Kaposvár is situated in the Southern Transdanubian region; it is the seat of Somogy County and also a university town. Kaposvár has a population of nearly 65,000 with an agglomeration of almost 120,000. 

By road, the city can be reached on 2 main roads from Budapest – motorway M7 and main road N 67. In the near future, an expressway will be built, connecting Kaposvár to the country’s motorway network, which will be a significant improvement in accessibility.

Trade, commerce, community and business services play an important part in Kaposvár’s economy. However, the city has long-standing and strong traditions in agro-based food industry and mechanical engineering.

The production of the processing industry in Kaposvár is predominant in these two industries.

Hungary’s only remaining sugar factory operates in Kaposvár and also accommodates one of the biggest biogas plants in the country. For decades now, the city’s economy has been characterized by meat production. (Kometa 99 Ltd.)

Mechanical engineering includes the following branches: electronics, machinery and the production of household appliances. 

In order to encourage investments and boost the research and development, two industrial parks were established. Videoton Industrial Park accommodates 25 businesses, which operate mostly in the engineering industry.

The Eastern Industrial Park-which was founded by the municipality and it is suitable for greenfield investments, which require large plots. At present, only 8 hectares in the park are free to be offered to future investors. Further 29 hectares will be added to the park using EU funding. 

The University of Kaposvár is the most important intellectual centre of research & development in Kaposvár.

Prepared by JETRO Budapest