Business Guide: Kilkis Greece

"The northern entrance to the country, the gateway to Balkans & Black Sea Markets"

Total Population

Kilkis Gross Added Value

Ground Use in Kilkis Perfecture

46% Agricultural Ground

18% Forest Lands

15% Pasture Lands

21% Other Grounds

Residents' educational level in perfecture Kilkis

Rental Facilities, (2007)

• Office rent in Athens 9-25 EURO/sq.m.
• Office rent in Thessaloniki 5-15 EURO/sq.m.
• Office rent in Kilkis 3-5 EURO/sq.m
• Apartment rent in Athens 5-15 EURO/sq.m.
• Apartment rent in Thessaloniki 5-10 EURO/sq.m.
• Apartment rent in Kilkis 3-6 EURO/sq.m

Land acquisition cost in selected industrial areas

(Indicative prices in EURO)

• Kilkis

• Industrial area of Kilkis city: 27.600 EURO / 1,000 sq.m.
• N Santa area : 10.000 – 25.000 EURO /  1,000 sq.m
• Polikastro area : 5.000 – 15.000 EURO /  1,000 sq.m
• Aksioupoli area : 5.000 – 10.000 EURO /  1,000 sq.m

Indicative prices for natural gas,

(March 2007)

• Kilkis area (VAT 9% included)

• Consumption up to 7,182 kWh/year 0.053430936 EURO/kWh
• Consumption up to 33,145 kWh/year 0.042884548 EURO/kWh
• Consumption over 33,145 kWh/year 0.044328070 EURO/kWh

Strengths

• Qualitative production (biological products, local, traditional) & Agri-tourism infrastructures
• The proximity in big supralocal figurative infrastructures (Egnatia Road, Corridor 10)
• Existence of sufficient human scientific potential & Proximity with the Thessalonici urban centre
• The explicit tendency of improvement in educative human level dynamic and the acquired experience from the concretisation of developmental programs – Industrial workers
• Industrial areas
• Entrepreneurial  culture is embodied in the family-run businesses

Weaknesses

• Low level growth and private investments
• Limited  interconnection and collaboration between  enterprises and Research centers
• The agriculture sector’s big dependence on European Union direct aids.
• Absence of modern railway connections
• Public Administration weaknesses and bureaucracy

Opportunities

• Exploitation of European Union funds
• The permanently increasing tendency in consuming demand of branded qualitative rural products.
• Industrial tradition
• Government’s decision to modernize public administration and make the investment environment more friendly
• Continuous political status improvement of the nearby countries.

Risks

• Public intervention in bureaucracy will not have immediate positive results
• New Infrastructures will also fall behind schedule

Attractive corporate tax climate

• Low corporate taxes
• Capital gain exemptions on sales of subsidiaries
• Tax-exempt intra-group dividends
• Full tax relief on interest
• Tax relief for foreign key personnel
• Comprehensive tax treaties for the avoidance of double taxation with most countries

Some ideas of on-going subsidies

• Development Law :  up to 45% free capital investments
• Development Law :  up to 100% tax allowance
• In cases of crucial – huge/big projects that can go up % national
• In cases of technology driven projects up to 50%
• In cases of R&D projects up to 80%
• Community initiatives
• Other :JEREMIE, JESSICA,MICRO-CREDIT Initiative.

The top markets to invest in Kilkis

1. Green Energy
2. Food & beverages
3. Aromatic plants
4. Production facilities (fab)
5. Logistics
6. Environment
7. ICT
8. Health facilities
9. Real Estate
10. Special forms of Tourism