MedInTech Is Granted Status of Astrakhan SEZ Resident

"Session of the Expert Council of Lotos Special Economic Zone (Astrakhan Oblast) held on Wednesday approved business plan presented by MedInTech LLC (Moscow), which provided for about $10 million investment into creation of a facility for manufacturing of disposable syringes in the SEZ" - Elina Polyanskaya, Minister of Economic Development of Astrakhan Oblast, told Interfax-Yug News Agency.

"The first session of the Expert Council of Lotos Special Economic Zone has discussed the Project presented by MedInTech LLC. The Council approved the Project», - Elina Polyanskaya said and added that the Council had authority to grant the status of the SEZ resident.

"Now MedInTech LLC needs to obtain the Certificate of Residence. After that the Company will be free to begin construction of the manufacturing facility, enjoy relaxed customs regulations of the SEZ when delivering equipment, and start production. It is going to be the first and only facility producing the third-generation syringes in Russia", - Sergey Milushkin, General Director of Lotos SEZ, PAO, told journalists after the Council's session.

He specified that the facility is expected to be commissioned in 2018.

In his turn, Ramazan Faiziev, General Director of MedInTech LLC, pointed out that the Company was ready to start developing design and estimate documentation and begin preparation for construction works within the SEZ before the end of 2016.

"Expected target production rate of the facility is 200 million of the third-generation syringes annually under equipment utilization rate of 80 - 85%", - he said.

Nikolay Sochin, the founder of the Company, pointed out that it was decided to add a production line for processing raw polypropylene and polyethylene into medical-grade source materials, and a facility for manufacturing injection needles from medical-grade steel before 2020 to source the new facility with domestic source and raw materials, and improve competitive ability and economic performance. It is expected to source raw materials and equipment from a number of Russian, Czech, Italian, Austrian, Japanese, Chinese, and Korean suppliers.

"We decided to ramp up total investments to 762.02 million rubles and attract state support from the Industrial Development Fund", - told N. Sochin.

MedInTech LLC's main line of business is medical manufacturing, including production of surgical equipment and orthopedic devices. The company's authorized capital of 10 thousand rubles was paid by three individuals.

The Special Economic Zone for industrial and manufacturing development was created in the Narimanovsky District of the Astrakhan Oblst in November 2014. Cost estimate of the SEZ creation for 2015 - 2017 exceeded 7.9 billion rubles.

According to Interfax News Agency