Denmark's Grundfos starts construction of production facility in Indjija - Investment worth EUR 50 million

Denmark's Grundfos started Wednesday the construction of a production facility in Indjija, in which about EUR 50 million will be invested.

This factory of water and heating pumps will be finished until the year's end, and it will employ over 300 people, which is only the first phase of the investment in Indjija, said representatives of Grundfos.

At the cornerstone laying ceremony for Grundfos' new factory, Serbian Minister of Economy Nebojsa Ciric stressed that a major share of production in Serbia would be exported to neighboring countries, the European Union, northern Africa, Turkey, and Russia.

Ciric expressed a belief that the Serbian government would persuade representatives of Grundfos to also implement the second phase of the investment in Indjija.

- The government is doing its best to persuade investors to implement their planned investments in Serbia, as well as to keep investors that are already present - said Ciric.

Serbian President Boris Tadic said that Serbia wanted not only to receive investments from Denmark, but also to use that country's experience.

- Denmark is a country that utilizes energy in the best and the most efficient way, and it also achieves expectional success in the application of innovations - he noted.

Vojvodina Prime Minister Bojan Pajtic said that EUR 6.7 billion worth of foreign investments had been made in Vojvodina over the previous 10 years, adding that those companies were employing over 63.000 people at the moment.

- Grundfos' investment is very significant and encourages Srem, which is among the most underdeveloped regions, but it also invites and encourages other investor to come here where their operations will be stable - said Pajtic.

Grundfos Serbia CEO Jim Toft Nielsen reminded that the company had arrived in Serbia in April 2009 and produced 4,500 pumps to date.

Danish Ambassador to Serbia Mette Nielsen Kewell said she was proud of Grundfos' investment in Serbia.

- That is a recognition that Serbia is a country attractive for foreign investment, but also a recognition of the great progress it has made in the process of European integration - said the ambassador of Denmark.

Grundfos operates in Serbia since July 2011, in a rented production hall in Nova Pazova, to which an assembly line for small heating and water pumps was moved from Denmark.

The new production hall in Indjija will span 25,000 square meters.

With the annual production of about 16 million units, Grundfos is the world's leading producer of pumps, holding a share of about 50% in the world market.