages are its proximity a good links to Corridors 4, 6 and 10,

The municipality of Preševo is located in the extreme south of Serbia, in the Pčinja district. The region’s most important transport corridors run through Preševo’s territory, including pan-European Corridor 10, the M-25.2 road and the BelgradeNiš-Skopje-Thessalonica-Athens railway.

The municipality covers 264 square kilometres and has around 36,000 inhabitants.

Preševo’s additional advantages include large agriculture areas, a long tradition of agriculture and livestock breeding and a powerful Diaspora community that maintains dynamic links with Preševo.

Developed economic sectors in Preševo include metal processing, the construction industry, production of building materials, food production, tobacco industry and tobacco production. The economy is dominated by private enterprise, with 95% of the municipality’s 500 companies being privately owned.

Preševo has great economic potential in large agricultural areas under irrigation,as well as a large number of unrealised opportunities, such as agricultural co-operatives, crystal, tobacco processing

The town and municipality of Priboj is located in south-western Serbia’s Lim River valley, within the border triangle of Serbia, Montenegro and Bosnia and Herzegovina (Republika Srpska). A key transport town, Priboj is crossed by the main Belgrade-Bar railway connecting the Serbian capital to Podgorica and the Adriatic coast.

Priboj covers an area of 552 square kilometres.

Arable land covers a third of the total area, while forestland takes up around 62%. The economic potential of

Belgrade, the River Danube and the European Union.

The most significant industries in Požarevac are agriculture, energy, food processing and tourism. The City of Požarevac is among the 19 most developed cities and municipalities in Serbia.

The City of Požarevac is forming an industrial zone with greenfield sites on 19 acres.

Požarevac offers investors its own locations and those of private owners for greenfield investments. The city area includes numerous brownfield sites suitable to lease or buy.

The City Assembly adopted a decision on benefits to be offered to investors for making direct investments, relating to reductions or exemptions from otherwise obligatory local fees and taxes. The industries we suggest include production activities, manufacturing, food processing and agriculture.

Požarevac has no business parks.

factories, etc.

The municipality has carried out all infrastructure preparation for the planned industrial zone and Preševo has 3,595 employees.

The municipality of Preševo has established a municipal service to assist potential investors and to reduce the time required for administrative tasks.

Priboj municipality is being sought in the development of the SME sector, agriculture and tourism, but also in the development of transport vehicle technologies, heavy industry and the chemicals industry. Priboj’s potential for tourism development lies in the expansion and redevelopment of the Priboj Spa complex, renowned for its thermo mineral springs since Roman times. Ethno, cultural and religious tourism is supported by the majestic Banja Monastery of the Nemanjića Foundation, one of the oldest and most important Serbian monasteries.

The advantages of the municipality include an educated and affordable workforce and an excellent geographical position. The local government offers full support for investors, as does the Serbian state.

The municipality of Priboj ensures the swiftest, most effective and cheapest way to obtain all permits and approvals applicable under its jurisdiction. Depending on the size and type of investment, direct agreements are possible with regard to all local fees and taxes.

The most important investors actively present in the municipality of Priboj are Swisslion Markets, Delta Holdings and Spy & Wellness.

contact Siniša Marjanović,

contact Ramiz Ljatifi,

contact Lazar Rvović,

Coordinator for local economic development Address: Drinska 2, Požarevac, 12,000 Tel: 012 539 678, Fax: 012 539 622, Mob: 065 891 8365 Email: sinisa.marjanovic@pozarevac.rs Url: www.pozarevac.rs

President of the Municipality Marsala Tita 36, 17523 Preševo Tel. +381 (0) 17 669 137; Fax: + 381 (0) 17 660 320 Email: Kanc.ler-Presevo@hotmail.com Languages: Serbian, Albanian, English, German and Turkish

Municipal President 12. Januara 108, 1330 Priboj Tel: +381 (0) 33 2445 648, Fax: +381 (0) 33 2445 446 Email: opstinapb@ptt.rs , www.priboj.org.rs Languages spoken: Serbian and English Serbian Potentials | the Investors Guide | 45

POŽEGA

Transport Hub Požega has a large number of cooling units for refrigerating and freezing fruit, while the meat industry of particular importance

T

Мilоvаn Мićоvić President the of Municipality of Požega

“With the exception of Belgrade, Pоžеgа has the largest railway hub on the Belgrade-Bar line”

contact: Мilоvаn Мićоvić

Address: Trg Slobode 9 Place & postcode: Požega 31210 Tеl: 031 811181 Fax: 031 811151 Mob: 069 8977850 Email: predsednik@pozega.org.rs Goran Simović, deputy mayor Mоb: 069 8977851 Email: zamenik.predsednika@ pozega.org.rs, simovic01@nadlanu.com

46 | the Investors Guide | Serbian Potentials

prescribed amount. Company registration taxes he municipality of Požega is located at the are reduced depending on the amount of total intersection of national roads MP5 and income generated in the previous year.

MP21 in western Serbia. It is 168km from The Municipality quickly provides investors Belgrade. The municipality is traversed by the with local permits to commence operations berivers Rzav, Lužnica and the Black and White cause it has adopted a development programme, Kamenica. It is bordered by the mountains of the spatial plan of the municipality of Požega, a Maljen, Kablar and Ovčar, as well as the footGeneral Urban Plan of the town and detailed reghills of Mount Javor, which make up the Požega ulatory plans for 65% of the territory. high valley.

The state of local infrastructure in the muThe economy of the municipality comprisnicipality can be evaluated as satisfactory. Its es a metal industry complex, perforation proadvantages include good links with the immeduction, the wood industry, the manufacture of diate surroundings and wider region (via nafurniture from solid wood and board materials, tional and regional roads and railway lines), the construction materials industry (lime, buildgood quality drinking water, sufficient reservoir ing blocks, stone processing - fraction, marcapacities for the metropolible blocks, concrete breeze tan area and an existing wablocks, roofing tiles), knitter treatment plant. wear, the food industry, dairy The basis of the local road processing (Trappist cheese, network are the Belgrademilk curd, soft cheeses, yoSouth Adriatic highway (E763) ghurt etc.), fish processing and the West Morava corri(fillets, fish paste etc.). dor, which follows the route of Požega has a large European road E761, as well number of cooling units for as links to the Belgrade-South refrigerating and freezing Incentives are provided Adriatic and the Belgrade-Niš fruit (raspberries, blackberfor newly established highway. ries, plums, apples, rose hip With the exception of companies and etc.), while the meat industry Belgrade, Požega has the of particular importance entrepreneurs in the first largest railway hub on the Agricultural activities are year of operation Belgrade-Bar(Montenegro) carried out by rural houseline, with a branch towards Stalać. The largest holds with diversified production, especially in railway station in the region is located here, the peripheral parts of the municipality. boasting 16 tracks on the Belgrade-Bar line Požega has a rich cultural heritage and there with a branch towards Kraljevo and Niš. are sites for tourist facilities in the Tometino It is 50km from Ladjevci Airport.

Field area. Most of the town is covered by gas The Municipality of Požega does not have connections, while local transport routes are any business parks, though there are two existwell developed.The urban development plan ing greenfield sites. defines an area of 85ha in the industrial zone The largest agricultural and natural refor a future duty free- industrial zone, while sources include 9,500ha of arable land, lime210ha has been set aside for a business park. stone for the production of building materiIncentives are provided for newly estabals (rizal, lime), “blue flow” marble from two lished companies and entrepreneurs in the first sites (Kalenići and Tvrdići), quarries for the year of operation, with 20% reductions on the exploitation of stone and clay, high-quality local utility tax. For other firms and each subdrinking water and Roge and Dobrinje thersequent business established outside the town mal mineral spas. ■ the local tax burden is reduced by 90% of the

prokuplje

raška

ražanj

Permits in a Month

The Foothills of Attractive Mount Kopaonik Location

Local subsidies to private companies over the course of last year amounted to 2,093,000RSD

The greatest natural resources here include the Ibar coal mines of Baljevac, the Lokve dolomite mine

The employment level of 96 employees per 1,000 inhabitants shows how far Ražanj is lagging behind

The municipality of Prokuplje covers an area of 759 km2 and has a population of 43,631. A favourable location and land configuration created conditions for the most important Central Balkan transversal route to pass through Prokuplje.

Basic industrial production here covers the food & beverage and processing industries. In addition to metals, non-metals and textiles, the dominant sector in Prokuplje is by far the agricultural food sector, particularly agro-industrial, while there is also the gradual development of the private sector.

Greenfield and brownfield investment sites are located in the Berilje, Solunska and Stara industrial zones.

The Municipality completes all documentation and permit issuing procedures within a month of submission.

Prokuplje is today supplied with water from underground sources (40%) and accumulation (60%), but this ratio will change upon completion of the Selova accumulation lake, which will see supply from accumulations reach up to 90%. Road transport in the

Raška municipality is located in southwest Serbia and occupies the central part of the Ibar Valley, as well as the slopes of mounts Kopaonik and Golija. Covering an area of 670km, the municipality has 61 settlements and is home to 25,000 inhabitants.

Raška has a favourable location, thanks to good transport infrastructure linking it to the surrounding area. The M22 national road connects the municipal-

The municipality of Ražanj has a favourable location at the crossroads of the Balkan and Carpathian mountains and the basins of the Great Morava and Southern Morava rivers. The municipality is part of the Nišavski district and covers an area of 289 square kilometres.

The pan-European Corridor 10 (Belgrade-NišThessalonica-Athens) passes through the municipality. The municipality has 23 villages and its central town

ity to neighbouring Montenegro, via Novi Pazar and Kosovska Mitrovica, and further on to the FY Republic of Macedonia. In addition to the national road, there is also the Kraljevo-Raška-Kosovska Mitrovica railroad.

In the mining sector there is the Ibar coal mines of Baljevac, the Lokve dolomite mine, the quarry that forms part of IGM Megalit-Šumnik and the Suva Ruda lead and zinc mine. Tourism is the main development priority of the municipality, as it is home to arguably Serbia’s two most beautiful mountains: Kopaonik, as an existing tourist/sports centre and Golija, as a potential future centre of tourism.

The municipality of Raška’s urban settlements have areas designated as business zones, though they are in private, as opposed to state, ownership and are equipped in terms of infrastructure.

Documents required by future investors in the municipality can be obtained within legally-defined deadlines. It is important to note that future investors are directed towards investments in tourism, the wood industry and utilisation of renewable energy in the area of thermal water, the hospitality sector and agriculture.

of Ražanj is 55 kilometres from Niš toward Belgrade.

Most companies that operate in the municipality are micro-enterprises (one to five employees), with only a few companies in the ‘small’ range of five to 50 employees. Razanj has no medium or large companies.

Municipal authorities are in favour of the development of the SME and broader private sector.

The greatest number of workers are employed in the processing industry, followed by the wholesale and retail trade sector, health and social work and education. Companies operating successfully in Ražanj include the non-ferrous metal foundry 14th October, producers of metal constructions Metaloprerada and Gerber-Export.

The employment level of 96 employees per 1,000 inhabitants shows how far Ražanj is lagging behind other municipalities in central Serbia and the Nišavski district.

Ražanj has 16,926 hectares of agricultural land, which represents 59% of the municipality’s total surface area. The structure of the agricultural area is characterised by a large proportion of arable land.

municipality is catered for by a 359.5 km road network and 220 km of urban roads. The municipality does not have business parks, but plans are in place for the formation of the South Free Zone, as a joint free zone venture between the City of Niš and the Municipality of Prokuplje with commercial-industrial zones.

The Business Incubator Centre Ltd. Prokuplje officially started working from June 2007.

contact Ivan Niketić,

contact Radenko Cvetić,

contact Dobrica Stojković

Address: Tatkova 2 , Prokuplje 18400 Tel: 027329703 Mob: 062 248 035 Email: ledoffice@prokuplje.org.rs Url: www.prokuplje.org.rs

President of the Municipality of Raška Address: Predraga Velimirovića 1 Place & postcode: Raška 36350 Tel: 036 736221, Fax: 036 736204 Url: www.raska.rs

Municipal President , Dragiša Todorović, assistante, SO Ražanj, 37215 Ražanj Tel: +381-37-841-217; Fax: +381-37-841-225 opstinarazanj@gmail.com, www.razanj.org Language spoken: English Serbian Potentials | the Investors Guide | 47

prijepolje

Female Entrepreneurship The Kolovrat Business Zone includes the Industrial Zone, with 13 plots on a total area of 2.5 ha, ranging from 70-330m2 per plot.

P Dragoljub Zindović President of the municipality of Prijepolje

“The stone processing industry is very well developed and functions by combining tradition and modern technology”

contact: Dragoljub Zindović

Svetlana Slović, Office for Local Economic Development Address: Trg bratstva jedinstva 1 Place & postcode: Prijepolje 31300 Tel: 033 712152 Fax: 033 712297 Email oprijep@gmail.com, prijepolje033@gmail.com

48 | the Investors Guide | Serbian Potentials

rijepolje is a municipality in southwest Serbia belonging to the mid Polimlje region, though administratively it is part of Zlatibor District. With an area of 827km2, Prijepolje is the second largest municipality in the district. According to the 2012 census, the municipality has a population of 36,713 inhabitants.

The distance to airports in the region ranges from a maximum of 300km (Belgrade), through a reasonable 200km (Podgorica and Sarajevo) and a more than favourable 100km (airports under construction near Užice and Kraljevo).

Prijepolje is the centre of the Polimlje sub-region in an administrative, economic, educational and social sense and has clear ambitions to continue developing that status.

The municipality has 1,265 registered retailers and 270 registered enterprises. The most important economic players are companies from the textile and chemical processing sectors, which marked positive growth trends despite the privatisation

process. As part of the reform of the municipal administration over the past few years, much has been done to improve institutional, i.e. logistical, support and communication with entrepreneurs at the local level through the establishing of the Local Centre of the Zlatibor Regional Development Agency and the Department for Local Economic Development.

The fact that most companies identified commercial interests in the wood industry confirms the development potential of this processing sector. These sectors are followed by the production of textiles and textile products, which is showing remarkable flexibility despite difficult times for the sector by absorbing a significant number of workers from the local labour market.

This is particularly important given the role of women’s entrepreneurship in the overall socio-economic development of the area.

The Kolovrat Business Zone includes the Industrial Zone, with 13 plots on a total area of 2.5 ha, ranging from 70-330m2 per plot.

One of these plots provides excellent opportunities for brownfield investment, as it includes an abandoned building with dimensions of 50m x 15m that is built of solid material and suitable for the maintenance and repair of vehicles and machines. All other locations are undeveloped and suitable for greenfield investments.

The industrial zone is fully equipped in terms of infrastructure (access road, electricity substation, sewage/drainage connections and mains water supply)

Halfway between the Adriatic Sea and the Pannonian Plain in a south-north route that is covered by road and rail infrastructure in these directions, Prijepolje ranks among the local governments with the best geographic positions in Serbia

variety of different locations with abandoned intive affect on human health. and is available for lease by interested compadustrial complexes, The municipality is located halfway between nies. Based on detailed research carried out by • The availability of the workforce and its the Adriatic Sea and the Pannonian Plain in a the Municipality, the recommended sectors for price in relation to the Serbian average. south-north route that is covered by road and investment are production, trade, services and • The experience of the workforce in the texrail infrastructure in these directions. As such, administrative activities within the wood, food tile, footwear and machine industries, who have Prijepolje ranks among the local governments and textile industries, which have been identioperated within these three sectors. with the best geographic positions in Serbia. fied as the motors of the municipality’s develop• The time required to obtain building perWhat sets Prijepolje apart from similar mument. This location has significant potential and mits has been reduced to 60 days, which helps nicipalities are certainly its specific qualities, a basic orientation towards the development to greatly accelerate and stimulate investment some of which are God-given and some of which of SMEs and entrepreneurship, which the local cycles. are the result of the hard work of people dedicatcommunity expects much from in the future, as a kind of generator of overall economic development in Prijepolje and the surrounding area.

The Municipality of Prijepolje has defined conditions and criteria for offering reduced prices, as well as criteria and standards for evaluating offers for land available within the industrial zone: the starting price per squaremetre to lease land already used for construction is 2,000RSD over a total lease period of 50 years, with the future tenant's obliged to employ at least one worker per 10m2 of regulated land, as well as registering a company/branch office on the territory of the municipality, while an investor who builds commercial/pro- As part of reforms much has been done to improve institutional, i.e. logistical, support and communication with entrepreneurs through the establishing of duction facilities is entitled to lease fees reduced from the specified pubthe Local Centre of the Zlatibor Regional Development Agency lic call by three percent for each new • Institutional support for investors is coned to the development of the municipality and employee. firmed with the establishing of the Department its continuous improvement.

Prijepolje’s successful investment story for Local Economic Development within the Here are just some of the advantages: is that of company Emilio Stecher, which was municipal administration, as well as through • A favourable location on the three-way borfounded back in 1944 in Switzerland, where it the continued support of the Zlatibor Regional der area of the Republic of Serbia, the Federation acquired a large number of reliable suppliers and Development Agency of Bosnia & Herzegovina and the Republic of customers in the field of stone processing. Its • The availability of resources to produce enMontenegro, enabling fast logistical treatment of tradition of successful business has been transergy from renewables, primarily focused on biogoods, passengers and services, ferred in Prijepolje, where it has operated for the mass, which has an estimated capacity of 27 mil• Access to a shared market of three counlast three years. The initiative to invest in this unlion kw/h, then wood fuel, supported by the fact tries of 12.5 million consumers, offering great derdeveloped area came from company co-ownthat 48.35% of the municipality is forestland, potential to place goods and services, er and Prijepolje local Meša Podbićanin. The valand then hydropower, the potential of which is • National roads M21 Subotica-Podgorica ue of the investment in Prijepolje amounted to reflected in the multitude of small streams that and M8 Novi Pazar-Pljevlja, as well as the over €3 million and resulted in the hiring of over could host small hydro-power plants, for which Belgrade-Bar railway, pass through the munici30 local employees. the municipality is ranked 5th in the country in pality of Prijepolje, Emilio Stecher is engaged in stone processterms of the potential of this renewable resource, • Mineral riches with proven potential but ing through a combination of the traditional while it is ranked 2nd in terms of the number of currently under-exploited, primarily lead, copper methods of old maestros and modern technolplants of this type planned for construction. and zinc ore, represent an alternative field of deogy. The production programme is dedicated to • Tourism potential, which is embodied in a velopment for this municipality, making kitchen surfaces, bathrooms, façades, diverse and preserved natural environment, sup• The potential for greenfield investment is courtyards and swimming pools, floor and wall ported by a rich cultural and historical heritage, provided by 13 plots of land fully-equipped in coverings, steps, furniture, fireplaces and simiwith a special emphasis on active, rural and speterms of infrastructure, lar products. A special product in the company’s cial interest tourism. ■ • Brownfield investments are possible at a range is its bed made of onyx, which has a posiSerbian Potentials | the Investors Guide | 49

Rača

Yura Opens Doors The dominant industrial sector is production of electrical equipment for motor vehicles, which is a tradition of the municipality

Drаgаnа Živаnоvić President the of Municipality of Rača

“Rаčа is only 10km from Corridor 10 and the Lapovo rail terminal”

contact: Municipal President

Drаgаnа Živаnоvić

Address: Kаrаđоrđеvа 48 Place & postcode: Rаčа 34210 Tel: 034 751001, 751175 Mob: 069 8084000 Email: predsednik.opstine@raca.rs Url: www.rаca.rs Foreign languages: English, French, German, Italian, Russian and Spanish.

50 | the Investors Guide | Serbian Potentials

It covers a total area of 60,000m2 and the The Municipality of Rača is located in the east of central Serbia’s Šumadija District, to which it belongs. floor space of the four units, arranged according to The municipality covers an area of 216km2. Rača’s European standards, covers 650m2 - 2,000m2, or a tolocation is also favourable and it is only 10km from tal area of 5250m2. The site has connections to elecCorridor 10 and the Lapovo rail terminal. It is also lotricity, water supply, sewerage and telephone netcated at the intersection of national road 150 (M4) works. and the R109 regional road.

The available labour force’s vast experience in inAccording to the census of 2012, the municipality frastructure ensures the most desirable investment of Rača is home to 11,475 inhabitants. sectors are the manufacture of electrical components The dominant industrial sector is production of and devices, as well as wood processing and furniture electrical equipment for motor vehicles, which is a production. tradition of the municipality that continues followGranting all necessary local permits and other ing arrival of the Yura Corporation in Serbia. Around documents required to commence operations are carhalf of the local unemployed population comprises ried out in a maximum of two months. qualified workers with secondary education, mainly The Municipality of Rača is the first municipality in electrical-related vocain Serbia to receive an intions, while there are also vestment of South Korean unemployed mechanical capital with the arrival engineers, law graduates of the Yura Corporation, and economists. which produces auto inThe Municipality of dustry installations for Rača has a functional Hundai and Kia. Yura curcommercial zone, Zapad rently employs 1,300 (West), covering 62 hecworkers, or 10% of the tares on the outskirts of total population of Rača the town of Rača towards municipality.

Topola. It is equipped with The municipality of all necessary infrastrucRača is equipped with all ture and has a number of The Municipality of Rača is the first necessary infrastructure, available brownfield inmunicipality in Serbia to receive urban areas are connectvestment sites. ed to a gas network, as are an investment of South Korean The Istok (East) commost parts of the municcapital with the arrival of the Yura ipality. A drinking water mercial zone is on the outCorporation skirts towards Markovac treatment plant has been on an area of 39 ha. It includes undeveloped land in constructed in Rača, as well as a wastewater collecthe process of being developed in terms of infrastructor, modern roads and electricity and telecommunicature. tions networks.

The municipality of Rača has other brownfield The municipality is traversed by two important sites, including the factory "Primdex" ltd., which manroads: B-class national road 150 (Markovac-Račaufactured wooden reels for electrical cables. The site Poplar) and the R109 regional road (Cerovac-Rača). is located in the Zapad Zone beside national road 150 Additionally, the Municipality of Rača has a network (M4), 11km from highway E75 (Corridor 10), on the of local and unclassified roads covering a total length edge of the urban settlement towards neighbouring of 235km.

Topola. The site includes two halls, an administrative In an effort to support SMEs and entrepreneurbuilding, boiler, dryer, laundry and lumber storage faship, the Municipality of Rača has the Incubator cility. Some buildings have been renovated in recent Centre for Entrepreneurship of Rača, covering a total times and a new drying facility has been installed. area of 600m2, with seven commercial units. ■

rekovac

sjenica

smederevo

The Municipality Desired Goods in Central Serbia Potential

Steel production

The agricultural sector contributes the most to the local GDP, with branches such as fruit and crop farming and landscape gardening

Great potential for the development of livestock breeding

The Smederevo ironworks is steel production complex located seven kilometres southeast of the city

The municipality of Rekovac is located in central Serbia, in southeast Sumadija.

The municipality’s territory includes two distinct natural areas: around 3,700 hectares of lowland areas and 32,000 hectares of mountain area.

Rekovac’s transport connections to other municipalities are generally good, though the area has many dilapidated roads that are poorly maintained. The total

The municipality of Sjenica is situated in the Zlatibor district of Serbia. Sjenica municipality covers an area of 1,059 square kilometres - making it the largest in Zlatibor.

The municipality’s most important road is the Raška-Novi Pazar-Sjenica-Nova Varoš main road, which links the Ibarska highway to the main Zlatibor road.

Sjenica's economy is dominated by the processing industry (textiles and textile products, meat and meat products, milk and dairy products) and agriculture. There is great potential for the development of livestock breeding - as a base for the development of the meat and dairy industry - that is currently insufficiently realised. Products, such as cheese and prosciutto are ‘desired goods’ all over Serbia, but capacities for the production of these products is also insufficiently developed.

The Sjeničko-Pešterska plateau, with numerous rivers, mountains, lakes, caves, fields and pastures, is one of many unique tourist destinations in Serbia.

Accordingly, the municipality has prospects for the development of rural tourism, based on its preserved and

Smederevo is a city in northeast Serbia’s Podunavlje district, situated on the banks of the Danube. The basic potential of the city of Smederevo is represented by its exceptionally good geographic and transport location between two European corridors: Corridor 10 and Corridor 7 (River Danube).

The industrial zone is located seven kilometres southeast of the city in the most important area for

length of roads in the municipality is 179 kilometres, of which 120 kilometres is modern roadway.

Some 70% of the total population live in agricultural households, while a massive 90% of the total working population is engaged in agriculture. Based on this data, it can be concluded that the municipality of Rekovac is a typically agricultural municipality.

The dominant crop is wheat, with an average annual yield of about 2700 kilograms per hectare. Barley and oats are also significant components in terms of improving the quality of animal fodder.

Rekovac’s rolling hills and mountain villages lend themselves perfectly to the further development of tourism services. The municipality boasts several well-known tourist locations including the monastery Kalenić. The construction of the first section of the water-supply facility is pending in Rekovac. This is a 15-km-long pipeline and the project is implemented with the help of the Agriculture Development Fund.

Rekovac is located in a hilly area known by the historical name of Levač and is considered a relatively young settlement.

unspoilt nature, and numerous archaeological sites.

Sjenica has the cleanest rivers in Serbia. Boasting large stocks of all sorts of freshwater fish, Sjenic’s waterways are particularly appealing to competing anglers and amateur fishermen. An average water temperature of 26º C and the fact the municipality has vast forests with game animals, provides opportunities for the development of hunting tourism.

the development of the city, as it is also the location of the Smederevo Steelworks. The metal industry is developed here because the steelworks produce raw iron. The zone covers an area of 300 hectares and has a high technical/economic value.

A second industrial zone to the west of the city centre is the traditional zone of the old steel mill.

Covering an area of 21ha, it has a multi-structure character and is defined as being extremely well equipped.

The industrial zone in Godominsko Polje is located to the northeast of the city and is divided into several sub-zones. The existing industrial zone covers an area of 101.3 hectares. The Šalinačka Road sub-zone covers an area of 15 hectares. The subzone next to the industrial zone’s main road has a versatile character and covers an area of 36.86ha.

A local project includes construction of infrastructure for a new industrial zone (84 hectares) which is currently being built. A detailed regulatory plan has been adopted and solutions have been identified for land under private ownership and other facilities.

contact Predrag đorđević,

contact Hazbo Mujović,

contact Zdrаvkа Kоvаčеvić Vаsić,

Municipal President Svetozar Markovic 2, 35260 Rekovac Tel: +381-35-8411-004, Fax: +381-35-8411-196 predsednikrekovac@gmail.com; www.rekovac.org.rs Foreign languages: English

Municipal President Kralja Petra I, 36310 Sjenica Tel: +381-20-741-278, Fax: +381-20-741-288 sosjenic@verat.net, www.opstinasjenica.co.rs Languages spoken: Serbian and German

Head of the Department for Local Economic Development, Address: Оmlаdinskа 1, Smеdеrеvо 11300, Теl: 026 221724 ext. 1610, Fаx: 026 223354 zdrаvkа.kоvаcеvicvаsic@smеdеrеvо.оrg.rs, www.smеdеrеvо.оrg.rs Foreign languages: English Serbian Potentials | the Investors Guide | 51

Smederevska Palanka

Great potential for spa tourism Investors can obtain all permits for construction under significantly shorter deadlines than the maximum specified by law.

T Radoslav Milojičić Kena President of the municipality of Smederevska Palanka

“Close to the capital city”

contact: Ivаn Pelikаnt

Head of the cabinet of the Smederevskа Pаlаnkа municipal president Address: Vuka Karadžića 25, Place & post code: Smederevska Palanka 11420 Tel: 026 321001 Mob: 064 8304446; Email: ivanpelikant@gmail.com

52 | the Investors Guide | Serbian Potentials

he Municipality of Smederevska Palanka is located in north-eastern Šumadija, at 44°, 23’ north latitude and 20°, 53’ east longitude. It is situated about 80km from Belgrade and is just eight kilometres from pan-European Corridor 10 . The municipality covers an area of 422 km2 and is home to 56,011 inhabitants.

Links to major regional roads Corridor 10 (highway E75) is connected to Smederevska Palanka from four directions: the motorway exits at Mladenovac (41km away), Kolar (27km), Požarevac (25km) and the exit at Velika Plana (12km). The municipality is also connected to central Serbia via regional routes: Smederevska Palanka-Rača-Kragujevac (50km) and Smederevska Palanka-Topola-Rudnik (56km), which connects the municipality to the Ibar national road. Smederevska Palanka municipality is also crossed by the Belgrade-Niš railroad (26 km stretch) and the local railway station has an industrial track that leads to the Goša factory complex.

Comparative advantages of Smederevska Palanka Municipality • Natural resources and potential, primarily in its wealth of geothermal mineral water, which creates the potential for development of spa tourism; • Tradition and experience in industry; •Availability of manufacturing and spatial capacities suitable for brownfield investment.

• Stable power supply network; • Improved and consolidated agricultural land; • Two scientific research institutes: The Goša Institute and the Institute for Crop Growing • In the immediate vicinity of Corridor 10 and Corridor 7 (Danube Port of Smederevo); • Close to the capital city; • Developed trade and banking sectors; • Small recreational airport Rudine, with a grass runway that can be used for commercial purposes.

Industrial sectors represented on the territory of Smederevska Palanka The municipality of Smederevska Palanka boasts the following branches: heavy industry, agriculture, construction, transport and communications, trade, tourism and hospitality, traditional crafts, engineering, financial services, scientific research activities in the field of industry and crop growing.

Average net earnings The average net monthly income per employee for the month of April 2012 was 31,377 dinars, while the budget income per capita per month amounted to 14,646 dinars in 2011.

Industrial/commercial zones Smederevska Palanka Municipality possesses the following industrial zones suitable for investment: • The industrial zone in the northwest of the town, within the Kolonija urban settlement. Total area: 40.5 hectares. Available area: 25 hectares.

Distance from city centre and railway station: 2.5

kilometres. This zone is located just 500 metres from the regional road Palanka-Smederevo. A detailed regulatory plan has been compiled for this zone, infrastructure includes asphalted access roads, electricity and water networks and gas pipelines. About 70% of the total area of the zone is undeveloped. Given the schedule, undeveloped areas are divided into two subzones, "A" and "B". For commercial and production facilities, construction land development fees for the area of this zone are 412 dinars per square-metre of built space.

Construction land development fees paid once or in instalments (up to 24 monthly payments). The amount is reduced by 30% for those paying in one go. Companies and entrepreneurs who employ at least 50 workers during the course of a year are eligible for an additional 50% discount.

• The Guberaš location, along the Smederevska Palanka-Velika Plana R107 regional road, covers an area of 30 hectares. It is four kilometres from the centre of Smederevska Palanka.

• The Goša Industrial Complex consists of two zones: Goša I and Goša II, on a total area of 38 hectares. Goša I only offers the possibility for brownfield investments in unused production facilities. Goša I is also completely equipped in terms of infrastructure: access roads, electricity, water, sewer and gas networks, as well as an industrial rail track linked to the Belgrade-Niš railroad. Goša II includes possible brownfield and greenfield investment sites. There is an access road, electricity, water supply, sewerage and gas networks.

Investors can obtain all construction permits under much shorter deadlines than the maximum specified by law.

Investor incentives For the purposes of commercial/production facilities intended for manufacturing traditional crafts, industry, construction, utility facilities, transport associated buildings, public garages, wholesale/retail/storage facilities, warehouses and markets - fees for construction land in the area of the Commercial Zone in Majora Gavrilovica Street total 412 dinars square metre of built space, which is 2.5 times less than the fee for construction of residential buildings.

Significant investors already active in the municipality: • Atlantis Group, Croatia (soft drinks producer); • Agrokor (Idea), Croatia (retail trade); • Žos, Trnava, Slovakia (production of railway

vehicles); • DIS, Serbia (retail trade); • Metal-product Ltd. Serbia (manufacturing machines for profiling aluminium and steel sheeting).

Municipal infrastructure Water and sewerage networks cover the entire territory of the city, while the city water network has also been extended to nearby villages.

The gas pipeline network covers the entire territory of the municipality of Smederevska Palanka.

The territory of the municipality of Smederevska Palanka is covered by a stable electricity network.

The Municipality of Smederevska Palanka does not currently possess business parks, but there is an existing project to form a business park in the city.

Mineral water with selenium, which rises to the surface at the Palanački Kiseljak Spa, about

2.5 kilometres from the town centre, is one of the best quality mineral waters in Europe. Apart from being used to drink, this water is also used to treat many ailments. Kiseljak includes a spa health resort which lacks sufficient capacities to suits its undeniable potential as a spa tourism destination.

Another important tourist resource of Smederevska Palanka is the Mikulja Forest, which covers about 150 hectares northeast of the town, around four kilometres from the town centre. Mikulja Forest is currently only a partially regulated woodland area for active and recreational tourists, but this area also has potential for the further development of tourism.

Near the city centre are the Kudreč 1 and Kudreč 2 artificial lakes. Along the banks of Kudreč 2 are a hotel and several restaurants, while this regulated area is perfect for the development of sporting, recreational and congress tourism. ■

Mineral water with selenium, which rises to the surface at the Palanački Kiseljak Spa, about 2.5 kilometres from the town centre, is one of the best quality mineral waters in Europe. Apart from being used to drink, this water is also used to treat many ailments.

Serbian Potentials | the Investors Guide | 53

sokobanja

svilajnac

svrljig

Healthy Environment

Trade and Crafts Centre

Suitable for Hunting

Sokobanja, one of the oldest tourist destinations in Serbia, has abundant natural

Alluvial soil, which is perfect for the production of crops, is predominant in Svilajnac

Agriculture is the most important economic sector in Svrljig

Sokobanja municipality covers an area 525km2 in eastern Serbia and is directly linked to Corridor 10 highway E75 between Belgrade and Niš. The Žitkovac train station on the BelgradeNiš route is located 35 kilometres from Sokobanja and the nearest airport is Niš’s Constantine the Great Airport (60km away).

The municipality’s economy is quite heterogeneous and local income shows that the dom-

Svilajnac is located in the Pomoravlje district.

A seven kilometre long regional road connects Svilajnac with Corridor 10, which is an exceptional strategic location. There are around 25,511 inhabitants living in the municipality. Alluvial soil, which is perfect for the production of crops, is predominant and, also, Svilajnac has always been known as a trade and crafts centre.

Bearing in mind the undiminished interest of investors, another similar 23 hectare zone will soon be opened. The new industrial zone is fully equipped in terms of infrastructure.

Up-to-date administration provides and issues all necessary permits for the construction of production facilities within 30 days, following an urgent procedure. It was, and still is, one of the advantages local authorities have in attracting investors.

Svilajnac will be the first city in Serbia, as well as in the Balkans, where a Nature Centre will be constructed, with the main exhibits being eight dinosaur replicas. Over an area of around 3,000 square meters, in addition to workshops and an area for scientific research, there will be the exhibition ar-

inant branches are agriculture, tourism, forestry and water management, followed by trade and industry. Sokobanja is one of the oldest tourist destinations in Serbia, with abundant natural resources (thermo-mineral springs and attractive geological features), a healthy environment, rich cultural and historical heritage and a favourable climate.

The existing general municipal spatial plan envisages the development three individual zones: a commercial zone, an industrial zone and a zone for arts and crafts.

Land available to investors includes 15.1 acres at the Podina site, ideal for the construction of sport and recreation facilities, with around 9.3 hectares suitable for residential and commercial developments, as well as another location on 18.8 hectares near forestland, making it suitable for tourist facilities.

Each investor will be assigned a personal investment advisor to guide them through every procedure, ensuring that relevant permits are obtained as soon as possible.

contact Маriја Žikić, head of the department for business and economic development Address: Svеtоg Sаvе 23, Sоkоbаnjа 18230 Теl: 018 830030, Fаx: 018 830253 invеst@оpstinаsоkоbаnjа.cоm,www.оpstinаsоkоbаnjа.cоm Foreign languages: English 54 | the Investors Guide | Serbian Potentials

ea with original fossils as well as a 3D movie theatre showing science and documentary movies. The municipality (who initiated the project themselves), expect that the centre will be visited by around 120,000 people annually, due to the fact it is on Corridor 10, and is in the tourist region of central Serbia, where Resava cave and Manasija monastery are located.

Svrljig is located in central Serbia, 25 kilometres north-east of the regional centre of Niš. Covering an area of 497 square kilometres, the municipality includes 38 villages and the administrative centre of Svrljig town. Svrljig is about 250 kilometres from Belgrade and lies along the main road to Zaječar, Negotin and Bor. It is situated in a valley between the ranges of the nearby Svrljig mountains, which is separated by the riv-

er Svrljig Timok. Highland areas cover about 70% of the territory.

According to the 2002 census, the municipality has 17,284 inhabitants, while the town of Svrljig has 6,705 inhabitants. This municipality recorded the lowest average earnings per employee in 2005.

The municipality of Svrljig adopted a detailed regulatory plan for industrial zones, warehouses and service areas on a site between the existing "Progres" and "Herbogala" warehouses. This marked the commencement of activity aimed at preparing for the arrival of investment capital.

Agriculture is the most important economic sector in Svrljig. It relies on livestock breeding, farming, fruit growing, beekeeping and the gathering of medicinal plants.

Svrljig is counting on the development of rural and hunting tourism, with its very beautiful natural conditions, and a large area covered by forests and mountains. The municipality of Svrljig is extremely rich in natural resources, but a lack of manufacturing capacity has resulted in low national income in this area.

contact Predrag Milanović,

contact Milija Miletić,

President of the Municipality, Ljubiša radosavljević, assistant Svetog Save 102, 35210 Svilajnac, Tel: +381 (0) 35 312 010 Email: predsednik@svilajnac.rs, Website: www.svilajnac.rs Languages spoken: English

Municipal President, Vlada Krstić, assistant Radetova 31, 18360 Svrljig Tel: +381 (0) 63 416 996, Fax: +381 (0) 18 821 178 Email: predsednik@svrljig.rs, Website: www.svrljig.rs Languages spoken: English

Road Network

SURDULICA

Surdulica’s existing industrial zone is located on both sides of the national road at the entrance to the municipal centre

S

Significant investors in the Municipality of urdulica municipality is located in southeast Surdulica include foreign companies Coca Cola Serbia and is part of the Pčinja district. Some Hellenic, Knauf Insulation, Dundee-precious met45km of the municipality’s eastern boundaals etc., and local companies EPS, Simpo furniture ry is made up by the national border with Bulgaria. etc.

The municipality covers an area of 628km2, with The municipal centre and surrounding villag41 villages inhabited by around 22 000 multiethes are sufficiently equipped in terms of infrastrucnic residents (Serbs, Bulgarians, Roma etc.). ture. The territory of Vlasina lacks a sewage system, The local workforce has a satisfactory structure but a detailed project and feasibility study have in terms of gender, education levels and specialbeen carried out and it is ised qualifications. planned for works to comThe municipal cenmence as soon as possible. tre of Surdulica is located The municipality of 10 km from Pan-European Surdulica is linked to highCorridor 10 (E75 highway, way E75 via the M1.13 reinternational rail route) gional road, while access and is connected via to the international railthe M1.13 regional road road is 10km away at the Vladičin Han-Surdulicatrain station in Vladičin Vlasina-Strezimirovci (borHan. der crossing).

The municipal road Surdulica is the ecoA significant comparative network is based on the nomic, administrative, advantage of the municipality aforementioned regiontourism and health centre is provided by Lake Vlasina al road, which covers the of the municipality and the broader vicinity. and its surroundings, which is route from Vladičin Han via Surdulica and Lake Vlasina Surdulica’s existing ina protected area (category I) to the Strezimirovci border dustrial zone is located on and one of Serbia’s five most crossing, intersecting the both sides of the nationimportant tourist destinations municipality west to east al road at the entrance to and linking it to the municipalities of Bosilegrad the municipal centre. It is completely equipped in and Crna Trava. terms of infrastructure (street network, water supThe Municipality of Surdulica does not yet have ply, sewerage, electricity, public lighting, telecoma bespoke business park. munications capacities etc.).

It should be noted that the basic characterisSurdulica Municipality offers investors facilities tic of Surdulica municipality is its preserved natural for greenfield and brownfield investments within environment with all the environmental attributes, the existing industrial zone. These facilities cater most notably rich mineral resources, forests, water for activities like metallurgy and metal processing, (surface and underground) and rare plant and anithe wood processing industry, footwear manufacmal species. turing, textiles, food processing and similar.

A significant comparative advantage of the muOffered incentives include one-year or multinicipality is provided by Lake Vlasina and its suryear exemptions from all local municipal taxes and roundings, which is a protected area (category I) fees charged at a minimum of 10%. and one of Serbia’s five most important tourist desPotential investors can obtain all necessary tinations. As such, it could of interest to investors permits required to begin operations under shortinterested in the tourism sector. There is also great er deadlines than those specified by law according potential in the field of "green power" (mini Hydro to municipal decisions at a single counter of the plants, wind generators and biomass). ■ Municipal Service Centre.

Novica Tončev President of the municipality of Surdulica

“Surdulica Municipality offers investors facilities for greenfield and brownfield investments within the existing industrial zone”

contact: Dragan Micić

Address: Kralja Petra I 1 Place & postcode: Surdulica 17530, Tel: 017 815041, ext. 109 Fax: 017 815270 Mob: 064 8981907 Email: dragan.micic@surdulica.org.rs Url: www.surdulica.com Serbian Potentials | the Investors Guide | 55

šabac

topola

trstenik

At the Centre of the Region

High quality grape vines

Tourism provides chance

Good road links to nearby cities

Topola is a popular tourist destination thanks to the historic site of Oplenac

Boasts four industrial zones

The City of Šabac is located in northwest Serbia along the banks of the River Sava, near international borders with Croatia and Bosnia & Herzegovina.

It covers an area of 795 km² and has 122,893 inhabitants (2002 census). The city and its suburbs are home to 75,339 residents (61.30% of the population).

It is located at 44˚ 46' north latitude and 19˚ 46' east longitude and is situated at an altitude of 80 metres above sea level.

Located on the right bank of the River Sava, it is 103 km upstream from Belgrade and has access to the River Drina. With good road links to nearby cities of Belgrade, Novi Sad, Loznica, Valjevo and Bijeljina (Bosnia), it can be said that Šabac is at the centre of the region.

The city is 24 km away from highway E70 (Belgrade - Zagreb; part of Corridor 10) via regional roads.

The most developed industries here are: chemicals, pharmaceuticals, metal processing, machinery and food processing, construction and the construction materials industry, as well as wood processing,

The Municipality of Topola is located in the central part of Šumadija at the intersection of the Belgrade-Kragujevac and Belgrade-Gornji Milanovac- Kragujevac routes, near Arandjelovac.

It is 80km south of Belgrade and 40km west of Kragujevac. The municipality is only 35km away from the Belgrade-Nis highway and 100km from Nikola Tesla Airport. The nearest railway station is 30km away in Mladenovac.

wallpaper production and the textile industry. Šabac’s North West Industrial Zone represents the backbone of local economic development and one of its greatest potentials. Šabac’s Eastern Industrial Zone is located on the 98th kilometre of the River Sava’s navigable waterway, in the direction of national roads M19 and M21.

The municipality covers an area of 356km2 and has a population of 25,292.

Agriculture, especially fruit growing and viticulture, and tourism are the dominant sectors. In the last ten years local varieties of high quality grape vines have been cultivated. Topola is also a known tourist destination thanks to vineyards of Oplenac, historical events and the royal mausoleum.

Textiles processing, construction, metal and stone processing are all developed here. Four industrial zones and free land plots are envisaged for development. The Municipality can provide infrastructure connections at locations selected by investors, tax incentives and permit issuance in the shortest possible time. Agricultural processing and fruit processing are developed sectors, as are the production of organic food and raw materials for the food and pharmaceutical industries.

Good transport links and the municipality’s accessibility are just some of the most important factors for the development of Topola’s industry, tourism and agriculture.

The Municipality of Trstenik is located in central Serbia (Rasinski County) and borders the municipalities of Kraljevo (west), Vrnjačka Banja (southwest), Aleksandrovac (south-southeast), Kruševac (east), Rekovac (north) and Varvarin (northeast).

The municipality covers an area of 448 km2, with the town located on the right bank of the Western Morava at an altitude of about 170m above sea level.

The backbone of Trstenik’s economy is the metal industry (hydraulics, pneumatics), agriculture (vegetable and vine/fruit planting material production) Tourism has been identified as one of the opportunities to boost employment levels among the population of the municipality.

The Municipality of Trstenik has four industrial zones: the Western Morava Industrial Zone, Prva Petoletka free space, with around 35 hectares intended for metal processing production capacities, with complete municipal infrastruc-

ture (private ownership); the Eastern Commercial Zone has around 34 hectares of available space intended for production and service facilities, trade, construction and metal programmes. It is partially equipped in terms of infrastructure (private ownership). Osaonica is also partially equipped in terms of essential infrastructure (private ownership).

contact Mirjаnа Mecić,

contact Zоrа Nеdоvić, Coordnator

contact Dragiša Trošić,

manager Office for Local Economic Development Tel: 015 347 117 Gospodar Jevremova 6. 15000 Email: opstina@sabac.org

of the Office for local economic development Bulеvаr Krаlја Аlеksаndrа I #9, Тоpоlа 34310 Теl: 034 811273, Fаks: 034 811771 Еmаil: lеr@tоpоlа.cоm, Url: www.tоpоlа.cоm Foreign languages: Еnglish

Head of the Economy and Sustainable Development Department Address: Kneginje Milice 5, Trstenik 37240 Tel: 037 714 333, Fax: 037 712 530, Mob: 063 102 50 30 Email: dragisa.trosic@trstenik.rs, Url: www.trstenik.rs

56 | the Investors Guide | Serbian Potentials

Empty Facilities

Trgovište

The Trgovište General Plan envisages a 3.5-hectare industrial zone

T

tential investors and issued by the municipal adrgovište is located in the far southeast of ministration can be obtained in a very short periSerbia and the municipality covers an arod of time, i.e. within 30 days. ea of 370 km2 at altitudes ranging from The town of Trgovište is entirely equipped in 480m to 1800m. It borders the municipality of terms of infrastructure required for the normal Bujanovac to the west, Bosilegrad to the east and operation of business entities (utilities, energy, the city of Vranje to the north, while to the south transport, postal & communications etc.). it extends along the border with the FY Republic The main road through the municipality is the of Macedonia.

R125 regional road from Davidovac (Corridor 10) The municipality of Trgovište includes five loTrgovišta to Radovnica, all the way to the municipalcal communities and 35 settlements, while the ity of Bosilegrad (direction town of Trgovište is the Radovnica-Bosilegrad has administrative, cultural been prepared, but not yet and economic centre of arranged). the municipality.

Natural potential exThe configuration of ists for the development the terrain is typical of a of agriculture, primarirural mountainous area ly livestock farming or and it is surrounded by vegetable and fruit culmountains and plateaus. tivation. Sheep breedAccording to the lating and production of est census, the municicheese and milk are depality is home to 5,145 All necessary documentation veloped here. Local lamb residents. required by potential investors is highly sought and no The Trgovište General and issued by the municipal matter how much is proPlan envisages a 3.5-hectare industrial zone next administration can be obtained duced in the municipalto the R125 region- in a very short period of time, i.e. ity it is all sold for export. The Municipality is al road, which is locatwithin 30 days taking measures to proed downstream on the tect the geographical origin of cheese and severoutskirts of the town of Trgovište. The industrial al other foods produced here. zone is not arranged or equipped, but a detailed There are good conditions for the developregulatory plan is currently being developed with ment of tourism in the municipality, primarily funds from the PROGRESS programme. through sport and recreational tourism. It could The Municipality of Trgovište also has sites for be said that rural tourism is developing and there “brownfield” investments in the form of the unis increasing talk of the construction of a sports used facilities of the former PP Pčinja, now bankcentre where sporting clubs could carry out trainrupt. This location has built-in cold storage faciliing and preparations. ties, dryers, a packing centre and coffee processTrgovište borders the FY Republic of ing plant. It is located next to the R125 regionMacedonia and an Agreement between the two al road some three km from Trgovište towards countries and the Decision of the Government of Vranje. There are also facilities in the town of Serbia to open border crossings saw the municiTrgovište: packing centre and coffee processing pality receive its own border crossing. A detailed facility, as well as a fish farm pond for rainbow regulatory plan for the border crossing is curtrout with a capacity of 50 tonnes. This pond was rently being compiled, while the existing Spatial partially destroyed by floods and is not in use.

Plan envisages the development of a four-hecIt is located three km away from Trgovište, uptare commercial zone in the vicinity of the borstream along the River Pčinja. der crossing. ■ All necessary documentation required by po-

Radosav Jordanović President of the municipality of Trgovište

“Great potential to develop livestock breeding”

contact: Мilоrаd Nikоlić

office for local economic development Address: Krаlја Pеtrа Street 4 Теl: 017 452207, ext. 26 Еmаil: kler.milorad@trgoviste.rs Serbian Potentials | the Investors Guide | 57

tutin

ub

užice

Consultancy services

Mining and Agriculture

Economic hub of western Serbia

The municipality owns land suitable for an industrial zone, though it lacks adequate infrastructure

The municipality of Ub is the second biggest municipality in the Kolubara region

Municipality with a business incubator centre

The municipality of Tutin is in the Sandžak region of southwest Serbia. It stretches over an area of 740km2 and includes 99 towns, villages and hamlets. Tutin is located about 300 kilometres from Beograda and is traversed by the M2 and M22 national roads.

The area is entirely hilly and mountainous, while the richness of the pastures of the Upper and Lower Pešter and the forests of Mokra Gora have contrib-

The municipality of Ub is the second biggest municipality in the Kolubara region and covers an area of 456 square kilometres. The municipality is 50 kilometres from Belgrade. There is an industrial railway track that runs through the municipality that is suitable only for cargo transport.

The most important economic branches in the municipality of Ub are agriculture and mining. Arable land covers close to 33 hectares (72.16% of the entire land area). Another important economic branch is mining. Aside from agriculture and mining, the construction industry is very important here. There are also abundant raw materials for the production of construction materials such as stone, quartz and white clay.

In addition to natural and economic potentials, tourism also has the potential to become widely recognised in the region, provided that new investments are made in that sector.

The municipality of Ub offers the following incentives to investors: 1) reduction of or exemption from paying property tax, a local utility fee, a land utilisation fee, a land development

uted to the population of this area being primarily engaged in animal husbandry and wood processing.

The dominant industrial activities here are furniture production, wood processing, agriculture, milk production, construction and trade.

The municipality owns land suitable for an industrial zone, though it lacks adequate infrastructure. The local authorities are developing plans and projects for the construction of a free industrial zone in the vicinity of the Belgrade-South Adriatic road.

The Municipality of Tutin offers free consulting services to potential investors, as well as several incentives, such as reducing utility costs and other local fees. The most appropriate branches for investments are organic food production, collection and processing of medicinal herbs and forest fruits, production of electricity from renewable sources, agriculture, construction, furniture production, wood processing, tourism and hospitality.

The local government issues permits required for the commencement of construction within a twomonth deadline.

fee, an environmental protection fee, general administration fees and a land lease fee, 2) co-financing (money is provided from a special budget fund) of the fee if investors wants to change the land purpose and co-financing of the zoning costs. Municipal authorities also provide incentives to investors who create a certain number of new jobs.

contact Bајrо Gеgić,

contact Darko Glišić,

Municipal President Address: Husеin-bеgа Grаdаščеvićа 7, Тutin 36320 Теl: 020 812025, Fаx: 020 811035 Еmаil: rаzvојtutin@yаhоо.cоm Foreign languages: English and Russian

Municipal President 3. October 4, 14210 Ub, Tel: +381-14-411-963 Email: predsednik@opstinaub.org.rs Website: www.opstinaub.org.rs Languages spoken: English, French and Italian

58 | the Investors Guide | Serbian Potentials

The City of Užice is located near the three-way border between Serbia, Montenegro and Bosnia & Herzegovina. Užice is located in southwest Serbia and covers an area of 668km². It has a population of 78,018.

Užice has indirect access to highways E-761 (Visegrad-Užice-Požega) and E-763 (BelgradeSouth Adriatic).

The City of Užice is the economic hub of western Serbia and belongs to Serbia’s group of economically developed cities.

Incentives offered by the local community in the Užice Free Zone: For the construction of production/commercial facilities within the boundaries of the Užice Free Zone, users are exempt from paying: • Construction land development fees, • local administrative taxes for the issuance of location information and building permits, • charges for issuing conditions for connection to the infrastructure network that is under the jurisdiction of the City.

The Municipality also has a Business Incubator Centre - a system that helps entrepreneurs survive on the market in their initial years.

The local region’s metal industry has a number of companies, including the most important representatives of non-ferrous metallurgy, metal processing and production of transport means of transport equipment, with a variety of metal production method.

contact Branka Bogdanović and Nadica Jovanović, Dimitrija Tucovića 52, 31 000 Užice Tel. 031/592-416, 592-417, Fax: 031/513-499 Email: ler@uzice.rs, Website: www.graduzice.org

Industrial Tradition

valjevo

Valjevo is an important and dynamic hub of industry, transportation, tourism and culture in this part of Serbia

V

ness environment – from the international credit rataljevo is a community of equal citizens who ing agency Moody's Investors Service. are concerned with their own lives and the It has experience in cooperation with foreign inlives of future generations; a community dedivestors, an efficient local administration, an institucated to sustainable development. A community with tional business support network, good infrastructure a specific cultural tradition, family ties, solidarity, indilinks, a number of locations for investment (both vidual and shared initiative and personal responsibilgreenfield and brownfield), incentives for investors ity. Valjevo is an open community for all people, ideand a small airport. as and different opinions. This is a community of acPan-European corridor’s 10 and 7 are around tive citizens involved in the life of the city.

100km away.

Valjevo is an important and dynamic hub of inIn terms of industrial zones, Valjevo has the dustry, transportation, tourism and culture in this STEFIL Zone, covering an area of 14ha. It is locatpart of Serbia. ed just three kilometres from the city centre, beside Valjevo is a city of knowledge, where new the M4 road (Valjevo-Belgrade) and the Belgradeknowledge and new technology are acquired and Bar railway. It is nine kilometres from the local airused; a city of enterprise, clean technology and renewable energy.

Valjevo is a city of safe living. Its development programmes are planned in accordance with principles of human and minority rights, health and the environment.

The local government provides a modern, high quality service to citizens. It is the driving force for local economic, social and economic development.

Valjevo is the city of Feasibility, Sustainability and Public.

Located at the intersection of many The local government provides a modern, roads, it is easily accessible, through picturhigh quality service to citizens. It is the esque areas, from different directions. driving force for local economic, social and Valjevo sprawls over an area of 905km2 economic development and is located 96km from Belgrade, 134km port and 17 km from the Belgrade-Požega highway from Novi Sad, 77km from Užice and 72km from (under construction). The infrastructure is good and Loznica. completely arranged. The local permit issuing proThe M4 national road, Loznica-Valjevo-Lajkovac, cedure is swift.The industrial zone has manufacturprovides connection to the Ibar motorway, while the ing facilities and a distribution centre belonging to M21 national road, Šabac-Valjevo-Užice, links the Gorenje – an investment worth €20 million. There city to Montenegro. Rail transport is served by the is also a styrofoam factory of company Austrotherm Belgrade-Bar railway.

– an investment of €3.5 million. Austrotherm is the The City of Valjevo is home to about 100,000 infirst greenfield investment in Valjevo. habitants. From here one can access the Adriatic port Italian company Golden Lady, a world-renowned of Bar via the rail route from Belgrade. The nearest manufacturer of fine clothing, has opened its "Va ly" commercial airport is Belgrade’s Nikola Tesla Airport, factory in Valjevo through greenfield investments in while there is an airport for light aircraft just 12km the Beloševac Industrial Zone. from the city in Divci.

Retail chain company Mercator – S Regional When it comes to investors, Valjevo has a opened its RODA MEGA MARKET through a greenStrategy for Local Sustainable Development and a field investment worth €6 million and covering an Strategy for Local Economic Development. The city area of 3400m2. ■ has obtained a NALED Certificate as favourable busi-

Zoran Jakovljević President of the municipality of Valjevo

“Valjevo is the city of Feasibility, Sustainability and Public.”

contact: Tijana Todorović

Head of the Local Development, Economy and Utility Office Mirjana Teofilović

Local Development and Economy Unit Address: Karađorđeva 64 Place & postcode: Valjevo 14000 Tel: 014 294711 Fax: 014 226112 Email: tijana@valjevo.org.rs, mteof@valjevo.org.rs Url: www.valjevo.org.rs Foreign languages: English

Serbian Potentials | the Investors Guide | 59

velika plana

Great Morava Lowlands The municipality of Velika Plana is among the group of municipalities with a medium level of industrial development and is unavoidable on the route from western and central Europe to Greece and the Middle East

T

DEJAN ŠULKIĆ President of the municipality of Velika Plana

“The Spatial Plan defines 12 commercial zones in attractive locations”

contact: Boban Ilić

Local Economic Development Office Address: Miloša Velikog 30 Place & postcode: Velika Plana 11320 Email: sovplana@verat.net Url: www: velikaplana.org.rs Tel: 026 521318

60 | the Investors Guide | Serbian Potentials

Topola. The zone covers an area of about 26 hectares he Municipality of Velika Plana covers an adand is equipped with water and gas infrastructure. ministrative area of 345.49km² and is home to 45,725 inhabitants. Velika Plana is situated in The work zone beside the highway in the vilthe fertile Velika (Great) Morava plain, which is tralage of Lozovik has been determined on the basis versed not only by the Great Morava river and its of a planned highway interchange that would estabtributaries, but also the most important infrastruclish links with Smederevo Palanka and the Tsarigrad ture of Pan-European Corridor 10.

(Constantinople) national ‘B’ road. This zone covers a This location provides a significant advantage total surface area of about 84ha. over other municipalities and also includes possiThe zone next to the Lozovik train station exbilities to exploit the M4 tends along both sides of transport corridor, linkthe railroad and covers ing western and eastern about 50ha. parts of the country, and The work zone in the national Belgrade-Niš Miloševac is defined as railroad, which has major a belt alongside the rehubs in Velika Plana and gional road connecting Markovac.

Smederevo and Velika On the basis of the Plaan (national ‘B’ road). It Spatial Plan of the Republic covers about 26 ha. of Serbia and transportaThe work zone in Investors are exempt from tion plans of the European Krnjevo is also reliant on Union, Velika Plana will re- construction land development the Smederevo-Velika fees, which amount to 15main unavoidable on the Plana regional road. This route from western and 20% of the estimated value of zone covers about 19ha central Europe to Greece investments and the town lease and houses the successand the Middle East. ful operations of compaThe municipality of Velika Plana is among the nies Dis ltd. and Cmana ltd. The work zone in Veliko group of municipalities with a medium level of inOrašje has been defined as a belt alongside the dustrial development. The Spatial Plan defines 12 Smederevo-Velika Plana regional road. It covers commercial zones in attractive locations close to 22ha and has water and gas infrastructure. road and rail corridors.

Investors are exempt from construction land deThe Sever (North) Work Zone is based alongvelopment fees, which amount to 15-20% of the side the regional road which runs parallel to the estimated value of investments and the town lease.

Belgrade-Niš highway and is linked to the highway From the date of submission of an application, connection in Velika Plana. Production facilities have the Municipality offers all necessary logistical supbeen built and cover an area of about 15 ha. New port and, depending on the type and volume of inland covered by zoning has an area of about 65ha, vestments, all necessary permits for the launching equating to a total complex covering 80ha. of construction are granted under the shortest possible legally-defined deadlines.

The Jug (South) Work Zone is located on the terThe municipality of Velika Plana has developed ritory of the village of Markovac and covers both the road infrastructure, will completion of gas installaleft and right sides of the Belgrade-Niš highway. The tion and a water supply network for the entire terrizone has water and gas coverage and a total area of tory of the municipality are in the final stages. about 44ha.

The Constantinople Road Zone covers a wide As the municipality is located along Corridor belt around the Velika Plana-Lapovo regional road 10, the local government plans to develop tranand the national road leading from Svilajnac towards sit tourism. ■

varvarin

vladičin han

veliko gradište

Investment Possibilities

Natural beauty

Important Transport Links

Varvarin, which is the administrative, economic, educational, cultural, health and transport centre of the municipality

The structure of the local economy includes agriculture, tourism and industrial processing sectors

The EU has financed a feasibility study for the construction of the Suva Morava Industrial Zone in Vladičin Han

Varvarin is a small town and municipality in the Šumadija region of central Serbia. It is part of Serbia’s Rasina district and covers an area of 249 square kilometres. The municipality has 21 small settlements as well as the town of Varvarin, which is the administrative, economic, educational, cultural, health and transport centre of the municipality.

The municipality has about 70 companies, which are engaged in producing different goods ranging from secondary raw materials, food production, production of building materials, to commercial services.

A number of local companies have entered the privatisation process, which is expected to lead to the increased functionality of factories and increased production in the municipality of Varvarin.

At present, the economic capacity of Varvarin relies on PIK Varvarinsko polje and the Brojler chicken farm.

Together with the municipality of Ćićevac, Varvarin has formed a joint venture company with the American company L. A. International for the construction and subsequent distribution

The municipality of Veliko Gradište is located in eastern Serbia, covers an area of 344km2 and has a population of 27,000. It is bordered to the north by the River Danube and this stretch of the great river separates the municipality from neighbouring Romania.

The southern part of the municipality is alongside the Belgrade-Kladovo national road and railways, while Belgrade is located about 110 kilometres away.

Vladičin Han is located in the north-western part of the Vranje valley on both sides of the South Morava River. The territory is part of the central area of the Balkan Peninsula. The town is 67 km north of the national border with Macedonia and 52 km west of the Bulgarian border. To the west is Mount Kukavica, with its highest peak at 1,441 metres above sea-level. The town lies along major transport links including the international railway and highway from Belgrade and Niš towards the Macedonian capital of Skopje. Vladičin Han is 333 km away from Belgrade by road, 112 km from Pristina, 409 km from Novi Sad, 91 km from Niš and 112 km from Skopje. Vladičin Han municipality covers an area of 366 km² and includes 51 settlements that are home to a total of 24,676 residents.

The territory of Vladičin Han does not have motorways, but is traversed by 36.5 km of national roads towards Skopje and Greece’s Thessaloniki. It also has 55 km of regional roads covering four directions. The municipality has water and electricity networks throughout its territory and five automatic telephone exchanges operating that are operating at full capacity, with no

and maintenance of a gas pipeline network.

The Varvarin area has all the necessary preconditions for tourism including the natural beauty around the Great Morava and Western Morava rivers.

Furthermore, tourism can also be developed to promote the area’s many memorial fountains, springs, excursion sites, historic and cultural monuments, churches and monasteries.

Veliko Gradište boasts a Danube river port, while most areas of the municipality consist of arable land suitable for vegetable gardens, vineyards and field crops. The municipality is also a rich hunting ground, with a developed hunting tourism sector.

Veliko Gradište is surrounded by some of the country’s most picturesque natural scenery, including the popular Srebreno Jezero (Silver Lake), which was created as a result of the artificial dividing of the Danube through a canal, while there is also the spectacular Pek mountain river, which flows from eastern Serbia and empties into the Danube. The close proximity of Silver Lake and the rivers Danube and Pek ensure this town is a haven for anglers and nature lovers.

The structure of the local economy includes agriculture, tourism and industrial processing. Agriculture plays the most important role in the local economy and the most common crops are corn, wheat, industrial animal fodder, fruit and vegetables. The most important facilities are for the industrial production of vegetable oils at the Dunavka Refinery and the industrial production of bread according to local recipes.

new lines currently available. Several companies operate on the territory of the municipality, covering sectors like paper packaging, the wood processing industry and construction materials production. Agricultural enterprise Delišes (Delicious) also operates here.

The European Union has financed a feasibility study for the construction of the Suva Morava Industrial Zone in the municipality of Vladičin Han.

contact Zoran Milenković,

contact Zlаtibоr Мitić,

contact

president of the municipality Trg Marina Marinović, 37260 Varvarin Tel/Fax: +381-37-789-263 Email: sovarvarin@ptt.rs, Website: www.varvarin.org.rs Languages spoken: English

Office for Local Economic Development Address: Žitni trg 1 Place & postcode: Vеlikо Grаdištе 12220 Теl: 012 660128, Fаx: 012 661128 sоvgrаdistе@ptt.rs, www.vеlikоgrаdistе.оrg.rs

Address: Svеtоsаvskа 1 Place & post code: Vlаdičin Hаn 17510 Tel/fax: 017 472 260 Еmail: info@vladicinhan.org.rs Url: www.vladicinhan.org.rs Serbian Potentials | the Investors Guide | 61

VLADIMIRCI

Developed Livestock Farming Agricultural land accounts for 27,298ha, or 81% of the total territory of the municipality of Vladimirci, which has extremely well developed breeding of pigs, sheep and cattle

Vladica marković President of the municipality of Vladimirci

“The municipality of Vladimirci has a comprehensive road network”

contact: Slobodan Pavlović

Address: Ulica Svetog Save 34 Place & postcode: Vladimirci 15225 Tel: 015 513141, 514481 Fax: 015 513146 Email: office@vladimirci.org.rs, sovlad@vladimirci.org.rs Url: www.vladimirci.org.rs Foreign languages: English

62 | the Investors Guide | Serbian Potentials

the Šabac-Obrenovac national road and the Sava.

Vladimirci is located along the River Sava beThat part of the municipality has 300ha of statetween the cities of Šabac, Valjevo and Belgrade. owned land (not equipped in terms of infrastrucThe municipality is traversed by two national ture). Just 40km from the centre of Belgrade, it road routes: Belgrade-Šabac and Šabac-Valjevo. has been earmarked for the construction of inVladimirci is just 35km from Nikola Tesla Airport dustrial zones that will drive the further developvia the bridge currently being built over the Sava ment of Vladimirci. as part of Pan-European Corridor 10. According Alongside the industrial plan, the local urban to the 2011 census, Vladimirci is home to 18,785 plan envisages creation of a commercial zone for inhabitants.

SMEs on an area of 5ha in the centre of Vladimirci.

Agricultural land accounts for 27,298ha, or Investors are of81% of the total terfered the opporturitory of the municnities to invest in ipality of Vladimirci. tourism, as the muThis land is used to nicipality can ofproduce 30,000t of fer good natural rewheat, 80,000t of sources (thermal wacorn, 5,000t of barter, mineral water, ley and 2,000 tons River Sava), which of soybeans annualprovide huge potenly. In terms of fruit, tial for the develop250,000t of plums, ment of all types of 1,000t of cherries, tourism. Nearby is the 500t of apples and Next to the regional road and River 14th-century Kaona 200 tonnes each of Sava the municipality has 300ha of Monastery, the oldstrawberries, raspberries and blackstate-owned land. Just 40km from est and most famous berries are produced the centre of Belgrade, it has been cultural and historical in Vladimirci annuearmarked for the construction of monument in northwest Serbia. Together ally. The most comindustrial zones with the 100ha forest mon branch of livecomplex and planned manmade lake, it offers exstock production here is pig breeding, with cellent conditions to develop tourism.

50,000 head bred annually, followed by 15,000 There is also the Vukosačka Bara location, head of cattle, 10,000 dairy cows and significantcovering an area of 60 hectares. It provides the ly expanded sheep production, now up to 15,000 possibilities for building fish ponds and a leihead produced annually. sure centre, which would convert the site into the Existing agricultural production provides conlargest local resort for the citizens of Šabac and ditions for the further advancement of these Vladimirci municipalities. Through the construcproducts and the possibility of building food tion of dams on the River Dobrava, it is possible processing facilities (meat industry, fruit and vegto regulate the frequent floods that occur in the etable processing and the confectionery induslower reaches of the river, while turning the lake try). into a major reservoir suitable for irrigation.

The largest companies here are located in Vladimirci is rich in geothermal water that can the north-eastern part of Vladimirci alongside

dustrial development. The main problem in In terms of telecommunications, Vladimirci be used in sports/recreational tourism and for the supply of electricity is that low-voltage municipality has excellent coverage for fixedthe purposes of a health spa resort, as well network is worn out in some settlements and line and mobile telephony. In addition to an as for greenhouse production. Plans envisage there is an insufficient number of transformautomatic telephone exchange, Vladimirci althe construction of a spa centre in the very ers 10(20)/0.4kW. so has built 11 automatic telephone exchangcentre of the municipality, equipped with all facilities based on the utilisation of geothermal water.

Mineral water resources have been utilised in the village of Provo, where a well for mineral water with balneological properties has been built to a depth of 220m. The water has a temperature of 20.1°C, while the well has a capacity of 5l/s. Total mineralisation is 1300mg/l (mineral water). It is possible to construct spa facilities or a leisure centre here.

The Municipality goes out of its way to help investors gain permits and licenses in a timely fashion and in parts of the municipality covered by a planned act an investor may obtain the necessary planning permission in the shortest possible time. It is also worth noting that the planning acts for the parts of the municipality not covered by such documents are in the final stage of completion.

Vladimirci does not yet have foreign investors or any bespoke Vladimirci is rich in geothermal water that can be used in sports/ business parks.

Vladimirci Municipality began recreational tourism and for the purposes of a health spa resort, as well installation of a water supply sysas for greenhouse production tem for all settlements in the muThe municipality has a very broadly dises with a total capacity of 7,000 numbers, nicipality way back in 1972. So far some 24 persed road network and is connected to the which means that most households have telpopulated areas have been provided with wider region only via road links. The total ephone connections. Mobile coverage in the healthy drinking water and included in the length of the road network in the municipalimunicipality is served by two existing base regional water supply system. So far a toty is 898 kilometres and Vladimirci is also trastations for the 063 (Telenor) and 064 (M:TS) tal of more than 400km of pressurised pipeversed by the M19 and M21 national roads, networks, which ensures that the entire terriline has been installed to supply the citizens for a total length of 31 kilometres. The R206 tory has excellent coverage for the required the citizens of Vladimirci and the neighbourand R210 regional roads also pass through signal. ing municipalities of Ĺ abac, Koceljeva and the municipality for a distance of 35 kilomeAll settlements in the municipality have Obrenovac. The water system is supplied with tres. Local roads have a combined total length electricity and there is 100% coverage of water from two springs, in Ridjake and the vilof 175 kilometres, while unclassified roads electricity supplied to all households. The lage of Suvo, with a total capacity of 200 litres cover 657 kilometres. territory of the municipality is crossed by of safe drinking water per second.

About 156 kilometres of the total length high voltage power lines and a transit pipeWastewater is only collected in the small of categorised roads is asphalted, while line. Over 100 substations have been built town of Vladimirci, where there is an existthe remaining roads have gravel surfaces. in the municipality, with voltage levels of ing 2.5km-long sewage system that sees raw National and regional roads are all asphalted, 110/35kW. Electricity is delivered to the muwaste water discharged into a nearby stream. though they are damaged and deteriorated to nicipality through a network of 35kW transWastewater from other settlements is either the extent that they do not meet modern road mission pipelines, which could quickly prove collected in septic tanks or freely discharged transport needs. â– inadequate, depending on the intensity of ininto waterways and the surrounding terrain.

Serbian Potentials | the Investors Guide | 63

vlasotince

vranje

vrnjačka banja

Renewable sources

Surrounded by Spa tourism Commercial Zones centre

The municipality also has water potential that provides for the development of sport and recreational tourism

More local incentives for investors launching production activities

Tourism is the main industry in Vrnjačka Banja and the town itself is famous for its spa

The municipality of Vlasotince is located in southeast Serbia in the middle and lower basin of the River Vlasina. It covers 308km and is home to 33,312 inhabitants. An important feature of the infrastructure is the municipality’s close proximity to the Niš-Skopje Corridor 10 highway.

Vlasotince has various natural resources and provides conditions for the development of numerous branches of industry, such as textiles,

Vranje is the economic, administrative, health, industrial, educational and cultural centre of the Pčinja District. It covers an area of 860 km2 and has a population of 85 802. It is linked directly to pan-European Corridor 10 and is well connected to Belgrade, Skopje, Sofia and Thessaloniki.

The nearby Vranje Spa has spring water with temperatures from 98.7 to 125oC. Mount Besna Kobila, with its highest peak of 1923 m, is just 30 km from Vranje Spa and provides opportunities for the development of winter sports, tourism and recreation.

Food processing, textiles, tobacco, machinery, metals, food & beverage and the footwear industries are all developed here.

Vranje has several equipped industrial zones, such as the Bunuševac Industrial Zone, the Radnička Ulica and Suvi Dol zones, the zone beside Neradovački Road and an industrial zone at Vranje Spa. The local government has launched a special "investment package", with incentives for newly established businesses in the manufacturing sector, as

The municipality of Vrnjačka Banja is located in central Serbia and the town of Vrnjačka Banja lies at the centre of the municipality. It is 200 kilometres from Belgrade, between Goč Mountain and the River West Morava.

The spa has six thermal springs in the town, two of which are homeo-thermal mineral springs. Vrnjačka Banja also has beauti-

wood and metals processing, building material production, graphics, alcoholic beverages, construction, trade and hospitality, electrics, primary agricultural production, fruit and vegetable processing and tourism.

The municipality also has the water potential to develop sport and recreational tourism and various ancillary services. This municipality is extremely rich in water suitable for the construction of mini hydro-power plants and renewable energy in general.

The local municipal plan has already defined the development of an industrial zone in Vlasotince. It covers an area of 82 hectares and the location is in the vicinity of the main transport corridor.

Given its orientation towards SMEs as the dominant factor in future economic development and a desire to form industrial complexes alongside existing roads, the new Vlasotince 2020 general plan provides for the expansion of existing industrial zones and commercial areas.

well as exemptions and reductions on construction land fees. Building permits and other approvals are provided in the shortest legally prescribed deadlines, provided that the investor has submitted all required documentation.

Vranje is classified among the top ten small cities in Europe that are attractive to investors in terms of costs.

ful parks covering over 60 hectares of land, as well as aristocratic villas dating from the late 19th and early 20th centuries.

A wellness spa centre, four- and five-star hotels and the Beli Izvor children’s amusement park are just some of the town’s facilities. There is a possibility to construct industrial and production zones on an area of five to 30 hectares. There is also a possibility for greenfield investments on Mount Goč, where there are plans to construct sports and recreation facilities, tourist resorts, playgrounds, mini hotels and ethno and eco tourist villages.

Potential investors can take advantage of the wood processing industry and production of organic food, which are particularly interesting for investments.

The Spatial Plan of the Republic of Serbia and the municipal spatial plan envisage the construction of small hydro-power plants along the West Morava, which also represents a great investment opportunity.

contact Srdjan Šaulić,

contact Boban Stanković,Deputy

contact Мilа Stојаnоvić,

Address: Тrg Оslоbоđеnjа 12 Place & post code: Vlаsоtincе 16210 Теl: 016 875552, 875122, Fаx: 016 875552, 877236 оpstа.uprаvа@vlаsоtincе.оrg.rs, www.vlаsоtincе.оrg.rs Foreign languages: English

Mayor responsible for the economy and local economic development , Kralja Milana 1, Vranje 17500 , Tel: 017 402 334, Fax: 017 421 576 privreda@vranje.org.rs, www.vranje.org.rs Language of communication: English

Office for Local Economic Development Address: Krušеvаčkа 17, Vrnjаčkа Bаnjа 36210 Теl: 036 601214 milаstојаnоvic@nаdlаnu.cоm, www.vrnjаckаbаnjа.cо.rs Foreign languages: English and French

64 | the Investors Guide | Serbian Potentials

žabari

žagubica

zaječar

Agribusiness Development

Eco food & tourism

New jobs

Agriculture is the dominant branch and leader of economic development in the municipality

Beautiful scenery, favourable climatic conditions and an ecologically clean environment

By the Government of Serbia’s Act, Zaječar has been declared an area of special development importance.

The Municipality of Žabari is located in eastern Serbia in the lower Morava Valley on the right bank of the River Morava. It belongs administratively to the Braničevo District, covers an area of 264km and has 15,965 inhabitants in 15 settlements.

It is connected with all parts of Serbia via two main road transport routes and all road and rail routes leading to the countries of the region: the BelgradeNiš E75 highway (Corridor 10) and the Belgrade-Bar railway. It is located 50km from the port of Smederevo (Corridor 7, River Danube), 30km from Požarevac and 100km from Belgrade.

The industrial zone is located beside the highway and has link roads, a substation, water connections and telephone lines. Investors are offered empty industrial buildings, manufacturing facilities, construction land and exemptions from local taxes, as well as the possibility of obtaining approval for construction within a shorter deadline than that legally specified.

The Municipality proposes development within auspices of a planned industrial zone – agribusiness zone with processing capacities. Provided all neces-

The municipality of Žagubica is located in eastern Serbia, around 170km southeast of Belgrade and 83km from Požarevac. Its main transport corridor is the R105 Požarevac-Petrovac-Žagubica-Bor regional road.

Corn and wheat are mainly cultivated on the Žagubica plains and in the valleys of Krepoljin and Krupaj. The local hills are used for livestock breeding, horticulture and agriculture, though all of these pro-

Town of Zaječar is located in far east Serbia.

It is only 11 km away from the state border with Bulgaria. The town has been built on the intersection of the Paraćin – Zaječar – Kula (Bulgaria) main road. It covers an area of 1,096 square kilometres, and, according to the 2002 census, it has 65,969 residents. There is a metal-processing and food industry here, and, in the past, this area was known for its textile, leather processing, glass and porcelain industry. The main industrial capacities are privately owned.

Zaječar does not have an industrial zone, but there are available land plots along the M-25 main road with accompanying infrastructure, located near the Timok River and a railroad.

By the Government of Serbia’s Act, Zaječar has been declared an area of special developmental importance which means that the Government provides substantial incentives for each new job created, which range from 4,000 to 10,000 euros.

Zaječar has a qualified workforce particularly in areas like textile & leather processing, porce-

sary documentation is provided, location and building permits can be obtained on the same day.

The Municipality is committed to the consolidation and reclamation of over 8,500 hectares of land and all conditions have been created for the introduction of irigation systems, while a healthy and preserved environment (IV group of pollutants) provides an advantage for organic food.

duction areas are interconnected. The production of young meat and dairy products is also developed.

This is also a region of grain, fruit and meadows.

The most important industrial development leaders on the territory of Mount Homolje are the Fos castings factory, IGM Marble and Nova Osanica, which have been privatised, as well as the Jasenovac Krepoljin brown coal mine. Tourism has only recently begun to develop as an industrial branch here. Many small hotels have been built thanks to local companies, while there are plans to build new ones. As an economically underdeveloped municipality, Žagubica lacks the necessary funds for the more intensive development of tourism and, as such, the future orientation of tourism development in Homolje should be based on rural tourism.

Thanks to favourable climatic conditions and an ecologically clean environment, Homolje is a natural environment for the production of ecologically clean, high-quality food. Today this is becoming the most important element of the economic, trade and tourism offer and, to a large extent, motivates tourists to visit more frequently.

lain production, crystal glass processng, food production, agricultural produce processing, metalprocessing and electronics.

The following foreign companies are also operational in Zaječar: Moraviaenergo from the Czech Republika, Telefonika Kable from Poland, United Serbian Breweries (Heineken) Zaječarsko and Strabag.

contact Miodrag Filipović,

contact Radiša Milošević,

contact Boško Ninčić, may-

Address: Kneza Miloša 103 Place & postcode: Žabari 12374 Tel: 012 250130, Fax: 012 250232 Email: sozabari@ptt.rs, Url: www.zabari.org.rs Foreign languages: English

Head of the Department for Business and Local Development, Address: Тrg оslоbоđеnjа 1, Žаgubicа 12320, Теl: 012 7643153, Fаx: 012 7643237 milosevicradisa@gmail.com, www.zаgubicа.оrg.rs Foreign languages: Еnglish

or of Zaječar, Nadežda Radenković, Assistant Mayor in charge of investments, Trg oslobođenja br. 1, 19000 Zaječar, Tel: 019/444-600, 444670, Fax: 019/421-712, nadezda.radenkovic@zajecar.info Website: www.www.zajecar.info; www.lerzajecar.com Serbian Potentials | the Investors Guide | 65

žitorađa

Vegetables and Fruit The municipality is committed to producing organic food both for domestic and foreign markets The municipality of Žitorađa is situated in the Toplički district of south-eastern Serbia. The municipality is 10 kilometres from Corridor 10, which links Serbia to Macedonia, Greece and further onto the Far East, and 35 kilometres southwest of Niš.

Agriculture is the most developed branch of Žitorađa’s economic structure. The municipality is committed to producing organic food both for domestic and foreign markets. More and more atten-

tion is being paid to growing vegetables here, especially watermelons, peppers, tomatoes and cucumbers, rather than traditional grain crops. Also, fruit growing is on the up. The municipality requires cold storage plants and fruit and vegetable processing facilities in order to round off this economic activity.

The P3 industrial zone is located at the entrance to Žitorađa from the direction of Niš. It is only one kilometre from Žitorađa’s centre, covers an area of eight hectares and is connected to the R-245 regional road. The nearest industrial railway station is only 300 metres from the site. The zone has complete utility infrastructure and its land is privately owned, though the municipality intends to buy the land from private owners and offer it for use by potential investors free of charge, providing they plan to hire more than 50 workers.

The municipality has another industrial zone that is also situated on the R-245 regional road. It is only five kilometres from Corridor 10.

contact Goran Stojković, President of the Municipality Toplički Heroji 53, 18412 Žitorađa Tel: +381 27 8362 211, 8362 017, Fax: +381 27 8362 211 Email: opstina@zitoradja.org, www.zitoradja.org Languages spoken: Serbian and English 66 | the Investors Guide | Serbian Potentials

auction see auction south east europe office@auction-see.com; www.auction-see.com

VIP Vojvodina in Focus | the Investors Guide | 67

68 | the Investors Guide | Vojvodina in Focus

Vojvodina in Focus | the Investors Guide | 69

72

Positive trends despite the crisis

88 89 90 91 92

k ovačica

Bojan PajtiĆ, President of the Government of AP Vojvodina

k ovin

75

We have a five-year business plan for operations in Serbia,

Contents

100 101

sremska mitrovica srbobran

k ula

Cameron Read, Plant Manager at Norma Group JIE

m ali iđoš

76

We have reason for optimism

n ova crnja, novi bečej,

Branislav BugarskI, Director of the Vojvodina Investment Promotion Fund - VIP

82 83 84 86 87

novi kneževac

b ačka topola, bela crkva, bački petrovac

b eočin, čoka, irig

102 104 105 106 108

subotica

i nđija

stara pazova

k anjiža

titel, vrbas, vršac

k ikinda

šid zrenjanin

78

Supporting agricultural entrepreneurship Teodora VlahoviĆ, Director of the Guarantee Fund of the Autonomous Province of Vojvodin

79 80

a da, alibunar, apatin

Information as the Basis of a Good Business Decision

Žarko Galetin, Director General of the Novi Sad Commodity Exchange

81

b ač, bačka palanka, bački petrovac

70 | the Investors Guide | Vojvodina in Focus

93 94 95 96 98 99

n ovi sad, odžaci, pančevo

o povo p ećinci r uma p landište, sečanj, senta s ombor, sremski karlovci, temerin

109

žabalj, žitište

auction see auction south east europe

Vojvodina in Focus | the Investors Guide | 71

interview Bojan PajtiĆ President of the Government of AP Vojvodina

Positive trends despite the crisis years. Our ambition is to continue along that path and, when it comes to capital investments, place an emphasis on those investments that have specific developmental features. At the same time, we will continue encouraging investments that will make it possible to implement the highest European healthcare standards. Following construction of one of the most modern emergency centres in this part of Europe, Vojvodina will also gain a state-ofthe-art clinical centre. We are also going to develop new technology programmes, as well as programmes aimed at creating new jobs. There is also a strategically important plan to build a tunnel under Mount Fruška Gora, which is important to the everyday lives of the population of the Srem District and the whole of Vojvodina,” says Bojan Pajtić, president of the provincial government.

Political stability in the country and the stability of its institutions are of exceptional importance. I expect the formation of the new Serbian government and for it to work with strategic orientation on legislative matters, the tax policy and state subsidies, in order to foster a predictable investment climate and ensure that this positive trend will continue.

“F

ollowing the elections, our plan is to ensure that each municipality has an industrial zone or a technology park in the next four years, so that we can achieve even better results in attracting foreign investments. We will continue to advance our infrastructure, since the constitution envisages the allocation of sufficient funds for the implementation of the biggest investment cycle in the province in the last 30 72 | the Investors Guide | Vojvodina in Focus

• Vojvodina has had great success in attracting foreign investments over the past few years, as recognised by The Financial Times. What kind of investment trends will you continue to develop until year’s end?

The award given to Vojvodina by the most prestigious business magazine, The Financial Times, simply confirms that the measures we implemented at the local, regional and state level were productive and, as such, a great recommendation to all foreign investors. Vojvodina was ranked fourth among 110 regions in Europe. The ranking criterion was investment efficiency, which is of exceptional importance to us because 85% of investments made here come from Europe. As a result of those investments, 50,583 people found work, which equates to 77% of the total number of employees in foreign companies in the Autonomous Province of Vojvodina. However, in order for this number to be even higher, towns and municipalities need to continue investing in infrastructure and creating even better conditions for doing business, which is something we are going to work at together.

• Considering that investments in Vojvodina account for about 45% of all investments in Serbia, do you think Vojvodina receives sufficient support from the Serbian government when it comes to implementing infrastructure projects aimed at expand-

ing this investment market, which obviously has very high potential?

Our communications with foreign investors have been excellent and their remarks and experiences were very positive. Immediately after we received this recognition from the Financial Times and Serbia gained EU candidate status, the interest expressed by foreign investors increased.

Political stability in the country and the stability of its institutions are of exceptional importance. I expect the formation of the new Serbian government and for it to work with strategic orientation on legislative matters, the tax policy and state subsidies, in order to foster a predictable investment climate and ensure that this positive trend will continue.

The office in Brussels has made it possible for us to use 97% of the money that was allocated to us by the European funds, which is a record-breaking sum in this part of Europe. In the last few years we have welcomed

• Since 2004, i.e. during your mandate, the number of unemployed persons in Vojvodina has dropped by 80,000, from 280,000 to 200,000. What kind of employment trends do you expect to develop by year’s end?

Despite the economic downturn of the previous period, we still managed to lure a One of the latest substantial number of foreign investors to developments is the Vojvodina. We have also succeeded in canopening of Petroland, the celling out the impact of the global economic biggest and most modern crisis through our employment programmes and managed to reduce unemployment comwater park in the Balkans pared to 2004. Our actions were responsible €6.3 billion worth of FDI and serious, without any scandals or affairs. If we considand the main task of our er the global recession and great problems that European office in Brussels is to apgovernments have had to deal with, our results are a repeal to even more foreign al feat. Following the formation of the government of the investors and support the Autonomous Province of Vojvodina, I expect us to continprovince’s development ue implementing development projects. by increasingly participating in European Union de• Vojvodina was the first province to open a regionvelopment funds. al office in Brussels. When do you expect this endeavour to achieve its full potential?

• Construction is underway on a gas powered therThe office has already reached its full potential and the mal power plant in Bač and we are also expectresults of its work are visible. Only a few days ago, during ing wind farms to become operational. When will the annual forum of the Knowledge Economy Network Vojvodina get more seriously involved in the en(KEN) in Maribor, the Autonomous Province of Vojvodina ergy system? received an award for exceptional accomplishments and The number of facilities that use Vojvodina’s natural reimplementation of the highest standards in multi-culsources, which were previously treated as harvest debris, tural education. This acknowledgement is a direct result is growing. The facility in Bač is a project harmonised of the work of Vojvodina’s representative office. The ofwith the highest environmental standards that will crefice officially presented the standards that Vojvodina had ate new jobs and will use 100% natural biological matebeen implementing in this area on several occasions and rials, which are not harmful to the environment. this was actually the main reason we were nominated Most of the power produced by this thermal power plant, and later received the award. The office was opened in which is expected to be operational by late May 2013, order for the province to be able to access as much fiwill end up in homes and local companies, as well as benancial means from European funds as possible once ing used for various services in the production of elecSerbia became an EU candidate.

Vojvodina in Focus | the Investors Guide | 73

tricity and heat. This project is currently Slovakia’s biggest renewable energy investment in the region.

The project is in its very infancy and in three months’ time we will complete two biogas facilities, one in Vrbas and the other in Ilandža. The installation of a biomass boiler facility (15 megawatt output) in Sremska Mitrovica is nearly finished, so next winter the residents of this town will get their heat from biomass. In terms of wind potential, we have issued three location permits so far

tential. With its monasteries, which represent a unique cultural and historical heritage and play an exceptionally important spiritual and tourism role, coupled with is wonderful ambiance, 14 little-known lakes and other natural potentials, Fruška Gora will certainly take an important place on the tourist map of Vojvodina and the wider region.

One of the latest developments is the opening of Petroland, the biggest and most modern water park in the Balkans. It sprawls over 20 hectares of land and, apart from swimming pools and other entertainment programmes for kids and grown-ups, the park will also have a spa, wellness and fitness centre and hotel accommodation with a rich tourist offer.

We have been working a lot to promote tourism and tourist potentials, not only through largescale projects, but also through cooperating and supporting smaller creative projects in our municipalities. All of these different projects make Vovjodina’s tourist offer a very rich one indeed and are creating a unique image of Vojvodina.

For instance, in the last two years, through the

Following construction of one of the most modern emergency centres in this part of Europe, Vojvodina will also gain a state-of-the-art clinical centre and are about to issue a permit for construction of a wind farm in South Banat District.

It is important to mention that a set of laws was adopted late last year to regulate energy issues and define investment opportunities for local authorities through public-private partnership formats. This set of laws also brings legal security, which is of utmost importance to investors. As such, in the next four to five years I expect significant investments to be made in biomass, hydro and wind energy.

• When in comes to tourism, Vojvodina’s rivers and lakes, as well as Mount Fruška Gora, have great potential. However, it seems that the EXIT Festival is still the leader in this area. What are your plans for tourism, given that this is not an area requiring huge investments, but one that employs a lot of people and guarantees a good global image?

The EXIT Festival is the leader and every year more and more foreign media dub it one of the world’s best summer festivals. This year many foreign tourists from Europe and the wider world will again come to Novi Sad to attend EXIT. Fruška Gora also has great potential and, with the implementation of the Master Plan for Sustainable Development of Fruška Gora in the Period from 2012 to 2022, this mountain will fulfil not only its tourist potential, but also its cultural, historical and environmental po74 | the Investors Guide | Vojvodina in Focus

Vojvodina government’s female empowerment programme, the Labour, Employment and Gender Equality Secretariat helped establish 11 souvenir shops. These shops are supposed to help rural women’s associations to gain financial strength and are an excellent vehicle for promoting our tourism offer.

• What strategic projects do you plan to complete during your political mandate?

The most important things for Vojvodina’s citizens are to live in peace, to be able to work and to live a normal life with the money they earn. It is also important for them to have the kind of education, healthcare and social standards that are enjoyed in developed European countries.

This is what I consider our task and, together with my associates, I want to fulfil this to the best of my abilities. ■

interview Cameron Read Plant Manager at Norma Group JIE

We have a five-year business plan for operations in Serbia “We opened our new production plant in Serbia in July 2011 in order to further expand our global network and strengthen our presence in Eastern Europe. At that time we employed 40 people in Subotica. In 2011 our focus was on setting up our process, training our people and satisfying our new customers by delivering high quality products on time. As a consequence, the number of employees grew to more than 130 by June 2012. We have a five-year business

Running at full capacity, the plant is expected to generate annual sales of around €30 to €50 million in the coming years plan for operations in Serbia to be running at full capacity and intend to increase the number of employees to 350 as the factory becomes progressively filled,” says Cameron Read, Norma group JIE Plant Manager.

• You are planning to export Norma’s entire production in Serbia to the markets of Western and Central Europe. What value of exports do you expect to realise and which other markets are you still planning to conquer?

NORMA Group established its new facility in Serbia to satisfy the increasing demand for our fluid system products on all European markets. All of our third party sales will be realised through export to customers in Western and Central Europe. Additionally, we will sell products to customers in the Middle East and Africa, Asia-Pacific, as well as in the U.S. and South America. Running at full capacity, the plant is expected to generate annual sales of around €30 to €50 million in the coming years.

• Norma’s investment is the fourth major German investment in Serbia and German Ambassador to Serbia, Mr Maas, said recently that German compa-

nies like to invest in Serbia. What do you think of the current investment climate in Serbia?

Our decision to invest in Serbia was taken almost two years ago and we are very happy with it. A strong management team has been assembled in Serbia and was well supported by experts from other NORMA Group facilities. We have also been very pleased with the support received from Serbian agencies in the realisation of this project in a short period of time. In Serbia we are focusing on manufacturing our NORMAFLEX joining elements to the highest quality.

The local team has already acquired its first renowned customers and will contribute to further NORMA Group’s sales growth in the EMEA (Europe, Middle East and Africa) region.

• Norma Group is a world leader in the field of engineered joining technology, offering around 35,000 high-quality products and solutions to 10,000 customers in more than 90 countries worldwide. How are current opportunities on the global market, in terms of demand for your products, and who are your main competitors in the region?

NORMA Group has seen steady growth over the past few years. This shows that we are moving in the right direction and that our business model is working very successfully.

In 2011 we significantly expanded our emerging markets presence by opening new locations not only in Serbia, but also in Russia, Thailand and Brazil. This provides solid foundations for the future. In 2012 NORMA Group opened a representative office in Vietnam, a country with huge growth potential, followed by further branches in the Philippines and Indonesia. Going forward, we will continue to invest in our company and actively increase capacities to ensure further growth, with a particular focus on the emerging markets of Brazil, Russia, India and China.

• Norma Group chose to implement its investment in Serbia, as opposed to opting for Turkey, Bulgaria or Romania. What do you think the new Serbian government should do to attract more major new investments like yours?

If the new Serbian government is able to be meet the needs of investors and provide the same level of support offered to NORMA Group during all stages of our investment, then I think Serbia still offers good opportunities for those considering investing. ■ Vojvodina in Focus | the Investors Guide | 75

interview Branislav Bugarski Director of the Vojvodina Investment Promotion Fund - VIP

We have reason for optimism No one can accurately predict the global economy’s movements today, but personal experience, the projects we are working on now and the new inquiries we receive, all tell us to be optimistic

"D

espite fighting the short-term impact of the crisis, major international companies have not withdrawn significant funds and remain committed to expanding their presence abroad. According to our records, when it comes to Vojvodina during this year and the last two years, investment contracts with

• During 2012 Vojvodina received numerous awards, including an award at Cannes for being the fourth ranked region in Europe in the category of the effectiveness of investment costs. Does such recognition lead to increased interest of foreign investors in the region of Vojvodina?

The competition "European Cities & Regions of the Future" is organised by FDI Intelligence magazine, part of the Financial Times Group, and is important for everyone who’s promoting their location. At the same time, it is also a source of information for the media, those who analyse trends and, most importantly, those seeking new business locations. With that in mind, we did not allow this award to pass unnoticed and ensured we carried out a good camIn addition to the priority sectors paign abroad, and that must have (agribusiness, metal-machinean impact. Of course, it is difficult to automobile and IT), we have also "measure" the results of such a comdefined priority countries that we petition.

We are currently working on 34 will actively target. projects that could potentially bring €322.8 million of FDI and create more than 6,300 jobs. As foreign companies worth over €880 million have been signed many as 20 of those projects are planned for this year, though and are expected to lead to the creation of over 10,000 new only a few of them have planned investments for now, worth jobs. We estimate that the announced projects should be im€297.5 million and about 4,000 jobs. One of these projects plemented by 2015. So at the moment we have no reason is a large scientific/technological park, which, if realised, will to doubt that the positive trend FDI won’t continue,” says bring €160 million of FDI alone and create 3,500 jobs Branislav Bugarski, director of VIP Vojvodina

• Has Vojvodina received new investors of late?

Last year saw agreements on investments of major companies, such as Bosch, Continental, Swarovski, Norma Group, Lamesa, Magna, Embassy Group, BIG CEE ... The number of reinvestments is also significant and includes Siemens, Draexlmaier, Eaton Moellaer, Carlsberg, CGS Mytas, Hint Tech, Litostroj, Fresh & Co, Calzedonia, EIX Hotels, Albon, Henkel, Alltech Fermina, JUB colour, Heineken and others. From that perspective 2011 was an extremely positive year for us and we view 2012 with much optimism.

76 | the Investors Guide | Vojvodina in Focus

• T hree other Vojvodina municipalities, Inđija, Sremska Mitrovica and Subotica, were also awarded by the Financial Times in the same category.

How do you plan to extend this trend to other municipalities?

The VIP Fund is a partner of all Vojvodina municipalities in the process of attracting investment – from devising and developing of infrastructure, through creating presentations for investors, to establishing industrial zones and business incubators, of which five has so far opened: in Novi Sad, Subotica,

Zrenjanin, Senta and Bački Petrovac.

An important part of that collaboration is the educational project "Knowledge to Investment", which includes a series of seminars for local governments aim at making them more competitive in attracting foreign investment. Some of the topics included Preparing an attractive location for investors, Marketing locations and gaining exposure at trade shows, Public-private partnerships, Improving the competitiveness of the workforce, Industrial parks, the Law on Construction and so on. We are now waiting to see at what point we will restart the training in the municipalities once the change comes. I hope it will be as successful as it has been so far, as the previous cycle of seminars were attended by more than 2,000 local government representatives.

• Which directs projects does VIP have to further promote Vojvodina as a major target for foreign investment?

In addition to the priority sectors that we have defined: agribusiness, metalmachine-automobile and IT sectors, we have also defined priority countries that we will actively target. Those are, primarily, Austria, Germany and Italy, as our traditional investors, but we are also starting with Scandinavian countries, Turkey, Japan etc. The last event where we had a successful promotion was the international fair of real estate, EIRE, in Milan, where Serbia was only represented for the second time and where we introduced Vojvodina’s potential in the field of developing commercial and industrial real estate.

Compared to last year, EIRE was much more successful for Serbia this time.

Interest was much higher and VIP Fund held a series of successful meetings. We are also planning to attend Frankfurt’s Automechanika Fair, because there we have a long tradition and already have more than 50 companies present in the automotive-machine-metal sector. It is also important for us to attend one of the largest agricultural trade shows, SIAL in Paris, because more than 50 companies in Vojvodina, employing about 12,100 people, confirm that this is certainly one direction we should go in.

• Bojan Pajtić, president of Vojvodina's provincial government, opened an office in Brussels last year. How long will it take for this office to be recognised as an address for potential investors from the EU?

and verification of chips and printed circuit boards, as well as the development of so-called ‘embedded software’. Investors usually decide to realise a presence in Vojvodina through smaller projects, but then later – when they become more familiar with the environment – they tend to slowly increase the number of people they engage. What is particularly significant is the increasing interest in implementing production projects in the electronics sector, which was lacking in the previous period.

• Where and in which sectors do you see the greatest potential for investment in Vojvodina in the immediate future?

Some of the most promising sectors in Vojvodina have already being singled out and are show excellent results. Firstly there is agribusiness, with 53 foreign companies, more than €2 million of investment and 12,103 employees. In terms of levels of investment, agribusiness is immediately followed by the financial sector, construction industry, energy and oil industries, as well as the auto industry, metal processing and machinery sectors. When it comes to locations, in addition to providing planning documents and infrastructure, there must also be a local workforce with the basic knowledge necessary for the investors’ sectors, which can then possibly be upgraded. ■

This office will certainly have an effect on the investment climate and they have already focused their activities on analysing the area and identifying available funds. The regions that have good contacts in Brussels also receive information about funds and how to make good EU projects. This office focuses on infrastructure projects, renovation and the construction of roads, harbours and marinas, for which there is a good chance funding will come through the Danube Strategy and the EU Structural Funds, because they go beyond local and even national frameworks and importance. In addition to this, we work in very close cooperation with the Office in Brussels and our main task is to bring Vojvodina closer to business associations and the professional public that is generally present in the capital of the European Union. That is a very important step for the further socioeconomic development of our province.

• India’s Embassy Group also began construction of its IT business park in Inđija two months ago. Are they in your plans and can you announce any new investments in Vojvodina, in terms of information technology?

Several small-scale projects are currently being implemented in the ICT sector in Vojvodina in areas such as software development, but also design Vojvodina in Focus | the Investors Guide | 77

interview Teodora VlahoviĆ Director of the Guarantee Fund of the Autonomous Province of Vojvodina

Supporting agricultural entrepreneurship An increasing number of young people are launching their own businesses with the Fund’s support

T

he Guarantee Fund of the Autonomous Province of Vojvodina was founded with the aim of facilitating access to financial markets and providing better loan conditions than those offered by banks. This task is being fulfilled through the Fund’s core activity, which is issuing guarantees to banks as collateral for the reg-

With the support of the Guarantee Fund, an increasing number of young women are launching their own businesses and young farmers are buying their first pieces of land or agricultural machinery ular repayment of loans. Some of the other important tasks of the fund include increasing employment and living standards, achieving more dynamic and balanced regional development of Vojvodina, in accordance with the Republic of Serbia’s National Economic Development Strategy, as well as supporting export and enhancing the competitiveness of local businesses.

• In April you announced the launch of a competition through which guarantees would be issued to SMEs, entrepreneurs and farmers for the acquisition of new equipment. What has been the response so far and which banks have decided to join the project?

In late April the Guarantee Fund of the Autonomous Province of Vojvodina launched a competition to provide guarantees to loans that will be used by SMEs, entrepreneurs and farmers to purchase new equipment. One of the competition rules was for applicants to have been operational for at least three years. The aim of the competition is to provide required financial means for development projects implemented on the territory of Vojvodina and thereby stimulate economic activity and the creation of new jobs. The Vojvodina Development Bank provided a credit line, while the Guarantee Fund also expanded its portfolio of farmer support to include allocating guarantees for purchasing new equipment. As well as supporting the acquisition of agricultural machinery, this activity is being carried out in cooperation with five commercial banks.

78 | the Investors Guide | Vojvodina in Focus

• The 79th International Agricultural Fair took place in Novi Sad this May. What activities did the Guarantee Fund present at the Fair?

The International Agricultural Fair is an event that enjoys a great reputation and demonstrates great dedication. This year saw many conferences and expert meetings take place, during which farmers could have found out more about many innovations in agriculture. They were also able to gain information about the support measures provided by the state and provincial bodies and institutions. The Guarantee Fund presented its own line of activities, considering that one of its main tasks is to provide favourable loans for agricultural producers in Vojvodina and issue guarantees which substantially expand the credit potential of Vojvodina’s farmers. Of the 1,130 guarantees we have issued, close to 1,000 of them were given to support agriculture and rural development.

• One of the Fund’s aims is to help women and young people set up and develop agricultural facilities. Do you think the current climate in Serbia is conducive to that?

We have taken important steps toward improving the investment climate in Serbia. Vojvodina is ranked fourth in Europe when it comes to efficiency of foreign investments. The development strategy, which covers the 2008 to 2013 period, has been harmonised with the Law on SMEs, which was adopted by the European Commission. Many financial and non-financial support programmes for small businesses are being implemented at the local, regional and national levels. However, during this period of economic downturn, when many small companies are folding, we need to devise new measures and link them to existing ones, in order to gain a comprehensive system of continual support. One of the main hurdles in setting up and developing SMEs is the difficulty of accessing financing resources. It is women and young people who have the toughest time when it comes to obtaining loans. The Guarantee Fund considers supporting female entrepreneurship one of its priorities. We have approved 170 guarantees for loans granted by Banca Intesa.

Our female entrepreneurship support programme also won an award from the Council of European Regions in 2008. With the support of the Guarantee Fund, an increasing number of young women are launching their own businesses and young farmers are buying their first pieces of land or agricultural machinery. ■

Ada

alibunar

apatin

Marina for Extensive Smaller Vessels road network

International Marina

The municipality is a regional centre of the textiles and metal processing industries

Alibunar has a well developed network of roads and there is also a rail network

Apatin is one of the most developed and most attractive municipalities in Serbia

Ada is a municipality in Serbia’s northern province of Vojvodina. Agriculture is the main industry, followed by the food processing industry.

The municipality is a regional centre of the textiles and metal processing industries. It covers an area of 228.6km2 and has 18,998 inhabitants.

The municipality has a well developed transport network. There are high quality local roads, which is particularly important for transit traffic through the centre of Ada. As regards rail transport, the municipality is crossed by the regional Bečej-Senta-Ada railroad, which is currently out of service. There is also the River Tisza, which is navigable in both directions throughout the year and has a well-designed marina for smaller boats 800 metres from the centre of Ada. Some 700 meters from the centre of Ada towards the Tisza is also a runway for light aircraft.

The industrial zone is located just 75km from Novi Sad, 150km from Belgrade, 45km from the Hungarian border and 65km from the Romanian border. It covers a total surface area of 105 hec-

Alibunar Municipality is located in the central part of South Banat, though it belongs administratively to South Backa District.

The municipality covers an area of 602 km2 and is located at the intersection of roads leading from Belgrade to the border with Romania. It consists of 10 towns and villages: Alibunar, Banatski Karlovac, Vladimirovac, Dobrica, Ilandža, Janošik,

Located in western Bačka, Apatin covers an area of 333km2 and has 32,813 inhabitants. It is on Pan-European Corridor 7 (the River Danube), while Corridors 10, 5 and 4 are nearby. This makes Apatin a very accessible municipality. Plans are in place to construct a port that will have international status and will be included in an integrated regional transport network.

Developments in the sectors of tourism, sport and recreation have made this one of the most developed and most attractive municipalities in Serbia. The town of Apatin has a spa and wellness centre.

The municipality has an industrial zone that covers 160 hectares and has complete internal road and utility infrastructure on the periphery of the zone. The possibility exists to develop other free zones and industrial parks.

The most important investment in the municipality is the building of an intermodal (retail and transport) centre and port. Apatin has the first international marina in Serbia with 400 berths

tares. The Municipality owns 45 hectares, in addition to 40 hectares within the existing zone, while the remaining 70 hectares is privately owned. It is equipped with a water supply system, supplied with gas, electricity, a sewage system, telephone lines and internet links, while the local road leads to the R122 regional road, which is nearby.

Lokve, Nikolinci and Seleuš. It is home to nearly 23,000 inhabitants.

Alibunar has a well developed network of roads and there is also a rail network with the main line Belgrade-Vršac-Romania.

The municipality encourages the development of agriculture, industry and tourism, as well as creating favourable conditions for the promotion of private entrepreneurship and SMEs. The municipality has 44,000 hectares of arable land, of which 34,000 hectares are under private ownership.

The municipality does not have business parks, but it does have four industrial zones: Alibunar 1 (95 hectares), Alibunar 2 (three hectares), Alibunar 3 (83 hectares), Banatski Karlovac (two hectares).

The industrial zones are registered as "undeveloped land". Land lease is possible and the necessary plans and regulatory documentation already exists. The Municipality will issue a building permit within eight days, provided the investor submits all required documentation. Special local incentives do not exist.

(120 specially designed for yachts). In addition to this facility, the municipality has a port for Danube cruise ships.

In addition to stimuli for domestic and foreign investors, the Municipality provides incentives in terms of payment of utility fees, leases of construction land plots and exemptions from local taxes for urban planning and building permits.

contact Djerdj Horti,

contact Slаđаnа Vukајlоvić,

contact Snеžаnа Мilеšеvić,

assistant of the municipal president for investment Address: Тrg Оslоbоđеnjа 1, Аdа 24430 Теl: 024 852106; Fаx: 024 853342; Mob: 062 265004 Еmаil: prеdsеdnik@аdа.оrg.rs; Url: www.аdа.оrg.rs Foreign languages: English, German and Hungarian

technical secretary Address: Тrg Slоbоdе 4, Аlibunаr 26310 Теl: 013 642105 Еmаil: аlskupstinа@hеmо.nеt; Url: www.аlibunаr.оrg.rs Foreign languages: English and German

coordnator of the Office for local economic development Address: Srpskih Vlаdаrа 29; Аpаtin 25260 Теl: 025 772122, ext. 618; Моb: 069 2526028, 064 2169941 Еmаil: snеzаnа.аrh@gmаil.cоm; Url: www.sоаpаtin.оrg Foreign languages: English, German and Italian Vojvodina in Focus | the Investors Guide | 79

interview Žarko Galetin Director General of the Novi Sad Commodity Exchange

Information as the Basis of a Good Business Decision The legend of the ancient Greek messenger Philippides, who ran 42,195 metres from the Marathon Field to Athens to bring good news about the Athenians winning a battle against the Persians, is still a perfect example of persistence and tenacity today, but is also an example of just how important information is when it comes to forming public opinion.

• What are the priorities of the Commodity Exchange?

The best example of how speed has become a relative category is today's communication system, which relays news from one part of the world to the other almost instantaneously, as an event happens. This ensures business people are addicted to fast, reliable and good quality information.

News about exchange rates on

clearly defines the quality of goods, their price, the pick up point and other elements found in a sales order, while a buyer expresses his intention to buy goods of a certain quality, at a certain price and at a certain pick up point. In the situation where you apply the same criteria to the buy and sell orders, they become a perfect match and business is done. Simply put, the stock exchange sales system has enabled the conducting of business in a true market way, since a price that is determined in such way is a real market price, i.e. the price that is referential for the market covered by the market's organiser – in this case the exchange.

News about exchange rates on the global stock exchanges spreads in real time and brokers have to react quickly, with the situation on the market able to change in a matter of minutes the global stock exchanges spreads in real time and brokers have to react quickly, with the situation on the market able to change in a matter of minutes.

In such an environment the main task of a market institution, or an institution that considers the organising of a market the imperative of its existence, is to provide timely and accurate information about important events, so that users of stock exchange services can draft their business strategies in the best possible manner. In the last few years the Novi Sad Commodity Exchange has made this one of its top priorities.

• Why is information provided by the Commodity Exchange considered relevant?

The first, and perhaps most important, part of this information-analytical concept is importance of the information generated on the Commodity Exchange. The answer lies in the way in which this information is devised. The exchange's prices are formed on a real market, i.e. through sales. By offering the goods via sales quotes, a salesman 80 | the Investors Guide | Vojvodina in Focus

• What else needs to be done to devise a real market approach in both the mid- and long-term?

We need price information from the international markets, as well as information about the most important factors that create a market. The Novi Sad Exchange has been sure to gather these pieces of information and make them available in one place. This is information about the global production, consumption and stock balances of certain goods, which affect the prices of agricultural produce, political factors and prices on financial markets. In order to make the whole story even more tangible, let us use the soybean market as an example.

The current price of soybean on the Novi Sad Commodity Exchange is 53 dinars per kilogramme excluding VAT. At the beginning of the harvest this price stood at 33 dinars per kilogramme, but by year’s end it had climbed to 34 dinars. On the other hand, the global soybean price is also growing, so the latest price on the Buenos Aires Exchange is $560 per tonne, which equates to around 53 dinars per kilogramme when you convert U.S. dollars into Serbian dinars. What can we expect in the future? The three biggest global soybean producers – the U.S., Argentina and Brazil – have produced 25 million tonnes less, while global figures show that consumption exceeded production by as much as 30 million tonnes. ■

Bač

bačka palanka

bački petrovac

Successful companies

Textile Industry

Rural Tourism

Municipality with 7,000 hectares of forestland suitable for hunting

The municipality is linked to Croatia by a Danube bridge and the territory is crisscrossed by many canals

There is already one industrial zone, with the construction of three more planned

The municipality of Bač covers an area of 365km 2 and its territory is traversed by the Danube-Tisza-Danube (DTD) Canal, which connects the municipality with ports in Bogojevo and Novi Sad. Bač is close to major transport routes, including corridors 10 and 7. The municipality is 62 kilometres from Novi Sad and 140 kilometres from Belgrade.

The dominant economic sector, and certainly the biggest generator of revenue for the municipal budget is agriculture, with arable land in Bač covering a total of 24,000 hectares.

The manufacturing ranks second, followed by construction and transport. Manufacturing is mainly based on food processing. In the municipality there is also metal processing and manufacturing of electrical equipment. There are plenty of successful construction companies, such as Slovan Progres, Bager Promet and others. The municipality has 7,000 hectares of forestland suitable for hunting The small business zone in Bač (so-called work zone) covers 24 hectares but is insuffi-

The municipality of Bačka Palanka covers an area of 579 km 2 and has a very favourable geographical position thanks to its close proximity to the Danube and the fact that the municipality is located at the crossroads of important roads. The municipality is linked to Croatia by a Danube bridge and the territory is crisscrossed by many canals of the DanubeTisza-Danube (DTD) system. Bačka Palanka is a

The municipality of Bački Petrovac is located in the Vojvodina’s South Bačka district. It spreads over 158 km2 and is bordered to the south by the M7 Bačka Palanka-Novi Sad national road. The Novi Sad-Bogojevo (Sombor) railroad also passes through the municipality, as does a navigable Karavukovo - Bački Petrovac Canal, which forms part of the Danube-Tisza-Danube system. It is 25km from Novi Sad, 30km from the border with Croatia and 90km from neighbouring Hungary.

The future R102 regional bypass road passes through the industrial zone, which is 30km from Corridor 10 highway E75.

Agriculture is well represented here, while recent years have also seen the development of rural tourism.

The industrial zone is located in the southern part of the town towards Gložan and is envisaged to eventually cover about 143 ha. Its position sees it served by the main road transport route, while the zone is also passed by a high voltage 10 kV electricity line and plans will see the building of a power transfer station.

Three more industrial zones are also planned: an area of 60 ha in Maglić, 31 ha in Gložan and a

ciently utilised, despite an excellent location.

The local authorities are engaged in promoting the competitive advantages of the zone, securing benefits for production start-ups and incentives when it comes to choosing the appropriate plots, as well as incentives for obtaining the necessary approvals and building permits.

border municipality of the Republic of Croatia, separated only by the river bank. The Danube has transport and tourism potential.

The municipality and town of Bačka Palaka have traditionally engaged in economic sectors such as textiles (carpet manufacturer Sintelon), production of electrical installation materials, the leather processing industry, metal processing, food processing and tourism.

The starting price for leasing land owned by the municipality and town of Bačka Palanka is very low, almost symbolic in the first zone.

The price to purchase land is between 1,142 and 1,543 dinars per square metre, while in Čelarevo it is just 306 dinars per square metre and in the municipality’s other towns and settlements the price is 36.5 dinars per square metre. The price for leasing office space is 180 dinars per square metre or €1.5 per square metre for production facilities. The price to purchase unused brownfield production facilities ranges from €300 to €500 per square metre.

40 ha zone in Kulpin beside the DTD Canal.

Incentives offered include grants for planning, staff training programmes, incubator centres for new businesses, financial assistance and tax breaks.

Building permits are issued under the shortest possible deadlines.

There is also the Agrogrnja Business Park, which is under private ownership.

contact Nikola Banjac,

contact Miroslav Rodić,

contact Tanja Varga,

Address: Тrg Dr Zоrаnа Đinđićа 2 Place & postcode: Bаč 21420 Теl: 021 770170, Fаx: 021 770330 Url: www.bаc.rs; Еmаil: prеdsеdnik@bаc.rs, infо@bаc.rs Foreign languages: English and Slovakian

Address: Krаlја Pеtrа I 16, Bаčkа Pаlаnkа 21400 Теl: 021 7559192, Fаx: 021 6045587 Еmаil: prеdsеdnikоpstinе@bаckаpаlаnkа.оrg.rs Url: www.Bаčkаpаlаnkа.rs Foreign languages: English

Address: Kolarova 6 Place & poost code: Bački Petrovac 21470 Tel: 021 781378; Fax: 021 780571 Email: opstina@backipetrovac.rs; Url: www.backipetrovac.rs Foreign languages: English and Slovakian Vojvodina in Focus | the Investors Guide | 81

BAČKA TOPOLA

bela crkva

bečej

Industrial tradition

Recreation and Agriculture

Top Quality Land

The first industrial park and logistical centre in Vojvodina has been built in Bačka Topola

The municipality’s most important economic branches are agriculture and tourism

Situated at the crossroads of rail and road routes, Bečej lies on manmade canals and the River Tisza

Bačka Topola is located in central Bačka and the municipality covers an area of 596km 2. It is 32 kilometres from Subotica and 40km from Sente. There are 38,000 residents, with a total workforce of 24,328.

The municipality has a long industrial tradition and is home to several successful companies that could attract the inflow of further working capital. Agriculture is the major sector, with

The municipality of Bela Crkva is a Danubian lowland border municipality located in the northeastern part of Serbia. Geographically, the municipality is surrounded by the hills of the Carpathian Mountains, the Vršačke Mountains, the Danube, and partially by the Pannonian Plain. Bela Crkva covers an area of 353 square kilometres and is comprised of 14 smaller towns and villages. The municipality’s population is 20,637, is 106 kilometres east of Belgrade and has numerous transport links.

The municipality’s most important economic branches are agriculture and tourism. Arable land is the biggest natural resource in the municipality, covering 77% of the municipality’s total territory. The entire area stretches across 35,345 hectares, with 21,499 hectares covered in plough land, 6,158 hectares in pastures and meadows, 160 hectares in vineyards and orchards, and 2,704 hectares in forests. As for tourism development, the biggest potential lies in seven crystal- clear lakes covering 150 hectares. Also, there is the Labudovo Okno locality, which covers 360 hectares of the Deliblatska Sand Pit. This location

There has been a large settlement since time immemorial on the right bank of the Tisza. It is the Pannonianstyle town of Bečej. With a favourable location, it is situated at the crossroads of rail and road routes and lies on manmade canals and the River Tisza.

The municipality of Bečej belongs to South Bačka District and covers an area of 487 km2 (including 44,007ha of agricultural land and 271ha of forests).

The town of Bečej is the centre of the municipality,

several active industrial branches. When it comes to the metal processing industry, there is a steel foundry, the manufacture of wood cutting tools, lock and key making, electro metal processing and metal chain production. Bačka Topola also has great tourism potential.

The first industrial park and logistical centre in Vojvodina (VIP – LK) has been built in Bačka Topola.

The park has direct rail access and is located 146 kilometres from Belgrade and 71 kilometres from Novi Sad. National Investment Plan envisages the construction of several new roads here.

The industrial zone covers 124 acres, though 119 acres are already occupied. The possibility exists to extend the zone by an additional 500 hectares. The existing zone is equipped in terms of infrastructure and plans are in place to add infrastructure.

The deadline for issuing permits is between 30 and 60 days. The local government is available to assist all potential investors.

is suitable for hunting, fishing, sports, and recreational activities.

The Nera Industrial Park is located in the existing industrial zone, which covers an area of over 14.26 hectares. The zone, with its existing infrastructure, is perfect for developing business, production, and warehouse facilities. The municipality offers the lowest lease rates.

which is home to 38,000 inhabitants – 10,727 of whom are employed. Some 897 entrepreneurs and 293 companies are currently operating in the municipality. Of these there are six large, 18 medium and 269 small enterprises. The predominant economic activity is primary agricultural production, processing of agricultural products and livestock breeding, followed by the manufacture of construction building materials, metal processing, rubber production, the oil industry, wood processing, textiles and services.

Bečej’s industrial zones are located in the southwest of the town beside the DTD canal and comprise an area of 437.40ha. The Žabalj-Senta railroad divides the area into two separate units. The older zone has existing facilities of companies Sojaprotein, Fadip, Pik-Bečej, Bečejka, 8th October and others, over a total area of 97.38ha. The remaining area of 307.63ha is classed as undeveloped construction land. All built structures are production, storage or subsidiary production facilities, with the exception of an existing farmstead in Južna Street and two PIK agricultural complexes occupied by agricultural and residential buildings.

contact Nebojša Kuzmanović,

contact Željko Crnogorac,

contact Péter Knézi,

Address: Svеtоsаvskа 1; Bаčkа Тоpоlа 24300 Теl: 024 713506; Fаx: 024 715918 Еmаil: nebojsa.kuzmanovic@viplc-bаckаtоpоlа.cоm Url: www.btоpоlа.оrg.rs Foreign languages: English and Hungarian

President of the Municipality of Bela Crkva Miletićeva 2, 26340 Bela Crkva Tel: +381 (0)13/ 851-224, Fax: +381 (0)13/851-346 E-mail:opstinabc@neobee.net, Website: www.belacrkva.info Languages: English and Romanian

President of the Municipality of Bečej Address: Trg olobodjenja 2 Place & postcode: Becej 21220 Tel: 021 6811888 Url: www.becej.rs

82 | the Investors Guide | Vojvodina in Focus

beočin

čoka

irig

City of cement

Multiethnic Community

Small Diverse Economy

The Municipality of Beočin is one of the most important industrialised municipalities in Vojvodina

Čoka is a multiethnic community with a majority Hungarian population 51.56%, followed by Serbs (37.36%).

Irig is one of Vojvodina’s smallest municipalities, covering an area of 230 km2

Beočin is located on the banks of the Danube at the foot of Mount Fruška Gora, 17 kilometres from Novi Sad. The municipality covers an area of 183km2 and has a population of 16,398. The entire municipality enjoys an excellent geographical position and good transport connections. The 107 regional road (‘B’ class) leads through the municipality to the border with Croatia.

The Municipality of Beočin is one of the most important industrialised municipalities in Vojvodina. As well as a good geographical position and mild continental climate, it has high quality sol suitable for a variety of commercial crops.

As much as 46.5% of the total area of the municipality (18,587 ha) is agricultural land. This area is ideal for organic food production and the municipality is also renowned for its wines.

The Municipality of Beočin can offer land for lease in a 20-hectare industrial park with complete infrastructure, a port and freight railroad that operates within the complex of cement company Lafarge.

The local authorities can also provide secured

Čoka is located on the left bank of the River Tisza in northern Vojvodina. At the heart of the municipality is an old village and the most famous site of valuable archaeological material is called Kremenjak.

Because of the unique nature of the discovered material, the term “Čokan culture” has emerged.

Located 180km north of Belgrade, 100km from Novi Sad, 170km west of Romania’s Timisoara, and 60km south of Hungary’s Szeged, it is bordered by

Irig is one of Vojvodina’s smallest municipalities, covering an area of 230 km². The town of Irig is the municipal administrative centre. The municipality of Irig is 60 km from Belgrade’s Nikola Tesla International Airport and 20 km from Novi Sad. Irig is well-connected to all major transport arteries. This multi-ethnic municipality has a population of 12,329.

Irig’s economy is very diverse, the most dominant branch being agriculture. Aside from agriculture, there are other economic branches like food and metal processing industries, retail, construction, and catering with developing tourism. The strategic development aim of agriculture in Irig is to adjust the production structure to natural conditions. The ultimate goal is to provide top-quality raw material for the processing industry from primary agricultural production.

The metalworking industry is primarily concentrated in Vrdnik, while the Fruška Gora National Park occupies the major part of the municipal territory and is one of the most attractive places in Serbia.

The working zone in Irig covers an area of 162

reduced infrastructure costs. Beočin has available plots in the industrial zone that are suitable for both industrial and retail operations. In collaboration with the Belgrade Institute for Agricultural Economics, the local government has compiled a significant document for the development of the municipality and future investors under the title: Strategy for the Development of Beočin municipality.

the municipalities of Novi Kneževac to the north, Kikinda to the east and Senta and Ada to the west.

The municipality covers 321km2 and, according to the latest census, is home to 13,832 inhabitants The main industrial sectors in the municipality are: agriculture, metal processing, primary tobacco processing and manufacturing of plastic products.

Agriculture is the dominant sector, while municipal revenues from processing and production are below the national average. Agricultural land (arable and fallow) covers an area of 29,000 hectares, or almost 90% of the entire municipality. State-owned land accounts for 12,000 hectares and is mostly used by agricultural enterprises. Čoka has an industrial zone registered as a “vacant construction plot”. The zone is located between Senta and Čoka, just 50 metres from the M24 national road and rail lines and three km from the river Tisza. Tone infrastructure is under construction.

The shortest period for obtaining all necessary permits and approvals for construction in this zone is five months.

hectares, with 23 hectares owned by the municipal authorities. There is a plan to build an infrastructure in this zone, suitable for small enterprises. The zone is located near the M-21 main road (Novi Sad – Ruma – Šabac). The zone has electricity and water supply, and the gas supply pipeline is partially complete. All documents and permits can be obtained within 45 days.

contact Desanka Jovičić,

contact Emil Poljak,

contact Vladimir Petrović,

Address: Svеtоsаvskа 25 Place & postcode: Bеоčin 21300 Теl: 021 870537 Еmаil: desanka.jovicic@bеоcin.rs; Url: www.bеоcin.rs Foreign languages: English, German and Russian

Address: Pоtiskа 20, Čоkа 23320 Теl: 0230 71000, Fаx: 0230 71175 Еmаil: оpstinа@cоkа.rs, Url: www.cоkа.rs Foreign languages: English

municipality’s president 1, Vojvode Putnika, 22406 Irig Tel: +381(0)22/461-010, Fax: +381(0)22/462-035 E-mail: soirig@neobee.net, Website: www.irig.rs Languages: English and Russian Vojvodina in Focus | the Investors Guide | 83

inđija

European City Of The Future Inđija is in the region connecting the Danube and Sava basins and is an unavoidable junction on Pan-European Corridor 10 rail and road links. It is also close to Belgrade’s Nikola Tesla Airport

Goran Ješić President of the municipality of Inđija

“Inđija was declared the second best destination in Europe at the beginning of March 2012”

Inđija is located in Srem on the southern Anyone seeking a site to launch their new foothills of Fruška Gora. It is located half way business would be best advised to opt for between Belgrade and Novi Sad at the interInđija and enjoy being at the centre of a market section of significant European corridors: highof three million people within a half-hour radiway E75 (Corridor 10) and the River Danube us - in the cities of Belgrade and Novi Sad. They (Corridor 7). This ensures that the town and would also find themselves in a town traditionmunicipality have a very favourable position ally renowned for its craft and industry experin terms of tourism and logistics. According to tise and strong work ethic, located on the wide the 2011 census, it has a population of around plain of central Srem in the region connecting 50,000. the Danube and Sava basins that is also an unaInđija municipality is one of the most devoidable junction on Pan-European Corridor 10 veloped municipalities in Serbia and its leadrail and road links, is close to Belgrade’s Nikola ing economic branches are agriculture, indusTesla Airport and represents a municipality with try, trade and tourism. Inđija is also one of the efficient and modern administration and develmost successful cities in Serbia when it comes oped infrastructure. Nobody here will ask you to attracting investments. what you can do for Inđija, but what Inđija can Inđija owns two fully functional, utility do for you! equipped industrial zones which also have exInđija Municipality does not hesitate over ceptional geographic and transport positions decisions and is ready to meet the needs of in(42km from Belgrade, 35km Novi Sad, 35km vestors, assisting and intervening with the highest state authorities on their beTransparency and publicity in the work half. Inđija’s administration will of the local administration, as a way for be on the side of its investors in negotiations with banks, sup- citizens to measure the performances of the pliers and distributors, domestic local government, have been implemented and international financiers, pothrough the introduction of the online tential partners and consumers.

SISTEM 48

contact: Inđija Municipality Address: Cara Dušana 1 Place & postcode: Inđija 22320 Tel: 022 561311 Fax: 022 560304 Email: kabinet@indjija.net, gjesic@indjija.net Url: www.indjija.net

84 | the Investors Guide | Vojvodina in Focus

from Nikola Tesla Airport, connections to the country’s main transport routes: Corridor 10 (E75 highway: Belgrade-Novi Sad, E-70 highway: Belgrade-Zagreb), the M22/1 national road, R109 regional road: Ruma-Stari Slankamen, as well as rail routes Belgrade–Inđija-Novi Sad-SuboticaBudapest railway and Belgrade–Inđija– Zagreb-Ljubljana, as well as being close to the River Danube. This ensures Inđija is at the very top of Serbia’s offer when it comes to economic potential and investment activities.

The main factors of economic development of Inđija, aside from agriculture, are industry and micro businesses. In order to provide space for industrial and micro business development, Inđija’s General Urban Development Plan envisages two city development zones to northeast and southeast of the town of Inđija. Forming industrial zones has enabled the construction of new capacities and the possibility of permanent relocation of all production capacities from the central and residential part of the settlement, which is primarily reflected in the quality of the environment in the town and the quality of work and production conditions.

The biggest foreign investors in Inđija are Henkel, Thyssenkroupp, Grundfos, Terraproduction, Metal Cinkara, Energozelena, IGB Automotive, Embassy Group, Fashion Park Outlet centre, Izoterm Plama, Gombit, Tehnoeksport, Martini Construction, Farmina pet foods, Invej, Tradeunique, Gas-teh and many others.

Around half a billion euros of FDI have been invested in the Municipality of Inđija, which is the highest percentage of direct investments per capita in the country, earning Inđija the title of the best municipality anywhere in Serbia.

Improved conditions for the efficient implementation of projects are provided thanks to the efficiency of the Municipal administration and the simplification of administrative procedures: documents are obtained within a few minutes, business permits are issued on the same day and construction permits are issued within 60-90 days of application, making Inđija’s local administration the most efficient in Serbia.

The planned longterm development of land set aside for the implementation of investment projects (city construction plans – general and detailed), full construction of modern infrastructure, constant increases in the level of efficiency of local administration in the process of project implementation, balanced new incentive measures for investors in accordance with the development plans of the local community, investors’ needs and the planning and management of environmental proInđija owns two fully functional, utility tection. equipped industrial zones which also have Local subsidies exceptional geographic and transport positions and incentives for in42km from Belgrade and 35km Novi Sad vestors are intended to support the hirsues of importance to the functioning of ing of local unemployed workers and inthe local community. This has maximised clude deferred payments of local taxes, rethe efficiency of authorised bodies, pubduced land lease charges and infrastruclic enterprises and establishments tasked ture costs at the investor’s location, diswith resolving such problems within 48 counts for advanced payment for purchase hours or publically establishing a deadline or lease of the location and costs of infrafor resolving the issue in question. structure on the investor’s location, exThe Town of Inđija, as the centre of emptions from obligatory local taxes and one of the most progressive municipalities contributions, based on the increase of the in Serbia, is a town of culture and sport, number of new jobs, investments in devela town that cherishes its sporting spiropment and production increases (tax loan it and has organised major sport events in the amount of new investments), subsi(Universidad 2009, World U17 Football dies on interest rates for investors’ longChampionships etc). term investment loans intended for furIn 2008 Financial Times magazine prether development and free consultancy sented the Municipality of Inđija with an and advisory services for investors in the award and placed it on the list of the top process of project implementation provid25 European destinations for foreign ined by the Local Economic Administration vestments.Inđija Municipality was also Department. declared the second best destination in Transparency and publicity in the work Europe at the beginning of March 2012 as of the local administration, as a way for citpart of the European Cities and Regions of izens to measure the performances of the the Future contest. local government, have been implementWE DON’T PROMOTE OURSELVES. OUR ed through the introduction of the online INVESTORS ARE OUR BEST PROMOTERS....

SISTEM 48, which enables citizens to get SEE YOU IN INĐIJA! ■ involved in the daily resolving of key isVojvodina in Focus | the Investors Guide | 85

kanjiža

Tisza top potential Kanjiža has a river border crossing for commercial vessels and the River Tisza represents a potential international navigable waterway

T

Mihalj Njilaš President the of Municipality of Kanjiža

“A personal assistant is allocated for every investment project”

contact: Address: Glavno trg 1 Place & postcode: Kanjiža 24420 Tel: 024 873442 Fax: 024 873016 Mob: 064 806 2093 Email: invest@kanjiza.rs Url: www.kanjiza.rs/invest Foreign languages: English, German and Hungarian 86 | the Investors Guide | Vojvodina in Focus

vestments: through a five-hectare industrial complex, he municipality of Kanjiža is a border region of disused greenhouse facilities, a range of agricultural northern Vojvodina on the right bank of the River plants or purchases of bankrupt enterprises.

Tisza that comprises 13 settlements. It is located The Horgoš Industrial Park covers an area of 25ha alongside Pan-European Corridor 10 and Corridor EGK and is owned by the Municipality of Kanjiža. It has a 4 (River Tisza), while good links with the surrounding detailed regulatory plan and is intended for clean inarea ensure Kanjiža municipality has a favourable podustries, logistics and services. It has direct access to sition: parts of the E75 international highway, national Corridor 10 (highway E75) and the R119 regional road. roads M22.1 and M24, as well as regional roads R119, The River Tisza is nearby and the border crossing with R111 and R119.3.

Hungary is just four kilometres away. Construction of Kanjiža has a river border crossing for commerthe entire infrastructure is in progress. cial vessels and the River Tisza represents a potential The Kanjiža Zone covers an area of 3ha and is also international navigable waterway available to counowned by the Municipality. tries on the Danube. A dock It has a detailed regulatofor cargo ships is located in ry plan and is intended for Santa, just 25km from the clean industries and servicseat of Kanjiža Municipality. es. It is passed by two regionThe territory of the mual roads and the River Tisza, nicipality covers an area while the border crossing of 400km2 and is home to is 14km away. The nearest more than 27,000 inhabittrain station is just 500 meants. tres away.

The administrative cenThe former GIK tre of the municipality is The municipality of Kanjiža’s Budućnost industrial comthe town of Kanjiža, which traditionally strong industries plex covers an area of five has a population of around are: agriculture, food hectares and is also intend11,000. This town is becomprocessing, production of ed for clean industries, logising ever more recognisable as a centre of regional sigbuilding materials, domestic tics and services. It is accessible via two regional roads nificance, which is contributand international goods (R119 and R111), is two kiled to by the proximity of the haulage and spa tourism ometres from the River Tisza River Tisza and the fact that 14km from the border crossing with Hungary and 500 the Horgoš border crossing (Serbia - Hungary) forms metres from the nearest train station. part of the municipality.

The local investment and economic development The municipality of Kanjiža’s traditionally strong office works according to the One-Stop-Shop system. industries are: agriculture, food processing, producIt is characterised by its highly skilled professional tion of building materials, domestic and international staff, efficiency, transparency and the provision of a goods haulage and spa tourism. personal assistance for every investor.

The fertile land hides rich reserves of oil, clay, gas Investors are offered specific incentives and exand thermal water below. However, the Municipal auemptions, depending on the level of investment and thorities are conscious of the importance of a healthy number of jobs created. environment and are fully supportive of so-called Depending on the type of investment, permits and green energy alternatives that have the potential for licenses are issued within a few days or a maximum of future projects. six months, according to the One-Stop-Shop system.

In addition to exceptional greenfield investment The local Office for Investments and Economic opportunities in the area of the Horgoš Industrial Development provides a personal assistant for every Park (24ha) and the three-hectare Kanjiža Industrial investment project. ■ Zone, there are also opportunities for brownfield in-

Oil & Gas

kikinda

The territory of the district has an extensive road network, with 644 km of asphalted roads, which ensures that Kikinda is well connected to all major transport routes and corridors

K

as such, plays an important role in the economic ikinda is the largest town of the North development of Vojvodina and Serbia.

Banat administrative district and alIndustry in the municipality of Kikinda represo its centre of business and administrasents a priority area and is based largely on the tion. Located on the border with Romania, the availability of raw material, production capacities Hungarian border is only 80 kilometres away. and high-quality human resources.

The territory of the district has an extensive Industrial production is very diverse and road network, with 644 km of asphalted roads, available production facilities are mainly of a which ensures that Kikinda is well connected to processing nature, with a high degree of prodall major transport routes and corridors. uct finalisation.

The municipality of Kikinda is situated on Crude oil production on the territory of the Szeged-Kikinda-Jombolia rail route and the Kikinda accounts for nearly 40% of total crude Kikinda Railway Station is also an internationoil production in Serbia, al border crossing where a while production of natuphyto sanitary inspection ral gas accounts for around operates.

50% of all natural gas proWhen it comes to waduction in Serbia. ter transport, Kikinda is The most significant inpassed by the Danube-Tisadustrial branches here are Danube Canal and has a the metal industry, reploading dock with a capacresented by the Cimos ity of 300-500,000 tonnes Foundry, the construction of bulk cargo. materials industry, through According to the 2011 company Toza Marković, census, Kikinda municipalthe Kikindski mills, food ity has 60,698 inhabitants. industry player Banini, Of that number, accordThe territory of Kikinda ing to data from February municipality is extremely Agropromet Kikinda etc.

The Municipality of 2009, 17,773 people are rich in oil and gas, as well as Kikinda has a partially employed and 6,250 are high-quality clay equipped industrial zone unemployed jobseekers. covering an area of 40ha, an 18-hectare agriculInterested parties can access more information tural work zone area, as well as a 43-hectare area about the structure of the workforce via the web intended for sports and tourism facilities. More presentation of the municipality. information about the infrastructure and conIn terms of mineral resources, the territory of ditions for use of these zones can be accessed Kikinda municipality is extremely rich in oil and via the web presentation of the Municipality of gas, as well as high-quality clay. Natural resourcKikinda. es also include fertile land, with arable lad acA One-Stop-Shop has been established uncounting for 70,596ha. der the auspices of the municipal service centre.

Solar energy is a particularly interesting reHere investors can obtain all relevant information source, considering that Kikinda is a leader in required for the investment process and launchSerbia regarding the annual number of suning operations in one place. The Municipality of ny hours. This resource has been recognised by Kikinda also offers interested investors all necesseveral foreign solar energy companies that the sary legal, administrative and technical support Municipality of Kikinda is currently negotiating in the preparation and implementation of investjoint investments with. ment activities. ■ Kikinda is an industrially developed area and,

“Openness to investment is the foundation of the municipality’s development”

contact: Department for projects Address: Trg srpskih dobrovoljaca 12 Place & postcode: Kikinda 23300 Tel: 0230 410158 Fax: 0230 410158 Email: borislav.cucic@kikinda.org. rs, info@kikinda.org.rs Url: www. kikinda.rs Vojvodina in Focus | the Investors Guide | 87

Kovačica

Municipality with tourism prospects Purchasing benefits for investors

I

Miroslav Krišan President of the municipality of Kovačica

“It has access to the main roads (R110 and M24)”

contact:

Miroslav Krišan, president

Municipality of Kovačica Address: Maršala Tita 50, 26210 Kovačica Tel: 013 661 122; Fax: 013 661 047 Cabinet of the municipal president: ext. 112 kabinet@kovacica.org Municipal manager for investment: ext. 121 manager@kovacica.org Department for the economy and development: ext. 130 (department head) and ext. 126 (project department, industry, agriculture, tourism) razvoj@kovacica.org 88 | the Investors Guide | Vojvodina in Focus

• As incentive measures for the development of n south-eastern Vojvodina, covering an area of economic activities, the Municipality waives pay419 km2, is the Municipality of Kovačica. To the ment of special environmental protection charges south lies the Municipality of Pančevo, to the for the year of registration for businesses launching east is the municipality Alibunar, to the northeast income activities. (Official Kovacica Gazette 3/2010) is Sečanj Municipality, north is the Municipality of • Registered entities and entrepreneurs who esZrenjanin and to the west lies the Municipality of tablish a company or workOpovo. shop are exempt from the It is located 50 km from company signage tax for one Belgrade, 90 km from Novi year from the date of comSad and around 30 km from pany registration (Official Pančevo. This proximity to maKovacica Gazette 13/2009) jor consumer centres makes it The Municipality of attractive for the development Kovačica’s potential lies in of larger enterprises. tourism, agriculture, food The municipality comprisproduction and processing es eight settlements: Kovačica, (health food, animal fodder inPadina, Debeljača, Crepaja, The Municipality of Uzdin, Samoš, Idvor and Kovačica’s potential lies in dustry), the footwear industry, construction, wood processing Putnikovo. According to the tourism, agriculture, food and the IT sector. As such, inlast census, Kovačica is home production and processing vestment is recommended in to a total of 25,259 residents. (health food, animal fodder these sectors.

Some 6,264 of those live in Within the local Services the Town of Kovačica itself. industry), the footwear Its main characteristic industry, construction, wood Centre is a one-stop counter all information and is its great patchwork of naprocessing and the IT sector. offering forms for obtaining building tionalities, with different reppermits and other authorizations. resentatives of various nations and nationalities: The so-called Banat Highway, regional road 41% Slovak, 33.9% Serb, 10.5% Hungarian, 7% M24, passes through the municipality and the setRomanian and other nationalities. The Municipal tlements of Uzdin, Kovačica and Crepaja. All the muStatute of guarantees equal use of the languages and nicipality’s villages are connected via high-quality scripts of Serbs, Slovaks, Hungarians and Romanians local roads.

The Kovačica Industrial Zone is in the southwest Kovačica is very well connected to Pančevo and of the town in a designated construction zone. It has Belgrade via the buses of transport company ATP access to the main roads (R110 and M24) and rail Pančevo and private entrepreneurs from Kovačica routes in the municipality. It is also traversed by a ca(bus, van, taxi). nal for industrial purposes.

Kovačica, along with the three settlements of Kovačica’s Block 12 Commercial Zone is located Crepaja, Debeljača and Uzdin, are situated along the in the eastern part of the town of Kovačica in a desregional railway line Pančevo-Zrenjanin-Kikinda, or ignated construction zone.

Pančevo-Novi Sad (via Orlovat).

The East Zone is located in the eastern part of The Municipality of Kovačica is 80 km from Kovačica and exits directly onto regional road R110.

Belgrade’s Nikola Tesla Airport, though this will It is necessary to re-designate land. Benefits be shortened further upon completion of the come from buying a plot and forming building lots to Debeljača-Opovo road and the so-called “Chinese meet the needs of investors.

Bridge” over the Danube.

MUNICIPAL FINANCIAL INCENTIVES: This municipality does not have business parks. ■ • No building land development fees!

Plots Awaiting Investors

Kovin

Alongside good road links, Kovin is well connected by rail and has a port on the Danube

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border with neighbouring Romania. ovin occupies a very important strategic loThere is excellent potential for the development cation. The most southerly municipality in of hunting and fishing tourism (Ada Kovin on 650ha, Vojvodina, it is 50km from Belgrade, 30km from Deliblato Sands), while there are also exceptional conPančevo and 12km from Smederevo (less than 15km ditions for generating alternative wind energy. from the Belgrade-Niš Corridor 10 highway). The muThere is an existing military airport that is nicipality is also situated on pan-European Corridor 7 equipped with infrastructure (runways and other faand has 44 km of Danube coastline. cilities) and could be converted for commercial use.

The municipality is one of the largest in Serbia The Municipality exempts investors from payterritorially, covering an area of 730km2, including construction land development fees and disposal ing 27,000 hectares covered by the Deliblato Sands charges, as well as offering the option of paying obligSpecial Nature Reserve and 40,000 hectares or araatory charges in several instalments. ble land.

Permits are issued within legally-determined timeThe structure of the local economy is represented frames. by the metal processing and pharmaceutical industries, The main investors in production and processing of this municipality are: West medicinal plants and the proPharmaceutical Services, duction of ethyl alcohol and Hemofarm Stada, TE compost for growing mush"Controls" Žilina, Welde garooms. sellshaf mbH, Vienna, Lukoil, The Block 119 Industrial OMV and Continental Wind Zone project is earmarked Partners LLC, London. entirely for the function of All settlements are coneconomic development and nected to the seat of the musustainable use of existing nicipality by a developed resources in the municipality.

The spatial plan of the road network and boast elecA detailed regulatory Municipality of Kovin has tricity networks, a gas pipeplan for the Block 119 Zone allocated 300 hectares line and water supply syshas been adopted. The protem, while work is also uncedure for forming plots has of construction land, 120 also been carried out, while hectares of which has been set derway to connect the few the main project design has aside for constructing a port communities currently lacking direct access to the sewbeen completed and conand ancillary facilities. er system. struction permits issued.

Significant resources have been invested in infraThe fully-equipped zone will be completed by 2013, structure over the last 3-4 years: construction of 40+ though three quarters of work will be completed durkilometres of roads (local roads and streets in urban ing 2012. A total of 220 million dinars has been proareas) and 80+ kilometres of arterial roads, as well vided for this first phase, with 180 million provided on as the revitalisation of over 90 km of canal networks the basis of a co-financing decision from the Capital and the construction of wind belts.

Investment Fund of AP Vojvodina and 40 million from All of this indicates that it is possible to integrate the local budget. all modes of transport in one place close to Belgrade According to the spatial plan of the Municipality of – from road, to water to air – which would be of straKovin, 300 hectares of construction land has been altegic importance not only to Kovin, but the whole of located, 120 hectares of which has been set aside for the South Banat District. constructing a port and ancillary facilities.

A fresh investment in ideas that have a realisThe site available for construction and investment tic basis in the exceptional qualities and potential is located two km from the town beside the Danube of the Kovin region would lead to the creation of a and national road Kovin-Smederevo across the bridge unique business and tourist destination in southern over the Danube, while part of it merges with the R113 Vojvodina. ■ regional road (Pančevo-Kovin-Bela Crkva) toward the

Slavko Branković President the of Municipality of Kovin

“The Block 119 Industrial Zone project is earmarked entirely for the function of economic development and sustainable use of existing resources”

contact: Municipal President

Slavko Branković

Address:J.N.A. br.5 Place & post code: 26220 Kovin Tel: 013 742 114; Fax: 013 742 322 Email: predsednik@kovin.org.rs Url: www.kovin.rs

Vojvodina in Focus | the Investors Guide | 89

Kula

Open to New Investors Kula has great agricultural sector potential which has yet to be fully utilized

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Mr Milić Vulović Municipality of Kula

“Great agricultural sector potential which has yet to be fully utilized.”

contact: Mr Milić Vulović

Municipality of Kula Lenjinova 11 25230 Kula Serbia Email: vulovic.milic6@gmail.com; rzdrnja@so-kula.com Tel: + 381 25 751 113; 25 722 273 Url: www.kula.rs 90 | the Investors Guide | Vojvodina in Focus

two years, as well as exemptions from water supply he Municipality of Kula is located in the district and sewerage system connection costs. Potential inof West Bačka on the fertile Vojvodina plains. It vestors can count on receiving all necessary permits has great investment potential, an excellent geand documentation within a deadline of eight to 30 ographical location and is ready to meet the needs days from the submission of valid requests. of new investors Positioned at a crossroads between Novi Sad, Special advantages Sombor and Subotica, it connects the rivers Danube 1. The Municipality of Kula will set aside or lease and Tisa. Some 66 km from the border with Hungary, building land for a rental price below the market valit lies 38 km from the River Danube and the Bogojevo ue or without charge, in accordance with the Law on Port (border with Croatia). The Great Bačka Canal Planning and Construction: runs through the settlements, providing very favour• free of charge, proable conditions for agriculvided the investor employs tural development, tourism 100 or more workers and river transport.

• at reduced prices, with Kula has a municipal arreductions of 10 to 90% beea of 481 km2. According low market value, dependto the preliminary results of ing on the number of newthe 2011 census, the municly employed workers ipality’s seven settlements 2. Building land develare home to 44,539 inhabopment fees reduced by: itants.

• 50%, provided the inThe E-75 internationvestor employs 100 or more al highway is 14 km away, workers while the M-3 nationThere is also a very suitable • between 35 and 45%, al A-road passes through the municipality. An inter- location for the development provided the investor emnational rail route (Vienna- of spa, sport and recreational ploys between 10 and 99 Budapest-Belgrade) passes infrastructure near the village workers 3. Tax relief for inves10 km from Kula, while the of Kula tors from municipal fees for municipality is traversed by company signage and the protection and advancethe local Sombor-Sivac-Crvenka-Kula-Vrbas railway ment of the environment.

(58 km line).

4. Exemption from water supply and sewerage Thanks to its climate and water resources, Kula system connection charges. has great agricultural sector potential which has yet to be fully utilized.

Transport The municipality has a total of 91 km of categoIndustrial zone rised roads: 18 km of national roads, 36 km of reDue to its high level of unemployment, the mugional roads and 37 km of local roads, as well as nicipality is willing to meet the needs of potential in12 km of uncategorised roads interconnecting local vestors by forming plots within the industrial zone communities. that will cover a surface area that satisfies the reThere is also a very suitable location for the dequirements of investors. velopment of spa, sport and recreational infrastructure near the village of Kula, on an area covering 25 Investor incentives hectares (under municipal ownership) within the The municipality has also prepared business in"Razvala" tourist and recreational area. centives for investors, offering reductions of up to The Municipality of Kula is a multiethnic and 50% on building land fees, exemptions from municmulticultural community where diversity is fostered ipal taxes for company signage, charges for environand protected. ■ mental protection and advancement over the next

Business park developing – third investor arrives

MALI IĐOŠ

The Municipality of Mali Iđoš is one of the smallest municipalities in Vojvodina, covering just 18,100 ha and comprising three settlements: Mali Iđoš, Lovćenac and Feketić.

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a pole transformer station that can be utilised by investors. Early 2011 saw the completion of construction of a water source provider, with water now sourced and water mains currently being developed throughout the zone. From 2012 metropolitan netaccess to major cities works have been secured and construction of the Mali Iđoš is located 48 km from Subotica and 50 main road through the zone "European Way" has km from Novi Sad. been completed and now links The municipality’s commuthe park to regional road M22 nities are connected via the via a roundabout.

M22 Subotica-Belgrade motorProperty can be designed way, while a kilometre from the and reconstructed, while village of Feketić is the new innew facilities can be built. ternational highway E75, which Engineering, financial and tax connects Serbia and Hungary consulting, market research, and is currently the most importrade sales and marketing activtant link between Southern and ities etc. are also carried out at Central Europe. This highway the business park. has an entry-exit ramp near the Investors can receive convillage of Feketic and a future struction and reconstruction entry-exit ramp at Mali Iđoš. The permits within 48 hours, proclose proximity of an internavided their main project matetional EU border provides very rial is complete. favourable conditions for the Incentives for investors in construction and development the zone: a five-year waiver on of the business park located in a triangle between the highway The municipality’s economy company signage taxation.

The municipality’s economy E75, regional road M22 and the is largely based on southern outskirts of the village agriculture, with companies is largely based on agriculture, with companies and local farms of Feketić. and local farms producing producing wheat, corn and sugThe municipality is well connected with the surrounding wheat, corn and sugar beet. ar beet. Agricultural production is of great importance to the further development of smaller municipalities of Vrbas, Srbobran and Backa the food industry, but there are also opportunities Topola, which are just 12 to 16 km away. for the establishment of small and medium-sized craft enterprises.

Business park The municipality has a large number of skilled At the very heart of Vojvodina, in the triangle workers in the leather, metal and food industries, between Highway E75, regional road M22 and the which are already traditional sectors in the municsouthern part of the village of Feketić, is the Small ipality.

Steps Industrial Park, which has been prepared comSignificant companies that have so far inpletely for lease by local and foreign investors. vested in our community include: PTP Julia Mlin The industrial zone covers an area of 40 hecLtd., Wienerberger, Agrokons, Građamont, Montel, tares in the initial phase, with half the area equipped Montrom, Chik-Prom, Big-Chick, Agriromagna and in terms of infrastructure.

DTD Ribarstvo (Fisheries). ■ Since 2010 the centre of the park has boasted he municipality is located near the international highway linking Belgrade and Budapest, which eases travel and transport.

Róbert Csóré President the of Municipality of Mali Iđoš

“At the very heart of Vojvodina”

contact: Zita Nagy

project manager, Small Steps Industrial Zone Address: Glavna 32, Mali Iđoš, Vojvodina, Serbia Tel: 024 730 214 Email: opstina.maliidos@gmail.com; small.steps.doo@gmail.com Url: www.maliidos.com; www.kishegyes.com; www.small-steps.com Languages: Serbian, Hungarian, English, German Vojvodina in Focus | the Investors Guide | 91

nova crnja

novi bečej

novi kneževac

Agriculture dominant

Welcoming Investors

Urban and Rural Opportunities

More than half of the population (52.7%) earns a living from agriculture and related activities

The municipality of Novi Bečej disposes of two industrial zones

The municipal authorities can offer substantial incentives to potential investors

The municipality of Nova Crnja is located in northeast Banat and belongs to the district of Central Banat. To the west and northwest it borders the municipality of Kikinda, to the south it neighbours the municipality Žitište and to the east the municipality is bordered by Romania. Nova Crnja municipality covers an area of 273km2 and is home to 12,924 inhabitants.

The residents of Nova Crnja are mainly en-

The municipality of Novi Bečej is situated in the valley of the Tisa River. It covers an area of 60,860 hectares, and lies on the left bank of the Tisa River, 66 kilometres from the Danube estuary. Novi Bečej is the only town whose centre is located on the river itself. The municipality has a well-developed infrastructure, including road and railway transport, energy, utilities, telecommunication and IT facilities.

Aside from the international river route, Novi Bečej is connected to the Danube River via a network of canals. A railway line passes through all towns and villages in the municipality connecting Belgrade and Timisoara via Pančevo, Zrenjanin and Kikinda, and Szeged via Subotica.

Although Novi Bečej is mainly an agricultural municipality, there are only a few plants processing agricultural produce. The most developed industrial branch is the production of construction materials, while there are also textile, chemical, metal and food processing industries. There are clay deposits suitable for the production of construction materials, thermal springs, natural carbon-dioxide and gas deposits, as well as an abundant cultural and histor-

The municipality of Novi Kneževac is located in the far north section of Banat County. The state border with Hungary is also the municipality’s north border. In the south, the municipality borders with Čoka. In the east, it borders with Romania, while the Tisa River constitutes its western border. The bridge on the river (between Novi Kneževac and Kanjiža), along with the one between Čoka and Senta, plays an important role

ganged in agriculture, with more than half of the population (52.7%) earning a living from agriculture and related activities. The Municipality has 2,600ha of arable land, which is normally available to lease.

The municipality has four sites suitable for industrial zones. The first covers more than five hectares and has complete infrastructure. The second is an area of 11ha suitable for the processing industry.

The third area covers 10ha with complete infrastructure and is the most suitable location for tourist indusrtry investments, due to its thermal springs that have been included in a feasibility study complete with data on water composition, quality and temperature. The fourth site is a former sugar refinery. It is fully equipped in terms of infrastructure and has excellent manufacturing facilities. Reasonale prices for construction land are an advantage for potential investors.

The local authorities recommend investments in land regulating and the tourism industry.

All required local permits can be obtained within a month.

ical heritage.

The municipality of Novi Bečej disposes of two industrial zones. In order to stimulate economic growth, investments. and the preservation of cultural heritage, and to create new jobs and improve environmental protection, investors can be exempt from paying a land development fee, providing they meet certain criteria.

in connecting north Banat to Bačka. Also, this section is a part of an international transit route that leads to the Horgoš-Reske border crossing.

Currently, a road between Crna Bara and Novi Kneževac is being built, which is a section of the future Banat Highway.

Municipal authorities recommend the following branches for investing: food processing, agriculture, and production of compost and bio-gas from agricultural waste. Due to the municipality’s proximity to Hungarian and Romanian border, there is a great potential for development of tourism, both urban and rural.

There is a work zone in the municipality which stretches across 12 hectares. The various land plots are suitable for light industries like food processing. The industrial zone has a partial infrastructure.

The municipal authorities can offer substantial incentives to potential investors, including a reduced rent fee for land plots, dependant on the number of local people employed.

contact Pеrа Мilаkоv,

contact Miša Vrebalov,

contact Dragan Babić,

Deputy Mayor, Vlаdimir Brаkus, Local Economic Development Office, Address: ЈNА 110, Nоvа Crnjа 23218, Теl: 023 815030, Fаks: 023 815722 Еmаil: sоnc@gimеlnеt.rs, Url: www.sоnоvаcrnjа.оrg.rs Foreign languages: English and Hungarian

Deputy President of Municipality 8, Žarka Zrenjanina, 23272 Novi Bečej Tel: +381(0)23/772-320 Fax: +381(0)23/772-550 Website: www.novibecej.rs

President of the Municipality Kralja Petra I Karađorđevića 1, 23330 N. Kneževac Tel: +381(0)230/81-031, Fax: +381(0)230/82-076 predsednik@noviknezevac.org.rs, www.noviknezevac.rs Languages: English and Hungarian

92 | the Investors Guide | Vojvodina in Focus

novi sad

odžaci

pančevo

Incentives for Investors

Favourable location

Exceptional Strategic Position

All investors operating in Novi Sad and its surroundings have duty-free access to a market of a billion consumers

Developing agricultural is one of the municipality’s key development goals

City-owned construction land is not occupied for the most part

Novi Sad is a regional administrative, academic, business, cultural, tourism and trade fair centre, with a proactive city government that stimulates and supports the development of a modern economy.

With 48,000 students, the University of Novi Sad is the second largest university centre in Serbia, enabling the city to offer a skilled workforce in many areas.

An exceptional geographical position on the Danube (Corridor 7) and Corridor 10 (highways E70 and E75), excellent transport links, developed infrastructure, existing free zones and international FTAs allow duty-free access to markets of over a billion consumers.

Novi Sad has attractive locations available for various activities in seven industrial zones equipped in terms of infrastructure.

Access the city’s list of available sites with descriptions via www.novisadinvest.rs/sh/ slobodne-lokacije. The City offers investor incentives in the form of significant reductions on charges for land development, as well as

Odžaci is located in West Bačka County.

It covers an area of 41,115.89 ha, 85.56% of which is arable land, while 4.94% is covered by forests. According to the latest census, the municipality is home to 30,196 residents.

Odžaci has an extremely favourable geostrategic location thanks to its proximity to international borders with the Republic of Croatia (23 km from the Bogojevo-Erdut cross-

The town of Pančevo is located in southern Vojvodina at the estuary of the Tamiš and Danube rivers and is the economic, cultural, and administrative centre of South Banat and one of the most important industrial centres in Serbia. The town covers an area of 755 square kilometres. It is only 15 kilometres from Belgrade, and 40 kilometres from Nikola Tesla International Airport.

Since the pan-European Corridors 7 and 10 run through this area, the town of Pančevo has an exceptional strategic position. It also has goodquality road and railway links to Belgrade. Also, the town lies at the estuary of the Tamiš and Danube rivers.

The most important economy branches here are oil processing, production of plastic materials, mineral fertilizer production, agriculture, and the textile and fashion industry. It also has one of the biggest municipal budgets in Serbia. Pančevo is the biggest petro-chemical centre in the Balkans, as well as a metal processing centre. Pančevo has 60,000 hectares of high quality arable land.

City-owned construction land is not occupied

financial incentives for job creation. The City also offers long-term leases under beneficial conditions in newly constructed production facilities and office buildings in the Rimski Šančevi Zone.

The dominant branches are manufacturing/processing, trade, transport and the ICT sector.

ing) and Hungary (60 km from the Bački Breg crossing).

The Municipality of Odžaci has nine commercial zones, the most attractive of which as an investment destination is the industrial zone. This zone is located 35 km from Corridor 10 (highway E75) and regional road M3.

The predominant industries are chemicals, food and textiles. The local Sustainable Development Strategy of Odžaci recognises the development of agricultural as one of the municipality’s key development goals. The most common educational profiles in the municipality relate to economics, textiles, chemicals and trade.

The municipality currently offers incentives in the form of reduced construction land development charges.

Investors can receive all necessary permits and documentation within 60 days of applying. This municipality does not have business parks.

for the most part, while detailed spatial plans have been drawn up. The locations’ advantages are their close proximity to the river and port on the Danube River. If we are talking about infrastructure, there are water and sewage systems in place, as well as a telecommunications network, a high voltage electricity grid, a gas supply (in most locations), and good access to main and regional roads.

contact Zoran Ivošević,

contact Predrаg Cvetаnović,

contact Vesna Martinović, Mayor,

Office for local economic development Trg slobode 1, 21000 Novi Sad Tel: 021 480 77 10 Email: kler@novisad.rs Url: www.novisadinvest.rs

Address: Knez Mihаjlovа 24, Odžаci 25250 Tel: 025 5743 211, Fax: 025 5742 396 Email: klerodzaci@gmail.com Url: www.odzaci.rs

Andjelija Cvetić, LER Andjelija.cvejic@pancevo.rs 2-4, Trg kralja Petra I, 26000 Pančevo Tel/fax: +381(0)13/346-393; 343 222 E-mail: gradonacelnik@pancevo.rs, Website: www.pancevo.rs Vojvodina in Focus | the Investors Guide | 93

Opovo

Healing Mud Mud from this site can be used to treat rheumatic and genitourinary disorders

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Milorad Soldatović President the of Municipality of Opovo

“Opovo cultivates the white pumpkin, which is synonymous with healthy organic food”

contact: Milorad Soldatović

Address: Borisa Kidriča 10 Place & post code: Opovo 26204 Tel: 013 681030 Fax: 013 6810202 Email: midola@3dnet.rs Foreign languages: English

94 | the Investors Guide | Vojvodina in Focus

New plots are intended for the development of povo municipality is located in South business facilities ranging from 900m² to 1800m² Banat district, just 30km from Belgrade on a total area of 35,490m². and Pančevo and 40km from Zrenjanin.

The location of the industrial zone is in the viIt covers an area of 203km² and is inhabited by cinity of the Zrenjanin-Pančevo regional road.

11,016 inhabitants in four settlements: Baranda, A rich raw material base and favourable loOpovo, Sakule and Sefkerin. All settlements are location provide the opportunity for development cated on the left bank of the River Tamiš. of the food processing industry. Farms in the muThe Belgrade-Zrenjanin regional road is situatnicipality of Opovo produce up to 10,000 litres ed three kilometres from the centre of the municof milk per day, 7,000 units of fattening pigs per ipality, as is pan-European Corridor 10. The R124 year (700 tonnes of meat), thus there is a reasonVršac-Pančevo-Zrenjanin regional road also passes able basis for investment in industrial plants for through the municipality, while Belgrade’s Nikola the wholesale purchase and processing of milk Tesla Airport is 50km away. and the construction of processing facilities. The Thanks to its natural resources, the most comMunicipality does not have mon industry is agriculture. any business incubators.

The River Tamiš, with its reIt is also important serves of medicinal mud to note cultivation of the and ethno-cultural heritwhite pumpkin, which is age, provides a genuine basynonymous with healthy sis for the development of organic food. tourism. The Municipality A site of healing mud believes tourism could be (peloids) can be found an engine for growth and in the village of Baranda. places special emphasis on Analysis has confirmed the interconnectedness of that mud from this site agriculture and tourism.

A high quality road network may be used to treat rheuThe municipality has an links settlements and there matic diseases, genito-uriextremely favourable location and is well connectare good road links and access nary diseases, conditions ed to other urban centres, to existing industrial zones, as caused by physical trauma similar disorders. meaning it could be interwell as water, telephone and andThe main idea is to utiesting and attractive to pointernet networks lise this medicinal mud in tential investors. the context of a modern spa centre.

The construction of industrial zone is planned The project ‘Regulation of the Tamiš banks for beyond the existing construction area on land lofishing tourism’ envisages the construction of a cated on the territory of MZ Baranda, some two kilchalet settlement and other facilities. The intenometres from the town of Opovo and a kilometre tion is to take full advantage of the potential of from Baranda on a surface area of 15.14ha. the Tamiš.

Plans envisage supporting new commercial A high quality road network links settlements zones with the forming of a complex with 25 new and there are good road links and access to existbuilding plots intended for warehousing facilities ing industrial zones, as well as water, telephone for raw materials and finished products. The zone and internet networks. A project has been develis earmarked for activities including the processoped to construct a sewerage network within the ing, production and storage of raw materials and IPA cross-border cooperation programme with finished products, with support facilities related to Romania and in the near future the Municipality production and employment. will provide funding for the construction of sewRaw materials to be used within new commerers – with only around 100 connections currentcial complexes in the industrial zone would be ly in the narrow centre of the village of Opovo. ■ sourced from domestic agricultural production.

Low Taxes

pećinci

All investors receive the same treatment, which means that from the first contact they gain the support of the local government

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vestment in the municipality to date, in terms of he Municipality of Pećinci is located in volume of jobs created and level of investment, Srem and has a very favourable geographis that of German company Bosch. ic location. Close to Belgrade’s Nikola Tesla Until the year 2000 the municipality had a Airport, diversified natural resources and close low level of infrastructural development, but proximity to Obedska Bara nature reserve are since then the allocation of significant resourcjust part of the natural and economic potential es has seen much done to improve water supof Pećinci. The northern part of the municipality ply and electricity, as well as is traversed by highway E70, revitalising the road network. part of Pan-European Corridor The installing of sewage and 10, a major European transgas supply networks is unport route communication derway. Of course, much rethat connects Pećinci with mains to be done to bring inmarkets of millions. frastructure to a satisfactory The municipality has level in all areas of the muabout 2,000 hectares of land nicipality. plots intended for the conPećinci is well connectstruction of commercial builded to the road network, esings that are spread throughpecially Corridor 10, Nikola out the territory of the muTesla Airport and also large nicipality. The greatest interurban centres Belgrade and est is certainly in those areNovi Sad. The River Sava runs as that are along the highway The greatest interest through the southern part of corridor and the Municipality is certainly in those the municipality and the lois continually equipping these areas that are along cal government plans to uticommercial zones, thereby lise part of the Sava and take creating conditions for the arthe highway corridor rival of investors. and the Municipality is advantage of the opportunioffered by river traffic.

All investors receive the continually equipping all tiesThe Municipality is comsame treatment, which means commercial zones mitted to establishing comthat from first contact to the mercial zones in the true sense of the word, as commencement of operations they are supthey provide much broader opportunities for ported by the local government’s Agency for the doing business, from manufacturing to the servDevelopment of the Municipality of Pećinci. The ice sector and logistics centres.

Municipality is committed to providing efficient Two things not yet mentioned that demand administration and low local fees for land developattention are tourism and agriculture. Tourism is ment in order to create conditions for job creation. developing because the territory of the municiSpatial planning documents have been compality includes the Obedska Bara special nature piled and corridors have been provided for the reserve, as well as 10,000 hectares of forestconstruction of necessary infrastructure, in acland and important cultural and historical moncordance with the requirements of investors, uments. Agriculture is another important segthus enabling the rapid issuing of building perment, simply because the municipality relied mits. Provided complete documentation is subheavily on agriculture until the year 2000 and mitted, the Municipal Administration can generstill has 30,000 hectares of agricultural land. So ally issue building permits in a shorter period far the local government has run programmes than the eight days specified by law. aimed at advancing agricultural production and About fifty companies operate on Pećinci’s plans to continue to do so in ever greater volterritory and all investors are deemed important ume in the future. ■ by the Municipality. The latest and biggest in-

SINIŠA VUKOV President the of Municipality of Pećinci

“Tourism is developing because the territory of the municipality includes the Obedska Bara special nature reserve”

contact: Siniša Vukov

municipal president Address: Slobodana Bajića 5 Place & pstcode: Pećinci 22410 Tel: 022 400740 Email: opstina@pecinci.org Url: www.pecinci.org Vojvodina in Focus | the Investors Guide | 95

RUMA

Rubber Industry The Municipality sees a significant advantage in major energy resources and electrical energy facilities are almost unlimited, which provides stability and safety

T Gоrаn Vukоvić President of the municipality of Ruma

“Infrastructure across the territory of the municipality is excellent”

contact: Gorаn Vuković

Address: Glаvnа 155 Place & postcode: Rumа 22400 Tel: 022 478314 Fax: 022479588 Mob: 069720130 Email: predopruma@ruma.rs Url: www.ruma.rs Foreign languages: English, German, Italian and Russian

96 | the Investors Guide | Vojvodina in Focus

he Municipality of Ruma is situated at the heart of the flat and fertile plains of Srem, between the rivers Danube and Sava, at the foot of Mount Fruška Gora. It covers an area of 582km² and is home to around 56,000 inhabitants – half in the town of Ruma and half in the municipality’s remaining 16 settlements.

Ruma differs from other Vojvodina primarily due to its excellent geographic location. Situated between the country’s two largest cities, Novi Sad and Belgrade, Ruma is only 30km from Nikola Tesla Airport and has large industrial, cultural and tourism potentials. The fact that highway E70 and the international railroad (Corridor 10) pass the outskirts of the town ensures that the municipality of Ruma is directly linked to western and southeast Europe.

Ruma’s close proximity to the Fruška Gora National Park, the Sava and Danube rivers and the Gomolava and Basijana archaeological sites, as well as the Borkovac urban resort, ensure that Ruma has excellent tourism potential and could become a tourist and sports centre with facilities for rest and recreation. Great tourism potential also relates to the nearby Fruška Gora’s 18 monasteries, which represent a unique cultural heritage.

The local economy is traditionally linked to the rubber and associated footwear industries. The largest company in the municipality is the former Rumaguma, which now operates under the auspices of Czech company Mitas.

Alongside the rubber industry, the most common sectors are footwear manufacturing and leather processing, while wood processing has also begun developing recently.

The local education structure covers three secondary schools specialising in vocational training in electrical, mechanical, textile and footwear industries, as well as all profiles related to the agriculture and food industries. High schools providing four years of secondary education in Ruma include the town’s High School and School of Economics.

The average gross income per capita for April 2012 totalled 51,792RSD. The Municipality of Ruma has several industrial zones.

The Rumska Petlja (Ruma Junction) Industrial Zone is location at the junction of the highway E70 and the M21 national road (Novi Sad - Šabac). It covers an area of 238 hectares and is owned by the Municipality. Equipped with an electricity network and a water supply system, it is serviced by an access road and a project to install gas connections is currently being implemented. The zone is divided into blocks with internal service roads and can be used for all commercial/industrial activities ex-

The Borkovac urban resort and lake is currently being fitted with one of the most modern sports facilities in the Balkans, including an Olympic swimming pool

a strong work ethic and high culture of work.

Corridor 10 highway E70, which connects Ruma cept the production and transportation of hazWith 6,000 workers currently unemployed in to western and southeast Europe. ardous materials.

Ruma, selecting required staff is possible and The entire territory of the municipality is covIndustrial Zone West (Zapad) is fully the available workforce should be able to meet ered by an electricity network, water supply sysequipped in terms of infrastructure and is also the needs of various employers. tem and gas infrastructure. The town has a sewowned by the Municipality. This industrial zone is It is certainly worth noting that investors age system, while work on a project to install a already home to some of Ruma’s most important who decide to invest in Ruma are provided sewage network to service rural settlements is industrial facilities and the construction of new with the maximum state subsidies for hiring underway. The entire municipality is covered by ones is currently being carried out by UK companew workers. internet and telephone connections. ny Agena, Insert d.o.o. (producer of footwear upPotential investors are offered certain inpers for the world's largest footwear brands) and The municipality’s southern boundary is centives that vary depending on the envisAdriana (part of Italy’s Calzedonia Group) . the River Sava (37km) and the construction of aged number of employees and relate to redocking facilitates in neighbouring Šabac and The South (Jug) II Industrial Zone was reduced/deferred fees for the allocation of availSremska Mitrovica ensure river transportation cently formed. It sprawls over an area of 400 ha and is a joint venture owned partly by the state and partly by private owners. The zone is currently being equipped in terms f infrastructure, with all necessary utility connections already reaching the edge of the Jug II zone.

The Municipality sees a significant advantage in major energy resources, with electrical energy facilities almost unlimited and a twoway supply provided, which ensures stability and safety. All of the municipality’s settlements and industrial zones are fitted with gas con- Potential investors are offered certain incentives that vary depending nections, thus ensuring gas eneron the envisaged number of employees and relate to reduced/ gy is available to all potential invesdeferred fees for the allocation of available construction land tors. Reserves of thermal water with able construction land. It is also possible to rea temperature exceeding 60ºC are present at is available to businesses. duce or waive local utility connection taxes – depths and in quantities suitable for exploitaApart from industry, the potential of touragain on the level of investment and number tion. This water also represents an extremely ism in Ruma is also significant. The Borkovac of jobs created. reliable energy resource. urban resort and lake is currently being fitted The time required to obtain all local municThe tradition of industrial production that with one of the most modern sports facilities ipal permits is reduced to a minimum and only developed here in the second half of the 20th in the Balkans, including an Olympic swimming lasts as long as it takes the applicant to prepare century guarantees a quality workforce with pool, tennis courts and pitches for volleyball, and submit all required documentation. basketball, football and handball. This project Several significant investors have alcreates new possibilities for the development ready started doing business in Ruma, includof sports and recreational tourism. ing: Czech company Mitas, which successfulThe Municipality of Ruma has launched ly privatised Rumaguma, the Agena company, a major revitalisation project for the Trskovac which is currently building a factory in the West Swamp – a nature reserve of rare plant and anIndustrial Zone, company Adriana, which is part imal species. of the Calzedonia Group, and many more.

The close proximity of Mount Fruška Gora and the Basijana and Gomolava archaeological Infrastructure across the territory of the musites represent an opportunity for the municinicipality is excellent. As well as a comprehenpality of Ruma to develop cultural tourism. sive network of local and regional roads linking Ruma is also known as a city of festivals, Ruma to all neighbouring municipalities (Inđija, with such events regularly organised. These inŠabac, Sremska Mitrovica etc.), there is also the clude local or international festivals of great M21 national road connecting Ruma with Novi tambura orchestras, choirs, folk ensembles and Sad, the Mačva district and neighbouring Bosnia amateur theatres. ■ & Herzegovina and, of course, Pan-European Vojvodina in Focus | the Investors Guide | 97

plandište

sečanj

senta

Advantageous Land Leasing

Transit Tourism Potential

Dock on the Tisza

The land lease price is favourable and is linked to the type of facility and length of lease

The municipality of Sečanj is situated in the northeast part of Serbia in Central Banat County

The Municipality of Senta is located in northeast Bačka, in the northern part of the Autonomous Province of Vojvodina

The Municipality of Plandište is in the north-eastern part of South Banat District and is surrounded by the municipalities of Sečanj Alibuar and Vršac. To the east it borders Romania, while to the west of the municipality is the Danube-Tisza-Danube Canal.

Plandište is home to about 12,000 inhabitants in 14 settlements. Agriculture is the most important economic branch. The area was once known for its textiles and plastic mass industries. According to the records

The municipality of Sečanj is situated in the northeast part of Serbia in Central Banat County, in the east of the autonomous province of Vojvodina.

It takes up 523 square kilometres and has 16,377 inhabitants. Sečanj is the administrative centre of the municipality. The municipality borders with Romania and the municipalities of Žitište, Zrenjanin, Kovačica, Alibunar, and Plandište. Sečanj is located on the first-class state route M-7.1 and the Zrenjanin-Sečanj-Plandište-Vršac railway line.

Sečanj is 95 kilometres north of Belgrade, 87 kilometres from Novi Sad and is also only 14 kilometres from the border with Romania.

The municipality disposes of natural potentials like arable land, water resources, rawmaterials, substantial deposits of clay used in brick production, and has all the prerequisites for hunting, fishing, sports, recreational, cultural, and transit tourism development. The main economic activity here is agriculture. There are available capacities for oil plants and crop storage and the municipality has a plan to create a fishing location and open a beach in Krajišnik, as

Senta covers an area of 293.4 km2 and is home to 25,568 inhabitants.

The municipality is traversed by the M24 national road and regional road R140, which connects with international highway E75 some 38 km from Senta. An international dock is located on the River Tisza here and is equipped to handle all kinds of general cargo.

The main commercial activities in the municipality cover haulage, storage and communication, tour-

of the National Employment Service, most adult residents have completed primary and secondary education. There is a commercial zone covering 26 ha. Part of it is already under lease, but around seven hectares are still available. The zone is equipped with access roads and sewers/drainage, while the construction of substations and connection to the water substation is currently underway. The land lease price is favourable and is linked to the type of facility and length of lease. It ranges from 0.08 to 0.14 dinars per squaremetre per month. The municipal authorities can issue a building permit within two days of application, provided the investor has all required documentation.

Renewable energy companies Vindija Varazdin and Elektrovind Ltd. are present in the municipality and a wind farm is under construction. In terms of infrastructure, we have electricity, utilities (water, gas, sewage) and telecommunications networks.

Plandište has no business parks. The M7/1 road (33 km), the Vršac-Zrenjanin rail route and the Danube-Tisza-Danube Canal all pass through the municipality.

well as one on the Tamiš River.

Currently, the municipality is pinning its hopes on making the Northwest Work Zone in Sečanj functional. The zone covers 52 hectares of land (36 hectares available for lease). Municipal authorities have drawn up a detailed regulation plan, the zone has electricity, and works are being done on connecting it to the gas supply.

ism, hospitality, wholesale and retail trade, construction, power generation, water and gas, agriculture, forestry and water management.

Senta Municipality has four industrial zones that are all fully equipped.

Industrial Zone West (Zapad) Zone size: 38 ha, Occupied area: 37 ha Available area: 1 ha Industrial zone south (Jug) Zone size: 125 ha, Occupied area: 79 ha Available area: 26.5 ha Industrial zone Senta Zone size: 20.31 ha equipped like the previous two zones Occupied area: 0 ha Available Area: 20.31 ha The main facilities of the Kasarana zone cover an area of three hectares, with rhe land having been returned in May of this year.

The complex is located in the urban part of town and the facilities are to be used for the purposes of developing and fostering economic investment.

contact Rodika Grujesku,

contact Dejana Milošević,

contact Dragana Radonjić, Head

Address: Vojvode Putnika 38, Plandište 26360 Tel : 013 861033, 861035, Fax: 013 861134, 861035 Email : centrala@3dnet.rs,Url: www.plandiste-opstina.rs Foreign languages: English, Russian, Romanian, Hungarian, Slovakian

Head of the Economy Department Vožda Karađorđa 57, 23240 Sečanj, Tel: +381(0)23/842-066, Mob: +381(0)64/802-34-14, E-mail: mdejana@beotel.net, Website: www.sosecanj.rs.

of the Office for Local Economic Development Address: Glavni Trg 1, Senta 24400 Tel/Fax: 024 655462, Mob: 064 19 225 25 Email: odeljenjezaprivredu@zenta-senta.co.rs Url: www.zenta-senta.co.rs

98 | the Investors Guide | Vojvodina in Focus

sombor

sremski karlovci

temerin

Transport and Food

Economically Diverse

EU Border Nearby

The military airport is designed to cater for civilian traffic and could be an alternative airport

The municipality of Sremski Karlovci is the smallest municipality in the autonomous province of Vojvodina

Temerin is only 100 kilometres from the EU border, 80 kilometres from Belgrade, and 7 kilometres from Novi Sad

The City of Sombor is situated in the far northwest of Serbia. It is linked to neighbouring Croatia via the Bezdan and Bogojevo border crossings and Hungary via the Bački Breg border. It is 175km away from Belgrade.

Located between pan-European corridors 7 and 10, it links regional road and rail traffic with the international river port and customs at Bezdan on Corridor 7 (the River Danube). It has a developed

The municipality of Sremski Karlovci is the smallest municipality in the autonomous province of Vojvodina, it covers an area of 5,054 hectares.

The municipality has an exceptionally situated. It lies at the very northeastern part of Srem County at the foot of the Fruška Gora along the bank of the Danube River. Novi Sad is 10 kilometers away and Belgrade only 65 kilometres.

The economic branches in Sremski Karlovci are diverse and include construction materials production, metal processing, textile industry, transport, and retail. Tourist capacities in Sremski Karlovci are also continuously developing. A master plan for the development of tourism has been written.

The municipality has four separate areas for various purposes. The first area (3.23 hectares) and is ideal for tourist and sports activities. The second area, nearly 3 hectares, is also suitable for sports and recreational activities. The third area (6 hectares) is ideal for tourist and general-purpose business activities. 1.5 hectares is designated for a beach. The fourth area (5 hectares) is an ideal loca-

The municipality of Temerin covers an area of 170 square kilometres, has a population of approximately 20,000 and is located in the southeast part of Bačka. In the east, it borders with the municipality of Žabalj, in the north with the municipality of Srbobran, in the west with the municipality of Vrbas, and in the south with the city of Novi Sad. Temerin is only 100 kilometres from the EU border, 80 kilometres from Belgrade, and 7 kilometres from Novi

network of local, regional and national roads, as well as a passenger and freight rail hub. It neighbours Subotica, Vrbas, Bogojevo and Apatin.

The military airport is designed to cater for civilian traffic, thus the possibility exists to develop air transport and it could have a role as an alternative airport. The production of healthy and fresh food, which could be delivered to any part of Europe within 24 hours, has excellent prospects in the Sombor area.

The industrial zone covers an area of 500 ha in the vicinity of the Great Bačka Canal and is almost fully equipped. Potential investors are provided with various benefits and all interested investors are allocated a person responsible for assisting in the implementation and monitoring of investments.

Sombor has no business parks.

The Municipalty grants operating licenses within 24 hours of the submission of applications that include all required documentation.

Sombor has potential for the development of agriculture, tourism and traditional crafts.

tion for fishermen and weekend houses.

The municipality has a work zone covered by a detailed regulation plan. The Provincial Secretariat for Science and Technology Development provides incentives in terms of giving grants for equipment used by investors that invest in the municipality of Sremski Karlovci. The condition is that investments have to be made in advance technology.

contact Mihael Plac,

contact Milenko Filipović,

Address: Trg Cara Uroša 1, Sombor 25000 Tel: 025 468111 / 468160, Fax: 025 468156 Email: klersombor@gmail.com Url: www.sombor.rs

Municipal President , Vladimir Žeravica, Economy and Agriculture Executive Officer Trg Branka Radičevića 1, 21205 Sremski Karlovci Tel: +381(0)21/6853-000, Fax: +381(0)21/6853-077 E-mail:sremkarl@eunet.rs, Web: www.sremski-karlovci.org.rs

Sad. Having Novi Sad, the most developed economic centre in Vojvodina, nearby has certainly contributed to the municipality’s development so far and will continue to be a driving factor in its growth.

The biggest economic potentials lie in agriculture, metalworking, trade, services, and others.

When it comes to the revenue it generates, agriculture is a very important economic branch. The municipality of Temerin disposes of 15,748 hectares of agricultural land, which represents 92.8% of the entire municipality’s territory. Most of this land is plough land and vegetable gardens. Orchards and vineyards comprise 100 hectares. Following agricultural reforms, cooperatives were established and they currently manage 27% of the entire agricultural land, including land owned by the municipality of Temerin (2,746 hectares of it). Today, there are close to 1,000 enterprises in the municipality, employing over 1,700 workers.

The shortest possible period necessary for obtaining all required building permits and approvals is six months.

contact Guszton András, President of the Municipality of Temerin.

326, Novosadska, 21235 Temerin Tel: +381(0)21/843-888; Fax: +381(0)21/842-792 predsednik@temerin.rs, www.temerin.rs Languages: Hungarian and English Vojvodina in Focus | the Investors Guide | 99

sremska mitrovica

City Of Roman Emperors The dominant branches of industry are manufacturing and food processing, wholesale trade, agriculture and, recently, the automotive industry

S

Branislav Nedimović President the of Municipality of Sremska Mitrovica

“Sremska Mitrovica was founded on the site of the ancient Roman city of Sirmium”

contact: Danijela Međedović

Svetog Dimitrija br. 13 22000 Sremska Mitrovica Tel: 022/610-572 Fax:022/610-562 E-mail : smkler@gmail.com www.sremskamitrovica.org.rs

100 | the Investors Guide | Vojvodina in Focus

located alongside highway E70. remska Mitrovica is located in northwest • Jezero (Lake) Industrial Zone – 240,000m2, Serbia and southwest Vojvodina. It has direct consisting of six parcels, owned by the Municipality access to highway E70 and indirect access to of Sremska Mitrovica, located alongside the R103 highway E75 via Belgrade. It also has direct access Sremska Mitrovica – Šabac regional road. to the international rail line connecting Vienna All industrial zones are covered by required and Thessaloniki, which is part of Pan-European planning acts and the Town offers investors exCorridor 10. Belgrade’s Nikola Tesla Airport is loemptions from paying fees for construction land cated 50km from the centre of Sremska Mitrovica. development, provided the investor is building a It is also connected to Corridor 7 (River Danube) facility of at least 2,000m2 and hiring 100 or more via the river Sava. The border with Croatia is 40km workers (the construction land development fee is away, while the border with neighbouring Bosnia & €15/m2), as well as the possibility of paying the Herzegovina is around 35km away. construction land development fee in 12 monthThe dominant branches of industry are manly instalments or, if the investor pays the construcufacturing and food processing, wholesale trade, tion land development in one agriculture, hunting and forinstalment, a reduction of estry, transport and storage, 20%. electrical industry and, more The Town is currently recently, the automotive inmost dedicated to attracting dustry. companies from the automoAccording to the edutive industry. cation structure of the loConstruction permits and cal workforce, 4.80% have other licences are issued in a completed further educadeadline of around 60 days. tion, 4.05% have completSremska Mitrovica has ed higher/college education, It is important to note that, well developed infrastruc42.29% have graduated from upon agreement with a major ture, including roads, elecsecondary school. Almost all investor, new vocational tricity, gas, heating and water vocational profiles are repcourses can be introduced supply networks, as well as resented: economists, lawtelephone, internet, fibre opyers, managers and organisto specialised schools in ers, computer scientists, stat- order to train the future staff tic cables, drainage and sewage systems. isticians, administrators, surrequired The town has an excelveyors, architects, planners, lent geographic location and both road and river builders, upholsterers etc. transport routes are developed. In terms of road It is important to note that, upon agreement transport, it is directly connected to highway E70 with a major investor, new vocational courses can (Corridor 10) and the M18 and M21 national roads. be introduced to specialised schools in order to Sremska Mitrovica is connected to Corridor 7 (River train the future staff required.

Danube) via the river Sava.

The Town of Sremska Mitrovica currently has Sremska Mitrovica was founded on the site of three industrial zones that are fully equipped in the ancient city of Sirmium (capital of the IV Roman terms of utilities infrastrucure: Empire), which was the birthplace of six Roman em• Sever (North) Zone - 130,000m2, owned by perors and is on Serbia’s route of Roman Imperial the Municipality of Sremska Mitrovica, located imculture. Today "parts" of Sirmium are preserved mediately alongside highway E70; and most certainly the most important Roman site • Sever II Zone - 150,000m2, consisting of is the Imperial Palace, which has been restored and three parcels (possibility of further dividing plots), is an extremely interesting site for visitors. ■ owned by the Municipality of Sremska Mitrovica,

The Municipality has two industrial zones

srbobran

Commercial activities in the municipality cover agriculture, furniture manufacuring, production of insulation materials and the food industry

T

he Municipality of Srbobran is located in network and construct a network of hydrants and central Vojvodina, 33 km from Novi Sad and new substations. around 100 km from Belgrade. The municiA solution to transport issues is provided by pality has 16 268 inhabitants. convenient access to each plot, as well as the The municipality is traversed by highway E75, possibility of building industrial sidings and denational roads M3 and M22, as well as regional veloping necessary harbour facilities. roads R129 and R120. The Danube-Tisa-Danube The other installed infrastructure systems Canal also passes through the municipality and can (water, electricity and TT networks, gas) are set carry barge vessels with a load capacity of 1000 up to improve the operating conditions for existtonnes and a 2.2 m draft to ing facilities and provide all the Bezdan Port. necessary conditions for the The geographical posioperation of new facilities. tion of the municipality, couThe green landscaping pled with its raw material plan provides adequate probase for the food industry, tection of green areas and arroad network and proximity eas intended to improve the to Novi Sad, provide the preaesthetic characteristics of requisites for the constructhe zone. tion of industrial facilities in the municipality.

2. WEST SIDE INDUSTRIAL Most of the city lies on ZONE, located in a greenbelt the left and smaller on the area extending close to highright bank of the Grand The Municipality of Srbobran way E75 and the M3 nationBačka canal. Srbobran geo- can currently offer potential al road. A detailed regulatory graphical location is very fainvestors plots in the south plan has been developed for vorable. Apart from the wapart of this area, covering 60 side industrial zone terway Grand Bačka Canal ha. Installing utility infrastrucwhich is across the Danube and Tisa associatture and equipping the zone is currently underway. ed with global waterways, pass through it and two very important land road that intersect in ADVANTAGES the city center.

The Municipality of Srbobran can currently offer potential investors plots in the south side industrial zone that are state-owned and can be The Municipality of Srbobran has two LEASED FOR 80 YEARS, WITHOUT FEES, provided industrial zones: the investor employs at least 17 residents of the 1. SOUTH SIDE INDUSTRIAL ZONE, which is on Municipality of Srbobran, 1 ha. the outskirts of the Srbobran construction zone and is located beside the M22 national road and GAINING PERMITS R129 regional road. It occupies an area of apAll necessary permits are issued within the leproximately 90 hectares, about 30 ha of which gally prescribed deadline on the basis of submitis state-owned land that the municipality has the ted documentation, an act of planning conditions right to utilise. or a summary of the plan within 30 days, while This zone is equipped with a utilities infrabuilding permits are issued within 15 days. ■ structure and there are plans to expand the road

Branko gajin President the of Municipality of Srbobran

“Installing utility infrastructure and equipping the zone is currently underway”

contact: Address: Trg slobode 2, Srbobrаn 21480, Tel/Fax: 021 730 020; 731 079 Email: srbobran@eunet.rs Url: www.srbobran.rs Investor contact person: Drаgаn Šаrčev, Head of Municipal Adminstration, Srbobran Tel: 021 730 080 Fаx: 021 731 079 INVESTORS IN THE MUNICIPALITY Investors in this municipality include Austrotherm ltd. Srbobrаn, Phiwa Suboticа and Merkаtor

Vojvodina in Focus | the Investors Guide | 101

subotica

At The Intersection The city has a number of industrial zones: Eastern Zone, South-eastern Zone, Southern Zone, South-western Zone, Zorka Zone, North-eastern Zone, Palić Zone and the Mali Bajmok Zone

T

Saša Vučinić President of the municipality of Subotica

“The city has developed road and rail links”

contact: Simonida Pavićević

Simonida Pavićević, Head of the Local Economic Development Office Address: Trg slobode 1 Place & postcode: Subotica 24000 Tel/Fax: 024 666677 Email: mayor@subotica.rs

102 | the Investors Guide | Vojvodina in Focus

he City of Subotica is located in the far north of Serbia’s northern province of Vojvodina n the North Bačka Distrct. It lies along the border with Hungary at 46º 05’55” north latitude and 19º 39’ 47” east longitude. The city covers an area of 1,008km2 and includes 19 suburban settlements.

Subotica is located at the crossroads of several major European transport routes, such as PanEuropean Corridor 10, including its "Y" branch (Kelebija international border crossing), the E85 International Railroad (Budapest-Subotica-BelgradeNiš-Skopje-Athens) and the Subotica-Szeged (Hungary) and the Subotica-Sombor-Vinkovci (Croatia) rail routes, as well as the M24 national road Subotica-Kikinda-Timisoara (Romania) and the M17.1 national road Subotica-Sombor-Osijek (Croatia).

Subotica is 100km north of Novi Sad, 190km northwest of Belgrade and 190km south of Budapest.

In addition to its favourable location, the Subotica region has a number of logistical advantages, such as two international border crossings (Kelebija - 10km and Horgoš - 30km), the Bajmok interstate border crossing (35km from the city), a logistics centre on an area of 40ha, a railway station for freight transport, developed telecommunications and IT networks, public and bonded ware-

houses, a well-developed network of local roads connected to main international motorways and good links to three international airports: Belgrade (165km), Budapest (190km) and Osijek (120km).

Beside the food industry, intensive development has been seen by the electro-metal complex, the chemicals and textile industries, leather processing and footwear manufacturing, hosiery, printing and construction. More or less intensive development of these sectors can also be expected in the future, as the city has adequate resources for that (capacities, know-how and experience, required workforce, a raw material base, available components and market access). Recent years have also seen the start of intensive development of activities related to the automotive industry in Subotica.

The city has a number of industrial zones (Eastern Zone, South-eastern Zone, Southern Zone, South-western Zone, Zorka Zone, North-eastern Zone and Palić Zone). The City of Subotica currently boasts the Mali Bajmok Industrial Zone, which covers 53ha of land designated for greenfield investments. Around 60% of this zone is currently covered in terms of utility infrastructure (water, sewer, gas, electricity, roads and lighting), while ongoing construction works should see the zone fully equipped by the end of 2012, on the basis of planned dynamics.

op, promote and guarantee a lasting performMetro Cash & Carry (Germany) - greenfield The City of Subotica offers a range of incenance of operations related to the management investment worth €10 million, tives, most notably grants for the development/ of state-owned construction land that the City Studio Moderna (Slovenia), adaptation of bespoke/development locations, of Subotica has ownership or usage rights for.

Petrol stations (EKO, Europetrol, OMV, MOL) workforce training programmes, incubator cenThese sites are located in business zones dedgreenfield investments worth €8 million, tres for new businesses (BIS Business Incubator icated to manufacturing, business or commerLeonardo (Italy) - brownfield investment Subotica), financial assistance and tax exempcial activities. The company manages the conworth €2 million, tions. struction and maintenance of infrastructure in Masterplast (Hungary) - greenfield investAll necessary local permits required by inbusiness zones, providing general and specialment worth €6 million, vestors are issued under very short deadlines, ised services and other service required by busiElektroremont (Italy) - brownfield investdepending on the investors’ dynamics of project ness parks users (complete logistical support to ments worth €700,000, preparation and the flow of the investment (for investors); marketing activities aimed at promotTatravagonka Brotherhood (Slovakia) example, building permits are issued within a maximum of 4 to 7 days from the date of application, provided all required documentation is submitted).

The following investments were carried out in Subotica between 2003 and 2011: Phiwa (Germany) - greenfield investment worth €40 million, Siemens (Germany)- investment worth €9 million, Rodić Mega (Serbia) - greenfield investments worth €10 million, IDEA (Croatia) - greenfield investments worth €8 million, KTC (Croatia) - greenfield investIt is also essential to note the existence of a duty free zone run by ment worth €4.5 million, the company Slobodna zona Subotica d.o.o.(Free Zone Subotica Ltd.), MAXI (Serbia) - greenfield investments worth €9 million, which covers both private and state-owned land Dunkermotoren (Germany) ing the investment offer of the city, as well as atbrownfield investment worth €5 million, greenfield investment worth €1.5 million, tracting local and foreign investment.

FINAT (Italy) - investment worth €500,000, Norma Group (Germany) - greenfield investLeonardo (Italy) – reinvestment worth ment worth €12.5 million, It is also essential to note the exist€100,000, Continental Contitech (Germany) - greenence of a duty free zone run by the compaElektroremont (Italy) – reinvestment worth field investment worth €10 million, ny Slobodna zona Subotica d.o.o.(Free Zone €300,000, Subotica Ltd.), which covers both private Other greenfield and brownfield investland and land belonging to the Mali Bajmok ments worth a total of €15 million.

Industrial Zone and offers a number of benThe total amount of funds invested in efits for investors (exemption from customs Subotica during this period is €171.7 million. duties, VAT and tax on profit).

In terms of transport infrastructure, Subotica It is also important to note that Subotica has well developed road and rail transport. Air boasts very serious and structured educational transport is not developed, but the Ivan Sarić airinstitutions, which directly provide the skilled port for light aircraft is located nearby and is curlabour necessary for the implementation of inrently registered as an aero-sports club. Efforts vestment projects. The city includes 11 secare underway to reregister the airfield as an airondary schools and 10 colleges and universiport for civil air transport for light aircraft (up to ties (5 private and 5 state-owned). This all con5.7 tonnes) under the “On Demand” principle. tributes to nurturing highly quality workers covIn addition to the aforementioned, the existering almost all educational profiles. During the ence of public company "Business-Technological 2011/2012 academic year, the high school of Parks of Subotica" is also deemed as being very Subotica are attended by a total of 6,141 puimportant. Established by the City Assembly pils, while state universities and colleges have of Subotica in January 2010, it aims to devel4,853 students (total for all years of study). ■ Vojvodina in Focus | the Investors Guide | 103

stara pazova

Entrepreneurial Area Around 900 SMEs and more than 2,500 craft shops operate successfully in the Municipality

T

Goran Jović President the of Municipality of Stara Pazova

“The municipality’s road links will be complete following construction of the Nova Pazova junction”

contact: Natalija Karadžić

Address: Svetosavska 11 Place & postcode: Stara Pazova 22300 Tel: 022 316341 Fax: 022 310000 Email: Natalija.karadzic@starapazova.eu Url: www.starapazova.eu Foreign languages: English and French

104 | the Investors Guide | Vojvodina in Focus

ture; Block 25 – fully equipped in terms of inhe Municipality of Stara Pazova is located in frastructure; a multi-functional work zone - not the Autonomous Province of Vojvodina and equipped; Northern Industrial Zone – several is bordered to the east by the River Danube equipped facilities, but not yet fully equipped (24km). According to the 2011 census, the municin terms of infrastructure; Western (old) Zone – ipality is home to 67,674 inhabitants and covers equipped with utilities infrastructure; Southern an area of 351km2.

Zone – partial infrastructure coverage, traversed It is intersected by Serbia’s most important by highway E70 and the central zone beside transport routes: highway E70 (15km from the highway E75 - not equipped with utilities infracentre of the town of Stara Pazova), highway E75 structure.

(5km from the centre of the town of Stara Pazova), The Municipality offers stimuli in the folnational road M22/1, regional roads R106 and lowing areas: construction R121, the international railway land development fees (the from Bar (Montenegro) to Stara amount is reduced dependPazova, local rail routes Stara ing on the number of new emPazova-Šid and Stara Pazovaployees, level of investment, Subotica (the Stara Pazova payment methods etc.), propRailway Station is two kilomeerty tax reductions (the tax tres from the centre of town) rate decreases as the value of and Pan-European Corridor 7 the property increases) com(River Danube). pany signage tax (the lowest The Municipality of Stara in the local region).

Pazova is just 25km from Investors can obtain all Belgrade’s Nikola Tesla Airport necessary permits and docuand 32km from the Port of mentation within 15 days of Belgrade. The closest border crossings are at Šid (Croatia – The Municipality of Stara submitting all required docto the municipal 90km), Sremska Rača (Bosnia – Pazova has seven industrial umentation administration.

95km), Srpska Crnja (Romania zones, five of which Major foreign investors – 148km) and Horgoš (Hungary are fully equipped with operating in Stara Pazova in– 167km).

The municipality’s road excellent infrastructure, clude Muehlbauer, Alumil, Nestle, Volvo, Mercedeslinks will be complete folwhile two are awaiting Benz, Gorenje Tiki, Husqvarna, lowing construction of the the completion of Milsped, Greiner, Packaging, Nova Pazova junction of the documentation JP, Grubin and Delta Agrar.

Belgrade - Novi Sad highway.

Existing industrial zones have excellent infraThe municipality of Stara Pazova is a tradistructure, though it is necessary to equip the two tional entrepreneurial area. Today around 900 new zones and documentation for doing so is alSMEs and more than 2,500 craft shops operate ready being prepared. successfully in the municipality. The structure of According to the Municipality of Stara the local economy, by sector, is dominated by inPazova’s educational structure, 10.19% of adult dustry (34.42%), trade (26.80%) and agriculture residents have completed higher education, (21.01%), followed by construction (4.65%), fi67.24% have completed secondary education nancial and other services (4.36%), real estate and 22.57% have only primary education. There (3.88%), crafts and trades (2.53%), transport are several secondary schools, such as Branko and haulage (2.19%) and hospitality and tourism Radičević High, which provides general direction, (0.12%). Local GDP per capita totals $3,930 the Vuk Karadžić Economic and Trade School and The Municipality has seven industrial zones: the Technical Mechanical Engineering School. ■ Eastern Zone – equipped with utilities infrastruc-

titel

vrbas

vršac

Agriculture dominant

Heart of Backa

Renowned Fligt Academy

Work zones almost completed

A favourable location means Vrbas is considered the centre of Bačka, despite being in the south of the district

The City is intensively developing SMEs in several industrial branches

Titel is situated in Southeast Bačka between the Danube and Tisa rivers. Aside from these two navigable waterways, Titel also border rivers and two main roads – one of which connects Novi Sad, Zrenjanin and Belgrade. Titel’s good geographical positition ensures it is also connected to Belgrade via the Danube, while there is a road and rail bridge over the River Tisa and the municipality is connected to the District of Srem via the bridge near Kovilj.

When it comes to investor incentives, the Municipality of Titel currently offers relatively cheap construction land equipped with the relevant utility infrastructure.

Agriculture is the dominant commercial branch in Titel, accounting for 80 per cent of the municipality’s revenue. In terms of industrial production, metal processing and construction material manufacturing are prevelant. There is also a micro factory producing plastic materials.

In terms of tourism, the municipality is

The municipality of Vrbas is located in South Bačka district and extends over an area of 376km2.

It is home to 45,755 residents. The municipality is located at the intersection of roads including the Sombor-Vrbas-Bečej road, the Vrbas- Bačka Palanka road and the Vrbas-Subotica road. The international Belgrade-Budapest railroad and local rail lines Novi Sad-Sombor and Sombor-Bečej pass through Vrbas.

The territory of the municipality is also crisscrossed

The Municipality of Vršac covers the foothills of the Vršac Mountains to the northeast of Belgrade, 83 km along the international highway to Romania, the border of which is 14 km away. Vršac is the regional centre of economic activity, with the intensive development of SMEs in the chemicals, pharmaceuticals, food & beverage, confectionery and construction industries, as well as production of wine and beer and agriculture.

The city’s Northern Industrial Zone covers an area of 120.5 ha; the South – SME distribution centres covers 286.5 ha; the Uljma site has 7 ha, while the Vršac Centre (offices, warehouses) covers an area of 400m2 and the Vršac railway station (offices) covers 220m2 + 60m2 (storage, warehouse) over an area of 900 m2. There are no special local incentives for investors. Necessary permits to commence operations are issued in the shortest possible time. Infrastructure in the Municipality of Vršac is at a satisfactory level, as is the local road network. The navigable route of the DanubeTisza-Danube Canal allows vessels with a draft of up to two metres and a load capacity of 700 to 1000 tonnes.

This waterway has two makeshift docking ports. There

best known for sports, hunting and fishing tourism, which are enabled thanks to the local land relief and close proximity to the rivers Tisa, Danube and Begej.

The biggest investments in the municipality to date have been made by Titel Agro Ltd. and Res Trade, which building a training centre for John Deere agricultural machinery.

contact Zora Petrović, Associate in the Department for local economic development Address: Glavna 1, 21240 Titel, Vojvodina, Tel: 021 860 186, Mobile: 064 114 5420, Email: opstinatitel@ptt.rs; municipalitytitel@gmail.com, Url: www.opstinatitel.rs

by a network of canals.

Vrbas has developed transport links and is the commercial and administrative centre of the district.

Agriculture is the main economic branch, with some 90% of available land agricultural and the majority of that, as much as 96.98%, is arable.

The municipality have 17 industrial zones that are suitable for investment. They are under public ownership and are located in and around the town, while rural areas are under both public and private ownership. Business zones have relevant spatial planning documents and operations there are carried out on a commercial basis. The advantages of these areas are low land prices, possibilities of paying in instalments, complete or partial infrastructure and proximity to good transport links.

The local department of spatial planning is obliged to issue all necessary permits and documentation within 8 to 15 days, provided the potential investor has submitted complete documentation. If this is not the case, a waiting period of 30 to 45 days applies for permits.

is also air transport via the local airport that has existed for over 70 years. The Flight Academy has its own programme for training pilots. A control tower has also been built to cater for air traffic.

It is connected by road and rail to Belgrade, Timisoara and Novi Sad, while the Vršac Industrial Technology Park covers an area of 27ha and is located along the Belgrade - Vršac – Timisoara rail line.

contact Nenad Velicki,

contact Aleksandar Ćirin,

Office for Local Economic Development Address: Маršаlа Тitа 89, Vrbаs 21460 Теl: 021 7954000 sоvrbаs@еunеt.rs, vrbаs@еunеt.rs, www.vrbаs.nеt Foreign languages: English, Hungarian and Russian

coordinator of the Office for Economic Development Address: Trg Pobede 1, Vršac 26300 Tel/fax: 013 800561, Mob: 064 8443017 Email: acirin@vrsac.org.rs, ler-vrsac@vrsac.org.rs Vojvodina in Focus | the Investors Guide | 105

šid

Border Municipality Towards the Republic of Croatia there are two international border crossings in Šid, one at Batrovci and the other at Ljubi towards Ilok, while crossings into Bosnia’s Republika Srpska are via Sremska Rača and the ferry over the River Sava in the village of Jamena

Nataša Cvjetković President of the municipality of Šid

“River traffic is not significant on the territory of the municipality and relates only to the River Sava, as the rivers and Bosut and Studva are shallow”

The Municipality of Šid is located in southwest Vojvodina and belongs to the district of Srem. To the north it borders Bačka Palanka (approx. 15km), to the east and southeast is the municipality Sremska Mitrovica (approx. 45km), south and southwest of Šid is Bosnia’s Serb republic (16.5 km) and west and north is neighbouring Croatia (110 km).

The municipality covers an area of 687km2, representing 3.2% of the territory of the province, and has a population of 35,470 (according to the 2011 census), of which 22,922 (63.3%) are of working age and 8,641 are employed.

Towards the Republic of Croatia there are two international border crossings in Šid, one at Batrovci on highway E70 and the Belgrade-Zagreb railway line, and the other towards Tovarnik on national road M18/1 at Ljubi towards Ilok. There are also two border crossings with Bosnia’s Republika Srpska – rail links via Sremska Rača and the ferry over the Sava in the village of Jamena. More intensive border traffic is concentrated at the border crossing with Republika Srpska.

The Spatial Plan of the Republic of Serbia calls for modernisation and the building of a highspeed rail link from Belgrade to Šid to the national border, as well as the resolving of rail transport in Šid, including expansion and modernisation of

the Šid Railway Station, as well as a new border station and construction of a new single-track line from Šid, through the state border to Vukovar. Šid’s municipal road network consists of 19.5km of highway, 38km of national roads, 63km of regional roads and 56.5km of local roads.

The municipality is crossed by Highway E70, Belgrade-Zagreb (19.5 km), two national roads: M18 Bačka Palanka-Ilok-Erdevik-Kuzmin-Bijeljina (16 km) and M18/1 Croatia-Sot-Berkasovo-ŠidAdaševci-E70 (22 km) and three regional roads: R106 Erdevik-Bingula-Sremska Mitrovica (8 km), R103 Croatia (Tovarnik) -Šid-Gibarac-BačinciKukujevci-Kuzmin (22 km) and R128 Republika Srpska-Jamena-Morović-E70 (33 km).

The local road network has satisfactory standards and interconnects all villages in the municipality and the town of Šid. The territory of the municipality is a traversed by the main rail line Belgrade-Šid-national border, which links Serbia to Croatia, and the single-track Šid-Bijeljina rail line, which connects Serbia and Bosnia’s Serb republic. The main Belgrade-Šid-national border railway is a double track, electrified system.

River traffic is not significant on the territory of the municipality and relates only to the River Sava. This part of the river has no regulated port or docks, except for makeshift gravel and

The Municipality of Šid has almost 42,000ha of agricultural land, 21,024ha of forested area, water surface area of 838ha, as well as hunting grounds, fish ponds and reservoirs – all of which provide great potential for developing tourism

contact: Nataša Cvjetković

Municipal President Address: Karađorđeva 2 Place & postcode: Šid 22240 Tel: 022 712544, Fax: 022 715708 Email: kabinetsid@open.telekom.rs

106 | the Investors Guide | Vojvodina in Focus

sand docks on the banks at Jamena. Jamena also has a river ferry to and from Republika Srpska and relevant customs and police services are located there. The rivers and Bosut and Studva are not navigable by freight vessels, due to their shallow depth.

The local electricity network meets the current needs of industry and the population, providing a sufficient high quality and reliable supply of electricity throughout the municipality.

The manufacturing, food processing, chemical and construction industries are all represented in Šid.

The municipality does not possess bespoke business zones, but available industrial zones include the Adaševci Zone, covering an area of 123ha alongside Corridor 10 and the Šid-Bijeljina railroad tracks, the Industrial Zone at Erdevik, covering an area of 28.10ha u, and the Block 34 - Vašarište Industrial Zone in the vicinity of the Šid - Tovarnik Hempro border crossing, covering an area of 3.70ha. Potential investors are offered high quality agricultural land suitable for different branches of agriculture, while there are natural, cultural and historical sites for the potential development of different forms of tourism, as well as an excellent geographic location.

The fee for construction land development for commercial/production facilities is reduced by between 30 and 99 percent on the basis of the number of employees hired, or by 50 to 99 percent on the basis of the level of investment.

The consensus in the Municipality is to suggest that investors primarily concentrate on the processing industry (especially agriculture) and energy (renewables), while there are also possibilities for other types of investment, depending on the interests and aspirations of the investor. Required permits are issued within a 30-day period.

Local and foreign investors who have

The territory of the municipality is a traversed by the main rail line Belgrade-Šid-national border, which links Serbia to Croatia, and the single-track Šid-Bijeljina rail line launched operations in the municipality of Šid over recent years include Victoria oil (edible oil), Tim Izolirka, Hempro (paints and varnishes, school tempera), Beocapra (organic goat milk processing), Valdom, Pro Team Balkan (production and sales of plasterer and bricklaying tools), Agropapuk and L.A.A.B Group.

The water system is supplied from the Batrovci source and is under the competence of local PUC Vodovod. The following settlements are connected to this water supply system: Batrovci, Šid, Vašica, Berkasovo, Gibarac, Bačinci, Erdevik, Bingula and Kukujevci.

The Batrovci source consists of 10 drilled wells, with water extracted from aquifers at depths of 100m, 150m and 200m. The water quality is such that it can be used for human consumption directly, without treating.

When it comes to energy, the latest development is that the municipality is currently being installed with a gas supply pipeline.

The official completion of works is scheduled for December 2013, but most populated places in the municipality will receive gas connections prior to that (Spring 2013). There

is no pipeline infrastructure installed in Šid.

Consumers on the territory covered by the plan are supplied with electricity from the substation TS Šid, 110/35/20 kW, with a builtin power transformer 31.5+20 kWA. The telecommunications infrastructure is, on the whole, not satisfactory in terms of quality and capacity. Rich in natural resources, the Municipality of Šid has almost 42,000ha of agricultural land, 21,024ha of forested area (municipality with the greatest forest coverage in Vojvodina), water surface area of 838ha, as well as hunting grounds, fish ponds and reservoirs – all of which provide great potential for developing tourism.

Conditions are also very suitable for the development of viticulture (Erdevik village has a long tradition of grape growing and wine production). Potential investors are offered high quality agricultural land suitable for different branches of agriculture, while there are natural, cultural and historical sites for the potential development of different forms of tourism, excellent locations, good infrastructure and skilled and diligent workers. ■ Vojvodina in Focus | the Investors Guide | 107

zrenjanin

Banat’S Economic Hub Zrenjanin has one of the biggest industrial zones in southeast Europe, which opened in July 2010.

T

Mileta Mihajlov President the of Municipality of Zrenjanin

“The city has very well developed transport links towards both Europe and Asia”

contact: Predrag Stankov

deputy mayor Address: Trg Slobode 10 Place & postcode: Zrenjanin 23000 Tel: 023 3150094 Email: investments@zrenjanin.rs Url: www.zrenjanin.rs Foreign languages: English

108 | the Investors Guide | Vojvodina in Focus

cated in the immediate vicinity of the city transit he City of Zrenjanin is in Serbia’s autonoroutes, the port, airport and railway lines. mous province of Vojvodina, 75km away Business incentives exist at the national from Belgrade and 100km away from the level and relate to free trade within the CEFTA Romania city of Timisoara. Due to its favourable region, duty-free trade with Russia, the EU, geographical position, it has developed transTurkey, Belarus and the U.S. There are also sigport links – including railways, a network of nificant tax breaks and incentives for employnavigable waterways and a road network – and ment, as well as a series of financial aid packis an important transportation link between ages (state grants).

Europe and Asia. With a population of 140,000, The City of Zrenjanin offers organised supZrenjanin is the cultural and economic hub of port for investors through special assistance the Banat district. in obtaining permits, selecting building site The biggest C-class airport in the Balkans, shapes, sizes and locaAirport Zrenjanin, is locattions, infrastructure and ed in the immediate vicinconnectivity acording to ity of the city and in May investors’ plans, with ef2007 it received permisficient, friendly and comsion to handle passenger mitted administration and and freight traffic. the Zrenjanin free zone In 2008 the World (free zone regime optionBank declared Zrenjanin al within industrial zones, as the most attractive lowith the ability to reduce cation for investment in costs by up to 40%).

Serbia and the second Alongside its indusbest location for investtrial zone, Zrenjanin also ment in southeast Europe.

The City of Zrenjanin offers Some of the most organised support for investors has a duty free zone, one significant investors through special assistance in of only seven in Serbia.

Special motivation is proin Zrenjanin include: obtaining permits, selecting vided for those with busiDraeklmaier (Germany) building site shapes, sizes nesses within the busi- manufacture of parts and locations, infrastructure ness incubator. Some 25 for the automotive industry, Mehler BAPS AG and connectivity acording to percent of the total area is offered for free use, while (Germany) - production investors’ plans free wireless internet is of ballistic equipment, also provided in the centre of town. Cooperation GEZE (Germany) - Mechanics and Control, Fulgar with the regional chamber of commerce is also (Italy) - production of polyamides and polyesvery well developed. ters, Pompei (Italy) - Production of underwear Zrenjanin is an open and progressive city that and socks. not only encourages industrial development, but In addition to the Bagljaš-Elemir industrial also stimulates advances in its agriculture seczone, Zrenjanin also has the Ečka industrial zone, tor, which has a long tradition in the area. which has locations available to rent or buy Zrenjanin has about 100,000 ha of quality through an auction procedure following an open land for primary agricultural production, favourcall. The construction of goods’ handling transable climatic conditions, crop hybrids with highport centre is planned for a site across the river ly developed genetic potential customised to loBegej on an area of 120ha. Some 72ha of the incal conditions, a developed system of cooperdustrial zone is completely equipped in terms of atives, as well as highly qualified professionals infrastructure and there is a possibility to extend and skilled workers. ■ the zone to 1,100ha. The industrial zone is lo-

žabalj

Good rail network

žitište

Bordering Romania

The municipality has good road links and developed rail infrastructure

The municipality of Žitište is a border municipality, in the east, it borders with Romania

The municipality of Žabalj is located in the Šajkaška area of South Bačka and has a population of 27,513. The municipality covers an area of 400km2 in the very heart of Vojvodina. Žabalj is located west of the River Tisza, between the municipalities of Bečej, Srbobran, Temerin, Novi Sad and Titel. To the east it borders the municipalities of Novi Bečej and Zrenjanin.

The municipality has good road links and

Numerous thermomineral springs are yet to be sufficiently exploited The municipality of Žitište is a border municipality, in the east, it borders with Romania. The municipality of Žitište stretches across 525 square kilometres and has 21,000 inhabitants. The transport infrastructure here is quite developed. The Timisoara–Kikinda–Zrenjanin– Belgrade railway is some 18 kilometres away. Also, there is the Begej Canal. Agricultural production is the foundation of Žitište’s economy. There are several fish ponds with developed sport fishing, as well as a pheasant farm nearby. Numerous thermomineral springs are yet to be sufficiently exploited. Municipal authorities have drawn up the ‘Study on Exploitation and Utilization of Thermo-Mineral Springs,’ which shows thermomineral springs containing healing substances scattered all over the municipality’s territory. There are opportunities for investing in production of biomass and dehydration of agricultural produce, as well as in the food industry, plastic product production, construction materials production, and the textile industry.

The industrial zone is owned by local authorities.

developed rail infrastructure, though this is only used for freight transport. Belgrade’s Nikola Tesla International Airport is 80km away. There are many waterways in the municipality, such as the Tisza, Stara Tisza and River Jegrička, as well as a network of canals belongisng to the DanubeTisza-Danube system. The Tisza is suitable for both domestic and international river traffic.

The most important industrial branches in the municipality are agriculture, the processing industry, wholesale and retail. Arable land covers 32,255 hektara.The Žabalj Istok (East) Work Zone is an exceptional location situated on the M7 main road, 20km from Novi Sad, 25km from Zrenjanin and 80km from Belgrade. The zone is covered by a regulatory plan and relevant technical documentation.

Issuing local permits can take up to 15 days, during which investors can acquire information about locations, location permits and other required documents. it also takes up to 15 days to receive a building permit.

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There are two locations in the zone: LOCATION 1 - Site: Industrial zone Plastika; Total area: 3 hectares; Type of ownership: state owned; Intended use: construction of industrial plants. LOCATION 2 - Site: Industrial zone Bioferm; Total area: 15 hectares; Type of ownership: state property; Intended use: construction of industrial plants and smallscale industry premises.

contact Čеdоmir Bоžić,

contact Dragan Milenković,

President of the Municipality Address: Nikоlе Теslе 45, Žаbаlј 21230 Теl: 021 831035, Fаx: 021 831094 Еmаil: cеdоmirbоzic@gmаil.cоm, Url: www.zаbаlј.rs Foreign languages: English, German and Russian

Municipal President, Diana Kostić, assistant to the municipality’s president Cara Dušana 15, 23210 Žitište Tel: +381(0)23/821-306 E-mail: kosticdiana@yahoo.com Website: www.zitiste.org Language: English Vojvodina in Focus | the Investors Guide | 109

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