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SEZ Lotus Continues to Build Infrastructure for Its Tenants

The construction of 5 km of roads in the western and eastern parts of Special Economic Zone Lotus in the Narimanov District is underway within the framework of Program 1704 (budget loans restructuring mechanism). The construction is scheduled to be completed by this summer. Additionally, communication and power network facilities are being installed.

 In 2023, the eastern part was fenced and about 3 km of cable conduit lines for communication networks were built. Currently, 4 contractors are engaged in the construction of infrastructure in SEZ Lotus. A total of 1.3 billion rubles will be allocated from the regional budget within Program 1704.

 – By the end of May, all the basic infrastructure will be completed using the first two tranches of 216 and 429 million rubles. Tendering procedures for the completion of roads and electricity networking will be held in March-April of this year, with the construction expected to be finished at the end of the year. The construction of one facility – a road in the eastern part – is experiencing a delay of several months due to the contractor’s financial and economic problems. The contract had to be cancelled. All the complete arrangements have been made to minimize the delay in the road construction, a new contract has been signed with another contractor who is committed to complete the remaining work by June 1st, – comments Sergey Milushkin, Director General of SEZ Lotus JSC.

First of all, Rybniye Korma JSC, which will soon launch the largest fish and pet feed plant in Southern Russia, requires these roads.
 The construction of a road leading to the active enterprise JSC Gexa-Lotos and the detergent plant of Iranian brands Rosa LLC, which is under construction, is on schedule in the western part; the road will be commissioned in May.

At the same time, gas supply facilities are being constructed in the SEZ as part of the PJSC Gazprom’s gas distribution program for the Astrakhan Region. The construction of a branch gas pipeline and a gas distribution station of SEZ Lotus started last year. This infrastructure will meet the gas needs of current and potential tenants, as well as preserve a capacity for future needs. The construction is scheduled to be completed by the end of 2024.

* The Russian Federation Government Decree No. 1704 dated 19.10.2020 allows financing the construction of infrastructure for new investment projects from the regional budget. The region can decrease its public dept by the amount of taxes generated by the new investment projects and paid to the federal budget.
** SEZ Lotus was established on the area of 991 hectares in the Narimanov District of the Astrakhan Region in 2014, and it is annually recognized as effective by the Ministry of Economic Development of the Russian Federation. There are 17 tenants registered in the economic zone, with a total of 29 billion rubles in declared investments. The tenants have created 524 new jobs, made investments worth 5 billion rubles, and paid 1.86 billion rubles in taxes and insurance. 35 infrastructure facilities have been built in the SEZ, and infrastructure investors have been attracted to develop the economic zone.

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