Kula

Municipality of Kula

Kula is a town and municipality in the West Backa District of Vojvodina, Serbia. It is located within the fertile flatland of Vojvodina, on a crossroad between Novi Sad (52 km away), Sombor (40 km away) and Subotica (60 km away).

TOP 5 REASONS TO INVEST IN KULA

• Easy access to local incentives for investors
• Ample fertile & high-quality agricultural land
• Well established industry with a high number of SMEs
• Great renewable energy potential & geothermal capacity
• Fully equipped industrial zone & excellent geographical position

Energy potential in Kula

GAS

• Municipality is gasified: 100 million
• Local pipeline lenght: 383.5 km
• Presure on main pipeline 36 bar
• Presure on local pipeline 2 bar

BIOMASS

• Total land: 48,100 ha
• Agricultural land: 43,000 ha
• Arable land: 33,000 ha
• Most common crops: maize, wheat, soy, sunflower, sugar beet

ELECTRICITY

• No. of distribution substations: 160
• Total power (kVA): 8,650
• Total network length (km): 80
• Energy supplied in 2013/14: 3,000,000 kW

OIL

Oil deposits can be found

GEOTHERMAL

Infrastructure in Kula

ROADS

Higway road: 11.5 km

Regional road network: 106 km

Local road network: 44 km

WATERWAY

River Danube distance: 38 km

- Port in Bogojevo

Canal network:: 52,070 m

• Danube - Tisza - Danube
• Vrbas - Bezdan
• Becej - Bogojevo
• Kosancic - Mali Stapar

RAILWAY

Railway network length: 58 km

• Sombor - Sivac - Crvenka - Kula - Vrbas
• Rail freight track
• Warehouse capacities - 210 m², 2,400 m²

Axial pressure: 20 t

SEWAGE

Sewage systems: 20 - 25%

Sewage network: 15772 km

Population, education and labor cost in Kula

Number of inhabitants 43,101

Employed (2019) 7,926

Unemployed (April 2020) 2,965

Labor cost structure

Average salary in Kula (April, 2020)

From July 1st, 2014 the employers have the right for refund on the paid personal income tax & social insurance contributions:

• 65% refund for employing 1-9 workers
• 70% refund for employing 10-99 workers
• 75% refund for employing 100+ workers

Education

High Schools

Key sectors in Kula

Agribusiness

Main advantages:

• 41 ha of top-quality arable agricultural land – 91% of total territory
• Dominant higly fertile black soil and carbonated chernozem with distinctive layer of humus
• High number of local first-rate agricultural producers
• Ongoing know-how initiatives for local agricultural producers
• Wide network of potential local suppliers
• Developed agricultural cooperatives network (20 cooperatives) and support on municipal level to stimulate the sector competitiveness
• Agribusiness development identified as a strategic priority for the West-Backa district
• Most developed food processing - internationally renowned local companies

Crops:

• Favorable natural conditions - the number of sunny days provides agricultural products with exceptional nutritional and morphological characteristics
• Significant production of industrial crops
• Half of all agricultural production is sugar beet providing inputs for several sugar refineries with 100 years of tradition
• Significant area under: maize, wheat, pepper and potatoes
• Fruits with largest annual yield include nuts, apples, cherries, pears
• Excellent storage capacities

Renewable Energy

Main advantages:

Biomass potential – 43,000 ha of agricultural land

• Project: Biomass as resource for energy production
• Untapped & abundant geothermal resources
• Geothermal springs & wells with temperatures measured at 30-70°C (max. 90°C) at 500 - 1,200m

Investment projects:

- MK Fintel – Joint Venture Company - Italy/Serbia

- Wind Farm - EUR 15 mil investment – 9.9 MW capacity – to be finalized by the end of 2015

Metal & Automotive

Main advantages:

• Large industrial center in the past
• Labor pool - ready to meet the needs and expectations of high-quality seeking investors
• Many of metal industry companies from the 1990s have undergone bankruptcies – FA Istra Kula – used to employ 2,000 workers
• Labor costs – substantially lesser and more competitive compared to regional and EU standards

Investment opportunities:

- Automotive Components Industry - competitive costs

- Brownfield locations – 7,800 m² production hall – electricity substation 630 kVA

Tourism

Main advantages:

• Untapped & abundant geothermal resources
• Geothermal springs & wells with temperatures measured at 30-70°C (max. 90°C) at 500 - 1,200 m
• Water characteristics – health benefits for: locomotor system, rheumatic conditions, sterility, digestive system, skin conditions

Investment opportunities:

- Detailed project of hydrogeological analysis at Location Razvala – in municipal ownership - planned 9 ha – with total of 25 ha allocated for relaxation, sport, and recreational activities

- Spa center – project documentation for spa tourism development in progress for one of the locations

Top 10 Employers in Kula

Upon receiving the investor’s request

the consolidated construction procedures are conducted in the following phases:

• Issuing the location conditions for the cadastre parcel suitable for construction – from the day of obtaining all special conditions, permits and other documents --> no later than 5 working days
• Issuing the construction permit – from the day of the submission of the request --> no later than 5 working days

Upon receiving the application:

Based on registering the construction work,issuing the verification for receiving the application without delay, provided that the complete documentation has been submitted.

- Registering the construction works to receive acceptance/rejection --> 5 working days

- Subsequently, submitting the request for infrastructure installations --> 3 working days

Issuing the occupancy permit, upon receiving the submission of the request --> no later than 5 working days

Issuing the final approval upon receiving the submission of the request --> no later than 5 working days

In total: 28 working days

Incentives & Fees in Kula

For land purchase & lease municipality is offering favorable rates depending on the number of the employees

- for 100+ employees - discount rate 100%

Discount up to 50% for land development fee for investments that create new employment

- for 100+ employees - discount rate 50%

- for 10 - 100 employees - discount rate 35-45%

0% water & sewage system fee for facilty newtwork access

0% communal & environmental fee (for two years period)

- for company name display

- for environmental protection

Success Stories in Kula

Your partner in municipality

Development Agency