PRIORITY DEVELOPMENT AREA «YEFREMOV» («YEFREMOV» PDA) Priority Development Area «Yefremov» established in accordance with the Decree of the RF Goverment from 16.03.2018 №269 YEFREMOV CITY DISTRICT GENERAL INFORMATION MOSCOW MOSCOW ADMINISTRATIVE CENTER REGION YEFREMOV TOWN Zаoksky М6 М2 Aleksin М4 KALYGA Yasnogorsk REGION TRANSPORT INFRASTRUCTURE Leninsky Venyov RYAZAN REGION М4 «DON» - 7 KM FROM YEFREMOV Suvorov Dubna TULA Novomoskovsk Odoyev Shchyokino Uzlovaya Kimovsk Kireyevsk DISTANCE TO MAJOR CITIES Belyov Arsenyevo Bogoroditsk Plavsk TULA LIPETSK ORYOL KALUGA MOSCOW Tyoploye Volovo LIPETSK 150 KM 150 КМ 180 КМ 250 КМ 310 КМ REGION Куркино Chern RAILWAY MOTOR ROADS OF REGIONAL Arkhangelskoye YEFREMOV LINE IMPORTANCE «MOSCOW-DONBAS» «LAPOTKOVO- YEFREMOV », «ORYOL-YEFREMOV», ORYOL «RYAZAN-RYAZHSK- YEFREMOV », REGION «CHERN- MEDVEDKI» YEFREMOV CITY DISTRICT ECONOMY POPULATION FOOD 55 336 PEOPLE PRODUCTION 64% URBAN POPULATION - 34 734 PEOPLE RURAL POPULATION - 20 602 PEOPLE TRADE, SERVICES 17% CHEMICAL NUMBER OF WORKING AGE PRODUCTION 7% PERSONS 29 492 PEOPLE ENERGY INDUSTRY 5% PDA ECONOMY PDA AGRICULTURE 4% AVERAGE MONTHLY SALARY (2018) OTHER 3% SECTORAL STRUCTURETHE «YEFREMOV» OF 32 575 RUBLES Алексин Yasnogorsk YEFREMOV CITY DISTRICT Leninsky Venyov LARGEST COMPANIES Cargill is a leading foreign investor in Russia who has invested in the development of agricultureСуворов andfood industry of the countryДубна more than 1,100 million US dollars. The company successfully operates in the production and sale of grain, oil, sugar, cocoa products, beef, pork, turkey meat, chicken, etc. Novomoskovsk In Russia, the company has assets in the Volgograd, Voronezh, Leningrad, Moscow, Rostov regions, in the Krasnodar Territory. The production of vegetable oils, starch products, premixes, premixes and forage for livestock as well as poultry semi-finished products is located in the Tula region. Одоев Shchyokino Kimovsk Kubanmaslo-EMZ is the largest producer of corn oil in Russia today. Kubanmaslo-EMZ LLC is a universal enterprise that is capable to process almost all types Uzlovaya Kireyevsk of oilseeds (rapeseed, corn germ, sunflower, flax, etc.) and has substantial experience.Белев Lactalis the world leader in the field of production of cheese and dairy products. The company has the status of a leading expert in cheese making. The history of Lactalis dates back over 80 years. In the Tula region, the company owns an asset of JSC "Yefremov butter and cheeseАрсеньево factory." Today, the plant is equipped with Bogoroditsk modern laboratories and high-tech equipment, the production process is maximally automated. Mozzarella Galbani is not the onlyПлавск example of a successful launch of the production of foreign cheeses at JSC "Yefremov butter and cheese factory". Specialists from Yefremov are proud of both tender Burrata cheese, which is made by hand, and feta pickled cheese, recently launched under the President brand. Tyoploye Yefremov Synthetic Rubber Plant is one of the first synthetic rubber plants in Russia. On May 27, 1933, the Yefremov citizens shipped the first wagon of Volovo synthetic sodium butadiene rubber SKB, obtained by the method of academician SV. Lebedev. The Yefremov plant is still the only manufacturer of high molecular polyisobutylene (from the P-85 to P-200 brand) in Russia, which is widely used in the rubber industry, electrical engineering, and medicine. Unique equipment has been created and production of low molecular polyisobutylene grades from P-10 to P-50 has been launched. Also, the company produces Kurkino low molecular polybutadiene grades SKDN-N, SKDSN. Чернь Yefremov bakery since 1965 has been successfully developing in the Russian market and has established itself as a manufacturer of first-class bakery,Arkhangelskoye confectionery and cake products. More than 260 employees work for the benefit of production. Products manufactured by our company are daily delivered to every corner of Russia. Today, approximately 300 counterparties are cooperating with us, including such sales giants as Auchan; Magnet; Pyaterochka; Lenta; Dixie etc. YEFREMOV Such large enterprises as JSC “VOZROZHDENIE”, JSC “SP RASSVET”, JSC “RODINA”, JSC “YEFREMOVSKY ELEVATOR No.2”, JSC “ SP Vyazovo”, JSC “MEZHDURECHYE AGRO” and JSC “COLCHOZ IM. SUVOROVA” operate in the field of agriculture as well. YEFREMOV PDA TAX BENEFITS CORPORATE INCOME TAX (IN ACCORDANCE WITH ARTICLE 284 OF THE TAX CODE OF THE RUSSIAN FEDERATION AND IN ACCORDANCE 0% 12% Р WITH THE LAW OF THE TULA REGION OF 18.12.2017 NO. 103-LRA "ON PREFERENTIAL TAXATION OF TAXPAYERS-RESIDENTS OF THE TERRITORY OF ADVANCED SOCIAL AND ECONOMIC DEVELOPMENT, CEDAW FIRST 5 YEARS, 6-10 YEARS FROM THE MOMENT OF ON THE TERRITORY OF THE TULA REGION») RECEIPT OF THE FIRST PROFITS COMPANY PROPERTY TAX (IN ACCORDANCE WITH THE LAW OF TULA’S REGION OF 18.12.2017 №103-LRA "ON THE PREFERENTIAL 0% 1,1% 1,5% TAXATION OF RESIDENT TAXPAYERS OF THE TERRITORY OF ADVANCED SOCIAL AND ECONOMIC 1-5 YEAR, 6-7 YEARS 8-10 YEARS DEVELOPMENT ESTABLISHED ON THE TERRITORY OF THE TULA REGION») FROM THE MOMENT OF OBTAINING OF THE STATUS OF THE PDA RESIDENT % LAND TAX 0% FOR 10 YEARS INSURANCE CONTRIBUTIONS TO NON-BUDGET FUNDS OF THE RF (IN ACCORDANCE WITH SUBPARAGRAPH 12 OF PARAGRAPH 1 AND SUBPARAGRAPH 5 OF PARAGRAPH 2 OF ARTICLE 427 % % OF THE TAX CODE OF THE RUSSIAN FEDERATION) 7,6 UP TO 10 YEARS (INCLUDING 6%- PENSION RF, 1,5%- CSI RF, 0,1% - CHI RF) YEFREMOV PDA REQUIREMENTS FOR PDA RESIDENTS INVESTMENT PROJECTS REQUIREMENTS FOR OBTAINING THE STATUS OF A PDA RESIDENT (IN ACCORDANCE WITH GD OF RF NO. 614) REGISTRATION OF A LEGAL ENTITY ON THE TERRITORY OF A MONOTOWN BUSINESS ACTIVITY IS CARRIED OUT EXCLUSIVELY ON THE TERRITORY OF A MONOTOWN THE NUMBER OF WORK PLACES CREATED - AT LEAST 10 PLACES DURING THE FIRST YEAR, AT LEAST 30 DURING THE PROJECT IMPLEMENTATION PERIOD A PDA RESIDENT CANNOT BE A CORE ENTERPRISE OF A MONOTOWN OR ITS SUBSIDIARY COMPANY THE VOLUME OF FOREIGN EMPLOYEES DOES NOT EXCEED 25 PERCENT OF THE TOTAL NUMBER OF EMPLOYEES THE AMOUNT OF CAPITAL INVESTMENT IS AT LEAST 2.5 MILLION RUBLES DURING THE FIRST YEAR THE AMOUNT OF EARNINGS GAINED FROM COOPERATION ACTIVITIES WITH A CORE ENTERPRISE OF THE CITY DOES NOT EXCEED 50 PERCENT OF ALL INCOME THE PRODUCTION OF EXCISABLE GOODS (WITH THE EXCEPTION OF CARS AND MOTORCYCLES) IS NOT INCLUDED THE EXTRACTION OF CRUDE OIL AND NATURAL GAS; THE PROVISION OF SERVICES IN THE FIELD OF OIL AND NATURAL GAS EXTRACTION; PIPELINE TRANSPORT FIELD; PRODUCTION OF PETROLEUM PRODUCTS; WHOLESALE AND RETAIL TRADE; LOGGING; REAL ESTATE TRANSACTIONS – ARE NOT INCLUDED YEFREMOV PDA REQUIREMENTS FOR INVESTMENT PROJECTS ALLOWED TYPES OF ECONOMIC ACTIVITY WITH AN INDICATION OF MINIMUM INVESTMENT VOLUMES FOR RESIDENTS OF YEFREMOV «PDA» (IN ACCORDANCE WITH THE DECREE OF THE GOVERNMENT OF THE RUSSIAN FEDERATION OF 16.03.2018Г. №269) Crop and animal production, hunting and provision Fisheries and fish farming of related services in these areas 25 mln rubles 25 mln rubles The production of non-alcoholic drinks; mineral water and Manufacture of food products 25 mln rubles other bottled drinking water production 25 mln rubles Textile production 25 mln rubles Garment production 25 mln rubles Production of leather and leather products 25 mln rubles Production of paper and paper products 25 mln rubles Manufacturing of fabricated metal products, Metal manufacture 25 mln rubles except machinery and equipment 25 mln rubles Wood processing and the manufacturing of wood and cork Production of medicaments, and components used products except production of straw-work goods and goods 25 mln rubles for medical purposes 25 mln rubles made of plaiting materials Production of chemicals and chemical products Manufacture of rubber and plastic products 25 mln rubles (except for OKVED 20.17, 20.16) 25 mln rubles Production of vehicles, trailers and semitrailers 25 mln rubles Manufacturing of other vehicles and equipment 25 mln rubles Sports, recreation and entertainment fields of business 5 mln rubles Furniture manufacture 20 mln rubles Education 5 mln rubles Healthcare activities 5 mln rubles YEFREMOV PDA STEPS IN GETTING RESIDENT STATUS FOR LEGAL ENTITIES HAVING EXISTING FOR NEW LEGAL ENTITIES PRODUCTION CAPACITY 1. Registration of a legal entity on the territory of Yefremov municipality 1. Submission of an application for a conclusion of the agreement to the administration of the municipal district 2. Providing municipal administrations with an application for a conclusion of the agreement 1.1 Passport of the investment project (in due form) 1.2 Key indicators of the investment project (in due form) 2.1 Passport of the investment project (in due form) 1.3 Business plan of the investment project (in form) 2.2 Key indicators of the investment project (in due form) 1.4 Copies of constityent documents 2.3 Business plan of the investment project (in due form) 1.5 Document, which approves that the implementation of the investment project does not imply the performance of 2.4 Copies of constityent documents contracts concluded with core enterprise of Yefremov single-industry town or its subsidiaries and (or) receiving revenues from selling of products to, the provision of services to the core enterprise of Yefremov single-industry town or its 2.5 Document, which approves that the implementation of the investment project does not imply the subsidiaries in amount exceeding 50 percent of all income received from the sale of goods (services) produced performance of contracts concluded with core enterprise of Yefremov single-industry town or its (provided) as a result of the implementation of the Applicant's investment project subsidiaries and (or) receiving revenues from selling of products to, the provision of services to the core 1.6 Document, which approves that the implementation of the Applicant's investment project, does not require the enterprise of Yefremov single-industry town or its subsidiaries in amount exceeding 50 percent of all engagement of foreign labor force in an amount exceeding 25 percent of the total number of employees 2.