Lugansk company becomes free economic zone participant

The Lugansk pipeline fittings company (LZTA) has received the certificate of free economic zone participant, LZTA Board chairman Sergei Gorokhov told the Lugansk Media Center.   Earlier this month, the Lugansk People’s Republic government approved the Alchevsk metallurgical company’s request to participate in the free economic zone.   The modernization of LPR companies’ production capacities will be launched in the near future. Tax preferences and other incentives will be available beginning from August. “It will help us increase production and raise wages,” said Gorokhov, a “Business Russia” General Council member.   The company will invite specialists from other regions and provide them with housing. The free economic zone laws came into force six months prior to the deadline, thanks to the Russian president, he said.    On May 26, President Vladimir Putin met with members of the Business Russia organization in the Kremlin.  Gorokhov who took part in the meeting called for establishing a free economic zone in the Donetsk and Lugansk People’s Republics and the Zaporozhye and Kherson regions in the nearest future.   The first LPR free economic zone resident was registered in mid-July. It is implementing an investment project to upgrade storage facilities.   ***   The law adopted in June sets a favorable business climate in the new Russian territories and exempts free economic zone participants from paying property tax for a period of ten years and land tax for three years. It also sets lower insurance fee rates.  The Free Economic Zone will function until January 31, 2050.  *i*ie  

 

 

 

 

 

 

 

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