Manufacturing

Manufacturing

Before World War II, Bulgarian industries were of minor importance. Under the socialist system industrialisation became one of the principal aims of economic policy, with particular emphasis on basic industries such as electric power, ferrous and nonferrous metallurgy, and chemicals. Central planning of management, production, and investment channeled a large portion of national resources into industry. The industrial base remained important even after Bulgaria discarded socialism for a market economy at the end of the 20th century.

Bulgaria is among Europe’s largest producers of lead, zinc and copper and produces around ten percent of the worlds hydraulic machinery. Other products include: machine tools, caustic soda, nuclear energy, military hardware/munitions and many other finished and semi-finished products.Bulgaria has many untreated or low treated resources such as Zeolite, Bentonite and many more. The country is the largest electricity exporter in South-Eastern Europe. About 14% of the total industrial production relates to machine building, and 20% of the workforce is employed in this field.

The textile and clothing sector has become one of the Bulgaria’s most competitive industries in recent years with considerable investment, and export and employment opportunities. Bulgaria is number 1 in Eastern Europe in textile exports to the United States.The Bulgarian textile sector is very attractive for foreign investors. Some of the regional advantages that Bulgaria offers include: long lasting traditions in textile and clothing manufacturing facilities, World class quality and reasonable prices.Average monthly wage in textile and clothing is in the range of 100-200 Euros per month. Many companies are working on CM and CMT basis with foreign partners, thus constantly improving their expertise and the quality of their services.Annual growth in the Bulgarian Textile market has been 15-20 percent mainly driven by foreign investment, with Greece, Italy and Germany being by far the most active investors. With European Union entry in 2007 confirmed and a significant cost advantage, Bulgaria has become a very attractive investment location for international textile companies. Working with Bulgarian partners is very beneficial to the foreign firms, as they discover great cost savings, without seeing deterioration in quality The country has conditions favourable to the development of industry. Bulgaria is located at the crossroads of Europe and Asia which lends itself to international transport.

The country has rich mineral resources, a skilled work force,developed and improving transportation network and educational infrastructure, as well as relatively stable political and economic climate. Industry in Bulgaria can be traced back to 1833 when the Bulgarian industrialist Dobri Zheliazkov opened the first modern factory in the Balkans at Sliven. The importance of industry dramatically increased during the Socialist period. In the era of economic planning industrial production accounted for more than 50% of national GDP. The main market for Bulgarian manufactured goods now is EU. Since 2000 Bulgaria has seen heavy foreign investment and its economic fortunes have revived. Bulgarian industry today is the equal of that else were in the world. Bulgaria’s stability both politically and economically can only help the country develop further with the aid of its EU partners.