Estonian economy at a glance Estonia's economy offers key - - PowerPoint PPT Presentation

Riga, 02-03.05.2012

www.investinpaldiski.ee

Paldiski- Home for Salavat Julajev

More information: Enn Laansoo, Jr. +3725216858 enn.jr@investinpaldiski.ee

Chairman of the Board

Association of Entrepreneurs of Paldiski

Member of the Board

PAKRI Science and Industrial Park for renewable energy

Estonia's economy offers key opportunities for companies in a number of sectors including ICT, electronics, machinery and metalworking, wood processing, logistics/transport and food. The R&D elements of these activities are supported by the country's 9 universities and 24 higher education colleges, which collectively provide a source of graduates,

• ften fluent in English, Swedish, Russian, Finnish and German.
• 1. Estonia has a modern market-based economy with a modified

currency board monetary system

• 2. As of January 1, 2011 Estonia is a member of the euro area
• 3. Estonia has the highest per capita income levels in Central and

Eastern Europe

Estonian economy at a glance

Cornerstones of economic success

• Monetary reform - currency board arrangement since 1992
• Privatization - completed, with 4 infrastructure companies in state
• wnership
• Liberal foreign trade regime - market is open for all competition
• Modern tax system - flat income tax with 0% on reinvested profits

Credit ratings Estonia has some of the highest international credit ratings in the region.

• Standard & Poor: AA-
• Moody's: A1
• Fitch IBCA: A+

Key economic indicators

• GDP at current prices: €14,5 billion (2010)
• GDP per capita: €10 820 (2010)
• Annual FDI: €1,162 billion (2010)
• FDI stock: €12 billion (2010)
• Unemployment: 10,4% (2012)
• Exports: €8,8 billion (2010)
• Imports: €9,2 billion (2010)

Read more: http://www.bankofestonia.info/pub/en/majandus/majandus

• Founded in 06.2010
• 15 members, including Municipality of Paldiski
• Nonprofit, open for everyone

Pakri Plaza OÜ

Paldiski Tuulepargid OÜ

Balti Gaas OÜ

Soojusenergia OÜ

 Area of ca 102km2, Estonian second largest after capital

Tallinn

 Ca 4200 citizens (max ca 10-16000)  Distance to Tallinn, 49km, ca 40 minutes  Distance to

›

Riga ca 325, ca 4,5hours

›

Helsinki ca 130km, ca 5 hours

›

• St. Petersburg ca 420km, ca 7hours

›

Moskov ca 900km, ca 16hours

›

The Republic of Bashkortostan ca 2500km  The first Estonian settlements since the 10th century, City of

Paldiski established in 1718

 Home for Salavat Julajev during 1778-1800  The town is built on one of the most scenic sections of

Northern Estonian coastal cliff

 2 large non-freezing and deep ports  Railway connection to Russia, Europe and Asia  Highway  Ämari Airport (today under NATO use, perspective for cargo

transport centre)

 Existing infrastructure  Business value chains to attract

foreign investors

 Close to capital Tallinn (workforce)  24 hours and 50M consumers  48h and 300M consumers

 Paldiski is second after Tallinn in terms of the royal visits and

magnet throughout centuries for various foreign invaders and rulers- main factor our deep, non-freezing ports and nature



First Swedes arrived in Pakri area around 13th century



Väike-Pakri and Suur-Pakri Islands (Lilla Rägo and Stora Rägo) in 14th century

 The tsar Peeter I decided to build in the 1718 the main naval

base for Russian Empire`s Baltic fleet, which would be comparable to the largest European naval bases

 Luckily it was not completed (Peeter I died in 1725)  Another try and this time Russians were lucky- since 1940`s to

1994!! Paldiski was special military zone

 Nuclear submarine training center



1939 main export to Sweden, 11 000tons of Limestone (2011 ex 330 000tons limestone- 95% FIN)



2011 to Sweden 176 000tons of timber

 19th century and extensive railroad construction took place

by Russian Empire- St.Petersburg-Tallinn-Paldiski railroad

 Railroad initiated real estate development- new commercial

warehouses, also Naval College, train depot etc

Value chain- chain of different companies working together to offer variety of services and products to attract companies to invest to Paldiski.

 Car logistics  Energy center  Modern metal manufacturing center  Oil and gas storing, loading center  Depot for Russian and Asian market



Cars pre delivery inspection and parts logistics



Volume

• 2010- 29 000 cars
• 2011 (est)- 44 000 cars
• 2012 (est)- 53 000 cars



Brands: Mercedes, Toyota, Lexus, Citroen, Honda, Subaru, Mazda, Nissan



Attractive for the client

• Storing site for more than 5000 cars



www.assistor.ee

 Energy production

WIND PARK DEVELOPER  existing 18,4MW wind park- Pakri wind park  additional 22,5MW, construction started, ready in 2012- Paldiski wind park  www.4energia.ee LNG-TERMINAL DEVELOPER  phase 1- 60 000m3 storage and 1BCM yearly  phase 2- 2x 160 000m3 storage and 2,5BCM/yearly  Ready in 2014 BIOMASS BASED DISTRICT BOILER PLANT  woodchips, bark, sawdust and peat  Using a biomass for district heating= environment friendly and stable heat energy price  www.swenergia.ee

Paldiski Tuulepargid OÜ

 Energy production and sales

LARGEST ENERGY PROVIDER, WIND PARK DEVELOPER

 22,5MW wind park, construction started, ready in 2012  www.energia.ee

 Renewable energy competence centre

SCIENCE AND INDUSTRIAL PARK FOR RENEWABLE ENERGY

 renewable energy research and development (R&D),  new technology test-bed  production  incubation and start-ups  developed with Tallinn Science Park TEHNOPOL  own SmartGrid energy network, including ca 18MW wind- park  ca 57 hectare  construction starts in the beginning of 2013

 Hot dip galvanizing plant

 The most technically advanced plant in the Baltic's and Scandinavia  Started in 2008  All zinc related production and services  www.zincpot.ee

 Modern metal manufactures industrial park

 ca 21 hectares  24 lots, size from 2200 to 14000m2  www.paldiskitehnopark.ee



Light oil products tankfarm

• Total capacity 317 900 m³



Petrochemicals tankfarm

• Total capacity 28 000 m³



LPG tankfarm

• Total capacity 12 000 m3



Other services

• product forwarding;
• customs/excise warehousing;
• insuring the cargo in Estonia;
• independent laboratory analyses;
• real-time cargo information through internet;
• mixing cargo



www.alexelaterminal.ee



Privatly owned



Free Customs Port (Toll free zone)

› 400 000m2 storage area › 20 000m2 of storage

buildings



Total docks length ca 1km



Vessels max depth 12,5m



Vessels Max length 290m



www.portofpaldiski.ee



Stevedore company in Northern Port



Main Cargo groups

› Commercial vehicles and passenger cars › Rolling and chain wheeled cargos › Projects and heavy lift cargos › General and bulk cargos › Containers



Specially designed transportation corridor, what take the shortest time possible to deliver cargo to the final destination



State owned



10 docks



Total docks length 1,85km



Vessels max depth 13,5m



Vessels Max length 230m



Volume

› 2009 3,8M tons › 2010 3,9M tons › 2011 (est) 4,6M tons



New investments to

› wood pellet warehouse › Peat warehouse › Oil refine factory



www.ts.ee



Stevedore company in Southern Port



Main Cargo groups

› Scrap metal › Timber › Peat › Limestone › Wood pellets › RoRo containers and paper



Volume

› 2011 (est) 1,8M tons › 2012 (est) 1,8M tons



www.esteve.ee



Small boats manufacturing and sales



Maximum production capacity ca 460 boats per year



2009-2010 only 40 boats manufactured



Interest from Sweden- co-operation with Swedish aluminum boat and RIB- type boat manufacturers



www.bellmarine.ee



the most modern fresh fish factory in the Baltic Sea



started in 2010



2010/2011 result ca 10 000 tons fresh fish



2011/2012 expected the same



ca 95% goes to export- Denmark, Ukraine, Russia, Kazakhstan, Moldova, Romania, Latvia



articles

›

frozen, spiced, salted sprat and small herring

›

filet and all other related products



full automated manufacturing



daily capacity up to 200T per day



cold warehouse for 3000T



plans for opening own dock for boats



Interest in Sweden- exporting articles



www.traalpyyk.ee

 New high quality living area HIGH CLASS RESIDENTIAL PROJECT

• Near to Leetse manor
• 5,2 hectare

HOME OR COTTAGE IN THE NATURE

• 16 hectare

STERLING LIVING AREA MAINLY FOR ELDERS

• 8 hectare
• ca 350 residents
• elderly care service
• small kindergarten and school
• ther supportive services

Its all about packaging and seeing the great opportunity

 City of Paldiski- biggest potential in business

development

• Good geographical location
• Existing infrastructure
• Nature
• Every day co-operation between municipality and

entrepeneurs

 Proven for centuries as a attractive region to invest in  Our strengths today- value chains to attract foreign

investors

 Strong co-operation with neighbors to compete in

global market

PALDISKI WARMLY WELCOMES BASHKIR COMPANIES!

Association of Entrepreneurs of Paldiski

web: www.investinpaldiski.ee e-mail: pel@investinpaldiski.ee phone: +372 5216 858