List of most frequently asked questions

A. Investment
1. Which forms of investments by OAO "Mogilevkhimvolokno" into joint venture are accepted: cash, the territory and facilities, machines and equipment or other?

OAO "Mogilevkhimvolokno" can invest production facilities and buildings, utilities, financial funds into joint venture (JV).

2. What is preferable percent size?

Subject to discussions.

3. Are there any restrictions with respect to foreign investments in Belarus?

There are no principal restrictions. Activity of a foreign enterprise shall not contravene the legislation of the Republic of Belarus. Protection of investors' rights is guaranteed by the Constitution and the Investment Code of the Republic of Belarus.
Investors' benefits are specified in the Decree of the President of Republic of Belarus No.10 "On special conditions for investment activities in the Republic of Belarus" of August, 6, 2009 and Resolution of Counsel of Ministers of the Republic of Belarus No.1449 "On realization of the Decree of the President of Republic of Belarus of August, 6, 2009 No.10" of November, 6, 2009.

4. Is it possible that the investor makes an investment in the form of technology license? Or shall the investor make investments in tangible form only?

Investments can be made both in tangible (equipment, financing facilities) and intangible (license, technology) forms.

B. Project site location
1. Is it necessary to construct any facilities for the joint production?

Buildings, facilities, engineering and energy infrastructure are available for the joint production setup. The need in construction of new buildings will depend on the layout of equipment for the new product manufacture.

C. Organization and personnel
1. Personnel required for the joint production (for manufacture, sales and administrative department)?

Depends on the management structure, production capacity and range of products. To be defined during the discussions. Currently a wide number of qualified specialists is available at OAO "Mogilevkhimvolokno".

D. Special terms for investors
1. What are the advantages of free economic zone (FEZ) for investors?

Terms and conditions for the investment projects of FEZ "Mogilev" residents are presented on web-site www.fezmogilev.com.

E. Other information
1. Can the customs union of Belarus, Russian Federation and Kazakhstan influence the activity of the joint production?

Customs union is an agreement of the above states on removing all borders between them as well as abolishing all customs duties and introducing a common customs tariff for other states. In case of export outside the customs union possible variation of tax rates for the products should be considered.