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ALYTUS REGION Lithuania ALYTUS REGION Lithuania GDP growth – 3.2% [1] Inflation – 2.7% [1] Corporate tax – 15% [2] Source 1: Ministry of Finance, 2018 Source 2: Statistics Lithuania, 2018 Alytus region Alytus Municipality is situated in the Southern part of Lithuania, and is the country’s sixth largest city. Population – 51 561 Labour pool – 27 444 Source: Statistics Lithuania, 2018 Effective system of transport chain Maximizing rail, sea, land and air links Rail Seaports Roads International Airports Rail Rail infrastructure connects Alytus with Kaunas, one of the key rail distribution hubs in the Baltic States. Cargo freights: Saulė Runs from China to Belgium. Delivery time from Almaty (KZ) to Kaunas is 8 days. Vikingas Connects the Baltic and Black seas, offering up to 30% reduction on logistics costs compared to road transport. More at www.intermodal.lt Source: Lithuanian Railways, 2018 Seaports Alytus is less than three hours drive from Klaipėda Seaport, which is the most northern ice free port in Europe. Cargo handled in 2017: Klaipėda – 43.17 million tons Source: Port of Klaipėda, 2018 Roads Alytus is less than an hour reach from the Via Baltica highway, which connects Lithuania with Western Europe and Scandinavia. Alytus is situated in a strategically convenient location - three large markets - Poland 55 km, Belarus 65 km and Russia 100 km - intersection. Convienient transportation system with major Polish cities – Warsaw to Alytus is only 347 km. International Airports Passengers carried in 2017: Vilnius International Airport – 3,761,837[1] Kaunas International Airport – 1,186,074[1] Source 1: Lithuanian Airports, 2018 Sectors with the highest turnover Wood Food and Rubber and Electrical processing and beverage Plastics equipment furniture Companies in Alytus have a proven track record in: Machinery and electrical Wood processing and Textiles equipment furniture With its long history in top quality The region is home to the only Alytus has a long standing textile production, the region has refrigerator producer in the Baltic tradition in furniture successfully adapted to the modern Sea Region, and has a well manufacturing. Currently, market, producing high end textiles, established record in manufacturing 37% of employees of 8 largest upholstery and soft furnishing. electrical appliances. manufacturers are employed in this sector. Largest manufacturers The 10 biggest companies Snaigė Sofa brands S-Form Jakobsen Home Alkesta Manufacture Manufacture of Manufacture of Manufacture of Road construction, of refrigirators and uphostered furniture uphostered furniture furniture bridges, building freezers construction and EMP: 365 EMP: 321 EMP: 279 maintenance. EMP: 614 EMP: 567 Haltex Astra Theca Stora Enso Stronglasas Glass Manufacture of Manufacture of Manufacture of Manufacture of processing sportswear industrial metal furniture wood products EMP: 215 EMP: 343 equipment EMP: 230+ EMP: 269 EMP: 241 Source: Rekvizitai.lt, 2018 Largest manufacturers Alytus City Municipality has a specialized timber industry, which generates 6% of the all of Lithuania's added value in this sector. The forestry and furniture sectors together form an integrated value chain. Foreign Direct Investment (FDI) 75 m EUR of FDI FDI in Alytus city 77,5 (mln EUR) 74,9 FDI per capita – 1376 EUR (2017) 66,22 62,89 63,01 59,17 58,84 2010 2011 2012 2013 2014 2015 2016 Source: Statistics Lithuania, 2018 Top investors Russia Estonia United Kingdom Denmark Finland Germany Source: Statistics Lithuania, 2018 Skilled workforce and attractive labour cost 88 776 Alytus region 25 097 Alytus municipality speak at least one Working-age people 81% foreign language 9,9% Alytus region 68% speak Russian 8,6% Alytus municipality Seeking employment 32% speak English 9% speak Polish Source 1: Statistics Lithuania, 2018 Source 2: Lithuanian Labour Exchange, 2018 Attractive labour cost Alytus boasts a pool of highly skilled Monthly average gross salary (EUR) and competetive professionals, making it a sustainable location for 1000 business growth 876 897 791 Lithuania Vilnius Kaunas Alytus Source: Statistics Lithuania, 2017 Qualification and competences. Vocational schools 7 vocational schools in the Alytus region Over 4280 students 20% studying manufacturing and engineering Gives both young people and adults the opportunity to gain new skills and knowledge Develops motivation and self-confidence Source: Statistics Lithuania, 2017 Qualification and competences. Higher education ALYTAUS KOLEGIJA University of Applied Sciences 2 faculties, 725 students, of which 80 foreign: Management and Technologies ITC Source: Statistics Lithuania, 2017, Alytaus kolegija, 2017 Qualification and competences. ALYTAUS VOCATIONAL TRAINING CENTER 14 Modular VET programs are being implemented. 2017-01-01 studied 1564 pupils. ❑ ACTUAL PROFESSIONS FOR PRODUCTION: • Computer Network Adjuster • Welder • Car electrical equipment repairer • Car mechanic • Logistic forwarder • Decorator (builder) Source: Statistics Lithuania, 2017, APRC, 2017 Industrial Park Area: 63,4 ha Access: paved road Recommended purpose: storage/industry Utilities available: electricity, water-supply networks, gas pipelines. By necessity: telecommunications More at – www.alytus-industrial-park.eu Property tax Land lease tax 0% 0% (first 5 years) (first 5 years) State land 50% discount 50% discount Private land (subsequently 5 years) (subsequently 5 years) Other Source: Alytus Region Municipality, 2018 Industrial Park Benefits Land plot is signed in a month. Urgent building permits are issued. The nature of the production activity is not defined. The use of energy resources is unlimited. Big choice of employees. Tax relief The companies that leased new land plots and invested in the construction and installation of a new building of at least 724 thousand. EUR / ha for 5 years is exempt from land lease and real estate tax (this amounts to 1.6% of the value of real estate in Alytus municipality), and in the next 5 years the latter fees are reduced by 50 per cent. Source: Alytus Region Municipality, 2018 Support from local authorities Alytus City Municipality offer a range of guidance and services: The Alytus Industrial Park is managed by the local municipality and can guarantee a fast commencement for all manufacturing facility construction projects Construction permit in up to 20 working days Tailor made construction projects of up to 1000 sq.m. manufacturing space Build-to-lease options in our industrial zone Source: Alytus Region Municipality, 2018 Support from local authorities Alytus City Municipality provides financial support for the construction or rehabilitation of industrial premises. Requirements for premises: not less than 1500 m², premises for production or storage. Administrative premises must be provided. The energy efficiency class is not less than B. There must be a parking lot. A passageway for freight transport is provided. The municipality covers up to 60% of the rental price of the premises, but not more than 2 eur / m². Financing time up to 12 months. Source: Alytus Region Municipality, 2018 Business friendly environment Ease of starting Business / World ranking – 27th [1] Ease of doing business / World ranking – 16th [1] Time for establishing a business – 3 days [2] VAT – 21% [2] Personal income tax – 15% [2] Social security tax paid by employer – 30.98% [3] 15% corporate tax rate – 4th lowest corporate tax in EU [2,4] Real Estate tax – 0-1% [5] Land lease tax for industrial and storage areas – 1.6% [5] Source 1: The World Bank Group, 2017 Source 2: State Tax Inspectorate Under the Ministry of Finance of the Republic of Lithuania, 2018 Source 3: State Social Insurance Fund Board of the Republic of Lithuania under the Ministry of Social Security and Labour 2018 Source 4: KPMG, 2017 Source 5: Alytus Region Municipality, 2018 A place to visit, enjoy, discover and invest in With its beautiful parks For those wishing to pursue Alytus offers a perfect As ethnographical capital and green surroundings more active lifestyle Alytus opportunity for those who of the Dzūkija region Alytus offers a vibrant has much to offer. The like to explore off the Alytus can lay claim to a and relaxing location region has country’s best beaten track. With its long standing for those looking to live swimming pool, as well as, infrastructure of 20 km tradition of hospitality. the good life. tennis courts, a sports arena of bicycles tracks you can Here you can discover and football stadium and a discover the regions natural the true character of golf course. beauty for yourself. Lithuania. Waiting for investors! They already trust us.
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