The Indian-based ACG Worldwide company will invest a further 35 million euro in its Lukaps capsule factory in the northern Croatian town of Ludbreg, it was reported on Monday after a meeting between Prime Minister Tihomir Oreskovic with ACG Chairman Ajit Singh.
ACG has been present in Croatia since 2007 when, as Singh said, they discovered Croatia by chance, or rather the Lukaps company, which was about to shut down.
The new investment will be used to construct a new building of about 20,000 square metres, which should be completed in two years' time and is expected to increase the company's production capacity from 7 billion to 10 billion medicinal capsules per year.
The company also intends to increase the number of employees from 132 to 330 by the year's end and the latest investment is a direct investment in research and development and new technologies, Oreskovic said.
The Ludbreg factory is particularly important since 98% of its production is intended for export, particularly to Russia and Europe, and the factory soon plans to enter the Turkish market, said the PM.
This is a success story which proves that we can compete even for top technology investments as this one, the prime minister said.
Singh stressed that ACG was very happy with its business in Croatia, noting that Lukaps had a good future particularly as with the latest investment it would attract new, young people, some even from out of Croatia.
Reporters wanted the Indian investor to compare conditions for doing business in Croatia in 2007 and today, to which Singh said that the company did not have any problems and that media reports about barriers were often exaggerated. He added that the Ludbreg factory employed Croatians and that Indians came to attend training courses.
ACG Worldwide is the second largest producer of empty capsules for the pharmaceutical industry. The group consists of 13 companies including branches in China, the USA, Indonesia, Brazil and Europe and it employs about 4,000 people.