Jekabpils - city of changes

Jekabpils - city of changes Jekabpils enjoys an extremely favourable geographic location. Situated on the banks of the largest river in Latvia, the Daugava, at a point where both railway lines and motorways intersect, Jekabpils is 140 km from the capital city Riga, 65 km from the Lithuanian border, 160 km from the Belarusian border and 165 km from the Russian border. With a population of 26 600, it is the ninth largest city in Latvia.         Population:  approx. 26 600 (2008 data) Total area:  25.53 km2 Employed population: approx. 15 000 (End of 2008) Unemployment rate:   5.5 % (End of 2008) Students:  approx. 1000 Main economic sectors:   wood processing, timber industry, furniture production, textile and retail

Photo: Viesturs Virsaitis

General information

Jekabpils is located in the south-eastern part of Latvia on the crossroads of three historical Latvian regions – Zemgale, Latgale and Vidzeme – and on both banks of the Daugava River.  It initially developed as two separate cities, Jekabpils and Krustpils, which united in 1962 to become Jekabpils as it is today.

Jekabpils is situated at the intersection point of some of the most important railroads and motorways in the country.  The Riga-Daugavpils and Riga-Rezekne main roads connect Latvia to Belarus and Russia respectively, and the Riga-Daugavpils, Riga-Rezekne and Krustpils (Jekabpils)-Jelgava-Ventspils railroads are all of great strategic significance.

Jekabpils has 26 600 residents, of which approximately 17 000 are of working age, and the surrounding region can provide additional manpower.

Industry

One of the most important industries in the Jekabpils region is the timber industry. For example, the Jekabpils Woodworking Business Park which works as a part of a cluster of Latvian forest industries and helps to carry out scientific, educational and mutual woodworking integration.

In addition to woodworking, textiles and food processing play key roles in Jekabpils; they are among the oldest industries in the city. Tailoring enterprises, most of which export their products, are developing a market niche.


                                                                                                                                                                     Photo: Pēteris Zariņš

Main economic sectors

• Wood processing, timber industry, furniture production:  Ošukalns Ltd,  Indrikis Ltd, Silpec Ltd, Krustpils Sawmill, Jekabpils Woodworking Business Park
• Textile:  Viola stils Ltd, Tavol Ltd, GEFA Latvija Ltd, Lana Sewing factory
• Retail:    Elvi, Depo, Likra, Falkorns Ltd 

Enterprises with largest turnover in Jekabpils 2008

• Jēkabpils PMK Ltd., Construction
• Krustpils Ltd., Construction
• Renekss Ltd., Transport services
• Jēkabpils Siltums Ltd., Heating services
• LC Būve Ltd., Construction
  

Some of the most significant foreign investment projects in Jekabpils are:

• Viadukts Ltd. is a Lithuanian and Latvian joint venture involved in construction.
• Jēkabpils Piena Kombināts Ltd. is a Lithuanian and Latvian joint venture in the food production sector.
• Gefa Latvija Ltd. is a branch of a Norwegian company involved in clothes manufacturing.

Human resources

The industrial and trade sectors employ more skilled workers in Jekabpils than any other professions. The manufacturing sector employs the most workers, 3 225 employees or 19% of the total in 2007. The wholesale and retail trade sector was second with 2 892 employees or 17% of the total. The third largest number of employees was in education, with 1 916 employees or 12% of the total.


                                                                                                              Source: Central Statistical Bureau of Latvia (www.csb.gov.lv)

Jekabpils boasts an especially well-educated workforce. Most Jekabpils employees have special secondary education. In addition, the level of education of Jekabpils employees overall is higher than that of the country as a whole – the number of people with higher education and with special secondary education is relatively higher.

In Jekabpils approximately 45% of those with general or special secondary education are employed as skilled workers and 71% of all employees with higher education work as specialists.

There are five different institutions of higher education in Jekabpils, which offer a range of courses in specialties such as business and management, accountancy and finance, law, psychology, social work, pedagogy, psychology and public relations.


                                                                                                                                                              Photo: Jānis Lācis

Investment Incentives

In addition to the national investment incentives available, Jekabpils city council offers the following extra benefits:

• There are real estate tax allowances for individuals or legal entities that own or use real estate in the city of Jekabpils.
• Land areas within the city’s industrial zone are being made available to companies.
• The city council is planning to construct infrastructure in the industrial territories.

The development of a Jekabpils Business incubator is planned for 2009, using the state support programme.

For more information and support, please contact:
Jekabpils City Council
Phone: (+371) 652 232335
Fax: (+371) 652 35333
dome@jekbpils.lv
www.jekabpils.lv

Useful link for investors: http://www.jekabpils.lv/JKP/en/home/pilseta/fi/default.aspx