Publicēts: 23.09.2025.
Unicorns are rare. They often appear where no one is looking – not only in the well-known hubs of Europe but increasingly across the Baltic region, where startup ecosystems are rapidly turning into international success stories.
According to Interreg Europe’s UnicornQuest project (2024), Estonia has stood out for putting the region on the global innovation map. Yet new grounds for growth, i.e. ‘valleys’, are emerging in regions where communities are ready to nurture bold ideas. Zemgale, in the heart of Latvia, may be such a valley. This region, long known for its rich agricultural land and historic towns, is now positioning itself as fertile ground for startups with Unicorn potential.
In the start-up world, a ‘Unicorn’ means a privately held company valued at over one billion US dollars and a symbol of vision, innovation, and scale. The Zemgale region is determined to become the kind of place where such stories can begin. With the support of the EU-funded project ‘Designing, sharing and replicating policy tools for Unicorn forests’ (UnicornQuest, No. 01C0028), the Zemgale Planning Region is creating the conditions for founders to take root and grow, and in particular, in line with the European values of freedom, democracy, equality, and human rights.
The Zemgale region combines something rare: space to grow and an ecosystem open to innovation. Zemgale has an established knowledge base – the Latvia University of Life Sciences and Technologies, regional research centres, and vocational schools fuel talent in the fields of Foodtech, Biotech, GreenTech, and Big Data. Support systems are easily accessible – entrepreneurs can reach out to incubators, mentoring programmes, and the Zemgale Business Support Centre, a hub for regional business development and startup growth. Zemgale itself is also a cost-effective launchpad because compared with major capitals, Zemgale offers affordable infrastructure, an available workforce, and direct access to EU markets, making it an ideal environment for testing and scaling new ideas in the Security, IT, and Biotech sectors.
The Zemgale region covers 10,742 square kilometres (16.6% of Latvia’s territory) and is home to about 225,000 inhabitants. It consists of six municipalities – the counties of Aizkraukle, Bauska, Dobele, Jelgava, and Jēkabpils, and the city of Jelgava.
The regional economy of Zemgale reflects Latvia’s modern balance between innovation and sustainability. Agriculture and food processing remain its backbone, complemented by advanced manufacturing, Foodtech, Security, Biotech, and logistics innovations. The region’s industrial base includes metalworking, wood processing, textiles, and bioproducts, all supported by more than 150 natural resource sites supplying peat, clay, dolomite, gypsum, sand, and gravel.
Strategically located within the Baltic transport corridor, Zemgale connects East and West through TEN-T routes (A6, A12) as well as Rail Baltica. This geography, combined with lower operating costs and well-trained specialists, makes the region a cost-efficient base for deep-tech and applied innovation.
By 2030, the Zemgale region aims to be a competitive, green, and accessible part of Latvia, where innovation, education, and sustainable growth meet and turn its agricultural heritage into an advantage for the digital age.
The UnicornQuest regional analysis shows clear potential for Zemgale, noting that the region is home to over 200 SMEs and young startups, with clusters in Foodtech, Biotech, Energy, and IT. 32% of surveyed startups already cooperate with international partners, indicating that the area has had global ambitions from the start. Recommendations include simplifying regulation, expanding access to risk capital, and strengthening internationalisation. These insights decidedly confirm that the roots are there, and that the right support can make Unicorns grow.
In Zemgale, entrepreneurs are transforming slow bureaucracy into digital innovation and limited local capital into international cooperation. That spirit of resourcefulness is how Unicorns are born. As one founder remarked during the UnicornQuest discussions: ‘Zemgale may be small, but it forces you to think bigger.’ Scarcity fuels innovation, and the Zemgale region proves it.
For global investors, the Zemgale region offers three unique features: 1) First-Mover Advantage – the region is still undiscovered territory for venture capital; 2) Sustainable Edge – existing strengths in Foodtech, Biotech, GreenTech, and a circular economy make Zemgale a natural fit for Europe’s climate goals; 3) Strategic Location – Latvia connects East and West, and North and South, as well as boasts a strong digital infrastructure.
Unicorns emerge where vision meets opportunity, and Zemgale is quietly preparing the ground – Zemgale Planning Region is a part of the EU-funded project ‘Designing, sharing and replicating policy tools for Unicorn forests’. The project connects regions across Europe to share best practices, strengthen startup ecosystems, and create fertile conditions for Unicorns as well as start-ups with the potential to attain Unicorn status. In the Zemgale region, the project is already acting as a strong catalyst by helping policymakers, entrepreneurs, and investors imagine the region as a true Unicorn Valley.
But this region is more than fields and traditions. It is a testing ground for Latvia’s next great ideas – a place where the next Unicorn may already be grazing. Similar analyses and ecosystem mappings have been carried out in other European regions participating in the UnicornQuest project. Ultimately, we are all working towards a shared vision: to make Europe a stronger, interconnected environment for startups and future Unicorns.
This publication has been produced within the Interreg Europe 2021 – 2027 Programme project Nr. 01C0028 “UnicornQuest’’, which is cofinanced by the European Union.
Zemgale Planning Region is solely responsible for its content, and it may not reflect the official position of the European Union.