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DONETSK


Donetsk is a territory of priority development, located in the east of the Ukraine Donetsk is an area offering two key locations for inward investments:
  • Special Economic Zone "Donetsk" with a total area of 466 hectares suitable for "Greenfield" investments, offering many advantages for investors to start their businesses in "Donetsk" special economic zone
  • Territory of Priority Development - the whole area (except special economic zone) within the administrative borders of Donetsk city. An investor will find a number of benefits in locating new businesses or investing in working enterprises
Key advantage: Donetsk is the capital of Donetsk Region with a population of 1 M. It is a large industrial, educational, scientific and cultural centre of the Ukraine. Donetsk is also the administrative, industrial and financial centre of Donetsk Region.
Donetsk has the most developed infrastructure in the Region
Total area
Population
359 sq.km
1026 thsd. people
Airport
Donetsk has an international airport with a full range of customs services for international transportation of passengers and cargoes.
Donetsk airport offers direct flights to the capital of the Ukraine - Kiev city as well as to Moscow, Baku, Erevan, Tbilisi.
Nearest seaport
Through a high quality road "Donetsk - Mariupol" Donetsk has a convenient access to the largest sea port in the Ukraine - the Mariupol Sea Port located 90 km from Donetsk.
Roads
Donetsk is a large road centre, which is well connected by road with other regional centres of the Ukraine and Russia.
The road "Mariupol-Donetsk" provides direct access to the main sea port of Donetsk region - the Mariupol Sea Port which is widely used for export of different types of goods.
Donetsk has a well developed system of public transportation to provide fast and comfortable access to job places.
Railway
Donetsk is a large railway centre that has all the facilities to serve both industry and population.
Donetsk offers direct train routes to all the largest the Ukrainian cities including such as Kiev, Dnepropetrovsk, Lugansk, Odessa and also to Russian cities - Moscow and Rostov.
Located 10 km from Donetsk city centre, Yasinovataya Railway Station is fully equipped for serving different types of cargo.
All the largest enterprises in Donetsk have on-site railway connection.
Telecommunications there are
Telephone communications provided by UTEL
Mobile and digital communications
UMC (NMT-450i, GSM-900\1800), DCC(D-AMPS), Kiyvstar GSM (GSM-900).
The Special Mode of Investment Activity in the territories of Priority Development (Article 14 the Law of the Ukraine about Special Economic Zones and Special Mode of Investment Activity in Donetsk Region.)
A  MAP
Railways
Main roads
Availability of land for establishment of new businesses
For companies considering establishment of new businesses Donetsk offers two major opportunities:
  • Special economic zone "Donetsk" (located in the Western part of Donetsk city) is a free site with a total area of 466 hectares that offers particular advantages and tax incentives (please, see "An Investment Guide: Investing in Donetsk Region", p.9)

  • Outside the special economic zone there are also 140 hectares of land available. Companies that establish their businesses on these territories rather than in the Special Economic Zone will be able to take advantage of "territory of priority development" incentives (please, see "An Investment Guide: Investing in Donetsk Region", p.10).

  • All the above mentioned sites of free land have road, railway, water, electricity, gas and other facilities developed

  • Cost of land varies upon quality and location

  • Rent rates of office 3 - 30 USD sq. m per month
    Rent rates of land 2 - 5 USD per 1sq m per month
    Workforce622.2 thsd
    Workforce characteristic
    • A highly motivated workforce is available at very competitive cost.
    • Average monthly wage: in industry 549,1 UAH
    • Donetsk has a high quality labour force to fit any foreign company requirements
    Value of production 7,585 M.UAH in 2002
    Types of production
    Ferrous and non-ferrous metallurgical production, coal-mining, power sector, food and light industries, machine-building and metal processing, construction and chemicals sector.
    Largest companies
    INDUSTRY NAME OF ENTERPRISE PRODUCT / PRODUCTION VOLUME IN 2001
    Ferrous and non-ferrous metallurgical industry Donetsk Metallurgical Plant
    • pig iron - 460.2 thsd tons,
    • blast-furnace steel - 810.8 thsd tons,
    • rolling products - 387 M. tons
    Donetsk Metal Rolling Plant
    • sort rolling - 266.4 thsd tons,
    • pig iron - 10 thsd tons
    Ukrsplav Volume of Manufacture 93.7 M.UAH
    Coal-mining Zasiadko Mine
    • coal - 3.7 M. tons
    Donbass Mine
    • Volume of manufacture in 2001 has made 130.2 M.UAH.
    Kalinina mine
    • Volume of manufacture 38.7 M.UAH.
    Skochinskogo mine
    • Volume of manufacture 59.6 M.UAH.
    Trudovskaia mine
    • Volume of manufacture 63.9 M.UAH.
    Oktyabrskiy rudnik mine
    • Volume of manufacture 21.5 M.UAH.
    Mine named after Cheluskintsev
    • Volume of manufacture 31.5 M.UAH.
    Machine-building OJSC "Tochmash"
    • 18 thsd facilities for oil and petroleum products industry,
    • 36 thsd hydraulic tools,
    • 21 thsd units of washing machines
      Donetsk Plant of Mine-Rescue Equipment
    • 250 thsd units self-rescuers
    Chemicals OJSC "Donetskkoks"
    • coke - 1.3 M. tons,
    • benzene - 12.7 thsd tons,
    • sulphur acid -11.9 thsd tons
    Donetsk Chemical Plant
    • enamel - 22 thsd tons,
    • goods in aerosol package - 20 thsd units,
    • synthetic detergents - 3 thsd tons
    Donetsk Plant of Chemical Reagents
    • nitrate aluminium 1.350 thsd.tons and many other types of products
    Consumer Goods OJSC "Topaz"
    • production of radio and video facilities
    JSC "Nord" produces 94% of the total Ukrainers production of refrigerators
    • 390.5 thsd refrigerators and freezers
    To serve population and industry Donetsk has local branches of all the leading Ukrainian banks such as National Bank of the Ukraine, Sberbank, Aval bank, Ukreximbank, Prominvestbank, Privatbank, Ukrsotbank, Nadra and many others. In Donetsk there are also such banks as First Ukrainian International Bank, Ikar-bank, Kapital, Donbirzhbank and many others are established. All the banks provide a full range of high quality services required to carry out business internationally.
    Donetsk is one of the largest educational centres in the Ukraine. Numerous institutes, in close co-operation with Western universities, prepare high quality professionals in many spheres including management, law, engineering, computer science, medicine and many other spheres. Among the largest higher education institutes are:
    • Donetsk State Technical University
    • Donetsk State University
    • Donetsk State Academy of Management
    • Donetsk State Institute of Commerce
    • Donetsk State Medical University
    • Donetsk Institute of Railway Transportation
    • Donetsk Institute of Humanitarian Sciences
    • Donetsk State Conservatory
    • Donetsk Institute of Health, Physical Culture and Sports
    • Donetsk State Institute of Artificial Intellect Issues
    Donetsk also has 19 technical colleges and 23 vocational training schools
    Research and Scientific potential:
    • Donetsk has as a whole 84 scientific organizations including 12 branches of the National Academy of Science of Ukraine.
    • Research and development activities are mainly concentrated on coal-mining, metallurgical, machine-building and construction industries
    City of Donetsk as a territory of priority development has attracted a number of foreign direct investments.
    Donetsk offers various opportunities for "greenfiled" investments:
    • land available with on-site infrastructure developed: area of 460 hectares - special economic zone "Donetsk", 140 hectares of free land outside the free economic zone "Donetsk"
    • as a regional centre, Donetsk provides all the key advantages for the establishment of successful businesses

    Existing Enterprises including those looking for Joint Venture Partners:
    Donetsk has a large number of successful companies who have a considerable market share of both domestic and international markets. These companies offer various investment opportunities: A COAL INDUSTRY
    • LLP "EMBROL Ukraine Ltd."
      • Renovations and engineering reequipment of coal-preparation plant "Yasinovskiy cokery" for enrichment of coals, got in Makeyewka-Donetsk locale.
        Investments required - 11,2 M. USD.
      • Completions of building of a body for a deaquation of slimes and building of abjointing on effecting not fired pellets from ferruginous waste on Makeyewka metallurgical centre.
        Investments required - 5 M. USD.

    MACHINE CONSTRUCTION INDUSTRY, INSTRUMENT MAKING, METAL WORKING
    • LLP "Kompo Ltd"
      Sophistication of technology of a guard of metal from corrosion and concrete constructions from destruction.
      Investments required - 1 M. USD.
    • LLP TECHNOLOGICAL CENTER "MEDTECHPRIBOR"
      Development and mastering of series production of range of products for a urinology, anesthesiology, surgery.
      Investments required - 1 M. USD.
    • JSC "Donetsk METALLURGICAL PLANT"
      Building of the installation the furnace - bucket in an open-hearth plant JSC "DMZ"
      Investments required - 5.0 M. USD.

    CHEMICAL And PETROCHEMICAL INDUSTRY
    PROCESSING WASTE
    • Ukrainian CENTRE OF SCIENCE of an ENGINEERING ECOLOGY
      Usage of mine waters of shaft "KRASNIY OKTYABR" for engineering water-service of Yenakieyevskiy metallurgical plant
      Investments required - 0,84 M. USD

    SERVICE
    • JSC "SPECIALIZED EXHIBITION CENTER"
      • Building of the second sequential queue of an exhibition hall.
        the Indispensable investments - 6 million. US dollars.
      • Hostels on 320 places.
        Investments required - 20 M. USD.

    LIGHT INDUSTRY
    • JSCC "Donetsk cloth factory"
      Installation of a line of wet finish of tissues.
      Investments required - 0,25 M. USD.
    • joint-stock companies "Donetskmebel"
      Engineering reequipment of the plant with an intrusion of modern technologies.
      Investments required - 1,0 M. USD.


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