Free economic zones in Serbia

In all respects of ease of doing business, Serbia ranks first. In addition to the fact that the country is at the crossroads between East and West and has good political relations with both Europe and Russia and Asian countries, it can be proud of its well-developed free economic zones.

Currently, there are 15 free economic zones in Serbia, and the import of goods from them is increasing every year. All types of business and industrial activities can take place in these zones, including manufacturing, storage, packaging, trading, banking and insurance.

The big advantage of free zones in Serbia is that, in addition to domestic ones, foreign companies can also do business here. Income received in such a zone can be transferred to any country without prior permission and collection of taxes and customs duties.

Advantages of doing business in the SEZ of Serbia

Advantageous geographical location of the Republic of Serbia

• Serbia is located in the center of the Balkan Peninsula, in the southeastern part of Europe and is a link between Eastern and Western, Northern and Southern Europe
• The country is located at the intersection of the Danube river basins
• The country is located on the border of the EU, covered by European corridors 10 and 7.

Free trade agreements

• Temporary trade agreement with the European Union
• CEFTA Agreement
• EFTA Agreement
• Free trade agreement with the Russian Federation
• Free trade agreement with Belarus
• Free trade agreement with Kazakhstan
• Free trade agreement with Turkey
• US Generalized System of Preferences

User benefits

• Exemption from customs and other import duties on the sale of goods intended for economic activity and construction of facilities in the free zone (processed material, equipment, construction material)
• No customs guarantee is required for foreign goods intended for manufacturing operations in a free zone

Fiscal benefits

• Exemption from VAT when importing goods into the free zone, as well as for transport and other services related to the import of goods
• Exemption from VAT when trading goods and services in the free zone
• Exemption from VAT when trading goods between users of two free zones
• Exemption from VAT on energy consumption for free zone users carrying out production activities

Benefits provided by local government

Local governments, in accordance with their powers, can make decisions on providing benefits for the construction of facilities and infrastructure in the free zone. The above benefits relate to the decision to exempt from payment of local taxes, fees and charges within the jurisdiction of local governments. Including land development fees, municipal administrative fees, city planning requirements and approval fees, connections to local water and sewer infrastructure, local utility fees, etc.

Simple and fast customs procedure

• Optimized user procedures
• Special user block

More efficient administration in the free zone (single window)

• Free zone users have at their disposal a large number of additional services that free zone management companies can provide, such as organizing transportation, transshipment, loading, freight forwarding services, agency, insurance, as well as banking services, etc.

Free Zone Subotica

City of Subotica — The northernmost city in Serbia and the second most populous in Vojvodina. It is located in an ideal geographical position, on the Pan-European Corridor 10, next to two major international border crossings with the European Union, on the E-85 railway corridor. The city has developed transport, energy and utility infrastructure, as well as an accessible and qualified workforce. The city, including its surrounding municipalities, has a population of approximately 150,000 inhabitants.

The Subotica Free Zone was created on July 2, 1996 by a decision of the federal government approving the definition of the territory of the free zone.

Users of this zone cover various industries and the production of small and microelectric motors, high power wind farms, components for the automotive industry, plastic components for the electrical industry, jewelry and other industrial components. The free zone is located:

• in the city of Subotica
• in the city of Kikinda

Pirot Free Zone

Pirot — a city in southeastern Serbia with rich cultural traditions and a long history. It is located on the important international cross-corridor 10 that connects Europe with Asia. The proximity of the European Union (65 km) represents a significant advantage of the city. This region is located on the important Eastern Mediterranean route, i.e. on a route connecting Western and Central Europe with the Middle East and Eastern Mediterranean. The municipality of Pirot itself is one of the largest municipalities in Serbia by area, with a total population of 57,552 people. At the same time, Pirot is the administrative center of the Pirot district, which includes four municipalities: Pirot, Dimitrovgrad, Babushnitsa and Bela Palanka.

The Pirot Free Zone was created on August 8, 1996 by a decision of the federal government approving the definition of the territory of the free zone. This area is located:

• in the city of Pirot
• in the municipality of Babushnitsa 
• in the municipality of Dimitrovgrad

Zrenjanin Free Zone

Zrenjanin — the largest city in the Serbian part of Banat and its political, economic, cultural and sports center. Zrenjanin — the largest city in the autonomous region of Vojvodina and the second in the Republic of Serbia in terms of administrative territory (1326 km²). It is home to about 130,000 residents of more than 20 nationalities. Zrenjanin has an extremely favorable geographical position, located only 75 km from Belgrade and 100 km from Timisoara (EU). This position makes the city an extremely important transition center and a potentially valuable resource in the north-south and east-west directions. The Zrenjanin Free Zone was created on November 9, 2006 by the Decision of the Government of the Republic of Serbia approving the definition of the territory of the free zone. The Zrenjanin free zone includes three places in the city: 

• «Southeast» 
• «Baglyash» 
• «Tsvetna»

Novi Sad Free Zone

Novi Sad — the largest city of the autonomous region of Vojvodina and its administrative center. After Belgrade, it is the second city in Serbia in terms of population and area. The administrative territory of the city of Novi Sad is home to approximately 340,000 inhabitants. The city is located on the banks of the Danube River. On the left bank of the Danube there is a flat part (Bačka), and on the right bank, on the slopes of Fruška Gora, — hilly part of the city (Srem). The Novi Sad free zone is located in the following locations:

• Baichi Žilinskogo Street, on the territory of the company “Free Customs Zone Novi Sad” 
• Promyshlennaya street, on the territory of the company "Petar Drapshin" 
• on the territory of the company "NIS" 
• operational zone "North IV" 
• on the premises of Barry Callebaut South East Europe
• on the territory of the Pobeda industrial complex

Kragujevac Free Zone (Fiat Automobiles Serbia)

The city of Kragujevac is the economic, administrative, educational, medical, cultural and sports center of Šumadija. It is located at the intersection of main national roads and highways, next to the 10 rail and road corridor, which connects Kragujevac with the rest of Serbia and Europe. Kragujevac is the administrative center of the Šumadija administrative district. The relatively short distance from the state borders of neighboring countries and the airports in Surcin and Niš opens up opportunities for intensive international cooperation. Over the past half century, Kragujevac has experienced significant population growth due to its role as a regional and national industrial center. In terms of industries, most people are employed in manufacturing and retail.

The free zone in Kragujevac was created on November 5, 2009 by the decision of the Government of the Republic of Serbia approving the definition of the territory of the free zone.

Sabac Free Zone

The city of Sabac is located in the northwestern part of central Serbia, on the right bank of the Sava River and is the administrative, economic and cultural center of the Macvina region. The geographical position of the municipality is very advantageous, as it is located on important road, railway and river routes, and is also close to the major cities of Belgrade and Novi Sad. The municipality of Sabac covers an area of 795 km² and has approximately 120,000 inhabitants. The metropolitan area is home to approximately 70,000 residents. The main economic potential of this zone: fertile lands suitable for all types of agricultural production, as well as the Sava and Drina rivers, which contribute to the development of numerous industries, as well as water management, river transport and tourism. The Sabac Free Zone was created on December 24, 2009 by the Decision of the Government of the Republic of Serbia approving the definition of the territory of the free zone. The Sabac free zone includes five places: 

• in the city of Sabac 
• in the municipality of Ruma 
• in the city of Loznitsa 
• in the municipality of India 
• in the city of Valevo

Svilajnac Free Zone

The municipality of Svilajnac is located on the banks of the Velika Morava and Resava rivers, approximately 100 km southeast of Belgrade. The city has 9,935 inhabitants, and the entire municipality — 25,511 inhabitants. Svilajnac is attractive for investment due to its favorable geographical location, as well as its close proximity to the Pan-European Corridor 10 and the E-75 motorway. Given its proximity to three Serbian airports (Nikola Tesla, Belgrade, Konstantin Veliki, Nis and Morava, Kraljevo), businesses based here benefit from access to reliable air transport services. Svilajnac has a developed small and medium-sized enterprise sector, numerous natural resources and favorable land conditions, making it a regional leader in agriculture.

The Svilajnac Free Zone was created on March 22, 2012 by the decision of the Government of the Republic of Serbia approving the definition of the territory of the free zone.

The Svilajnac Free Zone includes two sites in the municipality of Svilajnac:

•  Industrial zone "Veliko Pole"
•  Industrial zone “New Business Zone”

Smederevo Free Zone

The city of Smederevo is located in the north-eastern part of the Republic of Serbia and is the administrative, economic, commercial and cultural center of the Danube region. It is located at the intersection of two pan-European transport corridors: Corridor 10 (road & railway) and water Corridor 7 (Danube), just 46 km from Belgrade. This fact ensures multimodal transportation, which gave the city the opportunity to develop as a regional and logistics center of Serbia. Also Smederevo — the northernmost port on the Danube for ships coming from the Black Sea. The city has a rich history, traditions and cultural heritage, human resources, developed infrastructure, two major rivers (Danube and Velika Morava), fertile agricultural land with significant production of fruits, grapes and wine of the highest quality. The steel foundry operating in Smederevo has long been the backbone of the city's economic development and one of Serbia's largest exporters. The city of Smederevo has a population of approximately 64,175 inhabitants, while the entire municipality has a population of 108,209.

The Smederevo Free Zone was created on April 20, 2012 by the decision of the Government of the Republic of Serbia approving the definition of the territory of the free zone.

The Smederevo free zone includes two objects:

• in the city of Smederevo
• in the town of Požarevac

Krusevac Free Zone

City of Krusevac — a city with rich traditions and centuries-old history. Once a medieval Serbian capital, today it is a modern city and the economic, administrative, cultural, medical, educational, information and sports center of the Racine region. It covers an area of 854 km² and includes 101 settlements with a population of more than 145,000 people. The city of Krusevac itself, as an urban area, has approximately 65,000 inhabitants. The economic activities of the city of Krusevac are carried out in 12 sectors, but the largest number are involved in manufacturing, trade, construction and transport.

The Krusevac Free Zone was created on May 30, 2012 by the decision of the Government of the Republic of Serbia approving the definition of the territory of the free zone.

The Krusevac Free Zone includes two places:

• in the town of Krusevac
• in the city of Kraljevo

Apatin Free Zone

The municipality of Apatin has an advantageous geographical location. It is located close to the national border with Hungary and Croatia, member states of the European Union, and sits directly on a 42-kilometer stretch of the Danube River. The Danube Waterway is Pan-European Corridor 7, a natural road connecting ten European countries. The Apatin free zone was created on January 14, 2014 by the decision of the Government of the Republic of Serbia approving the definition of the territory of the free zone.

Apatin Free Zone includes two places in the municipality of Apatin:

• «RTK and port of Apatin», near the bank of the Danube
• «Block 61 Apatin»

Vranye Free Zone

Lies — a city in southern Serbia, located on corridor 10 near the border with Macedonia and Bulgaria. The city of Vranje includes the municipality of Vranska Banja and 108 settlements. Lies — administrative, cultural and economic center of the Pchinsky district. It is home to approximately 55,138 inhabitants. The city is located 110 km from Niš and 347 km from Belgrade. Thanks to excellent transport connections, Vranje can easily access the markets of South-Eastern Europe and the European Union, with all the customs capabilities that Serbia has in trade with these countries. More than 2,500 companies do business in Vranje. The most developed sectors of the economy here are the woodworking, textile, footwear, chemical industries, as well as the metalworking, engineering, food and tobacco industries.

The Vranje Free Zone was created on January 20, 2014 by the decision of the Government of the Republic of Serbia approving the definition of the territory of the free zone.

The free zone covers an area of 123.4 hectares, of which 105 hectares are intended for investment in new projects, and the remaining 18.4 hectares are intended for investment in existing projects.

The Vranje free zone includes two places:

• in the city of Vranje
• in the city of Nis

Priboy Free Zone

The municipality of Priboj is located in the southwest of Serbia, in the valley of the Lim River. On an area of 552 km² 30,377 inhabitants live. Very important regional roads to Podgorica and Sarajevo, as well as the Belgrade railway — Bar. The Priboj free zone was created on May 7, 2015 by a decision of the Government of the Republic of Serbia approving the definition of the territory of the free zone.

Free Zone Belgrade

The city of Belgrade has an extremely advantageous geostrategic position. Belgrade — it is a crossroads of Eastern and Western European roads leading through the Moravian-Vardar and Nishavo-Maritz valleys to the shores of the Aegean Sea to Asia Minor and the Middle East. The Belgrade Free Zone was created on October 23, 2015 by a decision of the Government of the Republic of Serbia approving the definition of the territory of the free zone. The Belgrade Free Zone includes three places:

• in the city of Belgrade
• in the town of Pancevo
• in the municipality of Stara Pazova

Free zone Šumadija

The founder and management company of the free zone Šumadija is the city of Kragujevac. It covers an area of 16 hectares. The Šumadija free zone was created on October 31, 2019 by a decision of the Government of the Republic of Serbia approving the definition of the territory of the free zone.

Užice Free Zone

The city of Užice is located in the Zlatibor region in the southwestern part of Serbia. It covers an area of 666.7 km² and has about 82,000 inhabitants. It is the economic, administrative, health and cultural center of the region, which includes ten municipalities. The Užice Free Zone was created on June 24, 2010 by the decision of the Government of the Republic of Serbia approving the definition of the territory of the free zone.