Transcript Slide 1

SERBIA
QUALITY WORKS
Mr. Bojan Jankovic
Serbia Investment and
Export Promotion Agency
Basic facts about Serbia
Location: South East Europe
Crossroads of two Pan
European corridors
Population: 8 million
Capital: Belgrade
(around 2 million inhabitants)
State form:
Democratic republic
Currency:
Serbian Dinar (RSD)
1USD = 93 RSD
1EUR = 62 RSD
GDP pc: $7,054 (2008)
SEE – Competitive and flexible
Which region in Europe is most attractive in terms of labor and
productivity?
Flexibility of labor
legislation
Labor cost
33%
49%
14%
1
2
Central
Europe
Southeast
Europe
Productivity increase
10%
15%
3
2
Russia
Ukraine
Belarus
1
36%
13%
18%
3
2
Western Southeast Central
Europe
Europe
Europe
1
Western Southeast
Europe
Europe
16%
3
Central
Europe
Source: Ernst & Young Southeast Europe Attractiveness Survey 2008 - 216 international executives
If you want to receive the full report please contact SIEPA or Ernst and Young
SEE - Attractive destination
Which region is most attractive for manufacturing activities?
38%
Vs. 32% in 2007
12%
12%
5%
Southeast
Europe
Central
Europe
3%
2%
1%
Western Russia, Northern Nordic
Baltic
countrie countrie
Europe Ukraine, Africa
s
s
Belarus
Source: Ernst & Young Southeast Europe Attractiveness Survey 2008 - 216 international executives
Net FDI inflow in millions of USD
2008
4,200
2007
3,569
2006
4,387
2005
2004
2003
Over $17bn of FDI
since 2002
1,550
966
1,360
About 85% of
inward FDI comes
from EU countries
USA, Germany,
Austria, Italy,
Slovenia in top 5
Government priorities
EU Integrations;
 Maintaning economic stability;
 Infrastructure development;
 Ensuring energy stability;
 Proactive trade diplomacy;
 Business reforms to support FDI;
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Integration processes
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The Stabilization and Association
Agreement (SAA) with the EU
signed and ratified;
Membership candidacy planned
for 2010;
Serbia’s application for WTO
accepted; accession expected in
the first half of 2010;
Economic stability
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Strong economic
performance since
2000;
Average GDP
growth between
2004-2008 over 7%;
Low public debt –
only 30% of GDP
Agreement with IMF
as a signal of
stability;
Infrastructure development
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Major investments into transportation corridors
in the country, especially corridor X, highway
and railroad;
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Telecom infrastructure improvement;
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Cargo terminal at Belgrade airport;
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Ports and terminals on the Danube river;
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Various other projects;
Ensuring energy stability
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The “South stream” gas pipeline with a total
capacity of 40 billion m3/year ;
High capacity underground gas storage in
Northern Serbia;
Serbia as a regional hub for gas supply;
Construction of additional thermal power plants
–two ongoing projects over 1GW;
Construction of an additional reversible major
hydro power plant being evaluated;
Modernization of 2 refineries and
petrochemical industry;
Trade diplomacy – market access
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EU market with no
customs;
FTA with Russian
Federation – custom
free exports with limited
number of exceptions;
Turkey asymmetrical
FTA signed, operational
from 1.1.2010;
FTA with Byelorussia;
CEFTA – duty free
access to a regional 20
million people market;
Favorable tax regime
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One of the most
attractive tax
environments in Europe;
A wide spread of benefits
for investors;
Free repatriation of profit;
Corporate profit tax
holidays easily
achievable;
No taxes on reinvested
profit;
National treatment for
investors;
Financial incentives
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Non-refundable funds for investments
Investment projects rated based on the : investors
reference; participation of domestic suppliers; effects on
R&D, HR etc.
Special investment incentives
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For large-scale investments of over EUR 200
million in three industrial sectors:
Automotive
Electronics
ICT
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Government provides direct and indirect
incentives amounting up to 25% of the value of
total investment!
Trading with Serbia
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Strong growth of
foreign trade;
30% average growth
of exports since 2004;
Serbia’s major trade
partners:
 EU countries;
 Russian federation;
 CEFTA region;
Serbian exports
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Exports from Serbia in mil EUR
7,000.00
6,000.00
5,000.00
CEFTA 4,000.00
Russia 3,000.00
EU
2,000.00
1,000.00
0.00
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2006
2007
2008
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Russia:
 Pharmaceuticals;
 Fruits and vegetables;
 Industrial&Electrical
machinery;
 Road vehicles & components;
EU:
 Steel, cooper, aluminum and
related products;
 Passenger and truck tires;
 Petrochemicals;
CEFTA:
 Electricity;
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Steel, cooper, aluminum and
related products;
Agrifood and confectionary;
Visit us on international fairs
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Grune Woche ,Berlin, Germany
Fruit Logistica, Berlin, Germany
BioFach Nirnberg, Germany
Gulfood, Dubai, UAE
CeBIT, Hanover, Germany
Gitex, Dubai, UAE
ProWein, Dizeldorf, Germany
Fancy Food , New york, USA
Anuga, Keln, Germany
Heimtextil, Germany
SIAL, Paris, France
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World Food Moscow, Russia
Foodex, Tokyo, Japan
Maderalia, Valencia, Spain
Real Vienna, Vienna, Austria
Expo Real, Minhen, Germany
Auto Equip, Paris, France
Automechanika, Germany
MosBuild, Moscow, Russia
CPM textile, Moscow, Russia
Randez-vous, Paris, France
Serbian imports
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Imports to Serbia in mil EUR
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12,000.00
10,000.00
CEFTA
Russia
EU
8,000.00
6,000.00
4,000.00
2,000.00
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0.00
2006
2007
2008
Russia:
 Oil and oil derivates; Gas;
 Fertilizers;
EU:
 Passenger and other
vehicles;
 Pharmaceuticals;
 Electronic and electric
machines and products;
CEFTA:
 Raw materials such as coal,
wood, copper, etc;
 Pharmaceuticals;
 Food and agro products;
Perspective sectors for cooperation
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Metal processing;
Automotive and components industry
Food and related products;
Furniture industry;
Pharmaceutical industry;
Textile and related products;
IT industry;
Contact our experts in charge of these and other sectors at:
www.siepa.gov.rs - key industries
What can SIEPA do for you?
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A Government organization supporting investors
and Serbian companies;
Investment consultancy from A to Z;
Aftercare activities;
Networking on all levels – from municipal to the
highest Government levels;
Linking potential investors to Brownfield, Greenfield,
and JV opportunities, site visit organization, etc;
Advice on business service providers;
Administration of financial incentives;
Linking investors with perspective suppliers;
SIEPA database of locations
We maintain
and regularly
update our
locations
database
SIEPA will help
select a
location that
best suit
investor needs
SIEPA suppliers database
On our website
Search by:
Sector / sub-sector
Export markets
Technologies used
Products
SIEPA publications
General
publications;
 Sector analysis;
 Regulation
overview;
 Download free
of charge on our
web site:
www.siepa.gov.rs
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THANK YOU!
Serbia Investment And Export Promotion Agency
SIEPA
Vlajkoviceva 3/V
11000 Belgrade, Serbia
Phone: +381 11 3398 550
Fax: +381 11 3398 814
[email protected]
www.siepa.gov.rs