Minister of Economy and Regional Development Nebojsa Ciric and representatives of Germany’s ContiTech Fluid today signed an agreement on allocating non-repayable funds for the construction of the company’s new factory in Mali Bajmok industrial zone in Subotica.
The document was signed by ContiTech Fluid Deputy President Marcus Murk Peter and Director of ContiTech Fluid Serbia Zivko Topalovic.
Through the Ministry’s Programme of allocating non-repayable funds for incentives, administered by SIEPA, ContiTech Fluid received €1 million, ie €4,000 per each new job created, that is, for hiring 250 workers and constructing a new plant in Subotica.
The company’s total investment is €10,070,000, and the new plant will produce systems for various fluids used in the car industry, as well as other products such as pipes for turbo injectors, cooling liquids and similar.
Ciric underlined that this is the second ContiTech Fluid’s investment in Serbia because the German company already owns Kolubara Univerzal and is leading intensive talks about another potential investment south of Belgrade.
He noted that yesterday’s signing of the Framework agreement on Bosch’s investment in a factory in Pecinci and today’s signing of the agreement with ContiTech indicate that Serbia is a leader in attracting foreign direct investment in the region.
The Minister said that all of this was a result of the proactive actions of the Serbian government, local self-governments and various agencies, primarily SIEPA.
He added that attracting foreign investments is one of the best ways to fight against the global economic crisis.
Murk Peter expressed his belief that the factory in Subotica will be completed by mid-2012 so that the production, 100% of which will go to export, could start by the end of next year.
He announced that the factory will employ 250 workers next year, and by 2016 another 50 workers.
He noted that ContiTech Fluid sought a location for a new factory in Europe, and even in North Africa, but that the decision was made to build it here because of the great support of the Serbian government, local self-government and public enterprise Business Parks in Subotica.
The signing ceremony was attended by Minister of Environment, Mining and Spatial Planning Oliver Dulic, who pointed out that the Subotica of today is one of the leaders in attracting foreign investors.
Thanks to foreign investments that are currently under way in Subotica, approximately 4,000 jobs will be opened, which is 35% of the unemployed today in the city, said Dulic and invited other cities in Serbia to follow the example of Subotica.
Source emg.rs
