INVESTMENT PASSPORT OF THE REGION INVESTMENT PASSPORT OF THE SARATOV REGION DEAR LADIES AND GENTLEMEN! For the Saratov region, the main priorities are stable economy, investment attraction, creation of an extensive infrastructure and citizens’ commonwealth. Today we build up new roads, industrial enterprises, schools and medical centers. We set records in agriculture and enter foreign markets via import substitution. We possess breakthrough ideas, innovations, extensive manufacturing and human resources. The region conduct consistent investment policy. The JSC «Saratov Region Development Corporation» and the Saratov Interregional Economic Forum annually contribute to the improvement of the business 2 CREATE WITH SARATOV climate. We associate the discovery of the huge investment potential of the region with the implemetation of the largest infrastructure projects. In 2019 there will be a solemn opening ceremony of the new «Gagarin» airport. Saratov region is already operating PSEDA in the Petrovsk mono-city, the Saratov agglomeration. All abovementioned projects, as well many others, set the modern dimensional and economic development of municipal territories using its’ advantages, providing employment and increasing people’s prosperity. These major efforts lead to significant results: the region becomes comfortable to live in, interesting for business activities and attractive for investments. The Saratov region establish ambitious goals and steadily looks to the future.

V. V. Radaev Governor of the Saratov region 3 INVESTMENT PASSPORT OF THE SARATOV REGION

COMPETITIVE ADVANTAGES • High level of human • Industrial parks and scientific resources including agro-industrial • Vantage location complex and logistic and developed logistics • Operational solution of infrastructure issues • More than 600 investment sites of various applications available • Energy surplus

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• Differentiated resource and raw materials base • Fertile soil and climate conditions • Most-favoured-nation treatment for investors • Low prime cost for housing, industrial and commercial premises construction • Inherent regional gas production, implicit gas distribution to populated areas and factories 5 INVESTMENT PASSPORT OF THE SARATOV REGION

SCIENTIFIC RESOURCES: • 18 higher education establishments • 49 innovative enterprises • 53 educational facilities of intermediate vocational education • 7 institutions and branches of Russian Academy of Science • 27 specified research and development establishments

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HUMAN RESOURCES: • Population – 2 463,0 thousand people • Labour force – 1 199,8 thousand people • Commercial activity – 1 142,3 thousand people • Labour force with higher professional educations – 34,5%

7 INVESTMENT PASSPORT OF THE SARATOV REGION ULYANOVSK TRANSPORT PENZA Р228 INFROSTUCTURE Р158 Р226 Р208 • The river – water Е38 ORENBURG network with passages to Mediterranean, HAMBURG Baltic and Barents seas () • River harbor SARATOV VORONEZH Р298 • 9 federal highways Е38 • Airport Р226 The Saratov region – Р228 Р236 SHANGHAI • South-Eastern Russian gates (P.R. CHINA) and Volga railways gates to • Developed municipal and Central Asia. Kazakhstan KAZAKHSTAN transport network State border length 550 km 8 CREATE WITH SARATOV

The new airport provides possibilities for reception of all-type of modern long-distance vessels, increasing volumes of passenger and cargo traffic. The flight strip size – 3000х45 m, acceptance rate – up to 1 mln passengers per year. Construction of international Commissioning date – airport «Gagarin» 2019 9 INVESTMENT PASSPORT OF THE SARATOV REGION

Construction of Western bypass of the Saratov transport hub of Volgian railway Tatishchevo olga river • Possibility for increasing V Kurdyum the of suburban rail within the Saratov city Saratov I

• Development of extra volume Saratov- of cargo traffic via Saratov hub – Port 46,0 mln tons, including: 30 mln tons towards Azov-Blacksea harbors Burkin • Relocation of hazardous cargo traffic

10 CREATE WITH SARATOV Energy hub comprising of Saratov HPS, NPP and CHP-4 is the largest hub in Russian Federatioт.

Balakovo NPP – provide a fifth part of electrical power generation in and a sixth part of Russian NPPs’ capacity

Saratov HPP is a huge regional Total PGP capacity – 6702 MW, power asset with annual output total regional consumption – 30% of 5,4 bln kW-h

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Total power of solar power plants – 100 MW, (Ershovsky, Novouzensky, Pugachevsky and Dergachevsky municipal districts)

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NON-DEMANDED FIRST MINERAL RESOURCES: GAS PIPELINE • Chalk- and lime-stone “SARATOV-” IN • Argillaceous gangue for brick, bloating clay and concrete manufacturing POTENTIAL RESOURCES • Grit and sandstone GAS – 1 trn сubic meters • Balneological, medicinal OIL – 700 mln tons and table mineral water of high quality • Potassium and magnesium salts • Sulfurs • Phosphorites • Siliceous rocks

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STRATEGIC PRIORITIES: • Innovations and science • Fuel-power complex • Petrochemical complex • Mechanical engineering • Construction industry • Agricultural product processing • Tourism • Information technology • Natural resources efficiency 14 CREATE WITH SARATOV

600 INVESTMENT SITES AVAILABLE

TOTAL AREA OF THE SARATOV REGION – 101,2 THOUSAND SQ. KM. 15 INVESTMENT PASSPORT OF THE SARATOV REGION

ACCOUNTS FOR THE SARATOV REGION: • 100% of Russia trolley manufacturing • 27,4% of couch manufacturing • 18% of sulfuric acid manufacturing • 13,3% of ball-bearing manufacturing • 5,3% manufacture of synthetic detergents • 11,1% production oа mineral festillzers on terms of 100% nutrients • 3,9% power generation

16 CREATE WITH SARATOV INDUSTRIAL STRUCTURE:

WATER SUPPLY, WATER DISPOSAL, 2% WASTE COLLECTION AND PROCESSING DISPOSAL, POLLUTION CONTROL ENTERPRISES ACTIVITIES ELECTRICITY, GAS, 19% 72,7% WATER GENERATION, AIR CONDITIONING ELECTRICITY, GAS, 7% WATER GENERATION, MINERAL EXTRACTION AIR CONDITIONING

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PETROCHEMICAL CLUSTER The Saratov region is one of the longest-standing oil and gas producing regions in Russian Federation. Inherent oil production followed by complete oil processing provides unconditional stability and independence of regional fuel market

18 CREATE WITH SARATOV METALLURGICAL CLUSTER: PJSC “SEVERSTAL” JSC “BALAKOVO-CENTROLIT” LLC “ER LIQID BALAKOVO” A new field of metallurgical engineering is completely functional

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TRANSPORT ENGINEERING • OJSC “Steelworks Plant” Manufacture of cargo rolling stock – 4500 units per year • OJSC “Transmash” Manufacture of carriage, maintenance and snow-clearing equipment – 2000 cargo carriages per year • JSC “Carriage-building plant” Manufacture of carriage-building equipment for the value of 50 mln rubles per month

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LLC “First Locomotive Company” Design and manufacture of double-system cargo locomotive of the project F120MS for the Russian and CIS countries markets 21 INVESTMENT PASSPORT OF THE SARATOV REGION

INDUSTRIAL READY-MADE INDUSTRIAL LOGISTIC AREA FOR MODERN COMPLEX MANUFACTURING “LEADER” PREMISES

TOTAL TOTAL BUILDING AREA LAND AREA 70 THOUSAND SQ.M. 25 ha

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INDUSTRIAL PARK “REFLECTOR” Total area – 2,2 ha The territory equipped with a complex of manufacturing, office and utility premises with all necessary communications. Optoelectronics, lighting, video- and electric technology manufacturing management.

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MANUFACTURING COMPLEX JSC “HIMPROM” • Complex area – 5 ha • The territory equipped with a complex of manufacturing, office and utility premises with all necessary communications • Household cleaning products manufacturing management • More than 12 ha of “Greenfield” areas available

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WE ARE TRUSTED BY FOREIGN INVESTORS

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AGRICULTURE IN 2018: • 1st place for gross sunflower seeds harvesting in Volga Federal District (1573,5 thousand tons), 1st place in Russian Federation • 1st place for gross vegetables harvesting in Volga Federal District (371,2 thousand tons), 9th place in Russian Federation • 2nd place for gross post-treatment grain harvesting in Volga Federal District (3313,78 thousand tons), 11th place in Russian Federation

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GROUND-PROTECTED VEGETABLES • 4th place in Volga Federal District and Russian Federation for ground-protected vegetables • 6 hothouse facilities • Total hothouse area 110,0 ha

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FOCUS AREAS FOR INVESTMENTS: • Dairy cattle breeding • Beef cattle breeding • Poultry breeding • Technical crops manufacture • Pulse crop manufacture • Hothouse facilities • Construction of logistics center for vegetables processing and storage • Processing of products for agriculture

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AGRICULTURAL SOIL STRUCTURE OF THE SARATOV REGION, % INVESTMENT 30% ADVANTAGES: Chestnut soil 11,5% • Availability of lands Solonetzic complex of agricultural designation and its’ low cost Alluvial soil 6,3% Chernozem soil 1,8% • High scientific potential in Misc. agricultural field 50,4% • Market familiarity

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FOOD AND PROCESSING INDUSTRY

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MANUFACTURING COMPLEX LLC “VOLJSKY TERMINAL” • Total complex area – 35 ha • The territory equipped with a complex of manufacturing, office and utility premises with all necessary communications • Agricultural materials processing, storage and distribution of cereal, oilseeds and bean crops • More than 12 ha of “Greenfield” areas available

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PUBLIC AND PRIVATE PARTNERSHIP: • LLC “ Fresenius Medical Care Holding” Establishing of medical dispensary dialisys Center – Balakovo municipal district – Saratov

• JSC “Airport Region” Construction of International airport “Centralny”

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• Managing Company “Lider” – CJSC “Wastes management” Establishing of a system for processing and utilization of solid domestic wastes. The project joints the rank of the best regional practices in Housing and Utility Infrastructure in Russian Federation • LLC “Concession of water supply - Saratov” Modernization of public infrastructure the city of Saratov, improving the quality and reliability water supply and sewerage

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PRIORITY SOCIAL AND ECONOMIC DEVELOPMENT AREA «PETROVSK» • The city plays the role of a crossroad for interregional and interdistrict routes • 20 Brownfields available • 10 Greenfields with a total area of 406 ha available • More than 60% of employable population from total population of the municipal district

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PREFERENCES FOR RESIDENTS OF PSEDA «PETROVSK» NORMAL TAXIFICATION PRIORITY SOCIAL AND ECONOMIC DEVELOPMENT AREA FEDERAL PROFITE 3% 0% – first five years upon receiving of profit in terms TAX RATE (в 2017-2019) of PSEDA activity 5% – first five years upon receiving of profit in terms REGIONAL PROFITE 17% of PSEDA activity TAX RATE (в 2017-2019) 10% – starting from the sixth year upon receiving of profit in terms of PSEDA activity 0% – within the first five years starting PROPERTY TAX RATE 2,2% from the first date of tax period in which there was a registration of property 0% – first five years upon commencement of land LAND TAX RATE 1,5% property ownership CONTRIBUTION IN PENSION FUND, 7,6% within ten years from the moment of gaining SOCIAL INSURANCE FUND AND FEDERAL 30% COMPULSORY MEDICAL INSURANCE FUND the resident status 35 INVESTMENT PASSPORT OF THE SARATOV REGION

TAX ADVANTAGES FOR INVESTORS REMISSION PROFIT TAX DEDUCTION ESTATE TAX DEDUCTION OF TRANSPORT TAX IN REGIONAL BUDGET REVENUE from 2,2% to 0,1% for 5 years from 17% to 13,5% for 5 years for 5 years

0% 17% 2,2% 13,5% 0,1%

BENEFITS ARE ALSO PROVIDED TO INVESTORS WITH A SPECIAL INVESTMENT CONTRACT AND PPP AGREEMENT 36 CREATE WITH SARATOV

FIRST FIRST RUSSIAN CIRCUS PROVINCIAL CONSERVATORY

FIRST MUSEUM OF ARTS 37 INVESTMENT PASSPORT OF THE SARATOV REGION

WITHIN THE REGION • over 3000 archeology monuments • 124 natural monuments • 18 remained antique manors • more than 300 architectural monuments • 26 state museums

38 CREATE WITH SARATOV CONTACTS: First deputy MINISTRY prime-minister of Economic Development of the Saratov region of the Saratov Region OYKIN SHVAKOVA Vadim G. Yulia A. Phone: +7 (8452) 210-212 Phone: +7 (8452) 210-210

Saratov Region Development Corporation Director: MARCHENKO Alexandr O. 6A - 2, Academic Navashin street, Saratov, Russia, 410042 Phone: +7 (8452) 796-996 [email protected] 39 WE ARE LOOKING FOR COOPERATION investinsaratov.ru

+7 (965) 888-64-45