Economic Zone Overview: The Łódź Economic Zone
In a significant shift, the age-old myth that economic zones are not for Small and Medium Enterprises (SMEs) has been debunked. Poland, now one vast investment zone, is proving to be an attractive destination for businesses of all sizes.
One such zone, the Łódź Special Economic Zone (ŁSEZ), was initially smaller and located in a region that suffered greatly from the collapse of the textile industry. However, the ŁSEZ has undergone a remarkable transformation.
Within the last six months, the ŁSEZ has attracted nineteen investors, nine of whom are minor or medium entrepreneurs. This influx of investments has been facilitated by the evolving nature of economic zones, which now offer a complete business back office and necessary tools for investors, not just tax exemptions.
The ŁSEZ has also become a hub for modern businesses focused on research and development of new products and technologies, and training highly-qualified staff. To further boost this, the Technical School of Automation and Robotics, the first such technical school in Poland, was created by the ŁSEZ and major investors like Miele, Delia Cosmetics, and Ceramika Tubądzin.
The first students of the Technical School of Automation and Robotics started their education this year, undergoing a dual-learning mode that combines theoretical instruction with practical training in factories.
Investors in economic zones can now make investments on virtually any plot of their choice, not just within strictly designated areas. This flexibility has opened up opportunities for businesses like Nippon Seiki, a global manufacturer of Head-Up Displays (HUDs), who intend to invest over PLN 80 million in a plant near Łódź, with a focus on innovation and research.
The ŁSEZ has also embraced the future by implementing 5G technology in factories of its investors and allowing them to cooperate with startups in designing innovations for them. However, as of now, there are no publicly available specific reports from the last six months that name companies investing in the Łódź Special Economic Zone while integrating 5G technology into their production.
The ŁSEZ's efforts to rebuild the local economy and attract investors have not gone unnoticed. Dorota Lombardi, director of the Department of Acquisition and Supporting Investors in the ŁSEZ, has been at the forefront of these discussions.
The ŁSEZ has also partnered with universities and technical colleges to better prepare graduates for the professions offered by investors. This collaboration ensures that the workforce has the necessary skills to drive innovation and growth in the zone.
Unemployment in Poland has significantly decreased, reaching around 5%, the lowest level since the systemic transformation. This economic growth can be attributed, in part, to the success of economic zones like the ŁSEZ, which are tasked with procuring companies that invest, create jobs, develop, and are exempt from paying PIT and CIT income tax.
Investors in economic zones can obtain points for environmentally friendly investments, creating R&D centres, affiliation to a national cluster, supporting employees in developing their competences, or creating high-paid jobs. These incentives further encourage businesses to invest in the zones and contribute to Poland's economic growth.
The ŁSEZ, which has been in operation for 22 years, has shown resilience and adaptability. Out of the 17 initially designated zones in Poland, 14 are still currently active, with the ŁSEZ being one of them. The plant near Łódź by Nippon Seiki will work on innovations, potentially leading to groundbreaking discoveries in the future.
In conclusion, the Łódź Special Economic Zone is a testament to Poland's commitment to fostering a conducive environment for businesses. Its success in attracting investors and driving economic growth is a promising sign for Poland's future as a destination for modern businesses.
Read also:
- United States tariffs pose a threat to India, necessitating the recruitment of adept negotiators or strategists, similar to those who had influenced Trump's decisions.
- Weekly happenings in the German Federal Parliament (Bundestag)
- Southwest region's most popular posts, accompanied by an inquiry:
- Discussion between Putin and Trump in Alaska could potentially overshadow Ukraine's concerns
