Invest in Primorje-Gorski Kotar County

Your Strategic Link

Dear bussiness partners, entrepreneurs and investors,

It is my pleasure to present to you the second edition of the “Catalogue for Investors of Primorje-Gorski kotar County”, completed with new projects from various sectors of strategic interests for the overall development of Croatia and the Primorje-Gorski kotar County.

As a region located at the crossroads of the Central European and Adriatic-Mediterranean paths, we are traditionally interesting to many entrepreneurs. Our advantages do not only include the geographical position, natural wealth and diversity, but also the readiness to accept new challenges.

This is witnessed by the centuries-long tradition in industrial production and shipbuilding, production of oil derivates, petrochemical and other products, wood processing industry, developed service sector, applied new technologies, and developed society of knowledge.

After becoming a full member of the European Union, Croatia will have many opportunities for a faster development based on the unique European market of commodities, capital and labour.

I believe the Catalogue will help you find your business and entrepreneurial interests, and that the Primorje-Gorski kotar County will justify its Croatian Investor Friendly Region certificate.

We are looking forward to your arrival and the interest in investing in our county’s territory. This will be an opportunity to get to know the natural beauties and diversities which make this area one of the most desirable tourist destinations.

I believe we will make your wishes, interests and concepts come true.

Zlatko Komadina, mechanical engineer
President of the County

In this Investment Catalogue, Rijeka is presented as a city of resources and initiatives for further economic development. As the biggest Croatian and a significant European and Mediterranean port, Rijeka offers many opportunities for investment, from top quality energy and infrastructure projects to tourist accommodation and housing construction projects, in the public and private sectors. On the other hand, representing one of top quality city administrations in Croatia, we are offering to the investors our cooperation and support in the realization of projects within the scope of all activities we are in charge of or we can directly influence as a unit of local self-government. In other words, as a city we can clearly define our advantages and we exactly know what our development priorities are. In the time of recession we consider such an approach as the best anti-recession policy.

Our best advantages are the excellent geographical and traffic position that generated many logistic and traffic projects presented in this Catalogue, such as the new Intermodal Terminal or further development of the Port of Rijeka with a new Waterfront. As the center of one of the best developed Croatian tourist regions, Rijeka strongly develops the urban tourism, based on city events and the cultural offer.

With such an approach, we have already managed to start an investment cycle in the past years. Among the first cities in Croatia, Rijeka has issued city bonds for the construction of new sports facilities or has used innovative financial models for infrastructural projects. Among our partners I am pleased to mention some of the most significant financial institutions worldwide, such as the World Bank and the EBRD – European Bank for Reconstruction and Development. To all investors showing interest for Rijeka, these partnerships should be the best indicator of how advanced and future oriented the city is that in this Catalogue, together with the County of Primorje and Gorski Kotar, offers a great number of well prepared projects among which you may, I am sure, recognize your own investment opportunities.

Vojko Obersnel, M.Sc.
Mayor of the City of Rijeka

A hundred-year old tradition, natural diversity, intriguing historical heritage, quick access to Central and Eastern Europe and other EU countries, well-built infrastructure, trained workforce, stable economic environment and a good network of small and medium-sized suppliers, as well as many other advantages, guarantee good and profitable investment in Primorje-Gorski kotar County.
The Republic of Croatia, as planned, will become the 28th EU member on 1 July 2013 and, as a member of CEFTA, has unlimited duty-free access to the EU market for almost all products.

Excellent traffic network with main Pan-European corridors (X. and V.b.)

Road transport

• Rijeka – Zagreb – Eastern/Central Europe,
• Rijeka – Trieste – Western and Northern Europe,
• Rijeka – Ljubljana – Northern Europe,
• 500 km of road distance from main European centres

Railway system

• To all European destinations,
• Budapest, Munich etc. are within 24-hour reach by railway from the Port of Rijeka.

Maritime transport

• Rijeka – the largest Croatian port,
• The route from the Far East is up to 7-days shorter compared to Northern European ports.

Air transport

• The proximity of 5 airports: Rijeka – Krk, Zagreb, Pula (Croatia); Trieste (Italy); Ljubljana (Slovenia).

Geography

Primorje-Gorski kotar County is situated in the western part of Croatia with a total land surface area of 3,588 km², which is 6.3% of the total Croatian territory. The length of the coastline is 1,065 km and the number of islands is 55. This county is unique because of its very convenient geostrategic position and natural diversity including islands, coastal areas and mountain areas.
A significant national and international role of this County throughout Europe is that, via the Danube and Adriatic areas, it connects Central and Eastern Europe. The Port of Rijeka is the largest and most important Croatian port. Because of its excellent geostrategic position, the Port of Rijeka is especially important as a final point of the shortest maritime route between the Far East and Europe, which, compared to the distance of Northern European ports and depending on the port of departure, can be up to 7 days shorter. In terms of administrative activities, the County has 36 local self-government units – 14 cities and 22 municipalities.
Rijeka is the hub of the Primorje-Gorski kotar County and the third largest Croatian city; it is spread over an area of 44 km² and has a population of approximately 145,000. Its population density rate is the highest in Croatia with 3,274 inhabitants per km². Rijeka is a social and economic, transport, cultural, educational and political hub in the region. The Port of Rijeka is the largest sea port in Croatia and the European gateway to the Far East.

Demographics characteristics

Primorje-Gorski kotar County has a population of 296,123 which is 6.9% of the total Croatian population. The gender breakdown is 51% female and 49% male.
The largest number of inhabitants live in urban areas (Rijeka, Opatija, Mali Lošinj, Crikvenica etc.).

Economy

The gross domestic product per capita is EUR 12,305 and along with the City of Zagreb and the Istrian County, the Primorje-Gorski kotar County is among the most developed counties of the Republic of Croatia. The unemployment level in 2011 was 14.2%. The average gross monthly salary is HRK 7,000.00 (EUR 946).

Education

The University of Rijeka has ten faculties and three departments with over 19,000 students; part of the student population is enrolled in neighbouring universities (Zagreb, Trieste, Padova etc.).
There are also graduate, postgraduate and doctoral courses offered in Rijeka and a number of elementary schools, of which four are Italian. There are vocational high schools, grammar schools, music schools, design schools and one Italian high school.

Work force

Its work force makes up 66% of the whole population, with highly qualified professionals. Approximately 70% of the work force has high school, college and university degree qualifications, while 19% are qualified professionals. Women make up 48% of the working population.

Quality of living

People can live very comfortably in Primorje-Gorski kotar County, working both in urban and rural areas. There are theatres, galleries, museums, state archives, libraries, cinemas, residential buildings and family houses, along with good health care facilities: hospitals, clinics, emergency centres, private practices, nursing homes, rehabilitation centres, sports and recreation facilities such as sport centres and playgrounds, diving centres, pedestrian and cycling tracks, mountain tracks, swimming pools and wellness centres. There are also many shopping malls, restaurants, hotels and campsites etc.

Research and development

Research and development companies may be found in the ship building, petrochemical and pharmaceutical industries and in the ICT. There is a Technological and Science Park in Rijeka, at the University of Rijeka, along with development agencies, entrepreneurial incubators and entrepreneurial centres, as well as a very strong community of innovators.

Key sectors

The structure of sectors in the County is as follows:

• Trade – 43% share,
• Industry – 31% share,
• Construction industry – 8% share,
• Transport, communications and storage/warehouse activities – 9% share,
• Hotels and hospitality industry – 5% share,
• Technical, scientific and administrative services – 4% share.

Investment incentives

National investment promotion measures pursuant to the Act on Investment Promotion and Improving the Investment Climate (national gazette of the Republic of Croatia “Narodne novine” 111/12):

Stimulations for big investments

For capital investments of at least EUR 5 million, non-refundable financial support in the amount of 10-20% of the real justified costs of investments in the long-term assets will be approved, with the condition of opening at least 50 new workplaces.
For work-intensive investment projects, an increase of 25% in the support for opening new workplaces will be approved, with the condition of opening at least 100 new workplaces, an increase of 50%, with the condition of opening at least 300 new workplaces, and an increase of 100%, with the condition of opening at least 500 new workplaces.
Local stimulations for operations are arranged by each local government for the land prices, communal fees, contributions, etc., and are regulated by the decisions of the local self-government units.

Overview Primorje and Gorski-kotar county

• Land area: 3.588 sq km²
• Capital: Rijeka
• Administration: 14 towns and 22 municipalities
• Population: 296.123
• Climate: Mediterranean, with the influence of the mountain
• GDP: 12.305 EUR
• Uneployement rate: 14,2 %
• Average gross salary: 946 EUR