DINKIĆ: IMT's location will be sold in 2009

(Mlađan Dinkić)

Minister of Economy, Mlađan Dinkić, said today (July 6, 2009) that the land in New Belgrade on which the Industry of Machines and Tractors (IMT) was settled would be sold next year for construction of residential space.

According to his words, IMT will be moved to a new location and merged with Industry of Engines Rakovica (IMR).

Dinkić said to the press that the buyer of IMT would have to take over the obligations, and that that money would be invested in modernization of the factory.

- Relocation does not mean only that the machines will be moved, but also that the new equipment will be procured, so that an environment-friendly engine for tractors can be produced, which will enable export to EU as well - said Dinkić.

As he explained, Belarus-based manufacturer of tractors has been offered the contract on business-technical cooperation, that is, assembling of Belarus tractors in the location of the factory in Rakovica, according to the model of cooperation between "Zastava" and "Fiat".

According to his words, strategic partnership with that company will depend on the effects of that cooperation.

Dinkić said that Industry of Engines Rakovica would produce 2,500 tractors this year, three times more than in 2008.

He reminded that the Government of Serbia had provided discount of 2,000 EUR for those farmers who decided to buy domestic tractors.

- If this productivity growth rate in the factory is maintained, salaries for workers of both IMT and IMR will be higher starting September - said Dinkić and added that the growth of demand would lead to increase in number of workers in that factory.

The CEO of IMT, Slobodan Petković, said that 2,000 proforma invoices had been issued since the Government's programme for IMT had been presented, about 2 months before, while over 350 tractors had been produced and delivered to the buyers.

According to his words, monthly production is now the largest in last ten years, and this programme is the largest aid they have got from the state over the last 20 years.