The Serbian lubes producer FAM has seen significant growth after privatisation failed, according to regional officials.
The FAM factory, sited in the city of Krusevac, Central Serbia, saw initial growth of 2.5% in June alone after the company went from private to state ownership, according to the region's Minister of Economy and Regional Development.
In a recent visit to the plant the Minister, Nebojsa Ciric, stated that the regional and national government will continue to help FAM's recovery after a failed privatisation of the organisation through the Serbian Nibens Group.
With the company predicted to produce more than RSD2bn ($26m) in annual output in 2011, the Minister offered further incentives for FAM to complete a storage construction project with additional government funding of around RSD25m ($333k). He also pledged that, while continuing to look for a strategic partner to work with FAM, the company would never become privatised.