About Srbobran

ABOUT SRBOBRAN

Srbobran is located at the very center of Northern Province of Vojvodina. Municipality has approximately 16,000 inhabitants and area of 284 square kilometers.

The main economic activity in the Municipality is focused on agribusiness since the Municipality has more than 27.000ha of most fertile land that could be found in Europe.

Other economic activities are mostly focused on energy and petrochemical sector, manufacturing industry, construction industry, logistics and tourism.

No of Companies in Srbobran 130 128 128 126 126

124 123

122 120 120

118

116 2013 2014 2015 2016

No of Entrepreneurs in Srbobran 504 503 502 501 500 498 496 494 494 493 492 490 488 2013 2014 2015 2016

LABOR POOL

There are close to 2360 unemployed people registered in Srbobran. Actual number is much higher due to large number of inactive population so number of employed and unemployed people are almost the same. Formal unemployment rate is 22,03%, calculated as share of registered unemployed people in population 15-64 years of age.

Number of employed and unemployed people 6,000

5,000

4,000 3,148 2,440 2,362 2,606 3,000

2,000 2,898 2,446 2,817 1,000 2,298

0 2013 2014 2015 2016

No of employed people No of unemployed people

Unemployment rate (as % of 15-64 y/o population) 35.00%

30.00% 28.77% 23.98% 25.00% 22.61% 22.03%

20.00%

15.00%

10.00%

5.00%

0.00% 2013 2014 2015 2016

When it comes to potential of finding employees in surrounding area, potential is much higher. Within 15 km

2 from the City of Srbobran there are two other municipalities, Vrbas and Temerin with combined number of more than 10.000 (10162) registered unemployed people.

The standard commuting area of 30 minutes or 30 kilometers creates potential labor pool of more than 48.000 people, including City of Novi Sad as second largest university center in 50.000 Serbia with more than 50.000 students, one third of which enrolled at technical studies. Students in commuting area

Number of Unemployed people Srbobran 2362 Temerin 2140 Vrbas 5660 Kula 4831 Novi Sad 21502 Mali Idjos 2000 Becej 3711 Novi Becej 2532 Zabalj 3352 Backi Petrovac 689 Total 48779

3 INVESTMENT LOCATIONS

The main investment locations are located at the industrial zone with connection points to the local road, navigable river channel and all utilities necessary for performing industrial activities. There are two separate locations, one with area of 10,4 ha and one with 4 ha.

Dimensions of locations are

 160m (front) x 250m (side) for 4ha plot  250m (front) x 430m (side) for 10,4ha plot

Installed capacity of power, gas, water..

 Electricity – Up to 4MW  Gas – 1300 m3/h  Water – 70 m3/h  Water treatment facility under reconstruction

4 COST OF DOING BUSINESS

LABOR COST

The average cost of hiring employees is stable in Serbian dinars is stable, but due to depreciation of local currency salaries in EUR are actually declining. The average net salary in Srbobran was 283,43 EUR, while total cost for the employer, including salary taxes and social contributions was 464,82 EUR. 3,22 In line with that, the cost of net hour spent at work, when all Average cost of hiring per the day breaks, holidays, vacation days and weekends are hour deducted, stands at 3,22 €/hr.

Average net and gross salaries in Srbobran 600.00 € 513.63 € 495.12 € 484.57 € 500.00 € 464.82 €

400.00 € 313.19 € 301.90 € 295.47 € 283.43 € 300.00 €

200.00 €

100.00 €

- € 2013 2014 2015 2016

Average net salary Total cost for employer

5 LAND AND UTILITIES

Cost of the utilities at the site are as following:

Electricity for industrial usage 0,065-0,069€ per kWh

Natural Gas 0,4 € per m3

Water for industrial use and hygiene of employees 0,38€-0,95 € per 1000l

5,4€ per 1000l – Plan underway to Collection of wastewater significantly reduce the cost

Price for fully equipped industrial land is 3,3 €/m2

6 CONNECTIVITY

ROADS

Srbobran is perfectly connected with the network of European Corridors, being situated directly at main European road Corridor 10 connecting Central Europe and Southern Europe. By road, it takes less than one hour to reach Hungarian border, with 30 minutes more to reach Croatia or Romania. 60min

To EU border

INLAND WATERWAYS

Industrial zone is located right next to Veliki Backi Chanel, navigable inland waterway with possibilities to transport bulk shipments by barges.

RAILWAY

International railway line station (Belgrade to Budapest) is located app. 10km from Srbobran residential area.

7 AIR TRANSPORT

International Belgrade Airport with more than 5.000.000 passengers annually and connections to all major cities in Europe is located 120km or 1 hour by Highway.

INTERNET

High capacity fiber optics cable installed along Motorway E75, local distributors available for individual users and businesses.

CONSTRUCTION PROCEDURE

In order to commence with construction of industrial facility, there are 2 major steps to be taken.

1. To obtain the land for industrial use 2. To issue Construction Permit

Obtaining the land Registering the land Obtaining conditions ownership for construction Obtaining Construction •Declaring interest to Permit initiate open •Submitting request for •Prepare and submit Start of construction

procedure or registering in cadastre preliminary negotiate terms •Obtain proof of construction design Prepare full •Submitting bid at ownership of the land and infrastructure construction design Prepare detailed construction design open procedure requirements to the with statics Municipalitiy •Sign the land purchase Environmental Report start of

contract •Up to 3 days Assessment Study if construction to the •Up to 20 days needed Municipality •35 -45 days Fire protection project Up to 3days Up to 5 days

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