1. PROJECT TITLE
Drvna Industrija Vlasenica a.d. Vlasenica
Wood industry sector
Territory of the municipality of Vlasenica
4. BRIEF PROJECT DESCRIPTION
Project purpose is to revive the existing production capacities of company Drvna Industrija Vlasenica a.d. Vlasenica, which are located in the territory of the municipality of Vlasenica.
Present activity of the company:
- production of furniture, parquet and sawn timber.
Production possibilities/installed capacities (currently):
|Primary production capacity (sawmill)||
|Bed production capacity||
|Parquet production capacity||
|Drying capacity (in one cycle)||
The production capacities are fitted with complete infrastructure (electricity, water, sewerage, boiler room, freight vehicle access).
5. PROJECT DETAILS
5.1 What type of project is it?
- possibility of sales of unused land (suitable for greenfield investment),
- technical business cooperation (investment in manufacturing equipment modernization and product development and market expansion).
5.2 Project status
Company Drvna Industrija Vlasenica a.d. Vlasenica is 83,47% owned by the Government of the Republic of Srpska which is seeking a strategic partner.
5.3 Reasons to invest in the project
- Favorable geographic position. The municipality of Vlasenica is located on the trunk road Belgrade-Sarajevo, Novi Sad-Sarajevo.
- Long industrial tradition, quality and availability of highly skilled labor, at competitive labor costs.
- Republic of Srpska has significant raw materials for wood industry.
- The grounds of company Drvna Industrija Vlasenica a.d. Vlasenica are suitable for the initiation of wood or another type of production and for storage.
6. PROJECT FINANCING:
6.1 Estimated project value in €
The sale of the state-owned capital is conducted in compliance with the Law on privatization of state-owned capital in enterprises, by issue of a tender or by method of direct buyer selection. In their offer, the strategic partner (buyer) will propose a purchase price, as well as an investment plan, an employment plan and other intents. The strategic partner will also propose a price of lease of production capacity, a joint venture or another form of cooperation, in a letter of intent.
6.2 Planned sources of financing
Complete project financing by potential investor or joint venture.
6.3 Inputs by local partner
The Government of the Republic of Srpska’s employment incentives, tax and duty reliefs, favorable treatment of foreign investors, agreements on investment promotion and protection, etc.
6.4 Inputs by investor
7. Has physical location for project implementation been identified
The facility is located on the grounds of company Drvna Industrija Vlasenica a.d. Vlasenica and 83,47% owned by the Government of the Republic of Srpska.
Available area: 41,374 m2 of land, of which 9,433 m2 is developed. The production capacities are fitted with complete infrastructure.
8. Have the activities on project implementation already started
Yes. The Government of the Republic of Srpska is endeavoring to find a strategic partner.
9. Project applicant and contact information
DRVNA INDUSTRIJA VLASENICA A.D. VLASENICA
Tel: +387 56 710 970,