FIPA Activities

Bekto Precisa and Emka Bosnia, successful business stories from Gorazde

4/21/2014

On 15th April 2014 within Aftercare programme with partners, representatives of the FIPA Agency and the Municipality of Gorazde visited the company Bekto Precisa where they met with the Director Assistant Adis Delahmet.

The main activity of the company is the production of highly sophisticated industrial tools for plastic and non-ferrous metals, as well as a combination of metal-plastic, as well as many products that spraying of plastic which are widely used in many industries and everyday use.

The firm's success is confirmed by the fact that in 2005 they had 8 employees, and today that number is 438. In 2014 and 2015 they are planning to hire 140 new workers.

The company is 90% export oriented and with a fully finalised system of production, from concept to final product, Bekto Precisa became unique in the whole region of South-Eastern Europe.

Their plans are among other expansion to the market of Russia and the Saudi Arabia.

High tax burden and contributions as well as high interest rates continue to make more difficult their rapid growth and development, we were told in this company, and it was emphasized that they are not fully satisfied with the business activities in BiH and cooperation with all levels of governments.

Another success story of Gorazde, Emka Bosnia, is producing parts of locks and hinges. Today it employs 231 workers and exports 95% of its portfolio in the EU countries.

They are realizing investment of 20 million BAM. 80 000m ² of land were bought in Vitkovici, halls of 5.500m2 were built and facilities were launched. In this project it was so far invested 9 million BAM, and the remaining capital will be invested by the end of 2015.

Annual growth is 15%.

Testimonials & Success Stories
 

Global Investment Promotion Best Practices 2012 of the World Bank has cited one example of support that FIPA provides to foreign investors who are running business in Bosnia and Herzegovina in order to contribute to increase the flow of foreign capital in the country.

The article said:  

„The Foreign Investment Promotion Agency (FIPA) of Bosnia and Herzegovina was an early convert to the idea of providing facilitation services to agribusiness investors as a way to maximize the positive impact of agriculture on the economy.

In 2007, for example, FIPA assisted a Dutch food processing company establish a US$1.6 million production facility to process unused milk ingredients into value-added products in Sarajevo to sell to markets in Eastern Europe and the Middle East.

As part of its aftercare program, FIPA assisted the company with its expansion plans. Among other things, the agency helped facilitate veterinary permissions, navigate various bureaucratic hurdles and played an important role in securing funding for the company’s expansion. It also helped develop a network of local suppliers and customers. As a result of these efforts, the Dutch investor developed stronger links with the Bosnian economy, thus increasing the positive spillover effects on the local economy.

Currently a new investment to establish a drying facility for milk powder is under way. This will further expand the processing facilities of unused milk ingredients. This additional planned investment is worth approximately US$2.8 million, thus nearly trebling the company’s original investment in the country“.

 

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