EMCC European Monitoring Centre on Change

Industrial parks and industrial zones

Slovakia
Phase: Anticipation
Тип:
  • Access to finance
  • Advice
  • Attracting investors
  • Matching/Networking
  • Support of companies' growth
  • Support of internationalisation
  • Support of SMEs
  • Territorial coordination
  • Training
Last modified: 03 August, 2021
Native name:

Priemyselné parky a priemyselné zóny

English name:

Industrial parks and industrial zones

Coverage/Eligibility

Industrial parks and zones are available for foreign or domestic investors planning to run a business in Slovakia. Detail information on available Industrial parks and zones is provided by the Ministry of Economy. They are available in certain regions and the most of industrial parks and zones are located in Western Slovakia and Eastern Slovakia. For instance, nearby Nitra and Kosice cities, respectively. Upon information on available industrial parks and zones, employers can decide on the location of their business undertaking in the country.

Main characteristics

Industrial parks/zones play an important role in anticipating restructuring in Slovakia via attracting investors. The Ministry of Economy (MH SR) provides detailed information for foreign and domestic investors on eligible industrial parks and zones. Investors can use it for the decision on suitable location for their companies. Building industrial parks and zones is funded from national, regional and European resources (ERDF). This involves planning, organisation and implementation of restructuring aimed at developing employment in selected regions through new direct investments, often from foreign multinationals, including the development of skills. Industrial parks provide infrastructure, such as electricity, gas and water supply, telecommunication and related road network. Besides basic infrastructure, investors in industrial parks can ask for state aid to support their business activities and may avail of free of charge consultations. Industrial parks are also available for SMEs.

Funding

  • Regional funds
  • National funds
  • European funds
  • European Funds (ERDF)

Involved actors

National government
Co-funding and coordination through the Ministry of Economy (MH SR). .
Regional/local government
Co-funding and development of regional development strategies. For instance, of Nitra region in Western Slovakia, Zilina region in Central Slovakia and Kosice region in Eastern Slovakia.
Public employment services
Education and training providers offer support in skills development.
Employer or employee organisations
Sectoral bodies are sometimes involved indirectly. For instance, the Association of the Automotive Industry (ZAP) - the most of car producers and their supliers were built in greenfield industrial parks and zones.
Other
EU funding is provided in some cases, such as by the European Regional Development Fund (ERDF).

Effectiveness

From 2004 to 2013, through the operational programmes Industry and Services and Competitiveness and Growth, non-returnable grants were provided for the amount of €102 million for building 25 industrial parks. Since then, to satisfy growing demand of investors, some of the parks have been enlarged. In 2017, the government decided to support building a new industrial park in east Slovakia in Sobrance-Bunkovce, a region experiencing high unemployment. Industrial parks and zones play a useful role in attracting employers to the regions in which they are located and create thousands of jobs. According to the MH SR, Analyza priemyselnych parkov na Slovensku (May 2018), a total of 43,710 new jobs were created in 74 industrial parks in Slovakia as of 30 June 2017.  Industrial parks in Poprad - Matejovce and Myjava can be mentioned as the most effective in terms of the ratio: planned and actually created number of jobs -  about 900% and 300%, respectively. By June 2020, almost 64,500 new jobs were created in 77 industrial parks.

Strengths

The programme was implemented mainly in regions with high unemployment rates. Basic infrastructure is provided to potential investors. Necessary infrastructure and in some cases also production halls and facilities are immediately available. This allows investors to start their business promptly. The state organisation, MH SR, MH Invest II, s.r.o. annually monitors the operating industrial parks and zones. Extensive and current information on industrial parks/zones in Slovakia is publicly avalaible by regions, districts and localities/municipalities, and also includes the rate of registered unemployment.

Weaknesses

This programme does not automatically guarantee the creation of new jobs in the region. In some cases, expectations regarding potential investors and the number of created jobs are met accross several years.

When state aid is provided to the investment project, corporate tax may be reduced for the actual investor.

Examples

For instance, Foxconn Slovakia and Jaguar Land Rover Slovakia in Nitra-Nord, Getrag-Ford in Kechnec, MinebeaMitsumy in Immopark Kosice, BASF in Zahorie Eurovalley, Samsung in Galanta-East, Arcelor Mittal in Senica, Johnson Controls in Trencin, Volkswagen in Martin-Sucany, Kia in Teplicka nad Vahom, Honeywell in Presov-Zaborske, Amazon in Sered industrial parks.
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