Invest in Kraśnik
FŁT Kraśnik S.A. was established in 1948 and is the largest manufacturer of roller and ball bearings in Poland
Kraśnik has a thriving food processing industry thanks to the availability of local farm products
A great place to live, a great place to invest
Investment Zone Kraśnik
The land allocated to special economic zones after January 1, 2009 was owned or under perpetual lease by:
1) zone's management
2) state Treasury
3) local government or municipality (Strefa Inwestycji Kraśnik – Krąśnik Investment Zone)
Permits to operate in the special economic zones are issued to investors fulfilling at least one of the following criteria:
b) priority sectors
c) support for development of business clusters and industrial-technological parks
d) degree of industrialization
e) unemployment rate
I. Innovation criterion
Despite the the growth over the last several years, Polish economy is still lagging behind the leading EU nations in terms of innovation. Promotion of innovative projects is therefore one of the key initiatives to bring new or largely improved products to the market. Based on this criterion, investors considering launching operations in the special economic zone should submit a formal assessment of the project from at least one of Polish or EU research institutions relevant to the investor's core business. The expert opinions should be submitted in Polish.
II. Priority sectors criterion
The priority sectors have been idntified based on the needs of Polish economy with regards to high technology applications, as well as the possibility of merging new initiatives with the existing research and academic base in Poland. Following these criteria, the priority sectors have been described as follows:
high percentage of R&D costs in the final value (the percentage of R&D costs is considered both for entire sectors and for particular groups of products);
high level of employment of skilled research and technical personnel;
use of patented and licensed technologies;
strategic cooperation with other high technology companies and research centers;
quick "devaluation" process of employed and developed technologies;
high levels of rotation of technical equipment and need for significant capital outlays.
Investment projects in the following sectors are considered to have priority:
a) auto industry
b) aerospace industry
d) industrial machines
g) research and development (part 73 of PkiWU)
h) modern services (at least one from the following list):
ICT (part 72 PKWiU - Polish Classification of Goods and Services)
accounting and tax consultancy (part 74.12 PKWiU - Polish Classification of Goods and Services)
technical research and analysis (part 74.86 PKWiU - Polish Classification of Goods and Services)
call centers (part 74.86 PKWiU - Polish Classification of Goods and Services)
Projects involving renewable energy sources have also been given priority.
The plan for the development of special economic zones is regulated by the Ministry of Economy (Dziennik Ustaw [Journal of Laws]2009. 158.1252). Under its provisions, each voivodship will be allocated up to two additional sectors, whose support is considered beneficial for regional development. The sectors identified for Lublin voivodship are food processing and furniture industry.
III. Support for development of business clusters and industrial-technological parks.
One of the eligibility criteria for operations in special economic zones is the project's contribution to the development of business clusters and industrial-technological parks.
A business cluster is defined as a geographic or sector concentration of at least ten businesses (including micro, small and medium size companies), who operate in the same or in neighboring voivodships stimulating economic growth and promoting innovation while competing or cooperating within the same sector (or related sectors). The entities within the cluster are interconnected by formal and informal networks and at least half of them have to be individual businessmen.
An industrial cluster of business entities and individuals must have its headquarters (or permanent address in the case of individuals) in Poland.
IV. Degree of industrialization criterion.
The degree of a region's industrialization is expressed as the value of regional industrial output per capita (Polish acronym – PSP). The most recent official statistics available for Polish counties come from 2006 and were published in GUS "Rocznik statystyczny województw" ("Voivodship Annual Statistics").
The average national value was calculated to be PLN 19 062 with the lowest value in Sejny county (PLN 366). The data is not available for some of the counties, because the local economy is dominated by a single major company (e.g. the counties of Puławy, Lubin, Płock and Mława). The analysis of data shows that there is little correlation between the degree of industrialization and the level of unemployment, so both criteria have been used.
The degree of industrialization criterion is fulfilled when the investment projects carried out in special economic zones have the following parameters (where PSP is county industrial output per capita and PSPP is national industrial output per capita):
a) in counties where PSP2 is equal to or higher than 0.8 PSPP3, but not greater than 5 PSPP, the investor will pledge the qualified investment costs of at least PLN 27 million;
b) in counties where PSP is less than 0.8 PSPP, but not lower than 0.6 PSPP, the investor will pledge the qualified investment costs of at least PLN 18 million;
c) in counties where the PSP is equal to or lower than 0.6 PSPP, but greater than 0.3 PSPP, the investor will pledge the qualified investment costs of at least PLN 9 million;
d) in counties where PSP is equal to or less than 0.3 PSPP, the investor will pledge the qualified investment costs of at least PLN 4.5 million.
The criterion does not apply in counties where PSP is equal to or greater than 150 percent of PSPP.
V. Unemployment rate criterion
The criteria I – III are usually met by investment projects launched in highly developed regions, with good technical and transportation infrastructure, a solid research and development base and highly skilled workforce.
In the regions with relatively high unemployment rates, especially in eastern Poland, the eligibility criteria for the investment projects to operate in special economic zones must be adjusted in proportion to the local unemployment rate to facilitate the development of small and medium size companies.
The fulfillment of this criterion is based on the official unemployment rates published by Poland's GUS (Main Statistical Office). The unemployment data used in the decision making process is the figures published for the last day of the month, two months prior to the month in which the zone's management announced the invitation to tender or opened negotiations to grant permission to operate in the special economic zone.
The criterion is considered fulfilled when the investment projects carried out in special economic zones have the following parameters:
1) in counties with unemployment rates equal to or lower than the national average, the investor will pledge to create at least 120 new jobs, or provide qualified investment outlay of at least PLN 35 mln;
2) in counties with unemployment rates higher than the national average, but not greater than 130 percent of national average, the investor will pledge to create at least 70 new jobs, or provide qualified investment outlay of at least PLN 25 mln;
3) in counties with unemployment rates higher than 130 percent of the national average, but not greater than 160 percent of the national average, the investor will pledge to create at least 50 new jobs, or provide qualified investment outlay of at least PLN 13 mln;
4) in counties with unemployment rates higher than 160 percent of the national average, but not greater than 200 percent of the national average, the investor will pledge to create at least 25 new jobs, or provide qualified investment outlay of at least PLN 2.5 mln;
5) in counties with unemployment rates higher than 200 percent of the national average, the investor will pledge to create at least 15 new jobs, or provide qualified investment outlay of at least PLN 1 mln;
Due to the economic condition of the five eastern Poland voivodships being significantly below the national average, the criterion for Świętokrzyskie, Podkarpackie, Podlaskie, Lubelskie and Warmińsko-Mazurskie voivodships has been lowered by 30 percent.