Investments

If you are looking for an attractive location to do your business – look for a free economic zone, because everything there is accomplished expeditiously: the site is prepared for construction, premises can be leased, the rapid implementation of projects is guaranteed, and even an exemption from state taxes is available. The Klaipėda Free Economic Zone (Klaipėda FEZ) is such a site.

It is a special economic zone that is favourable for doing business in, which has been operating in Lithuania for eight years already. There are clients here that have been successfully taking advantage of special tax exemptions and other reliefs and privileges for doing business in the Klaipėda FEZ.

During the last eight years, approximately 400 million Euros has been invested here. Business is carried on here by 16 companies from the countries of Western Europe, Asia, and Scandinavia. Another 4 companies have already commenced construction or design works.

The Klaipėda FEZ is a universal zone, where the activities of industrial production, logistics and the provision of services are permitted.

The Free Economic Zone occupies a properly-planned territory of 412 ha in area, which has the necessary and newly-implemented modern engineering infrastructure in place, and is situated by the most important transport roads – including a national motorway, railway, sea harbour nearby and an international airport.

Why Klaipėda city?
The Klaipėda FEZ is located in the Klaipėda City, which is the third largest city in Lithuania and a centre of attraction for science and business in the Western Lithuania; therefore, it has no lack of qualified workers and labour costs are low.

A very important advantage of the Klaipėda FEZ is a well-situated geographical location and good communications infrastructure. Because of its convenient geographical position and well-developed transport lines, the neighbouring Eastern and Western markets can be easily and conveniently reached from here. Some of the most well-known corporations from all over the world have gladly taken advantage in investing in the Klaipėda region, such as “Philip Morris International”, “Mars Incorporated”, and “Ikea”. The Klaipėda FEZ, as an effective and reliable business location, has also been chosen by investors from diverse countries of the world (Thailand, UK, Ireland, Finland, Denmark, Switzerland, Ukraine, Japan, Norway, Belarus, etc.), who successfully continue the development of their businesses here.

Attractive operating costs, tax exemptions and the legal environment in the Klaipėda Free Economic Zone have created a favourable business environment for investors.

Advantages of the Klaipėda Free Economic Zone
The companies of the Klaipėda FEZ enjoy exclusive tax exemptions harmonised with the European Union law: no payment of a profit tax during the first 6 years, then for 10 years it is two times less than normally assessed, the dividends of foreign investors are not taxable, and real estate tax is not paid.

The Klaipėda FEZ has been recognised as an economic project of state importance. Such status of the zone ensures a favourable attitude of authorities in solving any issues that may arise.

Lithuania’s membership in the European Union is also an important criterion for investors, and especially for investors who are outside the European Union, because goods produced in the zone there are open to the entire EU market without any restrictions and customs duties.

The zone is managed by a private management company that won the international tender for it. This private management is not burdened by bureaucratic obstacles, enabling it to make quick necessary decisions which meet a client’s expectations, flexibly respond to a client’s needs and quickly solve issues that arise.

In the Klaipėda FEZ, clients are offered a wide spectrum of services and the possibility of choice; beginning with the long-term lease of a state-owned land plot and ending with the lease of necessary premises or the implementation of turn-key projects. The zone management company employs a team of experienced professionals, who have gained the clients’ trust. All this accelerates the process of setting up, reduces costs and enables the choice of the most optimum project-implementation methods for clients, including reliable and verified contractors and partners.

Investors are provided with all project management services: from the preparation of pre-project solutions to construction and delivery thereof for use according to their goals (commissioning).

The Klaipėda FEZ management company also provides the following services:

– provides consultations on the matters of establishing and registering a zone enterprise and for doing business in the zone;
– issues a permit for activity in the zone;
– provides information about EU structural support opportunities for the client’s investment project;
– escorts the client’s project before authorities;
– provides temporary office services at the beginning of doing business;
– provides contacts of reliable and verified service providers and contractors.

The investors from various countries of the world, who have chosen the Klaipėda Free Economic Zone as an effective and secure business location, were satisfied with their decision. Moreover, last year the zone companies had an increased turnover (+ 10%) and rate of export (+13%). The fact that the zone companies are capable of increasing volumes of production and export during an economic crisis only once more proves the effectiveness of doing business in the free economic zone.

Given all this, the Klaipėda Free Economic Zone can be reasonably considered as one of the most successful and effective industrial parks in the Baltic States.

Klaipėda free economic zone (KFZ) took part in the world free economic zone ranking, which was carried out by the “FDI Magazine” that belongs to the “Financial Times” group of publications. Out of 700 world free economic zones, which participated in the investigation, Klaipėda free economic zone took twentieth place according to the business conditions it offered. When assessing the criteria for facilities the zone in “Top 10” rating, Klaipėda free economic zone took fifth place. Such a high assessment is an important indicator to the potential investors who consider directing their funds and activity namely there.

How to become a Klaipėda FEZ enterprise?

• Contact the FEZ management company by e-mail at marketing@fez.lt  or by phone at +370 46 312163. Complete the investor’s questionnaire at www.fez.lt.
• Introduce your investment project, agree on the terms and conditions of doing business in the zone and sign an agreement with the Klaipėda FEZ Management Company.
• Obtain a permit for activity in the zone from the zone management company.
• Register a zone enterprise in the register of enterprises.
• Take on a sublease from the FEZ management company for a land plot or lease premises for doing business in the zone.
• Present to the tax administrator an auditor’s report, proving the amount of capital investment as prescribed by the law.