Romano Pičuljan, owner and director of Pičuljan marina What precludes foreigners from registering their vessels in Croatia?
Annual convention of the Croatian Exporters Association We do not fear the world market if we operate under the same conditions
Weak economic recovery Dun&Bradstreet still rates Croatia DB3d, putting it amongst those countries with a mild business risk
INTERVIEW
EXPORTS
ECONOMY
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Croatian Business & Finance Weekly Established in 1953 Monday / 17th May / 2010 Year III / No 0109 www.privredni.hr
S U P P O R T E D
Radar stations
VTMIS supply and mounting in progress The supply and mounting of radar VTMIS maritime system is in progress, in co-operation with the international consortium Fleck Elektroinstallationen GmbH - Končar-Montažni Inženjering. It is worth some €5 million. 75% of the overall cost of the project has been co-funded by the European Commission from the PHARE 2006. The completion of the project is scheduled for the end of 2010. There is also a plan to set up eight radar stations on the coast and islands. Some are already functioning, whilst the remaining equipment is scheduled to be mounted by the end of the year. It should be stressed that none of this would be of any value if Croatia did not have the trained staff to manage this system. With the help of the Finnish, Swedish and Italian administrations, the Twinning Project has been brought to a successful conclusion. Finnish experts are extremely active in Croatia, with 12 projects to date. “The work on the navigational safety project is nearing its conclusion. It also represents a significant contribution to environmental protection and navigational safety. Our experts exchanged experiences with their Croatian counterparts, an aspect which will definitely contribute to the preservation of the Adriatic,” pointed out Tarja Mustonen, representative at the Finnish Embassy in Croatia.
B Y
T H E
pvinternational pv international C R O A T I A N
C H A M B E R
O F
E C O N O M Y
SUCCESSFUL TWINNING PROJECT PHARE 2006 INSTITUTIONAL CAPACITY BUILDING FOR VTMIS AND FSI
CROATIAN VESSELS SOON TO APPEAR ON “WHITE LIST” The highest technical standards of navigational safety, sea protection and additional working conditions are being met, a necessary compliance for vessels flying the Croatian flag Jozo Vrdoljak he Twinning Project PHARE 2006 Institutional Capacity Building for VTMIS and FSI is coming to an end. The project covered institutional co-operation of the Croatian maritime administration with Finland, Italy and Sweden concerning the organisation of the Croatian Vessel Traffic Monitoring and Information System (VTMIS), as well as the training of future employees. This project ensured the transfer of know-how from Finland and Italy regarding navigation management and control. The value of this project, fully funded by the EU through the pre-accession programme PHARE 2006, is €500,000. “In the past, we did most or all the work concerning the harmonisation of Croatian legislation
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with that of the EU. We reached our goals regarding navigational safety in international and inshore waters, and measures have been implemented for institutional capacity building in order to monitor navigation safety. We have also made significant progress in protecting the Adriatic from vessel pollution,” pointed out Mario Babić, State Secretary for the Ministry of the Sea, Transport and Infrastructure. “The pre-accession Maritime Strategy was first instituted in 2005, and thereafter we modernised our maritime transport in the sense of both sustainability and ecological awareness. Therefore, Chapter 14, which regards maritime policy, should close in June,” noted Babić. The Twinning project was also used to implement institutional capacity building of the Ministries under the Flag State Imple-
mentation, which relates to those activities ensuring the highest technical standard of navigational safety, protection of the sea against pollution, working and other conditions, with which vessels under the Croatian flag need to comply. This creates the conditions for the permanent status guarantee of the Croatian flag on the prestigious “White List” of the Paris memorandum. Croatian boats have been stopped more often than the average by port authorities of the signatory countries of the Paris memorandum. As a result, we found ourselves on the black list, and later on the grey one. We have intensified our monitoring activities, after which not one of our vessels has been stopped by these countries. In the next month, Croatian vessels should receive official confirmation of their presence on the “White List”, said Babić.
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Privredni vjesnik Year III No 0109
ROBERT VUJNOVIĆ, DIRECTOR, XELLA POROBETON HR
Ecology takes the lead In Croatia there is still little awareness of how much energy is used in buildings he development of the construction industry and its exit from the crisis depends to a large extent on the vision of companies and new trends in construction. One of the most significant construction developments of recent times is most certainly an orientation towards the concept of sustainable construction as part of the whole concept of sustainable development. YTONG construction materials, made of autoclaved aerated concrete, have completely changed the scene, and they regularly promote the use of ecologically acceptable materials. Energy efficiency plays an important role in this area, which assumes the construction of low energy buildings. In this respect, Croatia lags far behind Western European countries, which introduced energy efficient construction as a standard through a resolution passed by the European parliament in 2008. Certain European countries give investors aid or an award for such construction, but similar initiatives from authorised bodies in Croatian are still in their early beginnings. Harmonisation with European standards requires the construction of quality buildings which during the construction and development of the building use a small amount of energy. Therefore constructors need to select materials which ensure a high level of heat insulation, which are earthquake and fire-proof, and enable simple and fast building. Regrettably, the current situation is less than encouraging. Many property owners with insulation thicker than average are
Privredni vjesnik Kačićeva 9 10000 Zagreb +385 1 5600020 uprava@privredni.hr www.privredni-vjesnik.hr/ subscription
in production in 2010 over 2007
ROMANO PIČULJAN, OWNER AND DIRECTOR OF PIČULJ
WHAT PRECLU REGISTERING T
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IMPRESSUM:
( 50% drop
Amendment to the Law gave the Croatian small shi things to turn around, the Croatian public and espe required to pay higher municipal and water fees. However, the cost-efficiency of low energy constructions soon reaps a reward. For example, energy consumption for heating is six times less than in normal households. Low energy construction certainly pays dividends, but unfortunately there is still little awareness about how much energy is used by households in Croatia. For example, when we buy a car, we ask how much petrol does it use, whereas with such a huge investment as the building of a house, people normally ignore this extremely important factor of consumption. Nevertheless, more people are now thinking about how to save energy and carefully choose construction materials for their property. Albert Einstein said that the main problems with which we are faced, cannot be solved with the same level of thought they came from. The situation is the same regarding the introduction of construction innovation, and YTONG will aim to be the leader in raising ecological awareness and the need for energy efficiency in construction and with end users.
FOR PUBLISHER Nikola Baučić +385 1 4846661 uprava@privredni.hr
IMC MANAGER Dea Olup +385 1 5600028 olup@privredni.hr
EDITOR IN CHIEF Darko Buković +385 1 5600003 bukovic@privredni.hr
TRANSLATION Tr@duco traduco@zg.t-com.hr
EXECUTIVE EDITORS Andrea Marić maric@privredni.hr Vesna Antonić antonic@privredni.hr
COUNSELLOR, INTERNATIONAL OPERATIONS, LANGUAGE EDITOR Ray Fletcher fletcher@privredni.hr
Jozo Vrdoljak rivredni vjesnik discussed the main problems of small ship builders and the future of this highly energetic and strategic economic branch with Roman Pičuljan, owner and director of Pičuljan marina, and president of the HUP (Croatian Employer’s Association) Association of small shipbuilders and the nautical sector.
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You have succeeded in influencing amendments to the Law on special taxes, that part concerning the payment of excise duties on vessels. Are producers satisfied with this? Amendments to the Law gave the Croatian small ship building a breath of new life. However, we remain uncompetitive, especially in relation to those small ship producers from other Mediterranean countries. This is of interest to the government, since it is an effective way of increasing budget income. The Law and other actors need to build a stronger relationship with professional associations and make joint decisions. This is the only way to avoid the situation in which decisions are made by those who do not understand the problems of the Croatian small ship building sector, and those who fail to keep up with global trends. To what extent is production in small shipyards harmonised with EU regulations? We, the producers of boats and working in this profession, as well as having a presence on the
global market, are already in a way harmonised with EU regulations. Therefore, we need not expect anything bad when we join the EU. It is even possible that our work becomes easier to a great extent due to the abolition of certain taxes and other duties imposed on us, from which the European producers of sport and recreational vessels have relief. A special VAT rate on for vessels has been proposed for adoption. This initiative came from the HUP Association of small shipbuilders and the nautical sector over which I preside. The ultimate goal of the initiative was
We are working on turning Croatia into a more interesting and favourable country for foreign boat owners to attract a greater number of foreign boat owners having a berth in Croatia to register their boats here, or rather to accept the Croatian flag rather than some other. This is not the current situation, since our taxes are too high for them, which means we are not competitive. If we can find a way to make it interesting and acceptable for them to register under our flag and pay Croatian taxes, we will further develop nautical tourism and indirectly small shipbuilding. In this manner Croatian nautical production
www.privredni.hr Business & Finance Weekly
INTERVIEW
3
( 15-20 vessels
could be produced this year by Pičuljan marina
JAN MARINA AND PRESIDENT OF HUP’ ASSOCIATION OF SMALL SHIP BUILDERS AND THE NAUTICAL SECTOR
UDES FOREIGNERS FROM THEIR VESSELS IN CROATIA?
p building industry a breath of new life. Nevertheless we remain uncompetitive. In order to for ecially foreigners need to be encouraged to buy and service their vessels in Croatia would become more competitive, and Croatia would become more attractive and favourable to foreign boat owners. When Croatia joins the EU they will need to register their boats anyway, so why not here? How many such boats are there in Croatia? I do not have the exact numbers, but it is well-known they exist and there will be more of them. An updated list of vessels in Croatian marinas might give us the exact number. This way we could draw up statistics and records. What is the situation concerning boat engineers? Are projects still mainly ordered from abroad? There are no obstacles for ordering projects from any part of the world, or rather any design studio. Therefore, projects are often contracted from well-known design studios. There are several design studios in Croatia that have been developing according to the demands of the market. To what extent has the lack of competitiveness of small ship-
builders influenced their failure to switch to series production? Croatian producers do not have to invent anything new, since production needs to be organised
Some Croatian companies are globally acknowledged according to proven oven methods, in addition to the special pecial features of each locality. Each ach company has its own businesss policy, depending on its own market niche. I still believe it is necessary, wherever possible, to o raise production to the level of series production, which differs from customary practice, and that hat a new mould be created for each ach vessel, which represents a waste aste of time and money. To what extentt are small shipbuilders ders known globally? ly? Your company ny is. What about ut others? It is true thatt
ONE FOOT IN THE EU Has the problem of certification been solved? It has, in that that the Croatian Nautical Production Association, in agreement with the Croatian Boat Registry, managed to obtain verification for the European CE certification. Therefore, double certification of vessels for sport and recreational use is not necessary. This means we have one foot in the EU. Regarding environmental protection, waste management and the ecology, I think our regulations are far stricter than those from the EU. Therefore, we need not anticipate any problems.
through exhibiting at nautical fairs we have become a recognised force and that some Croatian companies are known throughout the world. In addition to Pičuljan marina, there are AD Brodovi, SAS Vector, Donat Boats also moving in the same direction. You also need to take into account that we are relatively young, and we managed to achieve equality in a short period of time when dealing with world known producers, and that we are not behind far them.
I am particularly satisfied with this year’s fair in Düsseldorf. Did your company experience a drop in orders and production? We are anticipating production to decrease by 50% this year, compared with a very successful 2007. This would mean we might be able to produce 15-20 vessels of all sizes. This decrease is affecting all categories of boat production, regardless of price. That wo would include the segment of expensive as well as cheaper expe boats. N Nothwithstanding a decline in production, we managed to use the t crisis for developing new pro products. We promoted our new mo model RAB 980. It is a new type of vvessel which could attract new buy buyers. This is our recipe for exiting tthe crisis. What quantity of boats do you q export? As a total of production of Pičuljan marina, exports P have a share of 30%40%. This means 60% to 70% are Croatian purchasers. Are their signs of market recovery? It is difficult to say, since with summer approaching, orders increase. However, I dare say it should not be worse than it is currently. This means that a drop in the market should halt h and recovery slowly begin. be
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Privredni vjesnik Year III No 0109
HAA becomes EA MLA signatory The Croatian Accreditation Agency (HAA) has been recognised as a signatory member of the Multilateral Agreements on the recognition of accreditation in the European co-operation for Accreditation (EA) AA was, in a demanding three year period of evaluation, assessed by the European co-operation for Accreditation (EA) as a competent and confident institution, fulfilling all the requirements of the EN ISO/IEC 17011 standard for accreditation bodies. EA Multilateral Agreement Council at its session on 27 April 2010 in Frankfurt decided to conclude the Multilateral Agreements on the recognition of accreditation with the HAA for all the accreditation schemes, covering: • Accreditation of testing laboratories (HRN EN ISO/IEC 17025) • Accreditation of calibration laboratories (HRN EN ISO/ IEC 17025) • Accreditation of medical laboratories (HRN EN ISO 15189) • Accreditation of inspection bodies (HRN EN ISO/IEC 17020)
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• Accreditation of certification bodies for products (HRN EN 45011) • Accreditation of certification bodies for the quality management system (HRN EN ISO / IEC 17021) • Accreditation of certification bodies for the environment management system (HRN EN ISO/IEC 17021) • Accreditation of certification bodies for personnel (HRN EN ISO/IEC 17024). By signing the Agreement, HAA has ensured (through recognition of accreditation) mutual recognition of test and inspection reports and certificates of conformity issued by accredited bodies in each signatory country. This fact will support Croatian producers in international trading while entering into other markets on a commercial basis. Consequently, there is no need for Croatian suppliers to perform any re-assessment
of conformity of their products abroad. Furthermore, HAA has raised the level of confidence in demonstrating the safety and quality of Croatian products and
services and made a significant impact in providing technical support to the Croatian economy in gaining competence on the international market.
OLIVE OIL
OPTIMISTIC EXPECTATIONS
Recognition and exports to Italy for Chiavalon
Very good tourist season expected
t the prestigious competition IV Concorso oleario premio armonia, organised by the International Extravirgin Oliveoil Agency in Parma, extra-virgin olive oil Ex Albis Chiavalon was listed amongst the top ten such olive oils, and in the top three oils according to chemical and nutritional value. This prestigious award with its high status, is extremely important for the extra-virgin olive oil Chiavalon, which has been given many awards in the past Confirmation of its success is also shown by exports of the oil to the important Italian market. Italy is the biggest global exporter and importer of olive oil, and the second largest oil producer. Therefore, exporting Chiavalon oil to such a market significantly contributes to creating a quality Istrian and Croatian brand. Furthermore, Velier, one of the most prestigious Italian distribution
ccording to current booking data for holidays in Croatia, there is mild optimism on most market fronts. May should show positive tourism results, said the Minister for Tourism, Damir Bajs, at a meeting with representatives of professional tourist associations. This year, the World Tourist Organisation (UNWTO) anticipates the tourism sector will recover by 3%-4%, and show a 1%-3% rise in European tourism compared with last year. As in the past, home markets will be crucial for Croatia this year. Germany, Slovenia, Italy, Austria and the Czech Republic have all seen intensification in the promotion of Croatian tourism. “Even though 85% of tourists to Croatia are foreign, we also have to focus on domestic visitors,” said Bajs, “hence the reason we have started a promotional campaign intended solely for
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houses, has included Chiavalon amongst its products.
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such tourists,” he added. The president of the Croatian Travel Agencies Association (UHPA), Boris Žgomba, pointed out that there is an air of mild optimism about this tourist season. He added that in this period last year they anticipated the season would receive a mark of two. This year, this mark will be closer to four, even though it is still early to predict the outcome of the tourist season. Hoteliers are ready to accommodate tourists. Therefore, the price policy is more stable and there are no dramatic price reductions as were seen last year, said the president of the Croatian Employers’ Association for the Hotel Industry, Kristian Šustar. The results covering tourists who booked their holidays through an agency are also satisfying, even though there are more individual tourists who decide last minute, concluded Šustar.
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ANNUAL CONVENTION OF THE CROATIAN EXPORTERS ASSOCIATION
We do not fear the world market if we operate under the same conditions
Give us the same economic framework as our competitors in the region and beyond, and we will achieve results at least as good as theirs, noted members of the Croatian Exporters Association to the government Igor Vukić ive us the same conditions and economic framework as our competitors in the region and beyond, and we will achieve results at least as good as theirs, proposed members of the Croatian Exporters Association recently to the government, at their annual convention. Concerning the framework, they primarily refer to tax policy and energy prices, the system of subsidies and various administrative obstacles. They also refer to all
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How can I be more successful than my Slovenian colleagues when their interest rate is 2%, questioned an entrepreneur from Varaždin areas where the state might provide help and ease access to the global market. “How can I be more successful than my Slovenian colleagues, when their interest rate is 2%, whereas ours has recently been at the level of over 6%,” questioned Marijan Huzjak, owner of Mygros from Varaždin. Gas for companies is more expensive than in Austria, added Darko Šlogar, marketing director of Vetropack Straža. “We have competitive products; we fight hard to find foreign buyers, whilst our diplomats do not bother to respond to us when we ask them to connect us to potential partners,” complained Sanja Stamenić from JGL in Rijeka. “Even if we produce state-ofthe-art electronic equipment, we still encounter problems at Cus-
toms, when we import repro-material,” noted Zdenko Pavić from Promatis in Samobor. Darinko Bago, president of the Croatian Exporters sent out a strongly worded message to the government. “Subsidies worth over €2 billion, mostly earned via exporters, are allocated unreasonably and overly enthusiastically. Often when someone even says they merely plant the land,” said Bago. Government measures are nevertheless supported Government measures for exiting the crisis are nevertheless supported by 85% of interviewed association members. The Prime Minister, Jadranka Kosor, announced they would find new solutions at meetings held with Croatian Exporters. The implementation of measures for economic stabilisation and the conclusion of EU discussions are some of the elements of the current level of assistance to exporters, pointed out the Prime Minister. Anton Kovačev, Board President of CBRD, encouraged entrepreneurs with data relating to the
solid state of funds available for financing. In relation to the first quarter of 2009, 70% more lending was approved through CBRD, the majority going to exporters. During 2009, €0.84 billion was allocated, with a further €0.48 billion in the first quarter of 2010. A solid result from a bad year Even under unequal conditions, Croatian exporters registered good results, pointed out Darinko Bago. Exposed to the international market, they reacted earlier to the crisis, adjusting expenses and avoiding losses. For exam-
ple, profitability plummeted by 25%, whilst the overall Croatian average collapsed by 35%. Results from the first quarter show a 3% rise in exports on a year-onyear level. Additionally, exports from the processing industry increased by 5.5%. Exports of industrial materials increased by 3.5%, capital products by 7% and transportation by 7.9%. However, food and beverage exports dropped 9.6%. “You are the elite of the Croatian economy, and by pressurising the government for more favourable business conditions, you will remain so,” concluded Bago.
Končar ET, the best big exporter The company Končar-Energetski transformatori won the ‘Gold Key’ award for the best exporter in 2009. In the category of medium-sized companies, the same award went to Solaris from Novigrad. The best small-sized company was the Inetec-Institute for nuclear technology from Lučko near Zagreb. The most innovative exporter was the producer of car parts P.P.C. from Buzet. In twelve of the largest Croatian export markets, the best exporters are Solaris (Italy), TDR (B&H), Eurocable (Germany), Vetropack Straža (Slovenia), Ivančica (Austria), KončarEnergetski transformatori (Serbia), Harburg-Freudenberger (U.S.A.), Uljanik (Great Britain), LPT (France), Telegra (Hungary), Končar-DST ( United Arab Emirates) and Smartek (Brazil). The ‘Gold Key’ for best exporter to an expanding market (Turkey) went to Boxmark Leather, and the best exporter to the African region was awarded to Cemex.
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Privredni vjesnik Year III No 0109
CROATIAN FOREIGN CURRENCY MARKET Currency
Kuna exchange mid-rate
AUD CAD JPY CHF GBP USD EUR
5,196057 5,672528 6,305495 5,062723 8,454878 5,819133 7,250058
Source: HNB
EUR
Franck profits rise Coffee producer Franck achieved a nett profit of €1.19 million in the first quarter of 2010. This is 14.7% more on a year-on-year level. Simultaneously, total income reached €20.72 million, some 22% higher on a yearon-year level. Moreover, sales income increased by 23.8%, to €21.62 million in the first quarter of 2010.
USD
5.82
11.5.
12.5.
13.5.
14.5.
CHF
5.18
7.27
7.76
5.16
7.26
5.70
5.14
7.25
5.64
5.12
7.24
5.58
5.10
7.23 10.5.
WEEK MAY 15, 2010
::: news
7.28
4.52 10.5.
11.5.
12.5.
13.5.
14.5.
5.08 10.5.
11.5.
12.5.
13.5.
14.5.
DUN&BRADSTREET’S INTERNATIONAL RISK AND PAYMENT REVIEW
Weak signs of economic recovery Dun&Bradstreet still rates Croatia DB3d, putting it amongst those countries with a mild business risk
Emeafinance: Zaba - the best Croatian bank Zagrebačka banka, a member of the UniCredit Group has been chosen as the best bank in Croatia for 2009, according to the international magazine Emeafinance. Regarding other members or the UniCredit Group in Central and East Europe, the title of best bank was awarded to Bulbank in Bulgaria. Bank Pekao in Poland was awarded as the best foreign bank, and UniCredit CAIB Poland the best Polish investment bank. Allianz funds achieve solid income
Allianz investment funds, money market fund Allianz Cash and balanced fund Allianz Portfolio, achieved solid income during the first year of their existence. Allianz Cash registered an income of 6.5%, and the balanced fund Allianz Portfolio 8.8%. During the past year, Allianz Invest managed to maintain a solid position amongst 15 of the leading companies for open investment fund management with public and private offer. Total assets, managed by Allianz Invest, amounted to €17.29 million as at 11 May, 2010.
n the current edition of the Dun&Bradstreet’s monthly publication International Risk and Payment Review, the credit reporting agency Dun&Bradstreet maintained Croatia’s DB3d rating, which puts it amongst those countries with a mild business risk, according to the report by the credit reporting agency BonLine, local partner to D&B. According to D&B data, 23.5% of payments made by Croatian companies to their foreign counterparts exceeded the deadline by more than 30 days. A total of 65% of payments were settled within the deadline, whilst 8.9% were paid 60 or more days overdue. Unsettled debts more than 120 days overdue totalled 2.2%. D&B still recommend foreign investors to guarantee business with Croatian companies through letters of credit. As a result of the
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credit crisis and much reduced company profitability, payments to foreign partners remain a challenge for Croatian companies. After the 2009 decline in economic activity, (D&B anticipates a GDP drop of 5.7%, and a 9.3% fall in industrial production) the start of 2010 has seen
Recommendation to foreign investors: business with Croatian companies needs to be guaranteed under letters of credit only meagre signs of recovery. Moreover, industrial production plummeted by 5.5% in the first two months of 2010 through weak demand both locally and internationally. Local companies
are operating in an unstable market. Consumers (employees) are afraid of losing their jobs (unemployment climbed to 12.2%, which is the highest level since April 2006). As a consequence, retail sales reduced by 13.9%. After the unsuccessful antirecession measures failed, the government has focused on new fiscal measures in order to attract foreign investment and encourage consumption, evaluates D&B. Help will also be provided by the Croatian Bank for Reconstruction and Development, through additional financing. According to D&B, lending may be often dubious, since both good and bad companies are in precarious positions. Regionally, Slovenia maintained the highest rating (DB2c), whilst Croatian is followed by Hungary (DB3d), Albania (DB4a), Macedonia (DB4b), Serbia (DB4d) and B&H (DB6a). (V.A.)
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WE PRESENT 7
HUMIDOR REAL ESTATE, ZAGREB
RURAL TOURISM, OSEKOVO
Safe and easy way to housing
Back to nature in Osekovo he current situation in the real estate world is dismal, but at the same time could encourage other agencies to improve the level of services they provide as well as introduce additional services which would retain valued customers and attract new ones, said Slaven Andabaka, director of the real estate agency Humidor, which acts as a mediator in the buying, selling, renting or exchange of real estate. It operates in conjunction with the Humidor company, founded in 2001, which employs some ten people, and is registered in the Register of Real Estate Agents with the Croatian Chamber of Economy.
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Better control over advertising “The users of our services are those who seek professional assistance and legal safety when buying property. They may also be sellers, since private individuals are too busy or inexperienced to act in independent sales. There are companies whose main activity is not property related, for example subcontractors who sell apartments obtained as compensation for worked performed or materials used. Our clients are investors who do not have their own sales and marketing, and wish to create an additional sales channel by co-operating with our agency,” he explains. He believes there should be a greater degree of control over illegal agents - those who do not meet
the conditions of professional performance in this demanding activity. As a consequence they take work away from the professionals and damage the reputations of those people who have invested considerable funds and
The users of our services are customers who seek professional help and legal safety when buying effort into performing this work legally. It would be sufficient, for now, if the authorised inspectorate could perform a detailed control of printed and online advertising, as well as fine those who post them without mentioning the company. Their work is illegal and puts buyers at risk, as well as damages the state budget. We have an excellent relationship with the competition, since registered agents are mostly professional companies and individuals, who perform their job quite well notwithstanding current market conditions. Therefore, the most onerous competition, to all legal agents, is individuals who perform this work illegally. In future, the agency plans to sign agency contracts with several larger investors from the Zagreb area, preserve the current level of customer loyalty and attract new buyers, extending their services to consulting on interior design with architects and furniture sellers. (B.O.)
ladimir Bistrički took an impulsive turn in one direction and decided to stay. This former transporter traded his wheel for a platter, selling his trucks and deciding to work in tourism. On the edge of a fen - the Lonjsko Field nature park, the past five years have seen more families offering the Moslavina version of continental tourism in the company of protected fenland birds. Eight years ago, when he bought a neglected property with a barn, hoping he would accommodate travelling tourists, Bistrički faced strange looks and jokes from local people, especially, when he started to gather old objects and tools. Today, when his vision has been brought to life, he receives general approval. At a carefully developed farm, with the sound of goats and sheep and smells from the kitchen, there is no ‘tide’ in Osekovo (Cro. oseka - Eng. tide). However, there is a tide - of visitors - many of whom are students, cyclists, nature lovers and those who enjoy home cooked food.
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A family affair The atmosphere is made friendly with songs and jokes from the landlord, whose family also work. Depending on circumstances, they are joined by tamburica players (a stringed instrument) and villagers in local costume, traditional village games are played, and the customs of Moslavina presented. “After visiting Slovenia and Germany, where I studied
family tourism farms, I decided to try. The beginning was extremely difficult. When we started to organise the land, we took away 28 trucks of weed. Everyone in the village asked me what I would want with the old stuff, whilst today they offer old armoires, cases and tools,” remembers Vladimir Bistrički. Together with a lot of work, he invested over €40,000 with almost €30,000 from various state subsidies for reconstructing a 1948 vintage barn and the entire property, which offers relaxation and recreation in addition to special offers of local
At a carefully developed farm, with the sound of goats and sheep, tourists enjoy nature and delicious homemade food organic food and drink. Visitors are greeted with carp grilled on forked branches, grilled suckling pig and lamb, meat prepared in a cast iron pot, stews, homemade cured meat, cheese and cream and homemade bread from the bread kiln, followed by gibanica (cheese in homemade pastry), strudels, buhtla (buns with filling), and naturally, quality wine from the Moslavina wine road. Bistrički plans to develop rural conference tourism with a building for 150 people, intended for business meetings and celebrations. (E.D.)
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::: news Regional bank conference at the end of May New Banking Vision 2010, the largest regional financial conference, will be held in Umag from 25 to 28 May. It will be dedicated to trends and challenges in the banking sector and ICT technology monitoring the financial sector. The group Asseco South Eastern Europe is the organiser. The main topics on the agenda include the transformation of the banking industry and current industry challenges, the lessons from the financial crisis and regulatory change, as well as an overview of global changes through which the IT industry is going. Inflation stable and low The price of goods and services as measured by the Consumer Price Index, were 0.4% higher in April 2010 in relation to March 2010. In relation to April 2009, they are 0.6% higher and 1.4% higher on a year-on-year level. According to data from the Central Bureau for Statistics, the rise in prices in April 2010 over March 2010 was mainly as a result of increases in prices for clothes and footwear (up 4.6%), transport (0.9% higher), cost of living, water, energy, gas and other fuel (0.3% higher) and of food and non-alcoholic beverages (0.1% higher). Mavota and Pliva take over Medika
The company Mavota, owned by Mate Perković and the pharmaceutical company Pliva intend to take over the Medika drug store chain. They notified the Zagreb Stock Exchange publishing the offer for the take over. Mavota is acting together with Pliva, Jasminka Herceg, board member of Medika, and Medika itself. The bidder and the associated companies own 63.43% of the total number shares. Mavota will publish its offer for the shares based on an average price, calculated as the weighted average of share prices during the last three months.
from Croatia sold at the fair in Morocco
Success of the cluster of agricultural machinery at the Moroccan fair Moroccans delighted with Croatian machinery Price, simplicity and robustness are the advantages of Croatian agricultural machinery Eleonora Dukovac ome forty Croatian agricultural machines worth €100,000 were sold in a matter of days, at the recent fair in Morocco, where the Cluster for Agricultural Machinery presented itself through eight of its members. Three months of preparations were undertaken by Hidraulika Kutina, TPS Labinprogres, OLT and Standard MIO from Osijek, Gramip TPS Dubrava, Hittner Bjelovar, POD Production of Spings Dežanovac and JLM Perković from Matulj for the SIAM fair in Meknes at the end of April. Their efforts were rewarded since they opened the doors to the huge Maghreb market. Many companies there anticipate large and, in the longterm, lucrative deals. Negotiations with potential partners are in progress, whilst business cooperation is expected to continue. The markets of Morocco, Algeria and Tunisia have proved to be superlative for exporting Croatian farming machinery. As a consequence, they were fully sold in Meknes.
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Simplicity is their virtue Željko Erkapić, director of the cluster, explains that in global competition Croatian machinery on these markets have the advantages of price and simplicity. Furthermore, they are robust enough for fields of 50 ha, which is the average size of local properties. They are long-lasting and do not require regular servicing, which was welcomed. Ante Bazina, president of the cluster supervisory committee, points out that Maghreb markets are challenging since Morocco,
with a population of 35 million, has 10 million hectares of cultivated land and two harvests each year. The exhibition proved to cluster members that the quality of Croatian products is recognised outside Europe, and fairs like SIAM showed they are excellent for promoting Croatian companies and products. There are still no concrete orders, but they are inevitable. In the next few weeks we expect to sign a contract with a partner from Morocco, said Bazina, director of Hidraulika from Kutina, which has been present on the North African market for over 10 years. Therefore, their entire portfolio of exhibited goods has been bought by a valued customer from Morocco. Work as much as is needed New deals should create new jobs. Companies gathered within the cluster mainly work one shift, but they are prepared for more shifts and plan to recruit expert workers, who lost their jobs when production slumped. This will all be made possible by mutual co-operation since they do not see themselves as competition.
Recently at a press conference in Zagreb, the leadership of the cluster stressed that agricultural machinery is one of the most powerful Croatian export products. They expressed gratitude for support provided by the Ministry of Economy, Labour and Entrepreneurship, the Croatian Chamber of Economy, Croatian Trade and Investment Promotion Agency and the Croatian Embassy in Rabat, which helped them exhibit at the Moroccan fair. New future directions point towards the Ukraine and Russia. Erkapić says that in addition to being a cohesive community, the goal of the cluster is business internationalisation, as well as cooperating on improving existing products, innovation and the development of new products. The Cluster of Agricultural Machinery started operations in August 2009, founded by eight companies; OLT and MIO, Hidraulika from Kutina, Limex from Donji Miholjac, Pecka from Markovac Našički, Gramip from Dubrava in Zagreb, Hittner Bjelovar and POD Dežanovac. It now includes 12 members, having a total of 130 employees.