Zhytomyr Region Invites to Cooperation

The Zhytomyr region (oblast') was established on September 22, 1937. It is located in the center of the East-European plain, at the north of  Ukraine's territory on the right-hand bank of the Dnipro River. The region's area if 29,900 km², which makes up 4.9% of the whole territory of Ukraine. The region is Ukraine's fifth largest in terms of its area.

The population of the region is 1,345,000 persons, more than half of whom live in cities. The oblast has 23 administrative counties (rayons) and five oblast-subordinated cities.

The region has 280 km-long border line with the Republic of Belarus, mostly with Belarus' Gomel oblast'. There are two border crossings: Maydan-Kopyshchansky crossing in the Olevsky rayon, and Vystupovychi crossing in the Ovrutsky rayon. In addition, there are checkpoints at the Ovruch and Korosten' railway stations, and the air transport checkpoint in the Ozerne urban-type settlement of the Zhytomyrsky rayon. The oblast borders on the Kyiv, Vinnytsya, Khmelnytsky, and Rivne oblasts of Ukraine.

Thanks to its favorable geographic location and extensive network of motorways and rail lines, the region has convenient transport links with Kyiv, Lviv, Uzhhorod, Kharkiv, Odesa, Minsk, Moscow, Saint-Petersburg, and cities in Eastern and Central Europe.

The oblast is a developed agricultural and industrial region in Ukraine.

The Zhytomyr region is rich in minerals and raw materials. Large and diverse reserves of region's minerals are concentrated in 512 fields, of which 190 are being operated. Some of the fields are unique.
For example, the region concentrates over 85% of all national reserves of quartzites, apatites, labradorites, and habro.

The Zhytomyr region produces titanium concentrate both for domestic needs and for export.
The region's wealth of minerals and raw materials includes facing stone, marble, gems, raw materials for metallurgy and building industry, limestone, brown coal, and peat. The explored reserves of soda kaolines, their extent and quantities allow producing up to half a million tons of feldspar concentrates per year.

The region has reserves of mortar sand, pyrophyllite shale, ceramic clay, and a number of other types of minerals for building industry. It also has rare-earth elements, such as vanadium, scandium, hafnium, thorium, which are in significant demand on the global market.

The deposits of marble, with uniquely beautiful grain and good polishing properties, are very promising.
 The region has deposits of colored gems, including beryl, topaz, and quartz, which are used for making jewelry.
The oblast occupies the second place in Ukraine in terms of its forestry resources. Wooded areas account for nearly one third of its territory. Coniferous trees prevail with 60% of the total, hardwoods (oak) and softwoods (birch, alder, and aspen) at 20% each. The total reserves of wood amount to approximately 200 million m³.
The region has diverse manufacturing industries. Zhytomyr is Ukraine's leader in the production of certain goods. The region accounts for 67.5% of china and faience, 22% of leg wear, 19% of lumber, 20% of footwear, and 12% of facing stone products. The key industries include: food industry accounting for 37% of total region's industry output; machine building and metal-working - 12%; extractive industry - 10%; nonmetal mineral products - 9%; light industry - 6%; woodworking and pulp-and-paper industry - 8%.

Agriculture has always been at the core of regional economy. Agriculture provides nearly 30% of gross domestic product, satisfies population's needs in essential foodstuffs and raw materials for the processing industry.
Thanks to the region's being spread over two soil and climatic zones (marshy woodlands and forest-steppe), it has all the conditions for developing diversified agriculture.

Plant products dominate in the total agricultural output (66.2%). The main crops include grains (76%), industrial crops (over 11%), potatoes and vegetables (3%). Animal husbandry specializes in the production of milk and meat, which account for 43% and 38%, respectively, in the total animal farming output.

The region has more than 200 farms growing hop and long-fibered flax supplying 74% and 23%, respectively, of the national output of these crops.

The Zhytomyr region's favorable geographic location, its mineral, natural, and human resources are attracting the growing interest of Ukrainian and foreign investors to invest in the region. It should be noted that this interest is diverse, both in terms of sector and area.

This is evidenced by growth of investment in the regional economy. In the last five years, investment into fixed capital increased 3.5 times compared to 2000. Enterprises and organizations of all forms of ownership received nearly Hr 650 million in investments into fixed capital during nine months of 2005, which is 30.1% more compared to the previous year's figure.

Te region is becoming increasingly more attractive for foreign investors. More than $10 million in foreign investment were attracted in the regional economy in January-September 2005. The total capital of non-residents increased by 8% compared to the status as of the beginning of 2005, and amounted to nearly $90 million as of October 1, 2005.

Region's companies are working with partners from 37 countries worldwide. Nearly two thirds of foreign investments originate in Switzerland, Italy, USA, Virginian Islands, Germany, and Cyprus.

Overall, 226 companies from 23 rayons of the oblast participate in international investment cooperation.
Companies based in the region conduct foreign trade with partners from 89 countries. Relations with CIS countries remain strong. The local companies maintain good relations with partners from Germany, Italy, Turkey, and Moldova. Region's foreign trade turnover amounted to $411.7 million over 11 months of 2005, including export of $246.3 million and import of $165.4 million. The key exports include wood and products, textiles, mineral products, with imports mainly consisting of machinery and equipment, textile and products, polymers, plastics and rubber.

The Zhytomyr region has a well-developed social infrastructure. The population is served by an extensive network of retail outlets (over 4,000), nearly 1,000 public catering establishments, more than 600 legal entities and 1,500 individual entrepreneurs are providing consumer services. There are 1,152 community clubs, 953 public libraries, two theaters, philharmonic society, 32 children's musical schools, six schools of fine arts, and three schools of performing arts, four parks of culture and recreation, four State museums and 43 non-governmental museums.
There are 25 higher educational institutions in the oblast, 931 State and six private schools, four gymnasiums, and two lyceums.

Nearly 5,000 medical doctors provide health services to the population. Prophylactic, health improvement, and medical treatment are provided by six treatment and rehabilitative institutions, 78 hospitals, 392 outpatient departments and polyclinics, and 845 nurse stations.

The region has a developed telecommunications infrastructure. The Utel company provides international telephone communication service, mobile telephone coverage is extensive, and  Internet access is generally available.
Development of physical culture and sports is in the focus of attention in the region. There are 33 stadiums, 500 gymnasiums, five swimming pools, 1432 various sports grounds, 49 sports schools for children and youth, two Olympic reserve sports schools, school of advanced sportsmanship, and Center of Sports for Disabled Persons, with the total attendance of over 16,000 children and teenagers.

The Zhytomyr region has excellent prospects for growth.

The regional government is willing to support all interesting investment proposals and is inviting you to cooperation.

WELCOME TO THE ZHYTOMYR REGION!

Investment Proposal No. 1 Dyulon Ltd. Name of investment project/idea: Opening a quarry Investment Proposal No. 2 Vesta Ltd. Name of investment project/idea: Quarrying and dressing of stone blocks Investment Proposals No. 3 Region Private Company Name of investment project/idea: Quarrying of granite blocks Investment Proposal No. 4 Driada Ltd. Name of investment project/idea: Quarrying and dressing natural stone Investment Proposal No. 5 NerudPromInvest Ltd Name of investment project/idea: Production of crushed stone Investment Proposal No. 6 CJSC Elsiko Scientific and Production Association Name of investment project/idea: Manufacture of high-quality granite products and painted products Investment Proposal No. 7 Hulyanetsky Macadam Plant Ltd. Name of investment project/idea: Production of crushed stone Investment Proposal No. 8 JV Iskor Joint Ukrainian-Spanish Venture Name of investment project/idea: Introduction of advanced technology of non-explosive quarrying and implementation of high-efficiency dressing of blocks into facing products Investment Proposal No. 9 Malodivlinsky Granite Quarry Ltd Name of investment project/idea: Production of cuboid crushed stone Investment Proposal No. 10 OJSC Nyva Chernyakhivska Agricultural Firm Name of investment project/idea: Quarrying and dressing of natural stone Investment Proposal No. 11 Veras Production and Commercial Firm Ltd. Name of investment project/idea: Launching Production of Construction and Architectural Products from Granite Deposits of Zhytomyr Oblast

Investment Proposal No. 12 Yanishevsky Private Company Name of investment project/idea: Semidry-Shaping Ceramic Brick Production Investment Proposal No. 13 Vertykal Building Company Ltd. Name of investment project/idea: Building the Griboyedovo Housing Complex of the Highest Environmental Comfort in the Korostyshiv Town Investment Proposal No. 14 Chernyakhivsky Rayon State Administration Name of investment project/idea: Building a brickyard Investment Proposal No. 15 Wall Ceramics Plant Name of investment project/idea: Completing construction of Wall Ceramics Plant Investment Proposal No. 16 Ivanivka Settlement Council Name of investment project/idea: Construction of ceramic bricks plant in the village Ivanivka Investment Proposal No. 17 Novohuyvynske Settlement Council Name of investment project/idea: Residential development project near village Snihury, Zhytomyrsky rayon Investment Proposal No. 18 MHP Polissya Name of investment project/idea: Production of lime-sand bricks and foam concrete blocks Investment Proposal No. 19 Tsehla Ltd. Name of investment project/idea: "Bricks" - production of construction materials Investment Proposal No. 20 Chernyakhivsky Rayon State Administration Name of investment project/idea: Construction of a brick plant in the village Vyshpil, Chernyakhivsky rayon Investment Proposal No. 21 OJSC Zhytomyr Roofing and Insulating Materials Plant Name of investment project/idea: Installing a line for production of steam-insulating paper

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For investors: new entry

Novokahovskyi Lime-Sand Brick Plant Purposes of company: Investments Company description: Market Overview:  Construction volume is increasing 20-25% annually, creating an increased demand for high quality façade bricks. The industrial capacity of façade bricks is estimated at 200 million bricks per year. In 2006, a construction boom is expected in southern Ukraine, where the plant is located. The product is used mainly by construction companies and private companies. Project Overview: Using KSE-400 (Germany) Equipment supplier offers trainings for the buyer’s staff Can produce 30 million bricks per year including high quality hollow façade bricks, ordinary bricks, molded bricks, white and colored bricks Competitive Advantages: Production of lime-sand bricks is considerably more energy efficient than the production of ceramic bricks. Moreover, the project envisions the reconstruction of one of the two pit-type 50-ton lime-burning kilns; using coal, automatic blending, loading, and burning will save on gas Plant produces its own lime; a sand-pit is located close to the plant No high quality lime-sand hollow bricks are produced in southern Ukraine Due to the considerable decrease in the weight of the bricks, delivery and transportation becomes much easier; bricks can be transported by auto, railway (via the plant’s rail track), or by water (a river port is 8 km away) Investment Project Progress:  Market research has been conducted Key Financials: Total Investment - € 1.5 mln Investment Needed - € 1.5 mln Payoff period - 5 years Branch: Construction materials see more Purposes of company: Investments Company description:    Branch: Construction materials see more

For Buyers: new entry

Lana Private Manufacturing-Commercial Firm Purposes of company: Export Company description: Lana produces a wide variety of wood furnishings for the discerning customer. Lana specializes in high-quality, premium home furnishings created from solid wood, including: furniture, entry and interior doors, parquet, furniture façades, interior decorations, and staircases. Buyers can choose from distinctive creations of Lana’s innovative design team or provide their own designs. No matter how intricate the design, Lana’s highly-trained specialists will surpass their customers’ expectations. Lana’s experienced team tightly controls the manufacturing process from start to finish, from selection and processing of only the finest lumber to careful inspection and meticulous hand-finishing of each item produced.   Lana is a family-owned business. This company has been successful in Ukraine and the countries of the former Soviet Union for over 15 years. The key to Lana’s success is dedication to traditional business values: excellent customer service, high-quality craftsmanship, and consistently delivering on commitments.   Lana creates unique and interesting designs. The company has flexible production and can make adjustments quickly to fill new orders. Lana’s marketing service has qualified specialists with good customer service skills. The company employs highly qualified specialists to create handmade products with unique designs. The company has mastered a full woodworking cycle, from lumber to the finished product. The company has developed its own methods for drying and sawing wood. Valuable and rare types of wood are used. Branch: Furniture see more Aliot, Ltd. Purposes of company: Export Company description: Aliot, Ltd has been active in the Ukrainian furniture market since 1999. Aliot is a professional manufacturer of interior furniture for offices and homes. The distinguishing feature of this company’s production is a harmonious combination of functionality and aesthetics together with reasonable prices. Aliot’s specialists work with European equipment that enables them to produce high-quality modern furniture. The aim of the company is to perfect and develop the furniture industry in order to satisfy the growing requirements of their customers and partners. A combination of competent marketing policies and a team of professionals with a high level of technical training and practical skills ensure the constant development of the Aliot company. Branch: Furniture see more