THE GOVERNMENT OF THE RUSSIAN FEDERATION RESOLUTION № 782 dated December 21, 2005 MOSCOW On Setting up of a Special Economic Zone of the Industrial Type at the territory of the Gryazy District of the Lipetsk Region
In conformity with the Federal Law “On Special Economic Zones in the Russian Federation”, the Government of the Russian Federation resolves:
1) To agree with the proposal of the Ministry of Economic Development and Trade to create a special economic zone of the industrial type at the territory of the Gryazy District of the Lipetsk Region located on the area specified in the Agreement on the creation of a special economic zone of the industrial type.
2) To set out that any kind of activities can be carried out at the territory of the special economic zone as specified in point 1, excluding the activities prohibited by the Federal Law “On Special Economic Zones in the Russian Federation”.
3) To assign that the highest rent rate for the land plots provided to the residents of the special economic zone on the ground of the Agreement on industrial activities shouldn’t exceed 2 % of the land’s cadastral cost per year.
4) To empower the Ministry of Economic Development and Trade of the Russian Federation, on behalf of the Government of the Russian Federation, to enter into the agreement on creation of a special economic zone of the industrial type with the Administrations of the Lipetsk Region and the Gryazy District of the Lipetsk Region.
Chairman of the Government of the Russian Federation M. Fradkov Signing of the Agreement on Setting up of the “Lipetsk” Special Economic Zone of the Industrial Type at the territory of the Gryazy District of the Lipetsk Region (18.01.06)
Minister of Economic Development: G.O. Gref, Governor of the Lipetsk Region: O.P. Korolev, Head of the Gryazy District Administration: V.T. Roschupkin
STATE SUPPORT TO THE RESIDENTS OF THE SEZ
The territory of the SEZ is subject to the Franco customs zone regime. Clause 37 of the Federal Law No. 117, dated 22.07.2005 Foreign goods are brought into the country without payment of customs duties and VAT.
Clause 1 Par.1-7, Clause 2 of Federal Law No. 117, dated 22.07.2005
Property tax exemption is granted to the residents of the SEZ with respect to property registered at the balance of the resident organization, for the period of five years starting from the date of the property registration. Clause 1 of the Law of the Lipetsk Region dated 14.02.2006, №264-ОЗ
SEZ residents are subject to transportation tax exemption with respect to vehicles registered at the balance of the resident organization, for the period of five calendar years starting from the date of the company’s registration as a SEZ resident. Clause 2 of the Law of the Lipetsk Region dated 14.02.2006, №264-ОЗ
The profit tax rate on the profit tax subject to payment to the regional budget is decreased by 4 per cent points with respect to profit gained by the SEZ resident as a result of the project implementation at the territory of the SEZ. Clause 3 of the Law of the Lipetsk Region dated 14.02.2006, №264-ОЗ
STATE SUPPORT TO THE RESIDENTS OF THE SEZ
Land tax exemption is granted to the SEZ resident organizations for the period of five years starting from the date of the land property right accruing. Clause 395 Par.9 of the Tax Code of the Russian Federation
The residents of the SEZ have got the right to use accelerated depreciation towards their own fixed assets, making use of a rising coefficient (not to exceed 2). Clause 1 Par.8 of Federal Law No. 117, dated 22.07.2005
Acts of Legislation of the Russian Federation on taxes and dues, laws of the entities of the Russian Federation on taxes and dues, standard legal acts of local authorities on taxes and dues (apart from excise goods taxation) which aggravate the status of tax payers - the SEZ residents – are not applied to the SEZ residents within the validity period of the Agreement on implementation of industrial activities signed by the residents. Clause 38 of the Federal Law No. 117, dated 22.07.2005
Start-up of the ‘Single Window’ concept
Lipetsk Division of the Federal Agency on the Control of the SEZ
Agreements on Mutual Co- Agreements on Mutual Co-operation operation signed: signed: Territorial Division of the Federal Agency on the Cadastre of the Lipetsk Customs of the Federal Immovable property in the Lipetsk Custom Service; Region; Department of the Federal Tax Federal State Organisation ‘Land Service of the Lipetsk Region; Cadastre Chamber of the Lipetsk Department of the Federal Region’; Migration Service of the Lipetsk Territorial division of the Federal Region. Registration Service in the Lipetsk Region. Department of the State Examination of the Lipetsk Region Additional Preferences Optimum logistics – investors build their plants in immediate proximity to the raw materials markets and sales markets
Raw Materials SEZ resident Sales Markets Markets company
The radius of this logistics scheme is around 500-700 km SEZ ‘Lipetsk’ Lay Out Map with Infrastructure Units
Special Economic Zone of the Industrial Type ‘Lipetsk’ Automobile Roads Directly adjacent to the SEZ there is a Lipetsk-Gryazy Regional road; Federal Highway ‘Orel-Tambov’ – 16 km Federal Highway ‘M-4 Don’ – 70 km Density of the automobile network is 217.6 km per 1000 sq. km Railways - Directly adjacent to the SEZ there is Kazinka railway station, capacity – 2000 railway cars; - Gryazy-Voronejskye Station – 12 km; - Lipetsk railway station – 18 km; - There are 4 railways in the region; - Railways tracks come along the boundary of the SEZ Civil Airport Lipetsk Airport is 21 km from the SEZ; It is Class 4 Airport with Class B field; Runway is made of concrete, 26 cm thick, width 48 m, length 2300 m Lay-out of the SEZ “Lipetsk”: Stages of Development
1. Utilities Units Резиденты: 2. Customs terminal - 3,5 thousand м² А . «SEST-LUVE» Ltd. - 3 hectares
3. Fire-Fighting Depot – 2476 м² B. «Bioethanol» Ltd. - 20 hectares
4. Railway Depot C . «CHSZ-Lipetsk» Ltd. - 12,5 hectares
5. Administrative and Business Centre – 14 thousand2 м² D. «BELON-METACON» Ltd. - 6 hectares
5 E. «LPTIM» - 10 hectares
E A B D 3 4 1 C
1 1 Utilities available in the SEZ «Lipetsk»
Utilities description Unit of Quantity measurement Power MWt 40 natural gas mln.м³/year 105 heat supply Giga 155 calories/Hr water supply м³ / day 6000 sewage м³ / day 6000
Special Economic Zone “Lipetsk”
August, 2006 A Substation 35/10 кW4 МW
It was commissioned on 14th March, 2007
Installment of Equipment at the Substation 110/10/10 кW 40 МW
Commissioned - December, 2007
Cable Trestle
Construction completed - December, 2007
Total extension - 3130 м
Substation 110/10/10 KV 40 MWt
Commissioned – 14th of December, 2007
Gas Distribution Substation
It was commissioned on 20th April, 2007
Supply of the First Gas to the SEZ
20th April, 2007
A Check-Point of the “SEST-LUVE” Ltd.
Customs Office
Total area - 120000 м² To be comissioned – June 2008 Customs administration office - 1700 м²
Fire-Fighting Depot
Total area - 2476 м².
To be commissioned in the first half of the year 2008 Construction of Railway Tracks Construction of Automobile Roads Administrative and Business Centre of the SEZ “Lipetsk” (1st Stage of the Construction) Division of Premises in the Centre
Purpose of Premises Total Area, sq. m 1. Lipetsk Regional 640 Division of the Federal Agency on SEZ 2. JSC “SEZ 820 “Lipetsk” 3. “Single window” 320 services
4. Federal Customs 250 office 5. Catering services 2085
6. Areas to be 2085 rented to SEZ residents «CHSZ-Lipetsk» Ltd.
Production of light-weight glassware for the food and medical industries. Scope of Investments – 2.5 bln. RUB. Area of the Land Plot – 12.5 hectares
Employment Figure – 470 persons
The General Manager – Andrey B. Ryumin The Inauguration Ceremony of the “CHSZ-Lipetsk” Glass Plant
14th June, 2007
“SEST-LUVE“ Ltd.
Production of evaporators for the refrigerating equipment. Scope of Investments - 355 mln. RUB. Area of the Land Plot - 3 hectares
Employment Figure – 150 persons
The General Manager – Vittorio Torrembini The Inauguration Ceremony of the “SEST-LUVE” Ltd. Plant
11th October, 2007
«Bioethanol» Ltd.
Production of bioethanol and derrivatives. Scope of Investments – 2.95 bln. RUB.
Area of the Land Plot – 20 hectares
Employment Figure – 140 persons
The General Manager – Alexander D. Gorbatchev Laying-Down of the First Stone into the Foundation of the “Bioethanol” Plant
14th June, 2007
«BELON-METACON» Ltd.
Production of modern steel structures and sandwich panels. Scope of Investments – 521.5 mln. RUB. Area of the Land Plot – 6 hectares
Employment Figure – 332 persons
The General Manager – Igor I. Lazovsky «Lipetsk Plant of Thermal Insulation Materials» Ltd.
Production of modern thermal insulation materials for industrial and civil construction Scope of Investments – 1.750 bln. RUB.
Area of the Land Plot – 10 hectares
Employment Figure – 250 persons
The General manager – Alexander A. Izotov "Mondial Group" Ist.: production of refrigerating equipment for the public catering sector; production of self- contained refrigerating equipment.
Investments – 763 mln. RUB.; Land area: 6 hectares Industrial Group «RAZIONAL» Ltd Self-contained boiler-rooms, pipeline reinforcement elements, power generating units production Investments - 1 797,995 mln. RUB.; Land area: 11,5 hectares
Lipetsk Glass Constructions Plant «Okonniye sistemy» Ltd: Glass plates production, glass plate moulding Investments - 477 mln. RUB.; Land area: 5,9 hectares
«Bekaert Lipetsk» Ltd Steel cord production Investments - 3496,68 mln. RUB.;. Land area: 20 hectares
The Laying-Down of the Foundation Stone of «Mondial Group Ist» Plant
Applications for the status of the SEZ resident has been filed by the following companies:
Closed JSC «Russian Nanotechnologies Centre»: Organization of the Industrial production of nanomaterials and nanosystems Scope of Investments - 6.3 bln. RUB. (EUR 180 mln. ) Land Plot Required – 11 Hectares. Employment figure- 1000persons
JSC «Energy Technologies Lipetsk», Ltd Construction & use of a power turbine complex Scope of Investments– 17 048 mln. rub. Land Plot Required - 20 Hectares Employment figure– 100 persons.
Labour Resources
Labour potential of the Lipetsk city and the Lipetsk Region will be used to provide the new plants with labour resources,
The following Training Institutions operate in the region: - 22 institutes of higher learning including Technical and Teachers’ Training Universities, which train in total 30 000 students and graduate 5 000 specialists annually. - 25 institutions of intermediate vocational education which train 25 500 students with annual graduation of more than 5 500 specialists. - 27 professional colleges train specialists in 48 working professions and graduate more than 5000 specialists annually. Signing of an Agreement between the Lipetsk Regional Department on the Special Economic Zones and the Lipetsk State Technical University
22nd October, 2007
Signing of an Agreement Between Lipetsk Regional Department on the Special Economic Zones, Lipetsk College of Metallurgy & Lipetsk College of Mechanical Engineering
The 15th of November 2007
Units of the Social and Transport Infrastructure of the SEZ “Lipetsk”
1. Construction of an international airport and a new runway: cost – 3.6 bln. RUB. The beginning of the construction – 3rd quarter of 2008 The completion of the construction – 4th quarter of 2011.
2. The construction of a highway “Lipetsk Industrial Zone East Bypass Road”, total 26 km. The cost of the construction is 7.9 bln. RUB. The beginning of the construction – 1st quarter of 2008, its completion – 4th quarter of 2011
Units of the Social and Transport Infrastructure of the SEZ “Lipetsk”
3. Construction of “Romanovo” satellite town with population of 80-100 thousand people. Total Area: 10 sq. km, 4 town districts united by a common public centre.
4. A medical and diagnostic centre. Cost: 2.1 bln. RUB. Prospects of Development of the SEZ ‘Lipetsk’ in 2007-2009.
Number of residents – 21
Volume of investments – 36 960 500 thousand RUB.
Scope of Industrial production – 16 720 000 thousand RUB.
Employment figure – 4500 persons
The correlation of state financing and the scope of investments drawn
Federal funding + regional budget expenses accumulated The sitting residents` part in the infrastructure formation
The volume of the residents` investments to the budget resources drawn 3:1 The SEZ «Lipetsk» Inauguration Ceremony
25th January, 2008 The Federal Agency on the Control of the Special Economic Zones Lipetsk Regional Department
Skorokhodova St., 2 398019, Lipetsk, Russia Tel/Fax: +7 (4742) 77-15-35 e-mail: [email protected] Web-site: www.lipetsk.rosoez.ru
The Federal Agency on the Control of the Special Economic Zones Lipetsk Regional Department