20 August 2012, Monday, 11:00

Investment agreement between Bashkortostan and Austrian Kronospan Company is signed

author: Bashinform News Agency

On August 17, in the House of Republic the President of Bashkortostan Rustem Khamitov and the head of group of companies Kronospan Holdings East Ltd Peter Kaindl signed the investment agreement on construction of large enterprise on woodworking and manufacturing of construction materials in the republic. New Kronospan manufacture according to the reached arrangements will be located in the Ufa district of Bashkortostan, and will launch production in 2014.

“Bashkortostan Republic undertakes serious obligations for this project realisation,”   Rustem Khamitov said before the signing. “We will prepare a site with all infrastructure where the factory to be constructed. This project is of great importance for us. Many years the republic was the supplier of raw materials for woodworking. Today it’s a new landmark connected with wood processing in Bashkortostan. Construction schedule is very tight, in one and a half year the enterprise should run. I can guarantee that the republic will carry out all undertaken obligations».

“I appreciate very much that support which Bashkortostan Republic gives to this project,”  Peter Kaindl said. “I am sure that it will serve as good motivation for business activity in the woodworking sphere, timber-harvesting operations in Bashkortostan Republic. Especially I am proud of the fact that during realisation of our project we will create a considerable quantity of workplaces requiring both manual and intellectual labour. We will use only local labour and local raw materials. I want to assure you that we will make all possible efforts for realisation of this project properly.

Kronospan Company management considered several regions of Russia as an investment platform for new manufacture. The choice of Bashkortostan is connected with that the republic could offer the best conditions, including from the point of view of tax benefits. Besides, it is planned to create an industrial park on deep wood conversion on the basis of the enterprise. For this purpose about thousand hectares of land are allocated in the Ufa disctrict of the republic.

themes: investments