Castilla y Leon A sure bet for business. Brussels, November 7 th, 2017
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1 Castilla y Leon A sure bet for business Brussels, November 7 th, 2017
2 LOCATION Castilla y Leon is located in central and northern Spain. With an area of 95,000 sq km, it is the largest region in Spain and the second in Europe. A domestic market of 2.5 million inhabitants. PRIVILEGED GEOGRAPHICAL SITUATION It limits with 9 other Spanish regions, more than half of the Autonomous Communities of our country. It shares a border with Portugal. Central part of the Lisbon - Paris - Helsinki axis. It connects the north of Spain with North Africa.
3 The most important logistic center of Northwest Spain MODERN AND EXTENSIVE NETWORK OF Modern and efficient road network: 2,443 km of high-capacity roads. 89% of them are toll-free. 15 logistics hubs on the main routes, 8 with rail capacity. Castilla y León bets on intermodality. High-speed train The Atlantic Corridor crosses Castilla y León connecting Portugal, Spain, France and Germany. 4 airports: Valladolid, León, Burgos, Salamanca. Just 60 minutes away from the airports with the highest traffic in Spain: Madrid and Barcelona. In Castilla y León, more than 386,750 tons of goods are transported daily.
4 EXTENSIVE OFFER OF AREAS 358 industrial estates. 150 million square meters. The Regional Government has developed 40 million square meters in a total of 82 industrial and technological areas. Very competitive price with advantageous financial conditions. Industrial areas equipped with latest technologies, simple and comfortable access, located in or very close to the main logistic hubs of northern Spain. EXCELLENT FOR INNOVATION Region committed to innovation, earmarking 2.75% of public expenditure on R &D&I. 14 Technological Development Centers. 22 Institutes and Laboratories of Scientific Research at the service of companies. 834 technologically innovative companies in the Region. 500 recognized research groups from the Universities of Castilla y Leon. Several technology parks, promoted by the Regional Government, modern and with excellent infrastructures for innovation, for companies of high technological content.
5 OPEN, DYNAMIC AND WITH GLOBAL VOCATION GDP growth rate higher than that of the European Union. Internationalized regional economy: Surplus of the trade balance. Exports growth of 45% in the last 5 years. Rate of coverage of exports much higher than the Spanish average. Modern and competitive tax system: The tax burden in Spain (33,9% GDP) is 7 points below the EU-28 (position 21). Growth of 7.55% of the volume of jobs in Castilla y Leon in % 50,0 40,0 30,0 20,0 10,0 0,0 the last 4 years Total tax burden as a percentage of GDP Castilla y León GDP Source: Estadistics. JCyL (2017). Millions of euros M active companies in Castilla y Leon. 33,9 % Source: Eurostat 2016.
6 AGRI-FOOD SECTOR The regional agri-food industry is the third in Spain with an annual turnover of over 10 billion euros, 10% of the national total. This sector represents 30% of the total regional industry. There are more than 3,000 companies in this industry employing more than 35,000 people, 10% of the national total in both parameters. High degree of specialization and high growth rates recorded over the last years. Castilla y Leon has 65 recognized figures of quality between Denominations of Origin, Protected Geographical Indications, Guarantee Marks and Quality Wines. Coexistence of large multinational corporations and specialized and innovative local companies, a powerful value chain in the Region.
7 AGRI-FOOD SECTOR
8 AUTOMOTIVE AND AERONAUTICS SECTORS Castilla y Leon is one of the leading European regions in the automotive sector and the most important Spanish region in vehicle manufacturing. The automotive sector represents about 20% of the Regional GDP and 25% of the Industrial GDP, and more than 60% of the total exports of Castilla y Leon. More than 18% of vehicles manufactured in Spain are produced in Castilla y León. Castilla y Leon owns more than 20% of the national capacity for the manufacture of vehicles: 4 vehicle factories: RENAULT (Valladolid and Palencia), GRUPO FIAT-IVECO (Valladolid) and NISSAN (Avila). 1 engine manufacturing plant: RENAULT (Valladolid). The automotive sector uses high levels of innovation and technological development in its production processes, high degree of automation, sophisticated quality control systems and established policy of internal R & D activities. Several parks of automotive suppliers encompassing the world's leading companies in the sector at various TIER levels. More than 130 companies linked to the automotive sector generating 40,000 direct and 60,000 indirect jobs.
9 AUTOMOTIVE AND AERONAUTICS SECTORS The aeronautics industry in Castilla y León is focused on 10 companies that generate about 850 direct jobs and about 1,300 indirect jobs. Regional Government's commitment to a broad spectrum of research and action lines linked to the sector: Development of new aerospace structures. Research, development and application of advanced technology composites. Research and development of more efficient and less energy intensive technologies and resources, as well as development of new energy sources and alternative propulsion systems, cleaner and more efficient. Development of air traffic control systems and vehicle electronic systems. Business initiatives in satellite mission engineering and analysis, development of ground segment systems, remote sensing, simulation and development of space technologies applied to positioning systems, satellite navigation and telecommunications.
10 AUTOMOTIVE AND AERONAUTICS SECTORS
11 PHARMACEUTICAL - CHEMICAL SECTOR Sector composed of 200 companies that employ 5,000 people in Castilla y Leon. Excellent infrastructures to support innovation, providing material and human resources that facilitate R & D activity, technology transfer, testing or measures for the chemical-pharmaceutical fabric of the Region: Clusters of Castilla y Leon related: Biotecyl: Health Cluster. Cluster4eye: Ophthalmology and Vision Sciences. Network of Technology Centers related to Health Sciences: IOBA, Ophthalmology. INBIOTEC, Biotechnology. CIC, Cancer Research Center. INCYL, Neuroscience. IBGM, Genetics and Biomolecular Technology. Consolidation of large and recognized multinational companies in the Region.
12 PHARMACEUTICAL - CHEMICAL SECTOR
13 ENERGY SECTOR The Spanish region that produces more energy compared to its internal consumption. It supplies 12% of the national energy and consumes 5%: Net exporting region of energy. 843 companies work in the energy sector employing 10,000 people. 250 companies in the renewable energy subsector. The energy industry contributes almost 5% to regional GDP (1.17% renewable energy). Important industrial presence in the renewable energy sector, covering the entire value chain. Castilla y Leon is the national leader in wind and hydroelectric production due to its natural resources: It produces 30% of the total hydraulic energy of Spain and 23% of the national total wind energy. 25% of wind power capacity and 25% of hydraulics installed in Spain is located in Castilla y Leon.
14 ENERGY SECTOR
15 OTHER SECTORS: ICTs 2,500 companies in the ICT sector generating more than 15,000 jobs in Castilla y Leon: The second largest concentration of experts in Spain. The Technology Parks of Castilla y León: ideal environment for the development of this industry. Important global corporations have been established in Castilla y Leon: HP, IBM, SIEMENS, SAGE, ALTEN, ATOS, TELEFÓNICA R & D, among others. OTHER SECTORS: SECURITY Regional diversified business fabric: integral security, hardware and software, surveillance equipment, homeland security, border control, aeronautical security and in air and land traffic, etc. The National Institute of Cybersecurity of Spain (INCIBE), a reference entity for the development of cybersecurity in Spain, is based in Castilla y Leon. Companies recognized internationally in this field established in Castilla y Leon: Indra, GMV, General Dynamics, Deimos Elecnor.
16 OTHER SECTORS: LOGISTICS Strategic hub to centralize the logistics activities by its location and infrastructure network. More than 40,000 companies in Castilla y Leon are dedicated to transport, accounting for 8% of the national total. Over 141 million tons of goods are transported annually within the region. It forms part of the Atlantic Corridor of the Trans-European Transport Network and is integrated into the Macro-region of Regions of South-West Europe. Main international companies located in Castilla y Leon: XPO Logistics, CAT Logistics, Transportes Molinero.
17 OTHER SECTORS: ENDOGENOUS RESOURCES Immense natural wealth of Castilla y Leon as economic sector. The main economic activities derived from the exploitation of abundant natural resources in the region: mining, forestry, wood and natural stone. Leading and innovative sectors in Castilla y Leon are: Forest resources: Wood as a key activity due to the abundance of raw material. Pinion and mycology are also characteristic of the Region. The resin sector of Castilla y Leon: area of 413,000 hectares of pine that maintains the extraction of resin at national level. Natural stone: the slate produced in Leon is considered to be the best quality in the world. Mining: 483 active mining operations representing a turnover of close to 363 million euros. Main companies established in Castilla y Leon: BERKELEY, GROUPE ROULLIER, SONAE-ARAUCO, KRONOSPAN, RESINS OF BRAZIL (RB), among others.
18 EDUCATIVE OFFER 9 Universities: second Spanish region and one of the European ones with the highest university population index. More than 800 compulsory education centers of all levels with more than 240,000 students. More than 500 compulsory education centers with some bilingual learning section (English or French). More than 200 vocational training centers with 40,000 students. 116 vocational training degrees. FAVORABLE WORK ENVIRONMENT Low levels of staff rotation. One of the lowest labor conflict rates in Spain. High labor productivity index. Skilled and diversified workforce. Competitive labor cost, much lower than the Spanish average. 6,000 researchers in Castilla y Leon. 8,880 people with full-time dedication to R & D & I Gross labor cost per worker and month (2016) , , , , ,38 Castilla y Leon Source: INE Spain Catalonia Vasque Country Madrid
19 INSTRUMENT: FINANCIAL LAUNCHER An instrument of public-private collaboration, promoted by the Regional Government, to support viable business projects in Castilla y Leon. Comprehensive consultancy services, technical and financial support. Management of all financial programs available to support investment projects in Castilla y Leon. AIDS, SUBSIDIES AND FINANCIAL SUPPORT Wide range of aids covering all the needs of the project in every stage: pre-investment, investment and post-investment: Non-reimbursable subsidies and / or tax deductions. Public and private financing: guarantees, loans, equity loans, venture capital or seed capital. Types of investment projects or actions to be financed: Creation and implementation of a new establishment in Castilla y Leon. Expansion, modernization and consolidation. Refinancing or corporate restructuring operations. Business competitiveness increase. Development in R & D. Internationalization of the company. Hiring and training of staff.
20 TAXES AND TAX INCENTIVES Corporate tax in Spain is 25%, lower than in countries like USA or the average of the OECD countries. Tax system for foreign workers: Income tax is 24.75%. Favorable tax system for foreign investors and R & D activities: the most advantageous among OECD countries. TAX INCENTIVES FOR INVESTMENT IN CORPORATE TAX Tax Incentives: Accelerated depreciation allowed. Freedom from depreciation. Special agreements for leasing contracts. Easy terms for financing. Deduction for reinvestment of extraordinary profits. Deduction for the creation of employment and for investments, as well as for job creation for disabled workers. Other deductions for investments in training costs, environment, etc. Deductions for R & D & i investments: 25% of R & D & I expenditure (up to 42% in special cases). 12% of the expenditure on technological innovation.
21 Citizen security index is one of the highest in Spain s rankings. The United Nations Human Development Index classifies Castilla y Leon as one of the places with the highest quality of life. WIDE CULTURAL OFFER Leading Spanish region in inland tourism. 50% of the historical artistic Spanish heritage is located in Castilla y Leon. 25% of the territory of Castilla y León is a nature reserve. GREAT GASTRONOMY VARIETY Its gastronomy is one of the most appreciated internationally. 65 quality figures between Denominations of Origin, Protected Geographical Indications, Guarantee Marks and Quality Wines.
22 The Institute for Business Competitiveness of Castilla y Leon (ICE) is the instrument of the Castilla y Leon Government for the development of the business sector of the Region, offering its services in 3 areas: Innovation, Financing and Internationalization. SUPPORT SERVICES TO THE INVESTOR Support and comprehensive consultancy services to the investors and their projects, oriented to facilitate the investment and its maintenance, to simplify the procedures and to save time and money, supporting easily and in a personalized way every investment project, covering all the stages of the investment process. BEFORE THE INVESTMENT DURING THE INVESTMENT AFTER THE INVESTMENT Search for strategic location. Identification of the available aids and the most advantageous financing channels. Promote the access to sectoral associations and clusters. Intermediation with public and private organizations involved in the implementation process. Information of the necessary steps for the project. Streamlining of procedures and permits required for the activity. Application for aids and funding. Necessary management for the rent of the chosen location (if it is owned by the Regional Government). Contact with the appropriate agents for the staff recruitment. Providing the necessary suppliers at this stage. Search for new aids and financing lines in accordance with the project activity and profile. Leading Companies Program: detection of business opportunities. Advice on internationalization. Identification of logistics and procurement advantages. Intermediation with public bodies.
23 THANK YOU
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