Dubravka Lekić, owner of Terme Jezerčica We are building a bay in Zagorje with a warm “freshwater sea”
CCS Ulaganja experience Croatia is worth investing in notwithstanding snail-slow bureaucracy
Producers next to scientists We are here to ensure conclusions reached and views may be applied across industry
INTERVIEW
INWARD INVESTMENT
DEFENCE
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Croatian Business & Finance Weekly Established in 1953 Monday / 18th April / 2011 Year IV / No 0149 www.privredni.hr
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pvinternational pv international C R O A T I A N
C H A M B E R
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E C O N O M Y
BUSINESS SENTIMENT SURVEY, FIRST QUARTER OF 2011
NEW OPTIMISM IN ALMOST EVERY SECTOR Dr. Mirjana Čižmešija, Faculty of Economy, Zagreb total of 440 companies, 168 from the processing industry, 54 from construction, 83 from trade and 135 from the service sector, participated in the business sentiment survey conducted by Privredni vjesnik in March. The examined companies are responsible for 10.4% of total income and 9.6% of the total number employed in all companies of the Croatian economy. According to the latest results, optimism is starting to reappear in all sectors, except construction.
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Processors The processing industry has announced a recovery: the BSI increased by almost 5 points, standing at 20.8 points. This is the eighth consecutive increase which started in the second quarter of 2009. Even though the increase in the index is not high, optimism is still present in this sector. Entrepreneurs expect the revitalisation of the processing industry in the second and the third quarters
of this year. It is worth mentioning that over 15% of respondents evaluated their competitive position as improved in relation to the previous quarter, whilst only 5% reported no change in the fourth quarter of 2010. Despite everything, the problem of liquidity is even more present. In the previous quarter, 34% of respondents experienced occasional difficulties, and in this quarter this figure has risen to 46%. Trade Considerable uncertainty marks the retail sector. In the fourth quarter of 2010 the BSR plummeted (81 points), and in the first quarter of this year it increased by 78 points, returning almost to the same value as last year (28 points). Despite the increase in the index, improvements are not anticipated in this sector. However, whereas retailers were extremely pessimistic according to the results of the previous survey, their latest evaluations and anticipations are more positive. Thus, some three quarters of responses evaluated their present business position as good. Over three quar-
ters evaluated their turnover as higher in relation to the previous quarter; over 80% anticipated an increase in turnover during the forthcoming quarter, and 95% anticipate an improvement of the entire business. There were almost no changes in retail in relation to the previous quarter. Entrepreneurs mainly evaluate their position as satisfying or even poor, turnover is lower, supplies are evaluated as good and they expect almost the same in the forthcoming quarter. Construction The BSC dropped again by almost 10 points, and now stands at -54.3. During the past two years, this indicator has been negative and at the lowest registered level to date. Entrepreneurs in this sector stress the problem of redundant employees (78% of replies) and the problem of insufficient financing. This is closely connected to the poor rating of liquidity (62%). Services The service sector does not anticipate any significant improve-
ment or downfalls. Although the BSS increased by 3.32 points to 22.17 points, improvement is not expected during the next three to six months. The rise in the indicator announces a period of stability until autumn. Demand
Optimism is awakening amongst Croatian entrepreneurs as the results of the latest business sentiment survey show; positive anticipations dominated all sectors except construction and total employment have not changed, and entrepreneurs do not expect it during the next three months. Liquidity is solid, and 48% of entrepreneurs anticipate improvement during the forthcoming six months.
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Privredni vjesnik Year IV No 0149
JELKA TEPŠIĆ, DIRECTOR, TOURIST BOARD, DUBROVNIK
More people have heard of Dubrovnik than Croatia ince the beginning of this year, Dubrovnik and its high-category hotels have been constantly present on global portals. Dubrovnik is mentioned in the British Guardian newspaper, the Italian Corrie Della Sera, Bangkok Post, Travel Lady Online and many others. One is the Russian Travel.ru portal, where readers selected Dubrovnik as the top holiday destination amongst global competition. “As tourism workers, we are very proud of that, but we have an obligation to
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Dubrovnik has many brands. Even its residents recognise it as a City, with a capital C protect and preserve our city for future generations. The motto of the Tourist Board of Dubrovnik is the City in the palm of your hand which implies the importance of responsible behaviour towards the heritage we share with many visitors who come to our city each year”. This year, one of the most reputable world tourism organisations World Travel Awards, nominated IMPRESSUM: Privredni vjesnik Kačićeva 9 10000 Zagreb +385 1 5600020 uprava@privredni.hr www.privredni-vjesnik.hr/ subscription
Dubrovnik and its hotels in several categories, including the most important one as the leading European tourist destination and the leading European cruising destination. These nominations have been repeated for the past few years. The World Travel Awards is the primary recommendation for tourist products. The ceremony is held every year at the international WTM tourism fair in London. It may be said that from all the recognition Dubrovnik receives, this city has an important rôle in the promotion of Croatia. This confirms the theory that Dubrovnik is a brand on its own. We have heard many times from foreign colleagues that more people know of Dubrovnik than about Croatia, since it has been working on its status as a recognisable tourist destination for decades. Dubrovnik has many brands, even its residents recognise it as a City, with a capital C, and they never say I’m going to the city, but rather I’m going to the City. We have always been surrounded by tourism, even though the Republic of Dubrovnik became famous for its diplomacy and maritime affairs. Since the 19th century, Dubrovnik has been building its image as a tourist destination, unique and recognisable at a global level. We want our visitors to feel welcome in our town. We want them to experience the best of Dubrovnik, and of course, we want them to come back again regardless of season, since the City is always unique and open hearted.
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 Lučana Banek lucanab@gmail.com Mirjana Cibulka mirjana.cibulka@gmail.com
EXECUTIVE EDITORS Andrea Marić maric@privredni.hr Vesna Antonić antonic@privredni.hr
INTERNATIONAL OPERATIONS Ray Fletcher fletcher@privredni.hr
( 60% companies
shut down since introduction of excise duties
CROATIA BOAT SHOW SPLIT
BLAGAIĆ: SINCE THE INTRODUCTION OF EXCISE DUTIES, GROWTH HAS SLUMPED Opposing Blagaić, State Secretary for the Sea, Mario Babić, claims nautical sector constantly growing
Jozo Vrdoljak his year, the 13th Croatian Boat Show in Split assembled 150 exhibitors from 17 countries. Over 100 vessels were exhibited. Even though the fair saw visibly fewer exhibitors than last year, which had brought its continuity into question, State Secretary of the Ministry of the Sea, Traffic and Infrastructure congratulated the organiser not only for being able to hold the fair during the recession, but for turning it into an important event with great perseverence. Vicenco Blagaić, director of the Profectus company and organiser of the fair, proposes that the recession has been responsible for cutting the size of the fair by half, but also a series of pitiable decisions made by the creators of the legislative framework which concerns the nautical sector. “On behalf of the nautical sector of the Croatian Employer’s Association, I must say this branch does not only consist of producers and sellers of vessels, but also of many workers in marinas and on yachts (over 15,000 of them), and this total is more than all shipyards combined. However, the nautical sector has never been subsidised by the government. Moreover, due to the introduction of excise duties in 2008, the growth rate is in constant decline, and 60% of companies have shut
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down since then. On behalf of the CEA, I ask the government not to adopt laws hastily, but rather to consult experts who know how to maintain the Adriatic coast as the leading global nautical destination,” pointed out Blagaić. His statements were denied by the State Secretary for the Sea, Mario Babić, who pointed out the Croatian nautical sector is constantly increasing. For some growth, for others decay In 2010, we registered 2% more boats and yachts over 2009, a total of 58,400. There were also 2% more visitors on these vessels, (160,000), whilst there were 3% more charter vessels. In 2010, the number of registered charter companies increased by over 10%, with 4,100 charter boats and yachts in total, accommodating 130,000 visitors, over 2009. Babić ventured that the Ministry of the Sea subsidises the construction of boats and yachts each year and he invited producers to the current tender. All those who applied for the tender last year received our subsidy, stated Babić. He added that owing to the e-Nautika Programme, the Ministry simplified the procedure for the longer stay of foreigners on yachts, and that work on the external berth of the Splity City Port, intended for the largest cruisers, is scheduled for next year.
www.privredni.hr Business & Finance Weekly
INTERVIEW
( €2.88 million
cost of the new water park with wellness centre
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( €2.12 million funding from Hypo Bank
INTERVIEW: DUBRAVKA LEKIĆ, OWNER OF TERME JEZERČICA
We are building a bay in Zagorje with a warm “freshwater sea” It is true we are planning to invest in these difficult times, but if no one works or invests nothing will be built Sanja Plješa erme Jezerčica, located in the heart of Hrvatsko zagorje, started the construction of a new modern water park and the renovation of the existing wellness centre covering 2,800 m². The investment is valued at €2.88 million, and they are also planning to build four new pools with the accompanying services. Privredni vjesnik spoke with the owner of Terme Jezerčica, Dubravka Lekić, regarding this venture. In addition to the facility, she is also the owner of a rehabilitation centre for people with special needs and a home for the elderly and infirm.
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Terme Jezerčica has ventured into additional investment during this recession. Do you have any concerns about the investment? It is true we are planning to invest in these difficult times, but
if no one works or invests, nothing will be built. The investment is supported by Hypo Alpe-Adria Bank with a credit of €2.12 million, of which €0.08 million in interest is subsidised by the County of Krapina and Zagorje and the Ministry of Economy. We will finance the remainder. We are planning to build a 25 metre-long recreational swimming pool with four contra-current swimming devices, a children’s pool with double slides, a pool for nonswimmers with a jacuzzi, souvenir shop, catering facilities and Vital Bar inside the Water Park. The renovation of the existing wellness centre will include the construction of three new panoramic saunas with a solarium, a large terrace for sunbathing, two whirlpools and a cold water pool. When do you expect to complete the work? We are in the first phase of construction. In the second phase,
From helping the children from Sarajevo to beautiful spa When and how were Terme Jezerčica founded? The complex covers 120,000 m², but not all of it is used. Fourteen years ago, during the fourth auction sale of the present Jezerčice, then owned by the company Hidroelektra, I bought the complex for €1.37 million with the intention of accommodating children with special needs from a Sarajevo damaged by war. Considering I come from a healthcare branch, I did not think the complex would transform into a spa one day. However, the former workers of the Tourist Board wanted the building to offer tourist services. Six years ago, we renamed the facility Terme Jezerčica and offered our visitors luxurious facilities near the spring of natural medicinal thermal water.
we plan to connect the existing bathing area with the Olympicsize pool and construct an ethno
We have mainly been a destination for business visitors, but from now we will attract families with children house, more specifically, bungalows with four suites. The conference centre currently has four halls with state-of-the-art equipment, seating around 200 people and it is intended to hold seminars, presentations and conferences. During the forthcoming phases we plan to upgrade around 100 four-star hotel rooms. Work on the first phase should be completed by the end of July and the opening is scheduled for the beginning of August.
What type of visitors will Terme Jezerčica attract? We have mainly been a destination for business visitors, but from now we will attract families with children. We wish to become a four star category daily spa resort. What type of energy is used in Terme Jezerčica and will the new investment transform it into a green hotel? We are using bio-energy, instead of gas. The entire complex of the park and the parking space will be illuminated by solar power. This significantly decreases our electricity costs. We want the complex to be recognised as a green hotel, which is very popular throughout the world. We hope we will be able to obtain funding from the pre-accession funds which we would use to return the investment regarding the upgrade of the spa.
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Privredni vjesnik Year IV No 0149
( €6.5 billion
invested by Austrian investors into Croatia since 1993
CCS ULAGANJA EXPERIENCE
Croatia is worth investing in notwithstanding snail-slow bureaucracy CCS Ulaganja was created from the Austrian developer CCS Consulting Group which operates throughout Europe and is currently developing several projects in Croatia worth €500 million utility rates, their facilities underdeveloped and demand huge. In addition to these projects, the company is investing €210 million into a residential and commercial zone in Rijeka, €121 million into a retail centre in Pula and €55 million into a retail park in Kaštela.
Boris Odorčić roatia has not made significant achievements in attracting foreign investors. Non-transparent public tenders as well as administrative, judicial and several other difficulties deter investors. A good example may be provided by Austria as the largest investor into Croatia: Austrian investors have invested €6.5 billion into Croatia since 1993. Nevertheless, due to the above reasons, direct Austrian investment has seen a constant decrease since 2007.
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A year for a permit In order for a company willing to invest and pass through slightly open investor doors into Croatia, it has to have in addition to projects and necessary financial funds, considerable patience, determination and endurance. One
Leading local banks grant loans up to €20 million company which has been treading this thorny path for years is CCS Ulaganja. It was founded in Zagreb in 1998 from the Austrian developer CCS Consulting Group and operates throughout Middle, Eastern and South Eastern Europe and is currently developing several projects worth over €500 million. Ivan Radoš, Development Sector Director with CCS Ulaganja, singled out state inertia and local bureaucracy as one of the
most severe investment hurdles and causes of many years of long process in obtaining construction permits. “The direst problem is incompetent staff in state administration at both the middle and local level. Moreover, if a state or a state-owned company is the owner of a project or part of a project, there are often multiple needs arising for the meeting various standards” he stated, adding that state and local administrative staff should be additionally trained to enhance quality of service. “Introduction of competence and responsibility into state administration would solve a significant number of investor
problems”, opined Radoš. Another problem is finding a bank for financing projects. The leading local banks grant loans up to €20 million. Larger amounts have to be approved by parent banks abroad. Answering the question as to why the company decided to invest in Croatia notwithstanding these problems, Radoš stated that they wanted to use the experience and expertise they acquired abroad in Croatia as they believe it is worth investing in. They are currently investing into projects (retail centres) in smaller towns – Varaždin, Karlovac and Kaštela since smaller towns offer lower prices of construction land,
Financing the adjusted urban-development plan “The core business of CCS is the construction of businesscommercial facilities and with the project the Sava park-east in Zagreb, worth €160 million, the construction of which should commence at the beginning of 2012, we are initiating a residential project development”, pointed out Radoš, adding that several thousand workers have been engaged on CCS projects in Croatia to date. Currently there are about 1,000 workers engaged on various projects. “We are anticipating at least the same number of new jobs opening up on the realisation of our projects in Pula, Rijeka, Zagreb and Kašteli, plus all the workers participating in the development of projects”, he added. The most recent example of investment is a project in the Karlovac economic zone. €25 million will be invested into the construction of a retail park in the area. The total value of infrastructural investment into the zone amounts to €3.29 million. In addition to €0.34 million fully paid utility feed, the company has also financed the adjusted urban-development plan to current legislation, as it dated back several decades.
www.privredni.hr Business & Finance Weekly
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( 200 participants ( 40 countries attended the coference
represented in Cavtat
World conference on defence
Producers next to scientists We are here to ensure this conference does not remain solely at a scientific level only, but that its conclusions and the exchange of experience between participants may be applied across industry t the 7th world conference on chemical, biological, radiological and nuclear threats and terrorism some 200 participants from 40 countries assembled in Cavtat recently. There were top rank scientists and professionals from the area of medicine, toxicology, biochemical science, physics and biotechnology as well as experts from the area of personal and collective protection, decontamination, assessment of possible consequences and medical treatment in cases of nuclear, chemical and biological terrorism. The Croatian Chamber of Economy organised the exhibition Application Production from the Area of NRCB Defence. The exhibition was organised to present and develop the application production in Croatia, developed in compliance with EU and
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NATO standards and procedures, its value and competitiveness on both local and foreign markets. “We are here to ensure this conference does not remain at a scientific level only, and that its
conclusions and the exchange of experience between the participants may be applied across industry. We are also aware that industrial plants are possible targets of terrorist attacks and that
their products might fall into the hands of terrorists,” pointed out Zoja Crnečki, director of the Industry Sector of the CCE. “This conference is an opportunity for the producers of protective equipment,” opined Crnečki. The commercial and technical director of the company Ind-Eko, a leading Croatian company for all types of industrial cleaning and waste management, Željko Šmitran shares the same opinion. In addition to coming here to see all the dangerous consequences of significant disasters, we are making contacts with responsible people in order to gain the opportunity to offer our services outside Croatia. Innovation and continuous investment in experts and advanced technologies is our competitive advantage, pointed out Šmitran. (J.V.)
CHAMPIONS OF FLAVOUR
INGRA VENTURES INTO RENOVATION OF THE HYDRO POWER PLANT HADITHA
The champion’s cup for quality goes to Belje
New contract in Iraq for €5.8 million
reparations for the 78th international traditional fair in Novi Sad, one of the largest contests in quality dairy products in the region have shown strong competition from 28 producers, entering a total of 105 products, the Factory of Dairy Products Belje from Beli Manastir won the highest recognition of the fair - Big Cham-
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pion Cup for top quality of fresh cheeses and milk spreads. The crown of the product line of their dairy products, ABC fresh cream cheese and semi-hard Baranjac cheese, proved their exceptional quality in this contest. In the category of cream cheeses, ABC fresh cream cheese was selected as the champion of the category, winning a total of six gold medals for all flavours. The champion in the category of semi-hard cheeses was Baranjac, a local semi-hard cheese produced from selected fresh milk from the farms of Belje. The success of Belje dairy products was also contributed to by gold medals for milk spreads Vajkrem and Abc. (S.S.)
ngra will soon venture into the renovation project of the hydro power plant Haditha in Iraq, worth €5.8 million, according to the company statement at the Zagreb Stock Exchange. The scope of work will include renovation of turbines, generators and the accompanying equipment on the Unit 1, executed in two phases. The execution of work will last 24 months, including delivery. After the renovation of the first unit, Ingra plans to continue the same for the remaining five units at Haditha. During the 1980’s, Ingra was the holder of the contract for the construction of the entire hydro power plant Haditha (generating power of six
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times 110 MW), which enabled it to close this deal.
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WE PRESENT
KUZMIĆ PRO, ČAKOVEC
Privredni vjesnik Year IV No 0149
LUMINUS, ZAGREB
The regional leader A broader distribution of Posiflex equipment in the region is anticipated in the forthcoming future
Creating trends not following them They have caught attention in Croatia only after having become well-known globally with their work he company Kuzmić was founded in 1991. Its founder, Tomislav Kuzmić, was initially engaged in the design and production of electronic devices. The turning point in his business activities came in 1997 when the leading world producer of POS (Point of Sale,) of Posiflex equipment identified it and signed an exclusive contract for the distribution of its products. Successful co-operation has continued and strengthened over the last 11 years.
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Covering Croatia, Slovenia, Serbia, Bosnia and Herzegovina, Montenegro and Macedonia “We are representatives for six countries. In addition to Croatia, we operate in Slovenia, Serbia, Bosnia and Herzegovina, Montenegro and Macedonia. We currently have eight employees and are anticipating a wider distribution of Posiflex equipment regionally in the forthcoming future. Our advantage is that our stock is in our warehouses and this enables rapid delivery and quality servicing of devices”, pointed out Slaven Jambrović, Assistant Director of Kuzmić pro. In addition to reputable high quality touch-screen Jiva series systems, which have been produced for seven years now, Posiflex has filled its buyers with en-
thusiasm again this year with its new fanfree system, without fans, and the KS series with touchscreen monitor. “As with the Jiva system, it is compact, which means that monitor and computer are in the same cabinet. Due to its high quality and stability, KS systems are intended for the most demanding and extreme working conditions. They are completely soundless and can operate under conditions of high moisture, at both low and high temperatures, in dust, smoke and similar conditions”, stressed Jambrović. Experience and professionalism The company has deepened its product range with other producer products such as Zebex, Argox, TVS, Motex and Chiyu. These producers cover specific areas of POS equipment. Thus, Zebex is a reputable producer of barcode readers and inventory taking terminals. Motex is the global leading producer of scales, and Chiyu produces electronic time-clocks for monitoring working hours. “As a result of our experience and professionalism we are currently the leading distribution company both in Croatia and in the region. The success of a company is not only measured by its profit but also by client satisfaction. The key element for successful business activity definitely is quality and reliable equipment and this specifically applies to POS equipment”, emphasised Jambrović. (J.V.)
he company Luminus Grupa from Zagreb was founded 10 years ago with the objective to offer innovative and global best quality in audiovisual production. Initially, the company became identifiable abroad rather than in Croatia, yet they subsequently caught the public eye with works such as the MTV theme song, and projects for the Oscar awards, for the American professional football league NFL and ABC TV. “These projects, except for some high-profile awards such as, for example, the Emmy’s, increased the confidence of local clients. Over the years we have established a quality and fruitful cooperation with many companies in Croatia that have identified the creativity, professionalism and expertise of our teams”, stated Igor Mijoljević, Board President of Luminus. Currently the company is operating as a group and a full-service company which can provide every individual client with a complete range of services, from communication strategy, a comprehensive campaign to the final product for each medium according to the one-stop-shop principle.
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Business and communications solutions Mijoljević stated that both management and employees enjoy their jobs specifically in areas that could, from the outside, be perceived as stressful. It is an exciting and unpredictable
job where every day differs. “In addition to servicing big brands, we enjoy working with smaller clients as this kind of work is always a creative challenge“, emphasised Mijoljević. Luminus Creative operates within the group and is now an established and a reputable creative agency dealing with marketing campaign planning. Luminus Studio, which also belongs to the group, was founded in 2005
Luminus Group companies located in Los Angeles and London and is engaged in the production of TV commercials, CGI (computer-generated-imagery) animation as well as production of other TV formats. There are two further overseas companies – Luminus Studio Los Angeles and Luminus London. Mijoljević anticipated further activity in both communication and production branches as well as in developing its own trend-setting business culture. “We do not follow trends but aim to create them and follow our path”, concluded Mijoljević. (S.P.)
www.privredni.hr Business & Finance Weekly
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CROATIAN FOREIGN CURRENCY MARKET Currency
AUD CAD JPY CHF GBP USD EUR Source: HNB
Kuna exchange mid-rate
EUR
7,39
5,361517 5,286062 6,114026 5,704245 8,323232 5,091216 7,361899 WEEK APRIL 16, 2011
USD
5,12
13.4.
14.4.
15.4.
16.4.
5,72
7,38
5,11
5,68
7,37
5,10
5,64
7,36
5,09
5,60
7,35
5,08
5,56
7,34 12.4.
CHF
5,07 12.4.
13.4.
14.4.
15.4.
16.4.
5,52 12.4.
13.4.
14.4.
15.4.
16.4.
::: news
LIFE INSURANCE
Ina to retain profit At the Main Assembly of Ina, to be held on May 23, it will be proposed to shareholders to retain profits from last year (€0.23 billion). This would be distributed into legal reserves (€12.05 million) and retained profit (€0.22 billion). However, the government had previously announced it would request half the profit made by state owned companies to be paid into the state budget. It is expected that MOL and the government, as the majority shareholders, would reach an agreement on the use of the profit by the start of the Main Assembly.
Tax relief would be a following wind In Croatia life insurance premium per capita is only €75 with the EU average is €1100 Drago Živković ife insurance should have the same tax treatment as voluntary pension savings - this is the main conclusion of the round table held by the magazine Banka and the Association of Insurers of the Croatian Chamber of Economy. According to data presented by Igor Pureta, vice-president of the Association, life insurance premium per capita is only €75, whilst the EU average is €1100, and in countries like Denmark and Sweden the premium is €2500 per capita. Furthermore, life insurance premiums make up for less than 1% of Croatian GDP, whilst the EU average is
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5%. Great Britain is the record holder with a premium of 10% of GDP. Life insurance is a highly demanding and complex financial product which has trans-
Three quarters of money from life insurance premiums is invested in state bonds formed during the past couple of years into long-term pension savings. It has even greater social value considering that three quarters of the money from lifeinsurance polices is invested in state bonds. The majority of the
funds are invested in infrastructural facilities which benefit the entire community. Full tax relief, similar to the solution in Austria and Germany, would be a following wind at the back of life insurance, says Željko Jukić, director of the Life Insurance Sector in Croatia osiguranje. Jukić believes the crisis was necessary in order to finally understand that lifeinsurance is one of the generators to exit the recession, which countries, where such insurance is much more developed than in Croatia, have demonstrated. Jukić is optimistic and anticipates double-digit growth of life insurance after the Croatian market exits the recession.
CO new insurance policy Croatia osiguranje is offering the general public a new Start Invest life-insurance policy connected with investing in investment funds. The investor selects the fund in which he wants to invest, with a possibility of changing every year, free of charge. The policy can be signed for a period between 5 and 25 years. €5.27 billion in pensions The assets of the four mandatory pension funds - AZ, Raiffeisen, PBZ/CO and Erste Blue – reached €5.27 billion at the end of March, some 2.21% more than at the end of February, according the Croatian Financial Services Supervisory Agency. Market share of the funds changed insignificantly, and at the end of March AZ participated with 39.76% in total assets of all funds, Raiffeisen with 30.06%, PBZ/CO with 16.87%, and Erste Blue with 13.30%.
8 ::: news Seasonal start at Rijeka airport A Ryanair flight has recently opened the season at Rijeka airport. It is the first time that Rijeka airport has been connected with London and Stockholm airports. In addition to this low cost airline, there will be regular flights by Croatia Airlines, Air Berlin and VIP Wings to London, Koln, Stuttgart, Kosice, Dusseldorf and Munster/Osnabruck. Atlas records an increase in bookings The tourist agency Atlas is currently recording a 25% increase in tourist packages for the Adriatic over the same period last year. This year will see a return of tourists from all markets which normally choose Croatia as a holiday destination, with the greatest interest for holidays in Croatia shown by France, Germany, Austria, Scandinavian countries, Russia, Turkey and Greece. Heart-shaped coloured Easter egg in Brussels
A huge painted Easter egg called Heart-shaped Easter egg is being exhibited in the Brussels square Grand Sablon with the support of the Croatian National Tourist Board and in co-operation with the Koprivnica-Križevci County Tourist Board and the Croatian Embassy in Belgium. The Croatian Easter egg has been made according to the Croatian tradition of celebrating the Easter festivity. A small Croatian cottage is also exhibited in the square as a promotional stand. Zagreb Tourist Board awards and recognition Zagreb Tourist Board received a further award for its promotional film Moonlight Sonata Zagreb, directed by Jakov Sedlar and starring Ana Rucner. The Zagreb Tourist Board received this commercial tourism award at the International Tourfilm festival, Tourfilm Riga.
Privredni vjesnik Year IV No 0149
PUSTARA VIŠNJICA, CROATIAN EDEN AWARD WINNER
A GREEN OASIS ON FERTILE SLAVONIAN FIELDS Over €5 million spent on the restoration of Višnjica so far with at least €2 million needed to complete the project Sanja Plješa ustara Višnjica, a one hundred year old estate surrounded by a garden full of chestnut and lime trees and pines located in Slavonia is this years European Destinations of Excellence winner (Eden). This former large-scale farm is currently almost fully restored and converted into a tourist destination mainly oriented towards sustainable development of tourism. Pustara Višnjica was first mentioned in the middle of the 19th century as a vast farmland inhabited by landless peasants and used as pasture for cattle. The first owners were the noble family Pejačević. In times of economic and demographic boom, the estate was managed by two families – the German royal family Schaumburg-Lippe which initiated the production of sparkling wine in Croatia in Slatina and the family Drašković which turned Višnjica into the most developed estate in Slavonia at that time. In the second half of the 20th cen-
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tury Pustara was managed by an agro-industrial plant Osijek and subsequently faced bankruptcy through a private company which then took over the estate. Nevertheless, Ksenija Plantak, the new Višnjica owner, came at the beginning of 2005 and saved the ruined and devastated estate with an Arabian horse-farm. Assisted by journalists The saving of Višnjica was largely assisted by journalists and the media when, after the war, they popularised the problems on the farm with the neglected but beautiful Arabian horses, as pointed out by Ksenija Plantak. The animals had spent three years in chains. “The bankrupt estate assets comprised the horses and they were supposed to be slaughtered, yet we started to feel we were about to lose something of exceptional value”, stated Ksenija Plantak. Her parents were born in the region and her ancestors, being horse breeders, were sufficient motives for her to start with the restoration of Višnjica. Never-
Good neighbours gardens The first commercial production of sweet potatoes commenced on the 15 hectares of farming area in 2006, together with oyster mushrooms, asparagus and the production of healing herbs. In addition to the horse farm, a restaurant and an 18 room hotel, there are also old craft workshops, such as ceramics, gastronomy and textiles. Visitors can enjoy sport and recreational facilities, such as cycling and horse-riding, and the construction of additional sporting facilities is anticipated. Moreover, nine themed gardens, for example a Celtic garden, Stribor’s forest or a ‘garden of good neighbours’ which will be maintained by visitors.
theless, she needed financial support and, after a strenuous search, she found a partner – Branko Perković, a returned emigrant from Australia. They became majority owners of Pustara Višnjica and have been operating as a family partnership for two years. Višnjica currently employs 30 staff and, after other subsidiary projects have been finalised, it will employ 50. Višnjica is open all day throughout the year and is oriented towards hunting tour-
Once a ruined and devastated estate is currently a habitat for deer, mouflons and horses ism, school nature classes, visits from business people, retirees and families with children. Texan and Arabian horses In addition to Arabian horses, there are also quarter- and painted-horses imported from Texas in which the European market is showing significant interest. “On our horse farm there is last year’s champion in the quarter-horse category. We have 70 horses and are anticipating 20 colts”, noted Ksenija Plantak. In Višnjica there are also mouflons and fallow-deer. According to Ksenija Plantak, over €5 million has been spent on restoration to date with at least a further €2 million needed to complete the project.