Why did you choose Klaipeda, Lithuania?

I wanted to start my own business in real estate. It was before EU and Lithuania looked like it had a lot of potential. It seemed like there was more development potential here than in other parts of Europe, so that's one of the reasons why I came. I saw potential for renting out quality business premises here in Klaipeda, as there were only old soviet buildings at the time.

 

Does Klaipeda have a potential for foreign capital?

Yes, as the City is still underdeveloped in many areas and consumer consumption is expected to grow considerably from its current low level. For production companies it is not only due to the reduced labour costs. Direct labour cost can be only 10-20% of the total cost of a product. Some people forget that. But the other costs is the rent of premises, administration costs, management costs, utilities costs, raw material costs, transport costs, etc. That's why Lithuania still has potential to be competitive with large production countries like China for certain products and in certain industries, because if the market is in Western Europe then Lithuania has the advantage because it's more adaptable and closer to the market, whereas China is two months away from the market.

What makes Klaipeda good for business?

How suited Klaipeda is for you will depend on what business you are in. There is a port for export. It is a distribution centre for all the west of Lithuania, with its population of 200 000 there is a good workforce, and counting the surroundings there are 350 000 potential customers for retail and distribution.

Klaipeda in Lithuania is a particularly good link in a supply chain because it has a port which can be used to easily ship products and component materials; for example from China to Klaipeda, where value can be added to the product by assembling / processing,  then re-distributed from Klaipeda.

How do you spend your free time?

Klaipeda is a city of 200 000 but it feels much smaller. There are lots of bars and restaurants and entertainment is as good as in any other similar city in the world. I'm playing golf in a newly opened golf course in Klaipeda, playing tennis, squash in the winter, walking around the City with my family so that type of things. In winter I go to saunas on the weekends and in the summer I am riding my bicycle to Neringa and the beaches, swimming in a sea. So there are lots of things to do and I think it's much easier to do it because it's a small city. There's no need to rush, there's not any big problems with traffic, you don't have to book restaurants in advance; everything is easy to do.

How do you integrate into society as a foreign businessman?

There are many events organised for business people and you tend to meet people in similar businesses quickly. A few years ago the international business club was started. It's a good initiative to bring the foreign people together in Klaipeda. It serves its purpose quite well as it's a forum for foreign people to come together and meet each other. If a new foreign person comes to Klaipeda, they can just come to one of the meetings and meet some more people and to find out what is going on in the City.