Marina Wallner, director Elanija Split, founder of Oliva gastronomic centre Construction must be controlled, reduced and adjusted
Croatia ranks second in Europe regarding the level of youth unemployment Employers want work experience but reluctant to provide
Authentic food with eco label Croatian cuisine is a blend of different influences which has given rise to delicious gastronomy
INTERVIEW PAGES 2-3
UNEMPLOYMENT PAGE 5
GASTRONOMY PAGE 8 2010
Croatian Business & Finance Weekly Established in 1953 Monday / 22nd August / 2011 Year IV / No 0162 www.privredni.hr
S U P P O R T E D
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
CROATIAN EXPORT DURING THE FIRST 6 MONTHS
Still active Despite positive results of Croatian exports for the first six months the trend remains unstable warn Croatian Chamber of Economy experts Igor Vukić ven though the export of “other transport means” (ships included according to statistics) dropped from €0.76 billion to €0.62 billion (19% drop) during the first six months, total Croatian exports were up at €4.4 billion, according to data provided by the Central Bureau for Statistics. Total imports in euro terms, stood at €7.3 billion showing 2.7% growth. Thus, sixmonth growth totalled less than 1%.
E
Export of oil derivatives Data from the CBS point to decreased exports from the shipbuilding sector, compensated by growth in oil derivatives, food, beverages and industrial materials. Exports of fuel and grease grew by 15.8%, in kuna terms. In 2011 a total of €0.51 billion was exported compared with €0.44 billion during the first six months of 2010. Food and beverage exports grew from €0.34 billion to €0.38 billion; industrial materials came in at €1.45 billion this year, which is 1.6% up yearon-year. The food sector exports
show a large increase in the export of fish and fish preparations, from €51.35 million to €71.62
Despite shipbuilding downfall exports grew 4.5% million (39% growth). Fruit and vegetables increased from €12.57 million to €19.86 million. The export of grains significant-
ly contributed to the overall figure, amounting to €59.59 million, up 2.4% in relation to the same period in 2010. The export of oil derivatives significantly contributed to total export results, increasing from €0.31 billion to €0.42 billion, a 29.7% increase. The export of chemical products also increased; €0.48 billion of goods being sold, which is 19.7% more compared with 2010. Croatia exported a total of €108.24 million of arti-
ficial fertilisers, which is almost twice the amount sold during the first six months of 2010. Data provided by the Central Bureau for Statistics confirm the return of the timber industry to a positive export trend which has been lasting for over a year. Products made of cork and wood increased from €47.02 million to €53.24 million (up 13.2%) in total export results. The export of untreated wood grew from €134.05 million to €0.15 billion, a 13% increase. Unstable export trend Total imports also grew, but at a lower rate. Despite positive results from the Croatian exports during the first six months, the trend remains unstable, warn the experts at the Centre for Macroeconomic Analyses of the Croatian Chamber of Economy. Exports are extremely susceptible to oscillations in several main sectors, varying on a monthly level, primarily due to the export of ships. Therefore, a more realistic situation is presented by exports excluding shipbuilding and derivatives, which shows 7.4% growth for the first five months, with a slowing growth trend.
2
Privredni vjesnik Year IV No 0162
MARIO MEDVED, DIRECTOR, LG HRVATSKA
Life’s good when it’s green ven though consumers are still primarily interested in product features and design, environmentally friendly characteristics are gaining greater importance. LG Electronics is a leader in the implementation of sustainable business and ecological awareness through their business units: home entertainment, mobile communications, household appliances, air-conditioning and energy solutions. In consideration of the environment, LG decided to reduce gas emissions by over 14 million tonnes by 2014, after having reached a record reduction of 12.9 million tonnes last year. LG’s plan Life’s Green 2020 encompasses a group of global green policies with the goal of reducing gas emissions in the production process and during the life span of the product by 150 kilotons, or 30 megatons by 2020. This programme is based on achieving sustainability
E
LG has been researching solar energy for over 20 years through so called eco-design, the reduced use of hazardous materials and the responsible recycling of electronic products. LG Pop is an example of environmental awareness; a mobile phone with a battery cover equipped with solar cells. This device was rewarded at the European Green Mobile Phone 20102011 of the EISA Association. LG constantly develops smart and energy efficient technologies in its business unit Home Entertainment. Televisions which use LED technology save up to 40% of energy compared with the usual LCD TVs. They IMPRESSUM: Privredni vjesnik Kačićeva 9 10000 Zagreb +385 1 5600020 uprava@privredni.hr www.privredni-vjesnik.hr/ subscription
are also equipped with a sensor which analyses light in the room in order to adjust the intensity of screen backlighting. This decreases eye strain and consumption of energy. This year they presented a line of intelligent household appliances using LG THINQTM technology which consumes a minimum amount of energy, and their washing machine LG Big-in of
( €0.39 million
profit achieved by Elanija in 2010
MARINA WALLNER, DIRECTOR OF THE CON ALLEGRA GASTRONOMIC CENTRE AND HO
Construction reduced and a
The real estate market on the Adriatic coast is waking up. Howeve gastronomy in conjunction with the attractive Villa Rosina. Lectur Jozo Vrdoljak or the past several months interest has been growing in property on the Adriatic coast. There have been many queries from international funds and the market is slowly waking up. Parallel to construction, Marina Wallner, director of the construction company Elanija from Split, is also developing businesses in the area of gastronomy and the training of hospitality staff. Thus why she has recently bought Villa Rosina within an attractive location – Bačvice in Split. During the past year of crisis, Elanija operated positively with a profit of €0.39 million and a turnover of €17.57 million. The company employs 20 highly educated specialists and in addition to regular subcontractors, around 800 people work on joint projects.
F
standard size, but with a capacity of 12 kilograms and A+++ energy class was pronounced as a true energy-saving product by Intertek, the European agency for quality assurance and safety of products. Top LG technology Inverter V automatically changes the compressor’s working speed of airconditioning devices by maintaining the desired temperature with minimal fluctuations. This decreases energy consumption by up to 60% when heating and 57% when cooling. LG has been researching solar energy for over 20 years, resulting in a line of solar solutions which completely satisfy the growing market demands for the use of alternative energy resources.
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
The crisis notwithstanding, you did not stop construction… We will soon finish a businessresidential building in Split. The building has 120 apartments and so far we have sold one half of them, exactly as planned. At the moment we are developing and implementing 10 projects concerning business and residential buildings in the area of Split. We have managed to reposition well. We have recently sold a building with 200 apartments, and we are developing and implementing around 10 projects. Many of your colleagues have stopped investing or building new. Why you did not stop?
We mainly built in Split, which is an excellent city in terms of residential construction. Unlike Zagreb, Split did not entirely open itself to all investors who wanted to build. Furthermore, Split has a vast hinterland and there has always been pressure to buy apart-
We are starting the construction of a business tower, and it is highly likely we will build more ments in the area. It is located in an ideal micro-location. This is why more apartments have been sold here than in Zagreb, and the price of residential space did not drastically drop. The correction amounted to around 5% and prices
www.privredni.hr Business & Finance Weekly
INTERVIEW
3
( â‚Ź17.57 million ( 20 highly educated turnover in the same year
specialists employed in Elanija
NSTRUCTION COMPANY ELANIJA IN SPLIT AND FOUNDER OF THE OLIVA OSPITALITY HIGH SCHOOL
must be controlled, adjusted to the environment
er, our gastronomy already has great potential. The jewel in the crown of our business will be the international college of res will be in English and lecturers will include world famous gastronomic experts The greatest problem concerns state institutions What are the greatest problems regarding residential construction? The greatest problems concern illiquidity and lack of functioning or slowness of state institutions. Investors still encounter huge barriers and lack of understanding of the core of their problems. Nevertheless we can be satisfied with the quality and strength of our construction companies which easily adapt to different working conditions. The experience and knowledge of our construction engineers is a great potential for Croatia. in popular locations did not drop. Regarding the residential space, Split has been developing quite well, whilst the infrastructure has managed to keep up a solid pace. Until now you mainly built residential – business buildings. Will you continue to build business towers? Yes, we are starting the construction of a business tower, and it is highly likely we will build more. It is a fact that Split is in short supply of office space, and the problem of parking near an office is especially highlighted. Maybe we will not go for the sale of the office space since leasing is especially interesting to us in that type of construction. Some entrepreneurs are not satisfied with the administra-
tion. What is your opinion? It is true that some things are complicated and that bureaucracy is overwhelming. Formality sometimes goes to great extremes, such as illogical satisfying of fireproofing terms. A certain number of foreign investors bought land with the intention of building mixed tourist complexes, but they were not allowed to. We cannot allow someone to spend a huge amount of money and then not permit them to finish the investment. The rules of the game must be clear from the start. Some years ago the liberalisation of the property market took place in Croatia. Have foreigners started to buy property here? Nothing significant has happened
since the liberalisation occurred precisely at the beginning of the crisis. Then everything stopped. However, during the past several months it seems interest in property on the Adriatic coast has been growing. Many queries have been arriving from foreign funds and we feel the market is slowly awakening. What is the level of success of the measures the government adopted in order to activate the mechanism linked to residential construction? The first measures the government adopted benefitted banks and they failed to boost the property market. The second attempt was better, but far from what it should have been. Furthermore, there is a lot of hesitation when it comes to measures; they often
come too late and the span between these packages is too big. Like it or not, political and legal instability is evident in Croatia as well as a general lack of trust, which means all pillars of society are rocky. Capital flees as soon as something rustles. Tourism is the only good thing since there is a lot of potential. Tourism offers must be brought to perfection. Is that the reason why your investment in gastronomy started a few years ago? There is great potential in gastronomy. However, training is necessary. That is why I founded Oliva allegra gastronomic centre and a private hospitality high school on 2,000 m2. It is currently frequented by 35 pupils and we will soon enrol a new generation. We are trying to gather top managers and chefs as well as provide state-of-the-art conditions. The jewel in the crown of our business in this area will be an international college of gastronomy in conjunction with the attractive Villa Rosina we recently purchased. Lectures will be in English and lecturers will include world famous gastronomic experts. I have no doubt of our success since Croatia has the greatest potential for the development of gastronomy in Europe. Everything needs to be built slowly and carefully. We cannot allow that not one single restaurant has a Michelin star. Moreover, we are planning to open at least five restaurants in Split. They will not be franchises, since each will be different and special.
4
Privredni vjesnik Year IV No 0162
( €0.14
for a mobile phone valued at €405
( about €1,620
payment for this discount over following two years
LAW ON ELECTRONIC COMMUNICATIONS AMENDED
Fairer deal for customers Operators not allowed to apply conditionality of services Boris Odorčić he law on electronic communications in Croatia has recently seen alterations and amendments. This has primarily been triggered by the desire to improve customers’ positions with respect to telecommunications providers. The legal provisions that enabled operators to successfully attract customers with unique and incredibly affordable offers which often embraced new mobile phones proved to have been extremely unfair, according to the Telekom Association. In compliance with such provisions, a customer merely needed to sign a two year contract and become the owner of a state-ofthe-art phone worth €405 for €0.14. According to such loyalty defined by the contract, the customer had to opt between tariffs of, for example €54 or €68 per month over that period or pay a total of up to €1,620. Subsequently, customers often realised
T
that they could not afford €68 per month and wished to terminate the contract. Nevertheless, they usually had to pay all remaining monthly fees, which usually significantly exceeded the value of that which the operator provided, as explained by the Telekom Association for the promotion of customer rights on electronic communications services. Merely what is necessary Consequently, the Association assisted by the relevant institutions, made a considerable contribution towards significant amendments to the law. “From now, if a customer wishes to terminate a contract with the operator prior to the expiry of the contracted period, they will be entitled to opt between payment for the discount on the device and the service and payment of the remaining fees, whichever is more convenient in their case. They will consequently pay for what the operator provided at a much more affordable price at the commencement of
the contract period as a discount on devices and services. On the other hand, they will be able to pay the remaining fees at a more affordable price towards the end of the contracted period. The new provision of the Law on electronic communications is fairer and more affordable than the previous one and customers will not be urged into paying for what they may never need”, as was pointed out by the Telekom Association. Another significant amendment is the ban on the conditionality of services. Some telecom operators, for example, did not want to provide internet access if the customer did not contract for a telephone connection t h e y did not need. From
€112.5 MILLION COLLECTED BY END JUNE
Toll revenue increase €112.5 million in revenue excluding VAT has been generated from toll collection by companies managing the motorway network in Croatia – RijekaZagreb Motorway (ARZ), Zagreb-Macelj Motorway (AZM), Bina-Istra and Croatian Motorways (HAC), 4.15% up over the same period last year. Amongst the companies managing the network of about 1,300km, ARZ, Bina-Istra and Croatian Motorways (HAC) have seen an increase in generated revenue, whilst AZM recorded a de-
crease over the first part of 2011. From the beginning of January to the end of June, ARZ generated €25.84 million from toll collection, 4.94% up over the first part of 2010. Bina-Istra revenue stood at €8.9 million over the same period, 30.8% up over last year. A significant revenue increase for Bina-Istra was the consequence of the opening of the KanfanarPula section in the second part of June last year. In addition, HAC generated €68.66 million, 2.25% up over last year. AZM, the only company recording a decrease,
now, customers are entitled to ask for the specific service(s) they need. Existing customers are also entitled to terminate the unnecessary service(s) that were included in the conditionality purchase scheme. In addition, customers will be entitled to terminate the contract without payment of fees in any case when the operator is unable to fulfil contractual obligations. Đuro Lubura, Telekom Association President, estimated some initial difficulties in differentiating amongst services, as operators will attempt to adapt prices through increases. Nevertheless, the market will regulate itself over time. Lubura emphasised that there should be no problems with the termination of contracts.
generated €9.11 million, 3.57% down over the first half of 2010. The opening of 50 kilometres of motorway from Umag to Kanfanar in the first half of 2011 was one of the most prominent projects of further motorway development in Croatia. It was opened in June and October will see the opening of further 18 kilometres from Rogovići to the Kanfanar junction. In addition, in the newsletter of the Croatian Association of Toll Motorways Concessionaires (HUKA), whose members are the four companies mentioned, it was pointed out that there were 1,044 accidents on Croatian motorways over the first half of the year, 14.07% down over the same period in 2010. (B.O.)
www.privredni.hr Business & Finance Weekly
5
( 40%
the youth unemployment rate in Croatia
( 20%
European average youth unemployment rate
CROATIA RANKS AS SECOND IN EUROPE REGARDING THE LEVEL OF YOUTH UNEMPLOYMENT
Employers are looking for work experience but reluctant to provide an opportunity to gain it Most young adults are employed under short-term contracts, indicating the short-term planning of employers. Similarly, even though work experience is considered vital by most employers, they are reluctant to provide an opportunity to gain it Jasminka Filipas
Student placement in Europe is a possibility but…
ccording to Eurostat data, the youth unemployment rate in Croatia stands at almost 40%, making Croatia the second highest in Europe after Spain. Greece ranks third, followed by Latvia, Ireland, Italy, Portugal and Poland. The lowest unemployment rates have been recorded in the Netherlands and Germany and, amongst the new member states, in the Czech Republic, where the rates are below the European average of 20%. “Young adults are a specific category of the labour market, characterised by lack of work experience and practical skills which makes them vulnerable and accordingly prone to longterm unemployment”, pointed out Ankica Paun Jarallah, Head of the Croatian Employment Bureau. The data she presented at the closing conference of the Youth in the labour market project, financed by the European Union, covered the period from January to the end of June, excluding seasonal variations. “The unemployment figure for young adults in the 15 to 29 age group at the end of June stood at 30.7%, whilst for those from 15 to 24 the unemployment figure was 17.1%. 22,948 young adults found employment in that period, according to the Croatian Employment Bureau, some 24.5% of the total employment achieved at the time. Nevertheless, it has to be pointed out that young
The Erasmus programme at Zagreb University in co-operation with the National Agency for Student Mobility and European Union programmes enables Croatian students to be placed in European companies and organisations. Nevertheless, the number of students is considerably limited and costs are also a severe problem.
A
Young people are studying, utterly uncertain of subsequently being able to find employment adults are mostly employed under temporary employment contracts”, stated the Head of the Croatian Employment Bureau. Short-term and uncertain The Youth in the labour market project, with a duration of 18 months, was implemented within Component IV Human Resource Development of the Instrument for
pre-accession Assistance (IPA) by the Croatian Employment Bureau as the beneficiary institution, and the consortium led by the German company GOPA Consultants Ltd. as partners. The project included an analytical report on young unemployed adults and employers attitudes in eight counties, new youth employment action plans as well as a range of new youthfocused services of the Croatian Employment Bureau. “The Analytical Report provided us – and hopefully the policy makers – with a real insight into youth unemployment situation through the eyes of the main protagonists”, stated Mike Chambers, the project team leader. He added that employers tend to consider young recruits as “stop gaps” rather than seeing them as investment in to their future prosperity. He stated that most young people who are on short term contracts, reflects the shortterm thinking amongst employers. At the same time, work experience is seen as vital by employers, although they show some reluctance to provide it. This can lead to long-term unemployment among young people – they cannot get a job without work experience and they cannot find places to
get that experience”, emphasised Chambers. What is the remedy Ljubo Jurčić, economy analyst and Zagreb Faculty of Economics, stated that the situation in Croatia is a logical consequence of the non-creation of new jobs and new fields of activity as well as of a disorganised system and no clear objectives within the education system. “We do not have a clear policy anywhere, the economy included. There are no new jobs in production, there is no plan concerning the direction production might take in its development and, consequently, there is no possibility for young people to identify the studies in which they should enrol. The modest amount of industry that Croatia still has is old, creating jobs merely for those with at least some work experience. Young people are studying, utterly uncertain of subsequently being able to find employment. If someone does get a job, it is mostly in trade and sometimes in economics and services. If there are no significant changes, Croatia will face a further brain drain, whilst those who stay will be unemployed”, estimated Jurčić.
6
Privredni vjesnik Year IV No 0162
HOTEL TRAGOS, TROGIR
DIVES PLANT NURSERY, LABIN
A holiday with local cuisine Food prepared according to old Dalmatian recipes is the trade mark of the restaurant Tragos
Let quality flourish Plants are grown on 6000 m2, landscapes are designed and seedlings offered to other nurseries
T
otel Tragos is owned by the well-known caterers from Trogir, the Žunić family. It was opened in 2005 and has 12 modern rooms which bear the names of Dalmatian islands. It is located in the old centre of Trogir in an 18th century Baroque palace. Therefore, additional expenditure was needed for the modernisation of the hotel, carried out under the expert supervision of conservationists. Tragos, open between March and the end of November, employs 15 workers. Mainly West European visitors use the hotel, attracted by the rich cultural heritage of Trogir and the surrounding Dalmatian islands as well as the natural beauties of nearby national parks. The hotel offers activities such as tennis, scuba diving, water sports, rafting and riding. The hotel is also suitable for team building events.
H
The hotel also welcomes pets Their programme also includes excursions to Split, the islands of central Dalmatia and three national parks - Plitvice Lakes, Krka and Kornati, points out Jerko Žunić, director of Tragos. Many business and professional meetings or training courses for hospitality workers have been held in the hotel. Tragos is also known for its restaurant and various specialities
of Dalmatian cuisine. It is especially known for the ravioli á la Trogir, and there is no dish, made according to the old Dalmatian recipes, that cannot be ordered in this restaurant. It must be pointed out that the Tragos Restaurant can be found in important food guides in West and Central Europe, where special attention is paid to French cuisine. Pets are also welcome The programme includes over 70% of local Dalmatian dishes. The visitors can taste brudet (fish stew), pašticada or cuttlefish with broad beans. Special attention is paid to the range of local wines. “We will certainly try to obtain a certificate of a restaurant whose offer is based on the local cuisine and ingredients. Even before its adoption, we were harmonised with the Ordinance on Determining Special Standard - Croatian indigenous cuisine, and we will obtain their label without any problems”, says Jerko Žunić, pointing out the restaurant is the foundation of the family business. Hotel Tragos also welcomes visitors with pets. Pets often present problems for their owners when they go on holiday, since it is difficult to find someone who can take care of them. Therefore many owners search for accommodation that welcomes pets and one of such hotels is our family hotel, concludes Jerko Žunić. (J.V.)
here’s no just amongst the flowers either, as the writer and encyclopaedist, Miroslav Krleža wrote a long time ago in his work Ballads of Petrica Kerempuh. However, the owners of the plant nursery Dives in Labin, treat their plants in a dozen greehouses with love, nurturing them according to the rules of their profession. Openair planting lasts the entire year. They have an area of 3000 m2 and grow chrysanthemums on almost the same amount of land. Valdi Paliska-Smoković explains the work starts with the planting of primroses that announce the beginning of spring and the flowering season. During warm spring and summer days they grow pansies, various balcony
the first greenhouse was built in 1994. “Today we employ eight people, but the number can climb to 14 depending on the season and the quantity of work. We also work in landscape design and seedlings for other nurseries”, says Valdi Paliska-Smoković. In other words, they revitalise plants which arrive from foreign companies for which the nursery Dives obtained the appropriate licenses. Only afterwards can the revitalised plants be sold. During the crisis the business remained stable, and they have
In business one should be strictly profit-oriented flowers, shrubs and trees. This is followed by the season of cyclamen and chrysanthemums. The planting cycle ends with the Christmas range of poinsettias and Christmas trees, says Valdi Paliska-Smoković, graduated engineer of agronomy. Revitalisation of seedlings The story of the nursery started in 1991 when the family, young engineers then, decided to direct their knowledge towards the production of seedlings. Furthermore, they visited fairs, talked to experts in this area, and
recently obtained a loan from the Croatian Bank for Reconstruction and Development in order to build another greenhouse. They own all the land and greenhouses and they currently have no additional financial expenditure. This eases their work compared with entrepreneurs paying for leases on greenhouses or land used for planting. He also points out that business must not be strictly profitoriented. If we want to operate in the long term, we must be thorough, concludes PaliskaSmoković. (B.O.)
www.privredni.hr Business & Finance Weekly
7
CROATIAN FOREIGN CURRENCY MARKET Currency
AUD CAD JPY CHF GBP USD EUR Source: HNB
EUR
Kuna exchange mid-rate
7.48
5,401456 5,262771 6,811239 6,595095 8,601604 5,207672 7,461031
USD
5.22
17.8.
18.8.
19.8.
6.63
7.47
5.20
6.60
7.46
5.18
6.57
7.45
5.16
6.54
7.44
5.14
6.51
7.43 16.8.
WEEK AUGUST 20, 2011
CHF
5.12 16.8.
17.8.
18.8.
AGREEMENT BETWEEN GOVERNMENT AND BANKS
19.8.
6.48 16.8.
17.8.
18.8.
19.8.
::: news
SWISS FRANC LOANS FIXED AT A RATE OF HRK5.8 It was the best we could do without interfering in market relationships and avoiding the use of public funds for the purpose, pointed out the Prime Minister Igor Vukić he Croatian government has confirmed an agreement with banks on fixing housing loans with the Swiss franc currency clause, at a rate of HRK5.8 at its recent session. In compliance with the signed agreement, the remaining annuities exceeding the agreed rate of exchange will be transferred into a “balloon” mortgage which will be paid off over a five year repayment period. There will be no fees charged over the first six months on the amount of the balloon. Nevertheless, subsequently, there will be an annual interest rate of up to 3.95%, depending on the decision of each particular bank. Borrowers will be entitled to opt between either a one-time payment of the accumulated amount and adding
T
Gross insurance premiums drops According to cumulative data of the Croatian Insurance Office for the first seven months of this year, 26 insurance companies received gross premiums of €0.77 billion, which is 2.2% less year-on-year. In non-life insurance, gross premiums totalled €0.59 billion or 1.9% less than in 2010, but still 76.56% of total premiums. Life insurance registered a 3% drop during the seven months of this year, with gross premiums of €0.18 billion. Slower growth of inflation In July, inflation dropped by 2% in Croatia to 1.9% year-on-year according to data provided by the Central Bureau for Statistics. During July the prices of goods and services, measured by the consumer price index, were on average 0.5% lower. In relation to July 2010 they were 1.9% higher.
42% of housing loans from Croatian banks are pegged to the Swiss franc
borrowers will be paying off the loan until they have paid off the difference. All Swiss franc loan borrowers will be entitled to do that, irrespective of the amount, loan repayment term or the value of the property they purchased.
it to the total loan amount on the expiry of a five year payment period. There will also be the option of paying off the difference with a new loan. If the Swiss franc moves below HRK5.8,
Croatian National Bank support “It was the best we could do without interfering with market relationships and avoiding the use of public funds for the purpose”, pointed out the Prime
Minister. She mentioned that Croatia and Hungary are the only two countries taking measures to assist borrowers affected by the strengthening of the Swiss franc. The Croatian National Bank supported the agreement between government and banks and it pointed out that the agreement applies to all banks irrespective of whether their representatives actually signed it or not. 42% of housing loans from Croatian banks are pegged to the Swiss franc.
The number of inactive economic operators rises In Croatia there were 279,174 registered economic operators, of which 124,050 or 44.4% were active. According to data provided by the Central Bureau for Statistics, the largest share of active economic operators (55,978) had from one to nine employees, which is a 45.1% share of the total number of active operators. Companies without a single employee stood at 43.1%.
8
Privredni vjesnik Year IV No 0162
a 500 dishes ( 90% of tourisstss ( about are foreign
currently designated as Croatian specialities
CROATIAN SPECIALITY CUISINE
Authentic food with eco label Croatian cuisine is a blend of different influences which has given rise to delicious gastronomy Sanja Plješa able culture is the inception of any cultural behaviour, whilst tourists spending their holidays in Croatia are primarily faced with its gastronomic range and the manner of serving the visitor. They can considerably deepen their insight of the local culture and customs by visiting restaurants, pastry shops and other catering facilities. Consequently, the high quality range of local wine and gastronomic products is one of the prerequisites for competence in tourism for any country. 90% of tourists visiting Croatia are foreign and we would like to persuade them that Croatia is not merely a land of sea and the sun but also a destination aiming towards a high lifestyle with eco labelling, such as in Italy and France. The results of Tomas - a survey of tourist and visitor attitudes and expenditure in Croatia over the summer of 2010 showed gastronomy ranking as the forth tourism motivation for coming to Croatia. Gastronomy as tourists’ motive for visiting a country has
T
Logos with the Croatian speciality cuisine inscription will appear at the beginning of September for those restaurants offering at least 70% of Croatian authentic cuisine dishes on their menus increased over the period 2007 and 2010 by 2%. Profession dictating the rules Representatives of the Ministry of tourism have issued an
Tasty and healthy The list includes artichokes in oil, falcon, meat in aspic, marinated fish, musk octopus with potatoes, Scampi Buzara (local prawns stewed with tomato and white wine sauce), Hlebine soup (a sourish soup), Zagorje soup with Boletus mushroom, Čobanac - Shepherd’s stew, lički lonac (a stew of cabbage, potatoes etc.), arambašići (minced meat rolled in cabbage leaves), pašta fažol (beans and pasta dish), rapsko sočivo (a local lentil soup made from various lentils), fuži (Istrian pasta made from homemade dough), knedli - dumplings, fava bean salad, black radish salad, cukarini (a dry cake sprinkled with granulated sugar), bazlamača (Croatian cornbread), paprenjaci (pepper cake), kukuruzna zlevka s orasima (corn cake with walnuts) and similar dishes. Ordinance on determining a specific standard - Croatian autochthonous cuisine defining Croatian wine and gastronomic range in order to promote gastronomy in Croatia. Representatives of the Guild of Caterers and Tourist Workers of the Croatian Chamber of Trades and Crafts, the Croatian Chamber of Economy and the Croatian Culinary Federation as well as representatives from the private tourist sector have all made a significant contribution to the Ordinance. Ante Mihić, the President of the Guild of Caterers and Tourist Workers of the Croatian Chamber of Trades and Crafts stated that Croatian gastronomy is in-
terwoven with influences from different cultures such as Hungarian, Turkish, Austrian and Italian. “Its special gastronomy is the result of this particular blend of different ingredients and dishes. There are about 500 different dishes recognised as authentic specialities from starters, soups, main dishes and desserts, as well as some new ones that are about to be included on menus”, pointed out Mihić adding that there are about 50 prominent dishes to be eaten with a spoon in the wide promotion. The project is of vital importance for caterers and the label of Croatian autochthonous cuisine is becoming a brand of Croatian gastronomy. “In addi-
tion, the Croatian Culinary Federation will organise workshops for both young and experienced chefs eager to acquire new knowledge, including them in the project”, emphasised Damir Crleni, the President of Croatian Culinary Federation. The board as a symbol of standard Owners of restaurants who wish to be permitted to place a plaque with the Autochthonous Croatian Cuisine inscription or merely that inscription on their menus must comply with all the elements of the Ordinance. Interested restaurant owners have submitted the required documentation to the Ministry of Tourism which will issue a certificate of compliance with the specific standard followed by the entitlement to place the plaque at the entrance to the restaurant or pastry shop with the inscription in both Croatian and English and with the appropriate graphics. The standard may be granted to a restaurant offering at least 70% dishes in its menu from the list of dishes of appropriate Croatian authentic cuisine. The first plaques are expected to appear at the beginning of September.