SPECIAL ECONOMIC

ZONES

IN RUSSIA

STATE MANAGEMENT COMPANY

«SPECIAL ECONOMIC ZONES»

GEOGRAPHY

2

INDUSTRIAL

AND

PRODUCTION

ZONES

TOURIST AND

RECREATION

ZONES

R&D ZONES PORT ZONES

8 14 3 5

SPECIAL ECONOMIC ZONES IN RUSSIA:

SUCCESS STORY OF FOREIGN DIRECT INVESTMENTS

Total number of investors in SEZ

3

• Total number of investors is more than 370

• About 70 foreign investors from 24 countries

• Total declared private investments amount

about USD 10 bln

• Total implemented private investments

are more than USD 3 bln

• More than 14’000 work places created

Russia SEZ

Profit tax, % 20 0-15.5*

Property tax, % 2.2 0 *

Land Tax, % 1.5 0 *

Transport Tax, RUB per hp 15 - 80 0 *

Social taxes, % 30

Working

staff R&D staff

30 14

Land purchase price 100%

market price

4 - 50%

cadastral price

* Depending on the types of zones

SEZ BENEFITS FOR MANUFACTURING AND R&D

Tax benefits Full-scale infrastructure supply

SEZ Infrastructure:

No connection fees (resources granting)

Electricity, heating, water, gas

Own customs terminals in SEZ

Attractive lease and buying rates:

Office space (lease)

Land plots (lease and purchase)

Comfortable

administrative

procedures

Federal and

regional

government

support

Tax benefits Free customs

zone

4

COMPETITIVE ADVANTAGES

Comfortable administrative procedures

• Сlear legislation and management (Federal Law

#116)

• Minimized administrative barriers

• Guarantees from the State

• Professional managing Company

• Triple agreement on mutual commitments

between the Ministry of economic development,

the Managing Company and a Resident

5

Tax benefits

• Special tax benefits for SEZ Residents

• Tax vacations for the construction period

Full-scale infrastructure supply

• Ready-to-use infrastructure for residents,

opportunity to reduce investments on new

project

• Free access to infrastructure and grids (no

connection fees for resources granting)

• Reduced and incentive prices for land plots and

offices lease

• Opportunity to buy land plots on special and

incentive prices

Free customs zone

• No import duties on equipment, components

and materials imported in SEZ

• No VAT on equipment, components and

materials imported in SEZ

• No export duties on finished goods (products)

exported outside the Customs Union

CONDITIONS OF AGREEMENT ON ACTIVITY IN SPECIAL

ECONOMIC ZONES

Resident of an industrial and production zone should make capital

investments not less than RUB 120 mln Including

RUB 40 million during the first 3 years.

Resident of a R&D zone with less than RUB 30 mln planned

investments is exempted from the Expert Council.

Resident of a port SEZ should make capital investments not less

than:

RUB 400 mln for port infrastructure projects;

RUB 120 mln for reconstruction of existing port infrastructure.

Federal Law №116 «On Special Economic Zones»

6

HOW TO BECOME A RESIDENT

4 STEPS TO BECOME A RESIDENT

7

Registration of legal entity in a region where a Special Economic Zone is located

STEP 1

Application for resident status and submission of a set of documents to the Management

Company or to the Ministry of Economic Development of the Russian Federation STEP 2

Presentation of the application to the Expert Council in the Ministry of Economic

Development of the Russian Federation STEP 3

Signing of a tripartite Agreement on activity in SEZ, issue of a Certificate of SEZ

Resident registration STEP 4

INDUSTRIAL AND PRODUCTION ZONES

8

10

Acting SEZ Recently established SEZ

SEZ CURRENT STAGE SEZ CURRENT STAGE

Alabuga

(Republic of Tatarstan)

The infrastructure is ready-to-

use (Stage 1 and 2).

The Residents are acting.

Titanium valley

(Sverdlovsk region)

The infrastructure is under

construction.

Stage 1 to be finished in 2015.

Lipetsk

(Lipetsk region)

The infrastructure is ready-to-

use (Stage 1and 2).

The Residents are acting.

Ludinovo

(Kaluga region)

Established in December 2012.

Design works.

Stage 1 to be finished in 2015.

Togliatti

(Samara region)

Engineering network, transport

infrastructure, communal zone

are to be finished by III Q 2014.

(Stage 1)

Moglino

(Pskov region)

Established in July 2012.

Design works.

Stage 1 to be finished in 2015.

INDUSTRIAL ZONES

General information

Set: December 21, 2005

Period: 49 years

Total area: 4 000 ha

Number of residents: 43 companies

Residents' activities:

Car construction and components

production

Machinery

Construction materials

FMCG

Food industry

Chemical industry

Distance to Moscow: about 1 030 km

Alabuga SEZ

11

A PLUS PARK ALABUGA

The total area of IP is 200 000 sq. m.

1st stage: 50 000 sq. m.

Completion:

16 000 sq. m. – 4th Q, 2014

34 000 sq. m.– 1st Q, 2015

2nd stage : 50 000 sq. m.

Completion: 2016

3rd stage : 50 000 sq. m.

Completion: 2017

4th stage : 50 000 sq. m.

Completion: 2018

SYNERGY

The total area is 24 500 sq. m.

Will be launched in 2014

The IP is divided into 20 modules of 2 types:

big (1224 sq. m.) and small (432 sq. m.) modules

INDUSTRIAL PARKS IN ALABUGA SEZ

12

LIPETSK SEZ, LIPETSK REGION

General information

Set: December 21, 2005

Period: 49 years

Total area: 1 024 ha,

with opportunities of extension up to 4 000 ha

Number of residents: 37 companies

Residents' activities:

Engineering and equipment

Metalwork

Electrotechnics

Car components

Construction materials

Distance to Moscow: 450 km

Lipetsk SEZ

13

MOGLINO SEZ, PSKOV REGION

General information

Set: June19, 2012

Period : 49 years

Total area: 215 ha

Number of residents: 2 companies

Residents' activities:

Engineering and equipment

FMCG and Electronics

Construction materials

Car components

Energetics

Distance to Moscow: about 740 km

Moglino SEZ

14

LYUDINOVO SEZ, KALUGA REGION

General information

Set: December 28, 2012

Period: 49 years

Total area: 610 ha

Number of residents: 1 company

Distance to Moscow: 350 km

Lyudinovo SEZ

15

TOGLIATTI SEZ, SAMARA REGION

General information

Set: August 12, 2010

Period: 49 years

Total area: 660 ha

Number of residents: 17 companies

Residents' activities:

Automotive industry, car components

Machinery and equipment

Chemical industry

Metalwork

Paper industry.

Distance to Moscow: 844 km

Togliatti SEZ

16

TITANIUM VALLEY SEZ, SVERDLOVSK REGION

General information

Set: December 16, 2010

Period: 49 years

Total area: 584 ha

1 stage – 295,4 ha

2 stage – 289 ha

Number of residents: 8 companies

Residents' activities:

Production and processing of goods from

titanium

Machinery and metalwork

Construction materials

Distance to Moscow: 1 870 km

Titanium Valley SEZ

17

18

R&D ZONES

General information

Set: December 21, 2005

Period: 49 years

Total area: 187,7 Ha (2 plots);

Investors: 90 companies working in:

Biotechnology and medical equipment;

Nanotechnologies and nuclear technologies;

IT and telecom;

Design of complex technical systems.

Distance to Moscow: 120 km

Logistics:

Roads within the site;

Sheremetyevo international airport (SVO) –

107 km.

20

DUBNA SEZ, MOSCOW REGION

Dubna SEZ

General information

Set: December 21, 2005

Period: 49 years

Total area: 129,4 ha (2 plots)

Investors: 34 companies working in:

Instrumentation;

Pharmaceutics and biotechnology;

IT and telecom;

Energy efficiency.

Distance to Moscow: appr. 740 km

Logistics:

Roads within the site;

Pulkovo International airport – 30 km from

Novoorlovskaya site.

21

SAINT-PETERSBURG SEZ, SAINT-PETERSBURG

Saint-Petersburg SEZ

General information

Set: December 21, 2005

Period: 49 years

Total area: 145,83 ha (2 plots)

Investors: 37 companies working in:

Microelectronics and electronics;

Nanotechnologies;

IT and telecom;

Biotechnologies.

Distance to Moscow: 35 km;

Distance to Sheremetevo international airport: 20

km;

Railway station Alabushevo near the site.

22

ZELENOGRAD SEZ, MOSCOW

Zelenograd SEZ

Set: December 21, 2005

Period: 49 years

Total area: 207,0 ha (2 plots)

Investors: 59 companies working in:

Nanotechnologies;

IT and telecom;

Biotechnologies;

Energy efficiency.

Distance to Moscow: appr. 2880 km.

23

TOMSK SEZ, TOMSK REGION

General information Tomsk SEZ

24

INNOPOLIS SEZ, REPUBLIC OF TATARSTAN

Innopolis SEZ General information

Set: November 01, 2012

Period: 49 years

Total area: 294,0 ha

Types of industries:

IT and telecom.

Distance to Moscow: appr. 717 km.

25

PORT ZONES

General information

Set: December 30, 2009

Period: 49 years

Total area: 640 ha

Number of residents: 7 companies

Residents' activities:

Aircraft MRO;

Aircraft re-equipment and conversion,

assembling;

Logistics and Distribution centers;

Components and materials production.

Distance to Moscow: about 726 km

Ulyanovsk Vostochny SEZ

27

TOURIST AND RECREATION ZONES

28

STATE MANAGEMENT COMPANY

«SPECIAL ECONOMIC ZONES»

Address: 6 Tverskoy Boulevard, Moscow, 125009, Russia

Telephone : +7 (495) 645 26 62

www.russez.ru