vojvodina region

Agribusiness Sector
INVESTMENT OPPORTUNITIES
VOJVODINA REGION
Republic of Serbia
VOJVODINA INVESTMENT PROMOTION – VIP
EU BORDER REGION
DISTANCES FROM MAJOR EUROPEAN CITIES
Success stories
Key Ingredients of Vojvodina Offer
Market Advantages
Free Trade Agreements
EU
Russian Federation
CEFTA
Turkey
EFTA
Belarus
Kazakhstan
USA
Overview of Tax Rates
VAT
Standard Rate 20%
Lower rate 8%
Corporate Profit Tax*
Uniform rate 15%
(10 year holiday: for investments over €9m and 100
new jobs)
Personal Income Tax
Salaries 10%
Other income 20%
Annual Income Tax
10 to 15%
Social Insurance
Contributions
Pension and disability insurance 11% - 13%
Health insurance 6,15%
Unemployment insurance 0,75%
*Serbia has a Double Taxation Treaty with 50 countries
Labor Cost
Average NET salary in Vojvodina 2013
NET Salary
(EUR)
%
373.64
Personal
Income Tax
10.00
42.06
Contributions
(employee)
19.90
103.28
GROSS Salary
Contributions
(employer)
518.98
17.90
TOTAL COST
transport costs
holiday allowance
meal allowance
92.9
611.88
Incentives
Employment Incentives
Provincial Government
 €1,170
National Employment Service
 €1,350 for co-financing
per every new job created
 up to €0.2m for Greenfield
investments
retraining programs
State Grants
 €4,000 - €10,000 per employee
(€0.5m investment, 10 jobs)
Local Government
 construction land free of charge
Agribusiness in Vojvodina
• Arable areas covering 1.78 million hectares - 89% of total land surface
• Region rich in water - Danube, Sava and Tisa
• Agribusiness: 40% of total industrial production and 30% of total export
Subsectors in focus:



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Processing of cereals and flour
Meat processing
Fruit and vegetable processing
Production of Confectionery products
VIP FDI MODELS
1) Greenfield investment
2) Brownfield investment: Starting strategic partnership with domestic
companies who need technological and financial partners
Success Story
• Ecoland Telecka in Vojvodina is a part of Ecoland Germany (Danube Soya
member)
• The assciation of Ecoland Telecka consists of 20 family farms, who export
all their products to Germany
• On approximately 60 hectares, there is rotating production of
Biopaprika,
Biocorn,
Biosoy,
Biomustard,
Biopoppyseed and
Biopopcorn.
Success Story
• Sanders – French company for animal feed production
• Global numbers: 26,000 buyers (farmers), 3.6 milion tonns of feed
produced in 23 different production facilities
• 2012 - production started in Vojvodina, Temerin settlement
• Products, premixes and feed additives:
• cattle feed (cows, buls, heifers, goats, sheep)
• poltry feed
• pig feed
Thank you for your attention!
Vojvodina Investment Promotion – VIP
Narodnog fronta 23d, 21000 Novi Sad, Serbia
Tel: +381 21 472 3245
Fax: +381 21 472 1921
E-mail: [email protected]
Web: www.vip.org.rs