STRENGTHENING FRIENDSHIP AND COOPERATION

|INTERVIEW | STRENGTHENING FRIENDSHIP AND COOPERATION

SANJA RADLOVAČKI

Executive Director at UAE Serbia Business Club

Having a trusted partner who is interested in investing, in strategic partnerships or some other form of expanding their business in your country is very important for a small country like Serbia

e talked with Sanja Rad-

Wlovački, Executive Director at UAE Serbia Business Club, about what connects us with the United Arab Emirates, how Serbian companies can do business on the UAE market and vice versa, how important is for Serbia to have big stakeholders from the UAE in the country and the significance of exchanging know-how, experiences and good business practices with such a global partner.

At the very beginning of your term, you had to deal with the COVID-19-related challenges. How much did the pandemic influence the companies that are members of the UAE Serbia Business Club?

The months behind us have not been easy, and the economic recovery after the pandemic will be long and challenging. However, the pandemic has created certain new habits, allowed us to see the bigger picture, and to change professionally and personally. Many years of market presence, experience and knowledge of the UAE business culture have taught us that the world is changing at an incredible speed, and thus, market opportunities and business activities of big stakeholders are taking on new, non-traditional forms that we, in this part of the world, are used to.

The UAE market is such that it demands constant excellence, but also offers ways of presenting your excel-

WHEN YOU HAVE THE PRIVILEGE OF WORKING WITH THE UAE, YOU DON’T NEED A PANDEMIC TO WAKE YOU UP AND SAY YOU HAVE TO CHANGE

lence globally while imposing high local standards on the whole world. I recall that in July, at the height of the pandemic, the UAE government launched its first mission to Mars, under the slogan "Impossible is Possible", and continued to invest in people at the height of the COVID-19-induced crisis. Human capital represents the greatest value today and the UAE is the leader in that. Influential and globally known companies are the Club members. Is the Club a shortcut between investors from the UAE and Serbia? Bilateral relations between Serbia and the UAE are at a high level. The UAE Serbia Business Club was created out of the desire for good cooperation between the two countries with the view of expanding and further boosting this cooperation. This was, first and foremost, demonstrated by the UAE Embassy in Serbia, headed by H.E. Mubarak Saeed Al Dhaheri. It was the Embassy, as well as the largest Arab investors, all globally known and recognized companies, that have launched an initiative for the establishment of our business club. A club like ours is a strong link and the shortest and safest way to the UAE market for our business people and vice versa. I would also like to mention that we are the only business association of this type in the region.

Our Board of Directors consists of the CEOs of Masdar, Eagle Hills, Air Serbia, Al Dahra and Mirabank, which CEO is our Club’s Chairman of the Board. I believe that, thanks to such Board of Directors and members companies, we have a great strength of reputa-

tion, seriousness and will and that we are all striving towards the same goal.

What are the priorities and goals of the UAE Serbia Business Club this year?

The long-term goals are to strengthen the already good relations between the two countries, consider additional business opportunities and exchange know-how and experiences in the field of business and education. The desire to expand cooperation, become acquainted with the needs and habits of the market, improve the existing capacities of the economy, expand the business market and have a joint presence on international markets are just some of the goals of our organization. The mitigating circumstance in the whole process is that our partner – the globally reputable country of the UAE - is ready to provide its support and act as a strategic partner and investor. Furthermore, the presence of Serbian companies in the UAE market opens the entire GCC region and Africa, which is of great importance for increasing production capacity, boosting the economy and increasing profits. This is very important for our country, which is making enormous effort to strengthen its economy and position itself on the international business map.

What should Serbian companies, that want to do business in the UAE, have to pay attention to?

The UAE market is highly financially solvent and sophisticated. It is a hub of high quality, innovative products and services and a market that requires continuity, dedication and innovation from you as a manufacturer, and thus constant adherence to quality.

If we are talking about food, the focus should be on top quality food products, produced without additives and pesticides. They can be a special niche, which can be well-positioned in the UAE. Our country has abundant natural resources and we should use that to sell various goods in the Emirates. On the other hand, the highly educated workforce, particularly in the field of information technologies, innovations and artificial intelligence, is also our strength. The use of our knowledge in the field of innovation is crucial in cooperation with the UAE. I think that we should focus on and believe that we can contribute to improving production and self-sustainable projects, and in that segment, develop our knowhow related to the goods and services we want to offer the UAE market.

What can the Serbian government do to facilitate investments from the Emirates and make our market even more attractive?

Our country must take advantage of the uniqueness of its geographical position, good political situation and notable reputation of a stable economic partner. The strategic position of Belgrade, as one of the largest metrop-

STRENGTH LIES IN NOT COMPETING AGAINST EACH OTHER BUT RATHER IN COMPLETING EACH OTHER

olises in the Balkans, is not a negligible fact. In the previous period, thanks to the efforts of the Serbian government, we have demonstrated that we have a stable investment potential and that we are a country worth investing in. Every investor pays attention to a stimulating tax environment. Much has been done in this area, and some steps have yet to be taken such as providing incentives for the creation of new jobs, income tax exemptions for new fixed-term investors, predictability of fiscal and other benefits over a 10-year period and administrative efficiency. All these segments are already being seriously worked on and investors do recognize that. The coronavirus pandemic has shown how businesses can transfer their processes to digital platforms, so full digitalization of the state is an absolute priority. The UAE is a leader in this segment and a country from which we can learn a lot.

Which of the general and doing business values from the UAE we can adopt in Serbian business practice and which ones do we lack?

We need to take time to really get to know each other, our habits, needs and desires, build long-term partnerships, and implement strategic and self-sustainable projects. We also need to appreciate ourselves, our work and experience, and adequately charge for that. We have to invest in people. People are our biggest investment and our strength lies in people. We are a beautiful country that has so much to offer and it would be such a pity not to use that in this moment of globalization and digitalization that run side-byside when only those who were fast enough and defend their views and consider their long-term plans will survive. Today, we are at a turning point, and we have shown countless times that we can do it. I deeply believe that "Impossible is Possible".

A woman helms the UAE Serbia Business Club. How many challenges do you have to deal with?

It is a great responsibility and privilege at the same time. Before I was appointed to this position, I worked hard for many years, continuously working on personal improvement and facilitating business cooperation that has grown into sincere long-term friendships. I would not focus on the fact that a woman is at the head of a business club, given that over 65% of the UAE government sector is women, that a large number of women are top managers and that they hold the highest position in state institutions as well. Women are extremely appreciated and respected in the Emirates. There are complete understanding and mutual support in our business club. Just like in the UAE, and considering that everyone in the Club has experience from working in that market, we are here to complete each other and not to compete against each other. 

NOVI SAD IS OUR ANCHOR IN THE WESTERN BALKANS

CLAUDIU NEGREANU

General Director, DP World Novi Sad a.d.

These services are delivered through an interconnected global network of 136 business units in 61 countries across six continents, with a significant presence both in highgrowth and mature markets. Wherever DP World operates, integrates sustainability and responsible corporate citizenship into its activities, striving for a positive contribution to the economies and communities where we live and work. DP World`s dedicated, diverse and professional team of more than 53,360 employees from 137 nationalities are committed to delivering unrivalled value to the customers and partners. The company do this by focusing on mutually beneficial relationships – with governments, shippers, traders, and other stakeholders along the global supply chain – relationships built on a foundation of mutual trust and enduring partnership. The Company, led by H.E. Sultan Ahmed Bin Sulayem, initiated its operations in Serbia by acquiring the Port of Novi Sad in September 2019. The position of this port on the river Danube and its continued importance in DPW the leading provider of worldwide smart end-toend supply chain logistics, enabling the flow of trade across the globe. Comprehensive range of products and services covers every link of the integrated supply chain – from maritime and inland terminals to marine services and industrial parks as well as technology-driven customer solutions

the transportation of agricultural produce from Serbia to other parts of the Europe, made it a very strategic acquisition for DP World and it remains a key market that DP World will continue to invest in.

General Manager of DP World Novi Sad JSC Mr. Claudiu Negreanu has one vision only: to make the company he is managing a leader in Serbia, just like it has a leading position in multiple countries across the world.

DEVELOP

The arrival of DP World in Serbia by acquiring the Port of Novi Sad was a natural developing process within the global vision of the Company

“The arrival of DP World in Serbia by acquiring the Port of Novi Sad was a natural developing process within the global vision of the Company. We have identified all the potentials of this port which will, I am sure, create even more opportunities for our company both locally and globally. Through this acquisition we have connected two enormous and valuable things, the river Danube - one of the largest and most efficient waterways in Europe - and Novi Sad - the center of Vojvodina, the leader in agriculture in Serbia. Serbia as a country has huge potential for investment. More specifically in this industry, implementing an ambitious port development and logistics program represents an excellent opportunity. Through our knowledge, experience, organization and commitment I have no doubt we will turn Port of Novi Sad into a central port on the river Danube”, pointed out Mr. Negreanu.

What is necessary to do to position DP World Novi Sad as a key regional stakeholder on the Western Balkans?

— The key word is investment. Without investing there is no development, no new job positions, and no progress. We have already launched a large investment cycle during which we are to invest 35 million Euro in DP World Novi Sad. We have committed to do so by entering into the Purchase Agreement with the Republic of Serbia. The other word that is also very important for us is commitment. Commitment to our staff, the people we work with and the places we operate in. People make a company, just as people make the city we work in and the surrounding we all live in. Our planned investments and our commitment to people will prove Novi Sad and Serbia to be the anchor of DP World in the Western Balkans.

We have overcome the first year of Corona pandemic. How has the company overcome all the challenges brought by the COVID-19 pandemic?

— Of course, it has not been easy for us, especially as it was our first year in this market, but there is no business unaffected by the pandemic, whether that’s in terms of business operations, employee wellbeing or its place in the wider community. 2020 was obviously an incredibly challenging year, but it was also an opportunity to prove ourselves and demonstrate the strength of our company and our people. I shall not speak about what the virus has done to the world economy as it is well known. However, despite all the challenges, DP World Novi Sad operated at a very satisfactory level. As we have only just started operating in Serbia we will not make comparison to previous years, but thanks to excellent organization and commitment of all the employees, we had around 1.6 million tons of handled goods in 2020. Even during 2020 we have managed to show that DP World Novi Sad is one of key players among port operators in Serbia and Novi Sad is the main port for all loads coming from or transported to Vojvodina. Vojvodina is the major part of Serbia for the production of crops, which creates great opportunities for port operations. We wish to invest in various instruments, which will allow us to diversify of our services portfolio and expand our impact in the region.

You have been talking about commitment, and what are the investments DP World Novi Sad plans to make and which are those it has already started?

— We committed to this investment from the start and we stand by that commitment. We believe there is no better proof of our belief in the business operations in Serbia and its future. More specifically, we have invested in equipment and other superstructures of the Port and a new mobile crane is to be installed soon, which shall have a central location in the port which is going to be a new port symbol. We have invested in the purchase of packaging machine designed for packing of fertilizers, two electrical forklifts and other equipment, which will allow us to improve our proposition and offer our customers even greater services.

We are also investing in the development of infrastructure in the Port of Novi Sad - expanding the quay by 184 meters, creating a silo for crops and a building a new general loads platform and store for containers. These investments will help make Port of Novi Sad one of the most important ports on the river Danube.

INVESTMENT

DP World is going to invest around 35mil Euro in the Port of Novi Sad during the investment cycle

DP World, as a responsible and sustainable company, also invests in the local community it operates in. Novi Sad is our city, it is my city too, and that is why I am most proud of the investment which the citizens of Novi Sad are going to benefit from most. It is the reconstruction of the passenger terminal in Novi Sad on the river Danube, where we have invested 400.000 Euro. We expect the works on this terminal to be completed by the end of March when we will be able to hand the City of Novi Sad a new, modern and functional passenger terminal which will attract more tourists to boost the local economy.

As one of the largest world companies in the port operations area, which logistics solutions you offer to your users and what new services you plan to introduce?

— Today, we offer our customers transshipment, the storing of goods and the packing of mineral fertilizers. Of course, we always want to evolve by identifying market needs and we are looking to expand our services by offering the maneuver barges, customs bonds, the use of customs warehouses and other possibilities to store goods in the Port. We actively search for other new possibilities for expanding the service portfolio for our clients.

How would you assess the entire market related to water-resistant goods when it comes to Serbia and this Region?

— The capacity of the river Danube as a transportation corridor in Europe is to be still used to its full potential as it’s the second largest river in Europe by its length and volume. Historical reasons prevented the river Danube from being developed to the level of similar rivers used for transport in Western Europe. This is why we believe there is now vast potential here.

During the last years there is a lot more interest expressed in the river transport due to its advantages when we speak about economic parameters, but also when we speak about environmental issues and decrease of CO2 emission. No module of transport can ensure such possibilities of transportation of various types of goods. Adding the dominant geographical positioning of Novi Sat to the river Danube, we have a unique opportunity for all production industries and trading communities. 

WE SHALL EMPLOY MORE PEOPLE

What are the plans of DP World Novi Sad regarding employment, do you expect to decrease the number of employees like some companies have already announced? — We will need more people to attain our plans. DP World Novi Sad currently employs 150 people. Of course, due to the increased volume of work and investments, we plan to increase the number of employees, with new employees being recruited and becoming the part of DPWNS in near future.