The law on localization of production is ready to be submitted to the parliament10.12.2020
The draft law on localization of production in Ukraine №3739, co-drafted by "Electron” Concern, was approved on December 7 for consideration in the second reading by Verkhovna Rada Committee on Economic Development and is ready for submission to the parliament for the second reading.
It passed a thorough examination of the leading analytical centers of Ukraine and a presentation of research by independent analytical centers on the requirement of localization in public procurement took place at the Ukrainian News press center. The research was conducted by the Analytical Center of the Federation of Employers of Ukraine, the Center for Market Economy Development CMD-Ukraine, Ukrpromzovnishekspertiza, GROWFORD Institute and the Analytical Center Industry4Ukaine.
According to expert studies, the effect of the implementation of the law on localization in its current form will lead to:
- GDP growth by 2.5 - 4% in the perspective of 5 years.
- growth of tax revenues to the budget - 8.17%
- preservation of 2, 5 million existing and creation of 50-60 thousand new jobs.
It is also expected that the gross output for ten years will amount to 375 billion hryvnias, the created gross value added - 121 billion hryvnias, and from this value added the salary fund that Ukrainians will receive will be 86 billion hryvnias, and taxes to the budget will amount to 38 billion UAH .
Localization it is not only a job for Ukrainian citizens in their country, but also a stimulus to investment in domestic industry, and "Electron” Concern hopes that Bill 393739 will be considered by Verkhovna Rada of Ukraine in the nearest future and calls on parliamentarians to support this extremely important development of Ukraine's economy law.
The research of the participants and the video of their performances can be found at https://youtu.be/Xks5JTnUu9U.