2018
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LIKE CARLSBAD, SIR
ROMAN EMPERORS ARE ABUNDANT
During the Belle Epoque, Palić Lake and the eponymous spa resort was as popular as Carlsbad, and many art nouveau buildings are silent remnants of the lost glory.
Ten Roman emperors were born in Sirmium (Sremska Mitrovica) and the surrounding area: Herennius Etruscus, Hostilian, Decius Traian, Claudius II, Quintillus, Aurelian, Probus, Maximianus Herculius, Constantius II, and Gratian.
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TWO FLAGS
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MANY RELIGIONS
It is typical to find Eastern Orthodox, Roman Catholic, Greek Catholic, Lutheran and Calvinist churches (and the synagogues) in majority of Vojvodinian towns and cities.
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Vojvodina is one of the very few places to have two official flags: one of them is called “traditional” and dates back to 1848 and the establishment of the Serbian Vojvodship during the Revolution, and the second one is modern flag from 2004.
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THE PANNONIAN ATLANTIS
Bačka was know as Bačka-Bodroška, and the mysterious city of Bodrog was a fortified city with towers and churches, but during only 100 years it eventually sank in the sand and water of the Danube. Today the small village of Bački Monoštor stands at the same place and many call Bodrog “the Pannonian Atlantis”.
04 THE GREATEST FORTRESS
After the destruction of Verdun Fortress during the First World War, the Petrovaradin Fortress remained aguably the greatest fortress in Europe according to some criteria.
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WINE CAME WITH ROME Roman emperor Probus was the one who brought the vine to Syrmia, and the viticulture on Fruška Gora started, eventually spreading to the whole of Vojvodina.
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CONTENT
2017
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Editor in Chief ŽIKICA MILOŠEVIĆ zikica.milosevic@color.rs
10 INVESTORS RECOGNIZE OUR POTENTIAL
Editorial manager TANJA BANKOVIĆ tanja.bankovic@color.rs
Prime Minister of Vojvodina
Art director ILIJA PETROVIĆ INDIGOCHILD ilija.petrovic @color.rs Advertising managers VANJA KOVAČEV vanja.kovacev@color.rs JOVANA MARKOVIĆ jovana.markovic@color.rs NATAŠA NEŠIĆ natasa.nesic@color.rs DRAGANA RADOVIĆ dragana.radovic@color.rs Magazine director RUŽA RISTANOVIĆ ruza.ristanovic@color.rs Director ROBERT ČOBAN robert.coban@color.rs Photos GORAN ZLATKOVIĆ BEOINFO Translation SNEŽANA BJELOTOMIĆ
IGOR MIROVIĆ
14 VOJVODINA AS INCREASINGLY ATTRACTIVE INVESTMENT DESTINATION NIKOLA ŽEŽELJ
Director of the Vojvodina Development Agency
18 WE HAVE A LOT TO OFFER MILOŠ VUČEVIĆ Mayor of Novi Sad
22 FAVOURABLE CONDITIONS FOR NEW INVESTMENTS BOŠKO VUČUREVIĆ
President of the Chamber of Commerce of Vojvodina
26 VOJVODINA IS A LEADER IN ATTRACTING FDI IVAN ĐOKOVIĆ
Vice-President of the Provincial Government and Provincial Secretary for Economy and Tourism
30 WE ARE A LONG TERM INVESTOR DRAGAN CRNJANSKI
Director, Al Rawafed Srbija
”Color Media Communications” LTD, 21132 Petrovaradin, Štrosmajerova 3 TIN 107871532 • Matriculation number 20887303 · Phone: +381 21 4897 100 • Fax: +381 21 4897 126 Office: Vase Čarapića 3/IV/38, Belgrade • 011 4044 960
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34 ALWAYS STRIVING FOR BETTER AND HIGHER DRAGOLJUB ZBILJIĆ
Director of Energotehnika Južna Bačka
36 THE RIGHT ADDRESS FOR ALL LEGAL ISSUES Dr. NEMANJA ALEKSIĆ
Lawyer, Aleksić and Associates Law Office Novi Sad
IVANA MARAŠ Attorney at law
38 CHARGING AHEAD DAVOR MILIĆEVIĆ Beohemija d.o.o.
40 YOUTH MOST AT RISK MILAN VLAISAVLJEVIĆ Director of the Vita Hospital
42 WE NEED A SHIFT IN THE BUSINESS MODELS MILAN ŠOLAJA
CEO at Vojvodina ICT Cluster
44 THE FUTURE IS NOW LAZAR JOVANOV
PhD Artistic Program Manager of Novi Sad 2021 Foundation
46 NOVI SAD IN BAČKA PLAINS Tourist Organisation of the City of Novi Sad
50 LOST IN THE PLAINS Culture
52 TAMBURITZA AND BEĆARAC Culture
54 VOJVODINIAN HOUSES Traditions
56 TAME HEAVEN IN THE PLAINS
ear readers, we are proud to present to you the Invest in Vojvodina supplement for the second year in a row, where we will present economic, investment, tourist and industrial capacities of Serbia’s northern province. This special supplement of Dioplomacy&Commerce magazine will bring you interviews with provincial officials, from Prime Minister to ministers, institutions and organizations, and we will use it to try and present to you the business climate in the province, what investors and tourists can hope for, and we will provide guidelines for general economic developments in Vojvodina. They say that economic success of the richest countries is connected to their multiculturalism. Indeed, if we look at Europe’s wealthiest country, Luxembourg, we will see that each child is born with a predisposition to learn three languages: domestic Luxembourgish, German and French language. The author of this text read Luxembourg’s daily paper which is published in these three languages, each article in another language! It’s no wonder that global companies want to position their centres in a country where with a little effort to learn English, for example, or with a slightly bigger effort invested into learning English and another language, you have an employee capable of communicating with half of the world. The situation is similar with Switzerland as well, where 3 major languages are spoken. They say that Ireland and Malta succeeded in using English in parallel with or more than local languages, Ireland’s Gaelic and Maltese language. It’s no wonder that Minsk, with its perfect knowledge of Russian language, Lviv or Timisoara, as well as Novi Sad, is the centre of IT clusters of Eastern Europe. All these are multicultural and multilingual regions located at crossroads, parts of great devastated empires. This is where opportunity lies for Vojvodina, a “spike” inside European Union (if you look at the map, you will see that the province’s territory is the “arrow tip” stabbing into EU’s belly. Everywhere around is the strongest European trading zone, which might not know where to go politically, but they certainly know where to go in economic terms. Just like the construction of Saint Petersburg was “a window to the west” for Peter the Great, Vojvodina is the same for Serbia, a country without a sea,
but with great rivers and European corridors. With its fruitful land and educated people, with its industrial tradition when it was a part of one of industrial super forces 100 years ago, through tradition from SFRY when it was the wealthiest and most developed of all 8 federal subjects, after Slovenia, according to the then Constitution, Vojvodina is an ideal “candidate” for investments. Maybe it’s “the next big thing”, if we bear in mind that employees from any company in Vojvodina can travel from La Manche to Vladivostok and Tokyo, from Tehran to Tel Aviv and from Beijing to Buenos Aires and Manaus without a visa. Serbia is a member of CEFTA and it has signed contracts with the Eurasian Economic Union on free trade and it represents a new hotspot for Chinese investments. It is an ideal place for a meeting with Chinese or Iranian businessmen in Europe, “half way”, because Serbia is the only country where citizens of these two countries can travel without visas. Vojvodina is a region where paths cross, where tradition and culture favour the business climate. Economic potentials of Vojvodina are great, and the infrastructure – both built and planned – favour investments and doing business. We hope that this combination of economic potentials and favourable business climate will be crucial for Vojvodina to become the next big thing in European economy.
E D I TO R I A L
THE NEXT BIG THING, WE HOPE D
A place between worlds that belongs to everyone Text:
Žikica Milošević
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INTERVIEW
IGOR MIROVIĆ Prime Minister of Vojvodina
INVESTORS RECOGNIZE OUR POTENTIAL A The provincial government will do everything in its power to attract more foreign direct investments to Vojvodina. Our province has to regain its old glory and occupy a rightful place, considering all the resources it disposes of, which is to be the most developed part of Serbia and the driving force behind the overall development of our country
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solid framework for a stable, predictable and firmly implemented macroeconomic policy that Serbia has been exercising in recent years has been the key contributor to the steady growth of investments in Vojvodina, as well as throughout the country.
What is Vojvodina's share in this year's robust GDP growth? Are you satisfied with this year's economic indicators? — The share that our province has it the Republic of Serbia's GDP is around 2627percent on average, which makes Vojvodina the second region in the country in terms of the GDP share. Vojvodina has an almost the same share in the growth of this year's GDP. In terms of other indicators, in the first half of this year, the he industrial production growth in Vojvodina compared to the same period in
2017 stood at 3.1 percent, and the value of exports exceeded EUR 2.7 billion, which is a 9.5 percent hike. This export, however, accounts for almost 34 percent of total exports of the Republic of Serbia in the observed period. The growth was also registered in the agricultural sector, while the recovery of the construction sector is even more important and obvious. Only in June this year, 710 building permits were issued in Vojvodina, which is 40 percent more than in the same period last year. The value of construction works, which these permits cover, is 17.2 billion dinars, which is twice the value of the construction works, covered by building permits, in June 2017. Finally, it is particularly encouraging to note that Vojvodina had the fastest decline in active unemployment in the first six months of this year, which stood at 15.8 percent.
What do foreign investors recognize as the key features of Vojvodina as an investment destination? — There are several factors, with one of the most important being quality and qualified workforce, that is, the optimal ratio between its quality, productivity and costs. There is also a quick and easy access to global markets, which is due to the geographical location, the free trade agreements and the non-tariff approach that Serbia has with countries which markets comprise of an extremely large number of people. Additionally, the favourable tax system is an important factor, and the fact that tax rates in Serbia are among the lowest in Europe. The profit tax is the lowest in the region, while salary tax and social security contributions are among the most competitive in the central and eastern part of our continent. There are, of course, clearly defined and very stimulating programmes of direct support to investors at all three levels of government - state, provincial and local. What is the average annual share that Vojvodina has in total FDI in Serbia? — It is growing, as evidenced by the fact that new factories or construction sites of future factories are being opened almost every day. Some of this factories will be industrial giants like the automobile tyre factory to be launched by the Chinese company Shandong Linglong in Zrenja-
nin. Once constructed, the factory will be worth over USD 940 million dollars. The contract stipulating construction of this factory was recently signed, and it gives me a great joy to say that I was present at the signing. Another significant foreign investment is that by Germany's ZTF in Pančevo. Of course, we, as in the Provincial Government, respect the fact that it is very, very important to ensure a more balanced development of the entire Serbia, but we will do our best to bring as many direct foreign investments as possible to Vojvodina in the future. Our province has to regain its old glory and occupy a rightful place, considering all the resources it disposes of, which is to be the most developed part of Serbia and the driving force behind the overall development of our country. In the coming period, are especially going to focus on Sombor and West Bačka County.
INVESTMENTS
IN THE FOLLOWING PERIOD, WE ARE GOING TO FOCUS ON THE POTENTIAL OF SOMBOR AND WEST BAČKA COUNTY IN ATTRACTING FOREIGN INVESTMENTS
How much does the provincial government invest in promoting the investment potential of Vojvodina? Which markets do you usually target? — We have allocated RSD 50 million to the Development Agency of Vojvodina, which we established last year with the purpose of attracting foreign direct investments, with the view of promoting Vojvodina's investment potential abroad. We are currently focusing on the EU countries, China and Russia, but serious investors, regardless of their country of origin, are always welcome. These potentials are promoted through other provincial authorities too, and we have also bolstered the cooperation with the Chamber of Commerce of Vojvodina which plays a significant role in promoting Vojvodina's investment potential. Furthermore, we have organized business forums in Vienna, Budapest, Timisoara, Szeged, Podgorica, Banja Luka, Frankfurt and Munich with the purpose of promoting our investment potentials. Which municipalities in Vojvodina are currently most appealing to foreign investors? — Primarily those that have the relevant transport infrastructure, regulated industrial zones that meet the highest standards and can provide adequate wokforce. Our goal is, however, to help each municipality in Vojvodina in the next year or two, so that each one of them can have at least one industri-
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al zone that fulfills the biggest requirements of both foreign and domestic investors. The Provincial Government has been doing this since the very first day of its term in the office. In this way, we have provided support to the following local communities - Bač, Bački Petrovac, Kanjiža, Bela Crkva, Kovin, Kula, Indjija, Odžaci, Novi Bečej, Ruma, Šid, Sombor and Sremska Mitrovica.
What effects will the current investments in road and rail infrastructure going to have on more balanced development of the province and Vojvodina having better links with the European markets? — Extremely positive ones! New traffic corridors - both road and rail - will certainly enable faster and more efficient transport of goods and people, which is one of the key resources for faster economic development. This, in fact, is closely related. Earlier, and together with the Serbian Government, we have a plan to build a Novi Sad-Zrenjanin-Borča / Belgrade fast lane road, as one of the priorities. Now, considering the already mentioned project of the Chinese company Shandong Linglong building a production plant in Zreanjanin, this large-scale venture is even more important and urgent, and when it is completed, industrial zones in the municipalities through which this road would pass, would be incomparabaly more appealing to investors. This, of course, applies to all other road and rail corridors. I won't even go into how important this is for tourism development, which is one of the significant potentials of Vojvodina, as tourism is bolstered by modernization of transport infrastructure, among other things. The best examples of this are the reconstruction of the Greben Road, a segment of the so-called old Belgrade road which goes through Banstol, in which we invested almost 600 million dinars. This road will make all the Fruška Gora attractions more accessible to both foreign and domestic tourists. To which markets does Vojvodina export the most? What share do higher added value products have in this export? — Vojvodina mostly exports to the EU countries. Out of a total of 2.7 billion euro, which was the export's value in the first half of this year, as much as 72.2 percent, or nearly three quarters, is export to the
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EU countries. The countries of the CEFTA region take up close to 15 percent, while all other countries have about a 13 percent share in Vojvodina's exports. Individually, our companies export mostly to Germany. In 2016, the export to that country had a 11.8 percent share in overall Vojvodina's export. Last year, the export to Germany jumped by 13.1 percent, and in the first six months of this year, its growth ex-
CONTRIBUTION
FOREIGN INVESTORS LIKE SIEMENS, LEONI, DRAEXLMAIER, FRESENIUS AND HEMOFARM STADA HAVE SIGNIFICANTLY CONTRIBUTED TO THE PROCESSING INDUSTRY'S EXPORT ceeded 14 index points. The share of exports to Italy and Romania in Vojvodina's total exports is around 10 percent, while exports to Hungary account for about 6 per cent. In terms of the export of added value products, this is mostly attributed to the processing industry. This industry's share in the overall structure of Vojvodina's exports in 2017 was 83.5 percent, while in the first six months of this year, it jumped to 85.3 percent.
What expected effects will the development of high-tech capacities, where the province and the Government of Serbia are investing together, have on the development of Vojvodina? How much can the innovative Vojvodina contribute? — In my opinion, the development of high-tech capacities is one of the most important prerequisites for the further development of Vojvodina, and therefore our economy as a whole. The second prerequisite is, of course, more frequent cooperation between scientific research institutions and the economy and its improvement, especially in the context of incredibly rapid technological changes, the continous evolution of market conditions, and the demands of end customers. This is one of the reasons why we, in addition to other things, are building a science and technology park in Novi Sad which will be the place of direct cooperation between science and economy. Hence, we give our unequivocal support to the Biosens Institute, which, in the highest technology segment, is a worthy global competitor. We are confident that we will be report about even more similar examples in the near future too. How strong is the start up community in the province? — At this moment, Vojvodina has the most important and most developed IT start up community, and the Provincial Government supports the start up companies through the establishment of two business incubators - in Novi Sad and Zrenjanin. The already mentioned science and technology park in Novi Sad, that spans 30,000 square meters, will have a very positive impact on the development of this community. How would you rate the innovation capacities in the province? — Considering the know-how creativity of our people and the quality of our education system, these capacities go without saying. They are, according to the predominant assessment, the biggest the IT sector where they mostly utilized. I believe, however, that we can make serious steps in all other sectors, and the first step is to ensure continuous improvement of the cooperation between the scientific-research institutions and the economy, which I have mentioned earlier. Supporting this kind of cooperation is one of our most important priorities.
INTERVIEW
VOJVODINA AS INCREASINGLY ATTRACTIVE INVESTMENT DESTINATION
NIKOLA ŽEŽELJ Director of the Vojvodina Development Agency
Foreign companies from the auxiliary automotive industry, which operate in the Czech Republic, Slovakia and Hungary, are increasingly seeing Vojvodina as a good destination for starting a new business, or relocating the existing production capacities in order to address labour shortage in these countries. 14
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n the period from 2016 to date, a total of 113 foreign companies invested 355 million euro in Vojvodina and employed about 18,200 workers. Out of these 113 companies that carried out investment activities (increase in the number of employees or re-investments), 29 are new companies operating in the Autonomous Province of Vojvodina (APV). So far, they have employed 1,600 workers and invested around 80 million euro in total. The Vojvodina Development Agency (VDA) has worked on some of the most ambitious projects of this kind, such as investments by Continental Automotive in Novi Sad, Kostel Automotive in Bačko Gradište, La Linea Verde in Ruma, and others. This is one of the reasons why we are talking to Nikola Žeželj, VDA’s director, about the province’s investments and the Agency’s further plans.
What is it that sways investors towards choosing Vojvodina as an investment destination? — It is always a combination of several decisive factors. Companies, which are already operating in Vojvodina, and with which we have regular communication, say that Serbia's greatest advantages are competitive operating costs, numerous financial and tax reliefs, workforce, as well as an access to the market comprising of one billion people owing to Serbia's free trade agreements with the CEFTA countries , EFTA, Turkey, Belarus, Kazakhstan and Russia, a transitional trade agreement with the EU and a preferential agreement with the United States. An additional advantage of Vojvodina is that only one border separates it from the EU and that the province's geographical location allows for Just-in-Time
/ Just-in-Sequence, which is particularly important for companies in the auxiliary automotive industry, a sector that is very strong in Vojvodina.
How are the regions in the province profiled in terms of the concentration of industrial capacities? — That’s a really complex question and the answer depends on many factors. Investors are are the ones who choose an investment location, and if most investors, coming from a particular sector, decide on a particular location, then there is a higher industrial concentration there. For example, in addition to a well-structured infrastructure, having quick access to main roads, and similar, investors sometimes require that the municipality, in which they are planning to invest, already has a long tradition in their particular industry and a trained workforce. Sometimes, it is important for them that the municipality has schools or colleges that produces trained workforce they can employ. So, Bačka County, for instance, is the most prominent in the ICT industry, primarily because of Novi Sad, which has strong technical faculties and educates a large number of ICT professionals. Another example is the town of Vršac. Although it has the population of only 40,000, Vršac has become the pharmaceutical hub of Serbia thanks to companies like Hemofarm, which has been operating there for nearly six decades, and Fresenius Medical Care. Most of the metal processing companies are located
in Banat County, while Bačka boasts with the highest number of workers in the auxiliary automotive industry. Foreign companies from the auxiliary automotive industry, which operate in the Czech Republic, Slovakia and Hungary, are increasingly seeing Vojvodina as a good destination for starting a new business, or relocating the existing production capacities in order to address labour shortage in these countries.
What trends have you noticed in the FDI influx in Vojvodina and which sectors are the most popular with investors? — In terms of the leading sectors in Vojvodina, according to the statistical data collated by the VDA, these are agribusiness, financial sector, construction industry, pharmaceutical industry and auxiliary automotive industry. In regards to
PROFESSIONALS
BAČKA COUNTY IS THE MOST PROMINENT IN THE ICT INDUSTRY, PRIMARILY BECAUSE OF NOVI SAD, WHICH HAS STRONG TECHNICAL FACULTIES AND EDUCATES A LARGE NUMBER OF ICT PROFESSIONALS
conuntries, the largest investors come from Germany, the United States, France, Italy and Slovenia. As I have already mentioned, the trends show that Novi Sad is increasingly becoming a strong IT hub, while investments in agribusiness, as one of the leading sectors in Vojvodina, can't be even called a trend, but rather a constant. The highest number of foreign companies are engaged in agribusiness, which is only logical given that Vojvodina is a traditionally agricultural region. Currently, we have 56 foreign agribusiness companies, which have invested nearly three billion euro. There is also a trend in Vojvodina becoming one of the major European centres of automotive industry, with the highest number of citizens of Vojvodina working in this sector, namely over 15,000 people work in 24 automotive companies. In addition to education, the reason for this is the close proximity of large car and car parts manufacturers.
What are Vojvodina's trump cards in attracting hi-tech investments? — In order to attract that kind of investments, you need to have an appopriate overall environment that facilitates innovation and advanced hi-tech culture that carries itself well when faced with fast development of new technology. I can say that Vojvodina has that kind of environment. Our province is known for being a region with excellent universities and research & development centres. The University of Novi Sad has about 50,000 students and has a special curriculum
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tailored to the needs of investors and new trends in technology development. Business incubator and ICT cluster have already been established in Novi Sad, and as you can see for yourself, the construction of a science and technology park, located at the beginning of Fruskogorska Street, is progressing well. Soon, we will have an additional 30,000 square meters available, which will further establish this space and attract even more domestic and foreign IT companies.
How much does the Vojvodina Development Agency invest in promoting the region as an investment destination? What is your place in investment promotion? — VDA's job is, among other things, to make Vojvodina visible to all potential foreign investors, but also to help domestic companies with becoming suppliers and market their products in other countries. In addition, VDA currently participates very seriously in organizing appearances of Vojvodina's businesses at several major trade fairs, based on the "Agreement on Joint Appearance at International Trade Fairs", signed in November 2017 by the Provincial Government, the Vojvodina Development Agency, the cities of Novi Sad , Pančevo, Sombor, Subotica, Zrenjanin, Sremska Mitrovica, Vršac, and Kikinda, as well as the Chamber of Commerce of Vojvodina. In October, we are going to present the Province's potential in the investment and real estate sector at the EXPO REAL Fair in Munich. Under the mentioned Agreement, Vojvodinian businesses also participated in the Beijing Tourism Fair, and are preparing for the upcoming Fruit Logistica Fair in Berlin, the most important international trade fair for the fresh fruits and vegetables sector. Which types of promotions do you consider the most attractive and most effective in attracting new FDI? — Our experience has taught us that it is always best when you can enter into direct communication with potential investors. Everything we do, all sorts of promotional and marketing activities, is aimed at appearing in person in front of investors and presenting the potentials of Vojvodina in vivo. What can investors expect from the Vojvodina Development Agency when they
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decide to consider Vojvodina as a potential investment location? What information and services can you provide from the moment the investment idea is born to its realization? — There is a good and generally accepted term in English for this type of service – a one-stop-shop. VDA is a place that domestic and foreign companies can turn for all
A D VA N TA G E
VOJVODINA’S ADVANTAGE LIES IN THE FACT THAT THE PROVINCE'S GEOGRAPHICAL LOCATION ALLOWS FOR JUST-IN-TIME / JUST-INSEQUENCE, WHICH IS PARTICULARLY IMPORTANT FOR COMPANIES IN THE AUXILIARY AUTOMOTIVE INDUSTRY issues related to the investment process. Our job is to find investors, and send them a detailed report on the business climate, operating costs, incentives, tax, customs and labour procedures, available workforce, logistics, etc. We are here to direct them to available locations, connect them with potential local suppliers and compa-
nies interested in joint ventures, as well as representatives of local self-governments, provincial and state institutions, private property owners and local companies, etc.
How much does VDA invest in boosting its expert capacities and expertise in order to be able to meet all of the investor needs? — Employee training is something we see almost as a regular activity. We attend seminars and trainings on different topics - event management, presentation skills, negotiation, etc. It is extremely important that each member of the team is proactive and closely follows everything that is going on in their profession, plus to learn and to progress. The work we do is like a living organism - foreign and domestic investment advisors have to know and monitor regulatory changes, new subsidies and be informed about all the changes and tendencies that together make the business climate. Those who work on promotion and marketing must use all modern promotion tools to make Vojvodina as visible as possible. For instance, in our Sector for Strategic Research, Innovation and Development Economic Policy, there is a constant need for improving the professional know-how and monitoring new laws and regulations that pertain to planning and programming of Vojvodina's development. According to your assessments, how successful is this year going to be for Vojvodina in terms of attracting investments? — If we take into account what we have done so far, the activities we have carried out and what is ahead of us by the year end, we can confidently say that we are more than satisfied with the current year. This success is not measured merely by the number of new investments, but also by the number of re-investments, new jobs, etc. For example, the Austrian company Egston System Electronics started production of cable systems in Pančevo at the beginning of the year, while the German company ZF Friedrichshafen began building a factory that will produce propulsion systems for electric vehicles. In Zrenjanin, the Essex Company is finalizing a factory that will manufacture enamelled copper wires, and Novares, which also produces components for the automotive industry, will open a new plant in October.
INTERVIEW
MILOŠ VUČEVIĆ Mayor of Novi Sad
WE HAVE A LOT TO OFFER N The arrival of powerful multinational companies in Novi Sad, attract other investors, which value highly skilled workforce, creativity, a strong scientific community and good business conditions, as a magnet
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ovi Sad is increasingly becoming an industrial, IT and tourist hub. „The arrival of foreign companies has caused the revival of Novi Sad in every segment of life, and now, our city has become a more attractive investment destination, all sectors of the economy are developing and we are attracing more tourists," says Miloš Vučević, mayor of Novi Sad. "You know, when you are mapped by multinational companies like Lear, Delphi, and Continetal, which opened an R & D centre in Novi Sad, you are more talked about, the interest in you grows, and, as the potential investors that I meet usually say to me, they were intrigued to find out about Novi Sad's comparative advantages since so many companies are racing to be present in its market," the mayor says. The arrival of foreign investors has also re-launched all other economiuc branches. According to the data com-
piled the Business Registers Agency for 2016, the share of foreign capital in the total capital of companies operating in the territory of the City of Novi Sad is about 30%.
What does Novi Sad's economic ID look like today? Which countries do key investors come from and in which industries and services have they been investing? — At present, there are 29,000 domestic, foreign or mixed-ownership companies operating in Novi Sad. Only in the first six months of this year, 425 new companies and 1,233 small businesses were registered, with most of them, around 38%, engaged in wholesale and retail trade, followed by manufacturing, consulting, scientific, innovation and technical activities, and construction and transportation. Foreign companies mostly come from the automotive, machine and IT sectors, and the majority of them origi-
How much has the investment growth affected the key economic indicators of the city? — At the end of last year, Novi Sad had 142,420 registered workers, which is 7,362 more than in 2015. The highest growth was recorded in the manufacturing sector, over 20%. At the same time, the number of unemployed was reduced from 26,406 at the end of 2015 to 16,774 in 2017. According to the official records, there were 15,308 unemployed people in Novi Sad, at the end of June last year. What potential does Novi Sad have to become an innovation hub of Serbia and attract foreign knowledge-based companies? — Novi Sad can already been dubbed the creative and innovative hub of Serbia, primarily thanks to our fellow citizens; mostly young people who quickly absorb and apply novelties that result in changes in all segments of life. After all, Novi Sad is declared the Youth Capital of Europe for 2019 and the European Capital of Culture for 2021, and has firmly positioned itself as a strong university and IT centre in Serbia where hundreds of local companies cooperate with companies around the world. Following the completion of the construction of the Science and Technology Park on the university campus, another big door of opportunity will be opened for small startup companies, as well as new development and research
centres. The facility will span 29,000 square metres, of which the classrooms and laboratories of the Faculty of Technical Sciences will occupy 10,000 square meters, and the rest of the space will be for companies.
LEAGUE
GERMANY'S CONTINETAL OPENED A RESEARCH AND DEVELOPMENT CENTER THAT ALREADY EMPLOYS ABOUT 200 ENGINEERS, THUS BRINGING NOVI SAD INTO THE HIGHEST INVESTMENT LEAGUE Can we say that the domicile economy is feeling a spillover effect of innovation that comes from the Faculty of Technical Sciences in Novi Sad? What is city government doing to bolster the interaction between scientific community and private businesses? — The Novi Sad University is the originator of over 140 startup and spin-off companies, with some of them being not only the biggest employers in Serbia, but are present worldwide with their software solutions. The city of Novi Sad has excellent cooperation with the faculties and institutes of the University of Novi Sad. Representatives of the Uni-
versity are members of our two councils - the Economic Council and the Employment Council - where we exchange ideas, discuss economic problems, give suggestions on how to solve them and how to bolster the interaction with the economy. Private companies, that are members of our Economic Council, also participate in the university professional practice project, which is implemented in the city administration, public enterprises and public utility companies. In cooperation with the Faculty of Technical Sciences, the Informatika public utility company and the Development Agency of Vojvodina, the City of Novi Sad is one of the founders of the Business Incubator in Novi Sad, which is dedicated to beginners in IT business and creative industries. 14 startup companies, employing 85 people, now operate in this incubator, on an area spanning about 800 square metres. Furthermore, over 80% of the companies that were "tenants" in the Novi Sad business incubator are still active today and are successful in their respective businesses. We want to motivate business people as much as we can to use the know-how of institutes, faculties and research centres, because that directly contributes to technological development, higher competitiveness, increased exports and creation of new high-tech jobs.
How did the launch of Continental's Research and Development Centre affect the the city's capacity to attract even more investors that bring new technoloPhoto: Dragan Kurucic
nate from the countries in the European Union and the United States.
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gy and know-how? What do you expect from these kinds of investments? — Having such a strong university and an increasingly better workforce, particularly engineers and developers, there is a perpetual interest for coming to Novi Sad to do business. What are the city and province doing to create a pull of highly trained labour? — We, as a local self-government, have been helping with providing equipment for the university campus, in terms of infrastructure and improving the working conditions and the lives of students, and we indirectly contribute to increasing the capacities of these educational institutions. On the other hand, through the support programme, the City invests in retraining of unemployed persons to engage in professions that are deficient, with a special focus on IT. What are your further plans for the strategic positioning of the city as an investment destination? — We are promoting Novi Sad as an industrial, IT and tourist hub. After more than three decades, we have large scale investments in the automotive industry with multinational companies, such as Lear and Delphi, opening factories that now employ over 6,000 people. Last year, Germany's Continetal opened a Research and Development Center that already employs about 200 engineers, thus bringing Novi Sad into the highest investment league. As I said earlier, these investments
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have a great impact on the growing interest for investing in our city by companies from Europe and other parts of the world. This year, we sold a 6-hectare plot to a Czech company in the Sever 4 industrial zone, and this investment will give additional impetus to the development of this zone. At the same time, there is a growing interest in investing in the Sever 2 zone, which was once the core of the Novi Sad economy.
D E V E LO P M E N T
WE WANT TO MOTIVATE BUSINESS PEOPLE TO USE THE KNOW-HOW OF INSTITUTES, FACULTIES AND RESEARCH CENTRES, BECAUSE THAT DIRECTLY CONTRIBUTES TO TECHNOLOGICAL DEVELOPMENT, HIGHER COMPETITIVENESS, AND INCREASED EXPORTS Which cities are your role models in terms of having a stimulating economic growth? — We are primarily focusing on the experiences of European cities that are similar to Novi Sad on various issues like providing utility services, implementing the
Smart Cities concept, ensuring support to beginners in business, dealing with social issues. We also have significant experiences from the IPA cross-border cooperation projects, Danube strategies, and others.
How much has the cultural potential of Novi Sad - whether we are talking about Exit, the city being declared the European Youth Capital for 2019 and the European Capital of Culture for 2021 - contributed to boosting Novi Sad's appeal as a hub for creative industries? — It is the people, processes, programmes and areas where Novi Sad has already positioned itself as a leader in the region in this segment of activity that make the city that appealing as a hub for culture and creative industries. When I say „people“, I mean everyone who has not only positioned themselves globally but also became a magnet for creative people from all over the world. These are people who are engaged in organizations such as Exit, Trilaterala, Eipix, 3case Studio and many others. For their benefit, Novi Sad has opened up spaces such as „China TownYouth Creative Polis", the Svilar Cultural Stations, Edjšeg and others, where they can realize their full potential and create new value, and where audiences can enjoy in the European quality events such as Exit Festival, Kaleidoskop Kulture and Doček, while at the same time, attracting audiences from all parts of the world too. After all, Novi Sad is not called „The Serbian Athens“ for nothing!
INTERVIEW
FAVOURABLE CONDITIONS FOR NEW INVESTMENTS Vojvodina's industry has recorded high growth rates in the past two years, and the expectations are that this growth rate will be maintained. In the long run, it is particularly important to provide a further influx of foreign investments and to bolster high-tech branches that have the ability to improve the industry's structure
BOŠKO VUČUREVIĆ President of the Chamber of Commerce of Vojvodina
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usiness people have rated the doing business climate in the Province of Vojvodina as positive, especially in terms of global indicators and regulatory framework, while attracting foreign investments is a further and important step towards higher employment and utilization of existing resources in Vojvodina”, says Boško Vučurević, President of the Chamber of Commerce of Vojvodina (PKV). „I would like to single out investments in agri-complex which is an important component in the comprehensive reform process. The Autonomous Province of Vojvodina (APV) has a huge potential in that area. The World Bank plans to implement a number of projects that will support agriculture and food industry, which will have a positive impact on further economic development."
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Mr. Vučurević goes on to say that the lack of qualified labour is becoming an increasing problem and, it is necessary to harmonize school curricula to suit the needs of the economy.
GROWTH
IN THE PAST TWO YEARS, VOJVODINA'S INDUSTRY REGION RECORDED HIGH GROWTH RATES OF 5.4 AND 7.7 PERCENT, AND THE EXPECTATION IS THAT THIS GROWTH RATE WILL BE MAINTAINED
How did the better macroeconomic situation in the country and the province affect the growth of the provincial economy and its export results? — The macroeconomic conditions for doing business in 2018 have been improved and are now stable. The achieved results of monetary and fiscal consolidation have released the potential for further, healthy growth of the economy. The accomplished macroeconomic stability has a favourable effect on the growth of the region's economy, industry, service sector and recovery in the construction sector. In the past two years, Vojvodina's industry region recorded high growth rates of 5.4 and 7.7 percent, and the expectation is that this growth rate will be maintained, because the growth trend continued in the first half of this year. In the past three years,
the situation on the labour market situation has improved significantly. Employment went up by 4.1 percent, with 20,000 new employees registered, while the unemployment was reduced.
What are your expectations in terms of the GDP and external trade growth this year? — The first half of 2018 was marked by positive economic trends. These positive effects stem from the recovery of agriculture and the energy sector, which had a rather low base the previous year. The growth was also triggered by increased personal consumption and significant recovery of investments, both public and private. The economy in the region of Vojvodina has also achieved significant external trade results. In the first half this year, companies that are based in this region, accounted for 33.7 percent of exports and 28.5 percent of imports in the country's total external trade. Vojvodina had a 54.8% share in the country's total exports and a 56.3% share in the total imports in the first six months of this year. Due to the faster growth of imports than exports, there was also an increase in the deficit. The growth of imports is the result of growing imports of raw materials that accommodate the needs of growing investments and industrial production, which in the observed period, accounts
CONTRIBUTION
THE EVER-GROWING INFLUX INFLOW OF FOREIGN DIRECT INVESTMENTS, PRIMARILY IN EXPORT-ORIENTED COMPANIES, HAVE CONTRIBUTED TO THE EXPORT MORE THAN DOUBLING IN RELATION TO THE PRE-CRISIS LEVEL for over 35% of imports. There is also an increase in imports of energy products, which accounts for over one quarter of total imports. The achieved results in all trade parameters in the observed period in 2018 exceeded the results from the previous year by a half. In the second half of 2018, we expect that agricultural produce, harvested in autumn, to make a significant contribution to the growth of exports, because the weather conditions in July and August were favourable to this produce.
What do business people see as key steps that should be made in the upcoming period in order for the economic growth
to be maintained and further boosted? — The achieved results and favourable outlook of the domestic economy, point towards the expected trend of export and import growth. Regardless of the continuation of the trend of having good credit sources in the market, it will be necessary to continue with various models of assistance provided locally and at the state level, as it would be useful to bolster even more economic branches that have the ability to improve the technological structure of the industry in the direction of greater participation high and medium technology. What kind of cooperation do companies and universities have? Would you like to single out some positive examples of this cooperation? — We need a stronger bond between science and economy, with the view of the faster economic growth of Vojvodina. Having our education system listening intently to the needs of the economy and having a more intensive implementation of modern scientific achievements in the real economy, are certainly a part of the PKV's activities. The involvement of scientific research facilities has greatly contributed to the better operations of our Chamber. The PKV has formalized cooperation with several faculties of the University of Novi Sad, two colleges, Educons University, and the Vojvodina ICT cluster. INVEST IN
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We have established an excellent cooperation with the BioSens Institute and the Institute of Field and Vegetable Crops 'NS Seed'. Realizing the goal of establishing stronger links between the business and the academic community by mutual transfer of information will contribute to having a more robust mechanism for the implementation of technological achievements in order to further increase the competitiveness of Vojvodina's economy.
What kind of effect do foreign investments have on the transfer of new knowhow and technology to the domicile economy? — It goes without saying that modern technology and innovative products ensure economic growth. Foreign investors, that have recognized Serbia as a country worth doing business in longterm, have a direct interest in bringing innovations and know-how with them. In this way, they can create the desired profit for themselves, create benefits for the state and individuals, as well as a group of permanent users of their products in our country. On the other hand, we believe that it is necessary to increase the participation of domicile know-how in our companies, regardless of the ownership, perhaps by establishing institutions that directly coordinate and help financially in cases where it is needed to implement science in the economy. In this way, the national economy is bolstered, because, under the pressure from competition, it looks up to the new rival in the market. How strong is the domicile IT community and how can we help it to develop even further? — To best illustrate the strength and the potential for further development of the domicile IT industry, I would just like to mention that this industry's growth has been continuously in double digits (+20%) and that it is not showing any signs of slowing down. Consequentially, IT services definitely become the No 1 export product in Serbia. In this way, this sector also demonstrates that it doesn't actually need help, but in order for our entire society and economy to benefit from this trend, we need to improve the regulatory framework and provide opportunities for domestic intelligence to work for Serbia's benefit.
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Interventions are needed in order to increase the number of IT professionals and boost the competitiveness of the domestic economy through the implementation of new technologies. Investments in IT per capita arethe key indicator of progress, which currently stand at 62 euros, while the European average is 800 euros.
P OT E N T I A L S
WE HAVE ASSEMBLED A NUMBER OF FOREIGN BUSINESS PEOPLE IN VOJVODINA, WHO, TOGETHER WITH THE PROVINCIAL GOVERNMENT AND OTHER PARTNERS, HAVE PRESENTED THE POTENTIALS OF THE VOJVODINA ECONOMY Significant growth of this indicator will show that our country accepts modern standards and is showing signs of more serious economic development. This certainly creates an opportunity to bring Serbia closer to rich countries. Speaking about the strength of the IT community in our country, I would like to underline the Vojvodina ICT cluster, which brought together the best domestic companies
in the information technology sector, employs over 3,500 experts who use the cluster as a unique platform for cooperation and lobbying. Together with them, the PKV is working on promoting the potential that Vojvodina as a region has in this field.
What are the Chamber's key activities on promoting the Province's potential abroad? — In the field of international cooperation, the PKV has formalized cooperation with all relevant chambers of commerce in the region - Hungary, Bosnia and Herzegovina, Montenegro, Romania, France, Turkey, and Slovenia - in order to jointly promote the development of trade and economic activities by organizing reciprocal working and study visits by economic delegations, within the framework of specialized trade fairs, expert meetings and B2B meetings. We need to help market-oriented companies and small and medium enterprises to expand their business, increase export capacities, create new jobs and employ people. Based on the devised action plans, we have assembled a number of foreign business people in Vojvodina, who, together with the Provincial Government and other partners, have presented the potentials of the Vojvodina economy. We have also successfully organized business forums in Budapest, Vienna, Banja Luka, Podgorica, Szeged and Timisoara, and we took the representatives of the metal processing companies to B2B meetings in Timisoara and Arad, Romania. Following the extension of the Free Trade Agreement between Serbia and Turkey, we are now also focusing on institutionalizing cooperation with the Turkish chambers of commerce. In which way does the Chamber facilitate the dialogue between local and foreign business people with public policy makers? — Both state and provincial governments, as well as the entire chamber system, have done a lot on improving the economic environment. It is crucial that all entities present in the market see for themselves the high degree of coordination between all regulatory bodies at all levels. This is only possible if opinions of business people are really heard in drafting certain regulations and laws. This is where the PKV plays the key role, namely in further improving the dialogue between business people and policy makers.
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INTERVIEW
VOJVODINA IS A LEADER IN ATTRACTING FDI
IVAN ĐOKOVIĆ Vice-President of the Provincial Government and Provincial Secretary for Economy and Tourism
Vojvodina took seventh place in the category Strategy for Attracting Foreign Investments in “fDi Intelligence” magazine, regarding the conditions for doing business in competition of 148 European regions, which is a great recognition for the Provincial Government and provincial funds and agencies 26
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urrently, there are around 340 foreign companies doing business in Vojvodina, with total investments of around €8.5 billion, employing around 70,000 people. If we consider the height of investments as a criterion, the most significant investors are companies from Germany with more than one billion euro of investments in average, then companies from France and Italy with 800 million each, Belgium and Slovenia with 600 million each, Greece with 470 million, Russia 430 million, USA 370 million, and Hungary and Croatia with around 280 million euro. Investments of Austrian companies, for example, are somewhat lower, around 200 million euro, but if we consider the number of employees in these companies as a criterion, Austria takes 7th place in that case. Also, in terms of structure, different types of investments are present – from purely Greenfield to combined Greenfield, i.e. reinvestments,
brownfield, privatization investments, to investment model of strategic partnership.
What are Vojvodina’s main trump cards for attracting investments, which imply higher added value and export strengthening? — Vojvodina is at the very border with EU, preferentially tied to the market of the Russian Federation, so foreign companies find distribution of products to the region profitable, with quick access to global market. It is well connected by traffic roads, road, railway and water transfers, it offers several decades of industrial tradition with infrastructural heritage, primarily structures, and high percentage of qualified and highly qualified workforce. Also, major steps were made on the level of the province and of the entire Serbia to create the best possible conditions for doing business and inflow of investments.
All the official indicators clearly speak of participation of Vojvodina’s economy in foreign trade exchange of the Republic of Serbia, which amounted to around €34 billion in 2016, for example, which is 8 percent more than the year before, and such trends have continued in the future years. Even though it is not completely visible because of the method for conducting customs statistics per exporter’s, i.e. importer’s seat, Vojvodina is the biggest exporter compared to other regions in the country. Also, the level of coverage of import by export is significantly higher compared to other regions and the Republic’s average.
How do you rate Vojvodina’s potentials to take part in Chinese One belt, One Road Initiative? — Vojvodina is a sister province with three Chinese provinces, and there are already a number of positive aspects in terms of economic, trade and cultural cooperation, but also cooperation within the sphere of infrastructural and energy projects. I am a politician of a socialist mental code, in public actions I am left-wing oriented, therefore I think that on a political, geostrategic and ideological level, the One Belt, One Path project is extremely important, as well as the promotion of the principle of third pillar of cultural and civilizational heritage. I am satisfied with the fact that Serbia has been recognized as one of the key strategic countries within the project. Let me remind you that a Secretariat
of the Higher Education Institutions Consortium was established at the Novi Sad University, within the 16+1 Mechanism with the goal to strengthen the capacities of higher education institutions for development of innovations, research work and transfer of knowledge and technologies to industry, where it would be very useful also to form a Centre for In-
CHANCE
ON A POLITICAL, GEOSTRATEGIC AND IDEOLOGICAL LEVEL, THE ONE BELT, ONE ROAD PROJECT IS EXTREMELY IMPORTANT. I RECOGNIZE IN IT A CHANCE FOR ENCOURAGING ENTREPRENEURSHIP AND TECHNOLOGICAL DEVELOPMENT IN VOJVODINA novation Development and Technological Development within the China – CIEZ mechanism. As VP of Provincial Government and Secretary for Economy and Tourism, I recognize a chance in this project for model of development of IT sector, innovations,
entrepreneurship inciting and technological development in Vojvodina to get a new momentum, since China is one of the countries that came the furthest in the process of digitalization of their industry.
How does the Provincial Government target new investors, and which strategic goals it wants to meet when it comes to the structure of foreign investments? — Allow me to make a joke through inversion, investors are targeting us. A transparent, predictable and stable environment is the most important for attracting investors, and improvement of business climate and promotion of Vojvodina as a good place to invest is the job of provincial administration, which makes it job as well. Image is created this way. The information from a survey conducted by audit and consultant company Ernst & Young that the number of foreign investment projects in Serbia has increased by 157 percent in Serbia, which is the biggest growth compared to other countries included in this survey, shows that the investment environment has been significantly improved. This allowed Serbia to find itself for the first time among the top fifteen European countries regarding the number of foreign investments. With €2.6 billion FDIs and without major privatizations in 2017, Serbia is first ranked in the region when it comes to foreign investments, therefore their share in GDP has been increased to 6.6%. In that aspect, Vojvodina is ahead of all other regions and above Serbia’s average. INVEST IN
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Serbia and AP Vojvodina took a significant place on the global wine map, which is confirmed by gold and silver Decanter medals from the expos in London, Vienna and other prestigious international competitions. Balneological potential of the territory of AP Vojvodina is remarkable, which was shown by the study of the Faculty of Mining and Geology of the University in Belgrade prepared in cooperation with the Provincial Secretariat for Economy and Tourism. We recognized fifty resources, i.e. potentials, which are suitable for further investments and for exit to the market, considering that wellness and spa industry generate significant profit, while such contents attract domestic and foreign tourists increasingly more.
How much has Vojvodina’s positioning on the global investors map affected the inflow of guests from abroad? — In the past six years, of all the regions, precisely the region of Vojvodina posted the biggest growth rate, both in visits (total growth of around 55%) and in overnight stays (total growth of around 49%). Businessmen from all the meridians, experts, bankers, officials from countries whose companies invest in Vojvodina, enjoy Vojvodinian tourism. In terms of congressional tourism, receptive areas are major cities, as well as medium-size cities, which is encouraging, because topics of congressional tourism are mainly industry, IT technologies, medicine and pharmacy, finance, gastronomy, tobacco industry, tourism and traffic, and precisely the users of these tourist services, as a rule, come from targets groups with higher education and above-average payment capacity. According to statistics from July 2018, the number of tourist arrivals is higher by 11.7% compared to previous year, while the number of overnight stays is higher by 10.5%. Only the share of tourism in total GDP of the Republic of Serbia is 13 percent higher, considering that this branch of economy is posting a constant growth and development. In which ways does Provincial Government incite long-term development of tourism, and which segments does it target (spa tourism, youth tourism, archaeological, etc.)? — On a strategic level, along with funds
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from international funds, republic and provincial budget, we already marked Vojvodina’s tourism as one of the leading branches of economy. In 2017, my Secretariat alone supported the development of tourism through support for business entities, primarily micro and small companies and entrepreneurs, local governments and civic associations. Subsidies
INVESTMENTS
SERBIA IS FIRST RANKED IN THE REGION WHEN IT COMES TO FOREIGN INVESTMENTS, THEREFORE THEIR SHARE IN GDP HAS BEEN INCREASED TO 6.6%. IN THAT ASPECT, VOJVODINA IS AHEAD OF ALL OTHER REGIONS AND ABOVE SERBIA’S AVERAGE for public sector were used for development of planning and design documentation, tourist infrastructure. Our goal in the future is the expansion of four priorities: Fruška Gora National Park, cycle and nautical tourism, corridor along the rivers of Danube and Tisza, and rural tourism. We need to point out that in less than two decades, viticulture and enology in
What will the election of Novi Sad as the European Capital of Culture in 2020 mean for the promotion of Vojvodina? — Novi Sad is a city of Central European cultural tradition – architectural, sacral, musical, literary, a toponym for renaissance-lice and baroque-like “mentality”, just like the entire Vojvodina. At the same time, this is a modern city, but also a toponym of post-modernism embodied in the Exit Festival. As a century-long gravitation area of Vojvodina, it attracted “migrants” from the entire Serbia and from former Yugoslav republics, therefore the city’s coordination system is so rich and diverse that is labelled the most open city. E pluribus unum (in English Unity in Diversity) is the unofficial motto of Novi Sad and of the entire Vojvodina. This project of national importance will provide a new momentum for urban cultural vitality and will improve the international image and tourist offer of Vojvodina. I see this project as a chance for Novi Sad, AP Vojvodina and the Republic of Serbia to restore cultural and civilizational roads, and to build new bridges in culture on a regional level, with our neighbours and countries of the European Union. To what extent could tourism potentially be an engine for creating new work places? — The latest data show that the tourist sector in Serbia is participating in total employment with around 6 percent, and around 70,000 workers are employed in the field of accommodation and food services in our country.
C O R P O R AT E
WE ARE A LONG TERM INVESTOR Al Rawafed Serbia goal is to increase and improve agricultural performance through modernization of irrigation, mechanization technology improvement and expanding area under organic production, and applying concepts and methods that will improve agricultural development
DRAGAN CRNJANSKI Director, Al Rawafed Srbija
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l Rawafed Serbia was established in 2014 as a long-term agreement between the governments of the United Arab Emirates and the Republic of Serbia. Al Rawafed Serbia successfully positioned itsef on the Serbian market by applying best farming practices in the agricultural business. Structured to upgrade and accelerate the progress of the country’s agricultural sector by implementing advanced high-tech irrigation systems, silos and storage facilities, modern mechanization technologies in combination with the latest agricultural technologies and the local expertise Al Rawafed Serbia delivers a high quality products that meet the quality standards, maintain customer satisfaction and loyalty and win new customers both for domestic and foreign markets. Through balanced development strategy and agricultural investment (amounting to more than 50 million euros) the long-term measures and production of Al Rawafed Serbia is applied on over 10,000 hectares of fertile land in the Vojvodina,
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in the area of Bačka, or more precisely: Sivac, Nova Gajdobra, Sonta, Karađorđevo and Bač.
How was this year for you? Are you satisfied with the harvest and overall business? — The harvest of canola and cereal crops such as barley and wheat was completed this year. Changes in climate produced long-lasting precipitation during the harvest of these crops that consequently had as a result higher losses in yields. As harvest of soybean and corn is
ORGANIC
PICH QUALITY SOIL IN VOJVODINA OPENS THE POSSIBILITY FOR A DYNAMIC PROCESS OF GROWTH AND DEVELOPMENT OF ORGANIC FARMING
underway we hope that the late season weather is favorable and yields bigger than expected. At the time we are focused on trading and new-crop weather as we are already looking ahead to the next year.
How far your plans have expanded for building an irrigation system? — One of the largest and most important investments of this company in Vojvodina area is the irrigation project that supports the construction of new and the rehabilitation of existing systems (pumping stations, canals, pipelines, linear irrigation machines and pivots). It is planned that irrigation systems cover approximately sixty percent of the land being cultivated (about 6000 ha). The best equipment available on the market has been obtained, and total investment of the irrigation system is around 22 million euros. So far, 13 million euros has been invested, and it is expected that the completion of all works will be carried out during the next year. It was not saved on quality, and the results will be shown in a couple of seasons, when we will have exact data.
Al Rawafed Serbia will also apply fertigation technology through the irrigation project, ie the application of foliar fertilization through the same system, which will simultaneously reduce operating costs and increase the efficiency of applied fertilizers.
Have you formed on a permanent basis your mechanization park and carried through the production cycle? — Al Rawafed Serbia has invested 8 million euros in modern machinery of renowned agricultural producers (John Deere, Claas, Hardi, Kongskilde, Monosem). In all operationally important machines, the Trimble navigation system is installed, which in addition to its exceptional precision in performing operations. Our goal is to continuously apply new technology and to train our employees on how to use more modern agricultural mechanization that will enable efficiency and affect the improvement of production. In near future we plan to complement our massive mechanization park with a part of machinery for seed production of corn and the machinery for vegetable processing. Given that the soil in Vojvodina is much less demanding than in the Emirates, and more fertile, we assume that at home you have focused on numerous innovations in your work. What innovations do you plan to apply in Serbia and do you expect the results to be even better? — In the past 4 years on plots that we cultivate is applied a minimum tillage system in a crop rotation (corn, soybean, wheat, canola...) that rebuilds the soil structure, activates soil natural fertility, improves
QUALITY
AL RAWAFED SERBIA DELIVERS A HIGH QUALITY PRODUCTS THAT MEET THE QUALITY STANDARDS, MAINTAIN CUSTOMER SATISFACTION AND LOYALTY AND WIN NEW CUSTOMERS the drainage of soil, reduces erosion and makes possible to realize sowing in the optimal period. By continuously applying minimum tillage system as the result we have a more productive soil that is better protected against wind, water
erosion, spreading of weeds and viruses is reduced and the requirements for the fuel are less when preparing the germination bed. To improve the processes of various agro operations we plan to use less intensive form of production technologies as no-till, strip-till and cover-crop operation. Also we use satellite data on crop condition at all stages of development through Trimble navigation system.
Are you planning new land acquisitions and capacity expansion? — In addition to conventional farming, as a result of market demands for more nutritious food that contains no pesticide residues, rich quality soil in Vojvodina opens the possibility for a dynamic process of growth and development of organic farming. Since May 2017, this company has been a certified organic producer with 128 hectares of organic production in Nova Gajdobra. The expansion of this project is expected by the year 2025 where our long-term prospects of organic farming will be realized on 400 hectares of land. Among the crops that we grow, we have been mainly focused on the field crops, however, our future plan is to prepare organic growing area for the vegetable production. Our general goal is to increase and improve agricultural performance through modernization of irrigation, mechanization technology improvement, improving road infrastructure, building of storage capacities, expanding area under organic production, building greenhouses and applying concepts and methods that will improve agricultural development. INVEST IN
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C O R P O R AT E
CENTURY LONG EXPERIENCE Development of corporate values and user satisfaction is our undisputed goal.
MILAN NARANČIĆ Owner, NIVA DOO, Žabalj
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IVA DOO factory is located near Novi Sad, in the settlement of Žabalj. Production halls and administrative building cover 7,200 m² of space, on the area of 2.8 ha. They own 18,000 m² of warehouse and production space on 6.5 ha in the centre of Novi Sad’s industrial zone. NIVA DOO is 100% owner of all property, and it’s also 100% owner of the land where the buildings are located. Production and warehouse halls are designed and conceived so that production capacities can be expanded in the easiest way possible, not only for the range of products manufactured, but it also includes introduction of completely new production lines.
Thanks to which factors did Niva manage to maintain its market position on the market for almost an entire century? — NIVA (Novosadska Industrija Vate Novi Sad Cotton Industry) is a company engaged in the industrial processing of cotton with the aim of producing high quality articles that are used both in medicine and for general consumption. The Company was established in 1920 under the name Ikarus. NIVA doo Žabalj has a long business tradition, and it has operated under this name since 1959. The Company was privatized in June 2007 and we are now operating as a 100% private company. For 98 years we have been building the paths of success, all thanks to knowledge, perennial experience that is passed down through generations, and primari-
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ly with hard work that all employees are investing. Thanks to the quality of our products, constant investment in equipment and advanced technology, as well as certification of production processes and products, we managed to maintain a leading position on the market, and to position ourselves as a regional leader in production of high-quality certified cotton wool products. Development of corporate values and customer satisfaction is our undisputed goal. Just by the mere fact that we are manufacturing and selling medical supplies, we are obliged to demonstrate utmost social responsibili-
PA R T N E R S
ASIDE FROM DOMESTIC PARTNERS WE MANUFACTURE A BRAND FOR, WE ALSO MANUFACTURE FOR PARTNERS ABROAD, IN BULGARIA, CZECH, SLOVAKIA AND CROATIA
ty. In Serbia, we are now synonymous for quality that results in high market competition of our products.
What is Niva’s position on the market of medical products? — NIVA currently covers 99% of local population in the FMCG segment, through representation of its brand and its groups of products, as well as PL brands we produce for our partners. With installed production capacities, we can supply a market of over 30 million residents. On the market of Serbia, presence of our products compared to competition can be displayed as follows: • On the market of consumer goods, our coverage is 91.2%, in two ways: representation of our brand with cca 35.7% and PL (private label) we manufacture for partners with 55.5% • On the drug wholesale market (sale through market channel of pharmacies) we have absolute coverage of 96% • In the channel of sale through tenders in hospital institutions, we cover 70% How did you reach a decision to start manufacturing a brand? — By following trends and demands of
the market, NIVA Company reached a decision to offer production of the complete range of products to interested clients as a private label. With several decades of tradition and experience in production and with production capacities, we are a safe and reliable partner in the manufacture of private labels (PL). Private labels post a record-breaking growth of share on the market of the most developed countries, somewhere even over 40%. Even though market share of this type of products is slightly below 15% in Serbia, we noticed that domestic consumers follow this trend as well, and with the consolidation of retail chains, this trend will become more present in our country. Private label is a group of products that can be purchased under the name of the retail chain that vouches for their quality, and in the world and in Serbia as well, growth in share of products labelled this way in total sales is recorded. According to a survey, market share of private labels reached record-breaking values in nine European countries, and for the first time it amounts to 30% or more in 17 out of 20 countries, while their share goes over 40% in the United Kingdom, Germany, Austria, Belgium, Switzerland, Spain and Portugal. This decision wasn’t a particular challenge for us, because we have our own brand that is recognizable for decades on the market of consumer goods – Zig Zag cotton wool and NIVA Extra maternity pads, and when it comes to commercial medical supplies, we offer sterile compresses and gauzes of various dimensions. Aside from domestic partners we manufacture a brand for, we also manufacture for partners abroad, in Bulgaria, Czech, Slovakia and Croatia. In March 2018, we took part in the 5th
FIRST AID KITS – wall first aid kits, portable first aid kits and first aid kits for cars. COSMETICS PRODUCTS – cotton, postpartum sanitary pads, cosmetic pads, cotton swabs. We expand our portfolio month after month, all in accordance with our existing offer. Our latest investment was the procurement of a steam sterilizer we use to sterilize not only our products, but we will be able to provide a service of product sterilization for domestic and for foreign partners.
POLICY
OUR POLICY IS: “WE ARE A TEAM FOR PLAYING ON THE LONG RUN” International Personal Label Show (IPLS) in Moscow, Russia. Our plan is to appear as exhibitors in all the shows of this type in the future period in order to offer our knowledge and quality to foreign partners.
Which products do you plan to offer to expand your current portfolio? — We can divide our product portfolio into two groups: • Cotton wool products • Gauze products Our products are divided into: MEDICAL SUPPLIES (WOUND CARE) – all products of gauze (sterile and non-sterile compresses various sizes), bandages (calico bandages and elastic bandages) and medical watts AUXILIARY MEDICAL SUPPLIES – medical compression stockings, elastic wool belt.
Which certificates do you have at your disposal? — Our company has harmonized its business with the essential requirements of European Directives ISO 9001: 2015; ISO 13485: 2012 and EC 42: 1993 and the norms of national legislation regulating the field of medical devices, and in this way we have ensured that the product we place on the market is biocompatible and safe for the users. Certification of production has increased the already high quality of our products, and thus has allowed us to expand production for our partners abroad as well. Are you satisfied with business results in 2018? — Company’s operations are constantly on the rise. We affect this growth by expanding our capacities, by expanding our production portfolio and finding new markets. Aside from Serbian market, we do business on regional markets as well, on the territory of Montenegro, Macedonia, Bosnia Herzegovina, Bulgaria, Slovakia and Czech. Company’s strategy to control development and growth leads to the long-term goal of success. Our policy is: “We are a team for playing on the long run”. Shortterm success without a fundamental establishment is not our motto, because the quality of our products shows otherwise. Company’s corporate responsibility policy rests on ethical operations and creation of all the necessary conditions to increase satisfaction of employees, of our business partners, and of the wider social community as well.
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C O R P O R AT E
DRAGOLJUB ZBILJIĆ Director of Energotehnika Južna Bačka
ALWAYS STRIVING FOR BETTER AND HIGHER E Compared with the same period in the previous business year, our company is forecasting revenue growth of over 20% this year, which it is an absolute record for us. We have set clear goals that imply further growth in every aspect
nergotehnika Južna Bačka is one of the few top companies of the Serbian economy and the leader in the energy sector in Serbia. The company is currently implementing almost all key energy projects in Serbia. We are talking to the director of Energotehnika Južna Bačka, Dragoljub Zbiljić about the importance of energy for the country's economic development, the company's successes and results and the importance of social responsibility towards own staff and the community.
Are you satisfied with the company's results in 2018 so far? — Compared with the same period in the previous business year, our company is forecasting revenue growth of over 20% this year, which it is an absolute record for us. This information is certainly en-
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couraging to us us, but it is our motto to always strive for better and higher, and set clear goals that imply further growth in every aspect. There are two most important facts that make us optimistic about the future. The first is that the implementation of
GDP
IN THE FUTURE, ENERGY WILL BE THE DRIVING FORCE BEHIND SERBIA'S DEVELOPMENT AND WILL SIGNIFICANTLY CONTRIBUTE TO THE GROWTH OF THE DOMESTIC GDP
our long-term business plan and business model proved to be successful in terms of market expansion, increased efficiency, increased customer satisfaction, etc. The second fact relates to the existence of a truly favourable business environment, created in the last few years, as well as the existing political and legal stability. We are confident that this will continue in the coming period, and we are indeed optimistic about the future results.
How important is the energy sector as a development component in Serbia? Which key projects are you participating in? — It is a well-known fact that the Republic of Serbia has assumed certain obligations in order to align the domestic energy policy with the EU regulations. Also, the energy sector is changing rapidly in both technological and organizational terms, while the basic demand for energy is constantly increasing. Bearing in mind this fact, I am confident that, in the future, energy will be the driving force behind Serbia's development and will significantly contribute to the growth of the domestic GDP in a substantial percentage. The proof for these claims lies in the announced projects in the Balkans worth over 80 billion euro, that relate to the construction of additional energy capacities, as well as new natural gas supply corridors. I can openly say that we are currently engaged in the implementation of almost all key energy projects in Serbia. I would like to underline the construction of wind farms in Dolovo and Kovačica, construction of belt conveyors in Kolubara, design and construction of 10MW cogeneration plant in Voždovac under the framework of KFW IV programme, and others. How do you manage to keep such quality staff in the company? To what extent do work practices, that your organize, promote young workers? — As a businessman, I must point out the worrying fact that our country already faces a lack of skilled and qualified labour force. Taking into account the anticipated economic trends, as well as inevitable demographic changes in the coming period, I believe that this problem will be even more pronounced in the future. We are trying to approach this problem systematically and in the long run, because it is well known that our employees are our biggest capital and the most impor-
C A PA C I T I E S
IT IS MY HONEST AND BIG DESIRE FOR SERBIA'S DEVELOPMENTAL CAPACITIES TO BE PROMOTED EVERYWHERE AND AT ALL TIMES tant business resource. In the past few years, together with faculties and vocational schools, we have developed a series of programmes that involve an active cooperation and a greater participation of the economic component in the education of young people. Also, it has become our regular practice to provide scholarships to a significant number of pupils and students each year to help develop and educate talented people so that, one day, they can achieve top professional results.
You have recently invested in spa tourism. What are your ambitions in this segment? — It is my honest and big desire for Serbia's developmental capacities to be promoted everywhere and at all times. I believe that all of us, as in investors, have an obligation to use domestic resources completely and only then turn to foreign investments. I see Vrnjačka Banja as a first category tourist destination of and when I received information that the Fontana Hotel was on sale, I immediately gave my closest associates the task of drafting a business plan. As a result of having a serious planning ap-
proach, making the decision to buy the hotel was easy and at the auction held in April 2017, I became the owner of this hotel. I am satisfied with the welcome that I received from people in Vrnjačka Banja, as well as from the local self-government, and, as an investo, I am very pleased. We invested just over 10 million euro in the renovation of this 4-star hotel. Together with other renovated hotels in Vrnjačka Banja, as well as infrastructure investments in the city, we represent the basis for the arrival of a number of tourists who are bound to have a nice stay here.
You are also the president of the Vojvodina Volleyball Club. Considering that a new competition season is about to start, what are your ambitions? — Volleyball Club Vojvodina is definitely an important club in Europe in terms of its organization, infrastructure and players. We did a very important job during the transfer period and saved the backbone of the team while strengthening the team in the places it needed. So, with a lot of positive energy and in a very good mood, we are waiting for September 29th and the new season to start. The expectations are great, first of all in European competitions because everyone in the club wants to compete in this year's Champions League. The road will not be easy because we play 3 rounds of qualifications but we believe in ourselves and we are looking forward to the competition. When it comes to competitions in Serbia, and with all due respect to all our competitors, we expect to win all three trophies. INVEST IN
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C O R P O R AT E
THE RIGHT ADDRESS FOR ALL LEGAL ISSUES Dr NEMANJA ALEKSIĆ Lawyer, Aleksić and Associates Law Office Novi Sad
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he ALEKSIĆ Law Firm is one of the leaders in Serbia’s law practice, and the only company of this kind in Novi Sad and Vojvodina. We offer 24/7 service to our clients owing to the implementation of the corporate housekeeping model – the firm states.
Which type of your services do foreign investors already operating in the country ask for the most often? — Most often, foreign investors ask for services in the field of corporate law, where counselling and representation in the process of establishment and management of companies, banks, insurance companies, leasing companies, factoring companies are in demand the most, including mergers and acquisitions of companies. Also, a significant number of queries refers to copyright and industrial property (protection of stamps, patents), then to the procedure of public procurements and privatization of large state-owned enterprises, including consultancy services and representation before the state bodies. The segment that is becoming increasingly more significant is foreign investments and public-private partner-
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We offer comprehensive legal aid and legal protection for our clients in all branches of the law that a modern global company needs in a dynamic, developing market such as Serbia ships, especially investments in energy and infrastructural facilities.
Which countries do your key international clients come from? — Our key international clients come from mostly EU countries, primarily Germany, Italy, Austria and France, but we also have major clients from China and Russia, as well as from countries of the Middle East. These are primarily large foreign banks, i.e. banks that are members of banking groups from the listed countries. We also represent insurance companies, as well as investment funds, industrial enterprises, etc.
C O R P O R AT E L AW
A TEAM OF 193 PEOPLE TENDS TO THE NEEDS OF OUR BUSINESS CLIENTS WITH 40 OF THEM BEING ATTORNEYS, ASSOCIATES AND SPECIAL ADVISORS SPECIALIZED IN THE FIELD OF CORPORATE LAW
IVANA MARAŠ Attorney at law
What are the advantages of using the services of your law firm? What makes your firm stand out from the rest of the competition? — The ALEKSIĆ Law Firm offers full 24/7 service to our clients owing to the implementation of the corporate housekeeping model, namely providing comprehensive legal aid and legal protection in all the branches of the law that a modern global company needs in a dynamic developing market such as Serbia. Our firm is one of the leaders in Serbia’s law practice, and the only company of this kind in Novi Sad and Vojvodina. We offer representation in each segment of law, with special emphasis placed on operations of large corporate subjects, such as banks, insurance companies, foreign investors, etc. An impressive number – 193 employees – forms a team of young ambitious attorneys and specialized advisors who assist the lawyers and the technical staff. The office also has a corporate protection department, i.e. corporate security department, led by the Corporate Security Director, and the staff who deal exclusively in physical and technical protection of our clients and our firm. The firm
also has the switchboard with twentyfour-hour IT support, modern computer system network, with laptop for each employee, backup software base of all substantive and procedural legislations, and one of the most advanced software programmes, which ensures professional comfort and good working conditions for each employee. Aside from this, it is directly connected to the alarm system, fire alarm and remote security control system. In that sense, the office is specialized in the provision of high-quality services and the desired level of data protection.
In your opinion, which areas of law should be improved based on the experiences that your clients had? — We see the need for further improvement of legal framework and practice primarily in continuing and intensifying the harmonization of the regulation in the Republic of Serbia with the EU regulation, through opening of new chapters in the fields like freedom of movement of goods, workers and capital, the right of establishment and freedom of service provision, public procurements, competition policy, financial services, energy, taxes, as well as financial control. In these listed areas, it is necessary to facilitate access to domestic market and investment of capital for the investors from EU, by amending the existing and by adopting new regulations, including the acquisition of right to own, primarily agricultural land and buildings, with the guarantee of legal security of their investments and provision of fast and efficient legal protection in proceedings before the courts, administration bodies and other state bodies of the Republic of Serbia, territorial autonomies or local governments. In practice, the degree of piracy and counterfeited goods in the market has to be further diminished.
IN PRACTICE, THE DEGREE OF PIRACY AND COUNTERFEITED GOODS IN THE MARKET HAS TO BE FURTHER DIMINISHED
From your perspective, what would be your advice for attracting foreign investors, and in which segments domestic institutions improve and modernize? — The arrival of large foreign companies and their business practices have certainly had a positive effect on improvement and modernization of the work done by the domestic institutions. One of the incentive measures are state subsidies for creation of new jobs. However, more needs to be done in this segment
to attract even more foreign investors, and this entails having a more efficient judiciary, prevention of corruption, and removal of administrative barriers for investments. Even though foreign companies which have invested here are legally treated the same as the domestic companies, foreign investors are not yet fully equal to their domestic counterparts in some fields, which is causing problems for them. Also, a faster implementation of the
DIMINISHED
idea of a regional economic market, a comprehensive process of regional stabilization and the progress in the process of Euro-integrations, are all required.
Which countries will most likely increase their investments in Serbia and Vojvodina in the next 5 years? — We think that, over the next 5 years, investments from the EU countries in Serbia will certainly increase, primarily investments from Germany, Italy, Austria and France, but also investments from China and Russia, as well as from countries of the Middle East region. Such expectations are based on the existing trends. Aside from financial and industrial sector, investment activities in the construction of motorways and other infrastructural and energy facilities are in progress. Great possibilities exist for investments in renewable energy sources, i.e. the use of water, wind and solar energy. INVEST IN
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CHARGING AHEAD
DAVOR MILIĆEVIĆ Beohemija d.o.o.
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ollowing the takeover, the Beohemija Company has been recording only positive business results. We are talking to the company’s proprietor, Mr. Davor Milićević about the business results achieved in the first year of operations. “For us, as a company, it is extremely important that we have stabilized the business and recorded the expected revenue growth in both market segments equally - domestic and export - thus creating a good basis for sustainable business," says Mr. Milićević and adds: "In addition to domestic sales, which account for 45% of the total sales, Beohemija sells its products also in Slovenia, Croatia, Bosnia and Herzegovina, Montenegro, Macedonia, Albania, Armenia, Bulgaria, Sweden, Canada, and Australia. Our main goal is to increase regional sales, to preserve the current market position in Serbia and to strengthen the KA segment ". According to Beohemija’s proprietor, the aforementioned sales increase was due to the company continuously pro-
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Thanks to the investments in the development and expansion of the portfolio and the launch of the new premium line of liquid and powdered detergents, which stands should to shoulder to the world's biggest stakeholders in the FMCG industry, Beohemija expects the continuation of good business results
ducing high quality products, having such a strong brand as DUEL which market position was additionally improved by perpetual marketing activities, expanding its sales network, maintaining good partnership relations with distributors and suppliers, and investing in improving these relations. Beohemija d.o.o. currently has the biggest and the most modern liquid and power detergents factory of this kind in Southeastern Europe. The annual capacity of Beohemija’s factory currently stands at 100,000 tons of powder detergents and 55 million litres of liquid detergents. “We are at the very top in terms of technology that we use, and our production uses the latest Japanese / Dutch technology which ensures that we can quickly satisfy very diverse and complex market demands”, explains Mr. Milićević and adds:” The production process is automated, and monitored from the control room where computers regulate and supervise each stage of production. It is of utmost importance that our products have identical recipes and quality for all markets. It is our top technology, experienced staff, a long-standing relationship with the most renowned world producers of raw materials and independent external control conducted by the Institute for General and Physical Chemistry that guarantee this. We are particularly proud of our own development department that devises the products that we manufacture. " Beohemija is proud of the management’s decision to provide additional investments in the development, compactization, portfolio expansion, and above all, the launch of a new premium line of liquid and powder detergents, which stands should to shoulder to the world's biggest stakeholders in the FMCG industry.
BIGGEST
BEOHEMIJA D.O.O. CURRENTLY HAS THE BIGGEST AND THE MOST MODERN LIQUID AND POWER DETERGENTS FACTORY OF THIS KIND IN SOUTHEASTERN EUROPE “In addition to compactization, raising the product quality and expanding our product portfolio, much has been done on making the company financially stable and promoting its corporate image. Also, I would like to point out that the company's biggest success is its employees. We have managed to select a team of top experts in all job positions, who in their own way, have opened the door to the premium segment, which is strategically important as a foundation of our sales
in the chemical industry market," Beohemija’s proprietor adds. “We have no intention of stopping. We will continue with investing in our people, their development, development of our products, and conquering new markets. This is the only way, combined with a lot of work and effort, to keep our company strong and stable as it is today,” Mr. Milićević points out. The new DUEL Gold, liquid and powder premium detergent, is manufactured using the state-of-the-art technology, top quality raw materials and fragrances. The DUEL Gold powder detergent for machine and hand wash perfectly removes stains and dirt even at lower temperatures. It is effective in removing stains of different origin and making clothes whiter. Produced with a special selection of components, and with its special active ingredients, it preserves the colours and texture of the fabric. It also makes clothes softer and prevents scale deposits on the coils of washing machine heaters. It comes in two fragrant notes Infinity Sense and Fresh + Clean. The DUEL Gold liquid detergent provides reliable and efficient washing, without you having to worrying about solubility when using a particular type of washing machine or dealing with different degrees of water hardness. It comes in the following varieties – Universal, suitable for all types of laundry while making it especially white, and Colour, suitable for coloured laundry, and uncompromising in removing stains while protecting colours and preventing the transfer of colors from one fabric to another. Following all the global trends and adhering to the highest production standards, for more than two decades, Beohemija has been striving to maintain continuity in successful business operations and market dominance.
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C O R P O R AT E
YOUTH MOST AT RISK
MILAN VLAISAVLJEVIĆ
With an earlier detection of an addiction problem and a treatment at an early stage, resolving this problem becomes incomparably more certain and more effective. Our goal is for our patients and their family members to become sufficiently strong and motivated to persevere in their intention to permanently tackle the addiction problem
Director of the Vita Hospital
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lcoholism is the most widespread form of addiction, with 10-15% of the adult population experiencing problems with excessive alcohol consumption - says Milan Vlaisavljevic, Director of the Vita Hospital. Special problems and risks are noted in alcohol abuse among young people, who can no longer imagine their nights out without consuming alcohol, often in a very dangerous competitive way, that is, consuming as many alcoholic beverages for as short a period of time as possible - warns Mr Vlaisavljevic. “In young people, we also see more often the cases of poly-toxicomania, that is, a situation where besides alcohol, which is usually the first addictive substance they try in their life, they also consume several different psychoactive substances, primarily marijuana, ecstasy and amphetamines, all with the wrong idea that these substances are not "real drugs" and that their consumption can be controlled. Also, in recent years, there has been a growing problem of pathological gambling, mainly in young men, ages 24-28, who come here for treatment at their family's insistence. Unfortunately, we also rarely see people of mature age seeking help from a doctor“ - says the director of the Vita Hospital.
At which stage of their illness do patients usually turn to you? — Many prejudices and misconceptions about addiction illnesses result in patients
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asking for professional help very late into their addiction. A drastic example is drug addiction, where on average, there is a whole decade of initial experimentation with drugs until a treatment is sought. This lost time allows the disease to progress and causes a number of negative consequences. In the first months, those who consume drugs often use manipula-
E X P E C TAT I O N S
IF THEY COME TO US, PATIENTS AND THEIR FAMILIES CAN EXPECT THAT WE ARE GOING TO FIGHT TOGETHER TO SOLVE THE PROBLEM OF ADDICTION tion to maintain the illusion of "normal" functioning. Later, when the family suspects they are using, the family usually enters this lengthy period of "running away and refusing to accept the reality". Even after facing the problem of stigmatization and the feeling of shame and helplessness, they will still spend a significant time period trying to resolve the problem in the privacy of their own home, or trying to tackle the problem in an inadequate way while resorting to self-help. As a rule of thumb, it is only
when all these attempts by the family and patient fail, that there is willingness to seek professional help.
What kind of expertise does your hospital have in this area? — Due to the complex nature of the addiction problem and significant individual differences, the solution requires a multidisciplinary team and individual approach to patients. A psychiatrist helms the team which also includes general practitioners, psychologists and special guidance counselors. Each of these experts looks at the problem and its implications from their professional point of view and contributes to devising and later implementing an integrated individual treatment plan for a particular patient. What can patients and their families, who decide to contact you, expect? — They can expect that we are going to fight together to solve the problem, because it is important to know that there are no quick solutions and no "magic tricks". Recovery from addiction has its own rules and requires time and dedication of both patients and their families. During this period, there will be numerous challenges, trials and tribulations. The goal of Vita's professional team is for our patients and their family members to become sufficiently strong and motivated to persevere in their intention to permanently tackle the addiction problem.
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C O R P O R AT E
WE NEED A SHIFT IN THE BUSINESS MODELS
MILAN ŠOLAJA CEO at Vojvodina ICT Cluster
Most of our export in IT is generated by outsourcing, the business model where the growth factor is the number of IT experts. We need to boost the other business model – providing IT products for global markets, because of this model’s ability to increase income per employee
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T
here is a lot of talk about digital transformation of the society and how far we came in practice when it comes to that? We spoke with Milan Šolaja, CEO at Vojvodina ICT Cluster about the possibilities of the Serbian society to reap the benefits of the technological changes, and the role of state and private companies, especially those organized in clusters, in achieving the goals set by the Digital Agenda and beyond. “Digital transformation in Serbia is at its beginning. Information technologies (IT) are at the center of public attention for past couple of years, and current government has put IT issues high on the agenda”, says Šolaja. “There are two aspects that are important; one is to support further growth of IT sector as a profitable vertical, and the other is to use its potential to transform Serbian economy and society. These are huge challenges and close cooperation of public and private sectors will be needed to address them. The best indicator of success in doing so will be investment in IT per capita rate, because it closely relates to the level of accepting modern
standards in doing business, advances in education, improvement of public services – and all other aspects of life and work in a country. Currently, that indicator is at €62 in Serbia, while the average in EU countries is €800. Obviously, there is a long way ahead of us, but since digital transformation is one of the publicly declared pillars of development in Serbia – we are optimistic”, says our interlocutor.
Does the Serbian Government consult the ICT sector when it comes to changes it is introducing in accordance with the Digital Agenda, and to what extent? — Current Serbian Government is actually the first one ever to be open for dialogue and ready to sit together with representatives of IT community and discuss future actions and goals. This kind of cooperation has already yielded results: coding has been introduced in the elementary schools as mandatory subject, and quotas for IT studies at the universities were increased – to name the few. This long-awaited change of attitude and readiness for cooperation will hopefully
become the norm and make achieving goals from Digital Agenda faster.
What will be achieved by introducing information technology as mandatory class in elementary schools and by organizing requalifications for IT sector? Is that the path to production of experts or medium and low paid operatives in ICT sector? — Coding in elementary schools is a longterm move. On one hand, teaching kids algorithmic thinking, systemic approach to problem solving, and using technologies in a creative way, will go far in terms of preparing new generations for jobs of the future. Regardless of whether these kids will work in IT or some other sector – they will need those skills. On the other hand, more kids will be drawn to IT studies and we do need more well-educated engineers, system architects, and creators of software products and services. This is important pre-requisite if we want to see more such products and services “Made in Serbia”. Pre-qualifications are on the other side of the educational spectrum and represent short-term activity. Short courses should not be seen as replacement for studies. These courses, no matter how good they are, can only help individuals with affinities for IT to gain very basic knowledge and skills that will enable them to start IT career as beginners. Getting a job after the short course is nothing more but a chance to start serious learning in real-life environment of IT companies. Only those who persevere and invest a lot of time and energy will, over the course of time, build a career. The rest will, along with anyone else not learning continually, be replaced by automated processes. That is why we need well-educated experts in STEM and IT – they will be cornerstone of the longterm development. Only creative jobs will survive future automation of work environment in all sectors, and particularly in IT. IT sector's export reached almost one billion euros, and there is talk that it might be three times higher if we consider the income that our IT experts make via banks in the region. In your opinion, what are the real numbers and what are the possible numbers, if domestic capacities would be cleverly utilized? What part of this number is something we would call a quality product or high added value service, and what represents mere outsourcing of work power?
— Serbian IT export is growing at staggering rate for the past two decades, averaging 25 to 30 percent year on year. All indicators show that at the end of 2018 we will have IT export in excess of one billion euros. These are real figures today, and they make less than 0.5% of the global IT market. Consequently, there is much room for further growth. Most of this export is generated by IT outsourcing, the business model where the growth factor is the number of IT experts. We need to boost the other business model – providing IT
GOALS
CURRENT SERBIAN GOVERNMENT IS THE FIRST ONE EVER TO BE OPEN FOR DIALOGUE AND READY TO SIT TOGETHER WITH REPRESENTATIVES OF IT COMMUNITY AND DISCUSS FUTURE ACTIONS AND GOALS
products for global markets, because of this model’s ability to increase income per employee. In a situation of lack of IT experts, this is the preferred model for rapid rise in exports. It also improves employment of professionals from other sectors and adds value to the fabric of the economy. IT outsourcing, however, should not be looked at as inferior business model – because it surely is not. Quite contrary, outsourcing has built our IT industry. Nowadays, seasoned outsourc-
ing companies have made a shift toward custom software development either for end client or in a niche markets – which increased their profits and market position. We need more outsourcers to follow the suit. If we had such development with outsourcing, plus rapid increase in provision of IT products for global markets – IT exports could reach several billion.
In your opinion, to what extent are members of ICT Cluster Vojvodina and other clusters in Serbia offsprings of a new economy in Serbia, based on knowhow? Are these lonely islands or communities of succesful enterprises? — One of the basic traits of IT business is that you either swim or sink, as it is not possible to lag behind global developments in IT – and survive. Thus, Serbian IT companies are on par with their counterparts anywhere in the world, proving that we do have knowledge-based businesses in Serbia. Those of them who join a cluster, demonstrate a higher level of social awareness. Their motives are to give something back to their communities and the country as a whole. The clusters are more than simple sum of their members – they are triple helix-based organizations gathering players from business, education and public sector, and are capable to deliver outputs that no single member could. Throughout Europe, clusters evolved from the role of catalysts of economic development toward creators of new value chains. In Serbia, clusters gained visibility in previous years, and we are proud to point out the leading role of Vojvodina ICT Cluster in such development. Where is the role of the state and its educational, labour, legal and tax policies, and where is the role of clusters like yours in encouragement of growth of Industry 4.0.? — The role of government is to set the rules and, having in mind the broader picture, draw a vision of what, why and where we need to be. It has a powerful toolkit comprising legal and tax legislation, as well as levers of power to drive the change. Clusters, on the other hand, are platforms for cooperation and excellent channels of two-way communication between sectors and government, armed with business knowledge and visions of their own. But only in cooperation and synergy, government and clusters will produce the best possible results. INVEST IN
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Photos: Foundation "Novi Sad 2021" / Vladimir Veličković
INTERVIEW
NEMANJA MILENKOVIĆ CEO, Foundation “Novi Sad 2021- European Capital of Culture”
Preparation of main programs in the year of the title is in progress. These programs will be most complex in terms of production, but they will also be most visible
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THE FUTURE IS NOW T hanks to our previous efforts, we managed to significantly internationalize the cultural scene, and positive trends are yet to come, compared to the initial 13% of international cooperation of Novi Sad’s organizations in culture, Nemanja Milenković, states in his interview.
What is the vision of Novi Sad 2021 Foundation and what type of concept is this? — The beginning of new. Now. A brief but precise vision of the Novi Sad 2021 Foundation, is defined through the 4 New Bridges idea, basing itself on the New 4P’s – People, Places, Processes and Programme. In accordance with that, the Foundation endeavours to be the bridge that connects artists, professionals in culture, organizations and institutions, locally and nationally, as well as internationally. From this arises its mission as well, which is to envision and
present programs that use culture as a catalyst for development of the city and allow Novi Sad to achieve its potential.
What result do you expect in the next year in terms of strengthening of cultural values in the capital of Vojvodina? — We are building the project on clear principles of innovation, sustainability and democracy by transforming prejudiced opinions during the 20th and at the beginning of the 21st century in a desire to bring a new energy to the city. Concept of the Novi Sad 2021 Project is based on four bridges with four main values/convictions. Diversity Is Our Strength – the conviction that we are affirming within Rainbow Bridge (Most Duga) project. We use the Synergy project (International Festival of the Language Minorities of the World) to try and point out to values and challenges of minority art in a multicultural context. Hope Bridge
(Most Nada), with its main project Kaleidoscope, is affirming the belief that Culture Is a Way of Life. We discover our wealth, material and non-material heritage with Love Bridge (Most Ljubavi). One of the major projects of this bridge is dedicated to Mileva Marić Einstein, our mathematician who gave immeasurable contribution to development of science on a global level. This bridge also gathers projects that promote the values of migration and peace, offering authentic experiences for Europe, along with the big project – Chapel of Peace. With values tied to the Freedom Bridge (Most Sloboda), we promote art for youth and youth art and culture, as well as modern artistic and creative industry. The Future Is Now.
The Kaleidoscope Project was spectacularly initiated in August. What does it bring and how did you design it? — Kaleidoscopeis a work of culture of togetherness and common creation of cultural space and program, used to present a unique image of Novi Sad’s diversity through different art forms. This is a new platform that connects artists, cultural institutions, NGOs, citizens with the audience and visitors of Novi Sad, with the intention to offer each one of them to be the designer of their own culture, but also its actor. In the last days of summer, Kaleidoscope of Culture presents a participation of more than 1000 artists in 600 programs on over 80 locations, and in cooperation with more than 60 organizations, bringing new and responsible contemplation of city’s program policy to Novi Sad, offering its citizens a unique image (a map of some sort) of cultural and cre-
ative programs in this period, transforming Novi Sad into an exciting destination, a new tourist brand, an unavoidable point on Europe’s cultural map...
Which activities and programmes are planned for the upcoming period? — Even though our strategic goal is “the year of the title”, we are constantly working to increase the capacities (human and spatial), never forgetting that we need to give the city a legacy that will be clearly visible even after 2021. Our goal is to in-
CONVICTION
DIVERSITY IS OUR STRENGTH – THE CONVICTION THAT WE ARE AFFIRMING WITHIN RAINBOW BRIDGE (MOST DUGA) crease the level of international cultural cooperation, to stimulate the processes of audience’s development and inclusion of citizens and expert public in the programming processes, we continue with artist mobility programs, education of cultural workers and citizens, and we also don’t forget about development of infrastructure. If we talk about current plans, we have to point out that Eđšeg Cultural Station will open on September 8, and after that, in October, reconstruction of Svilara, an extremely important edifice of industrial heritage, will be completed. In order to revive them and create interesting
program content that equally includes artists and the social community, we organized so-called focus groups last year, and we mapped and listened to organizations, artists and active citizens who live and create in the Almaš quarter. At the same time, we continue with adaptation of Petar Drapšin industrial complex, the so-called China Town (Kineska četvrt), one of the most capital infrastructural investments in culture on the territory of Novi Sad after construction of Serbian National Theatre. The plan is for it to become the most important centre of the European Capital of Culture project for cultural and creative work, and for some of the major projects tied to the year of the title to be carried out precisely at that place.
Do you have any plans for international cooperation in order to present Novi Sad as the 2021 European Capital of Culture? — The Foundation is constantly cooperating with more than 30 European capitals of culture, a large number of international cultural organizations and artists, it is a member of international networks and it is present in international cultural events across Europe. At the same time, our teams are conducting a series of measures aimed at encouraging cooperation between local and European cultural organizations including – measures to encourage mobility of representatives of the scene, events focused on construction of partnerships and incentive measures for applying to international funds. Without internationalization of the cultural scene, there can be no improvement of its capacities.
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Photo: TONS Archive
C O R P O R AT E
NOVI SAD IN BAČKA PLAINS Tourist Organisation of the City of Novi Sad
The material and nonmaterial cultural heritage created over the past centuries is the basis of the interactive network of scientific and cultural institutions
F
or three centuries now, Novi Sad/ Újvidék/Neusatz, which are all the names that the city has had during that period, has been the hub of comprehensive and diverse cultural heritage of many nationalities that live in the city. The material and non-material cultural heritage created over the past centuries is the basis of the interactive network of scientific and cultural institutions which makes Novi Sad a meeting point of different cultures and identities. The old town centre is an urban space comprised of Trg Slobode (the Liberty Square) and Zmaj Jovina and Dunavska
We recommend that you also try gastronomic specialties while in Novi Sad, accompanied by an excellent wine selection. Restaurants, serving national and international cuisine, and cafeterias are located on the stretch from Trg Slobode to the end of the Dunavska Street.
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streets. The Town Hall and the Name of Mary Roman Catholic Church dominate the square. The Town Hall was built in the neo-Renaissance style in 1894, and the the Name of Mary Roman Catholic parish Church between 1893 and 1895 in Neo-Gothic style. The Vojvodina Hotel, the oldest hotel in Novi Sad (1854), the building of Vojvodjanska Bank (1892), and close by, the building of the Roman Catholic parish office (1808), the Serbian Orthodox Church of the Assumption of the Virgin (1776) and the Synagogue (1909) are all situated in and around the square. Zmaj Jovina and Dunavska streets are pedestrian areas, criss-crossed by passages with plenty of shops, restaurants, pastry and craft shops. Some of the most important buildings in this zone are the Vladičanski Dvor (Bishop's Court) of the Bačka Diocesan, built in 1901 in the Serbian-Byzantine style. Next to it, there is the Serbian Orthodox Church of St. George (1902-1905). In front of the Court is a monument built in honour of doctor and poet Jovan Jovanović Zmaj (1833-1904). The Dunavska Street starts at the White Lion Building (first half of the 18th century) and the City Library. The street is the home to the Collection of Foreign Art, the Museum
Photo: Dragan Kurucic
Photo: Aleksandar Milutinović
of Vojvodina and the Museum of Contemporary Art of Vojvodina. The Dunavski Park, which is protected natural heritage, opened in the late 19th century, is right at the end of the Dunavska Street. Additional information:
MUSEUM OF VOJVODINA tel. +381 (0)21 420-566 www.muzejvojvodine.org.rs THE COLLECTION OF FOREIGN ART tel. +381 (0)21 451-239 www.museumns.rs
the skull of a wolly mammoth (Mammuthus Primigenius). Additional information:
GALLERY OF MATICA SRPSKA tel. +381 (0)21 48 99 000 www.galerijamaticesrpske.rs THE PAVLE BELJANSKI MEMORIAL COLLECTION tel. +381 (0)21 472-99-66 www.pavle-beljanski.museum
FINE ART GALLERY - ENDOWMENT COLLECTON OF RAJKO MAMUZIĆ tel. +381 (0)21 520 223 www.galerijamamuzic.org.rs INSTITUTE FOR NATURE CONSERVATION OF VOJVODINA PROVINCE tel. + 381 (0)21 4896 345 www.pzzp.rs SERBIAN NATIONAL THEATRE tel. + 381 (0)21 520 091 www.snp.org.rs
Photo: Dragan Kurucic
SPEND ANOTHER TWO OR THREE HOURS WANDERING THROUGH GALLERIES Novi Sad is a city of museums and galleries. The Gallery Square (Trg Galerija) is located in the city center, which is home to many galleries that have exhibits of national importance. The permanent exhibition at the the Gallery of Matica Srpska gives an insight into the Serbian creative arts from 18th and 19th century, while the Pavle Beljanski Memorial Collection exhibits the most significant works of Serbian and Yugoslav art created between the First and Second World War. The Fine Art Gallery / The Endowment Collection of Rajko Mamuzić presents the works of contemporary Serbian fine arts, created after the Second World War. In the evening, we recommend you to enjoy opera and ballet performances at the Serbian National Theatre. To the youngest visitors, we highly recommend a visit to the Natural Heritage Collection of the Institute for Nature Conservation where, among other valuable exhibits and collections, they can see
Photo: Aleksandar Milutinović
MUSEUM OF CONTEMPORARY ART OF VOJVODINA tel. +381 (0)21 526 634 www.msuv.org
To the youngest visitors, we highly recommend a visit to the Natural Heritage Collection of the Institute for Nature Conservation where, among other valuable exhibits and collections, they can see the skull of a woolly mammoth (Mammuthus Primigenius).
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F E S T I VA L
EXIT E FESTIVAL Aside from its double Best Major Festival title won at the European Festival Awards in 2013 and 2017, in 2007 EXIT was named the best European festival at the British European Awards
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XIT is a multiple award-winning international summer music festival. It takes place in Novi Sad, at the Petrovaradin Fortress, every year, and many consider this to be one of the best festival locations in the planet. More than 1,000 performers perform there on more than 40 stages and festival zones, while audience from over 70 countries worldwide visit the festival. Created as a student social movement in 2000, EXIT is today one of the few festivals in the world that grew from the desire for progress and striving towards freedom. In 2017, EXIT celebrated 20 years of its history of social activism, and topic of the festival that same year was EXIT Summer of Love, which reminded the world of the core values in the summer of 1967, when the revolutionary humanistic hippy movement that changed the world forever was created. In the year of it coming to age, 2018, EXIT celebrated personal freedom – EXIT Freedom was a global call for freedom from slaving to materialism, stereotypes and collective delusions that our civilization is
in, while EXIT Tribe 2019 will call all of its fans, as well as influencers worldwide, artists, athletes and other celebrities, numerous movements and organizations to unite with a clear goal – to protect the planet and the entire life on it! Only this year, nearly 200,000 people who passed through festival’s gates
20 YEARS
IN 2017, EXIT CELEBRATED 20 YEARS OF ITS HISTORY OF SOCIAL ACTIVISM during four nights and days, visited the EXIT Festival. Title of the European champion had a celebration worthy of this historical success. This year’s edition of the festival surpassed all previous ones thanks to new production of the main stage, whose audience was blown away already on the first night by the Migos, as well as American rocker LP,
EXIT, and the festival received awards from media magnates such as CNN, BBC, Time, The Guardian, The New York Times, Forbes, The Sun, Daily Mail, The Independent, Euronews, Lonely Planet and many others. Over the year, EXIT hosted some of the greatest music stars worldwide, such as Pet Shop Boys, Billy Idol, The Killers, Guns N' Roses, Franz Ferdinand, MotĂśrhead, Iggy Pop, David Guetta, Massive Attack, Liam Gallagher, Grace Jones, Faithless, Cypress Hill, Beastie Boys, Snoop Dogg,
CALL
EXIT FREEDOM WAS A GLOBAL CALL FOR FREEDOM FROM SLAVING TO MATERIALISM, STEREOTYPES AND COLLECTIVE DELUSIONS THAT OUR CIVILIZATION IS IN
Wu-Tang Clan, The Prodigy, Migos, Sex Pistols, Kraftwerk, Korn, Moby, Arctic Monkeys, Chemical Brothers, Faith No More, LCD Soundsystem, Nick Cave and The Bad Seeds, Pulp, Jamiroquai, M.I.A., Slayer, Ellie Goulding, Hardwell, Carl Cox,... Aside from the Novi Sad festival, EXIT team organized four more festivals in the region this year: Sea Dance Festival in Budva, Montenegro, Sea Star in Umag, Croatia, Festival84 in Jahorina in Bosnia Herzegovina and the Revolution Festival in Timisoara, Romania. Since November 2018, the big Exit family of festivals will get another member: No Sleep Festival (November 15-18), which was created from the internationally celebrated musical platform No Sleed, and with the support of popular domestic brand Guarana, and during the sleepless weekend and with non-stop 48-hour program on several locations in Belgrade, including Novi Hangar (New Hanger) in the Port of Belgrade, and night clubs Drugstore, 20/44 and various other cult places, some of the leading performers of global electronic music will perform, as well as upcoming stars with the support from regional and domestic scene.
and art-pop icon Fever Ray. Friday and Saturday were marked by concerts of the king of reggae, Ziggy Marley, rapper with a hit-making touch French Montana, a historic performance of Grace Jones, diva with an endless talent, and Ofenbach who were in a great mood, while record-breaking 55,000 people visited the final night’s performances of the greats, such as David Guetta, Martin Garrix, Alice Merton, Nina Kraviz, ZHU, Tale of Us and many other! Mts Dance Arena presented a new spectacular look this year as well, it kept full capacity throughout all four days until the very closing with techno icon Richie Hawtin, electronic genius Mace Plex, house king Solomun and the one and only and always different Nina Kraviz, who closed the entire EXIT for the second year in a row with loud ovations of audience from more than 70 countries of the world. Aside from its double Best Major Festival title won at the European Festival Awards in 2013 and 2017, in 2007 EXIT was named the best European festival at the UK Festival Awards. All the important global media reported about INVEST IN
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C U LT U R E
LOST IN THE PLAINS The lesser known multicultural layers of Vojvodina
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ojvodina has always been, in some way, a "melting pot" of people and faiths, a kind of Nebraska in Europe. Considering the multiculturalism of its population, it could be compared only with the Odessa region, which was also liberated from the Turks at the same time as Vojvodina did and populated from all sides. The book "Lost in the Plains", written by Žikica Milošević, speaks about all these wonderfully unusual nations. When Vojvodina was liberated from the Ottoman Empire in 1718, once and for all, the Habsburgs faced a challenge - they had a large border with very few people living in it. The Muslims withdrew with the Turks, the Hungarians withdrew 200 years before the Turks, and there were few other Slavs and other nations left. Then, Vienna came to a life-saving idea - it will create an "America" of sorts, a colony in its southern borders, and will populate it with all possible nationalities from the Empire! The great migration of Serbs, under the Čarnojević Family, the settlement of Bunjevci and the colonization of the Germans are just three of the most famous episodes in this endeavour, plus there were also exotic nationalities like the French, the Spaniards, the Italians, the Poles, the Russians, the Greeks and the Albanians. In fact, almost all the European nations have found their place under the sun in the Southern Pannonia. Through 21 stories, the book "Lost in the Plains" contains 20 individual "national" stories and one common story for all the nations that cannot be individually covered.
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THE FRENCH IN BANAT
In terms of the French presence here, three villages – St. Hubert, Charleville and Seultour – were founded in the 18th century Banat, thanks to the French immigrants from Alsace-Lorraine. Initially, the French community had its own school and church, but after several generations, their identity was almost com-
PLACE
ALMOST ALL THE NATIONS OF EUROPE HAVE FOUND THEIR PLACE UNDER THE SUN OF IN SOUTHERN PANNONIA. THE 21 STORIES IN THE BOOK DEPICT THE DESTINIES OF THESE NATIONS
pletely merged with the German, Hungarian, and somewhat less, the Serbian. The French settlements back then are now Banatsko Veliko Selo near Kikinda. Its Germanized residents left Serbia in 1944, so that the Serb colonists from Bosnia could re-settle here. The rest of the French could prove the origin based on the old books. However, in the 1950s, they also ran away from Socialism to Provence, following the agreement between Tito and France. To this day, the parts of Banatsko Veliki Selo has preserved the memory of original French toponyms - St. Hubert, Charleville and Seultour. Today, the surnames Russzó (Rousseau), Vernot, or Griffatong can be found among the Hungarians and the Germans here.
THE SPANIARDS
The Catalans arrived to Banat as members of the Austrian Army or administration, who were mostly stationed in
Sicily or Naples. When the Habsburgs lost these territories, a number of Catalans and their families, first reached Vienna, and then they were displaced near the border with the Ottoman Empire. The toponym here, based on the name of an important figure of Catalan origin, is Perlez, named after Count Perlas (Francis Vilana–Perlas), a senior clerk from Timisoara who was responsible for establishing the settlement in 1752. In the first half of the eighteenth century, the Catalan colonists called Bečkerek, today's Zrenjanin, New Barcelona (Neu Barcellona). They mostly they died of malaria, which was then widespread in the wetlands of Vojvodina.
THE ITALIANS
The Italian colonists arrived in Vojvodina with the Catalans, but also later, when the Vienna administration launched the silk industry here where they worked. They were also engaged in the construction of the railway in Banat and Srem. Furthermore, many Italians worked in the mines in Vrdnik and started to transfer the wine-growing traditions, which declined under the Turks, who were very much anti alcohol. There are very few Italians left here today.
LAST BUT NOT LEAST
The Great Migration of Serbs was something more than just a migration,
MOSAIC
VOJVODINA IS STILL A MOSAIC, BUT WE COULD ONLY IMAGINE WHAT A MOSAIC IT WOULD HAVE BEEN WITH THE PRESERVED IDENTITIES OF ALL THESE NATIONALITIES
as these „Serbs“ were also something more than just Serbs. They were accompanied by a fair number of Bulgarians, Greeks, Tzintzars and even Albanians – the Catholic ones called Clements and the Orthodox ones called Kuchi, who later became Croatians, if they were Catholics, or Serbs, if they were Orthodox. One of the most bizarre events that happened here was the appearance of the "Seventh Republic" in the Socialist Federal Republic of Yugoslavia, in Bulkes, where the expelled Germans were replaced by the Greek Communists. This village commune was a "country in a state" and a model for the Greek Communist government after the victory in the civil war. Since the Communists lost the Greek war, and in 1948, Stalin and Tito went their separate ways, the Greeks mainly left for to the Warsaw Pact countries, providing their favoured Stalin. All in all, 6 languages and 24 nationalities are not everything that Vojvodina can offer. There were also other, lesser known nations, besides these, and more distinguished ones like the Germans, White Russians and Jews. Vojvodina is still a mosaic, but we could only imagine what a mosaic it would have been with the preserved identities of all these nationalities, with many of them not existing any more, or got lost under the vast horizon of the plains. INVEST IN
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C U LT U R E
TAMBURITZA AND BEĆARAC Inseparable part of Vojvodinian culture
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amburitza, which is used to accompany many songs, both sad and happy, mocking and cheerful, songs that celebrate life, is an inseparable part of Vojvodina's culture. But how did the tamburitza make its way to Vojvodina? Tamburitza is a string instrument originating from Mesopotamia (stone carvings date back to some 3,000 years ago), with four to six wires, brought by the Turkish conquests to the Balkans, first to Macedonia and Bosnia, and later through migration to Central Europe. The present form dates back to the beginning of the 20th century, when a "small Viennese guitar" was remodelled in Hungary and a composite tambouritza with head, neck and corpus was made, first from maple, linden and pear tree, and later from fine pinewood pieces which gave it better resonance and sound. Trio is the smallest tamburitza band, and when the number of
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tamburitza players exceeds 15, they form a tamburitza orchestra. Tamburitza had its golden age in the late 19th and early 20th century, especially in Pest. After the World War I, tambouritza sound became somewhat lower and now we have two main tuning styles – Sremski (used in Vojvodina) and Farkas Tuning (used in Western Croatia). The most famous tamburitza player as of recent was Janika Balasz (1925-1988), a descendant of a musical Roma family, who delighted audiences with his skills first in Bečej, Subotica and Titograd (in the 1950s), until finally settling down in Novi Sad. He accompanied the famous singer and songwriter Zvonko Bogdan and many other stars, and had unbelievable 36 appearances at the Olympia in Paris. After his death, a monument was built in his honour depicting him holding a tamburitza. The most beautiful song to sing on the tamburitza is Bećarac (note: a type of humorous folk song), which is typically sang in Vojvodina and Slavonija. Bećarac is a two-verse folk song, with a lively 24-beat-rhythm, which, as musicologists claim, originated somewhere in Slavonija’s taverns, several hundred years ago, but became popular in other parts of the Pannonian Plain, especially in Vojvodina, too. Bećarac is sang in such a way that a singer "introduces" everybody to the first verse, and then everybody, or all available vocals, sing it together. Yes, verses have to rhyme with the previous syllables. Bećarac is a feel-good song sang by happy people who want to show everybody their joie de vivre. It is often humorous and can be provoking, satirical and sometimes even lascivious, but it has to carry a convincing enough message that makes the audiences agree with it. Vojvodina’s population, especially Serbs, see Bećarac as „their song“ although the population of Srem County has a bigger sense of entitlement to Bećarac than that from Bačka or Banat counties, and maybe rightly so. Bećarac is best played on the tamburitza, although it sounds good when played on the accordion too. If it is played on bagpipes, it sounds a bit dull, although, back in the day, it was played solely on bagpipes. It is sang everywhere with the same melody, except in Srem where it is a bit protracted and in Bačka somewhat livelier. There are „female“ and „male“ versions of Bećarac.
Zvonko Bogdan is the most renowned singer who sings accompanied by the tamburitza. This bard of „the tamburitza evergreen“ was born in Sombor, and the first song that he composed and sang was in the early 1970, and it was called „Hej, salaši, na Severu Bačke“. The song was very personal for him because, in it, Bogdan remembers his grandfather's farm where he spent his childhood. Most of his songs are closely tied to the Bun-
SONG
BEĆARAC IS A FEEL-GOOD SONG SANG BY HAPPY PEOPLE WHO WANT TO SHOW EVERYBODY THEIR JOIE DE VIVRE
jevac tradition which he originates from. While singing, Bogdan is known for having a cheeky smile, thus showing that his entire musical being enjoys singing. He even performed twice on EXIT's Fusion Stage – in 2004 and 2017. His performances are so authentic that young fans treat him as a rock star. But let's go back to the tamburitza! Most of the famous tamburitza players originated from the village of Deronje in Western Bačka. "The Golden Tamburitza" festival has been held in December, in Novi Sad, for three decades now. A new Vojvodininian song is chosen at the Festival every year, composed and sang in the folk style. All in all, the tamburitza and tamburitza players, Bećarac and the folk songs sang by Zvonko Bogdan, the Srem people and Bunjevci are something that could definitely be said to be the soul and heart of Vojvodina and its culture.
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TRADITIONS
VOJVODINIAN HOUSES Art of Living
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ojvodinian houses are made from the same soil they stand on. They are spacious, just like the Vojvodinian soul, decorated with plenty of flowers and create a lot of shade. This is how we here picture heaven. The development of private houses in Vojvodina started sometime in 1718, since the houses built earlier do not generally exist any longer because they were made from mud (sundried bricks) or destroyed by time. Back in the day, houses were primitive – earth houses, cottages, huts, lagumica (cave house), suvača (house powered by a dry-mill, one still can be found in Kikinda) and bugarka (house without an attic) which does not exist anymore. However, the houses that have been preserved exude harmony. Many have been saved thanks to a very banal thing - the law. Namely, according to Austrian laws, the houses had to be a part of a street, build along a straight line, and
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"had to be located on the street regulation line, with their narrower part facing the street, while the distance between two houses had to be at least 17 meters, due to fire hazard", namely so that fire in
VIEWING
KIBICFENSTER (A TYPE OF WINDOW) IS A SPECIAL FEATURE ON HOUSES HERE AND VOJVODINA'S TRADEMARK. WHEN A HOUSE IS BUILT, USUALLY THERE IS A PROTRUDING WINDOW INSTALLED, WITH A THREE-PART GLASS FEATURE, THAT IS USED FOR STREET VIEWING
one house would not spread to the other. This is how first houses came about, also known as the line houses (or furrow houses) since only one room was facing the street, while the others were positioned after that one, in one straight line. Usually, the room closest to the street was empty and reserved for guests. The people of Vojvodina always mocked those who slept in that room saying that only „a crazy person would sleep in the room next to the street." Behind living quarters were workshops, pantries and stables. Along these rooms was a parallel corridor called gonk which had openings, like those found in haciendas in Spain. This is where flower pots usually were (mostly with Pelargoniums), a sign of German influence. Houses could not be entered directly from the street, the facade was flat, caked in mud and painted white or beige, which was the favourite colour of Empress Maria Theresa. Over
time, more rooms in typical Vojvodinian houses were facing the street, which led to the emergence of the so-called elbow houses, shaped as the letter L. These houses had a street entrance, and the owners of some of them used the first room, as you enter from the street, as shops or workshops, while the family of the house would usually enter it through a gate and gonk. As far as the roofing goes, the oldest houses had a thatched roof, which was before the invention of roof tiles. The thatched houses were called that because the roof was covered in straw, namely bundles of several tens of impregnated stems. Until 100 years ago, this was the dominant type of housing for all nations in Vojvodina. The ceiling under the rooftop was an indispensable storage space for many vegetable-based products. Unfortunately, some of the remaining thatched houses in Novi Sad have been disappearing lately with only a handful of them preserved in Belo Blato. As time passes, the cities in Vojvodina are starting to dominate the landscape (next to England, Vojvodina has some of the most densly populated cities in Europe). And there is no need any longer to have an „elbow“ house, because, under the influence of German colonists, we can often find the so-called line houses, that are looking to the street and are semi-detached. Here we also have several types – houses that do not have a separate entrance, those that have a door as an entrance, and those that have a wide, covered entrance. The so-called double houses are a special type of houses that have a wide covered entrance (called ajnfort in Vojvodina), and they are usually built by
two brothers on their father's plot. They share one ajnfort as a common entrance, while the left part of the house belongs to one household, the right part to the other household, and the yard is shared. In time, flat façades have started to disappear and now feature decorative plastic details, as seen in the West. Also, instead of triangular gables there are specially built, decorative gables. Gable is an ordinary triangular wall with an attic behind it. These gables were influ-
SOULS
ALL IN ALL, VOJVODINA'S HOUSES REPRESENT THE SOULS OF MANY PEOPLE WHO INHABITED THE PANNONIAN PLAIN OVER THE CENTURIES. THIS IS WHERE TRADITIONS INTERTWINED enced by the German immigrants and look exactly like those in Germany, with slight alterations found in different villages. Mitrovica has many so-called the Nuremberg-style gables, which exist only in Nuremberg (unfortunately, there are very few left there, because the city was razed to the ground in the Allied bombardment in WWII, so there was no room or time for detailed decorations during the reconstruction). The gables in Srem County are heavily influenced by the Nuremberg-style ar-
chitecture and Hesse State, from where the colonists came to Srem. On the other hand, gables in Bačka and Banat counties are made from wood, namely from „vertically arranged planks, which are, in some cases, decorated with battens and are a typical feature of the national architecture of certain ethnic communities, as well as geographically located settlements, especially those close to the Tisza River", says Branislav Milić. The municipality of Novi Bečej has several such houses, as well as those with the socalled sun gable, since the sun was the most common decorative motif used on wooden gables. As far as facade decorations and colours are concerned, they usually have inscribed the names of houss owners and the symbols depicting the all seeing eye, while the Slovaks became famous for painting their houses in light blue ("Slovak blue" or "Tot blue") which is Slovakia's national colour. There are many such houses in Kisač, Stara Pazova, Petrovac and Kovačica. The Slovaks are the ones that began putting up ceramic tiles on their facades or using facade bricks, again usually in light-blue colour (it is interesting to note that the Slovaks, according to some testimonials, painted their houses in yellow, at first). The Germans and Hungarians used the secessionist motifs from 1900 to 1918. Kibicfenster (a type of window) is a special feature on houses here and Vojvodina's trademark. When a house is built, usually there is a protruding window installed, with a three-part glass feature, that is used for street viewing or kibicovanje. Through kibicfenster one could see everything that was going on in the street without actually having to poke their head out. The word originates from the German word "Kibitzfenster" meaning "the window for viewing", and except in Germany, it is also popular in the Atlantic region of Spain. In Great Britain, it is called "bay window", although the shape is not the same. All in all, Vojvodina's houses represent the souls of many people who inhabited the Pannonian Plain over the centuries. This is where traditions intertwined and where there is no "ethnic purity" in architecture, just like there is no „genetic purity“, we are happy to report. This is a melting pot in which everyone lives in line with their true self which is the greatest wealth of Vojvodina. INVEST IN
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TO U R I S M
TAME HEAVEN IN THE PLAINS Vojvodina is not territory, Vojvodina is mentality
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ojvodina, the former bridge between the Orient and Europe, is now bridging the countries of the Balkans and the countries of the European Union. The climate here is European and moderate as people are. Except when Košava blows! Northern Balkans, South Central Europe, Pannonian Babylon, Lower Land, North of Serbia, Voša, as an endearing nickname, Vojvodina. The everyday life in this seemingly monotonous landscape can be a great adventure for a visitor from far away. An area of about 200km in diameter is divided by two rivers into three parts: Bačka, Banat and Srem - three yellow stars on the Vojvodina flag. The capital of Vojvodina is Novi Sad (also called Neoplanta, Neusatz and Újvidék). Our province, the former bridge between the Orient and Europe, is now bridging the countries of the Balkans and
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the countries of the European Union. The climate here is European and moderate as people are. Except when Košava blows! Globally speaking, Vojvodina is „a half way there“ because it lies on the 45th parallel north, creating an equal distance to the equator and the Northern Pole. Two million souls live here and ast least 30 different nationalities - Serbs, Hungar-
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OUR NEIGHBOURS LIKE TO SAY THAT VOJVODINA IS LIKE "THE MEDITERRANEAN AS IT ONCE WAS". VOJVODINA IS THE CENTRAL EUROPE FROM YESTERYEARS
ians, Slovaks, Croats, Romanians, Ruthenians. Along with them, side by side, also live Muslims, Montenegrins, Ukrainians, Bunjevci, Šokci, Germans, Macedonians, Albanians, Slovenians, Roma people... Vojvodina is like a song by Mika Antić. A lot of human varieties. One hundred worlds. Multiplicity in one. As a sage once said: „Vojvodina is not a territory, Vojvodina is a mentality“. For centuries, Vojvodina has been absorbing new influences and accepting new assimilations as a result of large migrations. Of the dozen lakes here, the most popular are Palićko and Ludoško near Subotica, Rusanda near Melenci, Belocrkvanska Lakes and Borkovačko Lake near Ruma. Healing water springs are scattered throughout the entire territory of the Province. The best thermal and mineral springs and spas are Slankamen, Rusanda, Junaković, Kanjiža, Bezdan,
Jodna Spa and Vrdnik. Fortunately, we are not (yet) included in the nuclear programme, but we can boast having the healing Armenian radioactive mud. On the other hand, Vojvodina's rural tourism offer includes accomodation in the old farms, called ethno houses in contemporary language, with preserved pieces of Alt Deutsch furniture, enveloped in the aroma of fragrant quinces, with bed linen stuffed with feathers. This rural plain offers protected cultural heritage and preserved ambient values, all embodied in the typical Vojvodinian farms. Knitted by a number of generations, Vojvodina is a grandiose ethnic basket, known for the Hungarian culinary specialties, Romanian music, Slovak naive art, Serbian weaving, Bunjevac straw, Ruthenian embroidery, Roma songs ... Millions of hectares of landscaped hunting grounds testify to the wealth of game here. Pheasants, partridges, wild ducks, rabbits, wild boars and the Danube and Posavina deer are usually hunted here. Also, our region is known for a lot of fishing. Vojvodina carp, zander, catfish and sterlet are the most popular catches. Not counting Fruška Gora and Vršački Breg, which peaks provide views of all
four sides of Europe, people are the highest mountain in the Vojvodinian Plains. Vine has been grown here for nearly 3,000 years, brought to Vojvodina by the Roman emperor, Probus, who, without a doubt, was an expert on Fruška Gora’s hillside. At the time of the Romans, and later, in the Middle Ages, wines from Fruska Gora, Southern Banat
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VOJVODINA IS LIKE A SONG BY MIKA ANTIĆ. A LOT OF HUMAN VARIETIES. ONE HUNDRED WORLDS. MULTIPLICITY IN ONE and the sands near Subotica were very popular. Every year, the Royal Court in Vienna eagerly awaited the results of the grape harvest in the Vršac vineyards in order to determine the price of wine for that year. Wine Bermet, infused with over 20 species of herbs and spices, was shipped in the crates to the Vienna
Court, before political negotiations, in order to help negotiators to come to a decision. The dessert wine Ausbruch, made from dried grapes, was included in the list of wines served at the Titanic. When you come to Vojvodina, the specially trained order of wine knights will guide you through the most important wine areas: Vršac and Fruška Gora vineyards, Biserno Ostrvo near Novi Bečej, and sand vineyards. The people of Vojvodina have managed to preserve their churches and folk gatherings that eventually grew into colourful festivals. From 1st January to 31st December every year, over 1,000 events and festivals take place here. In recent times, the pseudo-cultural festivities dedicated to business and sport have become very popular (like festivals dedicated to bacon, sausages, strudels, shepherds, eggplants, vine, sports competitions...). Vojvodina is a place where, in today's world, rife with stress and haste, you can rest and recharge your batteries. Our neighbours like to say that Vojvodina is like "the Mediterranean as it once was". Vojvodina is the Central Europe from yesteryears, the Central Europe of your childhood.
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C O R P O R AT E
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