PV International 0171 by NEstar

Tourism development The total number of tourist arrivals throughout the world will double in the forthcoming 20 years

Tomislav Popović, Maistra The development of competitive tourist companies will have positive effects on the development of the destinations they are located in

Continental attractions Summer months unusually excellent for Slavonian tourism this year

CROATIAN TOURISM DAYS PAGES 2-3

INTERVIEW PAGE 4

RECORDS PAGE 8 2010

Croatian Business & Finance Weekly Established in 1953 Monday / 24th October / 2011 Year IV / No 0171 www.privredni.hr

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DELEGATION FROM GUANGZHOU IN ZAGREB

Zagreb offers China a university hospital The city of Guangzhou, located on the Pearl River, is a real empire of profitable industries with around 1400 companies from the pharmaceutical sector and numerous electronic companies Igor Vukić adislav Prežigalo, Head of the Economics Department of the City of Zagreb, offered investors from Guangzhou to take over the construction project of the university hospital. In addition to hospital capacities, parts of the complex might be used for various commercial purposes, pointed out Prežigalo on Friday at the Croatian-Chinese business forum organised by the Croatian Chamber of Economy. Deputy Mayor of Guangzhou Chen Mingde confirmed their interest in the Croatian projects. Chen Mingde was at the head of the delegation of 40 entrepreneurs and representatives of powerful companies of this port city through which $100 million worth of goods passed last year. Prežigalo did not stop on the issue of the university hospital. On behalf of the Zagreb City Administration, he suggested to the Chinese guests to build a congress and trade centre in Zagreb and invest in the construction of underground garages as well as business and residential complexes. He pointed out that Zagreb would welcome Chinese investors to join the project of water stairs on Sava which would regulate the flow of the river and prevent possible floods, gaining

large agriculture surface by irrigation. Prežigalo mentioned the possibility of the construction of sports centres in Zagreb, landfills and other projects for which the city administration has ready design solutions. Interested in shipbuilding Qian Cangyong, Head of the Economics and Trade Department at the Chinese Embassy in Croatia, added that in addition to the projects in the capital, the investors of his country are also interested in the Croatian shipbuilding, airports and sea ports, participation in the reconstruction of the railway network as well as investment in the petrochemical industry and telecommunications. Investors for further development of motorways, construction of bridges and other

infrastructural facilities could also be found. During the forum, memorandums on understanding between the Croatian Chamber or Trades and Crafts, the CCE Zagreb and the China Council for the Promotion of International Trade of the City of Guangzhou were also signed. These documents define the method of exchanging information as well as support to entrepreneurial projects of both countries. Direct meetings with the representatives of around 30 Croatian companies were also held. GDP of US$10,000 Investors from over 10,000 global companies visited Guangzhou and the city became the centre of production and development of the car industry, car parts, high technology and electronics. By

2015, Honda, Toyota, Nissan and other companies will reach the production level in this city of three million cars per year. There are around 1400 companies from the pharmaceutical sector and numerous electronic companies in this city. The services sector keeps up with the pace of the development of the production sector and logistics, and so there are 191 financial institutions and 3000 bank branches in the city. There are around 360,000 people working in the creative industry: industrial design, production of animations and the accompanying software. With such a degree of development, gross domestic product per capita climbed up to $10,000 in this region. Sunčanica SkupnjakKapić, Director of the International Relations Sector of CEE, evaluates that Croatia might be an interesting destination to the tourists of this wealthy region. This is supported by the growing number of Chinese tourists during the past several years. When Croatia joins the EU, it might become the centre for the distribution of Chinese products, or rather the centre of companies that will operate in the wider region. She also pointed out that big Chinese companies have recently opened their representation offices in Zagreb, such as Huawei, Lenovo and ZTE.

Privredni vjesnik Year IV No 0168

Ivana Andabak, Izvor Insurance Zagreb Board President

Ample potential for growth ccording to the data issued by Croatian Financial Services Supervisory Agency (Hanfa), Insurance industry in Croatia recorded a 1.86% decrease in the total gross written premium during the first eight months this year over the same period last year. The average Croat paid an average of HRK2,090 for insurance, whilst in the European Union the premium per capita stood at €1,879, which indicates high growth potential of Croatian insurance market. Izvor insurance anticipates a promising future, particularly in the segment of voluntary health insurance which will be its long term and strategic focus. High quality services, personal approach and transparent operations are imperative in a relatively small market which implies fierce competition. We focus on informing the client on all the aspects of insurance cover, the rights ensuing from the insurance contract as well as all the restrictions. Satisfactory results of Izvor insurance over the initial nine months of operation are encouraging and indicate there is growth potential. Informing the general public on the importance of financial protection through insurance is beneficial for all the participants in insurance industry. Insurance parent companies need to invite the government to become actively involved in the process of informing the general public. Encouraging insurance industry as an important institutional investor, concurrently acting for the benefit of the policy holders or the general public, providing them with protection from unpredictable financial risks would also

IMPRESSUM: Privredni vjesnik Kačićeva 9 10000 Zagreb +385 1 5600020 uprava@privredni.hr www.privredni-vjesnik.hr/ subscription

( 940 million tourist arrivals in 2010

CROATIAN TOURISM DAYS

Tourism dev of the 21st c The total number of tourist arrivals throughout the world wi the total world tourism Sanja Plješa be highly beneficial for the state. Izvor insurance product range is ample, embracing property insurance, motor insurance, accident and liability insurance and we have recently obtained the permit from the Croatian Financial Services Supervisory Agency for engagement in eight new insurance segments. In addition, we are planning to introduce health insurance coverage and concurrently commence setting up polyclinics in major Croatian cities. Izvor insurance has been operating for 10 months and we are considerably prepared for innovations. Prompt reaction to changes, with particular focus on the needs of policy holders is imperative and we believe that our transparent and personal approach will be identified. We are aware of the fact that we still have not been identified by a large segment of Croatian general public, yet our well defined initial steps will be highly beneficial for policy holders and will become our main competitive advantage in the forthcoming future.

FOR PUBLISHER Nikola Baučić +385 1 4846661 uprava@privredni.hr

IMC MANAGER Dea Olup +385 1 5600028 olup@privredni.hr

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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

roatian tourism is a segment of global tourism, the industry which ranks as the fourth by importance in the world. Tourists from some hundred countries visit Croatia every year, and consequently we need to be aware of the trends in both the world and in Croatian tourism, pointed out Damir Bajs, Tourism Minister at Croatian tourism days recently held in Šibenik. Over 1,500 representatives of Croatian and world tourist sector participated in this annual tourism event, exchanging experiences and discussing the crucial tourism topics. Concurrently, Croatian Tourist Board (HTZ) awarded the most successful tourism operators with Plavi i zeleni cvjet (Blue and green flower) and Djelatnik godine u turizmu (Tourism employee of the year). In addition, there was a recognition award Turistički cvijet – Kvaliteta za Hrvatsku (Tourism flower – Quality for Croatia) by the Croatian Chamber of Economy (HGK) and Croatian Radiotelevision (HRT).

Europe losing its tourism market share The total number of tourist arrivals throughout the world will double in the forthcoming 20 years. Nevertheless, it is anticipated that Europe will see a loss in its market share in the total world tourism, as was pointed out at the professional gathering Turizam za 21.stoljeće (Tourism for the 21st century). According

to Bajs, Croatian tourism needs promotion in faraway markets such as India, Brazil, China and Japan in order to increase its competitiveness. The minister pointed out that the quality promotion of Croatian tourism commenced two years ago in the Chinese market, when Croatia was starting from zero, whilst currently Croatia has recorded 10,000 Chinese tourist visits. According to the data by the United Nations World Tourism Organisation (UNWTO), Croatian tourism has been identified in Europe and throughout the world. This organisation, with Croatia as its long term member, has recently published the study “Tourism Mission by 2030”. The study was presented on Croatian

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( a billion arrivals anticipated in 2012

velopment challenges century

ll double in the forthcoming 20 years. Nevertheless, it is anticipated that Europe will see a loss in its market share in Tourism Days, which was a landmark event, as it is the first time that a UNWTO study has been presented during a tourism event in another country. The study following two years of intense research stated individual general estimates for all tourism countries. According to the data in a previous study, 528 million tourist arrivals were recoded throughout the world 15 years ago, whilst in 2010 tourist arrivals stood at 940 million. Marcio Favilla Lucca de Paula, UNWTO Executive Director, pointed out that the new study Tourism Mission by 2030 has been conducted so that the members of the organisation could adapt their tourism strategies to the presented data. Europe consists of four subregions. The study will provide assistance for tourism countries

in creating their tourism plans. In addition, it pointed out that adapting individual countries’ tourism plans to world tourism trends is imperative. Asia and the Pacific as the fastest growing markets Marcio Favilla Lucca De Paula emphasized that annual increase in international tourist arrivals has stood at 4.2% thus far, whilst it has decreased to about 3% in the last two years. In the forthcoming 20 years, the anticipated annual increase in tourist arrivals will be about 3.2%, or 43 million tourist arrivals, which is on par with annual tourist arrivals to Italy. 277 million tourist arrivals were recoded throughout the world 20 years ago, 2010 saw 940 million tourist arrivals and about a billion is expected

in 2012. According to UNWTO estimates, the world will witness a slightly lower annual growth. Nevertheless, tourist arrivals throughout the world will stand at about 2.8 billion. Regarding the world tourism trends, De Paula pointed out that Asia and the Pacific will be the fastest growing markets. On the other hand, Europe will record about 41% international tourist arrivals in the forthcoming 20 years. Nevertheless, although the European market share has decreased in the total world tourism share, there will be an increase in tourist arrivals. “Europe will see a 2% increase in tourist arrivals, whilst in Asia and the Pacific they will be 5% up. Nevertheless, Europe will still remain the largest emissive tourism market”, reiterated De Paula.

THE PREFERRED TYPE OF TOURISM?

Defining the strategy for future ourism is the most competitive segment of Croatian economy and it is anticipated that the current 1.9% market share will increase to 2.3% in the entire European tourism market in the forthcoming future. Three years ago Croatia ranked as the 38th amongst the most popular tourism countries and this year is ranks as the 34th, as stated in the traditional tourism operators’ meeting with the government representatives at Croatian Tour-

ism Days. “It is important to point out that €120 million have been granted from the EU structural funds for Croatian tourism projects and we must use them effectively”, emphasized the Tourism Minister Damir Bajs. He added that merely HRK200 million has been allocated to boost Croatian tourism from the government budget, whilst Spain normally allocates over €800 million. In order to implement the Croatian tourism development

vision, we are currently working on the principal programme and strategy of development of tourism activity. The document will be the basis for the strengthening of competitiveness of Croatian tourism. “It is concurrently the first strategy of the development of local tourism embracing mechanisms for its implementation, monitoring and supervision of the implementation. Decisions regarding the preferred tourism segment and targeting the preferred market niches are of cru-

cial importance”, claimed Siniša Horak, from Zagreb Institute for Tourism, whose employees have been elaborating the strategy. The document should provide the guidelines on how to tackle the issue of the extreme seasonality in the tourism industry in Croatia. Nevertheless, it has to be pointed out that other tourism countries are also faced with this problem, as countries with tourist activity throughout the year are rare, emphasized Horak.

INTERVIEW

Privredni vjesnik Year IV No 0171

( over 50%

share of facilities with four and five stars and total capacity

TOMISLAV POPOVIĆ, CHAIRMAN OF MAISTRA

Positioning on the global tourism map The development of competitive tourist companies will have positive effects on the development of the destinations they are located in and improve their quality and the quality of the services and Lone, which are pointing into the direction we would like to take.

Sanja Plješa ince Maistra was founded in March 2005, significant developments have been accomplished. During the past seven years, with investment worth HRK2.2 million Maistra has changed its product line significantly, but also the image of Rovinj and Vrsar, where it mostly oriented towards the development of elite tourism and raising the quality of hotels and resorts to four and five stars. We discussed the plans of the company with Maistra’s Chairman Tomislav Popović.

What improvements have been achieved by Maistra since 2005? Important turning point for Maistra was the opening of the first five-star hotel in Rovinj two years ago, the hotel Monte Mulini. This year we presented the first design hotel in Croatia, the Lone Hotel. In terms of numbers, the share of four and five star facilities which covered only 14% of total Maistra’s capacity in terms of facilities in 2005. Today, the share exceeds 50%. In the operative part of the company, business processes within all functions have been modernised; the training system of employees has been improved and significant technological developments have been made in the segment of operations, marketing and sales. In what way did Maistra’s business fit in with the concept of destination management? The thing that defines Maistra as the carrier of the Croatian tourist

development is its orientation towards destination and maximum integration of the existing tourist product with destination potentials of Rovinj and Vrsar as well as Istria as a region. We know that the destination itself and tourist accommodation facilities do not function one without the other in the long-term sense, and that the reason why visitors choose a certain destination is the combination of natural beauties, cultural and historical heritage, gastronomic offer, quality entertainment, cultural events and quality accommodation. This is

why we tried to plan and realise our projects in cooperation with partners in the public and private sector. How do you build your brands? A share of Maistra’s tourism portfolio is tied to a classic tourist product, whose quality in comparison with what a Croatian tourist product represents today, is above average. The second share is made up of products representing an absolute venture in the Croatian tourist offer, where I specifically mean the hotels Monte Mulini

Do you use products of Croatian producers? The example of the Lone Hotel can provide the best answer to that question since it its architecture, construction as well as the interior and exterior design is signed by the leading Croatian designers. We hired 3LHD architectural studio for the realisation of the project, and Numen/For Use, I-gle, Studio 92, Bruketa&Žinić, as well as conceptual artists Ivana Franke and Silvio Vujičić worked on the design and the hotel’s visual identity. Furthermore, Maistra is one of the biggest food consumers considering the number of overnight stays and the fact we have a series of à la carte facilities in addition to the hotel restaurant. Having in mind that in tourism we sell the experience also through the enogastronomic offer, we want our visitors to know they are drinking and eating quality products of local origin. Do you fear competition or does it motivate you to work even better? The development of the competition has positive effects on the development of destinations. It will most certainly raise their quality as well as general quality of services, which will attract visitors of higher standard. This should bring us additional advantage. We are the leaders in this area in terms of higher and elite segment, and we are convinced we will maintain this position.

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AGENS, ZAGREB

Labels for the world Agens security labels on medicines assist in counterfeiting prevention, preserve consumers’ health and protect the state and the producers’ revenue Igor Vukić eljko Bošnjak, one of the Directors in Zagreb City Gassworks identified the problem with labels 21 years ago. The labels affixed on gas meters were disorganised and in bundles, easily lost or not entered into records. He asked his colleagues why they were not using roll labels and they explained it was because they were not produced in Croatia at the time. Bošnjak is the current Owner and Director of Agens and the company’s main activity is roll label production for the world market. The company currently employs 45 staff in its own premises cov-

ering 1,300m2. In 2010 the revenue stood at HRK17.6 million, whilst in 2011 they anticipate a 30% growth, with 30% direct exports and at least 40% of products will be exported by intermediary, via client exports. In addition to labels, Agens prints special security labels, counterfeiting protection systems and magnetic paper cards, used in parking billing and in motorway tolls. A highly demanding task Roll label production current share in the total production stands at 80%. Penetrating a new market niche, survival on the market and particularly expansion are all highly demanding tasks. Pharmaceutical industry

continuously presents new requirements regarding quality and health. Labels are considered as segments of such products and all Agens’s products obtain quality certificate. In addition to holding ISO certification, they operate according to good manufacturing practice (GMP, Good Manufacturing Practice) and are continuously supervised through audits performed by strategic clients. “Labels have become primary packaging in pharmaceutical industry and their impeccability – from information provided, to colouring, materials and glues used - is imperative”, pointed out Hrvoje Lončar, the Commercial Director in Agens.

Labels in the US are under continuous supervision of FDA (Food and Drug Administration) due to their direct impact on the use of medicines. Similar standards are being introduced in cosmetics and food processing industry, consequently expanding the markets for Agens products. Agens invests 5 to 7% of their revenue in staff training annually, in order to be in compliance with the recommendations and to meet the high standards. Being up-to-date necessitates huge investment in equipment and this year it is standing at €1.3 million. High quality level retains customers and most of their customers have been loyal to the company for over 10 years.

38th International Furniture, Interior Design and Supporting Industry Fair - Ambienta

Exports grow for the second consecutive year Surplus of this sector’s goods exchange reached $218 million by September. In total Croatian exports, wood and furniture participate with 7% and 3% in imports Krešimir Sočković uring the first eight months of this year the Croatian producers of furniture and wood products increased exports by 11% in relation to the previous year, according to data provided by the Central Bureau for Statistics. Furniture exports increased by 4%, whereas wood and wood products exports increased by 15%. If these trends continue, this year will be the second year in a row to register exports growth, which might exceed US$900 million, and which would be very close to the record levels of 2007 and 2008 when Croatia exported furniture worth US$933 million and wood worth US$977 million. During the first eight months, Croatian furniture producers exported US$206 million worth of goods. The exporters of wood

and wood products exported goods in a total of $369 million. The import of wood and furniture grew simultaneously by 4%. During the first eight months of this year furniture import totalled $210 million, and wood or wood products totalled US$147 million. The surplus of this sector’s goods exchange stood at $218 million between January and August, increasing by 24% in relation to the previous year. In total exports of Croatia, wood and furniture participate with 7%, and with 3% in imports.

After two less successful years, the 38th International Furniture, Interior Design and Supporting Industry Fair - Ambienta of the Zagreb Fair, brought many interesting events as well as presentations of high quality Croatian furniture and interior design. On the surface of 38,000 square metres, 391 exhibitors from 29 countries presented their products in over 10 pavilions. In conjunction with Ambienta, Croatian furniture producers and interior designers pre-

sented their products in cooperation with the Croatian Chamber of Economy, Ministry of Regional Development, Forestry and Water Management as well as Hrvatske šume (Croatian Forests) as part of the promotion Wood Comes First. Luka Mjeda, Director of the Design Centre of the CEE, says that stronger domination of modern design and traditional material is owed to the fact that the local wood industry has 70 designers today. Last year it had only 30 and two years ago it did not have a single one.

Privredni vjesnik Year IV No 0171

CROATIAN FOREIGN CURRENCY MARKET Currency

AUD CAD JPY CHF GBP USD EUR Source: HNB

Kuna exchange mid-rate

EUR

5,509669 5,516668 6,660416 5,678773 8,814812 5,565746 7,382405 WEEK OCTOBER 1, 2011

::: news Merely 10 out of 26 insurance companies with positive results According to the data by the Croatian Insurance Bureau, the total premium income of 26 companies during the first nine months this year stood at HRK6.99 billion, whilst it stood at HRK7.38 billion over the same period in 2008. Insurance market saw a HRK84 million decrease in income year on year. Merely three companies in large insurance company category saw an improvement in business results - Generali recorded a 10.7% increase, Allianz was 3.5% up and Triglav grew by 1.1%. HBOR and CDP cooperation agreement Anton Kovačev, Board President of the Croatian Bank for Reconstruction and Development and Franco Bassanini the President of the Italian financial institution Cassa Depositi e Prestiti (CDP) have recently signed a cooperation agreement. The agreement was signed to provide the framework for the future cooperation on encouragement of trade and investment between Italy and Croatia, as well as on joint participation of providing services in joint projects in the third markets. The anticipated cooperation enables direct investment in small and medium sized entrepreneurship and infrastructure. In addition, the focus is on formation of joint working groups and staff training.

7.48

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6.10

7.475

5.46

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17.10. 18.10. 19.10. 20.10. 21.10

6.00 17.10. 18.10. 19.10. 20.10. 21.10

20TH ANNIVERSARY OF THE CROATIAN POSTAL BANK

Successful irrespective of difficulties Our goal is to establish the Croatian Postal Bank (HPB) as a local national bank identifiable in its accessibility and services, stated Čedo Maletić, HPB Board President 20 years of existence certainly marks a dynamic and challenging period, both in relation to the development of the Croatian banking and financial system in general and due to a particular market position of the largest bank in national ownership. The bank has seen several difficult business periods over the last two decades – during the war and the post war period, Croatian banking crisis by the end of the nineties, internal operations related problems as a consequence of inadequate risk management, as well as the current economic crisis. Nevertheless, the bank developed and grew in an extremely competitive banking market, offering ample range of affordable products and services and consequently successfully competing with banks in foreign ownership. An additional competitive advantage is the cooperation with its strategic partner the Croatian Post, which assisted the accessibility of banking products and services throughout the country via a large bank and post office branch network. 3.92 market share The bank currently has a 3.92 market share and ranks as the 7th in the Republic of Croatia, due to

HPB is marking its 20th anniversary in October this year and will consequently provide personal savings products at more affordable interest rates its depositors and clients – both personal and corporate who have supported the largest government and national bank throughout the difficult period trusting its stability and business potential.

“Our goal is to explore all the potential of the Croatian Postal Bank during the 3rd decade of its operation and to establish it as a local national bank, identifiable for its accessibility and services. Consequently, we are aiming towards high professionalism of management structures and bank employees, as well as towards the continuous implementation and improvement of risk management techniques and models”, emphasized Čedo Maletić, HPB Board President, at the 20th anniversary ceremony. (V.A.)

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WE PRESENT

ZLATNA POLJA, BRAČ

ZLATNI LAV HOTEL , MARTINŠČICA (ISLAND OF CRES)

Olives as work The biggest problems are insufficient financial means and high interests as well as the inability to obtain grace period of at least three years

Escape from stress After the opening of the wellness centre, the hotel management will apply for re-categorisation to four stars ccording to some estimates, there are between 4.5 and 5 million olive trees in Croatia, growing on over 25,000 hectares. Most olive groves are small, with only a couple of hundred trees. Every year around 30,000 tonnes of olives is picked in Croatia which can produce 4.5 million kilograms of olive oil or around 60,000 hectolitres. Due to this potential and the fact the average olive grower in Croatia does not posses sufficient number of olive trees for a serious business, Filip Kurtović planted 1800 of young trees on around 10 hectares near Milna on the island of Brač. Before venturing into the investment, he conducted a research which showed that both the local and global market is in need of increased production of olives and olive oil. Currently, the price of olive oil on the market ranges between HRK60 and HRK160 per litre. Our plan is to produce and sell a total of 14,616 litres, says Kurtović. The company is also finishing the construction and fitting of the additional construction facility.

State aid is required Marketing director of the company Nataša Kurtović points out that around 1400 tonnes of olive oil is imported to Croatia every year. Around 350 tonnes is exported, whereas the consumption in Croatia is merely two litres per person as oppose to five litres in Europe or 20 litres in Greece. Olive growing is a long-term

work which requires investing significant financial means in the begging stage. Experience shows that this is the period when the state aid is of outmost importance in terms of favourable lending and subsidies through fiscal and social policy. The biggest problems are insufficient financial means and high interests as well as the inability to obtain grace period of at least three years. The olive tree is ready to yield fruit after ten years, and it takes 13 years to achieve commercial profitability. All other predictions and plans are impossible. This is a period during which the olive grower depends on the passage of time, without any return on investment. A lot more needs to be done to improve the recognisability and standardisation of the Croatian olive oils. The state can contribute

The olive tree is ready to yield fruit after ten years, and it takes 13 years to achieve commercial profitability in that respect providing training on lower levels and seminars on the cultivation, processing, transport and storage of oil. In our country, the approach towards these matters remains traditional, which is why damages are far greater then they should be, concludes Kurtović. (K.S.)

latni lav (Gold lion) is situated in a small fishing village of Martinščica on the Island of Cres, with a population of only one hundred people. Everyone wishing to escape from stress to a place of intact nature can choose this hotel to relax in, located on 300 metres above sea in the direct vicinity of gravel beaches. Zlatni lav was built in 2002 and falls into the category of

The offer of the Zlatni lav Hotel is not in the brochures of the Tourist Board

three-star hotels. Since it meets the standards of a four-star hotel, after the completion of the wellness centre, which will also be the first wellness centre on Cres, the hotel management will apply for recategorisation to a four-star hotel. The wellness centre could be completed by the end of this year. The hotel has 29 rooms and can accommodate from 58 to 80 people. During the pre-season and postseason it employs seven workers, whereas it employs 17 workers during the season’s peak. Since the hotel has so far been of a seasonal character, we did not have the need for bigger investment, and the current investment in the wellness centre totals around €800,000, said the hotel manager Aleksandra Petković. She ventured that the

centre will be built on a surface of 500 square metres. It will have an inside heated pool with hydro and air massage seating places, as well as various types of saunas, for example Turkish, Finish, whirlpool sauna and salt sauna that will offer skin peelings using sea salt. Furthermore, semi-medicinal tourism will be offered on the surface of 100 square metres. It will contain professional hydro-massage tubs, magnetic resonance and other services that will be available to the residents of Cres and Mali Lošinj who had to travel to Rijeka for therapy. Local tourists are discovering Cres In terms of this year tourist season, Aleksandra Petković pointed out that it had been slightly better than the previous one. However, without additional tourist services that could prolong the season, it is difficult to expect high financial results. Just as other islands, Cres was not left immune to the seasonal character. One of the bigger problems Zlatni lav is faced with is that its offer is not included in the brochures of the Cres Tourist Board. However, the most frequent visitors of Zlatni lav remain Italians, Austrians and Germans, as well as visitors from Slovenia, Slovakia, Spain and Switzerland. This year the number of local visitors increased by 15% in relation to the previous year which was contributed by specific events, such as education in nature. (S.P.)

8 ::: news Sale of Željezara Split on October 27

The second public auction for the sale of Željezara Split is scheduled for October 27 at the Commercial Court in Split, according to the statement of that court. The initial price is €10,311,673, and potential buyers should pay a bond of HRK7.5 million no later than October 24. The bankruptcy estate manager will deliver the Croatian Chamber of Economy and High Commercial Court in Zagreb the information on the estate for sale, as stated in the conclusion of the sale of Željezara. 3.5 times more bankruptcy proceedings than last year During the first half of this year, commercial courts have received 2500 requests for bankruptcies, which is around 3.5 times more over 2010 (711). At the same time the number of litigations increased by 43%, from 11,600 to 15,500. The courts have increased the number of solved cases by 20% in the first halfterm, but despite this their number increased by 27% at firstinstance courts, warned Marion Vukelić, President of High Commercial Court, last week. HOO and Hrvatska lutrija support sports The Croatian Olympic Committee and Hrvatska lutrija (Croatian lottery) chose 12 sports projects in various counties that they will subsidise with HRK40,000 each. Their goal is to contribute to the development of sports on local levels, and since 2006, when these project started, they have donated around HRK3 million.

Privredni vjesnik Year IV No 0171

Tourism records in Slavonia

Continental attractions Summer months usually indicate a dead season for Slavonian tourism. Nevertheless, this year recorded a significant improvement over last year during the first eight months

ourism operators throughout the Adriatic coast and currently also in Slavonia have expressed their contentment over this year’s tourist attendance. Summer months usually indicate a dead season for Slavonian tourism as most tourist attendance is recorded in spring and autumn. Nevertheless, this year recorded a significant improvement over last year during the first eight months.

An increasing number of foreigners Kopački rit is one of the top tourist destinations in OsijekBaranja County tourist offer. “Over 25,000 tourists visited this

stated Ružica Marušić, Head of Presentations Services Department in Kopački rit Nature Park. Currently, there is increasing number of foreign tourists, who often arrive to Croatia exclusively to visit Kopački rit and look for overnight stays and additional services in Osijek or in numerous Baranja destinations consequently promoting tourism in Baranja and throughout the region. In addition to ship cruises, tourists were offered boat

Tourist attendance figures in Slavonia cannot be expressed in millions thus far, as opposed to Istrian, Dalmatian or other Croatian littoral tourist attendance figures. 100,000 tourist visits and 210,000 overnight stays were recorded in Slavonia and Baranja during the first eight months this year. Nevertheless, even double-digit percentage positive growth figures were recorded. Consequently, PožeškoSlavonska County recorded an 18% increase in the number of tourists and overnight stays soared

Nature Park by mid-September, which was about 8% up over the same period last year. We are extremely pleased with such results during the recession. Nevertheless, we are not surprised, as tourism operators in the Nature Park have been preparing for the tourist season through various promotions. In addition, the Nature Park has been focusing on guide services promotion in order to provide a plethora of information on the rich flora and fauna as well as on historical curiosities”,

cruises which made it possible for them to thoroughly explore the marsh. There is increasing interest amongst tourists for bird watching, which, due to the rich bird fauna, is an important motive of visiting Kopački rit for many tourists. Presentation Services Department is primarily focused on tailoring their services to tourists needs. Consequently, the visits to the Nature Park are frequently agreed upon in the early morning or in the evening hours, which is also an innovation.

Svetozar Sarkanjac

30%. Osiječko-Baranjska Couty recorded the highest number of tourists (50,000) during the first eight months, recording about 112,000 overnight stays. Tourist attendance was about 8% up and overnight stays were 10.6% up over 2010.