Macedonian-West Australian Business and Economic Forum

Why Invest in Macedonia

Market Access

Duty-free access to a market of over 650 million people including the EU, Eastern and South European markets and Turkey

Good Strategic Position

At the crossroads of Europe with major pan-European transportation corridors intersecting the country; Corridor 10 (North-South) and Corridor 8 (East-West)

Low Costs

One of the most cost competitive locations in Europe with average monthly gross salaries of approximately 370 Euro.

Low Taxes

Corporate Income Tax rate moving down from 15% to 12% in 2007 and 10% in 2008; a ten year tax holiday is available in special Technological-Industrial Development Zones.

Great People

A young (45% under 30), loyal, and educated workforce available (unemployment rate of 35.9%) with a strong work ethic and excellent industrial relations record.

Stable Democracy

A stable political and economic climate within a multi-party parliamentary democratic system and with official EU Candidate Country status.

Good Infrastructure

Excellent telecommunications system (100% digital), extensive WiFi coverage, motorway standard roads connecting main cities, plentiful supply of power, two international airports, in Skopje and Ohrid, with regular connections to several larger European transport centres.

FDI a Top Priority

The Government elected in July 2006 whose top priority is the attraction of more Foreign Direct Investment (FDI) to the Republic of Macedonia.

Negotiable Financial Incentives

An attractive package of support incentives can be negotiated on a case by case basis.

Responsive University System

Universities willing to collaborate with incoming investors in finding ways to meet skills needs.

Excellent Linguistic Skills

The major Balkan languages understood in the Republic of Macedonia with English (widely spoken), French and German being compulsory at primary and secondary level of education.

Good Living Environment

Highly attractive living and working conditions with good houses, apartments, hotels and restaurants available at very competitive rates.

Foreign Companies already in Macedonia

As a result of a growing interest in Macedonia’s investment potential, a number of international companies have started operations in the country, both as green field projects and through different types of asset acquisition and privatization. The latter includes the purchase of the electricity network company by Austria's EVN, and Macedonian Telecommunications shares by T-Mobile. Other significant foreign investors include Mobilkom Austria (Austria), Societe Generale (France), Johnson Controls (USA), the National Bank of Greece (Greece), Hellenic Bottling Company S.A. (Greece), QBE Insurance Group Limited (United Kingdom), Mittal Steel Holding N.V. (Netherlands), Duferco Lugano (Switzerland), and Titan Group (Greece).

What they say

Universal Mining Investments, Perth Western Australia

We currently have before the Macedonian Government four concession applications for Uranium leases being considered by the appropriate departments. We are already well advanced to submit further applications for concessions in additional Uranium and various base metal projects. I would like to thank the Honorary Macedonian Consul in Perth and the Macedonian Government for their valuable assistance. As discussed our company believes there are many opportunities for both of our countries to create mutually acceptable projects in Macedonia. We have some ideas to help promote business with Macedonia and I will be meeting with Macedonian representatives when our associate returns from China to discuss further.

B. J. Stapleton.
General Manager
Universal Mining Investments Macedonia
Perth WA 9474 9086

Johnson Controls, USA

On October 5 2006 Johnson Controls, a leader in automotive interior experience, laid the foundation stone of a new automotive electronics plant in Eastern Europe. The new plant is part of Johnson Controls’ strategy for Eastern Europe and production is due to start at the end of 2007. It is anticipated that by the end of 2008, around 150 new employees will have been hired to assemble printed circuit boards in a total workspace of around 6,000 square meters.

This foundation stone signifies an important and exciting achievement for Skopje and Johnson Controls,” said company Chairman and CEO John Barth. “The Macedonian government has been extremely committed and I would like to thank its officials for their work in supporting this effort.

I have no doubt that our partnership will yield excellent results for both Johnson Controls and the Skopje community.” br />
Excerpts from Johnson Controls Press Release, dated October 5th, 2006 <

ITM, UK

“In light of the current economic and political circumstances in Macedonia, particularly the progressive commercial climate being nurtured by the Government, European investors would do well to consider Macedonia as a potential setting for their own growth and development.” Mr. Patrick heedy, Media & PR Director for the Institute of Transport Management .

Swedmilk, Sweden

"We are investing in Macedonia because we see clear business opportunities and strong potential for development of the milk industry" – Roger arson, Director General Swedmilk Makedonija. “I’m satisfied with the investment in Macedonia so far. It is a very complex investment, but the central and local governments have been supporting and helping us since the beginning.” – Roger Oscarson, Director General Swedmilk Makedonija.

New British Investment in Macedonia

Johnson Matthey to build new Emission Control Catalyst Plants in Macedonia and the USA

Johnson Matthey announced that it is to build two new emission control catalyst plants to serve rapidly growing demand for its products in Europe and North America.

The first of these major projects is a state of the art manufacturing facility that is to be constructed in the Bunardjick Technological and Industrial Development Zone, 15 kilometres from the Macedonian capital, Skopje. The new plant will be built to a modular design and the initial phase will incorporate highly automated production lines for both light duty diesel autocatalysts and selective catalytic reduction (SCR) catalysts for heavy duty diesel vehicles.

Both the Macedonia and USA facilities are expected to commence operation by the end of 2009.

Macedonian - West Australian Business & Economic Forum