leningrad region: a reliable partner for investors
DESCRIPTION
Leningrad Region: A RELIABLE PARTNER FOR INVESTORS. PRESENTED BY: DMITRY YALOV VICE-GOVERNOR of LENINGRAD REGION December 17, 2012 Helsinki. Leningrad Region in brief. LOCATION AND POPULATION. Helsinki. Population. FINLAND. 1 730 000. ESTONIA. Riga. Gulf of Finland. Karelia. - PowerPoint PPT PresentationTRANSCRIPT
1
Leningrad Region:
A RELIABLE PARTNER
FOR INVESTORSPRESENTED BY:DMITRY YALOV
VICE-GOVERNOR of LENINGRAD REGION
December 17, 2012Helsinki
2
1. Leningrad Region in brief
3LOCATION AND POPULATION
FINLAND
Karelia
Vologda Region
Moscow
Novgorod Region
Pskov Region
ESTONIA
Helsinki
Riga
Lake Ladoga
Gulf of Finland
Saint-Petersburg
Population
1 730 000
Share of rural population
34,6 %
Land area (Sq. km)
85 908,8
LENINGRAD REGION
4DEVELOPMENT DYNAMICS:A REGION WITH DIVERSIFIED ECONOMY
23.8
23.3
11.9
11.3
10.2
6.8
6.4
6.3
GRP Structure (%)
Processing industries Transportation and communications Retail and wholesale trade Agriculture
Construction Production and distribution of electricity Real estate operations Other2004 2005 2006 2007 2008 2009 2010
80
85
90
95
100
105
110
115
GRP BY SUBJECT OF RUSSIAN FED.
GRP BY SUBJECT OF NW REGION
LENINGRAD REGION
Major sectors of economy are:• processing industries,• construction, • transportation.
290 GRP (per capita, thousand rubles)(12th in Russia, 3rd in the NW region
GRP (billion rubles)(17th in Russia, 2nd in the NW region502
GRP index (% year on year)
5INDUSTIRAL PRODUCTION VOLUMES
Mining (bln. Rubles)(Share within Russia - 0.13%)
10966 429481
Production and distribution of energy, water and gas(bln. Rubles)(Share within Russia - 2,2%)
86376
Processing industry(bln. Rubles)
(Share within Russia - 2%)
28%
28%
17%
10%
9%
8% Shares in processing industry
Food and tobacco
Vehicles and equipment
Cellulose, paper, printing and publishing
Coke and oil products
Other non-metal mineral products
Other non-metal mineral products
6LENINGRAD REGION – AMONG
LEADERS OF INVESTMENT ACTIVITY IN RUSSIA
Capital investment (mln. rubles)
Leading regions in Investment-per-capita terms
2002 2005 2008 2011
28212
82859
166112
304770
Tumen Region Sakhalin Region Republic of Komi
Chukotka aut. distr.
LENINGRAD REGION
Republic of Yakutia
Evreyskaya aut. distr.
Amur Region Primorsk Region
Khabarovsk Region
377 365
215178 177 173
152 149 143 132
34%
26%
24%
15% Transportation and communications
Other
Processing
Production and dis-tribution of electrical energy, gas and wa-ter
Share of investment per type of economic activity
7INTERNATIONAL INVESTMENTS
34%
33%
13%
11%
10% Real estate opera-tions, renting and services
Processing industry
Production and dis-tribution of energy, water and gas
Other types of activity
Agriculture and forestry
Structure of foreign investment per country of origin
Structure of foreign investment per typeof business activity
Companies already present in the Region as investors
46%
23%
15%
8%8%
Cyprus
Finland
Other coun-tries
Denmark
USA
8
2. SEVEN DRIVERS OF YOUR SUCCESS IN LENIGRAD REGION
9SEVEN DRIVERS OF YOUR SUCCESS
IN LENINGRAD REGION
1
ACCESS TO KEY MARKETS IN EUROPE
2
DEVELOPED INFRUSTRUCTURE, INFRUSTRUCTURE FOR INTERNATIONAL ACTIVITY
3 A DEVELOPED MARKET OF BUSINESS SERVICES
4
A DEVELOPED INFRUSTRUCTURE FOR IMPLEMENTING INVESTMENT PROJECTS
5 HIGH QUALIFICATION OF LABOR RESOURSES AND FLEXIBLE LABOR MARKET
6
7
A SYSTEM IN PLACE TO FOLLOW THROUGH INVESTMENT PROJECTS
TAX BENEFITS AND OTHER MEASURES TO SUPPORT INVESTORS
10EVERY PROJECT IS IMPORTANT FOR US!
Agency for Economic Development of Leningrad Region
provides services in following through investment projects
1 Locating land plots or production premises required for implementation of investment projects
2Providing information required for implementation of an investment project, including requirements for utility connections, staff recruitment and training, project financing, suppliers and other.
3Providing support in receiving official approvals of project documentation, receiving construction permits and performing other required procedures.
11PROFIT TAX – FROM 18% DOWN TO 13,5%,
PROPERTY TAX FROM 2% DOWN TO 0%
Investment (mln. rubles)
Duration (years)
300 to 500 4
500 to 3000 5
Over 3000, (excluding automotive and machinery)
6
Over 3000 for automotive and machinery
8
Duration of tax benefits Requirements
Investment of over 300 mln. rubles
Certain types of business activity. Sales from specified types of activity to be no less than 70% of the company’s total sales
Benefits are provided after the subject of investment is put into operation
Support for small and medium business
Start-up allowances for business activity
Support of leasing activities
Subsidies to cover certification costs (partially)
Subsidies to cover interest on loans (partially)
12BENEFICIAL GEO-ECONOMICAL LOCATION
St.-PetersburgHelsinki
Riga
StockholmOslo
Warsaw
Copenhagen
Berlin
Prague
Amsterdam
London
Paris
380km
Saint-Petersburg agglomeration is the second largest consumer market in Russia, with 7 mln. inhabitants.
2005 2010 2011
5781.3
9638.9
14996
3183.94521.8
7494Exports
Импорт
13TRANSPORTATION INFRUSTRUCTURE
14OVER 50% OF EMPLOYED HAVE HIGHER
OR MIDDLE PROFESSIONAL EDUCATION
27%
27%
27%
16%
4%
Higher professional
Middle provessional
Basic professional
complete middle (general)
base general
Structure of labor resources per level of education
12%
20%
11%
16%
7%
34%
Agriculture, forestry, fish industry
Processing industry
Construction
Wholesale and retail, services
Transportation and commu-nications
Other
Structure of labor resources per type of business activity
Greater part of labor resources is employed in processing industries and services
15
Priozerskiy
Vyborgskiy
Vsevolozhskiy
Sosnovoborskiy
Lomonosovskiy
Kingiseppskiy
Slancevskiy
Volosovskiy
Luzhskiy
Gatchinskiy
Tosnenskiy
Kirovskiy
Kirishskiy
Volhovskiy
INDUSTRIAL PARKS OF LENIGRAD REGION
1. Industrial park «GREENSTATE» 112 hec.
2. Industrial park «Marienburg» 34 hec.
3. Industrial park «Doni-Verevo» 183 hec. 4. Industrial park «Prinevskiy» 12.7 hec.
5. Industrial park «KOLA» 123,7 hec.
6. Industrial park Morozova 26,5 hec.
7. Industrial park «Utkina Zavod» 140 hec.
8. Industrial zone «Kirpichniy zavod» 20 hec.
9. Industrial zone «Fornosovo» 256 hec.
10. Industrial zone in Tosno 100 hec. 11. Industrial zone «Ulianovka» 135 hec. 12. Industrial zone «Krasnoborkaya» 270 hec.
13. Industrial park «Fedorovskoe» 120 hec.
< 30 hec. 100 to 200 hec. over 200 hec.
16LENIGRAD REGION AND CITY OF ST.-PETERSBURG ACCOMODATE:
8,5% Russia’s construction companies
Russia’s hotel companies 3,7%
6,2% Russia’s financial companies
Russia’s real estate companies9,2%
Russia’s transportation and communication companies
9,6%
17
3. LARGEST INVESTMENT PROJECTS OF LENINGRAD REGION
18DEVELOPMENT OF UST-LUGA
SEA PORT AND ADJAСENT AREA
Recreational cluster Transportation and
logistics cluster
Residential cluster (city)
Agricultural cluster
Industrial cluster
2011 2015 2020 2025 2030
22.7
128.2
150.2160.2 165.2
Freight traffic forecast for Ust-Luga port
Five clusters of Ust-Luga Total area - 10 000 hectares, including 3000 hectares of Industrial cluster
Over 600 billion rubles to be invested
Over 50 companies
Over 17200 employees
Time line 2011-2030
UST-LUGA
19REGIONAL INDUSTRIAL PARK
Goals: Improving investment attractiveness and developing industrial potential
Tusks:
- Support of clusters already developing in the region,
- Modernize machinery and electronics sectors,
- Complete infrastructure for manufacturing facilities.
Location: Tosno District
Distance from: Saint-Petersburg (ring road) – 35 km Federal highway (St.-Petersburg-Moscow) – 0 km
Size: 100 hectares
Infrastructure : will be financed by regional budget
Time line: 2013-2014
Automobile parts (OEM)
Port equipment
Construct. equipment
Forestry equipment
Agricultural equipment
Electronics
20DEVELOPING THE NORTH-WESTERN
NANOTECHNOLOGICAL CENTER
Specializing in: neutron technologies, nano-materials and nano-electronics
Location: Gatchinskiy district of Leningrad Region
Timeline: 2013-2015
Project budget: 1,2 bln. rubles
Participating parties: Government of Leningrad Region, “Rosnano”
Partners: St.-Petersburg Institute of Nuclear Physics, Saint-Petersburg National Research University
Structure:
Two technology buildings (1000 sq. m each) and one business-incubator (1 000 sq. m)
Services: - Structuring and
“packaging” of innovation projects;
- Consulting services, including management consulting;
- Marketing services;- Technological
consulting;- Patent and legal
services;- Financing services;- Equipment rental;- Premises rental.
Contact information:
Committee for Economic Development and Investment Activity of Leningrad Region Phone: + 7 812 274 14 46Fax: +7 812 274 64 [email protected]
Agency for Economic Development of Leningrad Region
Phone: + 7 812 576 41 35 Fax: +7 812 576-66-54 [email protected]
Thank You for Your attention!