KIP area exports are going strong

KIP companies have invested 413 million Euros in 5 years.

In addition to its influence on regional economy, Kokkola Industrial Park (KIP) is important for Finnish industrial export as a whole.

KIP employs 2,200 people, and the turnover of its companies was almost 1.2 billion Euros in 2014. The annual value of its exports was 1.1 billion Euros, 5.3% of Finnish chemical and metallurgical industry export totals.

This information was recorded in a survey, ordered by Kokkolanseudun Kehitys Oy KOSEK, where effects of the industrial park were studied.

The production companies of KIP employ directly 1.600 people. In addition, about 600 people work in service production companies in the area. Employment has grown by 10% from the year 2010, that translates into 200 new job positions.

There are 70 companies in all. About a dozen of them are production companies, the rest provide various services. The turnover of the service companies totalled from nearly 80 to 100 million Euros.

More than 25% of production company personnel have university level certificates. More than 95% of the employees have at least a certificate from vocational education. About 8% of all jobs in the province of Keski-Pohjanmaa are in the KIP area.

There have also been heavy investments in the area. The investments of the years from 2010 to 2014 totalled 413 million Euros; 228 Euros worth of new investments and 186 million Euros of maintenance investments. Among the biggest investors were Woikoski, Boliden Kokkola, Freeport Cobalt, and Port of Kokkola.

The industrial companies of KIP recorded more than 50 million Euros of payments to state and municipalities. The industrial companies paid corporate tax for 22.3 million Euros and withheld tax for 19.5 million Euros. In addition, service companies added a significant amount to the corporate tax and withheld tax total.

– The development of Kokkola Industrial Park is a success story. Industry, municipality, and the development company KOSEK have jointly created a concept, with which we have even been able to increase employment. In co-operation we have created excellent conditions for industry to locate itself in the region and get significant synergy benefits, says Jonne Sandberg, Development Director at City of Kokkola.

“Value of export surpassed expectations”

The president of Kokkola Industrial Park association, Thomas Slotte, says that the results of the survey were very positive towards the KIP area.

– The total value of exports was much higher than I expected. Export is extremely important, especially in the prevailing situation. Companies believe strongly in the future, and want to grow. The total of investments and new investments show this, says Slotte.

He goes on to emphasise the strong presence of service companies. What is best, service companies have succeeded in selling their services elsewhere in Finland, and abroad.

– The companies in the region have not emphasised in vain how important it is for them to get competent personnel. Education statistics show that product manufacture requires competence, and the result is strong export figures. Let us not forget that a significant percentage of the personnel lives in the Kokkola trade area, and their private consumption is an important source of income for other companies, Slotte adds.

Also the CEO of Boliden Kokkola Oy, Jarmo Herronen, brings up first the large total of exports, in the survey results.

– We all know that Finland lives off export. The annual value of KIP area product exports is about 1.1 billion Euros. These Euros are an essential part of the financial resources that drive Keski-Pohjanmaa, and Finland.

In addition to export, Herronen notes the high level of personnel competence. There are about 370 persons with university level degrees and more than 1100 persons with vocational training certificates.

The survey was conducted by Tuomo A. Rytkölä of Triangle Partners Oy.

Additional information:

Jonne Sandberg
Development Director, City of Kokkola
tel. +358 44 7809 093

Thomas Slotte
President, Kokkola Industrial Park Association
tel. +358 50 302 0388

Jarmo Herronen
CEO, Boliden Kokkola Oy
tel. +358 40 558 2270