Magnitogorsk Iron and Steel Works’ (MMK) management decided to co-finance projects implemented by the residents of MMK Industrial Park to support and enhance business development in Magnitogorsk.

Co-financing will be provided on a competitive basis to create new production or expand existing production. The share of co-financing will be up to 30% of the cost of the project, but not more than 15 million rubles.

“This is another incentive for companies that have decided to establish industrial production within MMK Industrial Park,” said Pavel Shilyaev, CEO of MMK. “The residents of the Industrial Park are already benefiting from regional support, including a zero-property tax rate and a 3.5%-reduction in the regional part of the income tax rate. There is also a preferential rental rate, only 66 rubles per square meter per month, which is half the average rental rate in Magnitogorsk.”

On the Industrial Park site, there are production facilities, storage facilities with lifting equipment and energy supplies: electricity, industrial water, fire-fighting water, drinking water and natural gas. The site has a developed railway network with direct access to both the MMK internal railway park and the South Ural Railway.

The service support system for existing residents is being developed with new services being introduced this year such as optional insurance, personnel training and retraining, and individual banking services. (MMK/Ukrainian metal)

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