The Ministry of Industry and Trade has issued Pegas Nonwovens initiatives in the form of tax relief and financial support in connection with the company's latest nonwovens investment—a Reicofil 5 bicomponent spunmelt production line—in the Czech Republic.
Pegas finalized the contract on the investment, which has been described as a new semi-commercial production line Znojmo late last year. The annual capacity on the new line will depend on the raw material usage but is estimted to be between eight and 15,000 tons per year. It will be put into commercial operation sometime in 2019.
The commitment for investment incentives is provided in the form of an income tax relief and financial support for job creation in the maximum amount of 21.54 % of the total value of qualified expenses and for the maximum amount of CZK 212.635 million, whilst the tax relief may be exercised for a period of ten directly consecutive taxation periods.
The line Pegas' ninth in the Czech Republic. The company also has a line in in Egypt and has committed to building one in South Africa.