NOTICE

The Government, through its relevant Ministry of Agriculture , Forestry and Water Economy, would like to notify the domestic legal and natural persons and foreign legal entities interested in investing in agriculture in the country, that  a public notice will be issued for granting  lease on state owned agricultural land, on December 15, 2013. The public notice will refer to 15 geographical units that will be allocated as blocks. Geographical units that are going to be subject to a public notice are inseparable and have the following cadastral data:

 

Geographical unit 1.

Purpose: Vineyards, distillery and purchase center for waste from wineries

Geographical unit 1

CADASTER MUNICIPALITY

SPACE

Initial price

Ha

Ar

m2

Radovis

Zagorci and Damjan

143

77

11

2400

Kocani

Sokolarci, Ziganci, Lepopelci, Novoselani Vrbica

489

74

25

12680

Strumica

Vladievci, Gradosorci, Dobresinci, Nova Maala, Piperovo, Edrenikovo, Canaklija and Banjica

358

25

46

8190

Total

991

76

82

23270 €

 

Geographical unit 2.

Purpose: Growing young fruit plants for organic production, cooling capacity and purchase center

Geographical unit 2

CADASTER MUNICIPALITY

SPACE

Initial price

Ha

Ar

m2

Gevgelija

Miravci and Davidovo

249

60

23

6200 €

 

 

 

Geographical unit 3.

Purpose: Production of animal food

Geographical unit 3

 

CADASTER MUNICIPALITY

 

SPACE

Initial price

 

Ha

Ar

m2

Gazi Baba

Rzanicino

18

48

50

470 €

 

Geographical unit 4.

Purpose: Orchards for cold pressed oil

Geographical unit 4

CADASTER MUNICIPALITY

SPACE

Initial price

Ha

Ha

Ar

m2

Radovis

Voislavci, outskirts of Radovis, Raklis and Suldurci

186

00

45

4590 €

 

Geographical unit 5.

Purpose: vineyard and construction of wineries

Geographical unit 5

CADASTER MUNICIPALITY

SPACE

Initial price

Ha

Ha

Ar

m2

Kavadarci

Outskirts of Kavadarci, Timjanik and Disan

177

56

87

4080 €

 

Geographical unit 6.

Purpose: Vineyards, distillery and purchase center for waste from wineries

Geographical unit 6

CADASTER MUNICIPALITY

SPACE

Initial price

Ha

Ha

Ar

m2

Negotino

Bistrinci

103

25

68

2540 €

 

Geographical unit 7.

Purpose: Vineyards

Geographical unit 7

CADASTER MUNICIPALITY

SPACE

Initial price

Ha

Ha

Ar

m2

Negotino

Kurija

11

39

47

280 €

 

Geographical unit 8.

Purpose: Production of aromatic plants

Geographical unit 8

CADASTER MUNICIPALITY

SPACE

Initial price

Ha

Ha

Ar

m2

Radovis

Garvan, Skorusa

108

10

38

1630 €

 

Geographical unit 9.

Purposeа: Intensive growing of orchards

Geographical unit 9

CADASTER MUNICIPALITY

SPACE

Initial price

Ha

Ha

Ar

m2

Ohrid

Meseista

14

54

47

370

 

 

Geographical unit 10.

Purpose: Intensive growing of orchards and green house production

Geographical unit 10

CADASTER MUNICIPALITY

SPACE

Initial price

Ha

Ha

Ar

m2

Prilep

Golemo Konjari and Zapolzani

517

71

51

7880 €

 

Geographical unit 11.

Purpose: Intensive growing of orchards

Geographical unit 11

CADASTER MUNICIPALITY

SPACE

Initial price

Ha

Ha

Ar

m2

Berovo

Rusinovo

28

03

93

700 €

 

Geographical unit 12.

Purpose: Intensive growing of orchards

Geographical unit 12

CADASTER MUNICIPALITY

SPACE

Initial price

Ha

Ha

Ar

m2

Berovo

Rusinovo

24

35

00

610 €

 

Geographical unit 13.

Purpose: production of aromatic plants and lavender oil

Geographical unit 13

CADASTER MUNICIPALITY

SPACE

Initial price

Ha

Ha

Ar

m2

Gazi Baba

Gorno Konjare

140

01

23

2100

 

Geographical unit 14

Purpose: Production of young fruit plants

Geographical unit 14

CADASTER MUNICIPALITY

SPACE

Initial price

Ha

Ha

Ar

m2

Kisela Voda

Zelenikovo and Pakosevo

21

79

17

490

 

Geographical unit 15

Purpose: Green house production

Geographical unit 15

CADASTER MUNICIPALITY

SPACE

Initial price

Ha

Ha

Ar

m2

Kumanovo

Mlado Nagoricane

15

31

07

385

 

Other cadastral data regarding the agricultural land will be subject to public notice and they are stated in the titles or ownership certificates for each area, posted on the website of the Ministry www.mzsv.gov.mk

The agricultural land that is subject to public notice, depending on the type of the agricultural crop that will be grown, will be granted for the following period of time:

- growing of olive-oil trees: up to 50 years period;

- growing od long-term crops ( vineyards , orchards , hops ) and greenhouses: up to 30 years period;

- growing of other crops: up to 15 years period;

- medows:up to 15 years period.

The duration of the lease after the expiration of the signed lease contract may be extended with direct negotiations for lease, under the same conditions that are listed in the previous agreement, if the tenant has fully met the obligations of the previous lease.

THE FOLLOWING PERSONS WILL BE ELIGIBILE TO PARTICIPATE on the PUBLIC NOTICE:

Domestic natural and legal persons and foreign legal entities.

Domestic natural persons must be registered proprietors of agricultural activity and / or registered in the sole register of agricultural holdings and/or sole proprietors whose main occupation is agricultural production or processing of primary agricultural products .

 

Foreign entities should have established subsidiaries in Macedonia.

 

Agricultural production or processing of primary agricultural products should be the main occupation of domestic and foreign legal entities or they may need the agricultural land to perform research activities.

Persons who failed to settle their obligations in accordance with the formerly concluded lease agreement for lease of agricultural land in state ownership will not be eligible to participate on the public notice.

Legal persons under bankruptcy procedure and non-profit organizations will not be eligible to participate on the public notice.

REQUIRED DOCUMENTS THAT SHOULD BE SUBMITTED BY THE BIDDERS IN THEIR BID
a) for legal entities :

- Offer on the amount of the annual rent (form issued by the regional office of the Ministry)

- Evidence ( Act ) issued by the Central Registry of the Republic of Macedonia on the registration in the commercial register or other competent authority for registration of legal entities ;

- Evidence for settled obligations in respect with the salaries and benefits paid to employees (certificate issued by the Pension and Disability Insurance Fund, a certificate issued by the Health Insurance Fund and the certificate issued by the Public Revenue Service);

- The Business plan must include :

-          The amount of the planned investments;

-          Basic information about the participant (the bidder that is domestic entity established by a foreign legal entity and details of the founder).

-          The purpose for which the land will be used;

-          Applied technology;

-          Number of employees;

-          Marketing aspects;

-          Expected production and economic results ;

-          Statement (notarized) of the founders and the responsible person in the legal entity that they are not founders or managers of the legal entity that previously used state owned agricultural land under lease, and failed to fulfill the obligations of that Agreement;

-          Confirmation of the regional office of the Ministry that there is no liability in respect of unpaid rent for the use of state-owned agricultural land; and

-          A bank guarantee for participation in the procedure.

b ) for individuals:

- Offer for the amount of the annual rent (form issued by the regional office of the Ministry )

- Proof of paid taxes (certificate issued by the Public Revenue Service);

- Photocopy of ID - card ;

- Program for land use that must contain:

- Basic family data;

- Technical and technological equipment ,

- The purpose for which the land will be used,

- Marketing aspects;

- Confirmation of recording in the sole register of agricultural holdings or a decision for a registered performer of agricultural activities (issued by the regional office of the Ministry of Agriculture, Forestry and Water Economy or from the Pension and Disability Insurance Fund for gained status as an insured individual farmer) or a proof from the Central Registry Office for a registered sole proprietor:

- Notarized statement about the authenticity of the provided data;

- Notarized statement that he was not the founder or responsible person in the legal entity that previously used state owned agricultural land under lease, who failed  to fulfill the obligations of that agreement;

- Confirmation from the regional office of the Ministry that the individual doesn’t have liability in respect with unpaid rent for the use of state-owned agricultural land; and

- A bank guarantee for participation in the procedure.

All necessary documents shall be submitted in their original form or in notarized photocopies.

The conditions set out in the business plan ( for legal entities ), i.e. the market aspects (for individuals ) shall be an integral part of the contract with the selected  bidder, stated as contractual obligations  that will have to be fulfilled  by the selected bidder within the scope, terms and manner described in the public announcement.

 

BANK GUARANTEES

Bank guarantee for participation in the procedure

The Bank guarantee for participation in the procedure will have to be submitted by all announcement bidders, along with their offer.

The Bank guarantee for participation in the procedure must be unconditional, irrevocable and payable on the first call, valid for 120 days from the date of the public opening of bids for the said announcement.

The amount of the Bank guarantee for participation should be opened in the amount that is offered as an annual rent for a specific geographical unit.

The bank guarantee shall be issued by a bank with a seat in the Republic of Macedonia or in a foreign bank; in such a case the foreign bank must have at least BBB (or equivalent) credit rating issued  by one of the following credit rating agencies MOODY'S INVESTORS SERVICE, STANDARD AND POOR'S RATINGS SERVICES or FITCH RATINGS.

Within 14 days after the conclusion of the lease contract for state owned agricultural land with the selected bidder, the guarantees shall be returned to unselected bidders who participated in the procedure. The bank guarantee for participation of the selected bidder shall be returned after submission of bank guarantee for quality and timely execution of the contract .

The Guarantee for participation in the proceedings will be collected in favor of the Ministry of Agriculture, Forestry and Water Economy if the bidder:

Despite the fact that it is called to conclude the lease contract for the state owned agricultural land  under the terms of the announcement, refuses to do so, or if it conditions the signing of the contract with additions and amendments  which are not provided with this announcement;

If the participant withdraws the bid after the procedure of opening; or

If the elected bidder fails to submit a quality bank guarantee for timely execution of the contract.

 

Bank guarantee for quality and timely execution of the contract

The elected bidder will be obliged to submit a Bank guarantee for quality and timely execution of the contract within 15 days after the date of signing of the lease contract for the state owned agricultural land.

The Bank guarantee for quality and timely execution of the contract must be unconditional, irrevocable and payable on the first call and it should be issued in the amount of 5 % of the planned investment stated in the offer of the selected bidder, but not less than the amount of the annual rent.

The Bank guarantee for quality and timely execution of the contract should be issued by a bank with a seat in the Republic of Macedonia or a foreign bank; in such a case the foreign bank must have at least BBB (or equivalent) credit rating issued by one of the following agencies for credit ratings: MOODY'S INVESTORS SERVICE, STANDARD AND POOR'S RATINGS SERVICES or FITCH RATINGS.

The Bank guarantee for quality and timely execution of the contract should be valid for the entire period of the contract.

The Guarantee for timely and  good performance of the contract will be returned to the elected  bidder  within 10 days after the expiration of the contract or termination of the contract by virtue of the Law on Agricultural Land, if it fulfills all due obligations of the contract .

 

SUBMISSION OF AN OFFER

The bid shall be submitted on a Form for participation on the public announcement that will be available on the website of the Ministry of Agriculture, Forestry and Water Economy.

A bidder may apply for one or more geographic units.

Bids shall be submitted to the Ministry of Agriculture, Forestry and Water Economy - Skopje within 30 days from the date of publication of the announcement in the press.

CRITERIA FOR SELECTION OF THE BEST BIDDER

The only criterion for selection of the most favorable bidder shall be the following:
- The highest annual rent offered .

The size of the area of agricultural land that could be taken by one bidder shall be determined depending on the material - technical equipment of the bidder and the number of planned employments, such as:

- For areas up to 50 ha - at least one tractor lightweight duty (up to 80 kw) and at least one planned employee in full-time employment ;

- For areas up to 100 ha - at least 2 tractors lightweight duty or at least 1 medium (80 kw - 120 kw) and at least 2 planned employees in full-time employment;
- For areas up to 150 ha - at least 4 tractors lightweight duty or at least 2 medium duty or 1 heavy duty (over 120 kw) and at least 4 planned employees with full-time employment; ;
- For areas over 150 ha the number/capacity of machinery should grow proportionally with the size of the area that will be cultivated and one full-time employee should be planned for every 50 ha;

The starting price is 25 euros in denar counter-value for agricultural land that belongs from the 1st to the 4th cadastral class and 15 euros in denar counter-value for agricultural land that belongs from the 5th to the 8th cadastral class, calculated at the exchange rate of the National Bank of the Republic of Macedonia on the day of payment.
If there are two or more bids that meet the requirements of the notice for a specific geographical unit, the selection of the most favorable bidder will be executed through an electronic bidding between the bidders that meet the requirements of this announcement. The initial amount of the electronic bidding shall be the highest amount of the rent offered for the geographical unit that is listed in the public announcement. .

ADDITIONAL INFORMATION

For any additional information, the bidders may contact the Ministry of Agriculture, Forestry and Water Economy on the following telephone number: + 389 ( 0 ) 2 313 44 77
Contact Person : Mr . George Dishlenkovikj;

e-mail : george.dislenkovic @ mzsv.gov.mk;

or visit the website of the Ministry www.mzsv.gov.mk