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Free Port of Ventspils

Free Port of Ventspils. Free Port of Ventspils philosophy. GOAL No.1: Retain and strengthen current port’s position in liquid and dry bulk markets. GOAL No.2: Diversify port operations ( Container and R o- R o traffic development ). GOAL No.3:

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Free Port of Ventspils

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  1. FreePortof Ventspils

  2. FreePort of Ventspils philosophy • GOAL No.1: • Retain and strengthen current port’s position in liquid and dry bulk markets • GOAL No.2: • Diversifyportoperations • (Container and Ro-Rotrafficdevelopment) GOAL No.3: To developFreePort’sindustrial/ manufacturingzone

  3. Trans-EuropeanTransportNetwork

  4. Overseasconnections Ferries: Scandlinesstrategy: Ventspils – centralHubforEasternEuropeantransshipments Ventspils – Nynashamn (Sweden) 5 times per week Ventspils – Travemuende (Germany) 2 times per week Finnlines: Travemunede – Sasnitz – Ventspils – Helsinki – St.Petersburg

  5. FreePortandPort Terminals

  6. Free Port of Ventspils www.portofventspils.lv Deepest ice free port in the Baltic Sea Area: 2451,39ha incl.242,6ha water Maxdepthinliquidcargoarea 17,5 meters Maxdepthindryandgeneralcargoarea 16 meters

  7. LiquidCargo Terminals Ventspils Nafta Terminals VentBunkers VentAmonjaks VentAll Terminals Vars

  8. DryBulkCargo Terminals Ventspils CommercialPort Ventspils Grain Terminal BalticCoal Terminal Kalija Parks VentPlac

  9. Universalterminal−NoordNatie Ventspils terminals • Canserviceup to 100 railwayplatformsatonce. Thiscanbeupgradedby 40 platformsalongthequay. • Railwaycapacityfrom Ventspils to Russianborder ~350 000 TEU / year • Lengthofquays: 1000m / depth14,7m

  10. WindSituationin Ventspils

  11. DevelopmentofNew Terminals in Ventspils

  12. Developmentof Ventspils portinthefuture: NorthernPortproject ~98ha

  13. NorthernPortproject

  14. Possiblepartnerforthedevelopmentoftheterminal - RussianTransportLines.

  15. LNG Terminal in Ventspils Sitefor LNG importterminal ~34,5ha Pier No35 – dedicatedfortheterminaluse. Possibility to call Ventspils fornonice-clastankerswholeyear All supportiveinfrastructure (accessroads, electricityconnectionsetc) – availableonsite

  16. Airportandopticalcableinfrastructure

  17. Airtransportation • Ventspils Airport: • Stateof art passangerterminal • Air-taxiandcharterflights • LiepajaAirport: • Distance from Ventspils 110km • RigaAirport: • Distance from Ventspils 180km • More than 60 dailyflights to world-widedestinations

  18. Opticalcableinfrastructure • Ventspils isconnected to theinternationaltelecommunicationnetworkwithtwoindependantsubmarineopticalcables: • Lattelecomopticalcablefrom Ventspils to Stockholmwith a capacityof 10 Gbps • BalticFiberopticalcable Ventspils – Gothland – Stockholm: • Constructedin2002 is the newest cable in the Baltic Sea • Consists of 68 fibers (manufac-turedbyEricsson) • Present theoretical capacity from 10 to 40 Gigabit/sec each fiber • Used capacity is 5 Gigabit/sec • The cable has 0% damage rate and the operator guarantees a 99.7% availability of an international IP transit service

  19. BQS -best quality systems by countries, 2009

  20. Taxationand Ventspils FreePort – a specialeconomiczone

  21. TotalTaxRatesinEuropeanUnion Source: WorldBank Group and PricewaterhouseCoopers, PayingTaxes2012, Theglobalpicture

  22. Tax incentivesin Ventspils(Pursuant to thelaw “Ontaxapplicationin freeports andspecialeconomic zones) • Posibility to acquiretaxincentivesthroughtheSpecialEconomicZone/Freeport status • Reductionsof Excise tax, ValueAddedtaxandCustomsduties • Realestatetaxand Corporatetaxaredecreasedby80% untilreturnofhalfofthetotalinvestment (60% formediumsize and 70% forsmallcompanies) • RealEstatetaxrate = 0,3% • Corporatetaxrate = 3%

  23. Tax rates to licensed companies(According to thelaw “Ontaxapplicationin freeports andspecialeconomic zones) Example: Investment = 10 mln Profit = 1 mln Realestatevalue= 1 mln TaxationinLatvia: Profittax(15%) = 150 000 Realestatetax(1,5%) = 15 000 Total = 165 000 Taxationin Ventspils Profittax(3%)= 30 000 Realestatetax(0,3%)= 3 000 Totallyapplied= 33 000 Savings per year = 165 000 – 33 000 = 132 000

  24. IndustryandManufacturingdevelopmentin Ventspils FreePort

  25. Territoryforindustrialdevelopment ~ 1 200ha

  26. Therearelandlots in Ventspils dedicatedforrealizationoflargeprojectsof a size 50ha and more

  27. 1 • Location No.1 inthe Ventspils HighTechnologyPark (VHTP): • Greenfieldarea ~4ha, with a possibility to extend • Connections to comunalinfrastructure (water, sewerage, municipalheating, electricity, telecomandinternet) availableontheborderofthesite • Available SEZ status • Negotiablemunicipal/portauthorityinvestmentsintopublicinfrastructure, likeoutsideparkingandlogisticsarea, communicationsfromthesitebordertillbuilding, outsidegardening, fencingetc. • Possibility to usethe VHTP BusinessIncubatoranditsbusinessstart-upsupportprogrammes.

  28. 2 • Location No.2 onRupnieciebasStr.: • Greenfieldarea ~5ha • Connections to comunalinfrastructure (water, sewerage, electricity, telecomandinternet) availableontheborderofthesite • Available SEZ status • Negotiablemunicipal/portauthorityinvestmentsintopublicinfrastructure, likeoutsideparkingandlogisticsarea, communicationsfromthesitebordertillbuilding, outsidegardening, fencingetc.

  29. 3 • Location No.3 onRupnieciebasStr.: • Greenfieldarea ~6ha (demolishedformerindutrialsite) • Connections to comunalinfrastructure (water, sewerage, electricity, telecomandinternet) availableontheborderofthesite • Available SEZ status • Negotiablemunicipal/portauthorityinvestmentsintopublicinfrastructure, likeoutsideparkingandlogisticsarea, communicationsfromthesitebordertillbuilding, outsidegardening, fencingetc.

  30. 4 • Location No.4 onGanibuStr. (Airportarea): • Greenfieldarea ~4ha, extentionpossible • Connections to comunalinfrastructure (water, sewerage, electricity, telecomandinternet) availableontheborderofthesite • Available SEZ status • Negotiablemunicipal/portauthorityinvestmentsintopublicinfrastructure, likeoutsideparkingandlogisticsarea, communicationsfromthesitebordertillbuilding, outsidegardening, fencingetc.

  31. Conditionsfortheleaseofthelandformanufacturingprojects • Costsoftheland: • Rent = 0,25% fromcadastralvalueoftheland per year = 0,025 Euroforsq.mforyear • Landtax = 1,5% fromcadastralvalueoftheland per year • = 0,15 Euroforsq.mforyear • = incaseofthe SEZ status only 20% oftotalamount • BasicrulesoftheLandleasecontract: • Durationoftheleaseagreement 45 yearswith a possibilityattheendoftheperiod to prolong it to another 45 yearsonthesamerulesandconditions • First refusalrightsfortheclient • Generalattitude: openfordiscussion to hearclient’srequirementsandwishes to beimplementedintotheagreement

  32. Developmentofhightechnologiesin Ventspils (electronics, electrotechnics, automotiveindustry, IT) • First tenants of the park: • Ventspils electronicsfactory • Inspecta • Engineering research center of Ventspils University college • others

  33. VENTSPILS HIGHTECHNOLOGY PARK services‏

  34. Workingplacesinportterminalsandmanufacuringcompanies • Since 2002: • ~20 new (foreign and domestic) manufacturingcompanieshavebeenattracted to Ventspils. • ~900 newjobshavebeencreated in theattractedcompanies. • 3 newportterminalshavebeenestablished • ~ 160 jobshavebeencreated in newlyestablishedterminals • Portauthorityhasinvestedmorethan 90 millioneuro in portdevelopmentprojects. More than 20 millioneurowasattractedfrom EU funds. Privatecompanieshaveinvestedinportareamorethan 260 millioneuro.

  35. TrackRecordofManufacturingcompanies

  36. Fishandsea-foodproductionunit (Latvia/Denmark): 90 employees Start-upin 2002 Candleproductionunit (Denmark): 200 employees Start-upin 2004

  37. Plasticitemsforfurnitureindustryandbedsystems (Germany): • Start-upin 2006 • 30 employeesin2007 • AwardofmostinnovativecompanyinGermanyin 2004

  38. Sweeper/Cleanercarfactory (Switzerland), BucherSchoerlingBalticbelongs to thelargestintheworldholdingforproductionofutilityvehicles • 1st phase: • Start-upin 2005 • Areasize 2,3 ha; Premise – 1700 sq.m • 50 employees • 2nd phase: • Startofproductionsummer 2008 • Areasize 8 ha; premise – 4600 sq.m • 80 employees • 3rd phase: • Startofproductionsummer 2011 • premise – 3000 sq.m • 160 employees

  39. SIA Kurzemes Granulas Woodenpelletproductionunit (Latvia): 25 newworkingplaces Start-upin 2005 SIA Arbo Woodendoorandwindowproductionunit (Latvia): 35 newworkingplaces Start-upin 2005

  40. SIA “Ventspils Elektronikas Fabrika” Belongs to thegroupofthelargestlatvianelectronicscomponentsproducer. Planed 80 employees

  41. SIA “MalmarLatvia” (Belgium): • Metalworkingproductsforautomotiveindustry • Supplierfor Scania, Volvo, MAN, etc. • Temporaryworkshopwith 15 newworkingplacesopenedin 2006 • Plannedset-up of newproductionunit in newlyconstructedpremises in endof 2012

  42. SIA “BioVenta” (Latvia): • ProductionofBio-fuelfromrapeseed • Start-upof productionin2008 • 30 newworkingplaces

  43. SIA “Izoterms” (Latvia): • 1st phase - productionofmetalconstructions • 2nd phase – productionofstreetsigns • Plannedstart-up of productionin2010 • Up to 120 newworkingplaces

  44. SIA “Dendrolight Latvija” • New, innovativewoodenmaterial • Start-up of constructionin 2009 • Start-up of productionin 2010

  45. FDI Magazine’scittiesandRegionsofthefuture 2010/11 Rankings Durationoftheresearchtookover6 monthsfocusingon 223 citiesand 142 regions in Europe

  46. FDI Magazine’sGlobalFreezonesoftheFuture 2010/11 Rankings Fromover 700 economiczonesglobally

  47. ThankYou Contacts: Igors Udodovs HeadofMarketingand Developmentdepartment Tel:+37163602334 igors.udodovs@vbp.lv www.portofventspils.lv

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