Diplomacy & Trade 2017 March by Diplomacy&Trade

MARCH 2017 HUF 1710

EUR 6

EVERYONE WINS AN OSCAR The Hungarian production 'Mindenki' (literal translation: 'Everyone') has won the Academy Award in the Best Short Film Live Action category. The recognition comes after last year's success of the 'Son of Saul' in the Best Foreign Language Film category. Directed by Kristóf Deák, the film (English title: 'Sing') is about a young girl, Zsófi who is having a hard time fitting in at her new school. Zsófi’s distress grows when the choir director treats her cruelly despite her love of singing. Along with her friend Liza, Zsófi investigates the revered teacher in an attempt to reveal her true nature.

Czech Republic

country

FOCUS

“We should never forget that we, in the middle of the Central Europe, have had a common history, we have a common present and we will have a common future, also,” the Ambassador of the Czech Republic to Hungary, Juraj Chmiel tells Diplomacy&Trade. In an extensive interview, he also talks about leveling trade relations, Czech investments in Hungary, extensive cultural and social ties, the two-way flow of tourism, the Visegrád cooperation, the two countries being ‘honorary neighbors’, and why he calls himself a V4 person. see articles on pages 8-16

Relative Language Relatives

Hungarian and Finnish languages are very distantly related. The connection, dating back thousands of years, cannot be thoroughly explained. According to Finnish Ambassador Petri Tuomi-Nikula, “our languages are as close to each other as German and Russian, or Swedish and Greek. In our case, the apples have fallen a bit further from the tree!” see page 17

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... AND THE AWARD GO E S TO

D UNA E LE K TR O N I K A

Recognizing our commitment to excellence DELLEMC awarded Duna Elektronika AS THE

NETWORKING SOLUTION PARTNER OF THE YEAR We thank DELLEMC and our customers for their continuing confidence in our services for over 25 years!

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letter from the publisher Hold the presses! Just as our March issue goes to print comes the news of another Oscar win for the Hungarian film industry. We are delighted to congratulate director Kristóf Deák for his excellent work! Year of the Rooster or Year of the Eagle? That is the question raised by our international analyst concerning what the new lunar year may bring Asia. His article reviews the Chinese, American and Russian interests on the largest continent and comes up with a somewhat surprising conclusion of what common goals these powers may have regarding the status of the Korean Peninsula. This issue’s country in focus is the Czech Republic, which is Hungary’s 8th most important trading partner and a fellow member of the Visegrád cooperation. The Czech economy is one of the fastest growing in the European Union, boosted - similarly to the Hungarian - by the automotive industry. Our Focus features an interview with the Czech Ambassador to Hungary, Juraj Chmiel in which issues of economic relations (including trade, investment and tourism) as well as political, social and cultural ties are discussed. The section also includes a presentation of the activities of the Czech-Hungarian Business Club that encourages the development of bilateral trade and business relations as well as an exclusive interview with Academy Award winning Czech movie director, Jiří Menzel, a great friend of Hungary and Hungarian artists. Also, read how Prague, as an air hub, facilities travel for Hungarian passengers and why Skoda is such a popular car brand in Hungary. Our culture page reviews ‘On body and soul’, a Hungarian movie that won the Golden Bear for Best Film award at the 67th Berlin International Film Festival this February and we also cover an exhibition by Spanish photographic artist Pep Ventosa in Budapest. This month’s WittyLeaks article is authored by the Finnish Ambassador to Hungary, Petri Tuomi-Nikula, on why Hungarians and Finns consider each other distant brothers. Of course, we also have the usual culinary and program guides, restaurant offers and Society picture compilations.

Interview with Oscar winner Czech movie director Jiří Menzel page 10

contents

PUBLISHER

AND DON’T FORGET

monthly in print - daily on the web

www.dteurope.com

Mellow Mood Group’s owners receive page 26 tourism award

page 23

05 ON THE RECORD 06 COMPANY BRIEFS 07 ANALYSIS

20-21 SOCIETY 22 GIFT CORNER 23 CULTURE Spanish photographic

Power plays in Asia

artist exhibit in Budapest

08-16 CZECH FOCUS

24-25 WHAT’S ON

Interview with Ambassador Juraj Chmiel; Jiří Menzel ‘mastering an expensive toy’; German technology with Czech traditions; Connecting Central Europe to the world; CzechHungarian Business Club

Concerts, festivals, events and exhibitions in and out of Budapest

26-27 GASTRONOMY & WINE

Mellow Mood Group’s owners awarded; Spring rejuvenation with Angel’s Kitchen; Eger and Szekszárd join forces to promote Bull’s Blood; Vince Budapest 2017; Nimród Kovács wine producer of the year

17 WITTY LEAKS by Finnish

Ambassador Petri Tuomi-Nikula

18 CINEMA ’On body and soul’ wins best film award in Berlin

PUBLISHER: Peter Freed EDITOR: Réka A. Francisck COPY EDITOR: Joyce Freed PHOTO EDITOR: Dávid Harangozó SALES & MARKETING DIRECTOR: Tamás Varga DISTRIBUTION MANAGER: Tibor Ocsenás ADMINISTRATION: Judit Ludányi ASSISTANT: Ágnes Rapaport CONTRIBUTORS: Sándor Laczkó, Tamás Magyarics, Réka A. Francisck, Petri Tuomi-Nikula PHOTO CONTRIBUTORS: Mike Baker/A.M.P.A.S. (Cover), Virág Barcza (Cover), Shutterstock.com, Pixabay.com, Can Stock Photo Inc., 123RF.com, Károly

CHINA FOCUS - COMING SOON

Árvai/kormany.hu, MFAT/MTI, Nándor Mester, Olivier Blanchet/DPPI/Vendee Globe, Márton Kovács/MFAT, Oli Keinath/Die Hoffotografen, Skoda, Embassy of Finland, Virág Barcza, SA-Kuva, Hanna Csata/Mozinet, Krisztina Friedrich, Museum of Applied Arts, Szabolcs Szolnoki, Trafó, Ákos Stiller, Marco Borggreve, Javier del Real, Lili Ország, bkeenephotography.com, Carlos Ramos, Viktor Korsós, Studio Bakos, Róbert Bácsi, Simon Móricz-Sabján, Balázs Farkas-Mohi, Petr Hejna/hejna.eu, Czech Airlines, Dell, Silka, Stan Ahuja, Benifoto, MTI Photos: Noémi Bruzák, Zoltán Máthé, Balázs Mohai

Diplomacy&Trade is preparing a special Focus section on Chinese-Hungarian relations. China is Hungary’s most significant business partner outside Europe. Our Focus will feature an interview with Ambassador Jielong Duan, covering a wide range of themes such as bilateral economic relations (including trade and investment) and cultural ties ahead of the Hungarian Prime Minister’s visit to China in May. These topics are also covered in detail in presenting the Hungarian-Chinese Chamber of Commerce (ChinaCham), the Hungarian-Chinese Business Council, Deloitte Central Europe’s Chinese Services Group, the Chinese Cultural Institute in Budapest (Confucius Institute) and the Chinese-Hungarian Friendship Society as well as of Chinese gastronomy.

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We welcome inquires for advertising in this issue. PLEASE CALL TAMÁS VARGA FOR FURTHER INFORMATION +36 209350250 - tvarga@budapestweek.com M A R C H

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D I P L O M A C Y

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COPIES ARE AVAILABLE AT SELECTED RELAY AND INMEDIO OUTLETS IN MAJOR HUNGARIAN CITIES.

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Spanish photographic artist Pep Ventosa

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on the record

HUNGARY AND GERMANY MARK SIGNING OF FRIENDSHIP PACT

The foreign ministers of Hungary and Germany marked the 25th anniversary of the signing of a friendship agreement between the two countries. The Hungarian-German agreement on friendly cooperation and European partnership was signed by the two countries’ leaders at the time, Prime Minister József Antall and Federal Chancellor Helmut Kohl, on February 6, 1992. It envisaged regular political dialogue on international affairs, including annual meetings between the two countries’ prime ministers and foreign ministers. The Hungarian news agency MTI quoted a statement by Hungary’s Péter Szijjártó and Germany’s Sigmar Gabriel as saying that the friendship agreement laid the foundations for Hungary and Germany’s bilateral relations. The minister said that “we hereby confirm, just as we did 25 years ago, that we attribute key importance to the respect of human rights and fundamental freedoms, and the establishment of a European unity based of democracy and the rule of law. While taking into account our mutual interests we will continue to stand up to keep the European Union intact, and especially for a European community with no borders. Our common goal is to assure the prosperity, decubiti and cohesion of Europe, to protect minorities, and to contribute to economic growth and competitiveness. Our future is founded on a united Europe, including the internal market. We bear responsibility for the process of European integration, which is currently endangered by many factors.”

UPCOMING NATIONAL DAYS March

April

NEW HUNGARIAN POLICE CONTINGENTS TO SERBIA AND MACEDONIA

Hungary is sending new units of police to Serbia and Macedonia to help patrol the borders of those countries against illegal migration. Speaking before the 15 and 25 person units at the National Standby Police’s facility, Chief Police Commissioner Zsolt Halmosi stated that this is the tenth time Hungary is sending police units to Macedonia, and the fourth time to Serbia; 385 Hungarian police officers have served along the Balkan migration route to date. Major-General Halmosi thanked the police officers for undertaking the task and volunteering to help the fight against illegal immigration. Both contingents will contribute to border protection with police vehicles, night vision equipment and heat cameras. Hungarian police serving within the territory of Serbia and Macedonia will perform their duties using their own equipment and will act under the orders and supervision of local police. The main task of the Hungarian police will be to act in the interests of preventing and discovering attempts to illegally cross the border and assisting in the detention of people smugglers and illegal immigrants. The police officers will be on duty in the direct vicinity of the border and within the territory of the country along roads and highways.

May

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KÁROLY ÁRVAI/KORMANY.HU, MFAT/MTI, NÁNDOR MESTER, OLIVIER BLANCHET/DPPI/VENDEE GLOBE, 123RF.COM

HUNGARIAN FOREIGN MINISTER VISITS JAPAN

During his visit to Tokyo this February, the Hungarian Minister of Foreign Affairs and Trade, Péter Szijjártó told the Hungarian News Agency MTI that Japan has become the number one Asian investor in Hungary: there are 151 companies present, employing some 31,000 people. He added that economic cooperation between Japan and Hungary has become very close recently. Businesses representing the highest technological standards significantly contribute to the performance of the Hungarian economy. The 151 companies present have to date invested USD 4.4 billion (HUF 1,276 million) in Hungary. “Today, we have succeeded in coming to an agreement on the investments of four new Japanese companies in Hungary. Two are active in the automotive industry, one in the food industry, and one in the hotel industry. The four companies will bring to Hungary investments worth HUF 26 billion in total, and will create 400 jobs”, he said. The minister reiterated that in the Central-European region Hungary has the highest exports to Japan, and consequently, bilateral trade relations are highly successful. The volume of trade between the two countries exceeds USD two billion. In agreement with the Japanese government, “we are urging the European Union to conclude the free trade agreement with Japan within the shortest possible time as this would open up further market opportunities to Hungarian products, for instance, in the food industry, but in other sectors as well”, he added.

BUDAPEST AND HUNGARIAN REAL ESTATE MARKET INDICES UP

The Budapest and Hungarian real estate market indices prepared by the economic research institute GKI and the Confederation of Hungarian Employers and Industrialists (MGYOSZ) stood at +4 and +2 points respectively in the first month of this year. The index figure in Budapest was slightly up (within the error margin), while the national index has increased 3 points. Compared to one year earlier, both indices went up 7 points. Compared to October last year, the housing market index (that collates expectations of property companies and households into a single number) went up 2 points in Budapest but has not changed for the whole country (in fact, it dropped within the error margin). Compared to one year earlier, the Budapest index went up 7 points and the national index improved 4 points. Compared to the previous survey, expectations of households purchasing and constructing residential homes have not really changed. Among those who were certain that they would purchase or build a home in the coming twelve months, a small uncertainty has developed but among those who were considering a purchase or construction there was a definite increase. Compared to one year earlier, the increase in expectations is significant. Within this, there is a small drop in the first group but there is an even larger increase in the second. The outlook on home renewals and modernization has suffered a setback compared to both a quarter and a year earlier.

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HUNGARIAN SAILOR COMPLETES ROUND-THE-WORLD RACE

Hungarian skipper Nándor Fa finished 8th with his 'Spirit of Hungary' boat, which he designed himself, in the Vendée Globe round-the-world solo yacht race, arriving in Les Sables-d'Olonne, France at 10:54 a.m. on February 8, with a time of 93 days, 22 hours, 52 minutes and 9 seconds. Fa, at 63, completed this epic eighth edition of the legendary non-stop race 24 years after becoming the first ever non-French skipper to complete the Vendée Globe. This time, after setting out from Les Sables-d'Olonne in November last year, he sailed 27,850 miles (44,560 kilometers) at an average speed of 12.35 knots (22.87 kilometers per hour). He enjoyed an emotional reunion with his wife Iren and two daughters Lilli, 24, and Anna, 34, both of whom were tiny when their father first returned triumphant. As the report on Vendée Globe's website puts it, “the excellent result for the remarkable, proud Hungarian who started sailing on the lakes in his landlocked country is the product of a sharp, intelligent mind, steely resolve and determination." It adds that “Fa finishes satisfied with his excellent race, a fitting swansong to a remarkable sailing career which has elevated him to become universally known in his native, landlocked Hungary but which has earned him massive recognition and respect around the world for his skill, passion, humanity, humility and fair play."

HUNGARY: GOOD LIFE-WORK BALANCE FOR EXPATS

Achieving a healthy work-life balance is a top priority for most people and some countries promote a better culture for this than others. A survey by InterNations, the world’s largest network for expats, rated 43 different aspects of life abroad on a scale of 1-7. One of the sub-indexes looked at work-life balance. The survey, quoted by Business Insider, showed that "there is no direct correlation between long working hours and dissatisfaction with work-life balance." Hungary features seventh in this sub-index. The survey indicates that here, in general, "not only do men tend to work more hours per week than women (43.5 vs. 39.0 hours), but they interestingly also tend to be slightly happier than women with both their work-life balance and their working hours."

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company briefs

ERSTE HUNGARY COMPLETES TAKEOVER OF CITIBANK CLIENTS Erste Bank Hungary branches remained closed on Monday, February 6, to make the necessary technical changes for the takeover of Citibank's approximately 200,000 retail clients in the biggest acquisition in the Hungarian banking sector in the past ten years. As a result, Erste emerged the biggest credit card service provider in Hungary. Additionally, the bank’s asset management portfolio has increased considerably and the number of Erste customers has passed the one million mark. The sale included Citibank’s consumer banking and investment business, consumer loans and cards businesses, and the CitiBusiness microenterprise accounts, and it was approved by the National Bank of Hungary and the Hungarian Competition Authority to take place on February 3, 2017. The process of transfer of the consumer customer accounts (related contracts, data and settings) took place automatically on the weekend starting February 4. Erste Bank’s contractual terms and conditions went into effect on the day of the transfer of customer accounts. Citibank customers had been promised to continue to have the same (or better) conditions regarding their accounts at Erste Bank as they originally had at Citibank. Besides customers, Erste has transferred 450 former Citibank employees, as well. Citibank’s external sales network was integrated by Erste successfully into its own operating model in 2016.

NEW MILK PROCESSING PLANT IN DEBRECEN “Alföldi Tej Ltd. is developing a new processing plant in Debrecen with an investment of some HUF 12 billion (appr. EUR 38 million) which will create 181 new jobs”, Managing Director of the Hungarian milk processing company Alföldi Tej Ltd., Tibor Mélykúti announced. Minister of Foreign Affairs and Trade Péter Szijjártó told reporters that the Hungarian government is contributing HUF 4.8 billion (that is, 40% of the invested amount) in non-returnable funding towards the project. “We have succeeded in coming to an agreement with the Chinese government on the export of Hungarian milk products, Chinese experts have completed an audit of Alföldi Tej, the results of which will soon become available, and then the company’s products can set off for the Chinese market. The performance of Alföldi Tej fundamentally determines the performance of the Hungarian milk industry”, the Minister declared. “The company group purchases some 320 million liters of milk a year, making it Hungary’s largest purchaser, while total production by the group’s members represents a quarter of Hungary’s total raw milk production”, Tibor Mélykúti told the press. According to the Managing Director, the company decided on the new investment because the quantity of milk produced by the group’s members exceeds the 245 million liter annual capacity of its plant in Székesfehérvár, and 20% of raw milk production was having to be sold as a raw ingredient, often with significant losses.

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KNORR-BREMSE DEVELOPING SME SUPPLIER NETWORK Minister for National Economy Mihály Varga and the Hungarian companies of breaking-systems producer Knorr-Bremse concluded a memorandum of understanding to assist the development of Hungarian suppliers in the SME sector this February. As a result of the agreement, a national supplier program working group can be established, aimed at implementing supplier programs capable of assisting the development of SMEs in multiple ways and helping them join the Knorr-Bremse supplier network, according to a statement by the Ministry for National Economy. The Minister expressed hope that this scheme may serve as a model not only within the motor vehicle sector but also for enterprises operating in other fields. The Government had signed another agreement with Knorr-Bremse three years ago, as a result of which the weight of Hungarian operations has steadily increased. The Minister also highlighted the fact that while the traditional share of Hungarian suppliers at large motor vehicle or machinery manufacturers is some 10-30% in Hungary, it is 40-50% in the case of Knorr-Bremse. Thus, the company is linked to more than 400 Hungarian enterprises. Knorr-Bremse Hungary CEO Attila Bíró said that the company had a 20-year history of cooperation with Hungarian SMEs, and they received approximately 50 percent of their orders through Hungarian suppliers. Some of their suppliers have evolved from being a company with a turnover of a couple of million forints into multi-billion forint enterprises, where the number of employees has also grown many-fold, he added.

GRUPO SEGURA EXPANDS AUTOMOTIVE SUPPLIER CAPACITY IN SZOLNOK The Spanish Segura Group is investing over EUR 17 million to expand its automotive bodywork and engine metal component factory in Szolnok, Eastern Hungary and plans to create an additional 100 jobs there. The Hungarian government will contribute to the project with a non-refundable cash grant of about EUR 2.1 million. The President of the company, Francisco Segura Hervás announced in Budapest that due to this development, the plant area will increase to 25,000 square meters, which is a two-and-a-half-times increase in the area of operation compared to the start of production in 2007. The company, established in 1970, is engaged in the manufacture of automotive parts, primarily seats, bodywork, engines, exhaust systems and interior components. Its services include design, prototyping and mold manufacturing tasks, and it also performs stamping, welding, surface treatment and foaming. In addition to its three plants in Spain, the Group also has a production unit in China. The staff of the Szolnok factory provided assistance in the launch of the latter with their professional experience. The Group’s most important customers include, among others, the Volkswagen and PSA Peugeot Citroën concerns, BMW, Mazda and Volvo, according to the Hungarian Investment Promotion Agency (HIPA). F. Segura Hungary Ltd. has been operating in Szolnok since 2005. Its core activity is the manufacture of road vehicle and vehicle engine parts. The sales revenue of the company, employing over 200 people, exceeded EUR 28 million in 2015; almost 60% of this amount came from export sales.

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NOÉMI BRUZÁK/MTI, DÁVID HARANGOZÓ, ZOLTÁN MÁTHÉ/MTI, MÁRTON KOVÁCS/MFAT, OLI KEINATH/DIE HOFFOTOGRAFEN, BALÁZS MOHAI/MTI

“The German company ThyssenKrupp Springs and Stabilizers will construct a new factory in Debrecen with an investment of EUR 35 million and the creation of 250 new jobs”, Managing Director of ThyssenKrupp Presta Hungary Ltd., Marc de Bastos Eckstein announced at a press conference in Budapest this February. “The investment is a sign of our confidence in Hungary and the Hungarian workforce, and the decision will determine the future of the company in Hungary for years to come”, he added. “The ThyssenKrupp Group employs over a thousand people in Hungary, and in addition to the automobile industry, it is also present in the elevator technology sector and - together with Ferroglobus - is also involved in steel trade”, he told reporters. “The company has also been operating a software development center for steering transmissions in Budapest with over 500 research engineers since 1999, where research is also being performed on self-driven cars”, he continued. At the press conference, Hungarian Minister of Foreign Affairs and Trade Péter Szijjártó said that the government would be contributing HUF 3.8 billion (around EUR 12 million) in cash funding towards the investment. “ThyssenKrupp will be manufacturing the world’s most modern parts, springs and stabilizers in Debrecen, which are used by the world’s largest car manufacturers”, he added.

Within the framework of a EUR 7.4 million project, the company GSI - a global leader in the grain and protein solutions - will purchase modern machinery and equipment and plans to double its current staff in the coming years. In addition to conducting manufacturing activity, the Hungarian plant in Biatorbágy, just SW of the Budapest, will also carry out engineering services (R&D). The Hungarian government has provided VIP status for the permitting procedure of the investment project, according to the Hungarian Investment Promotion Agency (HIPA). The products and services of the American based AGCO Group cover the entire agricultural equipment product portfolio. Seated in Duluth, Georgia, the company employs roughly 20,000 employees. It is present in 140 countries with approximately 3,000 dealerships, making it one of the world's largest agricultural equipment companies. The Budapest based IT Development Center of AGCO Hungary - with staff of close to 90 employees - provides IT support to the entire Group, thereby ensuring the smooth global operations of the company. GSI‘s grain branch offers full-scale grain storage, material handling and drying equipment solutions to small family farms, large producers, and to the leading merchant and processing companies. The Hungarian subsidiary of the GSI Group has functioned as the regional center of Europe, the Middle East and the CIS countries since 2013. GSI Hungary Kft. carries out the manufacture and regional distribution of grain storage, conditioning and material handling equipment.

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THYSSENKRUPP TO BUILD NEW PLANT IN DEBRECEN

EUR 7.4 MILLION DEVELOPMENT PROJECT IN BIATORBÁGY

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analysis

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CAN STOCK PHOTO INC.

BY TAMÁS MAGYARICS

It is stating the obvious to say that there has been a shift from the Atlantic Ocean towards the Pacific Ocean in terms of the economic, political, and strategic importance of the two respective regions. Although, it is premature to talk about the terminal decline of the West, there is no denying that the Atlantic community, especially its European members, have had to concede to the Asia-Pacific community in a number of fields recently. It seems that the real front drawn between the liberal world order based on Western concepts of free markets, parliamentary democracy and open society on the one hand, and a more conventional interpretation of international relations emphasizing balance-ofpower considerations, economic protectionism, and non-intervention into the affairs of other states, on the other one, can be found in Asia. The world order was created by the United States after World War II; with the collapse of the Soviet Union it seemed that – as Charles Krauthammer put it – a ’unipolar moment’ (or even a longer period) had come for America to exert a hegemonic influence almost all the world over. However, maintaining an empire (even if the term is unpopular with a lot of Americans who claim their country to be ‘exceptional’ in the sense that its actions are not motivated primarily by raw interests) is troublesome and expensive in many ways. The election of Donald J. Trump last November indicated that a substantial segment of the American people at large have second thoughts about their country’s extensive commitments from Japan to Estonia, and elsewhere. In fact, President Obama might have had his misgivings about the overextension of his country too; however, he, as a consummate politician, chose his words carefully to hide his thoughts. The ’reset’ of relations with Russia basically meant an attempt of retrenchment, so was the ’rebalance’ (’pivot’) to Asia in essence, not even mentioning withdrawal from the Middle East. His strategic goal might have been accommodating the basically anti-status quo powers, namely Russia and China. In theory, it might even work, though historical experience suggests otherwise. China and Russia are not quite satisfied with the current world order from different points of view. The U.S. (and the West) tried to integrate China into the ’liberal’ world order by, among other things, co-opting Beijing into the World Trade Organization. China has been taking advantage of the globalized economy for sure; however, the underlying political and military realities are not quite to her liking. The increasingly assertive China has been aggressively trying to expand its sphere of influence in the South China Sea and the East China Sea alike. The Chinese moves alarmed her neighbors from Japan through the Philippines to Vietnam. Washington also got involved in the disputes for serious strategic reasons. The South China Sea is one of (if not) the most important maritime trade routes in the world with a trade volume of some USD 5 trillion a year. China has deployed military assets on some of the disputed rocks (extended artificially) in the region, threatening the countries around the South China Sea. She attempts to ’export’ the A2/AD (’anti-access, area denial’) principle from the East China Sea; Beijing introduced this w w w . d t e u r o p e . c o m

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POWER PLAYS IN ASIA

YEAR OF THE ROOSTER OR YEAR OF THE EAGLE?

unilateral policy over the disputed Senkaku/ Diaoyu Islands (Japan and Taiwan also claim sovereignty over these territories). The strategic implications of the latter area are more obvious and direct than in the South China Sea: Japan is the single most important ally of the U.S. in the Pacific (the recent Trump-Abe meeting reinforced this bond between the two countries). The U.S.-Chinese relations are also crucial on the Korean Peninsula. The increasingly reckless North Korean leader, Kim Jong Un’s position is safe only as long as Beijing keeps the ’Hermit Kingdom’ afloat economically (and diplomatically and politically alike). China is of, at least, two minds with regard to Pyongyang. A collapse of the regime is bound to result in the unification of the two Koreas, and a unified and strong Korea, allied to the U.S., is not exactly what the Chinese would be happy to see. There are two caveats, though: Seoul itself is not that keen on a unification after witnessing the enormous costs and other problems of the German unification (admittedly, the two Germanys were closer economically than the two Koreas right now). Second, in case of a unification,

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South Korea would not need American security guarantees, and the U.S. troops may well be asked to leave. Thus, the U.S. would lose its sole mainland bridgehead, and would have to resort to exclusively offshore balancing. Therefore, North Korea is a convenient ’bogey man’ for the U.S., and Washington may not be that determined to crush the Communist regime there for this reason. The recent agreement between the U.S. and South Korea about the deployment of the THAAD (terminal high altitude area defense) system may serve as a deterrent of not only the northern neighbor… Russia has also shared the benefits of a globalized economy more or less, but President Vladimir Putin has expressed repeatedly that Moscow has a different world view than the West. The current Russian leadership sees international relations as a ’zero-sum’ game, and they do not believe in the ’liberal win-win’ scenarios. President Putin unambiguously spoke about the need for a ’new Yalta’ in Crimea in August 2014; that is, the separation of the spheres of influence. Unfortunately, it is more and more difficult to realize this vision: the

globalized world has produced globalized and transnational challenges from cybersecurity to terrorism, and proper responses to them can only be efficient if there is close cooperation between the countries affected. Moscow, very much like Beijing, aspires to become a regional hegemon - the former in East and Central Europe as well as Central Asia, while the latter in East and Southeast Asia (along, among others, the ninedash-line). As they are not in the same ’league’ with the U.S. in terms of almost all elements of hard and soft powers, they have resorted to asymmetrical challenges (’soft balancing’), such as cyber warfare or trade (for instance, despite the fact that China is a member of the WTO, she reportedly regularly violates the organization’s rules; measures to redress them within the WTO is too cumbersome and slow). Out of the two anti-status quo powers, it is China that clearly has a larger potential to challenge the U.S. globally than Russia. The duel for world leadership is likely to be decided by them. The opening salvos have already been figuratively fired; one can only hope that they will not be followed by real ones.

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BORN IN BUDAPEST

For Juraj Chmiel, representing the Czech Republic in the Hungarian capital is yet another return as he was born in Budapest! “My mother was Hungarian (unfortunately she passed away a long time ago). She met my father during her studies in Prague and she stayed in Czechoslovakia. However, she wanted me to be born in Budapest, where I visited until the age of 18, so I practiced the language. I loved the music life here (groups like Locomotív GT, Omega etc.), I was fascinated by ‘Isván, a király’ (Stephen the King), which was probably the first rock opera behind the Iron Curtain. I often went to the cinema, especially when I could see films that we could only hear about in Czechoslovakia at that time. Although, I never learnt Hungarian in school, I tried to read in this language. My favorite books in my childhood were about a kitty called Sicc (Shoo!). Mind you, I am a typical V4 person: half Hungarian, a quarter Czech, a quarter Polish and I grew up in Slovakia where my parents moved’. My favorite places are thermal spas, caves, Dobogókő with its view, Lake Velence, restaurants serving halászlé (fish soup) and thousands of other places,” the Ambassador concludes with a smile.

many agendas, it works and delivers. “The Visegrád cooperation is an important and integral part of our foreign policy, which shows within the EU framework, as well. It is true that we have not always reached a consensus within the V4 on solutions to some foreign policy issues or a common position within the EU framework. As a government official I participated, on various levels, in many coordination meetings. Sometimes we agreed, sometimes not, but agreements prevailed. However, the times when we were forced to have one common position are fortunately history and I hope that those will never ever return. The critics and wrong-wishers of V4 cooperation, who are predicting the ‘imminent death’ of the V4 should bear this in mind. The V4 is more and more attractive for other countries, which shows in increasing demand for cooperation in the V4+ format or in the International Visegrád Fund. Certainly, the Visegrád cooperation in the EU was not always successful but in most cases it reached concrete results. We highly appreciate mutual exchange of information and experience, coordination of positions, including cooperation on specific issues.” On July 1, 2015 the Czech Republic took over the presidency in Visegrád Group with the motto ‘V4 Trust‘. “As I find the V4 cooperation important at multiple levels and bodies and the promotion of partnership and cooperation between municipalities and regions, I had lectures about the Czech Presidency at some universities, in Hungarian Parliament and at our Embassy. It was also during this presidency that we celebrated the 25th anniversary of the founding of the Visegrád Group,” he remembers.

HONORARY NEIGHBORS INTERVIEW WITH JURAJ CHMIEL CZECH AMBASSADOR TO HUNGARY

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Economic relations Ambassador Chmiel stresses that economic and trade relations between the countries are traditionally good. “According to the latest available figures, the total turnover in 2015 exceeded EUR 7.2 billion, a record in the history of bilateral trade relations and I am happy to state that we expect that the turnover in 2016 will be around EUR 7.5 bn. From the Czech side, Hungary has long ranked around 8th or 9th place in the comparative chart of most important trade partners. From the Hungarian point of view, this ranking is 7th or 8th. Over the last year, we were registering an increase of about 10% of Hungarian export into the Czech Republic, thus the existing huge trade surplus of the Czech Republic has been slowly, but surely levelling, which is a

V4 cooperation Both the Czech Republic and Hungary are members not only of the EU but (along with Poland and Slovakia) of the Visegrád Four (V4) cooperation, as well. Ambassador Chmiel is of the view that the V4 has become an “established trademark” and in M A R C H

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Although, the Czech Republic and Hungary do not share a common border, as they did in the times of Czechoslovakia, the Ambassador says “we consider Hungary to be an ‘honorary neighbor’ and one of our closest partners on bilateral, regional and multilateral levels. I appreciate the high quality of our relations. Our aim is to preserve these excellent ties in the future.” As an example, he mentions a visit by the Committee on Agriculture of the Chamber of Deputies of the Parliament of the Czech Republic to Hungary which took place in April 2016 and the invitation by Hungarian Minister of Foreign Affairs and Trade Péter Szijjártó to our Minister of Foreign Affairs Lubomír Zaorálek to attend the annual meeting of Hungarian ambassadors in Budapest at the end of last summer, where he gave a speech. Deputy Minister of Foreign Affairs Lukáš Kaucký visited Budapest in October 2016 and the Minister of Transportation, Dan Ťok is

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Honorary neighbors

coming in February 2017. “We hope that President János Áder and Prime Minister Viktor Orbán will visit the Czech Republic in the near future and we are expecting the official visit of the President of our Senate, Milan Štěch, to Budapest, in April. Of course, I would like to see more official visits, however the relatively lower number of bilateral visits is due to the fact Czech and Hungarian officials meet so often in multilateral (EU, V4, etc.) events,” he adds.

DÁVID HARANGOZÓ, PIXABAY.COM

Ambassador Chmiel presented his credentials to Hungarian President János Áder in October 2014. Apart from setting for himself such traditional ambassadorial objectives as strengthening the good bilateral relations and developing economic and trade contacts and investments, he aimed at focusing on political dialogue on regional issues, security policy and EU affairs, as well. “I try to promote the Czech Republic and its individual regions. I am a big supporter of the development of the ‘twin towns’ projects between Czech and Hungarian villages and towns – there are 32 such partnerships. In addition to higher levels of ‘big politics’ conducted by the politicians, this kind of cooperation gives a real opportunity to the citizens of our countries to get to know each other better. Especially young people from both sides should have a chance to discover each other's culture, the beauty of the country and get to know each other as much as possible. We should never forget that we, in the middle of the Central Europe, have had a common history, we have a common present and we will have a common future, also. Therefore, I was happy to be a participant of an event this January, where mayors of the second largest cities of Hungary and Czech

Republic, Debrecen and Brno, respectively, signed a partnership contract. Last year, our Embassy prepared an exhibition - shown in Sárospatak in the northeast and Szeged in the southeast of Hungary that presented the life and assets of two prominent figures of Czech history Jan Hus and J. A. Comenius,” he explains to Diplomacy&Trade.

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BY SÁNDOR LACZKÓ

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czech focus CULTURAL RELATIONS The Czech Embassy in Budapest, together with the Budapest Czech Center (CC) – a cultural institute set up and funded by the Czech Ministry of Foreign Affairs – organized a number of cultural events during the past year. Ambassador Chmiel highlights three (of the 42) events, which received the most positive response from the Hungarian visitors. Czech Film Carnival 2016 The carnival presented the current crop of the best Czech films and - in the retrospective part - the films of the duo Jan and Zdeněk Svěrák were introduced. The carnival in the Toldy movie theater in Budapest attracted 1,450 people. Y.EAST Festival It premiered in 2016 at the festival in the Zsámbék Theater Base, just west of Budapest. The Y.EAST Festival aims to introduce the youngest generation of theater artists from the Czech Republic

good sign of mutual trade relations. In retail trade, one must definitely mention the sale of Skoda cars and that of Czech beer, of which 28 producers are represented in Hungary, including the biggest ones, eg. Staropramen, Budvar, Plzeň.” As regards the important Czech investors in Hungary, he mentions AAA Auto (sale of used cars); Carlsbad Mineral Waters (with the famous trade mark ‘Mattoni‘), which purchased the Hungarian mineral water company Kékkúti Ásványvíz; Agrofert Group (with the purchase of the NT Group in Kiskunfélegyháza, SE Hungary); and EP Energy (EPH Group), which purchased the power station Budapesti Erőmű from the French company EDF last year. Also well-known is the Ravak company (bathroom equipment). The latest huge investment, he adds, was implemented just few weeks ago by the Czech real estate group CPI when it purchased some big shopping centers in Hungary such as Pólus, Campona and Andrássy Complex in Budapest and two Interspar shopping centers in the Hungarian cities Zalaegerszeg and Nyíregyháza. “I must add that we appreciate the dynamic growth in Czech-Hungarian bilateral trade in recent years but I must also emphasize that there is always space for further growth. As for the near future, there is a great potential for increasing benefit from the industrial cooperation between our countries in the planned reconstruction and modernization of PAKS I and building of PAKS II nuclear plants,” he points out.

DÁVID HARANGOZÓ, PIXABAY.COM

PIXABAY.COM

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Tourism In tourism, Prague and Budapest have always been competitors. Prague – and the Czech market – is smaller but attracts more visitors and its airport handles more visitors. When asked about the secret of success, the Ambassador says that both cities have a lot to offer foreign visitors but from a different point of view. “In the case of Prague, it is history and architecture, as Prague has so many landmarks from all the architecture styles, but mainly the Baroque period, and all these landmarks and sights are located in close proximity, easily reachable on foot. Prague is located in the heart of Europe and its modern Václav Havel Airport is definitely a

as well as from Hungary and Romania. During the four-day event, ten theatrical performances and 4 concerts were staged. Villa Tugendhat exhibition The Villa Tugendhat, located in Brno in the Czech Republic was included in the UNESCO World Heritage List in 2001. The Villa Tugendhat exhibition reviewed the history of the villa and its architectural values and were presented in three different locations in Hungary (Budapest, Pécs and Debrecen) in 2016. This year, those interested can also look forward to the Y.EAST Festival and Czech Film Carnival. The Czech Embassy in Budapest also wishes to present the exhibitions of Jan Hus and J. A. Comenius in Pécs and Debrecen as a part of the celebration of the 500th anniversary of the Reformation and the Ambassador hopes that a concert by the Prague Philharmonic Choir during the Budapest Spring Festival on April 6, 2017 will be an enjoyable experience for the Hungarian

FACTS COMPARED AREA country comparison to the world POPULATION country comparison to the world POPULATION GROWTH RATE country comparison to the world BIRTH RATE country comparison to the world LIFE EXPECTANCY AT BIRTH country comparison to the world NET MIGRATION RATE country comparison to the world GDP - PER CAPITA (PPP) country comparison to the world UNEMPLOYMENT RATE country comparison to the world TELEPHONES - MOBILE/CELLULAR country comparison to the world AIRPORTS country comparison to the world

audience. According to the Ambassador, the big challenge will be next year when the 100th anniversary of establishment of Czechoslovakia will be celebrated. “When we talk about cultural cooperation between our countries, we should not forget t he graduates of Czech studies (Bohemistica) and Hungarian studies (Hungaristica). From my perspective, the importance of the work of graduates of Czech studies in spreading the good image of the Czech Republic and Hungary and in the development of Czech-Hungarian cooperation is indisputable. Therefore, the Czech Embassy in Budapest, along with CC Budapest consider it their duty to be helpful in maintaining and expanding existing teaching capacities of the Czech language in Hungary. “I am very glad that CC Budapest is able to attract more and more students who study the Czech language. Their number in the 2016/17 class reached 236,” the Ambassador adds.

HUNGARY

CZECH REPUBLIC

93,028 sq km 110 9,874,784 (July 2016 est.) 91 -0.24% (2016 est.) 216 9.1 births/1,000 population (2016 est.) 207 75.9 years 92 1.3 migrant(s)/1,000 population (2016 est.) 57 $26,200 (2015 est.) 70 6.8% (2015 est.) 79 11.786 million 76 41 (2013) 104

78,867 sq km 116 10,644,842 (July 2016 est.) 87 0.14% (2016 est.) 191 9.5 births/1,000 population (2016 est.) 203 78.6 years 56 2.3 migrant(s)/1,000 population 42 $33,200 (2016 est.) 58 5.6% (2016 est.) 60 13.925 million 70 128 (2013) 46

contributor to the quantity of foreign tourists (mainly from Europe, but also from overseas), who each and every year visit the Czech Republic. I must stress the fact that majority of them stay in Prague only, although we have many other beautiful cities in our country, which has much more to offer than Prague: excellent beer, wine, palinka, food. Last year, we registered the biggest number of passengers (over 13 million) arriving by air to the Czech Republic.” According to the Ambassador, “we can evaluate it very positively that the number of Hungarian tourists who visited the Czech Republic and Czech tourists who visited Hungary are growing every year. According to statistical data available for the first three quarters of last year, the number of tourists increased by 18% in both directions. The truth is that roughly three times more tourists come from the Czech Republic to Hungary than vice versa, making the Czech Republic the third largest country of origin of foreign tourists in Hungary.”

Czech models The Czech automotive industry enjoys a boom, Skoda is no longer considered a second class (Socialist era) car. As Ambassador Chmiel highlights, the Czech Republic (and previously Czechoslovakia) has traditionally been an important producer of passenger cars as well as heavy duty trucks. The Czech trademarks such as Laurin & Klement, Tatraplan, Spartak, Skoda MB, Skoda Felicia, Octavia, Superb and now latest model Skoda Kodiaq and in the segment of heavy duty vehicles, Tatra, are famous all over the world. “These vehicles are very popular and achieved good sales figures in the domestic and international markets. The privatization of the Skoda automobile plant at the beginning of the 1990s was a great success. Nowadays, Skoda cars are among the best selling vehicles of the whole Volkswagen concern. Skoda models are also very popular on the Hungarian market. Last year, for example, the Skoda Octavia was the second bestselling passenger car in Hungary after Suzuki. The Czech automobile sector produced more than 1.3 million cars altogether last year. Thus, the Czech Republic became – after the Slovak Republic –, the second biggest producers of cars in the world compared to the population: 118 pieces per 1,000 inhabitants. Skoda brands are not only known in Hungary for good passenger cars, but also for trams made by Skoda Transportation and trolleybuses, produced in cooperation with the Polish manufacturer Solaris.

Source: World Factbook

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czech focus MASTERING AN EXPENSIVE TOY INTERVIEW WITH OSCAR WINNER CZECH MOVIE DIRECTOR JIŘÍ MENZEL

known as director but you have also acted in as many as 75 movies. Which one do you like to be considered, actor or director?

JIŘÍ MENZEL I ended up in front of camera by accident, thanks to director Jan Kadár and since that time, I act from time to time in the films of my friends. I cast myself in my films only twice. Once, it was necessity and second time - in error. I admire good actors and I respect very much the actor’s profession. That is why I do not consider myself to be an actor, I just enjoy it, I am having fun doing it, I watch on the set how my colleagues work, in most cases they are also my friends. I am saying to myself: he cast me, it is his risk and his presumption.

me that “he has an Oscar, so, maybe he is not a dummy“. Personally, I know very well that Academy Awards have been given for many not so great films, and on the other hand, many very good films did not have a chance in this Oscar competition. By the way, this is valid also about the other film prizes. I have been on many juries at many film festivals and I know that festival prizes and other prizes are not the genuine evaluation of a film. This must be done by the viewer on his or her own. Perhaps, the awards and prizes just support the interest of the audience? Nothing else.

JIŘÍ MENZEL No. After all, a few months later, Czechoslovakia was invaded by Soviet tanks, and we had some other concerns. I also know very well, that this Golden ‘dandy’ called Oscar helped to enhance my prestige in a way. Other people think about

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several Hungarian artists and played in several

known movies are based on novels and stories (like the

Hungarian movies - the latest being ‘The door’ by fellow

‘Snowdrop festival’, for instance) written by Bohumil

Academy Award winner director István Szabó - and

Hrabal. What is the secret of success? Was it natural

you also had a leading actor (János Bán) in the film ‘My

combining your talent with that of Mr. Hrabal?

sweet little village’. Where does this long relationship with Hungary and the Hungarians (officially recognized with a Middle Cross of the Order of Merit of the Republic of Hungary in 2004) originate and how has it evolved?

JIŘÍ MENZEL Despite the fact that we speak different languages, we have had a very similar history in the past couple of centuries here in Central Europe. That is why I think we understand each other. The first time I was invited to Hungary was by director Lívia Gyarmathy and later on, I appeared in several other Hungarian films – however, not as an actor but rather as a friend of my Hungarian colleagues. István and I are nearly like a twins. We were born nearly in the same day, and our life destinies are very similar. My second twin brother is János Bán. Not by the date of birth, but by nature.

DIPLOMACY&TRADE Most of the movies Central European mentality from the leisure-filled Czech countryside to the corruption-filled atmosphere in the to you to touch upon and deal with these subjects?

Academy Award in 1968 for ‘Closely watched trains’. Did that recognition change you in any way?

DIPLOMACY&TRADE You have befriended

DIPLOMACY&TRADE Many of your best-

you have directed or played in reflect a characteristic

Hungarian movie Rokonok (Relatives). Was it natural

DIPLOMACY&TRADE You received the

read his novel in one of the magazines for the first time, I knew that this was great author. Nearly every sentence he wrote contains humor and a reason for tears. This is a great contribution for the film, and I was lucky that I could work with him - to serve as an interpreter of his works into the film version.

JIŘÍ MENZEL I was not thinking about subjects. I only did the work which was offered to me and for which I had courage. I never had enough courage to decide which script I should pick. Simply, I was hired to carry out the director’s job and none of my films appeared to be based on my motivation. For me, the feature film is a very expensive

JIŘÍ MENZEL I loved to read Czech literature. In Hrabal, I saw an author whose work contain everything good I knew from Czech literature. He was, in his texts, brutally sincere and this was not liked very much by the Bolsheviks. That is why this great author could not be published. It was only later, in the 1960s, when the Bolsheviks got tired and were not as watchful, that Hrabal´s works could be published from time to time in different magazines. When I had the opportunity to M A R C H

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DIPLOMACY&TRADE What are you working on now and what are your plans for the future?

JIŘÍ MENZEL I do not have plans, I work based on order but at the moment, I do not have a concrete job. I have to confess that this situation satisfies my lazy nature.

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DIPLOMACY&TRADE You are best-

toy, so, I do not feel I am competent to decide by myself on which project money would be spent. This risk should be the responsibility of the person who finds money for the film and who has courage to entrust me with spending this money. His confidence binds me, I try to be responsible, but still, I do my work without having a personal risk.

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When covering the subject of Czech-Hungarian cultural relations, the name that comes to most people’s minds is that of the world-renowned Academy Award winning Czech movie director, Jiří Menzel, especially now that it is the 50th anniversary of his Oscar winning movie ‘Closely watched trains’ being released in Hungary. Diplomacy&Trade asked him about his career behind and in front of the camera and about his well-known friendship with Hungary and Hungarian artists.

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TASTE THE PLEASURE FROM PRAGUE Because Staropramen has an unchanged recipe since 1869: Saaz hops, two raws barley and unique Czech yeast.

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czech focus GERMAN TECHNOLOGY WITH CZECH TRADITIONS

SKODA IS THE MOST POPULAR CAR BRAND IN EAST CENTRAL EUROPE

The Brand Manager believes this cooperation is based on a good foundation as a result of which, better and better cars with more and more modern technology are manufactured. The Czechs have growing independence in managing the Skoda company - from design to manufacturing - with only a few Germans ‘left’ in the management. He is of the opinion that customers base their decision on several factors of which one is brand loyalty. “In this respect, Skoda is doing quite

Value with a little extra “Belonging to the Volkswagen Group means common developments and we often use the same technology platforms, including engines, transmission technology, electric solutions, etc. that make life easier for all of us as this way, we can design and produce cars at a lower price and with better technology. It is a very important

factor but all four brands within the Group have their own independence,” Balázs Dalnoki explains. “I believe that Skoda cars have managed to remain the car for the everyday person. It means a very good price/value ratio with something extra that gives customers a little better, a little more practical product than our competitors. We believe in these traditional values and we wish to cherish them in the years to come, as well,” he adds. Skoda, as a brand, has developed in Hungary step by step, the more and more popular models appealing to more and more customers. In the first period, these were small cars like the Felicia but once the Octavia model hit the market, it became an instant hit and its latest version is, in fact, the top-selling model in its category in Hungary and in a few other countries. According to the Brand Manager, it was a big step when Skoda ventured into the bigger category with the Superb model. “First, some people thought it was too big of a step but I believe the professional and financial successes of the past years have indicated that we can cope with the expectations. The Superb is a wellknown and widely respected model in the corporate world as well as in the Hungarian state administration, which represents the success of the brand in its look, technical specifications and even in price/value ratio.”

the market leader in Hungary in this respect – a position we would like to retain in the long term. This shows that we can successfully comply with the challenges and expectations of these customers,” Dalnoki explains.

The future draws near According to the Brand Manager, “a lot of people are talking about the automotive industry going through a substantial transformation soon. I believe it is true. In the past decades, cars became finer, richer in detail and generally better but the breakthrough is still before us both in the mode of drivetrain and in driving.” As for drivetrains, he is of the view that the eventual solution is likely to be the electric vehicle whose development poses a challenge for Skoda, as well. “The second breakthrough will come in the field of self-driving cars. Actually, these two might as well happen in parallel. In the case of Skoda, we expect self-driving vehicles with quickly developing partial solutions - gaining ground in the very near future. Today, we are already in an advanced stage with developments (driver assistance systems) that bring us closer to this future: for instance, the adaptive cruise control and the traffic jam monitor are able control speed or halt the car, while a lane-keeping assistance system is able to even take the curves.” Balázs Dalnoki believes it is important that no completely self-driving cars are allowed on the roads until the proper legal environment is created but the moment will soon come when one can concede the steering wheel to the automated system freely and legally. “As to what sort of car that will be possible in, Skoda will soon present a concept vehicle - possibly as early as this year - that will represent the progress the company has gone through recently,” he concludes.

All-terrain brown bear The real novelty is the appearance of the latest model, the Kodiaq SUV. It is a quite large all-terrain vehicle that can accommodate up to seven people - for the first time in the history of the Skoda brand. It is named after the Kodiak brown bear of Alaska, the largest brown bear species: majestic, strong and big - values that this vehicle also reflects. “As regards the total Skoda sales in Hungary, the corporate and public sectors account for about 80% of the purchases, making the Skoda

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well! In fact, the latest survey by automotive companies on client loyalty rate suggests that this figure is the highest for Skoda. It means that there is something that customers like in our products, services, brand - and they find that on the long term, as well. We have a lot of clients who buy the fourth, fifth or even sixth Skoda car. These are obviously satisfied and therefore, returning customers loyal to the brand. Of course, this loyalty is not automatic; we have to do our share to maintain the trust of these people in Skoda cars. What is needed, first of all, is the excellent product that we get from the manufacturer. The Czech people are proud of their heritage and their roots that you see in recurring elements from the past like the work of Czech crystal polishers in lamp designs. The actual manufacturing of Skoda cars for the Central and Western European region takes place in the Czech Republic only.” Skoda cars also reflect a Central European sentiment that appeals to people - especially in this region. In the Czech Republic (as well as in Slovakia that was known as Czechoslovakia until 1992), Skoda is the market leader - as it is in Poland, while in Hungary it has been in the top three in the past years. Thus, these Visegrád Four countries count as traditional markets for Skoda cars.

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The manufacturing of Skoda cars dates back more than a century. The vehicles of the Czech automaker were popular in Hungary even before the fall of the ‘Iron Curtain’. As regards the image of Skoda cars in this country nowadays, Balázs Dalnoki, the Skoda Brand Manager for Hungary tells Diplomacy&Trade that “I believe Skoda is the best example of how a car manufacturer can go through a seriously positive transformation. It is probably the car brand with roots in the communist era that has achieved the brightest career and grown into a world class manufacturer.” He adds that gathering from the feedback from customers, the popularity of Skoda is partly due to the fact that people usually cherish good memories about Skoda cars they used in the past decades. “Of course, the other factor is that the Volkswagen Group purchased the Skoda factory from the Czechoslovak government in 1990 and the precise ingenuity of German engineers was amalgamated with the dedicated Czech industrial culture. Bohemia has long been an industrialized region - even within the Austro-Hungarian Monarchy.”

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THE FIRST MULTILATERAL AGREEMENT BETWEEN POWER, DESIGN, COMFORT AND SAFETY. We could call it compromise, but we prefer to call it diplomacy. The ŠKODA Superb brings out the best of all worlds.

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czech focus

CONNECTING CENTRAL EUROPE TO THE WORLD INTERVIEW WITH JÁN TÓTH, CZECH AIRLINES DIRECTOR OF COMMERCE & ALLIANCES DIPLOMACY&TRADE There are three daily return flights between Prague and Budapest. How does that help connect Hungarian passengers to worldwide destinations through Prague as a hub?

JÁN TÓTH Our Budapest-Prague connection is used primarily by local travellers, predominantly businessmen for their trips between the two cities. They are complemented by a natural flow of transfer passengers and the leisure segment. Our Prague-Budapest route is, thanks to the number of frequencies and the schedule, linked with many connecting Czech Airlines’ and our partner airlines’ flights around and outside Europe. Travellers can continue either during the noon departure slot from Prague, for example to North or South Europe, or use the evening or night slots to Eastern Europe, Lebanon, Saudi Arabia and Seoul. Passengers can reach more than 110 destinations in more than 40 countries worldwide via direct flights from Prague. Thanks to one-way tariffs offered by Czech Airlines on the Budapest-Prague route, Hungarian travellers can use one of the many connecting flights if they choose Prague as their transfer point in at least one direction in which they fly. The frequency of Czech Airlines flights between Prague and Budapest also allows Hungarian passengers to make a stop here and enjoy a day trip to Prague city centre, where they can indulge in local gastronomy and the renowned Czech beer or beer specials at one of more than 30 local breweries and hundreds of traditional pubs and bars with a wide selection of interesting regional specialities. DIPLOMACY&TRADE Tourism numbers are increasing in Hungary. How much does Czech Airlines contribute to this and other

Living in the Czech Republic, he has not forgotten his Upper Hungarian roots (born in Rožňava, Slovakia) and proudly acknowledges them. He has been with Czech Airlines for over 20 years: since September 2014, in the role of Director of Commerce & Alliances. Four years before that, he worked at the SkyTeam Alliance headquarters in Amsterdam as Director of Alliance Operations. From October 2003 to October 2010, he worked in several commerce management positions in Switzerland and Russia, initially as Czech Airlines Director of Commerce responsible for Switzerland and, since April 2007, as Czech Airlines Regional Manager for Russia and the Commonwealth of Independent States. From December 2000, for almost three years, Mr. Tóth worked as Director of Alliances and International Relations. He joined Czech Airlines in April 1996 as Manager of Business Contracts. He studied at the University of Economics Prague, specializing in International Politics & Diplomacy with the complement of Tourism & Hotel Management. He speaks Hungarian (mother tongue), Czech, Slovak, English, German and Russian. His favorite pastimes are opera, classical music, art and travelling.

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connection between Beijing and Prague. Last, but not least, I would like to mention charter flights, recently operated by Czech Airlines to Hungary. It is not out of the question that Czech Airlines aircraft will start appearing at other airports in Hungary, providing non-scheduled flights for tour operators this summer season. DIPLOMACY&TRADE You have quite a young fleet. What are the considerations when you acquire new planes and what advantages do these have for the passengers and for the airline?

JÁN TÓTH Last year, Czech Airlines made a few important decisions which will lead to the continued development and modernization of our fleet. We use two types of aircraft-turbo propeller ATR 42 and 72 aircraft for short-haul services up to 1.5 hours long and Airbus A319

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clients from the above-mentioned destinations returning to Central Europe more frequently. The late afternoon and evening services to Budapest connect to our and our partners’ flights from Northern Europe and, most importantly, to flights from South Korea. Korean tourists not only like Prague and the Czech Republic, but also venture more often to other cities and countries in Central Europe. They divide their stays between Prague and other important cities, such as Budapest, Warsaw or Zagreb, which they can reach using our regular flights linked to the arrivals of Czech Airlines and Korean Air flights from Seoul. Lately, Chinese tourists have also started heading to Central Europe via Prague thanks to the co-operation of Czech Airlines with its partner airlines in China, such as Hainan Airlines, which operates a direct

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of our flights, our morning frequencies and our overnight slots primarily from Eastern Europe, i.e. from Russia and Ukraine, and, in the summer season, also from Lebanon and Saudi Arabia. A wide range of Spas offering treatments and high quality services at attractive prices keeps

PETR HEJNA/HEJNA.EU, CZECH AIRLINES

JÁN TÓTH Czech Airlines offers regular connections between Prague and Budapest with up to three return frequencies a day, which is appreciated by all target groups starting with business travellers – the most frequent clients on the route –, transfer passengers and tourists, i.e. the leisure segment. Thanks to the structure of our fleet, our experience and market knowledge, we can offer a flexible product on this route and a high frequency of connections. Our route to/from Budapest also connects to most

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incoming tourism in the CEE region?

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czech focus and A330 for all other connections. The planned expansion of the fleet concerns both types of aircraft. I will start with ATRs as it is the type servicing our Prague-Budapest route. Last spring, we started expanding our ATR aircraft fleet by including ATR 72s with a brand-new interior, including modern leather-covered seats and staff areas. Towards the end of this March, we will include another ATR 72 aircraft in our fleet of the same quality as last year’s addition and in the same configuration of 70 seats. For the first half of this year, a complete change of seats and other interior parts has been planned for the rest of our ATR 72 aircraft, resulting in their unification with the two new machines. Thanks to this, we will be able to offer passengers on our shortest routes a unified product, increased comfort and more in-flight services. Another milestone reached by Czech Airlines towards the end of last March was the signature of a new purchase agreement for seven Airbus A320neo aircraft. Approximately by the end of 2020, Czech Airlines’ fleet will include new-generation economical aircraft which will in turn replace the remaining Airbus A319. Czech Airlines will thus increase its offered seat capacity and, thanks to new generation engines, expects a significant reduction in fuel consumption and produced emissions. Our passengers and clients can look forward to modern, comfortable and fully-equipped aircraft. DIPLOMACY&TRADE Czhech Airlines is part of the 20-member SkyTeam alliance. What benefits does this membership provide for the passengers and for the airline?

JÁN TÓTH Just as to any membership in an organization, association or alliance, there are two sides to a membership in an alliance of airlines. Nevertheless, the positives for both a membership airline and for its passengers prevail. The first benefit is the natural interconnection of our networks, the options of code-sharing and mutual acknowledgement of tickets which, de facto, means an unlimited offer of connections worldwide. The second

passport and security control and, at airports where this is supported by the infrastructure, including Prague and Budapest, a visit to the SkyTeam Alliance Business Lounge, priority boarding and priority baggage handling. Business Class travelers also enjoy increased baggage allowance and can carry 2 pieces of hand baggage and 2 pieces of checked baggage (32kg each). Moreover, Business Class passengers are awarded more miles to their loyalty program, either our own Czech Airlines OK Plus membership program or any SkyTeam Alliance Loyalty Program. Business Class tickets are fully flexible including refund or rebooking options prior to as well as after departure. In many markets, we see the growing potential of clients who are happy to enjoy travelling Business Class even on short-haul routes, for example when on holiday, but do not require the flexible aspects of their ticket. In December 2016, we launched the Business Lite tariff package for these clients which allows them to enjoy the high standard of all services featured in Business Class with limited ticket change and refund options only. DIPLOMACY&TRADE How does your benefit is the very valuable sharing of information and experience among member airlines, primarily in the area of security, flight safety, operational procedures and more. Launching common products at popular airports, such as the SkyPriority or lounge visits, means that client receive the same, predictable and expected standards during the check-in process irrespective of the country and airport. Finally, there is also the interconnection of our loyalty programs, the option of collecting miles or points and our clients enjoying the benefits and the option of applying common criteria when selecting suppliers at particular airports, thus enjoying better perks. The alliance of airlines logically has much greater potential

for broader and more in-depth co-operation of its member airlines, but it is unfortunately often limited by EU anti-trust regulations. DIPLOMACY&TRADE What special services do you offer for business class travelers?

JÁN TÓTH We offer a high standard of service from the moment Business Class passengers check-in until the moment they leave the airport building at their final destination and we do so on all Czech Airlines flights, including the shortest ones. Our exceptional on-board menu is changed monthly. The SkyPriority service is a natural part of travelling Business Class, which includes priority check-in, the use of Fast Tract at the

‘Environmental Management System’ help reduce the environmental impact of air carriage?

JÁN TÓTH Having implemented an active ‘Environmental Management System’, Czech Airlines has been able to pursue, for example, the long-term reduction and increased reusability of produced waste, i.e. recycling. Testing and implementing such operational procedures which lead to lowering fuel consumption, produced emissions and also to the continued lowering of the noise burden on airport surrounding areas, have been other important initiatives pursued by Czech Airlines. The implemented measures have consecutively resulted in increased efficiency and lowered costs. To act in an environmentally friendly manner pays back.

DOING BETTER BUSINESS TOGETHER

PETR HEJNA/HEJNA.EU, CZECH AIRLINES

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THE CZECH-HUNGARIAN BUSINESS CLUB – A COOPERATION PLATFORM Balázs Dalnoki joined the CzechHungarian Business Club nine years ago when he was appointed Skoda’s Brand Manager for Hungary. As he explains to Diplomacy&Trade, “that post comes with the responsibility of representing the company in the Club and contributing to its system of relations. 2-3 years later, I was elected to the board so that I could help them with my ideas, personality and the brand as Skoda is probably the biggest Czech business representative we have here in Hungary.” Now, he is the Vice Chairman of the Business Club. “We would like to be a platform for companies active in Czech-Hungarian relations to maintain contact with each other, offer products and/or services to each other, provide help for each other by supporting business partners, establishing business connections – not to speak of the fact that we enjoy each other’s company complimented by fine Czech food and beers,” he adds. w w w . d t e u r o p e . c o m

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“We also have events that attract great interest. Every year, we have two professional seminars. They are usually about tax issues – touching upon the latest changes, labor market matters, customs regulations, etc. whatever topics arise from members. The Club invites professional speakers who hold presentations on the latest developments in a given field, followed by an open discussion. We can learn from each other’s experience, promote business activities and do better business together,” he stresses. As for whether this organization is a chamber rather than a club, Balázs Dalnoki notes that “in the past three years, it has been raised several times whether we should formally become a chamber or stay on this club platform. For the moment, we remain in club format as being a chamber would require permanent staff and the provision of services that could only be financed by a larger membership base. However, our membership is increasing and we may be able to afford being a formal chamber in a couple of years. We are

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already a member of European Chambers of Commerce. We act according to our motto, that is, not undertaking more than we are able to do.” As there is no Polish-Hungarian or SlovakHungarian chamber in Hungary, the Vice Chairman says the Club may evolve into a Visegrád Four chamber in this country in the

future. “Last year, there was an exhibition here in Budapest for automotive suppliers where we organized a conference for the companies of the V4 countries, financed by the Visegrád Fund. That is when the idea came that, when we have the resources, we might turn into a joint Visegrád Chamber,” he concludes.

AN EFFECTIVE AND COOPERATIVE JOINT PLATFORM

The Czech-Hungarian Business Club was founded in 2004 by companies with Czech interests operating in Hungary at the initiative of the then Commercial Counsellor of Embassy of Czech Republic, László Lukács. The initial goal of the establishment was to put these companies under an effective and cooperative joint platform. Today, the Association’s main task is the development of bilateral business relations and facilitating cooperation between Czech and Hungarian businesses. In addition, it aims to deepen their cultural and human ties, as well. The Club is actively involved in arranging business meetings for delegations from the Czech Republic. It submits economic proposals to intergovernmental negotiations to stimulate bilateral trade. Currently, the Czech-Hungarian Business Club has 24 members and its chairman is László Vajányi, the Managing Director of Ravak Hungary Ltd. The Czech-Hungarian Business Club maintains an active link with the Czech Embassy in Budapest, the Czech Centrum, the Czech-Hungarian Chamber of Commerce in Prague and Czech Trade, which means that it is able to convey to its members substantial and first-hand trade, economic and cultural information. The Czech-Hungarian Business Club also works to make the two countries, the two nations understand each other's values better and develop further by carrying on traditional cooperation for the benefit of both parties.

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witty leaks WITTY

IN THIS SERIES, DIPLOMATS SHARE PERSONAL ACCOUNTS OF THEIR EXPERIENCES ON “EXCURSIONS” into Hungarian culture, art, gastronomy & scenery.

LE A K S

RELATIVE LANGUAGE RELATIVES

WHY FINNS AND HUNGARIANS CONSIDER THEMSELVES BROTHERS BY FINNISH AMBASSADOR PETRI TUOMI-NIKULA

There is one thing above all that connects Finland and Hungary. Regardless of country, continent, time of day or weather, representatives of these two countries always have to explain what the connection is between Finnish and Hungarian language. What is this peculiar, Finno-Ugric language family that both are part of? For Finns, is it easy to learn Hungarian? Do you understand each other readily? Or is there even any relationship between you? These are the questions we often get. This, of course, does not apply only to diplomats. The topic arises in any get-together where Finns and Hungarians meet people speaking different languages. For all of you who are interested: the situation is not easy for us, either. The connection that was discovered between these languages at the end of the 18th century has always been a target of passion and arguments. The affinity between the languages has been emphasized or diminished depending on the political situation or one´s own preference. The fact still remains: Hungarian and Finnish languages are related - very distantly. The connection originated thousands of years ago and cannot be thoroughly explained. There are, and have always been, lots of theories from a common ancient home in the Egyptian deserts to aliens from outer-space. But what are the similarities? Are there any?

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COURTESY OF EMBASSY OF FINLAND, VIRÁG BARCZA, SA-KUVA

Similarities For Finns, Hungarian sounds familiar but a bit strange. As if someone was speaking Finnish backwards. The impression probably comes from the fact that Istváns and Jánoses, like us, stress the first syllable of the words. That develops a familiar sound, a bit of a singing rhythm which differs from other languages. I think that for Hungarian ears, Finnish also has the same sound. Grammatically, there are a lot of similarities. There are no prepositions, only suffixes. We say DebrecenBEN or TuruSSA – not IN Debrecen or IN Turku. We have an incredible amount of grammatical cases in both languages, though, the Hungarians beat the Finns overwhelmingly. Around 300 words of common vocabulary are recognized by professionals and even a regular pedestrian on Andrássy út recognizes around a dozen of them. Still, ‘being relatives’ is quite relative. Our languages are as close to each other as German and Russian, or Swedish and Greek. In our case, the apples have fallen a bit further from the tree! AT this point in our story, comes the w w w . d t e u r o p e . c o m

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compulsory question: why, if Hungarians and Finns are relatives or kinsfolk – is there such a big distance between the two? The Swedish and the Greeks are not patting each other on the back or hugging each other drinking Retsina or Akvavit just because their languages are related - even though, their languages are even more closely related than ours. Not to mention Germans and Russians who, compared to us, are almost like identical twins!

Being alone I think the answer is clear. In addition to the fact that Finns and Hungarians are quite laid-back and calm, fellows who easily get along – the reason is loneliness. As I mentioned earlier, neither Finns nor Hungarians have hardly any close relatives. The closest language relatives date back thousands of years and kilometers historically and geographically. Estonians make an exception to the rule. Their language is as close to Finnish as Tallinn is to Helsinki: 80 kms! Hence, almost shouting distance. Swedes, Slovenes, Germans and Romanians have almost too many close relatives to deal with! But us Finns, we have

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to search in our family tree back thousands of years to find our first cousins. And when we find them, the happiness could not be greater. That is the reason why Finns and Hungarians emphasize their connection and brotherhood.

Fragile and distant affinity, and this is not all! Especially this year, when the 1,000-year-old Finnish nation celebrates the first centennial of her independence, we should look at this issue from a few more perspectives. This fragile and distant affinity between our languages has spawned a lot of benefits for both of the countries, and I am not only thinking of orations or get-togethers. When, in the beginning of the 19th century, the Finns started building their case for national independence based on the Finnish language and culture, one of the references for them was Hungary. The Finns wanted to break free from Russia at the same time, the Hungarians wanted to break free from Austria. Both got an ego-boost from one another. The Hungarian revolution of 1848 was followed with great compassion in Finland – we were worried about the destiny of our ‘kinsfolk’. At the end of the 19th century, scientists and politicians from both countries had vivid interaction with each other and after the First World War, it broadened to include the civil society – before we even knew what to call this connection of ours. In the 1920s, the amount of choirs, associations, experts, priests and cultural delegations that visited Finland from Hungary - and vice versa – were countless. We sought kinship in all areas of culture and when we found some, either real or imagined, it was celebrated enthusiastically. This

was the case especially during the Finnish Prohibition Act in 1919-32 when, I presume, the visits to Hungary were even more popular. In the 1939 Finnish Winter War, Stalin attacked Finland with the intention of attaching our country to the Soviet Union. Hungary was one of the few countries who sent a battalion of volunteers to help the Finns. In the 1956 Hungarian uprising, Finland was one of the countries, in proportion to its population, that supported Hungary most. When Hungary applied for EU membership, the Finnish political elite made the conditions as easy as possible for Hungarians. After the change of regime in Hungary, Nokia was the biggest export company in Hungary for years. There are countless examples of exceptional co-operation and will to understand and help each other during the past 200 years. Not one strategic, political, social or economic reason AN SICH (in itself) explains this. Believe it or not – in the background there is that fragile and distant but wonderful affinity of our languages!

The power of relationship For Finns, the relationship to Hungary and Hungarian language has always been quite easy. We have taken advantage of all the fun that has come with it. The thought of having blackmoustached language relatives in Central Europe has always been easy to accept as, besides the Estonians, we have no other. However, as early as the beginning of the 19th century, Hungarians have had their doubts regarding the true nature of this ‘fish-smelled’ relationship. As far as I understand, there has primarily been a fear that this would also connect Hungarians and Finns genetically. For Hungarians, it would have been more elegant to find ancestors for example, in an Asian horseback riding nation. We do not have to worry about this, though. Old and also more recent research shows that there is nothing that could prove the genetic link between Finns and Hungarians. Finns find their closest genetic relatives in the area of the modern Netherlands and Germany and, of course, in Scandinavia and the Baltic countries. The relationship between Finland and Hungary goes beyond what the eye can see. It is a connection between languages, which has shaped the culture of both countries. This is the power of our relationship – it has lasted more than 200 years, survived the breakdown of two empires, the independence of both countries and the political and economic uproar of the continent. This is the reason Hungarians are treated a bit better than others in Finland and why Finns feel we get special treatment here in Hungary. It is a strength we should be proud of and that we ought to maintain for the next generations.

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cinema On Body and Soul, directed by the Hungarian director Ildikó Enyedi, won the Golden Bear for Best Film award, at the 67th Berlin International Film Festival on February 18. It also picked up the best film award from the association of international film critics (FIPRESCI) and the German ecumenical jury, and the audience award given by readers of the Berlin daily newspaper, Berliner Morgenpost.

‘ON BODY AND SOUL’ WINS GOLDEN BEAR IN BERLIN

On Body and Soul

The film tells a love story of two colleagues in a slaughterhouse. As stated by the jury, the film connects the two characters "in quite an amazing way," and more importantly, reminds people of "a word often used easily": compassion. Enyedi said the film can be understood only by those with "a generous heart."

FICTION 116 minutes WRITTEN AND DIRECTED BY CINEMATOGRAPHY FILM EDITING SOUND MUSIC CAST

PREMIERS COUNTRYWIDE

Ildikó Enyedi Máté Herbai Károly Szalai János Kőporosy Ádám Balázs Alexandra Borbély Géza Morcsányi Zoltán Schneider March 2

Diplomacy-n-Trade.ai 1 2017. 02. 27. 11:22:30

What if one day you met someone who, at night, dreams the same dream you do. Try and imagine… Would you be thrilled? Would you be scared? Would you find it funny? Or rather intrusive? Or, perhaps, romantic? But what if you are not the romantic type at all? If you shudder at the thought of esoteric crap? What if you have problems dealing with your own emotions? How would you face this stranger the next day after your shared, tender dreams of the night before? Would you attempt to create the same intimacy and affection you share in your dreams during the day? How is it possible that at night, several kilometers apart, while both of you sleep in lonely beds, you can become one in soul and body, but during the day, facing each other in your flesh and blood reality, you are unable to properly get through even a measly first date? And what if even the second date is a catastrophe? And the third is especially disgraceful? Would you give up? And if you give up, how could you stand it? Could you bear knowing that the person who is your soul mate at night and whose body so naturally caresses yours, remains a stranger to you during the day? Wouldn’t you just die? Endre (Géza Morcsányi), the director of a modern, decent, EU-compliant slaughterhouse and Maria (Alexandra Borbély), the new quality inspector sent by the controlling authorities can’t stand each other. One day, by pure chance, they learn that they just had the exact same dream the night before. Both of them are embarrassed by this discovery. On Body and Soul is a contemporary tale about the pain and beauty of our existence. In Hungary, the film will be screened from March 2.

HANNA CSATA/MOZINET, BALÁZS MOHAI/MTI

CMY

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society To celebrate the 67th Anniversary of the National Day of his country, the Ambassador of the State of Kuwait, Dr. Hamad Mohammad H M Burhamah welcomed fellow diplomats and other guests for a reception followed by dinner in the ballroom of the Budapest Marriott Hotel. On behalf of the Hungarian government, István Íjgyártó, Minister of State for Cultural and Science Diplomacy at the Ministry of Foreign Affairs and Trade also welcomed the participants of the event. Kuwait National Day marks the day when Sheikh Abdullah Al-Salem Al-Sabah ascended to the throne on February 25, in 1950.

Kuwait National Day

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society Lithuanian Day of Statehood The Day of Restoration of the State of Lithuania was celebrated this February at the Budapest Music Center with guests who gathered at the invitation of the Lithuanian Ambassador, Rasa Kairiene. The event included a piano recital by Lithuanian artist Petras Geniušas. The Act of February 16 was signed by the Council of Lithuania in 1918, proclaiming the restoration of an independent State of Lithuania, governed by democratic principles, with Vilnius as its capital.

Francophone Film Days and Festival The French Institute in Budapest and its partners once again bring the latest francophone (French, Belgian, Canadian, Moroccan, Swiss and Romanian) films to be shown in the Uránia Cinema, the Art+ Cinema and at the French Institute in the Hungarian capital. Speakers at the announcement of the event included the French ambassador to Hungary, Eric Fournier, Ministerial Commissioner for Francophone Affairs at the Ministry of Foreign Affairs and Trade, Levente Magyar and the Director the French Institute in Budapest, Hervé Ferrage.

New Ambassadors This February, four new ambassadors accredited to Hungary presented their credentials to Hungarian President János Áder at the Sándor Palace in the Buda Castle (starting from the upper right corner and pictured clockwise): Maria Laura da Rocha from the Federative Republic of Brazil; Mohamad Bin Hamad Mubarak Al-Khalifa from the State of Qatar; Brendon Charles Hammer from the Commonwealth of Australia and Elisabeth Ellison-Kramer from the Republic of Austria.

The Ambassador of the Republic of India, Rahul Chhabra and his wife invited guests to an Indian classical dance, Bharatanatyam, performed by the world renowned Pratibha Prahlad and her troupe in the auditorium of the Central European University in Budapest. The performance was followed by a reception. The event was jointly organized by the Embassy of the Republic of India in Budapest, the Indian Council for Cultural Relations in New Delhi and the Central European University.

Japanese Foreign Ministerial Commendation The Japanese-Hungarian Dictionary Editorial Committee has been included among the 2016 Commendations of the Japanese Foreign Minister for the promotion of Japanese language education in Hungary. The Editorial Committee was formed in 2001 at the initiative of the then Japanese ambassador to Hungary, Kazuyoshi Nukazawa and the dictionary was published in June 2015. The certificate of commendation was handed over to the Committee this February by the Japanese ambassador to Hungary, Junichi Kosuge.

Serbian National Day Serbian Ambassador Rade Drobac hosted a reception at the Embassy in February to celebrate his country’s National Day and the Day of the Serbian Armed Forces. Guests were from Hungarian state institutions (including Deputy Minister of Foreign Affairs and Trade László Szabó), diplomatic corps and military attaches corps as well as representatives of the Serbian community. In his speech, Ambassador Drobac spoke about the economic stabilization of the country and the improvement of bilateral cooperation with Hungary.

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DÁVID HARANGOZÓ, BALÁZS FARKAS-MOHI, NOÉMI BRUZÁK/MTI, COURTESY PICTURES

Indian Dance Performance

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culture

IN THE ROUND - TREES

EXHIBITION BY SPANISH ARTIST PEP VENTOSA IN THE LUMAS BUDAPEST GALLERY Precise but mysterious images The curator’s introduction to the exhibition says “one might say it’s all about the trees, forms and colors of nature but these pieces mean much more. Pep Ventosa photographs trees from all angles, a montage beyond reality. Without a single viewpoint the variety of perspectives inspire uncertainty. Moving from a precise image we discover one as doubtful and mysterious as memory. That is not a picture to help us remember – but a picture of remembrance.” As the Lumas summary about the artist puts it, Pep Ventosa surrounds the tree with his camera and creates, through the overlaying of countless individual images, a completely new and unfamiliar view. The way we observe is expanded and grows into a fantastic multi-layered space of memory and fantasy. The result is a dense narrative with a powerful aesthetic that follows the cyclical change of seasons with a distinctive repertoire of forms and colors.

Picturesque silhouettes

For his unique photographic technique, Pep Ventosa has won several international awards. In a single image, the Spanish photographer achieves an extraordinary fusion of optical depth and spectacular perspective. His selected works show the silhouette of a tree, captivating with its shimmering colors, which resemble gentle brush strokes. Like the treetops, the background also seems fainter, the air swollen with mysterious movement. Originally intending to become a drummer, the Spaniard (born in 1957) moved to the San Francisco Bay Area almost two decades ago. There, he dedicated himself to developing a picturesque style of rhythm. His work since has been recognized at prestigious competitions and has been presented in museums from Madrid to San Francisco. The world premiere of three of his latest works from the series ‘In the Round – Trees’ took place this February in LUMAS Budapest that also presents many of the other pieces of work by the artist, including the series ‘Street Rhythms’ and ‘Reconstructed Works – Europe’.

The motif of the tree is a symbol of nature as a whole. Particularly because of their mythical age, trees are valued as great and awe-inspiring plants throughout the world’s cultures. Trees are also considered a symbol of life. Pep Ventosa transforms the picturesque silhouettes into a stunning spectacle. He characterizes them so expressively that they seem almost as complex as other living beings we encounter. His series ‘In the Round – Trees’, acts as an atmospheric discussion of iconic quality. With 40 galleries worldwide Lumas is one of the world’s most successful photo art galleries dealing with limited edition classic and contemporary photographs. Its portfolio includes nearly 2,000 works of art by more than 230 artists. Apart from offering works by foreign artists for the fans of demanding photography and design, Lumas Budapest is also dedicated to making Hungarian photographic art – that looks back at great traditions – known and available globally, from New York City to Seoul.

Irota EcoLodge is awaiting you! Eco-friendly hide-away in Cserehát The Irota EcoLodge premises consist of three spacious, luxurious and well-equipped holiday villas and a shared natural swimming pool (size 6x16m). Although slightly different in detail, the houses basically have the same layout and are all adjusted to guests with special needs. Each house (170 m2) has its own style: The Lower House is the rustic, countryside type, the Middle House has a retro, 1960s feel, while the Upper House has a sleek and modern design. The houses are detached, which guarantees full privacy. The natural beauty of the Cserehát region, of which Irota is called the gateway, is located on the south side of the Hungarian-Slovak border and is defined by the Sajó, Bódva and Hernád rivers. Compared with the rougher, Slovak side of the area the Cserehát is undulating and covered with forest. It also has a thriving wildlife. Visitors will see a lot of foxes and deer. The usually shy wild boars are less visible, but also present in large numbers. The area is popular with hikers, bikers, fishermen and hunters, while the large variety of bird species makes the Cserehát an ornithological destination par excellence. A nature reserve and UNESCO World Heritage Site, Aggtelek National Park is only a 40 minutes drive away.

DÁVID HARANGOZÓ

Your Dutch hosts, Lennard & Jeroen, are always happy to provide you with more information.

3786 Irota, Kossuth Lajos út 16. +36 48 349260 info@irotaecolodge.com www.irotaecolodge.com facebook.com/irotaecolodge

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what's on CATWALK II

MARCH 3 – APRIL 14 at NEXT ART GALLERY In his new series of work, Szabolcs Szolnoki explores the ever-changing fragility and elegance of the feminine persona. Through his eyes, a group of modern, iconic women come to life, who not only stand for themselves with confidence, but also for the eternal beauty ideal that the artist accomplished to capture so well. The figures appear very realistic, yet so empyrean; full of vibrant colors and covered by all different textures. They reflect upon the contemporary female role, that has become one of the most controversial topics of our society. Szolnoki’s runway models are a diverse collective impersonating the virtues that all the different kinds of feminine characters entail. By carefully choosing the hues of the attire and focusing on a central composition, the paintings take us beyond the world of fashion, anywhere from a prestigious movie set to a finely taken street style photograph. Nonetheless, there’s a rather mysterious tone to the artworks; an unattainable desire to get to know these women, to be part of their world. They are not only faces to admire, bodies to dress, they are the creative and hard-working generation of the early 21st century. Some more traditional, others cutting edge, they all represent individual shades on an intense and contrasting color palette. www.nextartgaleria.hu

IN THE MOOD FOR COLORS

UNTIL JUNE 11 AT THE MUSEUM OF APPLIED ARTS Everything in this exhibition is arranged according to its dominant color. The greens are in one room, the blues in another, the reds in the third. The aim is to give a new perspective on the dazzling variety of artworks held in the Museum of Applied Arts, which means that everything on display here comes from the Museum’s own collections. Since color is the organizing principle, this time, contrasted with the traditionally historic approach of museum narratives, objects of all kinds – old and modern, sacred and profane, festive and everyday – appear side by side, opening up these artworks to new meanings and interpretations. The exhibition consists of almost 25 thematic groups ranging from eosin-glazed Zsolnay ceramics through blue patterned printed textiles designed by William Morris to red liturgical objects. The selection includes well-known, prestigious items and pieces never before put on display, and covers every form of applied arts. The result is a unique cross section of the Museum’s collection. The exhibition is accompanied by the ColorMirror project of the TechLab of MoholyNagy University of Art and Design, Budapest. www.imm.hu

CIRQUE DU SOLEIL: VARE KAI

JÉRÔME BEL: GALA

JUNE 10 AT HEROES’ SQUARE With over a thousand dancing feet, nearly a hundred musicians and one conductor, the Budapest Festival Orchestra will once again give a free concert on Heroes’ Square on 10 June. The heroes of the event will be the young people, Roma and nonRoma from privileged and less-privileged backgrounds, for whom the preparations started in January all over the country. Once again, the Dancing on the Square project will see Iván Fischer and the BFO gather more than 500 young people for a show of tolerance. There are many disadvantaged children, who, despite never having had a warm meal, a bedtime story or a birthday cake, wouldn’t dream of missing a dance rehearsal and will take part in the focused preparations and joint creative work for the Dancing on the Square project for the third time since its launch in 2015. Without these tenacious and dedicated youngsters, the project could never have grown so extensive. When it comes to music and dance, no-one is disadvantaged – that's what this project is all about. Let’s meet the real heroes of the country! www.bfz.hu

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DANCING ON THE SQUARE AGAIN!

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"Take a different approach to dance. Open up theatre to those who are never represented there. Ask how art leads us to a common ground.” A major artist of the contemporary scene, Jérôme Bel is returning with a proposal which came to the fore during a workshop with amateurs in Budapest. The gala, an art form that is both festive and collective, brings together dance professionals and amateurs of diverse backgrounds. The multiple acts never call on us to pass judgement, but they reveal the way in which each person’s cultural repertoire involves them in a singular relationship with that desire for something else, for joy, perfection, transfiguration and political divides which dance is. An inventory of this “unqualifiable dance” does not only show the multiplicity of its aesthetic models; it plays its role through a shared desire." (Marie-José Malis) www.trafo.hu

KRISZTINA FRIEDRICH, MUSEUM OF APPLIED ARTS, SZABOLCS SZOLNOKI, TRAFÓ, ÁKOS STILLER, COURTESY PICTURES

MARCH 16-18 AT TRAFÓ "Gala forces audience expectations to the fore, and blurs the lines between failure and success in performance as it suggests that theater is community, both onstage and off. It’s a tour de force, wildly entertaining and truly radical." (Roslyn Sulcas, The New York Times)

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MAY 12 TO 14 AT THE BUDAPEST ARENA Cirque du Soleil is returning to Budapest with a 3-day engagement of Varekai, a captivating forest at the summit of a volcano inhabited by whimsical and enchanted creatures. The word Varekai (pronounced ver•ay•’kie) means “wherever” in the Romany language of the gypsies-the universal wanderers. Directed by Dominic Champagne, this production pays tribute to the nomadic soul, to the spirit and art of the circus tradition, and to those who quest with infinite passion along the path that leads to Varekai. From a group of 20 street performers at its beginnings in 1984, Cirque du Soleil became a major Québec-based organization providing high-quality artistic entertainment. The company has 4,000 employees, including more than 1,300 performing artists from close to 50 different countries. Cirque du Soleil has brought wonder and delight to more than 160 million spectators in more than 400 cities, in over sixty countries on all continents. www.livenation.hu

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what's on MARIZA

MARCH 26 AT MÜPA The Portuguese Fado superstar Mariza last dazzled the Müpa Budapest audience in 2013, and given that she has made a new album in the meantime, it is high time she made her return. Mariza's mother's family hails from Mozambique, while her father's family comes from Portugal. She was only three years old when she moved with her family to Lisbon in 1977. Her parents ran a small restaurant in the city's Alfama district, where Mariza heard Fado singers every day, absorbing melancholic songs of perpetual longing even before she learned to read. Perhaps unsurprisingly, she was more attracted to soul, jazz and bossa nova as a teenager, but her latent passion for Fado would come to play a central role in her art. Mariza first rose to national prominence in 1999 when she appeared in a TV memorial show following the death of Amália Rodrigues, Portugal's most popular Fado singer. Though she didn't even have an album at the time, her exploits saw her win the "Voice of Fado” prize on Portuguese radio. Her 2001 debut album Fado em Mim sold 150,000 copies in a genre where sales of 4,000-5,000 would usually have been considered a success. Her 2003 album Fado Curvo won the BBC Radio 3 award for "Best European Artist in World Music” and her 2006 Concerto em Lisboa won a Grammy Award. 2008's Terra incorporated jazz and flamenco influences, while the 2010 album Fado Tradicional saw a return to her roots. Her most recent album, Mundo, was released in 2015, taking listeners on a musical journey from Portugal to Argentina and the Cape Verde Islands. Over the past 15 years, Mariza has conquered the world's most prestigious concert halls and sold more than one million albums. With her outstanding voice and captivating performance style, she has become Fado's brightest star, even winning the Lifetime Achievement award in 2014 from WOMEX, the world music's most coveted awards ceremony. www.mupa.hu

37TH BUDAPEST SPRING FESTIVAL

KRISZTINA FRIEDRICH, MUSEUM OF APPLIED ARTS, SZABOLCS SZOLNOKI, TRAFÓ, ÁKOS STILLER, COURTESY PICTURES

MARCO BORGGREVE, JAVIER DEL REAL, LILI ORSZÁG, BKEENEPHOTOGRAPHY.COM, CARLOS RAMOS, COURTESY PICTURES

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MARCH 31-APRIL 23 AT MULTIPLE LOCATIONS IN BUDAPEST This festival has developed into one of Europe’s major cultural events offering opera, classical music, jazz, world music concert, contemporary circus and theatrical performances, and visual arts. With the best Hungarian performers and world stars, the Budapest Spring Festival is a truly special occasion, presenting premieres and co-productions with partner institutions. There will be dozens of venues in 2017: in addition to the Müpa Budapest and Liszt Academy, the Hungarian State Opera, the Bálna Budapest, the Vigadó, the Budapest Music Center, Várkert Bazár (Castle Garden Bazaar) and other Budapest theatres, cultural institutes and museums will also be home to outstanding events. Realized again in a cooperation between the Müpa Budapest, the Budapest Festival and Tourism Centre, and the Hungarian Tourism Agency, the event series continues to broaden its offer by involving the leading cultural institutions of the city. www.btf.hu

LAST CHANCE TO SEE: SHADOW ON STONE – THE ART OF LILI ORSZÁG

UNTIL MARCH 26 AT THE HUNGARIAN NATIONAL GALLERY “The walls are inside of me,” professed Lili Ország (1926–1978), a prominent figure of modern Hungarian painting, whose œuvre exhibition, of more than 300 works, opened recently. Throughout her career Ország recorded the perpetually emerging walls of her inner self with the patience and devotion of a monk. Although in spring 1944 she was saved from a train bound for Auschwitz, the fear and anxiety she felt at the time forever burnt into her mind. After graduating from the Academy of Fine Arts, Budapest, she instinctively began to search for “her own path”, and hence found her inner walls as a theme. Virtually unmatched by any other artist in Hungarian painting, she rendered her pictorial confessions in the tone of classical surrealism. Indeed, in the mid-1950s she made the greatest masterpieces of Hungarian surrealism. Lili Ország’s path took her from the walls of a ghetto to the Wailing Wall in Jerusalem. The stages of her artistic development can be traced from the individual walls she painted at the academy, through the city walls and the Western Wall of Jerusalem, to the walls of “her Labyrinth”- a series of more than fifty compositions, which had not been displayed in this completeness, until now. www.mng.hu

JASON MRAZ

MARCH 14 AT THE BUDAPEST CONGRESS CENTER Jason Mraz has quietly amassed a youthful, diverse, and vibrant fan-base around the globe. Since getting his start in coffeehouses in his adopted city of San Diego, Mraz has brought his positive message and soulful, folk-pop sound to rapt audiences everywhere through his recordings, vibrant live performances, and philanthropic efforts. He made pop history with his record-breaking classic singles “I’m Yours” and “I Won’t Give Up”, racked up 2 Grammy Awards among 6 nominations, won a prestigious Hal David Songwriter Hall of Fame Award, along with the Teen Choice and People’s Choice awards. He has sold out amphitheaters and arenas, including such iconic venues as The Hollywood Bowl, Madison Square Garden, and London’s O2 Arena. A dedicated surfer, farmer-gardener, filmmaker, and photographer, Mraz is, primarily, a committed global citizen. His impassioned social activism and philanthropic efforts span wide-ranging environmental advocacy and ardent support for LGBT equality. He participates in global activism such as a rescue mission to Ghana with Free The Slaves and an internationally broadcast performance in Myanmar in front of 90,000 capacity audience to bring awareness to human trafficking with MTV Exit. Through it all, Jason Mraz continually confirms and celebrates music’s myriad forms and miraculous power, inspiring and delighting his countless fans around the world he calls home. www.livenation.hu

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gastronomy • foreign and domestic awards for their hotels (TripAdvisor, Hotelbeds, TrustYou, Expedia, International Hotel Awards, Best of Budapest & Hungary, Turizmus Trend „Iránytű", etc.) • "Tourism Investors of the Year" Award in 2010 • Golden Cross of Merit of Hungary in 2012 • significant lobbying activity to support the work of the Hungarian Tourism Plc. in the Arabic region, and to support the tourism-friendly development of the 5th district of Budapest • corporate social responsibility • Pro Tourismo Award in 2015

A story to tell More than 20 years ago, owners and CEOs of Hungary’s most dynamically developing hotel group of the last decade, Sameer Hamdan and Zuhair Awad arrived here as students. Today they are known as prominent members and are among the most influential persons of the Hungarian tourism industry because of their achievements. • 12 operating hotels from hostels to 5-stars • multiple real estate development projects in the Hungarian capital (hotels, restaurants, premises, business centers) • more than 500 employees

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ANGEL'S KITCHEN Angels’ Kitchen creates a healthy menu designed according to individual needs, prepares premium quality food only using organic and consciously selected ingredients for each day of the week and then delivers it to your door. The team consists of psychologists, dieticians and specially trained chefs. www.angyalokkonyhaja.hu SOUR CABBAGE creates good bacteria in the intestines improving the digestion and the immune system. It’s also a perfect snack to enjoy while watching TV or a movie. BLACK RADISH is high in fiber and contains a variety of chemicals that possess natural antimicrobial actions. You can make homemade syrup with honey and black radish which is sweet, tasty and very healthy. FENNEL is rich in essential oils that help to relax the stomach and contains powerful antioxidants which protect your body from free radicals. FRESH NETTLE tastes similar to spinach and has high levels of easily absorbed amino acids. They even contain 10 percent protein – more than any other vegetable! Eating nettles can make your hair brighter and thicker, and your skin clearer and healthier. You can also cook creamy nettle soup and nettle balls. M A R C H

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WHEATGRASS detoxifies the body and promotes weight loss, thus setting off your new eating habits. Try to eat healthier in March, fast with millions of people around the world and don’t forget that a small positive change can have a big impact that lasts beyond the 40 days of Lent!

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As if New Year’s resolutions weren't tough enough to sustain, we are now coming up to Lent (the 40 days before Easter), another time of the year when we require resolve. Lent is a time to focus on ourselves and our health; a time for renewal; a time to get rid our bodies of toxins and rejuvenate ourselves after the cold months of winter. But this can be a big challenge in Hungary, especially if you are a vegetarian. Most traditional Hungarian foods are quite fatty and spicy. Meats, cheeses and vegetables are fried in breadcrumbs and usually served in large portions. Expats can easily lose control of their diets, if they aren’t careful. An excellent way to maintain a healthy, cleansing diet is with the special services of Angel’s Kitchen. Their fasting menus contain a variety of cleansing ingredients which are based on the following metabolic booster, vitamin-rich and low-calorie ingredients:

SPRING REJUVENATION WITH ANGEL’S KITCHEN

COURTESY PICTURE, GERGELY ZSOLNAY CHEF/ANGYALOK KONYHÁJA

The past years for Mellow Mood Group were not only about growth and stabilization, but also about planning and preparation for new development: today they are ready for an expansion with 4-5 additional hotels. The hotel group’s current major project is the restoration of another emblematic building to its original beauty. Parisi Udvar is to open in 2018 as a 5-star luxury hotel with conference facilities, a penthouse suite and a spa. It will also offer cafés, restaurants and shops on the ground and first floor, which will be available for tourists and locals alike. The owners and CEOs of the Mellow Mood Group believe that their success lies in their employees’ youthful dynamism and strong leadership. "A company’s success depends on their employees becoming a good team, a family."

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MELLOW MOOD GROUP'S OWNERS AMONG THE BEST

Owners and CEOs of Mellow Mood Group, Sameer Hamdan and Zuhair Awad were selected among the 50 most influential individuals in the Hungarian tourism industry, for the fourth year in a row. On February 1, Tourism Ltd. presented its well-known awards and publication at the 25th Season Opening Tourism Gala and Award Ceremony. A jury made up of their team and 20 members of professional organizations voted for the most influential persons in the domestic tourism sector, based on their professional work. During the selection process, not only the size and revenues of the companies were taken into consideration, but also their influence on the tourism sector and their foreign and domestic reputation.

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wine

EGER AND SZEKSZÁRD JOIN FORCES TO PROMOTE BULL’S BLOOD WINEMAKERS OF THE TWO WINE REGIONS CLOSE RANKS TO REPOSITION THE TRADITIONAL HUNGARIAN BRAND

The annual Eger-Szekszárd Bikavér Duel (Bull’s Blood Battle) takes place on March 3 at the Corinthia Hotel Budapest, presenting some 30 wineries from both wine regions, and an entertaining blind tasting. In fact, a whole week in March will be dedicated to this type of wine: Bikavér Weeks will offer numerous events to taste Bull’s Blood and learn about them. Tastings and events at the participating wineries and wine bars all provide great opportunities to immerse yourself in the world of Bikavér while fine dining restaurants will highlight Bikavér on their wine lists and offer them by glass. MORE INFORMATION: www.bikaver-parbaj.hu

The past, present and future of Bikavér Global trends clearly indicate that international varieties have fallen out of favor. From Cabernets and Chardonnays, consumers’ interests have turned to indigenous varieties and geographically specific wines. This trend definitely favors Bikavér, a red blend which, thru a regulation, can only be produced in the Eger and the Szekszárd wine regions. The Bikavérs from Eger and Szekszárd differ in their character, as one comes from a northern, the other from a southern wine region. One common thing is that the base of the red blending is the Kékfrankos in both regions. Starting from last year, new regulations in Hungary stipulate that the total share of Kékfrankos and Kadarka in the final blend cannot be less than 50% in Szekszárd. Eger winemakers are considering a similar move with the effect of increasing the percentage of traditional Carpathian varieties. Regular consultation and continuous cooperation is the key and the guarantee to building new prestige for Bikavér.

Budapest

Wine Show 2017

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VIKTOR KORSÓS, STUDIO BAKOS, RÓBERT BÁCSI, SIMON MÓRICZ-SABJÁN

2017. március 17–18–19., Budapest, Hungary

VINCE BUDAPEST 2017 This year's edition of the three-day annual wine event organized by VinCE Magazine will kick off on March 17. The event that traditionally presents the world’s most respected wine celebrities is a paradise for wine lovers and for professionals it is a must. The event, traditionally organized at Budapest’s Grand Hotel Corinthia will feature 1,000 different types of wine from 160 exhibitors this year. Besides displaying an awesome cornucopia of wines, the exhibition also offers seated tastings – master classes – and interactive workshops where wine lovers may sip both wine and knowledge, while wineries receive up-to-date information and efficient assistance. The 2017 edition will feature Fiona Beckett, a leading expert on matching wine and food, and Jean-Baptiste Lécaillon, chef de caves at Maison Roederer who will present the favorite sparkling wines of the high society. www.vincebudapest.hu w w w . d t e u r o p e . c o m

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DID YOU KNOW? In the 19th century the name Bikavér did not refer to a specific product. Instead it was used to describe the darker red color of wines - a result of elongated maceration. Back then, different varieties grown together in the same plot, were not harvested or vinified separately. It was only after the phylloxera blight that individual varieties were planted separately and the corresponding changes in vinification translated into improved quality. However, the conversion to mass production during the communist era caused almost irreparable damages and cast a long shadow. The lessons of history have prompted Eger and Szekszárd to devise and implement AOC regulations even stricter than the ones stipulated by the current national wine law. This is the only way to restore the reputation of Bikavér to its former glory.

Representatives of the Hungarian Sommelier Association presented the 2016 Par Excellence awards at the finals of the Hungarian Sommelier Championship held at Tesla Budapest on February 19. The accolade, established in 2014, awards those professionals who have provided exceptional service to the Hungarian restaurant culture, especially concerning the improved quality of the wines being consumed. Nimród Kovács, who was named ‘Gastrowinemaker 2015’ last year by Best of Budapest & Hungary, received the Par Excellence Award this year in Wine Producer category. The ‘retired international business guy’ as he calls himself, founded his winery (Kovács Nimród Winery) in Eger in 2009. Both his reds and whites have proved popular with Hungarian consumers and also perform well in the international arena.

NIMRÓD KOVÁCS HAS BEEN AWARDED WINE PRODUCER OF THE YEAR PAR EXCELLENCE AWARD BY THE HUNGARIAN SOMMELIER ASSOCIATION

THE OTHER PAR EXCELLENCE AWARDS WENT TO: WINE MERCHANT: Attila Tálos, Bortársaság GASTRONOMY: Lajos Bíró, chef EDUCATOR: Gabriella Mészáros, Borkollégium WINE WRITER: Gábor Cseh

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