Resource Map of Baranya county 2015. by Pécs-Baranyai Kereskedelmi és Iparkamara

BARANYA COUNTY

Resource Map

www.pecseconomy.eu

Imprint Published by Chamber of Commerce and Industry of Pécs-Baranya (HU) in 500 copies Publisher in charge: Dr. Tamás Síkfői Layout and Printing by Molnár Nyomda Ltd. Pictures unmarked are just for illustration purposes

Work and collaborate! H-7625 Pécs, 36 Majorossy Str. Tel.: +36 72 507 148, Fax: +36 72 507 152 E-mail: pbkik@pbkik.hu, www.pecsikamara.hu www.youtube.com/pecsikamara, www.facebook.com/pecsikamara mobil alkalmazás: KamarApp (Android, iOS)

Date of compilation: June 2015 Please check www.pecseconomy.eu for updated information

Introduction Baranya, Hungary’s southernmost county is a medium sized administrative unit of the country with a With its plains and hills, rivers (the Danube and the Drava), countless streams and artificial lakes, it is one of the most diverse counties in Hungary. Due to its natural conditions, mineral resources and multi-ethnic

Photo by LAFARGE Cement

population of 374,000 and a land area of 4,300 sq km.

population, Baranya belonged to the most developed areas in the past. The economic changes in the past 25 years were not beneficial to Baranya County. Large capital was rarely invested in the county, which had an adverse transport network for a long time. The stagnation of not only in the relative but, in certain years, also the actual deterioration of the situation of people living here. Several local organizations intended to reverse the negative processes. They were seldom productive;

Photo by Krisztián Svastits

the agriculture and the construction industry resulted

however, but some of the initiatives have proved to be successful. Beside programs with a spectacular start, negative processes, which have prevented real breakthroughs, have also emerged. One of the reasons for this may be the insufficient knowledge of local conditions that is why we considered it important to administrative units. This resource map primarily presents the diversity and qualifications of the population living here, shows the present conditions and opportunities of education and training, and describes the condition of business and agricultural infrastructure.

Photo by Krisztián Svastits

compile an “inventory” of the county and its smaller

POPULATION The population of Baranya County was approximately 374,000 at the beginning of 2014.This is 1.8% lower than it had been two years before. The negative change is characteristic of all administrative units.

Figure 1: Population of Baranya, 2014 (persons) Szigetvár District: Szentlőrinc District: Siklós District:

Bóly District:

Hegyhát District: Komló District: Mohács District:

Sellye District: Pécsvárad District:

Pécs District:

Photo by South West Hungarian Rural Tourism Cluster

Source: NSO (National Statistical Office)

According to the data of the population census 2011, 85.1% of the population was Hungarian, 6.7% was German, 4.6% was Gipsy and 1.8% was of Croatian origin. 0.6% of the population belongs to various ethnic groups that have been living here for several decades or centuries, whereas 1.2% of the population comprised foreign students studying at the University of Pécs and people who had settled down here in the migration processes of the past two or three decades. The number of the Dutch who relocated from the Netherlands was significant.

Hegyhát District

Komló District

Mohács District

Pécsvárad District

Sellye District

Siklós District

Szentlőrinc District

Szigetvár District

Baranya County

10 541

11 500

29 557

30 121

159 194

10 134

12 573

30 781

12 686

21 283

328 370

2 918

923

1 555

6 080

8 258

2 646

112

2 273

519

493

25 777

Gipsy

708

1 518

1 728

1 342

4 408

234

2 283

2 871

938

1 555

17 585

Croatian

360

905

3 272

139

1 381

721

104

215

7 185

Serbian

185

359

168

794

Rumanian

312

600

Polish

–

161

213

Bulgarian

135

204

Slovak

104

182

Greek

116

149

Ukrainian

–

101

Armenian

Rusyn

–

Slovenian

–

4 037

2 484

3 538

8 593

17 339

3 059

3 826

6 144

1 621

2 357

52 998

Russian

–

215

286

Arabic

–

178

–

208

Chinese

–

113

Nationality

Hungarian German

Minority nationalities total

Pécs District

Bóly District

Table 1: Population by nationality, 2011 (persons)

Vietnamese

–

Other

211

141

2 809

170

211

3 821

Total

14 643

14 054

33 335

38 874 179 870

13 249

16 430

37 123

14 390

23 875

385 843

Source: NSO

The knowledge of foreign languages of the county population is highly influenced by their nationality. Accordingly, the number of people speaking German, Gipsy, Croatian and Serbian is quite high. More and more people are learning other languages as well. The number of people speaking English is high (57,503). This is close to the number of people speaking German (67,312); however, more people with higher education qualifications speak English than German.

Figure 2: Knowledge of languages according to the highest completed level of education, 2011 (%) Egyéb Other

100

Holland Dutch

Szerb Serbian

Spanyol Spanish

Román Rumanian

Source: NSO

Horvát Croatian

Cigány Gipsy

Angol English Egyetem, f iskola stb. oklevéllel

Ére ségi

Középfokú iskola ére ségi nélkül, szakmai Secondary education without matriculation oklevéllel

Általános iskola 8. évfolyam

Total

Összesen

Orosz Russian

University, college degree

Matriculation examination

Olasz Italian

examination, with certificate

Elementary school 8th grade

Francia French

ÁltalánosLower iskola 8. 8th évfolyamnál alacsonyabb than grade of elementary school

Német German

Over 221,000 inhabitants of the county population above 16 years of age have secondary or higher educational qualifications. Approximately 50,000 people of them (22.4%) have higher educational qualification, and 95,000 (42.8%) secondary education. These rates (30.3% and 46.5%) are even better in the town of Pécs.

Table2: P opulation aged17 years or over by the highest qualification, 2011 (persons) Secondary education without matriculation examination with certificate

Matriculation examination

Bóly

2 697

2 268

1 035

6 000

Hegyhát

2 707

2 139

761

5 607

Komló

9 223

8 046

2 582

19 851

Mohács

8 184

7 389

3 205

18 778

31 066

55 456

35 045

121 567

Pécsvárad

2 968

2 335

997

6 300

Sellye

2 974

2 058

638

5 670

Siklós

7 961

7 133

2 556

17 650

Szentlőrinc

3 451

2 995

1 034

7 480

Szigetvár

6 012

4 851

1 707

12 570

Baranya County altogether

77 243

94 670

49 560

221 473

Of which: Pécs town with county rights

23 928

47 771

31 088

102 787

Districts

Pécs

University, college degree

Total

Photo by Enviroinvest Co.

Source: NSO

BUSINESS ENVIRONMENT

Photo by Matro Ltd.

Baranya County belongs to the underdeveloped areas in terms of its GDP per capita. The county value is only two thirds of the national average. If data are calculated without the value of Budapest, the county figure appears to be better (88%). However, this just reveals the extent to which regions are lagging behind Budapest. The situation is far more disadvantegous if the data are compared to the European Union average. The GDP per capita in purchasing power is only 44% of the EU-27 average.

Table 3: GDP per capita in Baranya County Description

2007

2008

2009

2010

2011

2012

2013

Per capita gross domestic product at market prices

Thousand HUF

As percentage of national average

Rank of the county in GDP per capita ranking

1 784

1 882

1 802

1 806

1 832

1 890

1984

70,5

70,1

69,0

67,0

65,2

65,7

65,8

12.

13.

14.

13.

15.

10 926

11 315

10 666

10 917

10 804

11 269

43,7

45,3

45,4

44,6

42,9

44,0

GDP per capita based on purchasing power parity

PPS

As percentage of EU-27 average Source: NSO

The situation of the county is not ideal considering the economic sectors either. The rate of agriculture is above the national average whereas the industry – especially the processing industry - significantly lags behind.

Figure 3: Gross value added by economic sectors (at current prices) in Baranya County (Million HUF) Source: NSO

Artsvészet and leisure otherid services M és time; szabad ; egyéb szolgáltatások

600 000

Public administration, defense, education, Közigazgatás, védelem; oktatás; humánhealth and social care egészségügyi és szociális ellátás Activities supporting services and Szakmai, m and szaki, professional,tudományos, academic, technical adminisztratív és szolgáltatást támogató administrative activities tevékenység

500 000

400 000

Real estate transactions Ingatlanügyletek Financial, insurance activities Pénzügyi, biztosítási tevékenység

300 000

Information andkommunikáció communication Információ, Trade, transportation, warehousing; Kereskedelem; szállítás, raktározás; Accommodation services, restaurants and szálláshely-szolgáltatás és vendéglátás hotels

200 000

Épít ipar industry Construction

100 000

Ipar Industry Mez gazdaság, erdfishery gazdálkodás, halászat Agriculture, forestry and

0 2012

Photo by Profi Metal Ltd.

2011

Photo by Hauni Hungária Ltd.

2010

There are more than 23,000 enterprises in the county, the majority of which are corporate entities. The number of enterprises in agriculture and industry is below 3,000, which shows that the economic output per business is the highest in these sectors.

Table 4: Number of enterprises per industrial sector and their legal status in Baranya County, 2012 Economic Sector Agriculture, forestry and fishery Mining and quarrying Food, drink and tobacco production Textile, clothes, leather and leatherware production Wood processing, paper productions andprinting Production of chemicals and chemical products Pharmacy Production of rubber, plastic and other non-metallic mineral products Manufacture of basic metals and fabricated metal products Production of computer, electronic and optical products Manufacture of electrical equipment Manufacture of machinery and equipment Manufacture of motor vehicles Other manufacturing Manufacturing Electricity, gas, steam and air conditioning supply Water supply; sewerage; waste managment and remediation activities Industry Construction Trade, motor vehicle servicing Transporting and storage Accommodation and food service activities Information and communication Financial and insurance activities Real estate activities Professional, scientific and technical activities Office administrative and support activities Public administration and defence; compulsory social security Education Human health and social work activities Arts, entertainment and recreation Other services

Total Source: NSO

Companies

Sole proprietors

Total

570 20 229 114 167 8 2 132 209 26 21 76 20 183 1 187 22 73 1 302 1 278 2 828 323 627 639 381 812 2 418 621 6 383 811 241 278

504 1 92 68 45 – – 30 55 6 4 6 5 215 526 – 17 544 911 1 826 357 536 275 596 170 1 339 567 – 773 460 229 768

1 074 21 321 182 212 8 2 162 264 32 25 82 25 398 1 713 22 90 1 846 2 189 4 654 680 1 163 914 977 982 3 757 1 188 6 1 156 1 271 470 1 046

13 518

9 855

23 373

SUPPLIER CAPACITIES Machinery Manufacturing Industry The machinery manufacturing industry is traditionally a diversified key sector, which has firm professional grounds (and history) in Baranya County. There are approximately 300 Hungarian and foreign SMEs working in this industry. The South West Hungarian Engineering Cluster (www.ddgk.hu) is an Accredited Innovation Cluster, which is also entitled to use the international „Bronze Label” qualification. Members cover a comprehensive scale of engineering activities using state-of the art technologies including CNC technology, sheet metal working, metal cutting, water jet cutting and metalworking. Enterprises with all the required technological standards and ISO qualifications are suppliers to the automotive, engineering and steel structure industries. 50-80% of their revenue is generated by export activities. The Faculty of Engineering and Information Technology of the University of Pécs has laboratory capacity and a development center for innovative electrical technologies and mechanical engineering.

Technologies, activities and qualifications used by engineering enterprises CNC technologies (milling, machine cutting, sheet metal working, machining, horizon lathe, turning, grinding, top grinding), tap welding, edge bending, surface treatment technologies, machining, injection moulding technologies, rolling, hydrogen-powered fuel cell technologies, heat treatment, industrial welding technologies (CO, inert gas,GMAW, SAW, MIG, TIG, AWI, WIG), laser, plasma and flame cutting, laser engraving, mechanical machining and cold forming, robotic welding, deburring, computer-aided design andwater jet cutting. Fabricated metal

product manufacturing (automotive slivered parts, steel structures, electric filter housings, roller/chain tracks, mechanical safety devices, engine and generator houses) electrical equipment manufacturing (sensors, metering boxes, control and regulating devices), mechanical engineering - mechanical equipment manufacturing (food processing technologies, welded crane components, fireplaces/chandeliers) and automotive manufacturing (aluminum silo units, hydraulic equipment, communal vehicle superstructures)

Photo by Matro Ltd.

Photo by Lakics Ltd.

ISO 9001, 9002, ISO 14001, DIN EN ISO 3834-2, ISO TS 16949, EMAS DIN EN 1856-2, EN 1090-2, DIN EN 18800-7, AD 2000 HP0, DIN 2261

Food Industry The food industry in the county is closely related to food production, agro-innovation (manufacture of agricultural equipment) and agro-trading. The aim of the majority of the local Hungarian food production and agro-enterprises is to implement sustainability both in production and consumption. Local developments cover the Research+Development+Innovation (RDI) of the full food production chain. The goal of the food industry projects is to establish a short food chain both in space and time that keeps the biological value and promotes the creation of local brands, whereby not only local points of sales are created but export opportunities are also generated (especially for unique Hungarian products, the so-called Hungaricums). The role of RDI is of great importance in the production of quality food with high added value, functional foods and Hungaricums in the local food industry, shortening the food production chain and food safety.

Most important local sectoral development priorities Research on using traditional agricultural products in the product chain with special focus on their physiological effects, eg- adding grape seeds or herbs to fruit juice, and experimental development of the production of handmade beer based on hop as vegetable ingredient.

Research on functional food which is related to the specific local products of the county, their development as marketable products (eg. honey capsule, development of age-related foods), development of healthy food additives, and research on grape varieties.

Photo by Gere Attila Winery

Companies in the food industry have the required operation and production licenses.

Creative Industry The key objective of the creative industry is to generate innovative industrial processes with high economic potential, whose impact on economic development may improve the income-generating capacity and qualitative development of services within the sector. Key factors of the creative industry: • Technology: presenting the use and utilization of the creative industry, its relation to industrial production, biotechnology, environmental projects, and communication and financial services; • Knowledge: operating a network that regularly communicates and co-operates and is capable of coherently formulating its interests, optimizing the capacity of the internal market and cooperate. The Creative Industry Cluster (www.kikk.hu) is responsible for managing the paradigm shift of the economic development, whereby a more efficient utilization of the capacities of the local creative industry and export of creative industry products and services should be implemented. There is an outstanding rate of creative companies (including IT enterprises) in the county. The University of Pécs provides training programs of IT, creative industry management and arts as well.

Activities of the creative industry companies in the county Between 2008 and 2012, the fastest growing areas within the creative industry were the product, graphic and fashion design areas. The gross added value was nearly tripled and the number of enterprises was increased by two and half times. Software and game development,

planning and design and architecture are the areas where employment grows and entrepreneurial activities increase. Creative industry companies are able to implement all the activities that are related to marketing, public relations and IT development at a high level.

Photo by Zsolnay Heritage Management Ltd.

Photo by Pécs Gloves Cluster

Obtaining qualifications within the creative industry is not relevant.

Plastic Industry The plastic industry in Baranya County is significant even when the quality aspects are taken into consideration. The utilization of the capacities of the enterprises working in the automotive and construction industries and producing for both the domestic and foreign markets can be considered to be acceptable.The organizational, technological and infrastructural developments are implemented continuously partly with their own resources or with funds from tenders. Clustering has begun recently as a bottom-up initiative to increase market presence and representation and achieve better supplier positions and closer technological cooperation.

Activities and classifications of the plastic industry companies in the county 3D scanning, shading, manufacture of other plastic products, manufacture of injection moulded plastic products, manufacture of road vehicle, motor vehicle parts, plastic packaging material, plastic construction materials, plastic plates, sheets, tubes and profiles, technical consulting,

prototype development and production, development and production of complex electronic units, production and trade of polyethylene (PE) packaging material, Rapid Tooling, Reverse Engineering, Rapid Manufacturing, design and development, mass production.

MSZ EN ISO 9001:2009, 14001:2005, 28001:2008, EN13067:2003, M키A-G standard, DVS Guidelines, ISO14001, HACCP and ISO/TS 16949.

Environmental Industry The environmental industry is one of the industrial branches that have been developing dynamically in the past decades. They include large regional companies and some small businesses with only a few employees. The majority of them are Hungarian enterprises, but there is municipal ownership as well and restructuring that complies with the communal policy of the government. The number of companies operating in the environmental and related industries is over 200 in the county.

Photo by Pannonpower

The Hungarian Environmental Technologies Manufacturing and Development Cluster (www.hunvirontech.hu) has been established recently. The primary objective is to develop and produce tools and procedures for the resource-efficient urban systems management. Close co-operation is planned between manufacturers and suppliers, and between the supply and demand sides, involving the knowledge base of the national and local research units. Another important objective of the cluster is to create jobs.

The coordination of the activities of the manufacturers enables the region to produce entire product chains rather than remain in a supplier position. This will not only improve the income generating capacity of the region, but it also contributes to retaining highly qualified specialists here and creates new jobs. The product range is expected to cover the majority of necessary communal industry equipment. Vehicles suitable for transporting urban solid and liquid waste, road surface repair and slippery prevention equipment, vehicles for water utility companies, flat bed and curtainsider freight superstructures, which can enable further market expansion on the basis of the current orders, can also be found in the portfolio. The Faculty of Engineering and Information Technology of the University of PĂŠcs also offers environmental industry training while there is an environmental industry research centre at the SzentĂĄgothai Research Centre.

Activities and certifications of the environmental companies in the county Environmentally friendly, up-to-date disposal of animal waste, mining, CNC machining, turning, geological exploration, geothermal exploration-planning , production of machinery, welding, hydrogeological investigations, machinery with infrared heat technology for asphalt repair and reheating asphalt, composting, environmental

planning, collection, selection and sale of secondary raw materials, engineering services, plasma cutting, radiometric tests, computer aided design, soil mechnical engineering and investigation, collection, treatment and disposal of urban solid waste, water and soil chemical analyses, and laboratory testing (NAT-1370/2012)

ISO 9001, ISO 14001, ISO/IEC 27001 DVS Guidelines, ISO TS 16949

Biotechnology

The Biotechnology Innovation Base Cluster, which is an Accredited Innovation Cluster (www.bibnet.hu), was generated from this collaboration in 2007. The cluster and its member companies mainly develop, manufacture and market products and services for the medical biotechnology, pharmaceutical and agroalimentary sectors. The cluster provides a more rational use of resources in several research and innovation related areas: procedures investigating the biological impact of ingredients and substances of in vitro diagnostic medical devices, diagnostic procedures, reagents and instruments, pharmaceuticals, cosmetics, foods, and other chemicals with environmental impacts. The world class medical and biotechnological training programs in foreign languages at the Medical School of the University of Pécs and the Szentágothai Research Centre support the professional work of the local SMEs. www.szkk.pte.hu

The research groups of the Szentágothai Research Center at the University of Pécs, and activities and certifications of the county biotechnology companies Names of the Research Groups by Activities Circulation Research Laboratory Functional Protein Dynamics Research Group Lab-on-a-Chip Research Group Microbial Biotechnology Research Group Molecular Neurophysiology Research Group Molecular Pharmacology Research Group

Neurobiology Research Group Plant Biology Research Group Reproductive and Tumour Immunology Research Group Signal Transduction Research Group Structural Neurobiology Research Group Wnt Signalling Research Group

Certifications in the field of biotechnology MSZ EN ISO 9001:2001 qualification, MSZ EN 1997 (Eurocode 7) standard, MSZ EN ISO 9001:2009 qualification, MSZ EN ISO 14001:2005 standard, ISO 9001:2008 audit, ISO 13485:2003 audit, complex systems according to the Hungarian Health Care Standards.

Photo by Enviroinvest Co.

There is a long tradition of research on life sciences and biotechnology in South West Hungary and especially in Pécs. Micro-enterprises, which started to cooperate in order to become more effective, were established owing to the research results. This cooperation was later extended beyond the university.

Engineering Firms Engineering firms in the county represent eight professions • Geodesy and Geoinformatics • Solid Minerals Mining • Building Design • Building Services Engineering • Water management • Environmental Protection • General contracting • Transport

Photo by UP Szentágothai Research Center

Photo by Krisztián Svastits

Photo by MarkCon Ltd.

The activities of the approximately 800 SMEs cover all the areas of the technical development such as data processing, structural design, architecture and noise control. The local SMEs are capable of planning industrial facilities and managing the entire construction work. The University of Pécs, Faculty of Engineering and Information Technology offers high quality engineering training, which includes architecture, statics, mechanics, electrical disciplines and industrial design as well.

Major international companies in the county Company

Activity

Website

electronics

www.badergruppe.com

Cemex Group

construction materials

www.cemex.com

Eckerle Holding GmbH

production of electronics spare parts

www.eckerle-gruppe.com

EON AG

energy supply

www.eon.com

Ethanol Renewables Ltd

ethanol production

www.pannoniaethanol.com

GC GroĂ&#x;handels Contor GmbH

trade of construction materials

www.gc-gruppe.de

Harman

electronics

www.harman.com

Hauni Maschinenbau AG

machinery manufacturing

www.hauni.com

HeidelbergCement Group

building materials

www.heidelbergcement.com

iT Systems

ICT

www.it-system.hu

Jabil Circuit

EMS

www.jabil.com

Koller Gruppe

automotive supply industry

www.koller-formenbau.de

Lafarge Group

cement production

www.lafarge.com

Max Blank GmbH

fireplace production

www.maxblank-kaminofen.com

ODW-ELEKTRIK GmbH

automotive industry

www.odw-elektrik.com

Ottakringer Brauerei AG

food industry

www.ottakringerbrauerei.at

Spitzer-Group

vehicles manufacturing

www.spitzer-silo.com

Terex Corporation

mechanical engineering

www.terex.com

Veolia

energy production

www.veolia.com

Photo by TEREX Cranes Hungary Ltd.

Photo by LAFARGE Cement Hungary Ltd.

Photo by TEREX Cranes Hungary Ltd.

Bader GmbH

Major Banks Operating in the County Bóly District OTP Bank

Bóly, Hősök tere 8/b

Hegyhát District OTP Bank

Sásd, Dózsa György utca 2. OTP Bank

Komló District K&H Bank

Komló, Városház tér 18.

OTP Bank

Komló, Kossuth Lajos utca 95/1.

Mohács District Erste Bank Hungary

Mohács, Szabadság utca 16.

K&H Bank

Mohács, Szentháromság utca 1-3.

OTP Bank

Mohács, Jókai Mór utca 1.

Raiffeisen Bank

Mohács, Széchenyi tér 1.

Sberbank

Mohács, Szabadság utca 3/a

Pécs District Budapest Hitel- és Fejlesztési Bank

Pécs, Rákóczi út 60.

CIB Bank

Pécs, Ferencesek utcája 33.

Erste Bank Hungary

Pécs, Rákóczi út 62-64.

K&H Bank

Pécs, Búza tér 6/a

OTP Bank

Pécs, Rákóczi út 44.

Raiffeisen Bank

Pécs, Bajcsy-Zsilinszky utca 11.

Sberbank

Pécs, Király utca 66.

UniCredit Bank

Pécs, Rákóczi út 17.

Magyar Külkereskedelmi Bank

Pécs, Bajcsy-Zsilinszky utca 11.

Pécsvárad District OTP Bank

Pécsvárad, Bem utca 2/b

Sellye District OTP Bank

Sellye, Köztársaság tér 4.

Siklós District OTP Bank

Siklós, Felszabadulás u. 60-62.

Szentlőrinc District OTP Bank

Szentlőrinc, Munkácsy Mihály utca 16/a

Szigetvár District K&H Bank

Szigetvár, Széchenyi utca 4.

OTP Bank

Szigetvár, Vár utca 4.

INFRASTRUCTURE Location of Pécs, Baranya County Figure 4: Distance of European Cities from Pécs

1000 km 800 km 500 km BERLIN CRACOW

PRAGUE MUNICH

VIENNA BUDAPEST

ZURICH

ZAGREB BELGRADE

TRIESTE PÉCS

ISTANBUL

ROME ATHENS

Production Infrastructure Baranya County has all the elements of a modern production infrastructure.

Road Network The M6 Motorway between Budapest and Pécs connects the county directly with the European motorway network. After the planned developments have been implemented, there may be direct connection with the southern, eastern and western countries as well.

Figure 5: Motorway Network in Hungary (October, 2014)

EXISTING MOTORWAYS

PÉCS

CLEARWAYS UNDER CONSTRUCTION PROPOSED CLEARWAYS

Source: Wikipedia

Rail Transport There is an electrified rail line between Pécs and Budapest with direct train service pairs nine times a day. There is access to Zagreb by transfer from either the Szigetvár or the Dombóvár railway line, and Osijek can also be reached by rail from Villány. Main lines and branch lines within the county can be used by both passenger and freight trains.

Figure 6: Rail Map of Hungary

PÉCS

Source: Wikipedia

Air transport connections The Pécs-Pogány Airport is located 9 km south of the city center of Pécs, next to the Main Road 58, 3 km from the exit of the Pécs-Budapest motorway and the Pécs South Industrial Park. The four-lane road provides a quick connection between the airport and the city center. The Pécs-Pogány public airport has cross-border right. It is currently conducting general air transport activities such as sports aviation, training, and receiving business flights. Charter flights are mainly launched and received during the summer season. The runway of the Pécs-Pogány Airport is 1,500 m long and 30 m wide. The Liszt Ferenc International Airport in Budapest, which is a Class I airport, can be reached (240 km) via motorway. The Osijek airport (Osijek-Klisa airport) is 95 km south of Pécs, and its runway is 2500 m long and 45 m wide.

Inland shipping The Danube, Europe’s largest river, is the eastern border of Baranya County. Mohács is 40 km from Pécs and its port is a European Union border port as well. From Pécs it can be accessed via the M60 motorway. The port includes 2,000 sqm usable building and provides full customs house services.

Figure 7: River Navigation in Europe

Source: Wikipedia

Tis z

Figure 8: River Navigation in Hungary

Győr

Duna

Budapest

Szolnok Körös

Dunaújváros

Szekszárd Dráva

Pécs

Szeged Baja

Mohács

Source: slideplayer.hu/slide/2209799/

The local government of Mohács is planning to establish a new public open-water port in the coming years by creating an approximately 330-meter vertical river wall and associated port infrastructure. The port is designed mainly for the distribution of general cargo and container loading.

Public Utilites ENERGY NETWORKS Baranya County is directly connected to Hungary’s largest power generator, the Paks Nuclear Power Plant, the power plant in Pécs and the national transmission grid. The 400 kV voltage system is capable of meeting the region’s total need for electricity. The safety of supply is further increased by its connection to the Croatian network, which provides an opportunity for a bidirectional supply. The natural gas network of the county is directly connected to the gas production and storing system in the Southern Alföld, from where a pipeline network transports the required quantity of gas to the county.

WATER SUPPLY, WASTE WATER MANAGEMENT Water supply is provided in the whole area of the county, and the constant water supply is also ensured by local water bases and built network systems (Mohács-Pécs-Komló, Pécs-Harkány, Pécs-Szentlőrinc). Sanitary sewers and sewage and waste water treatment are mainly available in larger settlements.

WASTE COLLECTION AND DISPOSAL Municipal solid waste is collected and disposed of in each settlement of Baranya County. Selective waste collection and disposal started in the past few years.

PUBLIC UTILITY CHARGES The main suppliers of electricity and natural gas in the County are members of the E.ON Group. Four tariff packages for electricity consumption are offered so that different customers’ needs can be met.

It is advisable to directly negotiate with both suppliers in order to optimize the services and tariffs.

Photo by Pannonpower

The price of gas supply is determined on the basis of basic, capacity and aggregated flow tariffs, which depend on the nominal capacity of the gas meter, and the volume of the capacity defined in the contract.

INDUSTRIAL PARKS, INDUSTRIAL AREAS Pécs Industrial Park The municipality of Pécs (a town with county rights) regarded accessibility as the most important factor in the development of its first industrial areas. This is how the central industrial area inside the town and the eastern industrial areas were established. Companies located in the central industrial area represent the town’s historical industries with a long tradition: machinery manufacturing, leather processing and precision engineering). After the mine, which had been the most important industry in the region, was closed down, its site in the eastern part of Pécs was completely restored and extended southward, whereby the Pécs Industrial Park could be established in this new area. The municipality provides industrial areas from 15 to 50 hectares, with maximum 5% inclination for greenfield investments requiring a significantly large contiguous area. They are located next to the national main roads and adequate in all respects.

ATTRACTIONS FOR INVESTORS • It is located 2 km from the Main Road 6 (Pécs – Budapest) next to the Pécs East exit of the M60 motorway (Pécs – Budapest) and 15 km from the Pécs-Pogány International Airport • Supportive management services (to obtain permits and exploit tenders) • Re-training and further training systems adapted to needs • Highly skilled and relatively cheap workforce familiar with the latest technologies

The industrial park expects enterprises to locate here from the following areas: The industrial park expects enterprises to locate here from the following areas: local businesses, Hungarian investors outside Baranya and foreign investors. Main profile of the Industrial Park: industry, logistics and trade

Eimo

M60

Haas

Honsa

Figure 9: Layout of the Pécs Industrial Park

Schlosser

Southern Industrial Park The 110-hectare land at the Southern border of Pécs has been entitled to use the Industrial Park title since 2010, and the Best Industrial Park award from HITA since 2012. Its system of points of single contact (PSC) and the provision of legal, financial and technical counselling were developed in collaboration with the town of Pécs. The Industrial Park collaborates with representatives of the national and foreign industry, chambers of commerce, vocational schools and the university. They provide 200 hectares of land in one block, where the minimum size of the sites is 2,500 sqm with 50% site coverage andthe maximum building height is 6-10 meters or, depending on the location, 10-15 meters. Sites with full infrastructure are sold, rented or leased.

ATTRACTIONS FOR INVESTORS • • • •

Direct connection to M6/M60 Budapest – Pécs motorways 1 km distance from the Pécs-Pogány International Airport Supportive management services (to obtain permits and exploit tenders) Skilled and trained, multilingual workforce

Businesses: The Industrial Park provides opportunity for green field investments. The industrial park expects businesses to locate here from the following areas: local businesses, Hungarian investors outside Baranya and foreign investors Main profile of the Industrial Park: industry, logistics and trade.

Figure 10: Layout of the Southern Industrial Park

PANNOVA Industrial Park (Kővágószőlős) This 58.82-hectare area is the real estate investment of STRABIL Ltd. is located at the premises of the former ore dressing plant and in its surroundings at the South- West foot of Mecsek hills. PANNOVA Park has very favorable geographical conditions: it is far from inhabited areas, located in green areas, and business activities are not restricted. The aim of the location strategy of the Pannova Industrial Park is to satisfy the requirements of the investors concerning both the utilities and location to the greatest possible extent.

Figure 11: Layout of PANNOVA Industrial Park Sites within the industrial park area can be instantly connected to the full spectrum of the reconstructed infrastructure: gas, electricity, drinking water, fire water network, sanitary sewer, drainage, telephone, railway siding, outdoor lighting and road networks.

ATTRACTIONS FOR INVESTORS • • • • • • •

Direct connection to the Main Road 6, 10 km distance from the M6/M60 Motorways 16 km distance from the Pécs–Pogány International Airport Mohács/Danube Port: 50 km Distance from inhabited areas Supportive management services (to obtain permits and exploit tenders) Skilled and trained, multilingual workforce Flexible attitude toward investor needs

Businesses: buildings and sites are available for investors. The industrial park expects businesses to locate here from the following areas: local businesses, Hungarian investors outside Baranya and foreign investors. Main profile of the Industrial Park: industry and services

Why Pécs – as local people see it The M6 motorway directly connects Pécs and its surroundings with Budapest, the Liszt Ferenc International Airport and the European motorway network. The central location of the micro-region and the existing road network allows for quick access to each area. There is an electrified rail route to Budapest. Electricity, gas and water supply are provided for Pécs and its region. The installed capacity of networks allows for smooth operation and contributes to meeting consumers’ further demand for development. The available workforce in the town and its region is about 6700 persons, 5000 of whom have professional qualifications. Approximately 800 of them have certificate from higher-level vocational training or college or university degree. It is an important advantage of Pécs and its surroundings that due to central traffic conditions, it is easy to commute from smaller regions to the center on a daily basis. Owing to this, the available workforce is more than 20,000 persons, 12,600 of whom have professional qualifications. Another advantage is that beside the high rate of German and Croatian minority workforce, the number of people with English, Italian and French language competence is quite high owing to the special language programs in high schools and foreign language training programs at the university. The Pécs region is rich in outstanding natural conditions due to Mecsek Hills, which have several nature reserves, park facilities, forest paths, streams, and lakes in the valleys, whereby they attract not only the local population but also offer pleasant resting and sporting facilities to tourists. Pécs defined the directions of its economic development by taking into account the traditions of the town and the region, and emerging needs that can be expected in the near and distant future. In the past, mining was the basis of the economy. However, advanced food processing, light industry and machinery manufacturing were also present. The energy industry used to have an impact on the entire region of SouthTransdanubia. All these were supported by a prominent vocational training system. In the past 25 years, however, significant changes have occurred. Mining has ceased, the food and light industries have shrunk, the energy industry (production or supply of energy) has significantly transformed. The machinery manufacturing industry,

after a setback two decades ago, has started developing again and has become the crucial factor of the local economy. The university significantly contributes to the local capacities. Its role in education and position in research contribute to the development of the local economy. It offers several possibilities to the environmental industry, health industry and the creative industry, where the competitiveness of enterprises has considerably improved in recent years. The greatest challenge of future needs is the protection of the environment. Therefore, Pécs has set the objective - taking the traditions and capacities into consideration – to develop the machinery manufacturing industry, the environmental industry, and technologies and services applied in the green economy. Investors are mostly expected in this field. Beside the three industrial parks in the Pécs area, there are several smaller areas that are suitable for industrial activities. There are further large development areas in the neighbourhood of the Pécs Industrial Park, which is the location of Hungarian and foreign businesses. The Southern Industrial Park - directly located at the M60 motorway provides sites with public utilities, and the preparation of the other areas has been started. The Pannova Industrial Park is located far away from residential areas offering modern infrastructure to investors. Existing, unoccupied factory buildings are also available in this industrial park. When construction work is needed, the staff of the industrial park help the licensing procedures and the technical preparation of the investments. The Southern Industrial Park has developed a system of points of single contact (PSC) with provision of legal, financial and technical counselling. There is no uniform investment support scheme in Pécs. It is possible, however, to apply for specific support. Depending on total investment cost and planned employment, the implementation of development plans has been assisted several times in the past. The transport connection of Pécs and its region has significantly been improved by the M6- M60 motorways. Nevertheless, it is unfortunate that the motorway network connection to the South or to the West has not been completed. Air traffic is ensured by the Pécs-Pogány Airport. The technical development of the airport is also planned for the upcoming years.

Bóly Industrial Park The Bóly Industrial Park has very advantageous conditions. It was awarded with the Industrial Park title in 1998. It provides completely improved land (full infrastructure) and is an intact area in terms of environmental protection.

ATTRACTIONS FOR INVESTORS • • • • • • • • • •

Direct connection to the M6 motorway 30 km distance from the Pécs–Pogány International Airport Mohács Danube port distance: 15 km A fibre optical network Thermal water with temperature of 80 °C suitable for industrial utilization Supportive management services (banking, IT, transportation and technical advice, financial and investment counselling) Flexible attitude to investor needs Preferential land purchase options, low fees during lease Full infrastructure available Skilled, trained and multilingual workforce

The Industrial Park provides workshops and sites for potential investors. The industrial park expects businesses to locate there from the following areas: local businesses, Hungarian investors outside Baranya and foreign investors Main profile of the Industrial Park: industry, services, trade and logistics

Figure 12: Layout of Bóly Industrial Park

Why Bóly and its region – as local people see it

The available workforce in the area is usually not skilled and capable of doing only semi-skilled jobs. The trained and skilled workforce should be attracted back from abroad. The local population consists of hard working Hungarians and minority Germans. The micro-region is well protected from natural disasters, has excellent soil and sub-Mediterranean weather.

The main obstacle to economic development of the micro-region is the lack of unoccupied rentable factory buildings..

Photo by Bóly Municipality

The greatest advantage of the micro-region is the motorway that traverses it. Each settlement is connected to the electricity, water and natural gas network. In Bóly, the thermal water could provide further development opportunities

There is a 15-hectare available land in the Bóly Industrial Park with full infrastructure. Further available areas can be found in the villages of Szajk and Olasz. When construction work is needed, the staff of the industrial park staff the licensing procedures and the technical preparation of the investments In addition, the local government naturally helps decision making by providing local and market information to the interested parties.

Photo by Bóly Municipality

The industrial park in Bóly expects investors mainly from the agricultural processing industry; however, industrial production facilities are also provided.

It is possible to lease or buy land in the Bóly Industrial Park. Full infrastructure is available at each site border (water, sanitary sewer, drainage, natural gas, 22 kV power grid with transformers, optical fibre net, security camera system, 80°C thermal water network, and road network). In case of purchase of land, the price is 1,800 HUF/sqm.

There is no land tax in Bóly, the property tax is 250 HUF per sqm per useful floor area per year. The main obstacle to economic development of the micro-region is the lack of unoccupied rentable factory buildings.

Photo by AQUACut Ltd.

The construction of utility lines was provided by the local government; however, service development tariffs should be paid to public utility companies.

Bicsérd Industrial Area Bicsérd is located in the central part of Baranya County, 18 km southwest of Pécs. The settlement was first mentioned in a certificate in 1262 in the so-called Árpád era. Developed agriculture has been typical here for several centuries. Bicsérd is well known for the fishing lake in the center of the village, streets decorated with flowers, outdoor works of art of the artists at the Bicsérd International Art Colony, the annual Potato Festival and other large-scale programs. The utilization of the former military object on a 3.5-hectare land is planned to create jobs and improve employment.

ATTRACTIONS FOR INVESTORS • Distance from the Main Road 6 is 3 km and from the railway station is 2.5 km • Its distance from the settlement is in accordance with the regulations, and it can be accessed on a paved road • Electricity and water are available • Buildings have been renewed, the piping system has been replaced, new electrical wiring has been installed and new lighting network has been created • The area is equipped with external spotlights, alarm systems, the entrance area is protected with video surveillance, and the whole area is fenced

Businesses: the area is suitable for small workshops, storage of goods, small warehouses or several smaller plants with little workforce.

Figure 13: Bicsérd Industrial Area

Hosszúhetény Industrial Area Hosszúhetény is located 16 km northeast of Pécs, on the southern slope of the East Mecsek Hill, at the foot of Hármashegy and Zengő in picturesque surroundings. Püspökszentlászló and Kisújbánya, the largest forest villages of Baranya County can also be found here. As a public administrative unit, it is directly adjacent to Pécs, the County seat and Komló, which is the second largest town in the county.

ATTRACTIONS FOR INVESTORS • Opportunities due to the traffic on the Main Road 6 • The village belongs to a free enterprise zone with special discounts available for enterprises • Appropriate infrastructure, available network of institutions, and all utilities are provided in the village Main profile: areas for economic utilization will be made available along the western bypass road, between the road and the settlement. Building restrictions will conform to natural environment in an environmentally friendly way, which will be included in the master plan amendment due in the near future.

Figure 14: Hosszúhetény Industrial Area

Komló Industrial Park The town of Komló has gone through radical economic transformation in the past 15 years. A number of abandoned mining sites were taken over by entirely new companies with new profiles, many of which are re-utilizing the former mining facilities. The industrial park, which is privately owned today, was established in the area of the former mining plants in 1999. There are several privately owned areas for development at former Zobák and Béta shafts. The area owned by the local government in Nagyrét Street is used by a recently established enterprise manufacturing automotive parts. The first “inhabitants” of the industrial park were businesses privatized from former ancillary plants of the Mecsek Coal Mines. By now, a dozen new companies have joined them at the site. There is about 6 hectares of free land available for investors.

ATTRACTIONS FOR INVESTORS • Fully developed infrastructure: electricity provided by their own transformer station, access to gas, water and sanitary sewer networks and the communication cables have been laid down • Outdoor lighting • Fully developed internal road network • Proximity to local railway station • Potential partners are provided with comprehensive consulting services in case of change of site relocation – including technical, legal, financial, environmental and quality assurance issues

Figure 15: Komló Industrial Area

Ratipur Ltd.

Edil-Komszer Ltd. TeGaVill Ltd.

Lakics Ltd.

Why KomlĂł â&#x20AC;&#x201C; as local people see

Metallurgical industry is considered a traditional industry in this micro-region, where trained workforce is available in each trade. However, their rate is low due to migration.

Photo by Lakics Ltd.

The town and its region expect investors in the fields of metallurgical industry, green energy and renewable energy production. Due to the high number of low-skilled job seekers, the investment of businesses requiring assembling activities is also welcome.

In terms of licensing procedures and technical preparation, the local government has been providing maximum assistance to investors. Major obstacles to economic development include the lack of national main roads, low number of appropriate municipal estates, the low skills and qualifications of the local labor force and the migration of educated and trained young people.

Photo by Lakics Ltd.

Another favorable condition is the availability of thermal water and spas (Komlo-Sikonda, Magyarhertelend) in the micro-region.

KomlĂł provides direct financial support for the purchase of land and acquisition of real estates - depending on the planned number of people to be employed. Investors are completely exempted from paying the obligatory contribution fee to public utility development.

Photo by Ratipur Ltd.

The best advantage of the town and its region in terms of infrastructure is the full and high-capacity utility network. The rate of paved roads within municipal boundaries is also high.

Mohács Industrial Park The local government of Mohács established the industrial park in 1999 in order to improve its economic situation. Full infrastructure has been installed by the town of Mohács in nearly 30% of the 166.9-hectare unimproved municipal area of the industrial park in the Mohács Business Zone. The investment included the sanitary sewer, water, gas, outdoor lighting, electricity network and the transport infrastructure. As a result of the development, new premises have been created. Owing to the infrastructure development, entrepreneurs of the region can exploit the opportunities of regional and EU business expansion. The town is ready to provide green field investment requiring large contiguous sites (7-11 hectares) with completely suitable areas that have direct access to the motorway network (M6), are situated next to the River Danube and are connected to the railway network with and industrial track rail. New Hungarian and foreign manufacturing enterprises locate in the incubator house as their business risk can be diminished during the initial period. The incubator house contributes to the strengthening of the productive capacity of the region, the development of new industrial infrastructure, the improvement of the competitiveness of the SMEs of the region with low capitalization, and the increase in the utilization of the Mohács Industrial Park. The target group of the development is SMEs with low capital, which needs support for starting or continuing and improving their operation under adequate circumstances. The Incubator can contribute to their market stability, enables them to develop independently in the future and can make them become stable actors in the economy..

ATTRACTIONS FOR INVESTORS • It is located in a border area, which contributes to building international relations with Serbia, Croatia and the Balkans • Proximity of the Danube and significant (freight and passanger service) traffic due to the international waterway access • Distance from the M6 Motorway (Budapest-Pécs): 7km • Distance from the international airport of Pécs-Pogány: 40 km • Trained, multilingual (German and English) and relatively cheap workforce

Main profile of the industrial park: logistics, shipment, incubation house services, food industry, textile industry and automotive industry.

Why Mohács – as local people see it The best advantage of the micro-region in terms of infrastructure is the direct access to the M6 Motorway, which traverses the area. It is within easy reach of the regional settlements, Mohács, the Industrial Park and the Danube port. In the industrial area of Mohács, it possible to develop an intermodal logistics base with appropriate water, rail and road transportation links. The volume of available workforce is about 3,600 people, minimum 2,000 of whom are suitable for employment in competitive enterprises. There is a lot of minority workforce in the micro-region with German and Croatian language skills. The most significant natural condition is the direct proximity of the River Danube , the beautiful natural environment of the Gemenc and Béda-Karapancsa areas, and the high quality of arable lands. The agricultural processing industry, wood industry, light industry and metallurgical industry (iron and aluminium foundry, manufacturing of construction machinery and metal processing) have a long tradition in the region. There is great potential in exploiting opportunities of the logistics capacities, agricultural processing industry and other industries requiring higher skills and technological expertise.

In the industrial park, if a fully improved land is sold, the purchaser can be offered a discount of 600 thousand HUF for each new job created and a discount of 300 thousand HUF per capita per workplace for investments for job preservation. Production floors in the 2,700-sqm incubator house can be leased at a discount rental fee. When construction work is carried out, the staff of the technical department of the local government help businesses with the licensing procedures and technical preparation of investments. In the industrial park, the fee of contribution to water and waste water development can be spent on the water and sewage network installation of the given investments of businesses. The rate of local tax is as low as 263 HUF per sqm for buildings used by the enterprise. Land tax is calculated on the basis of the size of the land. A site is exempted from land tax if actual production as a main activity is implemented in the building suitable for production, for which at least 25% of the total site is used. The major obstacle to economic development is the lack of a port suitable for loading containers and general cargo and the lack of a bridge over the Danube.

Szigetvár Industrial Areas Szigetvár is located in Baranya County, 35 km west of Pécs. The small town and its region have excellent natural conditions. Besides the good quality farmland, forests and lakes, the area is rich in thermal water and medicinal water. The spa, which provides 62oC thermal water for visitors wishing to heal and relax, is located in the heart of the town next to the castle. Food industry, metallurgical industry and wood industry are mainly typical of the economy of the town. The town does not have a single industrial park, and industrial plants are located in different parts of the settlement. There is only one contigous industrial area in the southeast part of the town. The local government can provide four areas for rent or sale, two of which are 0.5 hectares and the other two areas are approximately 2 hectares.

Figure 17: ábra: Layout of the Szigetvár Industrial Area

Map data © OpenStreetMap contributors, CC BY-SA

The best infrastructural advantage of the micro-region is that the Main Roads 6 and 67 traverse it. Road 6 provides connection to east and Pécs, from where there is a motorway to Budapest, and the road reaches Barcs and Croatia toward west. The Main Road 67 leads to Kaposvár and Lake Balaton. The Pécs-Barcs-Gyékényes main railway line, which provides great transport services to Budapest, Pécs, West Hungary and Croatia (Zagreb), goes through Szigetvár.

Photo by József Pinczehelyi

Why Szigetvár – as local people see it

The natural conditions of the region include a significant reserve of medicinal and thermal water and plenty of hours of sunlight per year. Expansion of employment opportunities and the strengthening of the local economy are considered to be the most important tasks in the town and its micro-region; therefore, in addition to job creation, the deployment of plants planning the development of a suppliers’ network is preferred. Businesses involved in logistics, food industry, light industry are expected in particular.

Photo by Iron-Tech Ltd.

There are about 1,000 job seekers in the micro-region with some qualifications. Most of the unemployed have qualifications in the fields of agriculture, construction industry, light industry and machinery manufacturing industry.

The local government can support the development of businesses by offering properties with full infrastructure for sale, and they also help with the licensing procedures and technical preparation.

The major obstacle to economic development is the distance from motorways and the partial lack of business services.

Photo by Manifaktor Ltd.

Establishing preferential land prices and overtaking the contribution fee for public utility development are possible on the basis of individual agreements.

Sellye Industrial Park Sellye is the single town in the Ormánság area. The industrial park is located in a designated industrial area in the southwest of the town. The total area (including roads) is 20.43 hectares, 12.75 hectares of which can be utilized. 84% of the area is owned by the local government of Sellye.

ATTRACTIONS FOR INVESTORS • • • • • •

Proximity to the Croatian border Proximity to the River Drava Tax relief depending on the number of employees Flexible administration Skilled and re-trainable, inexpensive and creative workforce Competitive land price

Businesses: the industrial park offers opportunities for green investments on leased or purchased sites to businesses locating there. The industrial park expects businesses to locate there from the following areas: local businesses, Hungarian investors outside Baranya, and foreign investors. Main profile of the industrial park: logistics, trade and manufacturing

Figure 16: ábra: Layout of the Sellye Industrial Park

OTHER CONDITIONS Table 5: Major tax rates of local tax regulations for enterprises of towns and settlements with industrial areas in Baranya County (2015) Property Taxes Name of Settlement

Bicsérd

BuildingTax Ft/sqm

Land Tax Ft/sqm

Local Business Tax

Tourism Tax paid for length of stay HUF/ day

Percentage of adjusted net revenue

Daily Overhead

5 000

250

5 000

600-1 200

240-260

430

5 000

220

3-6

220

5 000

300-1 655

1-280

385

5 000

Kozármisleny

1,6

5 000

Mágocs

1,5

5 000

Mohács

263

11-313

460

5 000

0-1 700

0-60

400

5 000

300

4 500

100

5 000

Sellye

300

5 000

Siklós

100-350

150

300

5000

200-1 720

21-300

350

5 000

200-250

450

5 000

345

1,4

1 000

Bóly Harkány Hosszúhetény Komló

Pécs Pécsvárad Sásd

Szigetvár Villány Kővágószőlős

Innovation Capacity A key element of the Competitiveness Pole Project is innovation, which is essential for the competitiveness of individual sectors and projects. The region has an outstanding innovation potential and knowledge transfer system. The Szentágothai Research Centre (www.szkk.pte.hu) is the leading innovation base of the region, which is the Central European centre of the health industry, the environmental industry and the engineering sciences. The Research Centre organizes R&D work ranging from basic research to development of industrial applications in 21 research groups relying on industrial relations. The innovation department of the Chamber of Industry, the regional office of the Hungarian Association for Innovation and knowledge transfer offices of the universities in Pécs and Kaposvár support the utilization of the innovation potential. The Chamber of Commerce and Industry of Pécs-Baranya is a member of Europe’s largest business and innovation network, the Enterprise Europe Network, which implements innovative knowledge transfer, conducts potential surveys and coordinates the export market opportunities for innovative products and services via 600 points of contact. (www.enterpriseeurope.hu)

Clusters in Pécs and South West Hungary The Competitiveness Pole Strategy is supported by outstandingly well-organized regional cluster networks and systems in all three priority sectors and also in horizontal sectors. In 2010 the Chamber of Commerce and Industry of Pécs-Baranya signed a cooperation agreement with several clusters operating mainly in the South-West Hungarian region. The objective of the framework agreement is to start synergic development work with the cooperation of the chamber and clusters so that the economic and innovative potential of the region can be strengthened. The clusters, which are representatives of the sectoral cooperation of the local economy, can get international visibility and opportunities for training and business via the European projects of the chamber of commerce. The economic exploitation of the results of innovation, the joint representation and the development of export capacities can be achieved through the collaboration. The local clusters have not only been involved in the development work in European international collaborations, but also signed international business agreements. A cluster development platform based on a special methodology, the so-called cluster portfolio, was developed with the support of the Ministry of National Economy and the Hungarian Chamber of Commerce and Industry in 2013. The innovation and service/product portfolio of ten clusters in the region were analyzed and identified. Portfolios are available at www.klaszterportfolio.hu “In the absence of economic development, South-West Hungary will remain among the lagging regions. The Chamber of Commerce and Industry of Pécs-Baranya supports not only individual companies but also joint development of clusters. We developed the content of the cooperation together in accordance with the needs and possibilities of the clusters” (Dr. István Kéri, President, Chamber of Commerce and Industry of Pécs-Baranya).

CLUSTERS IN COLLABORATION WITH THE CHAMBER Cluster of Applied Earth Sciences AV Industry Cluster Biotechnolog Innovation Base Accredited Innovation Cluster South West Hungarian Engineering Cluster South West Hungarian Ecotourism Cluster Information Management Accredited Innovation Cluster Interregional Cluster Association for Renewable Energy Blue Economy Innovation Cluster Creative Industry Cluster Hungarian Environmental Technologies Manufacturing and Development Cluster Mecsek Mining Cluster

MORE CLUSTERS IN SOUTH WEST HUNGARY BaranyaLand Tourism Cluster South West Hungarian Wine Tourism Cluster South West Hungarian Energetics Cluster South West Hungarian Construction Industry Cluster South West Hungarian Building Services Energy Efficiency Cluster South West Rural Tourism Cluster Competence Center of South West Hungarian Spas and Thermal Baths South West Hungarian Environmental Industries Cluster South West Hungarian Porcelain and Ceramics Cluster South West Hungarian Regional Food Competence Center (Kaposvár) South West Hungarian Fortress and Castle Tourism Cluster Southern Border Business Cluster Interregional Cluster Association for Renewable Energy Cluster for Disabled People Cultural Heritage and Digital Culture Cluster Pécs Glove Cluster Szekszárd Automotive Industry Cluster Szigetvár Tourism Cluster

HUMAN RESOURCES Figure 18: Changes in the rate of job search in the Districts of Baranya County, January, 2015 (%) 24,5 23,1

25,0

20,7 20,0 16,4

16,1

14,4

15,0

11,9

11,5

12,7 10,1 8,7

10,0

Baranya County

Pécs

Pécsvárad

Komló

Bóly

Szentlőrinc

Mohács

Szigetvár

Siklós

Hegyhát

0,0

Sellye

5,0

Job seekers total

Without skills

Skilled total

Tertiary educational training

Post graduate qualification

Tertiary education

Secondary education after completing secondary school

Secondary education after completing elementary school

Elementary school

District

Table 6: Number of reported job seekers per district, February 2015 (persons)

qualification Bóly

231

312

279

591

Komló

673

143

970

602

1 572

Mohács

997

200

1 395

958

2 353

208

2 936

1 163

333

434

5 091

1 670

6 761

Pécsvárad

197

279

185

464

Hegyhát

402

556

650

1 206

Sellye

587

775

665

1 440

Siklós

137

1 280

242

1 756

1 388

3 144

Szentlőrinc

349

523

352

875

Szigetvár

720

157

991

752

1 743

761

8 372

2 207

623

666

12 648

7 501

20 149

Pécs

Baranya County

Tertiary

Secondary

Elementary

Baranya County

Szigetvár District

Szentlőrinc District

Siklós District

Sellye District

Hegyhát District

Pécsvárad District

Pécs District

Mohács District

Komló District

Bóly District

Qualification

Table 7: Number of registered job seekers according to completed level of education, February 2015 (persons)

Elementary school not completed

142

160

162

107

190

1 022

Elementary school

275

547

1 024

1 757

172

580

713

1 468

375

701

7 612

total

317

620

1 166

1 917

187

742

820

1 658

423

784

8 634

Vocational training

178

413

Vocational school

170

487

649

1 799

159

298

369

838

248

543

5 560

Secondary school

163

118

989

289

139

1 886

Vocational secondary school

175

258

1 057

133

212

154

2 255

technical diploma

250

498

total

251

903

1 102

4 273

260

454

602

1 428

428

911

10 612

college

306

543

university

265

360

total

571

903

All total

591

1 572

2 353

6 761

464

1 206

1 440

3 144

875

1 743

20 149

Besides reported job seekers, there are about 15,000 people in public employment who can be regarded as available workforce.

Bóly District

Komló District

Mohács District

Pécs District

Pécsvárad District

Hegyhát District

Sellye District

Siklós District

Szentlőrinc District

Szigetvár District

Baranya County

Table 8: Number of registered job seekers by vocation groups, February 2015 (persons)

142

280

345

125

805

124

230

Food industry

381

Architecture

100

153

433

121

199

154

1 378

Wood industry

425

Engineering

112

111

333

899

171

341

Trade, marketing, business administration

142

211

894

295

158

2 010

Light industry

309

813

Environment protection, water management

Economy

208

360

Transport

276

601

216

419

184

237

115

1 512

Arts, public education, communication

153

251

Printing industry

Education

182

326

Social services

124

316

Administration

174

296

Chemical industry

Catering, tourism

504

212

1 168

312

970

1 395

5 091

279

556

775

1 756

523

991

12 648

Vocation group

Health care Other services Electronics

Information technology

Public service Agriculture

Total

Job seekers total

Without skills

Skilled total

Tertiary educational training

Post graduate qualification

Tertiary education

Secondary education after completing secondary school

Secondary education after completing elementary school

Elementary school

District

Table 9: Number of first-time job seekers by district, February 2015 (persons)

qualification Bóly

Komló

107

201

Mohács

123

143

266

236

128

540

381

921

Pécsvárad

Hegyhát

122

Sellye

152

Siklós

122

189

277

466

Szentlőrinc

134

Szigetvár

136

223

677

252

173

1 251

1 366

2 617

Pécs

Baranya County

Tertiary

Secondary

Elementary

Baranya County

Szigetvár District

Szentlőrinc District

Siklós District

Sellye District

Hegyhát District

Pécsvárad District

Pécs District

Mohács District

Komló District

Bóly District

Completed level of education

Table 10: Number of recorded first-time job seekers by qualification, February 2015 (capita)

Elementary school not completed

Elementary school

121

252

214

1 014

total

132

268

234

102

1 087

Vocational training

Vocational school

107

402

Secondary school

186

422

Vocational secondary school

224

448

technical diploma

total

113

122

579

224

114

1 408

college

university

total

122

All total

201

266

921

122

152

466

134

223

2 617

Bóly District

Komló District

Mohács District

Pécs District

Pécsvárad District

Hegyhát District

Sellye District

Siklós District

Szentlőrinc District

Szigetvár District

Baranya County

Table 11: Number of recorded first-time job seekers by vocation groups, February 2015 (persons)

Health care

Other services

Electronics

Food industry

Architecture

Wood industry

Engineering

Information technology

Trade, marketing, business administration

101

235

Light industry

Environment protection, water management

Economy

Transport

Public service

Agriculture

Arts, public education, communication

Printing industry

Education

Social services

Administration

Chemical industry

Catering, tourism

202

123

540

189

1 251

Vocation group

Total

Table 12: Number of full-time employees, 2013 (capita) Economic sector Agriculture, forestry and fishery

Baranya County

Pécs town 4 251

655

115

13 884

5 737

Electric energy, gas, steam, air conditioning

1 045

910

Water supply, sewerage, waste management

1 449

594

16 493

7 254

Construction industry

3 370

873

Trade, automotive servicing

7 994

3 541

Transporting and storage

4 442

2 827

Accommodation and food services

1 957

590

Information, communication

1 165

813

Financial and insurance services

1 243

815

621

169

Professional, scientific and technical services

1 562

745

Administrative activities supporting services

2 076

1 082

Public administration and defence, compulsory social security

7 646

5 592

Education

12 506

8 914

Human health and social work

13 388

2 548

Arts, entertainment and recreation

963

665

Other services

402

80 079

37 163

Private sector

44 428

18 652

Public sector

32 132

16 494

Mining and quarrying Manufacturing

Industry

Real estate services

National economy total of which:

Table 13: Average gross monthly income of employees, 2013 (persons) Economic sector

Hungary

Baranya County

Pécs town

Agriculture, forestry and fishery

171 679

186 460

147 260

Mining and quarrying

281 096

234 149

368 590

Manufacturing

241 787

198 610

235 740

Electric energy, gas, steam, air conditioning

410 516

306 958

314 879

Water supply, sewerage, waste management

224 649

215 985

254 393

Industry

247 196

207 247

247 433

Construction industry

177 680

151 629

183 274

Trade, automotive servicing

217 483

164 753

180 453

Transporting and storage

223 351

211 727

235 859

Accommodation and food services

146 742

128 358

148 001

Information, communication

426 944

306 639

353 370

Financial and insurance services

470 690

352 612

395 473

Real estate services

209 751

183 132

267 733

Professional, scientific and technical services

322 927

210 979

252 528

Administrative activities supporting services

169 662

209 018

196 321

Public administration and defence, compulsory social security

258 803

232 888

245 399

Education

216 939

239 581

258 228

Human health and social work

151 230

116 995

153 558

Arts, entertainment and recreation

216 964

189 829

206 271

Other services

175 236

151 813

202 981

National economy total

230 714

193 436

234 604

Private sector

242 293

197 343

233 401

Public sector

207 191

188 119

238 076

of which:

Terms of commuting to work Commuting to work and secondary educational institutions with regular bus service in towns with industrial parks:

LEGEND: Destination settlement Journey without transfer, arrival within about 60 minutes One transfer, arrival time within about 120 minutes incl. waiting time Multiple transfers, or arrival time over 120 minutes Arrival is not possible before 8 a.m. on weekdays

Figure 19: Access to Pécs by bus

Komló