Invest in Wallonia Belgium How to optimise your
Invest in Wallonia / Belgium How to optimise your presence in the heart of Europe
WALLONIA - GENERAL INFORMATION LOCATION GDP AREA Neighbouring countries : • Netherlands • Germany • France € 88 billion * (23% of Belgian GDP) * in 2012 16, 844. 3 Km² (55, 2% of Belgian territory) POPULATION INFRASTRUCTURES: 3, 576, 325 inhab. (32, 1% of Belgian population) Waterways: 741 km Rail network: 1, 605 km Roads : 81, 207 km Airports: - Brussels South Charleroi Airport - Liege Airport
10 GOOD REASONS TO INVEST IN WALLONIA-BELGIUM ACCESSIBILITY SENSE OF SHARING Proximity to Brussels, capital of EU Fiscally attractive 500 million consumers within reach Numerous investment incentives Availability of land buildings A positive business environment TECHNICAL KNOW-HOW QUALITY OF LIFE Highly skilled available workforce Exceptional quality of life Industrial sectors, vectors of Efficiency of local government authorities competitiveness
ACCESSIBILITY Proximity to Brussels, capital of EU 500 million consumers within reach Availability of land buildings Train station of Liège-Guillemins, designed by Santiago Calatrava
PROXIMITY TO BRUSSELS, CAPITAL OF EU • Capital of Belgium; • Headquarters of NATO; • 6 th in the list of the leading cities in which to do business; • 1, 300 international corporations; • 2 nd largest concentration of journalists in the world; • 3, 800 diplomats and 159 embassies; • 2 nd most chosen conference centre in the world
WALLONIA, AT THE HEART OF EUROPE Trucking time Inhabitants GDP - million € 1 hour 4, 700, 000 66, 931 2 hours 17, 800, 000 277, 641 3 hours 42, 300, 000 604, 860 4 hours 58, 800, 000 954, 390
PARTICULARLY DENSE ROAD AND RAILWAY NETWORKS Density of the road network Km per square Km 5. 08 Density of the rail network Km per square Km 0. 117 5 0. 106 0. 094 0. 073 0. 061 0. 057 0. 055 Source : IMD World Competitiveness Yearbook 2016 Lu ly Fr an ce Sp ai n Ita K U lg i xe um m bo ur g G er m N an et y he rla nd s 0. 67 0. 51 Be 1. 32 1. 11 Sp xe ain m bo ur g U SA G er m an y K U 0. 033 Lu N et Be lg iu he m rla nd s Fr an ce 1. 87 1. 72
2 WORLD CONNECTED AIRPORTS • • "Aeropole" of 500 acres; Specialised in passengers transport; Second most punctual airport in the world base for conducting tests by surrounding aeronautical industries. Source : http: //www. charleroi-airport. com/ • • 660, 000 2016 590, 579 2014 649, 829 561, 000 2013 1 st cargo hub in Belgium 8 th cargo hub in Europe 24 th cargo hub Worldwide European hub for TNT 2015 576, 664 2012 674, 469 2011 482, 121 2009 639, 434 518, 650 2008 405, 949 489, 870 2007 2016 2015 2014 2013 2012 2011 2010 3 2009 2. 8 2006 2005 1. 9 2. 2 2007 4 2006 325, 712 5. 9 7. 3 2005 5. 2 6. 9 6. 5 6. 7 6. 4 2010 Annual tonnage evolution Number of passenger (million)
4 FLUVIAL PORTS INCLUDING THE 3 RD LARGEST EUROPEAN INLAND PORT Central position within the Escaut-Meuse-Rhine axis and canals linking the rivers Source : Direction de la Promotion des Voies Navigables et de l’Intermodalité (DPVNI)
MORE THAN 265 BUSINESS PARKS • • 7, 100 companies 159, 000 jobs 23 8 18 57 54 21 34 50 Number of business parks managed by the economic development intercommunal agencies
15 KEY LOGISTICS ZONES • Ideally located logistic zones • Connexions to the major ports and principal consumer centres. Source : Logistics in Wallonia
7 SCIENCE AND TECHNOLOGY PARKS • • working closely together to promote their "know-how" in the hosting of high-tech companies. supporting the process of innovation and the economic development of Wallonia.
BELGIUM OFFERS ONE OF THE LOWEST REAL ESTATE COSTS IN EUROPE Prime office rents - Location €/sq m/year Namur Budapest Brussels Amsterdam Frankfurt-a. . . Milan Luxembourg Dublin Paris London 155 264 275 370 444 500 576 592 790 1, 513 Prime industrial rents - Location €/sq m/year Liège Budapest Milan Paris Brussels Frankfurt-am-. . . Dublin Amsterdam Luxembourg London 39 43 51 55 58 72 81 92 96 Source : Cushman & Wakefield – Selected Europe Prime Rents 2016 Q 4 177
LAND PRICES INDICATION (€/SQ. M. ) Sale price (m²) Hainaut 75 - 125 Brabant Wallon Liège 23 - 70 45 - 90 Namur 45 - 90 Luxembourg 20 - 40 source : Research, August 2015
SENSE OF SHARING Numerous investment incentives Fiscally attractive A positive business environment
INVESTMENTS INCENTIVES : UP TO 25 % Calculated, as a percentage, on the purchase of : building intangible investments (patents, licenses, technical expertise whether patented or not), new equipment road vehicles exceeding 3. 5 tons (except in the transport sector)
RESEARCH & DEVELOPMENT SUPPORT FROM THE WALLONIA REGION • Subsidy for Basic Industrial Research : 50% (up to 70% for SME’s) • Advance loan for Applied Research : 50% (up to 70% for SME’s) INNOVATIVE FISCAL MEASURES • Patent Income Deduction • Investment deduction for investments in R&D centres • R&D Tax Credit • Partial exemption salary withholding tax for researchers • Tax allowance for additional employee • Innovation premium • Expat status in R&D • Tax exoneration for regional grants • Accelerated depreciation of R&D intangibles • Deductible gifts
EMPLOYMENT SUPPORT This aid covers two aspects: § § Tax benefits and grants that help to reduce wage costs : • recruitment grants, • reductions in social security costs • tax exemptions Support measures encouraging training: • advantageous training plans or programs, • financial aid for training staff and taking on people in search of employment SUPPORT FROM THE FOREM (regional public service for employment and training) : • Management of public systems • Recruitment Guidance • Social Guidance for Companies
TAX SYSTEM AND INCENTIVES • • • Ruling Notional interest deduction Unique tax features for R & D Expat status Dividend withholding tax exemption VAT fiscal unity as from April 1, 2007; bonded warehouses new tax attractive instrument for European pension funds; tax shelter for audio-visual sector (films, series…); etc. , …
FISCALLY ATTRACTIVE FOREIGN INVESTMENTS Corporate tax rates Fr an ce um Be lgi Ita Ge Ne th 34. 4 33. 9 31. 4 ly y an rm Sp ai nd s er la UK 25 n 25 20 30. 18 Overall mean Source : ZEW - Project for the EU Commission - FINAL REPORT 2015 38. 3 an ce Fr n Sp ai y an Ge rm um lgi Be Ita nd s Ne th e rla UK 21. 5 28. 2 27. 8 23. 8 ly 22. 5 32. 9
A POSITIVE ENVIRONMENT FOR EXPORT AND FOREIGN INVESTMENTS 15 first markets of the Wallonia export (%) 30. 0% 27. 5% 25. 0% 22. 5% 20. 0% 17. 5% 15. 0% 12. 5% 10. 0% 7. 5% 5. 0% 2. 5% 0. 0% Export trends (1996 -2016) Average growth rate : § § § 2015 § Germany (+6, 0%) Netherlands (+5, 7%) Wallonia (+5, 3%) Flanders (+5, 2%) UE 15 (+5, 0%) France (+3, 9%) Czech Republic Brazil Switzerland Sweden Austria China Poland Spain Luxembourg Italy UK USA Netherlands Germany France 9 months 2016 Source: Wallonia Export and Investment Agency
OVERVIEW OF TOTAL FOREIGN INVESTMENTS THAT RECEIVED REGIONAL SERVICES Number of projects completed 2015 2014 2013 2012 2011 2009 2008 2007 2006 2005 2004 2003 103 87 77 68 67 55 2002 2001 2000 52 81 81 92 91 2010 94 98 58 113 103 2016 122 1. 442 projects completed (Sources: AWEX results and DGO 6) Google - Mons
OVERVIEW OF TOTAL FOREIGN INVESTMENTS THAT RECEIVED REGIONAL SERVICES Jobs created Amount invested 2, 543 2, 393 € 1, 656 2, 031 1, 770 1, 665 € 1, 088 € 776 € 600 1, 501 1, 396 1, 256 € 854 € 789 € 754 € 640 € 540 1, 729 1, 704 1, 417 1, 144 € 405 11. 933. 098. 148 € invested (Sources: AWEX results and DGO 6) 29. 192 jobs created 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 € 258 2001 2000 € 347 1, 700 1, 470 € 958 € 637 € 621 € 572 € 439 1, 951 1, 7891, 733
TECHNICAL KNOW-HOW Industrial sectors, vectors of competitiveness Highly skilled available workforce Focal XXL Amos
INDUSTRIAL SECTORS, VECTORS OF COMPETITIVENESS Within the framework of the “Marshall Plan”, centers of competitiveness have been developed : Aeronautics & Space industry Engineering & Advanced materials Transport & logistics Agro-food Life sciences Environmental technologies
LIFE SCIENCES Biowin’s objectives are • to develop and market new therapeutic and diagnostic products in three priority fields: • cancer, inflammation and brain diseases. • to develop new biomarkers, new predictive models and new drug-delivery systems, • to identify new molecules with potential therapeutic uses. www. biowin. org GSK www. biowin. org
TRANSPORT & LOGISTICS Logistics in Wallonia has identified three development axes: • Promoting logistics externally, and managing the setting up of European distribution centers; • Developing and disseminating knowledge through training; • Cross-sector networking involving all the Wallonia bodies operating in the fields of transport and logistics. www. logisticsinwallonia. be
ENGINEERING & ADVANCED MATERIAL Meca. Tech cluster projects are grouped along four strategic axes: • future materials and surfaces, specifically the development of nanotechnologies; • global forming technologies; • microtechnologies and mechatronics; • intelligent (reliable) maintenance. www. polemecatech. be SONACA - Charleroi
AERONAUTICS AND SPACE The strategic focus of the Wallonia air and space industry lies on three axes: • More composites: replace metallic materials with composites that are lighter, last longer and have less impact on the environment; • More intelligence: to meet market requirements more effectively; • More applications and services: provide solutions to the problems of tomorrow. www. skywin. be SABCA - Charleroi
AGRO-FOOD Three strategic directions have been defined: • to develop a culture of innovation, with products that add more value • to boost profitability by fostering integration and sustainability • to increase the production capacity and size of businesses by positioning them in growing • markets and by expanding their capacities and sales skills. www. wagralim. be LUTOSA products
ENVIRONMENTAL TECHNOLOGIES Priority areas : • sustainable chemistry and sustainable materials (including sustainable building materials) • energy field (by bolstering the existing cluster) • waste in its widest sense (in particular CO 2 capture and storage) www. greenwin. be
Source : OECD 2017 48. 3 75. 7 United Kingdom Poland 43. 8 76. 4 Finland Czech Republic 78 82. 5 Euro area Spain 85. 3 90. 9 Germany Sweden 92. 8 France 85. 9 92. 9 Denmark Switzerland 93. 8 Netherlands 86 96. 4 Belgium G 7 countries 100 United States OVERALL PRODUCTIVITY LABOUR PRODUCTIVITY GDP per hour worked as % of USA
EDUCATION Language skills - are meeting the needs of enterprises (max. = 8, 98) Netherlands 8. 82 Belgium 8. 46 Germany 7. 05 Italy UK 4. 43 4. 02 Spain 3. 67 France 3. 58 University Education - meets the needs of a competitive economy (max. = 8, 80) Netherlands 8. 18 Belgium 7. 96 Germany 7. 59 UK 6. 63 Italy 6. 07 France 6. 03 Luxembourg Spain 6 4. 4 Source : IMD World Competitiveness Yearbook 2016
QUALITY OF LIFE Exceptional quality of life Efficiency of local government authorities Castle of la Hulpe
BELGIUM HAS A HIGH QUALITY OF LIFE Quality of life is high (max. = 9, 83) Netherlands 9. 24 Germany 9. 21 Belgium 9. 05 Luxembourg 8. 99 Spain 8. 10 France 8. 00 UK 7. 92 Italy Source : IMD World Competitiveness Yearbook 2016 7. 21
A QUALITY EDUCATIONAL SYSTEM • 9 academies • 9 university centres • 130 higher institutes of education • 300 research centres • 7 sciences parks
HEALTH INFRASTRUCTURES Health infrastructure - meets the need of society (max. = 9, 25) Belgium 9. 02 Netherlands 8. 44 Germany 8. 22 France 8. 18 Spain 7. 98 7. 77 Luxembourg Italy UK 6. 70 6. 44 Source : IMD World Competitiveness Yearbook 2016
AN EXCEPTIONAL ART OF LIVING Wallonia has perfected the art of living and therefore enjoys a very high quality of life: § appreciation of Wallonia history, § numerous cultural aspects, § emphasis on hospitality, § high density of fine restaurants
EFFICIENCY OF LOCAL GOVERNMENT AUTHORITIES The Wallonia government is committed to making Wallonia attractive to corporations and foreign investments through § the high quality of direct service available; § simplified administration procedures; § very short decision processes; § simplification of the procedure for setting up a company. Number of days to start a business Belgium 4 Netherlands 4 France 4 UK Italy Germany Spain Luxembourg Number of procedures to start a business. . . 5 6 11 14 19 Belgium Netherlands UK France Italy Luxembourg Spain Germany Source : IMD World Competitiveness Yearbook 2016 3 4 4 5 5 6 7 9
EFFICIENCY OF LOCAL GOVERNMENT AUTHORITIES The Wallonia Export-Investment Agency provides information, advice, contacts and solutions to foreign companies considering expanding business in Southern Belgium § Clients are treated on a confidentiality basis § Services are free of charge § Working in close connections with the Belgian Embassies www. investinwallonia. be
Wallonia Export & Investment Agency Namur Office Park Avenue des Dessus de Lives, 6 B-5101 Loyers (Namur) – BELGIUM (T) +32 81 33 28 50 (F) +32 81 33 28 69 welcome@investinwallonia. be www. investinwallonia. be
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