2012 11-20 industrial parks of ukraine brief


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  • A series of new regulatory initiatives aimed at introducing better conditions and incentives for industrial property development were passed by Ukrainian legislature in 2012 prior to launching this new Project.

    The new Project Team already gathered information on 30+ potential sites for future industrial parks throughout Ukraine and continue collecting rectified technical background characteristics of the potential hosting territories. Detailed information on these sites will be made public as early as December 2012.

    To provide for the highest professional quality and fair competition we already began pre-qualification consultations with local and international business consultants, property developers, and operators specializing in various areas of industrial property development and management in order (1) to specify our requirements for comprehensive macroeconomic analysis and feasibility study; (2) to form a pool of interested businesses that would be willing to become partners/ contractors at farther stages of our National Project implementation.

    We continuously are looking for interested parties, especially international companies with proven record of experience in the field specializing in industrial property development and/ or operation to express their interest to participating in our endeavor. Considering obvious potential business benefits of being first on the Ukrainian industrial property development market we call on considering taking a closer look at opportunities within the scope of our National Project.

    I would appreciate you forwarding this offer for cooperation and/ or contact me directly to suggest companies that might potentially be interested in extending their business interest to the new Ukrainian industrial property market development and operation.

    I attach a brief introduction of the National Project. Please, do not hesitate to contact me if you should have questions related to the nature and logic of the Project or might need more details related to it.

    Looking forward to mutually beneficial, long-term cooperation.
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  • The State Agency for Investment and National Projects of Ukraine has launched its new “Industrial Parks of Ukraine” National Project. This public sector intervention is based on recognition of critical shortage of ready to use industrial property supply in Ukraine. Since we consider this shortage as one of the critical barriers for FDI inflow to Ukraine, our National Project's main goal is to facilitate development of first 10 new market-ready pilot industrial parks with the strategic objective of substantial reduction of time-to-market for potential strategic industrial investors.
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2012 11-20 industrial parks of ukraine brief

  1. 1. Industrial Parks of Ukraine National Project
  2. 2. The new opportunities 2012• Legislation – New laws were passed creating favorable legal framework for industrial property development• Incentives – Fiscal, access to land, and customs incentives for strategic investors were introduced• Infrastructure – IPU National Project to develop ready to use land plots, infrastructure, and public services altogether shortening time-to-market launched
  3. 3. New Legal Framework• State law "On industrial parks“ – Creates legal foundation for industrial park operations and provides customs and land incentives• State law "On stimulation of investment activities in priority sectors of the economy with intention to create new jobs“ – Creates legal foundation for introduction of tax and customs incentives
  4. 4. New Incentives Under the State law “On industrial parks”• No duties for equipment that is not produced in Ukraine used for park operations or operations of the resident company• Relief from municipal infrastructure development levy• Simplified procedure of access to industrial land• State grants and financing on favorable terms
  5. 5. New Incentives Under the State law “On stimulation of investment activities inpriority sectors of the economy with intention to create new jobs” • Corporate income tax relief till 2017 and reduced to 8% till 2022 • accelerated capital allowance on operating equipment • Relief from duties for purchase of equipment and/ or its components used in technological process till 2018
  6. 6. New InfrastructureIndustrial parks of Ukraine National Project • Public intervention targeted at satisfying existing and prospective demand of strategic investors for market ready industrial property and at stimulation of the industrial real estate development and management industry in Ukraine.
  7. 7. New InfrastructureIndustrial parks of Ukraine National Project • Boosting the industrial property and modern infrastructure market with 10 new industrial parks • Introducing new technologies to Ukraine that come along with new park residents • Prime efficient logistics between parks and markets • Unique approach to each park based on individual clustering, market specialization and other key indicators
  8. 8. New Infrastructure Industrial parks of Ukraine National Project TargetsSpring 2013 Due-diligence of available Ukrainian greenfield industrial property conductedMid-2013 10 best locations for industrial parks development selectedMid-2014 Pilot industrial park built and operational2015 10 industrial parks/ approx. 1 500 ha of industrial land built and operational2017 40.000 new jobs 120 new multinational companies 1 000 local companies-suppliers €2.5 bl. of FDI
  9. 9. New Benefits for Industrial Parks Residents Unique selling points of parks • Complete package of engineering and transport infrastructure and services for each park • Flexible industrial specialization that bridges needs of prospective companies and communities • Filling gaps in supply chains for local and global industries • Location benefits combining robust infrastructure and smart logistics
  10. 10. The State Agency ’s Assistance Summary investments promotion investments One Stop Shop for Investors Project Marketplace Service for strategic investors (FDI) Startup assistance for SMEs “Industrial Parks of Ukraine” National Project New FDI infrastructure developmentState law “On stimulation of investment activities in priority sectors of the economy with intention to create new jobs” Incentives for strategic investors State law “On Industrial Parks” Foundation that shortens investor’s time-to-market
  11. 11. THANK YOU! Petro Koshukov IPU-NP Managerp.koshukov@ukrproject.gov.ua +380 50 357 1411