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production of lubricants

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mixed feed and meat
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RU
Titan Petrochemical products Agro-Industrial products

9 June 2020

Omsk region Government: Alexander Burkov visited the sites of the special economic zone “Avangard” and discussed the flagman projects with the anchor residents

The major specialization of the SEZ is connected with the chemical, petrochemical industry and allied types of industrial production activities.

The territory of the special economic zone was created in the north-west industrial area of Omsk. There are two sites which were supposed for the SEZ creation. Their total area is 494 hectares: in the area of Krasnoyarsk tract (477 hectares) and Kombinatskaya street (17 hectares). The management company has been already created. The sole founder of the SEZ “Avangard” is the Omsk region.

The region Government wrote the Agreements of Intents with the potential residents. Six flagman projects were agreed.

Today Omsk region is on the home straight in the process of an application formation to the Ministry of Economic Development of Russia for the creation of a special economic zone "Avangard". The Omsk region Governor held the working meeting with the future anchor residents and the Association for the development of clusters and technology parks of Russia to evaluate the degree of readiness of the application. Residents took the directly participation in the application formulating. Representatives of the economical block of the regional Government and city Administration headed by the Oksana Fadina, the  Mayor of Omsk and the heads of the residents companies took part in the meeting.

Alexander Burkov actively lobbies for the industrial type SEZ creating and has already managed to enlist the support of the head of the Ministry of Economic Development Maxim Reshetnikov. This issue was already discussed in Moscow at the beginning of the year. The roadmap for the SEZ “Avangard” development has been formulated for 2021 – 2030.

“The special economic zone creating is large-scale project and, what is important, this is long-term project. That’s why we make the preliminary calculations for the next 10 years. During this month we will file the application to the Ministry of Economic Development of Russia,” noted the Governor Alexander Burkov. “For this moment we already have the anchor residents. Our residents are GAZPROMNEFT - BITUMEN MATERIALS LLC, AO Group of Companies Titan and Osnova Holding JSC. They already have projects with a minimum cost of 22 billion rubles of investment. And it is 600 new high-technology work places with a high salary for specialists as a minimum. It is important for us that we can give impetus to development of our keys industries, like chemistry and petrochemistry which are the strong side of Omsk. It gives us a possibility to attract new technologies. Yes, it is possible, that they will be more expensive and more capital-intensive, but we create a special economic zone for it to have the tax preferences, which allow implementation of such capital-intensive and modern projects. This is another one stage of development of our industry sector of economy.  That’s why the special economic zone project is very important and perspective for our region.”

Omsk region Government developed proposals for tax preferences to increase the investment attractiveness of the SEZ. It is tax exemption from property tax and transport tax for up to 10 years and from the land tax for up to 5 years. Also it is offered to set the lower income tax rates in the part to be credited to the budget of the Omsk region. Zero percent for 5 years from the first profit, 5 percent from the sixth to the 10th year after the first profit, and 13.5 percent after 10 years after the first profit. It is planned to review the corresponding project in the region Parliament this July.

Governor Alexander Burkov and the meeting participants examined the future SEZ site. It was a joint detail acquaintance with the new industrial field of the innovation productions and technologies.

“This is 21st land area, where tens of production sites with the main residents will be placed. We looked at the location, engineering networks the perspective of planning projects. And the most important thing was discussing of the beginning and the end dates of the facilities’ construction and launching of the production sites. It should be said that it was the first such a detail acquaintance by the full strength with our future SEZ “Avangard” discussing. Actually we launch the project, as we submit an application to make decision at the Federal level on the creation of such a special economic zone "Avangard" in the Omsk region” noted the Governor Alexander Burkov.

The special economic zone has a special legal status for 49 years. The General Director of AO GC Titan Farkhad Samedov, who represents the interests of the anchor resident, appreciated the creation of the special economic zone “Avangard” for the Omsk petrochemical industry. He is sure that the special economic zone “Avangard” will promote the creation of the new types of production and competencies, which does not have alternatives in Russia.

“It is very difficult to implement such a scale projects being alone player. This is possible only within the framework of cooperation with the government, on which the work of the special economic zones is organized,” commented the AO GC Titan participation in the SEZ Farkhad Samedov. “For example in Russia, there is no large-scale production of epoxy resins, which are the raw materials for a line of various products so the country needs the production and AO GC Titan became one of the first companies, what implement such a project. Soon the small processing enterprises will be placed around our epoxy resins and polycarbonate productions. So the implementation of our projects in the SEZ gives multiplicative effect, it causes economic, social and national. We believe in the SEZ “Avangard” success.”

Source: Omsk region Government portal, 09.06.2020

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