The number of industrial jobs in the Parikkala subregion dropped from 399 jobs in 1991 to 195 jobs in 1996. Large enterprises operating in the metal, wood-processing and dairy industries and construction had closed down. Several development projects were in progress in the three municipalities and on regional level, but they were relatively small, concentrating on specific branches of business.

The South Karelian region of Parikkala, including the municipalities of Parikkala, Saari and Uukuniemi, is situated at the Finnish-Russian border, the most eastern border of the European Union. Suffering from a constant decline in industry and business and a dramatic increase in unemployment the region started the development project "Sampo 2000" in 1996 and crossed the borders to look for new opportunities.

The Regional Council of South Karelia and the municipalities of Parikkala and Saari therefore planned a more comprehensive project to develop existing enterprises, develop new business, and turn the pessimism that prevailed throughout the region into a positive outlook.
The project launched several enterprise development schemes, and it essentially promoted the establishment of five new enterprises looking for partners within the European Union and risking cross-border operations.

Another important area for successful development is the identification of specific needs and opportunities. Therefore the project included an extensive survey of 58 enterprises in the region. The results of these meetings were crucial for setting up specific development plans for various business branches within the project. Entrepreneurs had a decisive role in the preparation of these plans and have become highly committed to the project.

The project has been especially successful in creating co-operation relationships at local, regional and national level. The project has not only initiated activities in terms of planning, promoting and financing new development. By attracting new enterprises and business, it has brought new jobs and a new spirit to the whole region.

The total costs were 433 240 FIM, to which the EU contributed 254 760 FIM.

Municipality of Parikkala
Marjatta Pahkala (Municipal Manager), tel. + 358 5 686 1250

//1996

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Urban Policy > Economy knowledge & employment > Urban economy

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