Special Economic Zone EURO-PARK MIELEC has been boosting business for over 25 years

Date of posting: 2021-06-11

Since 1995 the Industrial Development Agency JSC has been managing Poland's first special economic zone. On June 11th this year in Baranów Sandomierski a conference "EURO-PARK MIELEC - from tradition to industry 4.0" took place. Representatives of state institutions, local authorities and entrepreneurs talked about experiences from the past quarter of a century and about the future of the Zone.

Since 1995 the Industrial Development Agency JSC has been managing Poland's first special economic zone. On June 11th this year in Baranów Sandomierski a conference "EURO-PARK MIELEC - from tradition to industry 4.0" took place. Representatives of state institutions, local authorities and entrepreneurs talked about experiences from the past quarter of a century and about the future of the Zone.

The period of transformation in the 1990s was a challenge for the whole country. It was then that it was decided to carry out an innovative project on a Polish scale and establish the first special economic zone.

- There is no doubt that the creation of Mielec's special economic zone - Poland's first - was a pioneering project, the success of which went down in the recent economic history of our country. It was a project which was essential to respond effectively to the negative effects of the systemic transformation which were so evident in the region at the time. An impulse in the form of an influx of companies was essential. Today we can proudly say, that the creation of 36,000 workplaces and the allocation of almost 12 billion PLN for investment during the 25 years of the Zone's operation, are confirmation of the correctness of the chosen direction - Mr Mateusz Morawiecki, the Prime Minister wrote to the conference's participants.

Władysław Ortyl, Marshal of the Podkarpackie voivodship, recalls the beginnings of the Zone:

- I recall that period. Those were very difficult moments in the history of Mielec. As chairman of the works committee of NSZZ Solidarność in WSK Mielec, I remember human tragedies related to rising unemployment. Our union not only protested, but pointed to viable solutions. That is how the economic zone was established, as well as the Mielec Regional Development Agency and the Business Incubator. In those difficult circumstances, the creation of a special economic zone was the only salvation for Mielec. Not everyone in the government was convinced of this project. Fortunately, they were in the minority, and we also had our ambassadors, such as the late Stanisław Padykuła. We also had our ambassadors, such as the late Stanisław Padykuła.

Later, the economic zones were a cure for economic problems in many parts of the country, but we must remember that the Mielec zone was a pioneering project. Today, after more than 25 years, we need to express our gratitude to all those who contributed to the creation of the special economic zone in Mielec. It is hard to imagine what economic Mielec would look like today without the zone," says Władysław Ortyl.

From the very beginning, the zone enjoyed a lot of interest from both Polish companies and foreign investors. Positive experiences from the first period of Mielec zone's operations contributed to "blazing the trail" and proving that special economic zones are a promising solution which is worth implementing in our country.

- The Special Economic Zone EURO-PARK MIELEC has changed the region permanently. This would not have been possible without the effective cooperation of several circles - including state institutions, local authorities and entrepreneurs. The zone has managed not only to reduce unemployment but, above all, to create development prospects for the coming years. Today, the aim is to continue this mission and to continue creating positive prospects: for industry, for employees, but also for investors. Currently, the task of the Special Economic Zone EURO-PARK MIELEC is not only to manage the area and create an investment offer. The zone has been consistently expanding its range of services for investors to include specialist technical, personnel and legal support. Thanks to active co-operation of the Zone authorities with investors, vocational schools, science and technology parks and other entities, the Zone is an important place for development of innovative enterprises - says Cezariusz Lesisz, President of Industrial Development Agency JSC.

- In the social and economic conditions of the 90's the most important thing was to attract such investors, who ensured maintaining jobs and workplaces. Currently we place great emphasis on the quality of investments. The most important are: innovation, Industry 4.0, robotisation, human resources training. We are very keen to see small and medium-sized enterprises in the zones, which often run innovative projects. It is no coincidence that the signatories of the recently signed letter on the establishment of Poland's first 'Podkarpackie Hydrogen Valley' are entrepreneurs who develop projects in the zones managed by IDA JSC We have a business interest in investing in the development of innovative energy generation technologies, as we have companies within the ARP Capital Group which deal with the production of emission-free means of transport - adds Paweł Kolczyński, Deputy President of IDA JSC

Last year was demanding for entrepreneurs. However Special Economic Zone EURO-PARK MIELEC ended it with a good result of 26 decisions concerning support for development of activity.

- Companies managed to come out on top. Some have expanded their business by developing in a different area. Good examples include Parys, a company specialising in car chemicals, which started producing disinfectant fluids. In turn, the company First Company from Mielec, has taken up the production of safe aprons and protective suits for the medical sector - emphasizes Waldemar Barnaś, director of the Mielec branch of Industrial Development Agency.

The first quarter of this year was also very good. 11 decisions were issued to support entrepreneurs to develop their activities - as many as 8 of them were received by new investors, who hadn't realised projects in the zone so far. The declared investment outlays amount to PLN 365,6 million, new jobs - 166. 736 jobs will be kept.

In the second quarter the investment dynamics is maintained. From April 1st to today, 10 decisions on support have been issued. The declared investment outlays are over 183 million PLN and 35 new workplaces have been created.

The zone's managers intend to acquire further projects, with the focus on priority sectors such as aviation, automotive, broadly defined IT, plastics processing or R&D projects.

A company from the IT sector has recently appeared in the zone: Talkin Things. The entrepreneur, creates and provides solutions from the IoT (Internet of Things) area, among others, for the FMCG and pharmaceutical industries. The investor plans to set up a production plant, declares investment outlays of over PLN 60 million and the creation of at least 10 new jobs.

The project estimated at PLN 80 million is being launched by

Knorr-Bremse Systemy Pojazdów Szynowych Sp. z o.o. It will allow to employ 80 new workers. The company's main activity is the production of heating, ventilation and air-conditioning systems, production of fans for air-conditioning equipment and servicing of heating, ventilation and air-conditioning systems for rolling stock. The planned investment involves the creation of a production plant and service centre in the Rzeszów area.

The zone has recently finished construction of a production and warehouse hall with social, office and technical facilities in Zaczerno. The tender to lease the hall was won by ML System.

- We are glad that this innovative company is expanding its production and R&D department in our zone - says Paweł Kolczyński, Vice President of the Industrial Development Agency.

Zone an thre Area

Industrial Development Agency S.A. manages Special Economic Zone EURO-PARK MIELEC which was established in 1995 as the first one in Poland. Regulations governing the functioning of SEZs stipulated that the zone is a strictly geodesically delimited area of our country. As regards this legal regime, the area of SEZ EURO-PARK MIELEC amounts to 1723.9743 ha and is located in 33 sub-zones in the following voivodships: Podkarpackie, Lubelskie, Małopolskie (Gorlice), Śląskie (Częstochowa) and Zachodniopomorskie (Szczecin).

Under the new legislation, i.e. the Act on supporting new investments, each of the SEZ Managers has been assigned an area (counties) in which they will perform the tasks set out in the Act. The area of jurisdiction of the Manager of SSE EURO-PARK MIELEC covers 19 poviats in Podkarpackie Voivodeship: Bieszczadzki, Brzozowski, Dębicki, Jarosławski, Jasielski, Kolbuszowski, Krośnieński, Leski, Leżajski, Lubaczowski, Łańcut, Mielecki, Przeworski, Ropczycko-Sędziszowski, Rzeszowski, Sanocki, Strzyżowski and two cities with poviat rights: Krosno and Rzeszów and four poviats in Lubelskie Voivodeship: lubartowski, lubelski, świdnicki and one city with poviat rights Lublin.

Investment incentive

The investment incentive within the "Polish Investment Zone" programme is state aid in the form of income tax exemptions at the highest level permitted in the EU - depending mainly on the subject of the planned investment and the fulfilment of quantitative criteria (incurring eligible costs in a specific amount associated with the unemployment rate and the size of the enterprise) and qualitative criteria (described in detail in the regulation on state aid).

The amount of this aid depends on the status of the entrepreneur and the investment outlays that he intends to incur. For a medium-sized one it will be 60 percent of the project's eligible costs, and for a small/micro one - 70 percent of the eligible costs (e.g. a small entrepreneur investing PLN 10 million may receive aid at the level of PLN 7 million).

The basis for benefiting from this type of public aid is a decision on support issued by the area manager.

The offer of the area manager also includes greenfield areas with full infrastructure and communication accessibility, brownfield - vacant production facilities, and "build-to-suit" (BTS) - facilities (halls, warehouses) built by the manager (IDA JSC) and made available to investors through purchase, lease or hire.

Marshal Ortyl decorates the late. Stanisław Padykuła

During the conference in Baranów Sandomierski Mr. Władysław Ortyl, the Marshal of Podkarpackie Voivodeship decorated the late Stanisław Padykuła, who died in 2001. Stanislaw Padykuła with the badge of honour "Meritorious for the Podkarpackie Voivodeship". The badge was collected on behalf of the deceased by his daughter, Dominika Bielec.

Stanislaw Padykuła was from 1981 the chairman of the Workers Council in WSK PZL Mielec; he participated in the works organizations of "Solidarity" of the Leading Workers Network, among others in preparation of new laws on WSK PZL and workers self-government and in the program of economic reforms. Vice-president of the Club of Catholic Intelligentsia in Mielec. After December 13, 1981, he was active in the Working People's Chaplaincy in Mielec. In 1989, he founded the Citizens' Committee in Mielec, in 1989-1991 he was a deputy of the 10th term on the KO list, and took part in the work on political transformations (including the Committee for the Economic System of Industry and Construction, the Committee for Local Self-Government and Communal Economy, and the Committee for Privatization of State Enterprises). In 1991-1996 he was Deputy Minister in the Ministry of Industry, and from January 1997 he was Deputy Chairman of the Industrial Development Agency. He was very active in, among others, restructuring of WSK PZL Mielec and establishment of Special Economic Zone EURO-PARK MIELEC. He died in a plane crash in Venezuela during promotion of Skytruck aircraft produced by WSK PZL Mielec.

Awards for leading companies of the Zone

During the conference there were also presented statuettes, which are symbolic thanks from the Management Board of Agencja Rozwoju Przemysłu S.A. to the companies investing in Special Economic Zone EURO-PARK MIELEC. The following companies were awarded:

  1. Polskie Zakłady Lotnicze Sp. z o.o.
  2. FIBRAIN Sp. z o.o.
  3. KIRCHHOFF POLSKA Sp. z o.o.
  4. Retech Sp. z o.o.
  5. WALDREX Sp. z o.o. Sp. K.
  6. Melex Sp. z o.o.
  7. BURY Sp. z o.o.
  9. BISPOL Sp. z o.o.
  10. MEDISEPT sp. z o.o.
  11. Zakłady Farmaceutyczne "COLFARM" S.A.
  12. Froneri Polska sp. z o.o.
  13. EURO-EKO Sp. z o.o.

Data on the activities of the Special Economic Zone EURO-PARK MIELEC

Investment outlays: PLN 11.6 billion

Workplaces: EUR 35.9

*as at 31.03.2021.

Polish Investment Zone

Under the Polish Investment Zone programme, the manager of the Special Economic Zone EURO-PARK MIELEC has so far issued 87 decisions on support, entitling entrepreneurs to take advantage of income tax exemptions.

Declared investment outlays: PLN 3.0 billion

Outlays declared to create new workplaces: EUR 1.2

*as at 10.06.2021.

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