French Novares to invest EUR 6 million in production of car parts in Zrenjanin

Free Zone Zrenjanin keeps operating successfully, and thanks to the decision made by the Town Council, which has authorized its expansion, the economy of the biggest municipality in Banat will get a third business zone with an investor which has decided to take root in the town on the Begej.

The investor in question is the French multinational group Novares, which produces car industry components. They started their activities in Serbia several years ago on the Lazarevac Road, next to the Zrenjanin – Vrsac main road. The location will now be expanded by more than two hectares at the new business complex East, which will be a part of the Free Zone.

Novares employs 170 workers in Zrenjanin, and most of its components are directed at Fiat Serbia through the Kragujevac Free Zone. It also produces for the facilities of the French group PSA in Slovakia and Iran, Romania's Dacia – Renault and the Jaguar – Land Rover group in Austria.

As soon as next year, Novares will realize an investment of over EUR 6 million. It will invest EUR 2.2 million in a 3,200-m2 facility, and the rest will be invested in equipment. Initially, 25 workers will be employed, and the plan is to have 280 workers by 2020.

– Along with Bagljas and Southeast, which have belonged to our regime of preferential and accelerated economic development since 2012, the new business zone East will enable the foreign investor to immediately raise its new factory and continue its exporting expansion – says Branislav Malagurski, the director of Free Zone Zrenjanin.

He reminds that the zone started operating in 2005, when Slovenia's Kolpa transferred the production of bathroom equipment to the abandoned facilities of the Zrenjanin furniture plant. For a long time, it was the only company within the free zone regime, with modest exports of EUR 7 million. Today, the two business complexes on 98 hectares feature over 20 users, eight of which are large companies with nearly 6,500 workers. Their annual production reaches almost EUR 125 million, and their net foreign exchange effect reaches EUR 10 million.

Novares Serbia d.o.o. Zrenjanin

Slobodna zona Zrenjanin

FCA Srbija Kragujevac

Branislav Malagurski

Fiat Serbia

PSA

Dacia Renault

Jaguar Land Rover