Danish pump manufacturer Grundfos is investing heavily in Serbia. The investments amount to approximately $106 million to $113 million in the coming years, with Grundfos establishing a new factory close to Belgrade.

”We are experiencing extensive growth in Central and Eastern Europe, and this is the reason why we are now establishing another factory. Serbia is interesting, as it has a good location in relation to our growth markets, including Russia, and in addition, the country is going through a positive political and economic development. Serious talks are being made regarding the country’s candidature for membership of the European Union already in 2009,” says Knud Krægpøth, senior vice president responsible for international production in the Grundfos Group.

Grundfos purchased 15 hectares of land in the town of Indjija, 26 miles north of Belgrade. The company will establish a new factory at the site, the construction for which will start in 2009. The location of the factory will be logistically central, close to the E75 motorway leading directly to Hungary.

 The agreement attracted great attention from the Serbian authorities as well as the Serbian media, as Grundfos is one of the first companies from the West investing so heavily in the country.