Trgoviste, Nov 28, 2009 – Serbian Deputy Prime Minister and Minister of Economy and Regional Development Mladjan Dinkic talked today with businessmen and representatives of the Trgoviste municipality, one of the least developed municipalities in Serbia.
Dinkic said that support for the reconstruction and expansion of the Simpo factory, which produces of children’s beds, in Radovnica near Trgoviste, will not be the only state investment in that municipality.
The state will draw resources from the Development Fund and it find out whether there are small companies in Trgoviste whose development can be supported.
Minister for the National Investment Plan (NIP) Verica Kalanovic said that several important infrastructure projects have been launched in the past year in order to resolve the town’s infrastructure problems.
She said that according to the government’s special program for 2009, RSD 2 billion from NIP was set aside for underdeveloped municipalities, of which sum RSD 300 million went to the Pcinja District for the purpose of solving infrastructure issues.
Kalanovic said that three large projects were initiated in Radovnica, recalling that this residential area now has a regular water supply. She also said that the government plans to construct a sewage and waste water collection system.
Dinkic today officially opened the modernized and reconstructed children’s bed factory in Radovnica, stressing that thanks to the Development Fund, over 5,600 square meters were renovated and 1,400 square meters added to the factory.
The children’s beds produced here are intended for export, almost entirely for the Swedish retail chain Ikea, he explained.
Dinkic specified that following reconstruction and expansion the factory has tripled its capacity and it monthly output now stands at 90,000 beds.
He also noted that EUR 1.8 million was used for procuring new equipment and machinery from French and Italian companies.
Simpo general director Sladjan Disic stressed that Simpo was granted EUR 2.5 million from the Development Fund for the reconstruction of the Radovnica factory, adding that another half a million euros from Simpo’s own funds was also used.
Also present at the opening were acting director of the Privatisation Agency Vladislav Cvetkovic and Simpo President Dragan Tomic.
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