WELCOME TO NOVA GRADIKA, CROATIA

Located in Central and Southeastern Europe, Croatia has been traditionally linking West and East. Today this
role is even more important, as country has started integration in EU, while maintaining its close ties to its
Central, Eastern and Southeastern European neighbors.
Croatia has been EU member state from July 2013.
Competitive investment environment of Croatia, characterized by excellent location in the middle of South
Eastern Europe, improved business climate, and high intellectual capital has resulted in fact that Croatia was
one of most attractive investment location in CEE according FDI per capita within the period 2006-2013.
Nova Gradika is situated in eastern part of Croatia. It is town with 15.000 citizens and center of area with approximately 60.000 inhabitants. The town is situated in plain area with mountain background. Nova Gradika
is positioned on main European motorway (E 70) and railway directions, which connect West Europe with
South-east Europe and Asia (European transport corridor 10), and North Europe with Mediterranean (European transport corridor 5c Budapest Adriatic see).
Natural potential, saved environment with low level of environmental pollution create opportunity for high
quality and healthy life, and opportunity for development of tourism and ecological agriculture production.
Nova Gradika is important industrial center with high development potential in metal processing, wood processing, electro-technical and food processing industry. Development of educational institution and business
support infrastructure create an excellent base for intensive economic growth and development.

VISION:
City of Nova Gradika has been developed as industrial and educational centre and bases
its development on knowledge and innovativeness.

THE CITY OF NOVA GRADIKA DEVELOPMENTAL POTENTIALS

SKILLED, EDUCATED AND MOTIVATED WORKFORCE

With professional, IT/IS and foreign language knowledge, willing to learn continuously and work
according to the European working standards,
Long tradition in metal processing, electrotechnics, wood and food processing industry,
Intensive development of educational and business support institutions, especially in the field of
metal processing, electrotechnics and informatics.

EDUCATIONAL INSTITUTION

PRIMARY SCHOOLS

INDUSTRIAL SCHOOL NOVA GRADIKA

Professional programs:

Metal processing (turner, machinery locker, and toolmaker)

Wood processing (carpenter)

ELECTROTECHNICAL AND ECONOMIC SCHOOL NOVA GRADIKA

Professional programs:

Electro technician, Electro machinery technician, Computer

technician

GIMNASIUM NOVA GRADIKA

MECHANICAL ENGINEERING FACULTY IN SLAVONSKI BROD

FAVOURABLE GEO-TRAFFIC POSITION

Nova Gradika is positioned on international highway (E70)

and international railway corridor (EC10), which link West
Europe with Southeaster Europe and Asia, and close to the
intersection of two Pan-European transport corridors EC 10
and EC 5c (Budapest Adriatic sea)
Close to and good access to European Union and Southeastern and Eastern Europe market.

DEVELOPED BUSINESS INFRASTRUCTURE

BUSINESS INNOVATION SUPPORT CENTRE (BISC)

International highway (E 70) and international railway corridor (EC 10)
Telecommunication infrastructure
Developed Banking Sector
Developed Insurance Sector

PANNONIAN GREEN INDUSTRIAL PARK NOVA GRADIKA

Mission: Regional development by investment attraction.
Competitive investment environment of Croatia, characterized by EU membership in 2013, improved business
climate, high intellectual capital, excellent location in the middle of Europe and cost efficiency, has resulted in
fact that Croatia was number four investment location in Europe according to FDI per capita.
Excellent location on cross of two European transport corridors EC 10 and EC 5c, motivated professional
workforce, developed communal and business infrastructure, investment incentives and benefits, high level
of responsiveness and flexibility, create opportunity for Your successful business.

Industrial park Nova Gradika offers excellent terms and

conditions for investment, comparable with the best in
Europe.
Industrial park Nova Gradika is positioned on very favorable location along international highway E70. It is
developed on 82 ha, while additional 60 ha is available.

PROFESSIONAL SUPPORT HIGH RESPONSIVENESS AND FLEXIBILITY

Industrial park Nova Gradika Ltd. ensures full professional support, fast response on investors requirements
and flexibility:

Coordination with local and regional institutions Building permit issue,

Coordination with state institutions State Investment incentives and benefits Ministry of
Economy,

Coordination with Employment service and Educational institutions Selection and education
of employees,

Contacts with Project and Building companies, Business service companies, potential
supplier, customers or partners.

BUSINESS INNOVATION SUPPORT CENTER (BISC)

The Project Business Innovation Support Center (BISC) Nova Gradika has been realized with the purpose to contribute to the sustainable regional development and to improve competitiveness of business
sector by creation of business environment favorable for development of knowledge and technology based
innovative entrepreneurship and development of human capital.
BISC focuses its activities on CNC technology in metal processing and wood processing industry, electromechanical engineering and computer science. The project is realized in close cooperation with Industrial school
Nova Gradika, Electrotechnical and economic school Nova Gradika and Faculty of Mechanical Engineering
in Slavonski Brod.

Basic components of the project:

Training center for New Technologies
Offers basic and advanced training on using CNC and CAD
techniques, and it is equipped with modern machinery for CNC
metal and wood processing.
- Basic and advanced training in CNC metal processing
- Basic and advanced training in CNC wood processing

Centre for Business and Marketing Services

Business consulting in the following areas:
- Business planning and development,
- Preparation of investment studies, business and
marketing plans, applications for EU and other funds,
- Financial management,
- Marketing management,
- Human resource management.

Business Technology Incubator

Office, classroom and manufacturing space is given to rent to
new entrepreneurs and existing technology oriented companies at favorable prices, general office and presentation equipment, LAN, advisory and technical services are also provided.
It provides an ideal place for the development and business
growth.

Center for Engineering and Technology Services

Centre offers advisory services to SME in the region, focused
on mechanical engineering, electrical engineering and wood
industries. Center also provides services of CNC metal processing in terms of making high precision metal parts and
products, and CNC wood processing and manufacturing of
complex products of wood. Services in 3D scanning and reversible engineering are also provided.

INVESTMENT AND EMPLOYMENT INCENTIVES AND BENIFITS

With the aim to promote investment in economic projects, relating to the number of new employees, type,
value and dynamism of investment, competitive package of investment incentives and benefits could be
approved on state level and local level.
Incentive measures for investment projects in the Republic of Croatia are regulated by the Act on Investment Promotion and Enhancement of the Investment Environment (OG 111/12) and pertain to investment
projects in: manufacturing and processing activities; development and innovation activities; business
support activities and high added value services.
Incentive measures are:

1.
2.
3.
4.
5.
6.

Incentives for microenterprises

Tax advantages
Tariff preferences
Incentives for eligible costs of new jobs linked to the investment project
Incentives for eligible costs of training linked to the investment project
Incentive measures for: development and innovation activities; business support activities; and
high added value services
7. Incentive measures for capital costs of the investment project and
8. Incentive measures for labor intensive investment projects
TAX INCENTIVES
Investment amount
( mil.)

Number of newly
employed

Period (years)

Period of
employment (years)

Profit tax rate

<1

5 (3 for micro)

10

3 (SMEs), 5 (large)

10%

1-3

10

10

3 (SMEs), 5 (large)

5%

>3

15

10

3 (SMEs), 5 (large)

0%

County
Unemployment
Rate

Incentive Rate in
Relation to Eligible
Costs of Opening
New Workplaces

Increase for Technology

Innovation and Development Centers

Increase for Business

Support Strategic
Activities

Incentives for innovation and development

activities

<10%

10% (max. 3,000 )

+50% (1,500 )

+25% (750 )

10-20%

20% (max. 6,000 )

+50% (3,000 )

+25% (1,500 )

>20%

30% (max. 9,000 )

+50% (4,500 )

+25% (2,250 )

20% of the eligible

cost of buying the
equipment /machinery
(up to 0.5 million) All the equipment has
to be high technology

EMPLOYMENT INCENTIVES

PROGRAM FOR INVESTMENT AND EMPLOYMENT PROMOTION OF THE CITY OF

NOVA GRADIKA

Local tax, communal contribution and communal fee benefits,

Full support in new employees training (including co-financing),
Sale, leasing, usage or granting of construction rights of infrastructural equipped land in
Industrial Park under favorable conditions price 3.4 EUR/m2.

BUSINESS COSTS IN NOVA GRADIKA

Market Dimension

Utilites

EUR

Size of Domestic Market

4.7 mill

Water Cost (drinking water)/ m

1.03

Size of Regional Markets

60 mill

Sewage - waste water /m

0.42

Size of Market Country Serves

600 mill

Waste/garbage collection /month

7.22

Market Accessibility

free trade

Manpower Availability

Gas Cost / m

0.40-0.50

Electricity Cost

Production

+++

Data Processing / Administrative

+++

Installed power

EUR / kW

Engineers / Skilled Production

++

Working power

Management

++

Working energy /kWh

Executive

High / low tariff

Research & Development

Training Provision

Skill Assessment

Unemployment Rate

25%

Unionized Labor (%)

50-70%

% Completing Primary School

Population

98%

186.33

Tariff model - Medium Voltage

EUR / kW / month

13.06
0.8552 / 0.6184

Transport
Road

4.7 mill

EUR
Zagreb-Trieste

700.00

> 500 km

0.9 EUR/km

Rail
Economic Indicators

Ship

Political and Economic Stability

EU membership

Corporation Tax - Profit tax

20%

Financial Assistance/Grants

for new employment

Enterprise Zones/Tax Concessions

investment incentives

Inflation Rate

2.3 %

Bank Rate

4-8%

Property

EUR

N.Gradika - Hamburg 40", <35t

1,200.00

N.Gradika - Barcelona 40",<35t

1,000.00

Telecommunications
Monthly Costs (monthly fee)

11.58

National circuits - daily tariff / min

0.0380

- night tariff /min

0.0190

Telephone Costs - call to Germany / min

500,000

Production Space - Industrial park / ha

35,000

Production area

Cost to Build/m (prod.space)

200-400

Service area

/m2/month

**Communal Contribution - IV zone

***Water contribution - B zone

Cost to Build/m (non-city) - prod.space

2

600-1,000
200-400

0.0676

/m2/month

Office Space
Cost to Build/m2 (city) - office

EUR

*Communal fee - Industrial park - IV zone

Cost to Rent/m

0.3119

Communal Fees and Contributions

Site Costs - Commercial (city) / ha

2

EUR

0.1470
/m

Office area

/m3

5.80

Production area

/m3

1.04

* Calculation based on surface (m2) of production and service area - monthly payment
** Calculation based on building volume - one-time obligation at moment of building permit issue - Local legislation
*** Calculation based on building volume - one-time obligation at moment of building permit issue - State legislation
Processing Industry - Average salary
Neto salary

1.08

Total costs

Qualification level:
High degree (M.Sc.)

850

1,400

Higher degree (B.Sc)

580

950

Qualified worker

460

720

Unqualified worker

370

580