Nearshoring found a great echo in the industrial practices of Western countries immediately after the Covid 19 pandemic due to the shocks observed in the supply chains that had supported international production models there. In practice, until 2020, the production paradigm by exception was the following: the company maintained its name and management structure in its Western countries of origin, sometimes bringing the tax office to countries with better tax conditions. The production, on the other hand, was carried out almost entirely in China or in any case in Asia where the cost of labor was ridiculous. In addition, these production processes, devoted as always to the best cost containment, provided for the maintenance of "minimum" warehouse levels. There was talk of a "just in time" approach, i.e. keeping warehouses full just enough to be able to supply manufacturing companies and consumer markets on time.

Everything fell apart with the pandemic. For example, it has been discovered that if the port of Shanghai is blocked, large European car companies such as BMW and Mercedes can no longer produce vehicles. It has been discovered that if the Chinese government decides to quarantine cities of 20 million inhabitants for 4 cases of Covid, companies are blocked and the products do not arrive.

In practice, we find ourselves in the condition whereby for a certain product there is a consumer ready to buy it but the product itself is missing because it was not produced in time or it was produced but is blocked in some Asian port.

How does it come out? In part with the famous decoupling or with independence from China in large production processes, in parts with innovative business practices such as nearshoring.

Nearshoring consists in locating one's production sites abroad or in countries with low labor costs but not too far from the country where the product will then be used by the consumer. From this point of view, Bulgaria is the ideal country for nearshoring compared to Italian companies.

It is in the European Union and therefore exports from Bulgaria to Italy are not subject to customs duties. There is certainly a more qualified workforce than that which can be found in Asia. The cost of labor compared to Italy is one fifth: a worker who in Italy costs 2500 euros gross per month in Bulgaria costs only 500.

VR and Partners is the leading company in Bulgaria for nearshoring business consultancy and can help client companies identify the opportunities deriving from producing outside the border but within the EU area and evaluate all the advantages in terms of lower costs and advantageous taxation.

But not only. VR and Partners also offers more operational services such as support in the choice of production sites and their implementation with a 360 degree support: legal, technical, administrative and real estate.

A "complete" package of solutions to leave nothing to chance and improvisation.