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23/09/20

The income tax return for 2020 must be submitted in an updated form

The IFTS finalized the declaration form, its format and the procedure for filling it out.


22/09/20

The government has prepared a project according to which the annual income is more than 5 million rubles. you need to pay personal income tax at a rate of 15%.

It is planned that the new rules will need to be applied starting with revenues generated in 2021.


20/09/20

The minimum wage for 2021 became known

The Ministry of Labor has established a living wage for the working-age population for the II quarter of 2020. It is equal to 12 392 rubles.


Chemical Industry, Biotechnology and Pharmaceutics in Latvia

Market

Latvia has historically formed and strong science base in the field of chemistry. Latvian chemists have made significant contribution to scientific research until the 19th century. An outstanding scientist of those times is Wilhelm Ostwald (1853-1932), Nobel Laureate (1909). He along with Paul Walden (1863-1957), who was twice presented to the Nobel Prize is considered to be one of the founders of physical and organic chemistry.

Latvia has strong industrial base for the production of high-quality chemicals and medicines. A wide range of products is made in the country – from petrochemical components and synthetic fibre to paints and household chemicals. The most important industrial sectors are the production of fibre, pharmaceuticals medicines, paints, varnishes, soap and cosmetics, rubber and plastic goods. The main sector of the modern pharmaceutical industry includes the production of products for the end user and the generic products, active pharmaceutical ingredients and injections, as well as provides internal services on research and development of new types of drugs and biologically active substances and materials. The pharmaceutical sector is one of the largest holders of the results of cooperation of the Latvian industry and science.

Statistics

The chemical industry has always been included in major manufacturing industries in Latvia. The chemical industry took the fourth place in terms of turnover among the manufacturing industries (7.7%) and the sixth one among other industries by number of employees (6.5%) in 2011. The sector`s volume of output increased by 4.8%, but the turnover by 16.2% compared with 2010 in 2011. The largest part of the sector`s production output is accounted for pharmaceuticals and medical and photochemical products and rubber and plastic goods.

418 companies were actively working in the sector in 2010, which is for 42 more than in 2008. In general, small and medium-sized enterprises are operating in the industry. More than 7000 people were employed in the chemical industry in 2011.

The export of chemical industry was 896.5 million euro in 2011. The export of chemical and pharmaceutical products was 41% and 37% of export of the whole industry respectively. The main export markets are Lithuania, Estonia, the COS countries (mainly Russia), Denmark, Germany, Sweden and the Netherlands. The Latvian chemical and pharmaceutical companies successfully entered such new markets as Australia, Panama, Albania, Brazil, Saudi Arabia in the past five years.

Business Opportunities

The chemical sector has great potential and opportunities for the development and production of many new products. The chemical industry in Latvia has a few sub-sectors without a large pharmaceutical sector. Manufacturers of paints, priming materials and glue make up a large segment that is about 14 companies. More widely is presented the sector of manufacturing of glass fibre. One more sub-sector is manufacturing of rubber, in which the decisive role belongs to one company. There are also manufacturers, who offer standard ceramics. Also, biochemical and agrochemical products, household chemicals, plastic products, building materials (concrete, tiles, products of lime and gypsum) are produced by the Latvian companies.

Main groups of products imported to Latvia are intended for the consumer market, including household and building chemicals, pharmaceuticals and petrochemicals.

Taking into account the high rate of development, the sector constantly needs investment and cooperation with other organizations. Manufacture of semi-finished manufactures for pharmaceuticals such as peptides, amino acids, biopolymers and their derivatives, as well as substances for veterinary medicine can be developed further by combining local raw materials with the potential of Latvian research institutions in the development of new products. The sector of organic chemistry has the potential for development as well, especially the production of organic synthesis products (peptides, derivatives of amino acids, biopolymers) and the production of generic medicines. The studies conducted at the Latvian Institute of Inorganic Chemistry provide a basis for the development of high-temperature synthesis to get nanopowders.

Development trends in this sector suggest the possibility of production of equipment for biotechnology laboratories, bioreactors, biofuel, as well as the development of research activity, production of packaging materials and packaging products, acting as a subcontractor.

State Politics

The legislative base of Latvia in the field of medicine and the protection of intellectual property includes laws, which are fully coordinated with the EU legislation and international agreements and conventions. Since 1993 Latvia is a member of the World Intellectual Property Organization (WIPO) and joined the International Agreement on Trade-Related Aspects of Intellectual Property Rights in 1999, when joined the World Trade Organization. Inventors in Latvia have rights to obtain a patent on the basis of an application, submitted to the Patent Office of the Republic of Latvia. Research in the field of genetics in Latvia is governed by the laws of human genome research.
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