Saeima Sustainable Development Commission discusses about Rēzekne SEZ and Latgale SEZ

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Saeima Sustainable Development Commission discusses about Rēzekne SEZ and Latgale SEZ

March 01, 2019

On Wednesday, February 20, 2019, a meeting of the Saeima Sustainable Development Commission took place in Riga. One of the objectives was to study how the status of Latgale Special Economic Zone (Latgale SEZ) and Rēzekne Special Economic Zone (Rēzekne SEZ) has influenced the development of Latgale's economic activity and to discuss about the proposals for the Latvian National Development Plan 2021-2027, which would promote the improvement of business environment and business development in Latgale in the future.

Opening the meeting, Edmund Teirumnieks, the chairman of the meeting, said: “We currently have few products with high added value that fit into the chains. It is necessary to think about cooperation between schools and universities and innovative entrepreneurship. ”

Jānis Lāčplēsis, Chairman of the Monitoring Committee of Latgale SEZ, Iveta Maļina-Tabūne, chief executive officer (CEO) of Latgale SEZ, Latgale SEZ deputy CEO Vladislavs Stankevičs and Rēzekne SEZ CEO Sandra Ežmale informed the participants: The Ministry of Environmental Protection and Regional Development (MEPRD), The Ministry of Economy, Latvian Association of Local Governments, Latgale Planning Region (LPR) and Deputies of the Saeima of the Latgale Electoral Region Inga Goldberga and Aldis Adamovičs about topicalities of Latgale SEZ and Rēzekne SEZ and how Special Economic Zones status has influenced the development of Latgale's economic activity and attraction of international investors.

I. Maļina- Tabūne said: “In order to improve the operation of the Latgale Special Economic Zone in the future, a number of improvements and clarifications are required in the Law on Taxation in Free Ports and Special Economic Zones. It is necessary to extend the list of eligible investments with the expected wage costs, the costs related to the leasing of tangible assets and to clarify the definition of tangible and intangible investments. It is also necessary to review the restriction on food producers to enter special economic zones, to reduce the costs of production energy resources (electricity costs, gas costs) for the capital companies of Latgale SEZ and to set the minimum non-taxable wage for the labour for companies of Latgale SEZ at least in the national minimum wage. ”

In presentation about the balanced development of the national territory and the development of the Latvian National Development Plan 2021-2027, representatives of Latgale Planning Region emphasized the contribution to the development of public infrastructure for the promotion of entrepreneurship - the importance of the Latgale program (improvement of brownfields, development of engineering technical infrastructure, etc.), as well as the need to establish an Integrated Regional Program. Furthermore, the chairman of the Supervisory Committee of Latgale SEZ Jānis Lāčplēsis accentuated the need to increase the inflow of Cohesion Fund resources into regions that have been more than insufficient for growth gains.

As an important factor, LPR recommends increasing human capital development and productivity and increasing labour force participation in the labour market (older people, etc.).

In turn, for the strengthening of entrepreneurship, such recommendations as improvement of the institutional and business environment (reducing bureaucratic obstacles, solving the problem of faster and cheaper electricity connections, etc.), support for creation / commercialization of high quality and exportable products (support for innovations, introduction of smart technologies, etc.) and support for enterprise productivity (automation, robotics, smart solutions, integration into global chains) were proposed.


According to information prepared by Latgale Planning Region 

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