The Bureau of Investment Programs has become the management company for Volodymyr Industrial Park, located in the city of Volodymyr in Ukraine’s Volyn region, close to the Polish border.
Volodymyr Mayor Ihor Palionka and BIP Managing Partner Oleksandr Bondarenko signed an agreement covering the park’s development and operation. The agreement followed a city council decision naming BIP the winner of the management-company selection process.
“Volodymyr Industrial Park offers 37 hectares for manufacturing and logistics businesses, just 15 minutes from Poland. That makes it an attractive base for importers, exporters and especially third-party logistics providers,” Bondarenko said.
“Traditional logistics routes have been disrupted by the war, making it particularly important to develop logistics hubs near the EU border. As the management company, we have already begun reaching out to investors. There is considerable work ahead, and close cooperation with the city council and local authorities will be essential to preparing the site for prospective partners. We will present our development strategy for Volodymyr Industrial Park in due course.”
Mayor Palionka said the city would support the management company in addressing immediate priorities, including sewer connections and levelling the site. He expressed the hope that attracting new businesses would benefit both the local community and the Ukrainian economy.
Several infrastructure projects need to be completed before the park can operate at full capacity. Work is under way on electricity connections, a pumping station, wastewater treatment, sewerage, water supply and gas infrastructure.
The approved concept envisages attracting manufacturers and processors from industries including furniture, woodworking and building materials. BIP’s business plan anticipates the creation of approximately 1,200 jobs. The park’s establishment and operation are being carried out in accordance with the approved concept and applicable law.
Under the incentive regime described in the original announcement, eligible residents can receive relief from import VAT and customs duties on new equipment, a ten-year exemption from corporate income tax for qualifying activities in the park, and local tax concessions. State funding may also partially reimburse the cost of connecting industrial parks to engineering and transport networks.