Polish market No.3 / 222/2014

PU B LISHED SIncE 199 6 No. 3 (222) /2015 :: www.polishmarket.com.pl

I n f r a s t r u c t u r e I n n o vat I o n c u lt u r e cluster World congress

buzek prof. jerzy

former Polish Prime minister, former President of the euroPean Parliament, meP, awarded with the title of honorary doctor of the medical university of warsaw

SPIS TREŚC CONTENTS

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Infrastructure

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From The President’s Press Office From The Government Information Centre Janusz Piechociński, deputy Prime Minister, Minister of the Economy: Special economic zones an effective tool in attracting investment Prof. Jerzy Buzek, former Polish Prime Minister, former President of the European Parliament, MEP: What is the future of Europe?

Bartłomiej Bodio, Member of Parliament, Chairman of the Parliamentary Group on Cluster Policy, President of the Intelligent Transportation Systems Cluster: Polish clusters are known all over the world Zbigniew Podraza, Mayor of Dąbrowa Górnicza: Dąbrowa Górnicza - very good place for people with business initiative Grzegorz Wacławik, Chairman of the Board of the Dąbrowa Basin Development Committee Coordinator of PCIE Cluster: Dąbrowa Basin Development Committee – Innovation & Environment / The University of Dąbrowa Górnicza Bogdan Węgrzynek, President of the Polish National Cluster of Innovative Enterprises, President of the Polish Clusters Association, Vice-President of the Association of Employers “Polish Clusters,” President of the Agency for Enterprise Development: Clusters can guarantee Polish companies a strong position in Europe and in the world

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Michał Jasieński: Birds of a feather flock together and then what? Clustering must lead to reinvention of business models

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Assoc. Prof. Andrzej Minasowicz, DSc. Eng., president of the Polish Association of Building Managers (PSMB), Paweł Nowak, DSc. Eng., vice-dean for development at the Faculty of Civil Engineering Warsaw University of Technology, and Janusz Zaleski, MSc, PSMB vice-president for management: We open the door to Europe

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Andrzej Siemaszko, PhD, secretary general of the Polish Technology Institute: Time to develop Polish technologies

Marek Michałowski, an expert of the Polish Association of Construction Industry Employers: Healthier situation in infrastructure building

Maciej Proliński: Diamonds for the first time Wojciech Trojanowski and Alfred Watzl, members of the Board of Strabag: Strabag reaffirms its market leadership Andrzej Massel DSc, Eng.: Modernisation is about introducing new solutions to infrastructure Roundtable: Polish infrastructure in the Europe an perspective Opportunities and Challenges of the National Rail Programme - 2014-2020

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Tadeusz Rybak, President of the Board of Mostostal Puławy S.A.: We transformed confidence and hard work into a success story

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Grzegorz Kiełpsz, President of the Board of Polish Association of Developers: Changes in the investment and construction law. What awaits investors in Poland?

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Prof. Bogusław Liberadzki, Vice-President of the European Parliament and Member of the Committee on Transport and Tourism: Poland the largest single beneficiary of EU funds

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Andrzej Cholewa, member of the Board of Track Tec: Condition of the railway sector depends on a vision and strategy

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A year of breaking records for Unibep Group

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Joanna Pacześniak, Senior Consultant at IBBC Group: Five simple rules for controlling fraud risk

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Jacek Janiszewski, an organizer of Welconomy Forum in Toruń: Welconomy Forum a meeting place for central and local government officials and business

Finance

FLARIS LAR 1 a small plane, a great achievement / Syrion

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Events

Cluster World Congress

Our Guest

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Elżbieta Tęsna, President of Eltar: Eltar high professionalism, timeliness and comprehensiveness Andrzej Ramel, Member of the Board, Director for Domestic Sales and Marketing: Tubądzin banks on uniqueness

Prof. Elżbieta Mączyńska, President of the Polish Economic Society: The role of the state - harmfulness of dogmas

Welconomy Forum in Toruń Przemysław Trawa, president of Międzynarodowe Targi Poznańskie Sp. z o.o.: Poznań international fairs attract over 1 million visitors a year

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Urszula Potęga, President of MT Targi Polska: Direct contact is invaluable Władysław Steć: The Gala of the Polish Business Club and the Academy of Polish Success

Smart city or what a modern city should be like The Warmia-Mazury Special Economic Zone Maciej Proliński: Inventors are among us

Food Industry

Values build social capital

Ewa Mańkiewicz-Cudny, President of the Federation of Engineering Associations: The year of anniversaries for FSNT-NOT Polish Federation of Engineering Associations

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Cultural Monitor

Maciej Proliński: “Miracle, or Cracovians and Highlanders” unique production at the Grand Theatre National Opera Maciej Proliński: Artists peeking at us…

Maciej Proliński: An Oscar for a Polish film Bohdan Juchniewicz: New prospects for the eco food market Mission of the Polish Ecology Association

Economic Monitor

Alicja Adamczak, PhD, President of the Polish Patent Office: Design in business strategy Herbert Wirth, President of KGHM Polska Miedź S.A.: Innovation has become a necessity

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Maciej Proliński: Matejko, Wyspiański and Chopin come to China

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Adam Spała, owner and president of Fabryka Porcelany AS Ćmielów: Success depends on intellect

SPIS TREŚCI CONTENTS

Culture

Innovation

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Okładka / Cover: Prof. Jerzy Buzek Zdjęcia w numerze / Photos on issue: www.shutterstock.com

3/2015

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Editorial

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Spring revival

he spring revival has apparently rubbed off on the economy. In Poland, of course. The EuroPMI Purchasing Managers Index for Poland reached up to 55.10 points, but we have already got used to it being described as “one of the highest in Europe,” so it makes no impression any more. Carrying more weight seem to be, as usual, details, e.g. the employment subindex reached the second highest level in the history of the survey, while the production backlog increased for the third month in a row, which almost forces companies to boost investment in production assets.

We are not the only one to appreciate it. Fitch’s analysts had to account for why they fail to upgrade the rating of Poland. Statements that we are anyway in the top thirty of world’s best rated economies, that A-minus is a great rating for an economy with a GDP reaching up a mere 2/3 of the GDP of economies with the very same rating, that Poland deserves appreciation for fully controlling its budget deficit, stimulating growth with domestic demand and being unexpectedly resistant to external turbulence – seem to be meant to highlight the role of Fitch as a ticket inspector deciding on the admission of new members to the exclusive A + club. Meanwhile, S&P without unnecessary coquetry raised our rating outlook from “stable” to “positive,” and we like it. And so we think.

Growth projections we are served by bankers reveal a similar disparity: from super-optimistic 4%, as if to send a smile for good-bye, from Reiffeisen (wrapping up its assets in Poland), to prudent 3.3% from Merrill Lynch, sweetened with lots of descriptive compliments, including the stable political situation forecast, something you may consider risks in the run-up to the presidential and parliamentary elections.

The catalogue of events clearly positive for the Polish economy includes a visit to Poland, not with empty hands, of the European Commissioner for Regional Policy. Corina Cretu brought to Warsaw the approval of the European Commission for all the seven Polish spending programmes worth a total of EUR 120.1 billion, an amount Poland was allocated from the EU budget under the 2014-2020 financial perspective.

So what are we going to invest in? As in the first perspective, the majority of funds must be used on overcoming the major obstacle to our development, which is the shortage of infrastructure. It is no accident that our most expensive investment programme is called “Infrastructure and Development.” Its backbone, consuming 2/3 of funds, is investment in transport infrastructure. So far, we have been able to basically modernise the air transport infrastructure, also largely seaports, as well as approx. 1/3 of the network of motorways, expressways and urban ring roads, and to start the necessary modernisation and revitalisation of the railway network. What has been achieved makes a convincing case for such an expenditure and its direction to investment.

The regions and sectors of the economy that are its beneficiaries have been breathed into economic life. They have immediately moved up in the investment attractiveness rankings, attracting investment projects and private investors - from logistics hubs to R&D centers. These areas have witnessed reindustrialisation.

Plans for the second financial perspective show that it will not be a simple continuation. Road projects, already listed in detail until the year 2023, tend to renounce the simple idea of construction for the DBM formula (Design, Build, Maintain – e.g. for 30 years) or even DBMF, with “F” standing for “Finance”. The same applies to railway investments, where you can also see that – although the stress is be shifted to improving conditions for cargo shipments – we cannot do it all before 2020. Therefore, the ongoing perspective must also be used to get the business sector engaged in the financing of infrastructure investments in the future.

However, the spectacular nature of transport investments should not obscure the importance of other elements of the country’s infrastructure. Energy security has indeed become a buzzword these days. Yet, thanks to the efforts of the Energy Regulatory Office and the Polish Power Grids, it is the first time we managed to include in the “Infrastructure and Development” programme such a large package of investment projects in 400 kV transmission grids, not only guarantying demand for energy from the newly constructed sources, not only erasing “white spots” from the map of the country, but also reducing Europe’s record energy losses on transmission. The second step will be the development of interconnections, protecting the Central European network against destabilisation from the German renewable energy. Moreover, investment in the grid and the commissioning of storage facilities will be a contribution of the Polish gas industry to the energy security. Finally, we need to dramatically raise the profile of the investment in the telecommunications and IT infrastructure. In is no secret that the EU has set itself a goal of providing 100% of households with access to broadband. But in a country where nearly 1/3 of the population has never used the Internet yet, it means something more than the installing fiber and servers.

Krystyna Woźniak-Trzosek Editor-in-Chief President of Rynek Polski Publishers Co. Ltd.

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President

The presidential couple meet with the Japanese imperial couple in Tokyo

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n 26 February, Bronisław Komorowski and his spouse Anna, were received at an audience by Emperor of Japan Akihito and Empress Michiko. The Polish President said that the half-an-hour conversation was focused on culture. “It is good to realise that despite the vast geographical distance that separates Poland and Japan, there are many elements we have in common, including in the area of ​​culture,” Bronisław Komorowski stressed. He added that it was nice to hear from the imperial couple opinions “revealing a genuine commitment to contemplating Polish culture in Japan.” When asked about his impressions of the meeting with the imperial couple, Komorowski estimated that “the meeting with the imperial couple, like the Japanese architecture and design, was characterised by simplicity and free of any excess whatsoever. Everything was naturally elegant.”

After arriving in Tokyo, Bronisław Komorowski had lunch with Japanese business people. “These were representatives of major Japanese companies, some of which are already established in Poland,” he said.

The Polish President pointed out that the Japanese are among those investors from Asia who invested most in the Polish economy. In the evening, Bronisław Komorowski attended a recital of Andrzej Wierciński, the winner of the 2015 Polish National Fryderyk Chopin Piano Competition.

The President also presented the badges of merit to the Japanese who deserve special credit for the development of Polish-Japanese relations: Hirofumi Nakasone, senator, member of the Japan-Poland parliamentary group, Keidanren Hiromasa Yonekura, former chairman of the Japanese business organisation, and Ikuko Endo, a pianist.

President Komorowski talks with the German foreign minister about the Ukrainian-Russian conflict

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n February 5, President Bronisław Komorowski and Germany’s foreign minister Frank-Walter Steinmeier talked at the Belvedere Palace about Ukraine and the Franco-German initiative towards the Ukrainian-Russian crisis. The subject of the conversation was “the assessment of the situation in eastern Ukraine and of the prospects for settlement of the Ukrainian-Russian conflict in view of the worsening outlook in the Donbas in recent weeks,” Jaromir Sokołowski, Minister in the Office of the President responsible for foreign affairs told PAP. Bronisław Komorowski and Frank-Walter Steinmeier reported Minister Sokołowski - also discussed the assumptions of the new initiative that involves a joint trip to Kiev and Moscow of German Chancellor

Angela Merkel and French President François Hollande. Another issue touched upon by the Polish President and the German foreign minister was supporting the reform process in Ukraine.

On the same day, Merkel and Hollande went together to Kiev for a meeting with President of Ukraine Petro Poroshenko to propose new ways out of the conflict in the east of the country. After the visit to Ukraine, the leaders of Germany and France went on to Moscow, on the following day, to share the details of their plan with the Russian President Vladimir Putin.

The President goes to Kiev on the occasion of the first anniversary of the Maidan Revolution t the invitation of President of Ukraine Petro Poroshenko, President Bronisław Komorowski went to Kiev on 22 February to participate in the celebration of the first anniversary of the victorious protests at the Independence Square that led to the ousting of Victor Yanukovych.

Komorowski took part in the March of Dignity. Petro Poroshenko, who led the march, was accompanied by President of the European Council Donald Tusk and the Presidents of: Lithuania - Dalia Grybauskaite, Germany - Joachim Gauck, Moldova - Nicolae Timofti, Slovakia - Andrej Kiska and Georgia - Giorgi Margvelashvili. Vice-President of the European Parliament, Ryszard Czarnecki, was present, too. The marchers passed through the streets where 100 demonstrators had been killed by the Berkut riot police last winter. A prayer service on Independence Square followed.

After the ceremony, President Poroshenko invited his guests to talks in the Arsenal art gallery.

Before the march, foreign guests watched the evidence of Russia’s military involvement in the conflict in Ukraine’s eastern districts: Russian tanks, mobile rocket launchers and other military vehicles and missiles seized by the Ukraininian army in the Donbas.

On 20 February 2014, some 80 people were killed in Kiev, and on 22 February, after Yanukovych fled the country, there was a power shift. The Celestial Hundred is a term coined in tribute to the one hundred victims of proEuropean demonstrations in Ukraine, which transformed into a massive

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Photo: Eliza Radzikowska-Białobrzewska

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upheaval against the Yanukovych regime and continued over the period from November 2013 to February 2014.

Prime Minister

The EU financial framework 2014-2020 gets off to a start “Today we officially begin the use of the new tranche of EU funds. We have more than PLN 0.5 trillion,” Prime Minister Ewa Kopacz said during the opening ceremony of the financial framework 2014-2020 on February 26. She stressed that Poland will receive the greatest in history amount of development funds. “This is the result of several years of preparations. You could say that we played for highest stakes and we won. We gained the most resources of all the EU countries,” argued Ewa Kopacz.

According to the Prime Minister, the record-breaking European funds will allow Poland to make another civilisational leap. In the coming years, Poland is to become one of the world’s 20 richest countries. “This is our dream, our goal and our commitment. (…) We want the Poles to realise that European funds are not only highways, but also a real help in everyday life,” stressed the head of the government. She explained that thanks to EU funds more than 50,000 jobs will be created in nurseries and approx.

70,000 – in kindergartens. Investment worth PLN 16 billion will be made in public transport in Polish cities and over PLN 40 billion will be spent on innovative research and implementation of its results in business practice.

“We will see to that the research has commercial application,” Kopacz declared. PLN 20 billion will be invested in increasing the competitiveness of small and medium-sized enterprises. Investments financed from EU funds will help create half a million new jobs, especially for young people.

The Prime Minister promised the completion of the expressway network and the modernisation of regional roads and the railway network.

As previously, part of the funds will be allocated for environmental protection, culture and health. The process of digitisation of the country will be accomplished, and all households, even in the farthest corner of Poland, will have access to high-speed Internet.

As noted by the Prime Minister, the new philosophy of use of the European funds means the deepening of decentralisation. “That is why it was decided that more, namely as much as nearly half of all the cash from the EU, will be distributed at the local level. This proves that we take the Selfgoverning Poland slogan very seriously and we are consistently making it a reality”, Kopacz stressed.

Ewa Kopacz meets with the Prime Minister of Hungary values - Prime Minister Ewa Kopacz added.

The head of government expressed pride that after years of bondage both countries are today members of the European Union. “In our shared history, Poland and Hungary have always lost when force substituted law in international policy,” Prime Minister Ewa Kopacz stressed, indicating that Ukraine had the right to decide about its fate. The head of the Polish government pointed out that both countries have a debt of gratitude to those who are denied the right to independence.

Photo: M. Śmiarowski KPRM

On, 19 February, Prime Minister Ewa Kopacz had a conversation with Hungary’s Prime Minister Viktor Orbán on, among other things, EU-Russia relations and the situation in Ukraine. “To us, the European Union’s unity and condemnation of a policy of aggression is of fundamental importance,” she said summarising the meeting.

“In a frank and difficult conversation, the kind which friends usually have I told Prime Minister Orban that the unity of the European Union countries and the Visegrad Group is of paramount importance to the situation in Ukraine,” Kopacz said. Both parties agreed that in the face of the current challenges maintaining unity, in particular when it comes to taking specific decisions related to the situation in Ukraine, is the value which guarantees effectiveness of action.

“Poland and Hungary have always been genuine and not just proverbial friends,” Prime Minister Ewa Kopacz emphasised. The head of government mentioned the figure of Poland’s and Hungary’s hero - General Józef Bem, who had fought in the November Uprising and was in charge of the army during the Hungarian Revolution. He embodies the union of history and union of

The European Council summit in Brussels “All countries of the European Union will safeguard the implementation of the Minsk agreement,” Prime Minister Ewa Kopacz said on February 12 after the informal meeting of the European Council, whose main subject was the situation in Ukraine.

“We were able to achieve the objectives we had set ourselves before the informal summit of the European Council,” Prime Minister Ewa Kopacz assessed. The head of government said that the meeting of the EU leaders began with the statement of Ukraine’s President Petro Poroshenko, Germany’s Chancellor Angela Merkel and France’s President François Hollande regarding the agreement reached in Minsk. Prime Minister Ewa Kopacz stressed that all EU countries would be the guardians of the implementation of the provisions of this agreement.

Prime Minister Kopacz stressed that the sanctions imposed at the latest meeting of the EU Foreign Affairs Council would enter into force on February 16. The head of government said that in case Russia violates the provisions of the Minsk agreement, the European Commission will proceed with further sanctions.

Prime Minister Ewa Kopacz also thanked all the EU leaders for being resolute in voicing their opinions and for having built a very strong and firm message of a united Europe.

Apart from the situation in Ukraine, the European Council addressed terrorism prevention, namely in the context of the Charlie Hebdo attacks in France in January. Economic issues, including the coordination of policies within the Economic and Monetary Union, were on the table, too.

Before the European Council summit, Prime Minister Ewa Kopacz met with President of the European Commission Jean-Claude Juncker. The talks focused on the assessment of the compatibility of the German Act on the Minimum Wage with the EU legislation, and the reform of the Polish coal mining industry.

Ewa Kopacz also participated in the meeting of the EU leaders with President of the European Parliament Martin Schulz, and spoke to the heads of state of the Visegrad Group countries.

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Our Guest

Special economic zones

an effective tool in attracting investment Janusz Piechociński, deputy Prime Minister, Minister of the Economy

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Our Guest

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ne of the priorities of the Ministry of the Economy is to ensure the development of Polish businesses and enhance the competitiveness of the Polish economy among European Union countries and on global markets.

Since their inception special economic zones have been an effective tool in attracting investment and an important factor stimulating job creation in individual regions. This is proven by continued interest on the part of companies in bringing their projects to the zones. The foreign corporations which build modern factories and develop the services market in our country enhance Poland’s competitiveness in the international arena. Additionally, the companies investing in the zones transfer to Poland modern technologies and management systems. This contributes to improving the qualifications of Polish workers and increasing the percentage of people employed in the high-tech sector.

Under a November 28, 2014 amendment to the law on special economic zones, the responsibilities of the organizations managing the zones have been expanded to include activities supporting the setting up of clusters and collaboration with vocational schools in the process of educating future employees able to meet the needs of the labour market.

Clusters are a priority form of cooperation among enterprises, the public administration sector, institutions operating in the business environment and scientific units.

The development of clusters contributes to faster economic growth, higher productivity, a rise in direct investment and job creation. Poland’s policy on clusters is aimed at enhancing innovation in the Polish economy and its competitiveness by intensifying cooperation, interaction and the flow of knowledge among clusters. Also important is support for the development of strategic economic specialities (key clusters).

Small and medium-sized businesses, which generate a large part of the GDP, play a special role in Polish clusters.

By working together within clusters, they are able to significantly reduce their operating costs. The findings of research comparing the extent to which businesses operating in clusters and outside of them adopt innovation show that the first perform four times better in this respect than the latter. Polish clusters operate both in traditional sectors, like for example the wood industry, construction, metalworking and the textile industry, and in innovative sectors, like aviation, ICT and creative industries.

Adjusting workers’ qualifications to the rapidly changing production processes is a significant problem for employers. It requires systemic solutions and harmonious cooperation among all the interested parties. On our initiative, an agreement was signed by the Minister of the Economy, Minister of Education, Minister of Labour and Social Policy and Minister of the Treasury on cooperation and joint activities for the development of vocational education meeting the needs of employers, local labour markets and a modern and innovative economy.

The objective of this initiative is to ensure that coherent and complementary activities are pursued to develop vocational education, to popularize and develop cooperation between schools and employers in vocational education, and to increase employers’ involvement in teaching practical trade skills.

Clusters are a priority form of cooperation among enterprises, the public administration sector, institutions operating in the business environment and scientific units.

The tasks of the Ministry of the Economy will include encouraging employers operating in special economic zones to get involved in the process of vocational education, including practical skills teaching, in basic vocational schools, technical high schools and post-secondary schools. Another task will be to create a model solution to streamline and intensify cooperation between employers and vocational schools, with the agency of intermediating institutions, in particular the companies which manage special economic zones.

The activities have already been started. Educational clusters are being established on the initiative of the management boards of special economic zones. The clusters bring together firms, vocational schools, county authorities and other parties interested in the development of vocational education, like for example trade associations and education boards. Many of the companies operating in the zones have already promised to offer training periods to students.

I would like to stress that the activity of the companies which manage the zones is not limited to issuing permits. It also includes many issues associated with regional development and enhancing the competitiveness of the Polish economy. The zones conduct intensive promotional activities – they organize or take part in trade missions, fairs and conferences, finance or partially finance infrastructure projects, and support cultural institutions and events in their regions. But first of all, they provide assistance to businesses – both at the stage when they carry out their investment project and throughout the period of their operation in the zone.

In 2015, special economic zones plan to issue 217 permits for investment projects, for which PLN7.7 billion has been pledged. It is estimated that around 11,000 jobs will be created. I hope that more investment projects will come to special economic zones in coming years, making the Polish economy even stronger.

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Our Guest

What is the future of

Europe?

Prof. Jerzy Buzek, former Polish Prime Minister, former President of the European Parliament, MEP, Honorary Doctor of the Medical University of Warsaw

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t the beginning of the 1980s Father Prof. Józef Tischner claimed that labour was sick in Poland.

It was that dramatic period when we aspired to freedom and independence, the era of Solidarity.

He was right, and did a lot of good to heal labour and give it meaning. I had this memory come to my mind in connection with today’s lecture.

The systemic reforms carried out during the transition period brought fruit. Labour reclaimed its due value not only from an economic point of view, but also existential, social or moral. The young generation knows best the great value of work, especially when you have a good job.

Today, we no longer ask questions about the meaning of labour, we left this stage behind. We ask questions about the meaning of our existence here and now, about the meaning of Europe, which is our best point of reference. Many, like once Father Tischner did, say today, and I repeat it, that Europe is sick. And it is not about flu, mumps or rubella, it is not about the financial crisis, it is not even about Greece plunged into a crisis, there is more, it is about what we all struggle for - about our future, about the viability of Europe we live in. The crucial thing is to diagnose the disease. We often say it is the economy, then the crisis of mutual trust and solidarity. Well then, let us define the disease, the infection we have come to suffer.

Today’s crisis is not only an economic crisis but also, and perhaps above all, a crisis of values. Separating the economy from morality turned out to be very harmful, as if Pandora’s box was opened, releasing greed, injustice, corruption, nepotism, economic violence in intimidating quantities. It all started with the inconspicuous fact: Lehman Brothers, a financial institution, collapsed in 2008. Just a few weeks before, the rating agencies, whom everyone trusted, spoke of the company in glowing terms. Was it possible to continue to trust each other having this in mind? We must realise that the economy is not a desert, but it is surrounded by culture whose cornerstone is a set of certain values, social capital, commonly accepted norms, especially trust and the consequent willingness to cooperate. It is the rejection

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of these values that ​​ suggests the underlying cause of failure of individuals and economies.

The economy is primarily a moral undertaking because it makes it necessary to have faith in the solidity and solidarity of other people. Max Weber says that if the economy is nothing but the game that involves a set of strictly defined microeconomic, social and moral rules, then it will turn into a jungle, ruthless competition, and criminal activity, making everyone, even criminals, lose. The economy, just like the universe, whose undeniable rules regarding the movement of billions of planets and stars are based on the fundamental laws of Newton and Einstein, has its basic principle of mutual trust among people. Such a loss of confidence, must have led, in a few months’ time, to uncertainty and loss of a basic reflex of solidarity. I would not like to delve further into these diagnoses. Suffice it to remember what shock it was to us all. Although it has been seven years since then, we have no right to forget. The question is now important how to take care of the welfare and development of Europe, and how to give it meaning. It is like with a patient: if he does not have a purpose and meaning in his life, no cure will help him.

How to heal Europe? Today’s crisis is mainly economic, and so economic measures must be taken to counteract it.

It is about loan liberalisation, a common energy market, or even the energy union. A lifestyle change is needed, reforms of public finance, tax system etc. I do not want to go into details because it is going to be very technical. But we will not manage without them. Nor will we manage unless we are convinced that they are needed, unless all of us, even if not directly responsible for their implementation, realise that it is necessary to put them in place in order to be cured. It is not only the responsibility of politicians, it is the responsibility of all those who are aware of the risks and who help create the social climate to allow politicians to tackle such tasks. •

A lecture delivered during the ceremony of awarding the title of Honorary Doctor of the Medical University of Warsaw, February 6, 2015

Cluster World Congress

Polish clusters are known all over the world Bartłomiej Bodio, Member of Parliament, Chairman of the Parliamentary Group on Cluster Policy, President of the Intelligent Transportation Systems Cluster

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he Cluster World Congress is a significant event, especially for Polish clusters. Polish clustering has seen significant development in recent years. I am not talking about the rapidly growing number of cluster organisations, something that we can all see, but a mounting popularity and interest in clusters. Just a few years ago, the word “cluster” sounded strange and incomprehensible. When creating the Parliamentary Group on Cluster Policy, I had to explain what clusters are and what purpose they serve. Clustering, well-proven in Europe and the world, was relatively unknown in Poland. Setting up of the Parliamentary

Group on Cluster Policy met with incomprehension and even derision from many commentators. Ever since, we have made a great job promoting the idea of clustering. ​​ We have organised in the Sejm, the lower chamber of the Polish parliament, the first Congress of Clusters, which was extremely successful. It has aroused considerable interest, becoming a stimulus for the integration of the Polish cluster community. The second Congress of Clusters, also held in the Polish Parliament, encountered even greater interest. The building was not able to accommodate all those wishing to take part in the Congress. Even though the meetings were held concurrently in specialised thematic teams, nearly half of those interested were unable to attend the Congress for the lack of room. Today, probably everyone knows what clusters are. You can hardly meet an MP, a member of the government or a local government who would not know what clusters are. Today, in Poland, the idea of ​​cooperation between academia, business and local governments is well known, accepted and desirable.

Clusters operate in many areas. Successful are those involved in tourism, industry, or food production, but most of all in construction and transport. Medical and textile industry clusters are conquering the world markets. Aviation clusters, grouping or cooperating with global aircraft giants, have also been extremely successful worldwide.

Clusters formed in Poland are viable not only domestically, but also internationally. Polish clusters are known all over the world and have become full-fledged members of the world cluster community. We attend meetings on all continents, we are welcomed by the highest foreign state authorities

and international organisations around the world. Polish clusters have started the process of international certification and operate in accordance with international standards. Many Poles have become international auditors qualified for audit and certification of clusters. Polish universities educate cluster managers at different levels, including MBA. I had the great honour to attend the inauguration of such studies in the field of clustering in Dąbrowa Górnicza - the host city of the Cluster World Congress. Also, government sectoral R&D programmes, providing funds for research, are initiated and managed by clusters.

Much has been achieved, but there is still a lot to be done. Poland is living through a unique moment in its history. We are facing a great challenge of spending EU funds as part of the last large scale funding programme. We have a sense of great opportunity, while being aware of dangers that lie ahead at the same time. It is time to capitalise on the Polish clustering’s opening to the world. The Cluster World Congress, coorganised by the Parliamentary Group on Cluster Policy, is the perfect crowning moment of the development stage of Polish clusters. Today, we are finally on a par with the rest of the world, and we are proud to host them in Dąbrowa Górnicza.

Let us support the development of clusters at local level, national level, as well as internationally.

Clusters are an ideal solution for young people to gain a good education and work in their profession without having to leave the land of their parents. Clusters mean also an opportunity for regional development, whether in Europe or on any other continent.

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Cluster World Congress

D ą b r o wa Górnicza D

Zbigniew Podraza, Mayor of Dąbrowa Górnicza

very good place for people with business

initiative

12 polish market

ąbrowa Górnicza, which will host the Cluster World Congress, is a very good place for people with business initiative. Its strategic location, attractive investment areas and highly qualified vast human resources are only some arguments in favour of locating your business in our city.

Adding to its investment attractiveness are local tax deductions and benefits due to the fact that part of the city falls within the borders of the Katowice Special Economic Zone. Moreover, entrepreneurs are offered professional and comprehensive support from the city clerks, while individuals and companies wishing to start a business in Dąbrowa meet with a friendly attitude. The city’s investment offer is constantly updated and presented in an approachable way. We are also gradually expanding the range of activities oriented at cooperation with entrepreneurs.

The numerous advantages of Dąbrowa Górnicza will help spread your wings in business. Every entrepreneur who decides to run a business in our city can count on administrative support from the city hall, but also on professional assistance from business-related institutions. He or she has also various investment incentives to take advantage of, and skilled and experienced workforce to choose from.

The fact that Dąbrowa Górnicza is a good place for business is best evidenced by the wide spectrum of local companies of all sizes and from various industries. In addition to the traditional heavy industries - steel and coke, the important role is played by sectors such as construction, glass manufacturing, automotive, plastics processing, electronics and logistics. This shows that the city offers great opportunities for running and developing business ventures. The priority is given to those that favour the economic revival, to investments based on modern and environmentally friendly technologies, and to innovative initiatives in the field of recreation and tourism.

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Cluster World Congress

Dąbrowa Basin Development

Committee – Innovation & Environment Grzegorz Wacławik, Chairman of the Board of the Dąbrowa Basin Development Committee, Coordinator of the Polish Cluster for Innovations and Environment

I

n March 2014, upon the initiative of the Dąbrowa Basin Development Committee (KRZ), a Cooperative Agreement was signed establishing the Polish Cluster for Innovations and Environment (PCIE). The document was signed by representatives of 11 institutions, businesses and a university. The Dąbrowa Basin Development Committee is the coordinator of the cluster.

Environment We have been working for nearly 15 years for the multidirectional development of the Dąbrowa Basin. We bring together active and competent people and we are inspiring projects, including competitions: the Manager of the Basin and the European Standard. During the past 15 editions of the first competition, we granted awards to more than 80 managers working in and for the Dąbrowa Basin. The European

Standard statuettes were handed in to 5 individuals and 2 institutions. Another important initiative is the Casimir the Great International Prize, which was established on the occasion of the 650th anniversary of Będzin. It has had four editions so far, and one of the winners is Prof. Jerzy Buzek. The conclusions of our conferences are presented in publications including “Sosnowiec – a place of historic meeting between two cultures” or “Adolescence: opportunities and threats.” We have awarded several environmental certificates “Grunt to zdrowie.” Our members and representatives have been for many years elected to governing bodies of municipalities and counties in the Dąbrowa Basin region.

Innovation

2003 Plus. Innovation and Development Initiative,” based on the creation of science and technology parks spread across the region, was filed with the “Partner” database at the Marshal’s Office in Katowice. In April 2003, during the Entrepreneurship Forum in Będzin, we initiated the clustering of innovative enterprises in the framework of the Conference of Economic Self-Government. Currently, we are building, with the help of our experts, an independent think-tank.

The name of the PCIE Cluster is the result of our experience, and at the same time, reflects the aspirations of members and partners of KRZ. I am convinced the 1st Cluster World Congress will dynamically influence the development of clustering and innovation, not only in our region.

•

In March 2002, through the municipality of Dąbrowa Górnicza, our project “Dąbrowa Basin

The University of Dąbrowa Górnicza

(Wyższa Szkoła Biznesu w Dąbrowie Górniczej)

C

ompetitiveness, innovation, knowledge transfer - these are the issues that have been drawing special attention not only of economists, doing research into the world economy and increasing globalisation. The essence of cooperation - continuous implementation of research results - is also appreciated by entrepreneurs. The University of Dąbrowa Górnicza can boast a significant contribution to the popularisation of multi-level cooperation of business practitioners and academics.

In the face of the dynamically changing market situation and legislative conditions, it has repeatedly initiated a debate on the cooperation potential between science and business in order to foster synergies of the two communities. The university is the organiser of the Economic Forum “Poland - East,” a yearly congress attended by the international audience:

entrepreneurs, diplomats, representatives of public institutions. It offers an opportunity not only to exchange experiences and network, but also to present the economic potential of the participating countries.

Members of the academic and business communities regularly meet at the university to take part in expert debates “Science-Business” and scientific conferences devoted to issues such as innovation and entrepreneurship. Business people have been involved in efforts aimed at making education offered by the University in Dąbrowa Górnicza practical dimensions, namely through participation in the process of creating and issuing opinions curricula, organisation of internship programmes, study visits and expert meetings with students.

“The University in Dąbrowa Górnicza is considered to be the initiator and organiser of activities aimed at the development of the economy

based on knowledge and innovative solutions.

One of such activities is popularisation of clustering. In my opinion, it is now one of the most effective forms of collaboration between academia, business and public institutions committed to improving quality and building competitive advantage,” says Prof. Zdzisława Dacko-Pikiewicz, Rector of the University of Dąbrowa Górnicza.

In the framework of the European Academy of Clustering, the university educates the future cluster professionals, offering, among others, a unique postgraduate programme Executive MBA Cluster Manager. It is a member of, i.a.: the Silesian Public Transport Cluster, the Silesian Cluster of Revitalisation and Environmental Technologies, the Business Process Outsourcing Cluster, the MediVite Cluster, the Silesia Smart City Cluster, and the Cluster of National Innovative • Enterprises.

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Cluster World Congress

Clusters

can guarantee Polish companies a strong position in Europe and in the world Bogdan Węgrzynek, President of the Polish National Cluster of Innovative Enterprises, President of the Polish Clusters Association, Vice-President of the Association of Employers “Polish Clusters,” President of the Agency for Enterprise Development.

Why is clustering so important? What makes clusters so attractive from the economic point of view?

The interest in clusters has been growing steadily in Poland. Businesses have come to notice significant benefits resulting from the participation in these structures. Clusters are becoming an increasingly appreciated factor in the development of innovation and competitiveness. Due to their nature, I mean close cooperation of business and science, clusters have an important role to play in the economy. They have all it takes to become the catalysts for a lasting change that will allow to make a more efficient use of available resources and improve productivity and competitiveness of enterprises. They are the engines of economic development. pm

Will clusters be the beneficiary of the EU funds under the new financial framework?

Yes, absolutely. In the new financial period, the European Union strongly supports the development of clusters. In the EU budget for 2014-2020, a total of EUR 82.5 billion has been allocated to Poland, and the European Union’s priorities are innovation and smart specialisation. The largest resources for clusters will be distributed under the Smart Growth Programme. EUR 8.6 billion are to be spent on research and innovation. We will be able to acquire funding through cooperation between the scientific units and businesses within clusters.

Clusters can also count on financial support under many other programmes targeted at investment funding, like for example thedevelopment of infrastructure, equipment and modern technologies. Horizon 2020 and COSME are two instruments set up to encourage enterprises and research to participate in international, and as such they will be an important source of funding for innovative projects. pm

pm

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What do you think will be the development direction and dynamics of clusters to the horizon of 2020, which marks the end of the financial period?

Cluster World Congress Poland’s economy is facing a huge challenge, which is adapting to a dynamic, ever-changing global economic environment. That is why we must not squander what we will have achieved thanks to EU funds by 2020. Clusters can guarantee Polish companies a strong position in Europe and in the world.

The question is what will happen when the EU support comes to an end? In Poland, unfortunately, there are many clusters that have been created solely for the purpose of raising funds.

Genuine clusters, groupings of companies working in related industries and cooperating with science, with cope after 2020.

Clusters should become independent and continue to grow in a direction set out in the previous years. Clusters must use EU funding to build the necessary infrastructure, which will enable them to undertake a number of joint projects in the future.

What is your target and the area of ​​activity of the Polish National Cluster of Innovative Enterprises (OKIP) that you created?

I have been working on clustering in Poland since 2007. The cluster called the Polish National Cluster of Innovative Enterprises transformed into a cluster umbrella organisation, bringing together innovative clusters from across Poland. I was able to develop OKIP thanks to the hard work of many competent people, including: Anna Skarżyńska, Anna Figiel, Małgorzata Ligas, Tomasz Leśniak, Katarzyna Ujć, Izabela Okarmus. We associate a number of innovative businesses, and we are ready to represent Polish clusters in Europe and in the world. Constantly developed, its structure is increasingly creating a national cluster potential. Our network of clusters allows Polish entities to carry out a number of important international projects. This facilitates the transfer of Polish technologies to EU countries and, reversely, the implementation of European technologies in Poland that will serve the development of Polish companies. We have created within our structure a venture capital fund, owing to which members of our clusters can easily obtain external financing. The fund allows the commercialisation of innovations created as a result of cooperation between science and business and will attract investors interested in locating funds in Polish projects. I am very keen on work on the development, promotion and internationalisation of our clusters. Only recently, we were invited to major congresses and conferences in Mexico, China, Japan, US, and India, organised by bodies such as TCI Network, the European Parliament and the European Commission. I would like Polish clusters to reach the world’s highest level of clustering.

This time, we will focus not only on the development of clusters in Poland, but on the possibilities of their internationalisation.

pm

Exactly. You are bringing to Poland the idea of ​​clustering straight from the most renowned specialists in the field...

Yes, it is true. The business environment in our country should learn to work together in clusters, effectively manage these structures and use them for the development of entrepreneurship and economic development. Together with Jakub Karp, Tomasz Bober, Tomasz Leśniak and Marcin Lis, we decided to create the Polish Academy of Clustering and the European Academy of Clustering that draw upon the expertise of the European Foundation for Cluster of Excellence and the European Secretariat for Cluster Analysis. We teach there how to efficiently manage clusters. We also support the European cluster benchmarking. In OKIP we have experts dealing with benchmarking. Here, our goal is to provide clusters with the pm

best solutions, best practices and identify recommendations for the development of cooperation.

An important step was also my introducing of the Agency for Enterprise Development to the TCI Network, a leading global network bringing together the world’s most important organisations working for the cluster-based economic development and practitioners with utmost knowledge of clusters and competitiveness. In addition, the Ministry of Economy has launched the Clusters Club, an initiative which aims to allow information exchange between the affiliated businesses and public administration. During the meetings, members of the club discuss EU innovation policy, the European Commission’s projects involving Polish clusters and international cooperation modalities. In 2013 and 2014, two editions of the Congress of Polish Clusters were held in the Sejm – the first and so far the biggest event of its kind in our country. We enabled Polish clusters to engage in dialogue with state authorities about their problems and needs. But another event is forthcoming. This time, we will focus not only on the development of clusters in Poland, but on the possibilities of their internationalisation. This is the underlying aim of the intended Cluster World Congress, which will take place on 24-26 March 2015 in Dąbrowa Górnicza.

What is the idea behind the Cluster World Congress? Why is it a landmark event?

The Cluster World Congress is a world-class event for clusters from around the world. It aims to create a communication platform for Polish and foreign clusters. Arguably, it is a landmark event for Polish clusters and the country’s economy. Experts and practitioners of clustering, representing the world’s most important clusters and cluster organisations will meet in one place. They will show solutions used in the best performing clusters in the world. Issues related to the development, management, benchmarking and financing clusters will be discussed. The Cluster World Congress is a great, high-profile event. It will be attended by clusters from all continents, representatives of 83 embassies, the European Commission, state authorities, heads of development agencies, researchers and entrepreneurs. Our aim is internationalisation of Polish clusters, seeking opportunities to combine the potential of our clusters with that of the clusters from around the world. And the superior aim is to benefit Poland’s economy.

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Cluster World Congress

B ir ds o f a fe at her flo ck to g e t her . and t hen what ?

Clus t er in g mus t le ad to r ein v en t i o n o f busine ss m o d el s

Michał Jasieński

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A

business model (BM)- or, in other words, a description of how an organization functions, integrating knowledge about its external and internal processes and resources-, is essential for modern organizations. The challenge is to keep their BMs fresh and dynamically adjust them to the fluctuating business environment. However, the reinvention of BMs of individual members of a cluster, even though it looks progressive, is not sufficient. The cluster itself, as a separate and real business entity, should possess and work on reinventing its own modus operandi.

How can a business enterprise, of any size and of any level of complexity, from a simple startup to a technological park and a cluster, rethink its BM? There are no universal recipes, but there are universal tools, i.e. broadly applicable informal tricks or quite formal procedures. Informal tricks begin with such semi-serious ideas like “casual Fridays” which intuitively sounds like a great way to introduce some creative “fizz” into organizational culture. Formal procedures are based on actual research, not only intuition, and more explicitly modify one or many aspects of a business model.

One rich source of ideas on how to reinvent a BM is the methodology of TRIZ by G. Altshuller, derived from engineering. Its author proposed 40 unique inventive principles, i.e. specific actions that may increase the chance of eliminating a particular technical problem, such as when reducing a construction element’s weight lowers its mechanical rigidity. One may use one’s imagination and translate them into situations relevant for managers. For example, the principle “Counterweight” (when an object can be made lighter by combining it with another) could stimulate us to suggest that one may improve the reputation of the firm by associating its brand name with a „lofty“ cause.

Larry Keeley and other authors of the book “Ten Types of Innovation. The Discipline of Building Breakthroughs” (2013), developed over 100 tactics that are meant to be used as tools of reinvention. For example, rethink your organization’s customer value proposition and decide which basic services could be offered for free… How can it possibly be a viable business strategy? It cannot be, unless the profit model (called freemium) includes charging money for advanced or special features (like with Dropbox or Skype). The cluster may help its firms by

facilitating their access to crowdsourcing options, by sharing costs of protecting their intellectual property or by introducing the practice of standardizing the resources or processes used by the member firms to reduce their costs by benefiting from economy of scale.

The cluster could stimulate coopetition among its member firms, a somewhat counterintuitive interaction in which competitors cooperate. Can it make business sense? It turns out that mutual benefits from joining forces and resources by competing firms may more than compensate the losses from limiting competition between them. Also, the marketing idea of co-branding, when firms combine their brands to improve each brand’s credibility, may be more easily realized in the context of a cluster. Further, the cluster could also help its members build shared competency centers and shared outsourcing options, or create shared centers to implement BigData-based predictive analytics to detect or model market trends (benefiting each firm separately, but using shared software, hardware and specialists).

This all does not mean that I call for encircling cluster members with a rigid corset of cluster-imposed rules, procedures and regulations. That would be a disaster. The cluster’s form of functioning should be protective and nourishing, not restrictive and stressful for the constituents. An optimal business model of a cluster must, therefore, as a fundamental value offered to its own firms, emphasize those activities that foster and cultivate social capital among them. The one word which captures the essence of social capital is “trust”. Once the cluster managers succeed in building such social connectedness, the magic of • cluster synergy begins.

Michał Jasieński (PhD from Harvard Univ.), leads the Center for Innovatics at the Nowy Sacz Business School – National-Louis University. The Center is currently a member of a European research consortium under the Marie Curie Industry-Academia Partnerships and Pathways program. You may contact him at jasienski@post.harvard.edu.

Center for Innovatics Nowy Sącz Business School - National-Louis University Zielona 27, 33-300 Nowy Sącz www.inko.wsb-nlu.edu.pl

Cluster World Congress

FLARIS LAR 1

a small plane, a great achievement

T

he time is now extremely valuable. Especially in business. A remedy to the haste the 21st century and an alternative to congested roads and long hours in travel can be Flaris LAR 1, a plane designed by a Polish company Metal-Master.

A small and lightweight, the jet develops a speed of 700 km/h. Its range is 2,500 km. The wings are easily and quickly removable, so it can be stored in a garage and carried on a trailer. 200 metres of grassy lane is enough for this 5-person jet to take off, so you can reach your destination almost directly from your house, bypassing large airports. Additionally, Flaris is very easy to fly, because it was designed for amateur pilots.

“The plane is equipped for single-pilot operations. With the use of advanced radio navigation devices, the function of the copilot can be performed by the system. The goal that guided us since the very start was building the optimal means of transport for everyone. We propose a new quality of private transport,” claims Rafał Ładziński, project director, head of R&D Team and co-owner of Metal-Master.

FLARIS LAR 1 is a composite structure. The maximum performance and economics of the plane is the result of an extremely low take-off weight, advanced propulsion and exceptional aerodynamics. FLARIS LAR 1 is a new type of aircraft that combines contradictory features:

ease of flying typical of ultralight aircraft and jet-like performance: speed and range.

The plane is currently in at the final stage of ground testing, which is the last step before the first flight. Preparations are underway for launching series production.

The company has been sent more than 500 inquiries from all over the world and has already accepted several orders. In the coming months, order will be taken from individuals.

The price of Flaris is around EUR 1.5 million, and the fuel cost is less than PLN 1.00 per pas• senger-km.

Syrion

W

ith the right management strategy and support from the Master Development Group and the Agency for Enterprise Development, Syrion has become one of the most dynamically developing telecom companies, providing multimedia services in Silesia and Opolskie Region.

Syrion has its own fiber-optic infrastructure, which in 2014 exceeded 800 km in length.

The transmission network based on it, with a capacity of 10 gigabits per second, has independent connections with the major TIER1 hubs in Poland and abroad.

Efforts of the company’s management and qualified staff make it enjoy the reputation of one of the most specialised providers of dispersed telecom services in urban, suburban and rural areas.

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Thanks to the synergy effect and an appropriately competitive policy, Syrion has become a partner of many business customers and national operators in providing last-mile telecom services.

Its customers are offered a choice of solutions, not only in terms of access to the Internet, but also a possibility to use a smart business telephony, to enjoy high-speed data transmission between their own offices or partner branches, IPTV digital television, virtual data hosting, or to lease dark and gray fibers in the case of operator connections.

Thanks to an independent fiber network, based on the latest passive and active solutions, Syrion’s B2B services represent the highest quality and guarantee specific parameters.

As a result of large investments and support in the form of European funds, Syrion has completed in recent years a number of projects,

allowing to constantly increase the range and complexity of services provided.

Syrion Sp. z o.o. is a member of the Polish Wood Cluster, and E-Południe, a cluster supporting the development of telecommunica• tions in Silesia and across the country.

Web: www.syrion.pl, phone: 32 723-15-00 Address: ul. Boczna 10, 44-230 Żory

Innovation

Time to develop Polish

technologies Andrzej Siemaszko, PhD, secretary general of the Polish Technology Institute

T

he European Union sees research and the development of technology and innovation as a way out of the crisis. The Europe 2020 strategy contains a number of specific measures and flagship initiatives, like for example Innovation Union, coupled with a catalogue of activities needed for accelerated growth. The Innovation Union Scoreboard has been developed to measure the innovation performance of individual member states.

Poland comes out quite poorly. It is ranked in places at the bottom of the EU-28 league tables in terms of most parameters defining a country’s innovation performance: business expenditure on research and development (BERD), percentage of most cited publications, public-private co-publications, non-EU doctorate holders, innovating SMEs (small and medium enterprises) and patents.

Poland’s innovation performance has been subject to many analyses recently.

The findings are explicit. Poland should not base its further growth on extensive factors, such as cheap labour. Economists warn that Poland risks going adrift. The country should switch into a mode of accelerated growth based on developing its own technologies and enhancing innovation. What are the chances that this strategic change will be made?

Poland has received enormous support in the form of EU structural funding, of which around EUR20 billion should be spent in coming years on the development of technology, innovation, improving energy efficiency and stimulating the SME sector. The National Centre for Research and Development (NCBiR) has been provided with financial instruments which enable it to support strategic technology development and demonstration programmes and sectoral programmes, and to develop public-private

20 polish market

partnership. The money is to be concentrated on supporting national smart specialization.

It should be stressed that we are no longer at the start of the road in reforming our R&D sector. In the previous structural funding period, the research infrastructure was greatly modernized, and many modern research centres and laboratories equipped with world-class apparatus were built. We have an enormous human potential. We have excellent young scientists. Unfortunately, there are still many barriers. Polish firms have largely given up developing their own technologies, which is reflected in our very low BERD index – less than 0.3% of GDP. The fragmentation of the R&D sector is a huge problem as is the low level of collaboration between science and industry.

These problems have prompted the establishment of the Polish Technology Institute, a virtual institute which brings together more than 20 scientific units. The mission of the Institute is to: • carry out the plans to achieve the target ratio of gross expenditure on research and development (GERD) to GDP at 1.7%, with BERD at 0.9% of GDP, by launching a stream of private money; • integrate the scientific community and undertake direct collaboration with business to develop Polish technologies and bring them to the marketplace; • support the construction of a complete and integrated ecosystem of innovation stimulating the development of Polish technologies and boosting Polish innovation performance; • create conditions for the optimal use of EU funding.

Two instruments will be used by the Polish Technology Institute in its cooperation with business: Polish technology platforms and

innovation clusters. These organizations bring together firms and scientific research units operating in the same sector or in the same region. They are necessary in integrating scientific and industrial communities around joint projects and technology development programmes. They contribute to building a culture of innovation in Poland, create Polish technology specialties, raise the ability of Polish businesses to develop their own technologies and promote Polish technologies and products on the global market.

The platforms and clusters are preparing a number of sectoral programmes in areas seen as crucial for our security and social and economic development. By developing our own technologies we will be able to occupy even higher competitive positions. We may become a leader in the production of trains, buses, helicopters and machines. Polish ICT companies have a strong position. We may produce advanced materials using our natural resources. We may become a pillar of the EU’s bioeconomy by developing the functional and health-promoting food sector, biopharmacy and industrial biotechnology.

As a result of the EU’s climate and energy policy, Poland will incur huge costs of switching to a low-emissions economy. In this situation, developing and applying clean-coal technologies, which would enable optimizing this process and minimizing the costs, is our reason of state.

The joint activity of the Polish Technology Institute, Polish technology platforms and innovation clusters should definitely contribute to enhancing the competitiveness of Polish businesses based on new technologies and innovation and to building a new image of an innovative Poland. I am convinced that good times for the development of Polish technologies are • coming.

PROJECT MANUFACTURE

“ MAKE THE

NOW THE PRIMARY

FOCUS OF YOUR LIFE.” GODAI.PL

Infrastructure

We open the door to

Europe

Assoc. Prof. Andrzej Minasowicz, DSc. Eng., president of the Polish Association of Building Managers (PSMB), Paweł Nowak, DSc. Eng., vice-dean for development at the Faculty of Civil Engineering Warsaw University of Technology, and Janusz Zaleski, MSc, PSMB vice-president for management, talk to “Polish Market.”

In what way does the Association of Building Managers stand out from many other organizations in the construction sector? What does the Association deal with?

Janusz Zaleski: The establishment of our Association was prompted by European Union directives on the recognition of certifications and professional qualifications in construction. We decided to focus on improving managerial qualifications. Before starting our activity we conducted relevant research at the Warsaw University of Technology. When 10 years ago, on March 8, 2005, we set up the PSMB, Poland’s market economy was not yet fully mature. We pm

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came to the conclusion that Polish managers were not prepared to meet the challenges of such an economy, especially in competition with the Western European market, in a situation when many businesses from that part of Europe appeared in our country eager to operate in our construction sector. Consequently, we decided to create an appropriate knowledge base for building managers, and not only civil engineers.

them to compete with foreign engineers and managers. There is a fundamental difference between the PSMB and other associations. We are an association of individuals rather than businesses. To become a member of the PSMB you need to have your qualifications verified. This is why it is not so easy to become a member – you have to prove that you have appropriate qualifications, knowledge and experience.

How to become a member of the Association?

Janusz Zaleski: There are successive membership levels. In order to reach a higher level, you have to meet quite strict requirements. We pm

What was the purpose?

Janusz Zaleski: The purpose was to make their qualifications comparable and to enable pm

Infrastructure

begin with university students who want to be PSMB members in the category “member – student.” After completing their studies, they become full members. Other persons have to pass through the qualifying round. First, they have to acquire the candidate member’s rights, then the extraordinary member’s rights and finally the full member’s rights. Everything depends on seniority and work experience. Among our members are also persons who have received full membership status immediately because they have the highest possible qualifications.

Why seek PSMB membership if it is enough to have managerial qualifications and the ability to manage a business to be a good building manager? It would simply be good for those who manage businesses operating in individual industries to have knowledge about their industry. I think that the director of a hospital does not perhaps have to know how to perform an open-heart surgery, but he or she should at least be familiar with a catalogue of diseases and know what the individual pieces of equipment in the hospital are used for. Therefore, the director does not have to be a physician, but needs to have some knowledge about medicine. To acquire this knowledge they do not need to study medicine. The Warsaw University of Technology, in conjunction with the PSMB, conducts such educational activity, offering, for example, a postgraduate course in construction management. The programme of study is accredited by our Association. We have the right to enrol people who do not have any education associated with construction. Last year, an anthropologist who had managed the project to build the Polish History Museum, was enrolled in our course. This reflects very well on the Faculty of Civil Engineering at the Warsaw University of Technology because it is moving with the times.

Now, returning to the first question about what makes the Association different from other organizations in the construction sector, I would say it is collaboration between higher educational institutions and industry.

There are not only civil engineers among the members of our Association. Consequently, we have broken a taboo, proving that to be a construction manager you do not need to have completed a civil engineering course because activity in this sector is multifaceted. It is useful to have a degree, but the experience that a civil engineer acquires over 10 or more years gives them additional qualifications.

Two weeks ago, a person with very high qualifications – the chief engineer at Warsaw’s railways and an electrical engineer associated with construction infrastructure – became a member of the Association. This shows what kind of people now work in the construction

sector. It should not be associated exclusively with residential building. We see it from a much broader perspective.

But the PSMB helps to educate high-class specialists who go abroad after acquiring their qualifications and stay there, doesn’t it? Can we afford that?

Andrzej Minasowicz: Every day we are in contact with young people who look at foreign contracts quite differently than we think. We are talking about the people who, in search of a job, go abroad. But what does “abroad” mean?

Outside our country? But we are in the European Union now. Mobility in the construction sector has always been, is and will be very high because we never build within a radius of 100 metres from our homes. The distance is 100, 200, 500, or as many as 1,500 kilometres. Many Britons work in China, India, or the Middle East. In the United States, people move home eight times on average in their life. In Poland, we still tend to have homes built for generations. Our students are sometimes surprised that there is construction activity going on outside Warsaw, where they live. But after their first or second year of study, they become convinced that if they do not work for a design office they will probably be working throughout Poland, Europe or even the world. The mobility of people employed in the building industry is high. In fact, civil engineers generally do not plan to leave Poland for another country. If they go abroad it is because there are projects to be carried out there. pm

What else does the PSMB deal with?

Paweł Nowak: Since the Association is a member of international organizations - the Association of European Building Surveyors and Construction Experts (AEEBC) and the Chartered Institute of Building (CIOB) – we make it possible for our members to join these organizations and receive a European Building Expert (EurBE) certificate. The three PSMB members who are granting this interview sit on the national committee monitoring the process of qualifying for EurBE. So far six members of our Association have received this certificate. This title opens the door to Europe for its holders. At present, the Polish Chamber of Construction Engineers does not include construction experts. The regulations have changed. Our Association can qualify people for the EurBE certificate. On the other hand, if a specialist from, say, Germany or Britain, who works in Poland has this title we are able to recognize their qualifications. It is also possible in Poland to apply for membership of the Chartered Institute of Building. To do so, you need recommendation from our Association. pm

What projects will the PSMB be involved in in the near future?

Andrzej Minasowicz: We are working with the Warsaw University of Technology on a project connected with health and safety during the construction of curtain walls at construction sites. It uses augmented reality technology. The project is part of the European Union’s Leonardo da Vinci programme. Thanks to the use of computers, it is possible to train such construction procedures in virtual conditions, something which may be compared with flight training with the use of flight simulators. This is something new in Poland, especially in the Polish construction sector, although there are companies with experience in augmented reality in our country. At the same time, we have been contacted by many firms interested in such training. They would like to train in this way stone cladding installation, for instance. This shows there is a response from the building community and that such projects are needed.

The 10th Master of Building Administration postgraduate course begins at the Warsaw University of Technology in April. The university has offered it since 2006. In all, more than 300 persons have completed the course over the nine years. Almost all of the places available this year have already been taken up. After completing the course, the students receive a certificate from the Warsaw University of Technology and a certificate from the PSMB, enabling them to apply for the membership of the Association.

We are also preparing curricula and teaching materials for Master of Building Administration courses available in a distance-learning format. This is another project we work on as part of the Leonardo da Vinci programme. We plan that these courses will run simultaneously at the universities which are our partners - in Vilnius, Porto, Valencia and at the Poznań University of Technology, with 75% of the costs financed from EU sources. We are developing a course, perhaps even with a single certificate, where students in any place in Europe will have an opportunity to get prepared for managerial work in construction. The course is divided into two segments: technical management, which involves calculating time and money, quality and safety, and soft management, or rules of handling employees in an organization.

We have started collaboration with the Cluster of the Central Industrial District (COP Cluster). A congress of the cluster in now in preparation. It will be held on April 19. Polish President Bronisław Komorowski may be among its par• ticipants. pm

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Infrastructure

Healthier situation in infrastructure building Marek Michałowski, an expert of the Polish Association of Construction Industry Employers (PZPB), talks to Marcin Haber about the situation in the infrastructure sector, the European Union’s new financial framework and new priorities in spending EU money.

How would you sum up the year 2014 in the infrastructure sector?

When it comes to construction and assembly output, we recorded a slight increase of around 3.6%. This means that after the period 20122013, which had seen drops in output, 2014 was again a year of growth. One can say that the decline stopped in 2014 and that construction is now getting ready to bounce back and, hopefully, skyrocket in a few years’ time – again on the basis of EU money. The great difference between the present and previous EU financial period is that for various reasons we slept through the first two years of the previous one. Invitations to tender started with great delays, meaning that most of the projects were then carried out simultaneously within two years. As a result, prices soared and a huge number of businesses got into trouble. At that time, the lowest price was the only criterion taken into account in tenders. To win the contracts, builders offered very low prices. And when the costs of materials, services and wages increased there was only one outcome possible – growing losses and the bankruptcy of many firms.

Now, the situation is slowly changing, especially when you look at the General Directorate for National Roads and Motorways (GDDKiA).

It is already awarding contracts which will be financed under the EU’s new financial framework. Both sides are trying to draw conclusions from the past. And although there are some delays with invitations to tender compared to initial plans, many of the contracts have already been signed, a large part of the tender processes is in final stages while further contracts are being prepared. It seems that this time we will not have the situation where a large number of projects is carried out simultaneously within pm

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such a short time span as before. The attitude of businesses is also changing. They do not compete as fiercely with each other as in the past.

Many firms have decided that activity in the infrastructure sector is not for them – that they have specialized in a different kind of activity and it is better for them to stick to it so as to continue to grow, even if at a slow pace. One can also see that the prices that construction companies offer in tenders are now slightly higher.

The prices still rarely match the investor’s estimates, but in 2009-2011 many contracts were awarded to contractors which offered to do a job at a price accounting for only 40% or 50% of the cost estimated by the investor. Today, it is usually 70% or 80% of the investor’s estimate, which means that the prices are higher by 2030% on average. This shows that the situation has improved and if the investment projects are spread evenly over the whole EU financial period we should not see such drastic price hikes as before. One can also say that the builders’ requests have been taken into account. Maybe not all of them, but contracts have started to contain provisions which were once unacceptable because only the price mattered.

Which segments of the infrastructure sector fared the best in 2014? What are the prospects for this year?

The railways are absorbing more and more of the EU money. The European Union puts great pressure on us to spend most of the money on the construction and modernization of tracks, which is not possible in my view, at least for the time being. The GDDKiA is much better prepared for conducting tender processes than the PLK company, which operates railway lines in Poland. And although the PLK absorbs more and pm

more of the EU money, we have to say frankly that the GDDKiA is able to turn over as much as PLN20 billion a year, something which the PLK is not yet prepared to do, despite the recently noted acceleration. It is certain then that the roads will still be absorbing more money than the railways, though of course these proportions will be changing to the advantage of the railways, especially if the pressure from the European Union is mounting. The PLK faces huge challenges associated with the need to rapidly increase its capacity to absorb money and award as many contracts as possible. Much will depend on the company’s ability to efficiently absorb EU money.

Do you think that this pressure from the European Union is good for Poland?

We have to remember that by far most of the money has been spent on roads so far. By December 31, 2014, a total of 1,552 kilometres of motorways and 1,605 kilometres of expressways were put into use in Poland while another 1,770 kilometres of motorways and expressways are to be built by 2020. The main emphasis in the present EU financial period will be put on the implementation of the National Roads Programme. This is why I think it is good that we are accelerating the development of the railways. Rail travel is much slower in Poland than in other EU countries because our tracks are old and do not meet contemporary requirements.

But before we build new tracks I would not encourage anyone to travel faster because this may end in a disaster. Several days ago I travelled by a Pendolino train from Warsaw to Kraków. It was a very nice journey – it took only 2 hours and 25 minutes. It is impossible to cover this distance • by car in such a short time. pm

Infrastructure

Diamonds for the first time

The Diamonds of Polish Infrastructure awards ceremony was held in Warsaw’s Sheraton hotel on February 19, 2015.

Maciej Proliński

Top Executive

Financing organization

he Diamonds of Polish Infrastructure competition was held for the first time to accompany a conference entitled “Polish Infrastructure.” The jury, composed of the infrastructure sector’s authorities, granted awards in eight categories: Top Executive – in recognition of the laureate’s expertise in business practices, excellent financial results of the company, outstanding quality in running it and innovation in shaping excellent corporate governance; Innovation Leader of the Year – for offering on the market an innovative product or technological solution as an example of progress in technology, production or operation; Corporate Social Responsibility Leader of the Year – for being guided in one’s operations by responsibility, social interests and environmental protection; Investment Project of the Year – for an investor and contractor who have carried out an investment project of great importance for the development of Polish infrastructure; Project of the Year – for a project of significant importance carried out in the rail or road sector; Management Efficiency, Financing Organization and Adviser of the Year.

•

Winner Dariusz Blocher, Budimex Honourable mention Józef Zubelewicz, Erbud

Winner

Innovation Leader

Adviser of the Year (two prizes)

T

Winner KZN Bieżanów (for an innovative technology for the production and installation of high quality railway switches) Honourable mention Road and Bridge Research Institute Honourable mention Lafarge

CSR Leader

Winner Skanska Honourable mention Budimex

Management efficiency Winner PKP Cargo

PKO BP

Honourable mention BZ WBK

Winner

SKS Legal

Winner

EY

Investment Project of the Year Winners Investor: General Directorate for National

Roads and Motorways Contractor: Strabag Contractor: Budimex

for the Dębica-Tarnów stretch of the A4 motorway

Project of the Year

Winner

Transprojekt Gdański: for a bridge over the Vistula near Kwidzyn and Pomeranian Metropolitan Railways

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Infrastructure

STRABAG reaffirms its market

Wojciech Trojanowski and Alfred Watzl, members of the Board of Strabag

leadership

“2014 was very successful for us, since we completed the two-year long group-wide organizational changes. We merged two previously separate divisions: General Construction and Infrastructure. Since 2013, the Strabag Group in Poland has been led by a two-person Board, and is a homogeneous organization, divided into Directorates: General Construction, Bridge, Railway, Large Infrastructure Contracts and three local Infrastructure Directorates. In a sense, we are a company and organization unlike any others on our market,” say Wojciech Trojanowski and Alfred Watzl, members of the Board of Strabag Sp. z o.o, in an interview with Jerzy Bojanowicz.

I congratulate you on winning the certificate “Construction Company of the Year 2014,” which is awarded by the “Builder” monthly magazine. What can Strabag boast of in terms of last year’s achievements?

Wojciech Trojanowski: Last year was very good for us, much better than 2012 and 2013.

We can feel the effects of the organizational changes, as well as a successful implementation of major infrastructure contracts.

We have completed a number of priority investments. We put into service important sections of motorways and expressways, such as the section of the A4 from Krzyż to Dębica (35 km), which was recognised as the “Polish Infrastructure Diamond” in the 6th edition of the conference “Polish Infrastructure,” pm

26 polish market

organized under the auspices of the Ministry of Infrastructure and Development. It is a tribute to the “contractor and investor, who, thanks to their effective cooperation, carried out an investment project of significant importance for the development of Polish infrastructure.”

We also completed two sections of the S8: from Walichnowy to Złoczew and from Złoczew to Sieradz Południe, with a total length of 38.6 km, which significantly shortened the journey from Łódź to Wrocław.

As a consortium, we are finishing the construction of the first and the third portion of a 40-kilometer section of the A1 from Stryków to Tuszyn, the so-called eastern bypass of Łodź.

The construction is in progress of the section of the A4 from Rzeszów to Jarosław (41 km).

Once finished, the A4 will be the first “complete” motorway in Poland, from the border with Germany to the border with Ukraine.

When it comes to building construction, our pride is the largest shopping mall in the Lubelskie region - Atrium Felicity in Lublin.

We are also working hard on the new Volkswagen plant in Białężyce near Września. During eight months, we will build three concrete and steel structures in a cold shell condition: a car assembly hall with the finishing facility and technological bridges, commercial building and a utility one. We are pleased and proud that Strabag is the largest contractor on this key industrial project in Poland. The contract requires very good logistics and, due to a short deadline, work intensity.

Infrastructure We are in the middle of building the shopping mall Zielone Arkady in Bydgoszcz and expanding Poland’s largest shopping mall in Bielany near Wrocław: 523,000 m3 in volume and 35,000 m2 of retail space (a newly built part).

We look forward to the announcement of new tenders in the railway construction sector.

We are ready to make bids, and it is not only for new rail tracks, but also bridges, overpasses and roads. We have a vast stock of machines, so are largely self-sufficient in performing basic tasks connected with infrastructure construction.

Alfred Watzl: Our latest awards complement the extensive list of our past successes.

Let me remind you that last year, the Jury of the Polish Bridge Engineers named the General Elżbieta Zawacka bridge in Toruń the “Bridge Creation of the Year 2013”. Its general contractor was the Strabag consortium. The project also won in the category of structures “with innovative design and technological solutions, fitting in with the landscape”.

The title of “Bridge Construction of the Year” went to the largest arch bridge in Poland, with record-beating two arch spans, 270 metres long each. The installation of the spans was a key step, which was carried out using a technology developed by engineers from Strabag.

Innovative mastic asphalt was used in all the engineering structures making part of the project. Components used for the production of asphalt and seamless blend will improve the safety and comfort on the road and extend the life of the surface up to 20 years.

What do you need to do to deserve the title of “Personality of the Construction Industry” granted by the “Builder” magazine?

Alfred Watzl: We received two awards that attest to the effective management and exceptional achievements of the company in a difficult market environment - the title of “Personality of the Construction Industry 2014” and the certificate “Construction Company of the Year 2014”. It is people who make up the company, which is why the title was awarded to people who can bear the weight of responsibility, impressive determination, and above all, business intuition. I am all the more excited that our commitment to engage in and build a dialogue between the construction industry and public investors was recognized and honoured. It is worth noting that even the Polish Association of Construction Industry Employers appreciated our efforts in implementating new technologies, our innovation, unique organizational culture and attention to continuous professional development, granting pm

Strabag the title of “Construction Industry Employer of the Year 2013”.

The main areas of Strabag’s activity are general construction and infrastructure. There is fierce competition in each of these segments. How do you defeat your competitors in tenders?

Wojciech Trojanowski: By our professionally prepared offers, which is the result of 30 years of experience on the Polish market and very good staff. The price is still a factor of utmost importance in infrastructure tenders.

Therefore, for each contract, we try to offer the best and most suitable optimising and logistic solutions. pm

How far do you take into account the new EU financial framework, namely the “Infrastructure and Environment” Programme 2014-2020?

Wojciech Trojanowski: All contracts we enter into with the General Directorate for National Roads and Motorways are financed from EU funds. Under the new framework, transport infrastructure, which accounts for THREE FOURTHS of our turnover, will be allocated EUR 20 billion. However, we do not focus exclusively on large contracts. Local orders are equally important. In virtually every region we have our branch and label of bitumen mixing plants. “Small” road contracts, which are also supported by the EU, generate a significant portion of our revenues. pm

How is the project “Development and implementation of an innovative, environmentally friendly technology for rubberizing asphalt,” co-financed by the European Union under the Operational Programme “Innovative Economy,” coming along ?

Alfred Watzl: On your way to our premises, you were driving on rubberized asphalt; the surface of the street where our head office in Pruszków is located was made in this technology. This is an experimental section made as part of this project implemented jointly by the TPA testing laboratory and Warsaw University of Technology.

The proposed modification demonstrates our commitment to the environment, as this surfacing, which has successfully passed all the strength tests, is produced from shredded used tyres and much less asphalt bitumen. The surface is more flexible, so less prone to cracking and more “quiet”.

Such surfacing with a thickness of 5 cm, made from a mixture developed by the TPA laboratory, was also laid between Kamień and Byków in the district of Wrocław, at a stretch of about 2.5 km. Another project with the use pm

of rubber is the construction of more than 16 km of a road between Jarosław and Pruchnik, of which almost 11 km will be built using the so-called quiet surfacing.

A section of the S8 near Warsaw is being built for the General Directorate for National Roads and Motorways in the “design and build” system, which allowed us to offer solutions not used yet on any of the Polish and even European roads. TPA has developed a more flexible asphalt pavement, resistant to fatigue and aging. Such surfacing can be made all over the country, in any of our asphalt mixing plants.

We hope that the solutions proposed will be applied for the construction of the road network in Poland. This would make for significant savings, reducing expenses related to the maintenance and repair of roads in the future.

Investing in new technologies and implementing them in Poland is the most important development guideline of the entire Strabag Group.

The Strabag Group in Poland covers several brands. Can they run operations on their own or only with the mother company?

What is their share in the Group’s revenues?

Alfred Watzl: We have two main operating companies: Strabag Sp. z o.o. and Strabag Infrastruktura Południe based in Wrocław. The latter operates in the west and south of the country and specialises in concrete pavements for highways and airports.

The Group comprises also service companies that conduct independent operations, but given their nature, do not contribute significantly to our gains. pm

Plans?

Wojciech Trojanowski: We already have approx. PLN 4 billion net worth of orders, which allows us to forecast a slight increase in sales and a further improvement in margins. We are also satisfied with our prospecting activity, having signed several large infrastructure contracts.

Of course, we will keep track of the new tenders. On the local markets, however, contracts tend to be annual, so all the time trying to get new orders.

Alfred Watzl: In our business, the most valuable asset are people, to whom we offer longterm employment and training opportunities.

Strabag’s motto is TEAMS WORK. We want to boost team spirit: give our customers a comprehensive range of services covering modern technologies and cooperation with our service companies. We expect that the new EU financial period will lead to a further in• crease in employment. pm

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Infrastructure

Modernisation is about introducing new solutions to infrastructure “A sparrow in the hand is better than a pigeon on the roof,” says Andrzej Massel, DSc, Eng., the man who “got things moving” in railways. Formerly (2010-2013), Undersecretary of State in the Ministry of Infrastructure, he has been Deputy Director of the Railway Institute in charge of Studies and Research Projects since 2014.

After 2010, the modernisation-to-revitalisation proportion has changed in rail investment. There has been a revolution in performance, but doubts lingered: what will be the condition of the Polish railways after 2013 with lines being revitalised to the parameters of the 20th century? Will they withstand competition with motorways and expressways?

We have several years of experience, so we are able to compare progress in the modernisation and revitalisation projects in terms of work progress and outcomes. Polish railway infrastructure has been constantly and systematically degrading for the past 20 years.

Trains were running slower and slower, there was an increasing number of very-low-speed sections, and scarce investments were not able to compensate for the degradation. We hit the bottom in 2000 with a mere 132 km of track being replaced. Only four years ago did we start catching up. In 2011 and 2012, 1,060 km of tracks were replaced, in 2013 – approx.

1,300 km and in 2014 even more.

However, catching-up by large comprehensive modernisation project is not an option. For a simple reason: we would still have to focus on a very small part of the railway network, allowing the rest of it undergo further degradation. That is why I have always advocated projects that are perhaps “less ambitious,” but instead, cover the greater part of the network and therefore are more realistic.

That is a very important aspect. Look for example at one of the flagship modernisation projects of the past financial period – the Warsaw-Radom railway line. It is in stagnation, while most of the revitalisation projects initiated in 2011 are either already completed or scheduled to finish this year. And that is precisely what makes a difference: it is better pm

28 polish market

to have a sparrow in the hand than a pigeon on the roof, meaning that it is not worth waiting for some fantastic parametres we might once have, because meanwhile railways will simply cease to count as a means of transport. Revitalisation projects are fully justified because they carry less risk and are less complicated as far as they allow to avoid cumbersome and lengthy administrative procedures, often requiring simply notification or extending environmental permits. Everything is done, of course, in compliance with relevant administrative decisions of the competent authorities.

But with the use of a simplified procedure it was possible to restore hundreds of kilometres of tracks to the proper condition. Can we call it “modern”? If the standard sought as a result of revitalisation is 120 km/h, then it is sufficient for freight traffic. After all, none of the freight trains develops such a speed yet.

Does it mean that the overall modernisation of railway lines in Poland is not necessary?

There are a number of corridors, especially those for which we apply for funding from the CEF – Connecting Europe Facility, an EU financial instrument, and which really need modernisation investments. It is important, however, to draw conclusions from the past financial period. And these are that every such investment requires some preparatory work, including especially the identification of bypass routes. A typical mistake was starting the modernisation of the WarsawGdańsk railway line without planning a bypass. The modernisation began eight years ago and until 2011 rail traffic on this section was like travelling through the construction site.

Another conclusion is about the need to align an investment project with the pm

timetable, which means that work stages must be adjusted to the timetable and the other way round. The railways are serious commitments towards passengers and numerous transporters, with an increasingly wide commercial offer for the main transportation corridors. Starting works on a line used by the Pendolino train would sabotage the whole project whose very premise is about timely and fast travelling. It is inconceivable for any route to be under modernisation for as long as five years – it is necessary to concentrate works, to keep them shorter time and fit them with the timetables.

But modernisation is also about introducing new solutions to infrastructure, which is supposed to ensure safety of railway traffic. Funding from the National Centre for Research and Development (NCBiR) has been extremely helpful recently. Thanks to it, the Railway Institute and one of our industrial partners are running a joint project aimed at the construction of crossovers. The NCBiR funds allow to reduce a bit the financial risk on the side of the industrial partner. An agreement between the investor, the producer and the research unit, stipulating how these structures should undergo operational tests and obtain attestations, makes it possible to accelerate the deployment of innovative solutions. Of course, devices can alternatively be checked on a testing track. This is an option we often use, e.g. when testing a new design of the overhead line recently. These are just examples showing that the modernisation of railways has different dimensions and we try not to neglect any of them and draw conclusions from subsequent experiences.

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Chemical Industry

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Infrastructure

Roundtable: Polish infrastructure in the European FRAMEWORK What do we need to do so that in two, five or 10 years’ time we can say that our transport infrastructure is practically no worse than that in the “old” Europe? Is it possible at all? What is the role of innovation in it? How to make the most of the experience we gained with the programme “Infrastructure and Development” in the previous financial period? And how to prepare to be able to continue investment in infrastructure after substantial EU funding dries up? After all, we cannot possibly accomplish everything by 2020.

“

The last ten years was a very important time for the Polish road network, as 2,200 km out of a total of 3,000 km of motorways and expressways were built,” said Tomasz Rudnicki, Deputy General Director for National Roads and Motorways. “These projects were largely co-financed by the EU - PLN 41 billion, of which 95% has already been reimbursed, so there is nothing to worry about.

Of course, the point is not to spend money just to spend it, but to invest it wisely. Polish roads will be characterised by a low maintenance cost in the future - an estimated PLN 4.5-5 billion per year. Also, benefits are already there of putting into service new roads: car journeys are shorter. For example, driving time from Łódź to Gdańsk decreased from 5.5 to 2.5 hours, and from Łódź to Wrocław - from 5 hours to 2 hours. This is a huge step forward. And travel safety has been improved.

The investor wants the major contractors who did well in the previous financial period to have an opportunity to strengthen their market position in the new period. The General Directiorate for National Roads and Motorways (GDDKiA) suggests companies that have mastered the DBM formula (DesignBuild-Maintain) should switch to DBFM (Design, Build, Finance and Maintain). The idea is to help them survive at a time when funding from the European Union will be significantly reduced; the European market research shows that the state budget share in financing road projects should be approx. 30%.

Success can only be achieved through cooperation “Infrastructure is not only roads and railways, but also airports, power and gas grids.

In all these areas, Poland has made enormous progress in recent years,” says Tomasz Paweł Latawiec, expert and arbitrator of FIDIC - International Federation of Consulting Engineers. But at the same time, he adds that it is not that smooth. “Special attention should be paid to curb conflicts between investors and contractors, especially by using appropriate

30 polish market

contract models. All declare they follow the FIDIC model, but the way these contracts are used, among others, in Poland has led the organization to formulate the so-called gold clauses that cannot be modified if the parties to the contract want to officially rely on FIDIC for legitimacy.

What else can be a “win-win” solution?

Dariusz Tokarczuk, Legal Counsel, Partner at the Warsaw Office of Gide Loyrette Nouel Law Firm, believes a remedy could be a more flexible attitude of the parties to the investment process. Last year’s EU Directive on Public Procurement opens up a room for manoeuvre, namely allowing for contractual adjustments due to changing macroeconomic conditions.

Przemysław Kurczewski, President of EmiTel, suggested that changes to the legal framework governing the cooperation between the infrastructure investor (especially if public) and businesses were aimed firstly to expand the circle of suppliers and operators of additional services and, secondly, to expand the catalogue of opportunities for financial and capital cooperation with private businesses (e.g. so that it includes infrastructure investment funds), and to engage in complex infrastructure projects with a 30-year time horizon, in accordance with the EU Directive.

From the perspective of general contractors...

“It was at the time of the toughest crisis in the construction industry that we built the largest stock market value of the company”, says as if jokingly Dariusz Blocher, President of Budimex SA. “Our strategy was to refrain from fighting against the system of infrastructure investment, but to fully perform binding contracts and only later deal with claims and settle accounts. Over the past ten years, we have built a lot, but at a great cost.

What will happen in the coming years? Nothing special, because cards have already been dealt for the next four years and little can be changed in the system. Even if we want to take a comprehensive look at the Polish infrastructure, it will not work. Will Poland

succeed catching up with the EU leaders? No, if you consider the whole infrastructure, and not indicators, like for example the number of kilometers of motorways in relation to the population. During the next seven years, we should endevour to use EU funds not only to build infrastructure, but also to ensure that companies operating in Poland and willing to reinvest their profits there have a conductive climate to develop. These companies will be able to “return the favour” when EU funds are exhausted, but first they need to build confidence in the sector, generate profits and create real jobs. The key to it is cooperation.

... and state authorities “We underestimate the changes we have made,” summed up the debate Stanisław Żmijan, Chairman of the Parliamentary Committee on Infrastructure. “Who could have imagine, 25 years ago, after 50 years of centralized economy, that roads, railways, airports, the entire public infrastructure, will be managed and financed otherwise than by the state and from the state budget? Do you remember that political transformation started without a project, without a permission to form local governments? As regards infrastructure, did you notice that local roads are finally built as prescribed in manuals: not only surfacing, not only roadside, but slope, counterscarp, safety devices, etc.

There is hope for the future in this recollection. Today, we acknowledge something that was once unthinkable: that there are areas where the state does not have to get involved directly because others will do it better.

Infrastructure is fitted with security systems, intelligent systems, interoperability devices because without them there is no question of functioning on the European single market.

So will it be with the public-private partnership. We just have to rise to the task. Mentally.

Source: “Polish infrastructure from a global and European perspective,” a roundtable as part of the conference

by Executive Club, Warsaw, February 19, 2015.

•

WE SPECIALISE IN: • paving work – pavements of natural stone, graniteand basalt setts, concrete slabs and setts; • traffic engineering – traffic system organisation design, road signs and markings; • green areas development – the development of greenery in parks and lawns; • playground construction – safety surfacing, playground equipment.

ZAKŁAD USŁUG BRUKARSKICH „ADROG” SP.J. ADAM DYBCIO, EUGENIA DYBCIO Registered office: 00-388 Warsaw, ul. Dobra 6 m. 14 Business office: 03-289 Warsaw, ul. Ostródzka 213 Tel. 0-22 510 70 60 Fax 0-22 510 70 70 biuro@adrog.com

Infrastructure

Opportunities and Challenges of the National Rail Programme - 2014-2020

For a quarter of a century, every debate on rail transport in Poland has begun and end with a list of untapped opportunities offered by geography and the situation of Poland in Europe. Beneficiary of the “sustainable development” and “connecting Europe” talk, the Polish railways will receive unprecedented financial resources under the European Union new financial framework 2014-2020 to finally use these opportunities. Judging by the investment made in the Polish railways over the last three years, the forecast is optimistic.

Will cargo get back on tracks?

In the past 25 years of continuous economic growth road transport accounted for the almost entire increase in the transport of goods.

The average speed of freight, which fell to 16 km/h in 2007-08, has become the symbol of a progressive decapitalisation of the Polish railway infrastructure. Against this background, it is paradoxical that freight operators are in a surprisingly good economic condition, as evidenced by the privatisation of PKP Cargo.

“Our shareholders on the stock market in London wonder, for example, why we need up to 40,000 carriages to carry 120 million tonnes of goods,” says Jacek Neska, member of the Management Board of PKP Cargo for Commercial Affairs. “We answer that the Polish network is undergoing heavy investments, that trains are running on routes resembling construction sites or take bypasses, but we expect that soon it will be possible both to reduce resource consumption and provide our customers with a more competitive service, including compared to road transport.

Is this possible? “Today’s customer is not looking for transport by rail, road or sea,” argues Jacek Neska. “He is looking for possibilities to deliver a stream of cargo from point A to point B at a reasonable price at the time that suits his business schedule. So what he requires above all is predictable deadlines. The main problem of all Polish railway carriers is today the lack of time predictability when it comes to cargo deliveries. I am not talking about the transport of bulk cargo, such as coal or ores, because it is something we can cope with. It does consume greater resources in terms of rolling stock, people, costs, but we have learned it. The point is to take over streams of cargo that are currently transported by road or foreign rail operators.

For example, containerized goods destined for the Czech Republic get there not via Poland, but via Germany’s Hamburg and Bremerhaven. There are no reasons why prospering Polish

32 polish market

ports should not be a “gateway to Europe” on the north-south axis. But factories operating in the “just in time” mode need to have supplies delivered exactly when the production is to be launched - not twelve hours before or later, but at the specific moment. It is not the matter of speed so much as the matter of predictability.

We are watching that market grow in Western Europe; the level of containerization in Poland is still nine times lower, so we have a lot to gain.

By investing in infrastructure, we should embrace the channels, which will allow to exploit the potential of Poland resulting from its situation at the intersection of routes in the middle of Europe.

Bringing operational effectiveness back “Polish railway infrastructure has been constantly and systematically degrading for the past 20 years,” says Andrzej Massel, DSc, Eng., former Undersecretary of State in the Ministry of Infrastructure, now Deputy Director of the Railway Institute, the man who “got things moving” in railways. “Trains were running slower and slower, there was an increasing number of very-low-speed sections, and scarce investments were not able to compensate for the degradation. We hit the bottom in 2000 with a mere 132 km of track being replaced. Only four years ago did we start catching up. In 2011 and 2012, 1,060 km of tracks were replaced, in 2013 – approx. 1,300 km and in 2014 even more”.

“The past three years have shown that such a large-scale investment as was the case in Poland is possible. In 2013, we carried out investment projects worth PLN 5.3 billion, in 2014 – PLN 7 billion, and this year we have planned spending PLN 8.5 billion. Such levels have never been attained before,” adds Arkadiusz Krężel, Chairman of the Supervisory Board of PKP Polskie Linie Kolejowe S.A. (PKP PLK).

Innovative railways?

Some experts, however, fear that the large scale of the investment and the pressure for tight implementation deadlines will weaken the readiness to take risks and force investors and contractors to stick to well-tried technical solutions, which will affect the quality of the modernized network. Companies manufacturing or supplying railroad equipment and performing investments in the rail network do not seem to be too concerned. Tomasz Szuba, President of Tines Capital Group SA, points out that, for safety reasons, all railway innovations must be certified by the Railway Transport Office, which lays down appropriate field testing procedures. In his view, risk, especially with regard to innovations that have not been deployed yet, should be set off by the investor’s financial participation in the testing. Andrzej Massel expresses a similar opinion, citing examples of participation in the financing of such research by the National Centre for Research and Development (NCBiR).

Roman Przybył, President of Trakcja PRKiL, one of the largest contractors, has mixed feelings. He is hardly smiling when he recalls the number of formalities connected with the construction of a new type of crossover, but does not hide satisfaction when assessing the implementation of many new technologies as part of the Pendolino project and regrets that the PKP PLK investment programme does not provide for further similar challenges. He has also doubts over the PKP PLK’s project to conclude longterm contracts with the investment contractors for the maintenance of the line. Such a solution would allow contractors to recover part of the cost of maintaining specialized equipment.

On the other hand, Przybył encourages investors to switch to the so-called maintenancefree devices (having a 30-year manufacturer’s warranty), which guarantees a higher technological quality and is cheaper in the long run.•

Infrastructure

We transformed confidence and hard work into a

success story

Tadeusz Rybak, President of the Board of Mostostal Puławy S.A.

Mostostal Puławy S.A. has changed hands.

Why such a decision and what stands behind it?

The decision to sell the company probably resulted from the strategy and the current needs of its previous owner - Mostostal Warszawa S.A. The new owner is High Business Sp. z o.o., a group of local investors. After analysing the situation, we came to the conclusion that it was worthwhile to apply for a loan for the purchase of Mostostal Puławy. The transaction was successfully completed just before Christmas, in December 2014. pm

What do you think will be the biggest positive change as a result of that move?

In my opinion, any change is felt, and its results can only be realized after some time. However, I know very well the company I manage, because I came to work there many years ago, and with time passing, I was climbing the professional ladder to become Director, Chairman, and finally co-owner. Over these long years, Mostostal Puławy changed its legal form, owners and we felt uneasy as a crew. However, we transformed confidence and hard work into a success story. Today, we are a company with extensive experience, specialized know-how and very good staff. So I think this change, yet pm

another change in the history of our company, opens up new opportunities for growth and we are not going to waste that chance. We want to be in the “premier league” of Polish companies. Therefore, I will encourage our employees to take up new challenges, because in the current economic situation in the world, only the best count. We will definitely benefit from the EU funds and we will engage in cooperation with universities to commercialize knowledge.

The last time we spoke, you were talking about your vision of Mostostal, which involves expansion to western markets. Does this vision hold in the current situation?

We are involved in a number of implementations in the energy sector in the UK and Sweden, we have several contracts in Germany, where we have an operational office. Periodically, we perform a range of services to the same customers, because we are specialized and we are able to provide the highest quality of work. In Poland, our largest and regular client is the Zakłady Azotowe Puławy chemical works. We also cooperate with the Synthos company within the Oświęcim Chemical Plant and the Mondi company in Świecie, where we are building cellulose waste-fuelled power plant. We are also running investment projects in the Police Chemical Plant pm

and in the Kozienice power plant. However, despite receiving many orders, we are constantly working to develop our services and start cooperation with other investors. I think our services will be extended.

Mostostal Puławy S.A. was set up 50 years ago in order to build the chemical works in Puławy. So it was natural that the company established itself in the chemical industry, then in bridge construction and building construction, and for the last 20 years also in the energy sector and environmental protection. In Europe, we have built a lot of municipal waste incineration plants. We have always sought to enter into contracts as a general contractor and now also probably a lot of investments will be implemented on such terms. We went out of the past decade stronger and with credentials allowing us to compete in tenders for the construction of installations for waste sorting, of which we have made a few in Lubelskie region.

Of course, the chemical industry still lies within our field of interest, as suggested by our experience and credentials. The Mostostal Puławy Group owns two subsidiaries: Mezap Sp. z o.o. and Energezap Sp. z o.o., so in the current perspective, we will strive to improve our services and make the most of our experience and know-how.

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Infrastructure

Changes in the investment and construction law. What awaits investors in Poland?

Grzegorz Kiełpsz, President of the Board of Polish Association of Developers

S

o much is going on in the existing legal framework covering construction projects which, apart from the construction law, comprises also spatial planning and the land-use law, that even long-term investors have difficulty keeping track of the rapidly changing situation. Let us try to sort out what investors can expect and what they need to make provision for in their plans.

A dual-track strategy The effort to amend the investment law is following a dual track. On one hand, the Construction Law Codification Commission has been in place since 2012. It is preparing a comprehensive reform, the largest one since decades, i.e. the Code of Urban Planning and Construction. The Code, to be composed of the construction part and urban planning part, is supposed to completely replace the currently applicable construction regulations and the Act on Spatial Planning and Area Development. On the other hand, parallel works are carried out by the Ministry of Infrastructure and Development, which deals with smaller, ongoing amendments.

The Ministry of Infrastructure and Development At the end of February 2015, the Sejm passed amendments to the construction law, repealing the requirement of a construction permit for small buildings whose area of influence ​​ does not go beyond their plot. At the same time, the responsibility for the accuracy of the design was transferred to a large extent to

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the designer of the building. It makes things much easier for individuals building detached houses, but has no effect on larger projects for which you still need to apply for a construction permit. Some facilitation for the latter is removing the necessity to have arrangements with utilities when applying for a construction permit.

The Ministry is also involved in the preparation of amendments to the Act on Spatial Planning and Area Development. Details of this project remain unknown, but it can be anticipated that the amendments proposed will merely offer ad hoc remedies to the issues of concern, which are only supposed to be addressed in a comprehensive manner in the Construction and Urban Planning Code.

Planning permits (the so-called WZ decisions), which are applied for in the absence of the master plan, are often cited as requiring a review. It is a challenging task. After all, we are living in a country where approx.

70% of the territory is not covered by spatial plans and the only way to start an investment project there is obtaining a planning permit.

Investors should therefore look very closely at what the Ministry is doing, because it will be highly consequential for investment opportunities and land prices, especially that the Ministry declares the amended law will be enacted by the end of this parliamentary term, i.e. in the coming months.

The Construction Law Codification Commission The government-appointed Construction Law Codification Commission is working, in parallel but independently, on the Urban

Planning Building Code. The Construction Paper is to be adopted by the end of this term, but the Urban Paper will be prepared in the next term.

The first draft of the Code was available in April 2014, but it is still evolving. It is not known yet when the Code would enter into force, although it can be expected that the vacatio legis will take approx. 3 years.

From the point of view of investors, the most significant is the Urban Paper, the provisions of which will determine what, where and under what conditions can be built. This is of key importance when making investment decisions.

Summary The Polish construction law in its largest meaning, has for years been criticized by investors, but also by international institutions for the low efficiency and a high degree of complexity. Poland is as low as in the 164th place in the World Bank ranking! While the so-called little reform of the construction law will slightly simplify the process, no facilitations are forthcoming in spatial planning regulations. Risky may be too far-reaching limitation of planning permits without compensating it with other instruments. Excluding 70% of the country from the land-use planning will drive up prices of plots covered by the plans. And while we keep our fingers crossed for the efforts of both the Ministry and the Commission, it is necessary to thoroughly consider possible economic and • social effects of the solutions proposed.

Infrastructure

Poland

the largest single beneficiary of EU funds Prof. Bogusław Liberadzki, Vice-President of the European Parliament and Member of the Committee on Transport and Tourism, talks to Marcin Haber.

How do you assess the state of Polish infrastructure from the point of view of the European Union? Do we still have a lot to catch up with?

One guideline is certainly the European Commission’s report on progress in the development of transport in the individual member states. The report ranked Poland third from the bottom, with only two other states behind in terms of the state of transport, and infrastructure in particular. When it comes to road infrastructure, progress has certainly been made, with 900 km of motorways built since Poland joined the EU in 2004. The A2 motorway from Nowy Tomyśl to the state border was funded by private investors, and the A1 motorway Gdansk to Toruń was funded by the Gdańsk Transport Company: in total, it makes about 250 km. It means that the remaining 650 km were commissioned thanks to the state and EU funds.

This is undoubtedly progress, as the length of the motorway network doubled, yet the results are not very impressive. There has been a rise in expressways, too, so progress is visible, but from the point of view of the EU, it is not satisfactory because none of the highways and expressways was built from start to finish.

All these roads were supposed to contribute to increasing the cohesion of Europe. But it is not the case with the A2 ending in Warsaw instead of going further to the east, with the A1 having missing sections, with uncertainty as to when the S3 will be extended to the border with the Czech Republic. The A4 section to the border with Ukraine is most advanced, although it is not fully finished. It is much the same story with the railway infrastructure. None of the railway lines is modernised from border to border. In both cases, the idea of ​​European added value has not been fulfilled. Of course, major problems loom large over motorways and highways: pm

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outstanding bills, disorder and disarray on the construction sites, many bankruptcies, including of hundreds of Polish subcontractors.

freight attractiveness been enhanced? - No. Has frequency increased? - No. In this context, the European Commission’s idea to allocate an even greater portion of resources to railway development sounds disturbing.

It is proposed that the Cohesion Fund be boosted and there is a new financial instrument - Connecting Europe Facility. This would bring additional EUR 3 billion, the allocation of which is decided by Brussels. The point is primarily to eliminate “bottlenecks,” especially at border crossings where Polish railways meet with German, Czech etc. We know that the projects are still not ready. There is a danger that if these projects are not submitted early enough, funds that are now budgeted for Poland will be transferred to other parts of the EU. So we have, on the one hand, big opportunities and, on the other hand, the risk of them being unused. It is all in the hands of the Polish government and the PKP PLK company, which operates Polish railway lines. pm

Poland slept through the beginning of the previous financial period. We lost the first two years, which, as you mentioned, adversely impacted subcontractors. What was the reaction of the European Commission?

The European Commission estimates that there are states even worse than Poland... pm

Should we take comfort in this?

No, we should not, because Poland is the largest single beneficiary. Half of the funds budgeted for the new member states go to Poland, and therefore Poland is the object of the greatest expectations. It is also due to the fact that Poland suffered from the most backward transport infrastructure among all the new EU members. You mentioned the first two years we lost in the past period. Now it is 2015, the second year of the current financial period, and things are far from being on the move. So I anticipate that the delay will reoccur and there will be no material change in terms of the efficiency of use of available resources.

In contrast, what the European Commission was really concerned with was the low use of EU funds earmarked for rail transport. Out of almost EUR 5 billion, we managed to use about one fourth of the amount by the end of 2013, which nominally marked the end of the previous financial period. The European Commission is also critical about the fact that we are trying to spend money rather than invest it - it happens that projects are not quite prepared - so that no money is left unused. How do passengers see it? Have travel times shortened? - No. Are our trains reliable and never late? - No. Has pm

If railways are unable to use these funds, perhaps it would be better to inject extra cash into roads?

No, we cannot do that because we have to create a sustainable transport system in Europe. A sustainable system means there is a certain structure, proportion is maintained in the development and capacities of individual transport sectors. Otherwise, Poland would become a white spot on the map of railways in Europe. If we want to create, and I hope we do, a transport system being part of the continental transport network, and to create sea-land transport chains to Gdańsk, Gdynia, Szczecin and Świnoujście, we must have access to these • ports also by rail. pm

Infrastructure

Condition of the railway sector depends on a vision and strategy Andrzej Cholewa, member of the Board of Track Tec, talks to “Polish Market.”

How do you assess the present condition of the Polish railway sector? Are the results of funding from the European Union already noticeable?

One can see much progress if the present state is compared to the situation 10 or 15 years ago, when spending on the modernization of railway infrastructure was in the order of PLN1 billion and the province marshal’s offices only started to learn what the railways were about after they had taken over responsibility for pm

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transport in their respective regions following the state’s administration reform. Spending on infrastructure has now reached PLN5-7 billion and new rolling stock, both Polish and foreignmade, has appeared on the tracks. I mean both train sets and new-generation locomotives.

But if we compare the operating models, especially financing models, which are in place in other European countries with the model present in our country, it becomes clear that we have to work to prepare projects better and

ensure the continuity of funding for the modernization, extension and maintenance of railway lines. Our model should be systemic and based on multi-annual contracts for the expansion and maintenance of the railway network between the organization managing the infrastructure and the government. An increase in the railway network’s capacity should be a yardstick to measure how the contracts are carried out. Capacity should be understood as a function of the number of trains on the tracks and the time of travel. In Poland, it is generally not yet possible to speak seriously about new railway lines. All the lines were built in the late 19th and early 20th century, except for the Central Railway Line, which was constructed in the 1970s. The construction of some short sections is now underway - for example, for the Pomeranian Metropolitan Railways.

From a certain perspective, one can say that, despite the absence of a proper financing model, private companies operating in the railway sector – producers of rolling stock and some private suppliers of systems for railway infrastructure – have managed quite well, reducing their initial potential, consolidating their business activity and basing their success on exports.

They did that in a period when the state showed no interest in the railways. Meanwhile, when it comes to PKP companies, it is only for several years that positive changes at railway stations and in services for passengers have been clearly visible. Many of the measures taken required more imagination than money. I think money is secondary to a vision, strategy and ideas contained in well-prepared plans for the development of the sector. You can always find funding for good projects.

Infrastructure Therefore, the condition of the railway sector depends on a vision and strategy. If the activity is irregular, from one EU financial plan to the next, or if it is fragmentary, it is impossible to say that a vision or a strategy has been carried out.

In its new financial framework, the EU puts a strong emphasis on the development of railways. Do you think that the Polish railways are able to absorb and efficiently use the money that is available?

Let us put it the other way round. What should be done to use the whole amount efficiently? Money should never be spent in a chaotic manner – just to spend more. It is necessary to ask whether or not we have a vision for railway transport as an element of Poland’s transport system. If so, the answer seems obvious.

My vision is that the Polish network of main railway lines should enable reaching Warsaw from any provincial capital, even the cities of Rzeszów, Szczecin and Wrocław, within two or three hours. Modernizing the lines will not suffice. It is necessary to expand the network by adding high-speed lines to it, that is lines for speeds higher than 250 kilometres per hour. pm

All of the major highly developed countries are building such lines. They are a good alternative to air connections, considering the location of airports and the time needed to check in. Apart from the main railway lines, we also need metropolitan and regional lines in order to reduce road congestion.

Today, the Polish railways mean more than merely the PKP company. In several places, the regionalization process may be regarded a success from the passenger’s point of view. One example is the line from Kraków to Wieliczka, with trains shuttling regularly between the two cities, microbuses running radially to the line, and park & ride facilities and integrated tickets available to the passengers.

What was Track Tec’s most important investment in the EU’s past financial period?

Track Tec is a group made up of companies manufacturing products for rail infrastructure and one logistics company. We have five plants in Poland, two plants in Germany and an office in Latvia. Specialists with many years of experience are employed in Track Tec’s head office and individual plants. One can hardly speak about the single most important investment. pm

All our acquisitions and investment activities were important in pursuing the owner’s vision, which is to provide a complete range of services to the customer.

In 2014, Track Tec delivered more than 1 million railway sleepers for Polish railway tracks.

At the same time, since 2010 we have been expanding our exporting activity. We have undergone difficult qualification processes, like for example for the HPQ/Q1 certificate from the German Railways (DB). We are present on many European markets, including Germany, Austria, Switzerland, Lithuania, Latvia and Estonia.

We have delivered railway switches to Canada.

We operate in the Emirates and Oman where a pan-Arabian railway line of over 3,500 kilometres is under construction, including highspeed sections.

We invest in knowledge and the process of institutionalized learning. This is possible if one draws on long traditions of various kind from different parts of the world. If I were to answer responsibly to the question about the most important investment I would point to investment in knowledge and new markets, although one • does not exist without the other.

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Infrastructure

A year of breaking records for

Unibep Group More than PLN 1 billion in sales, all segments making profit and good prospects for the next year - that is a brief summary of 2014 for Unibep Group. “We are not going to rest on our laurels, we have very ambitious plans,” says Leszek Marek Gołąbiecki, CEO of Unibep SA.

2

014 was for the Unibep Group a year of breaking records. The company became the largest general contractor in Warsaw. Its 22 construction sites in the capital city made it the undisputed market leader. In addition to projects in Warsaw, Unibep also carries out housing investments in Poznań.

One of the biggest challenges for Unibep is building a housing estate Słodowiec City.

The construction of 777 apartments in one project and in one stage is challenging. This contract is worth PLN 137,777,000. Why are there so many “7s” here? For the project to turn out lucky for the investor, contractor and the people who will be living in the building.

In 2014, Unibep also organized a topping out ceremony on the highest residential building ever built in Warsaw. The 17-floor building, commissioned in the third stage of the InCity project, accommodates 166 apartments.

Another record belongs to the Road Branch of Unibep SA, which is carrying out the Group’s biggest road project, i.e. the construction of three sections of the road from Michałowo to Juszkowy Gród in Podlasie under contract worth approx. PLN 55 million.

Unibep’s Road Department has been increasingly asserting its leadership in road construction in the region of Podlasie.

“We are ready for greater challenges, such as the construction of expressways,” says Leszek M. Gołąbiecki. “Looking towards the future, we will probably also branch into the bridge engineering sector”.

Domaniewska Office Hub is another project demonstrating that Unibep knows how to create modern office space. The building has a floor area of approx. 37,000 m2 and a volume of approx. 170,000 m3. It is the largest office project in the history of Unibep whose value is approx. PLN 107 million.

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Unibep is also rapidly expanding on foreign markets, in the residential and office segments, in distant parts of the world. For example, Unibep is currently building a residential and office complex in Tyumen, Siberia, a town more than 2,700 km from Bielsk Podlaski, where the Group has its seat. The contract value is approx. PLN 140 million.

In the Far North, some 1900 km from Bielsk Podlaski and 300 km beyond the Arctic Circle, Unihouse, a branch of Unibep, is building the Strandkanten estate in the Norwegian town of Tromso. The investment, comprising 155 apartments, amounts to approx.

PLN 60 million. With operations so far away from the company’s seat, Unibep has clearly acquired the ability to move resources and adapt to local conditions, namely thanks to skilled staff. Currently, the Group employs nearly 1,000 professionals and the number is still growing. Unihouse is now the largest Polish general contractor on the Norwegian market. In 2014, the company put into use 908 apartments and further are under construction.

In 2014, Leszek Gołąbiecki took part in a trade mission to Kazakhstan organised by the Ministry of the Economy and aimed to arrange meetings for the best Polish companies with Kazakh partners. This mission was chaired by the Deputy Prime Minister and Minister of the Economy Janusz Piechociński.

For Gołąbiecki, however, Kazakhstan is not a priority destination in the development plans of Unibep. While the company is envisaging venturing into Kazakhstan, it is still a distant prospect, as now the focus is on market research.

Unidevelopment, a developer that belongs to the Unibep Group, has a record area of development land, covering almost 130,000 m2 of usable area in Warsaw and Poznań, where it intends to build more than 2,600 apartments.

We are ready for greater challenges, such as the construction of expressways.

Leszek Marek Gołąbiecki

The Unibep Group entered 2015 with a portfolio of old and new challenges - it has some ongoing construction projects and plans to launch new ones. In the near term, a major contract is going to be signed for the construction of a shopping mall in Warsaw. The Road Branch is ready to start the construction of expressways. Unihouse wants to branch into new foreign markets not only with modular houses currently offered and as a general contractor, but also with new products, such as, for example, modular bathrooms and kindergartens.

At the beginning of this year, another corporate management reshuffle was made in Unibep. The Management Board was enlarged to four people. Jan Piotrowski was appointed a new Board member and Commercial Director. He is a graduate of the Faculty of Civil Engineering of the Białystok University of Technology and has completed a management training course in the Warsaw School of Economics (SGH). He has been with the Unibep Group since 2005 first as a contract manager, then as development manager, and since 2008 also as a commercial attorney. •

LUX

Infrastructure

20 years of

ELTAR

high professionalism, timeliness and comprehensiveness Elżbieta Tęsna, President of Eltar Eltar organises a number of foreign trade fairs. Which of these is your showcase?

To start with, I would like to briefly present Eltar, a company which for 20 years has been involved in large promotion of the Polish economy on foreign markets, including outside Europe. As part of our activities, we promote Polish companies from various sectors, presenting their products and services at various international fairs, seminars and industry conferences.

From the perspective of our long experience, I can say that the food and construction industry trade fairs are the leading ones.

The most important fairs which Eltar has attended for years include, the prestigious international food fair Anuga in Cologne, SIAL in Paris, SIAL China in Shanghai and Gulfood in Dubai, the Persian Gulf’s largest fair, whose Eltar is the exclusive representative in Poland.

During this year’s edition of Gulfood, we have achieved a spectacular success: the fair was attended by more than 70 Polish companies, most of which as part of the national exhibition in the Sheikh Saeed Hall, attractive both in terms of location and architectural and graphic arrangement.

In the construction industry, we present Polish products and services at such important international fairs as BAU in Munich, Batimat in Paris, Made Expo in Milan, or Fensterbau Frontale in Nuremberg. We also reach out to more distant markets, a good example of which is Eltar’s exclusive representation in Poland of the construction fair Project Qatar in Doha. pm

What differentiates your company from other fair organisers?

The hallmark of the services provided by Eltar is high professionalism, timeliness and comprehensiveness. We often complement our clients’ foreign promotion with advisory services suggesting new export markets, as well as trade fairs in a given country or sector, and inform them about the available financial pm

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instruments for promotional activities and offer our assistance in this area.

We cooperate with the Ministry of the Economy and the Departments of Trade and Investment Promotion at Polish embassies in many countries, as well as with the management teams of important international fairs in order to create a platform for the proper presentation of Polish companies. Over the last three years, Eltar as the Leader of the Polish Windows and Doors Consortium, which further groups the Polish Windows and Doors Association and ASM Research and Analysis Centre, has been implementing the Sectoral Programme for the Promotion of Windows and Doors on five foreign markets. The last event as part of the programme involved the promotion of the window and door industry at the Budma fair in Poznań.

As a result of the programme carried out in close cooperation with the Ministry of the Economy, funds are available for direct support for wooden window and door producers (component A) and for the promotion of the entire industry (component B). The concept of the programme was developed by the Ministry of the Economy in cooperation with industry members, so it was well-suited to their needs.

This made for a positive evaluation of the programme by a majority of the participants and for the willingness of its future continuation.

As already mentioned, the Sectoral Programme for the Promotion of Windows and Doors will come to an end in March 2015. But a series of events will be upcoming soon: The Hannover Messe Industrie, PLMA in Amsterdam, SIAL China in Shanghai, at Africa’s BIG7 in Johannesburg with a large Polish exposition, Anuga in Cologne, Batimat in Paris, Autumn Food Festival and Gulfood in Dubai and other projects inspired by our regular clients with whom we have been promoting the Polish economy abroad for 20 years now. •

ELTAR’s history is the story of changes that occurred in the Polish economy and the story of the time the company made good use of becoming a credible and recognisable brand promoting the success of Polish transformation.

Janusz Piechociński, deputy Prime Minister, Minister of the Economy

Chemical Industry

1-2/2015  polish market

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uniquenes

Infrastructure

Tubądzin banks on

uniqueness Andrzej Ramel, Member of the Board, Director for Domestic Sales and Marketing You have received the award of the Polish Business Club for the “The Product of the Year 2014” for your joint project with Maciej Zień. How do you feel about this award and how is your collaboration with Maciej Zień coming along?

The award of the Polish Business Club for the collection designed by Maciej Zień is an honour for the Tubądzin Group. We are glad that our cooperation is appreciated by customers and architects as well as prestigious bodies, which see in it a successful marriage of business and art. We received the medal for an unusual combination of attractive design and very good quality - these are the values we consider essential in our daily work.

The decision to start cooperation with Maciej Zień was made in 2008. We were convinced that the designer whose name is synonymous with style, luxury and elegance will create for Tubądzin collections that will draw everyone’s eyes. As professional and perfectionist, he created a new quality on the Polish market. Tile collections “Tubądzin kreacja Maciej Zień” is an offer for people who appreciate original design. Importantly, a sophisticated style was from the beginning as important as the quality of the final product, both for us and for the designer. There was no question of any compromise solutions. The source of inspiration were for Maciej Zień world’s metropolises. First, in 2009, were the “Paris” and “London” collections. Following the image and sales success, we decided to extend the contract, and in 2011, next two lines were put on the market: “Tokyo” and “Barcelona.” Two years later, collections “Monaco” pm

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and “Berlin” premiered. Currently, we are working on new developments.

Design has been received much attention in recent years. It has also come to be perceived by government agencies as a driving force of the Polish economy. Is it a legitimate conclusion?

Polish design has a long tradition. It has not always been regarded as one of the driving forces of the economy, so we are satisfied with that radical change in approach. Looking on the rapid development of Polish design after 1989, you may see that it not only boosts competitiveness of our products on foreign markets, but most importantly, it makes for a strong cultural identity. After a rough era of PRL, when no one paid attention to things like design, quality and functionality, since the sole concern was how to get anything at all, the revival of the broadly-defined applied arts gives us back the possibility to manifest our presence in a space dominated so far by other countries.

Tubądzin has since its inception banked on uniqueness. And it is thanks to it that from a small plant we have grown into such a large modern business. Our approach to design, continuous search for new inspirations and the use of the latest technologies mean that we have no complexes when compared with foreign manufacturers. In our daily work, we strive to develop, adapt to changing market conditions, prospect for new trends and set ourselves new goals. We hope that our products have an influence on shaping the aesthetic tastes of our clients. It is important for pm

us to influence not only the market as such, but also the educational benefits of design.

It is also a way of promoting our culture and identity. That is how we understand the corporate social responsibility.

Do you believe that investment in design can actually benefit the Polish economy?

There is no doubt about it. For several years, it has been a trend in highly developed countries. Poland, after the transition it underwent at the beginning of 1990s, is following this path, too. Arguably, skillful supporting of the so-called creative industries impacts the economy, because it is like communicating vessels. It is clear that handling a creative process requires creating a certain number of jobs, which is then reflected in GDP figures.

We find it prestigious operating precisely in this line of the Polish industry. Our philosophy, manufacturing techniques and approach to business perfectly fits the trend followed by creative industries. So we understand our role on the market. Yet, we see huge changes of which we feel co-creators. In our daily practice we try to support the design market. We share our experience and knowledge in order to strongly emphasize our relationship with the Polish design.

Our history clearly shows how the smart use of the imagination and the ability to generate original ideas, innovative approaches to business, as well as skillful deriving energy from the market dynamics result in innovation, and therefore foster competitiveness of the economy.

• pm

Finance

Five simple rules for controlling f r au d r i s k Joanna Pacześniak, Senior Consultant at IBBC Group

T

he risks to which businesses are exposed on local and international markets have a high degree of complexity and a steadily growing rate of change, which effectively hampers conducting business activity. The environment in which businesses have operated for years now is characterized by a general

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increase in operational risk, also in the context of business security.

Operational risk management, according to the Basel Committee on Banking Supervision, means managing “the risk of loss resulting from inadequate or failed internal processes, people and systems, or from

external events.”1 Fraud risks are present both inside an organization and in its external contacts with clients, contractors and business partners. A comprehensive and in 1 Basel Committee on Banking Supervision, “Principles of the Sound Management of Operational Risk,” June 2011, ISBN 92-9197-857-4 (online).

Finance

tegrated approach to managing the business risk of fraud, an approach which takes into account all areas of the organization and all of its participants, enables the organization to raise efficiency in preventing, detecting and responding to fraud in the long run. In a wider context, a rational and systematic identification and management of fraud risk significantly contribute to long-term profitability.

At the start of the effort to ensure security for its business activity, an organization reviews the internal and external environment in which it operates. It must not forget about the need for a comprehensive and integrated approach, which means it has to take into account all areas of its activity and their mutual interactions. The most important internal factors which have an impact on the firm are its people (owners, managers and staff) and the processes and systems which take place in it – in each of its areas and places, and at each organizational level.

The external factors are clients, contractors, prospective staff members and so on. One should not disregard the areas where the internal and external environments interpenetrate through the activity of specific people or systems (IT).

Having examined and defined the environment in which the firm operates, and having identified participants of its business processes, one can start creating a fraud risk management system which will take into consideration the firm’s individual features, like for example its type, size, complexity and risk profile.

The Institute of Internal Auditors, American Institute of Certified Public Accountants and Association of Certified Fraud Examiners recommend an approach to risk management based on five basic principles,2 irrespective of the business sector in which the firm operates.3

1.

areas of the firm and all those who participate in the processes that take place in the firm. The integrated approach also takes account of interactions among these processes and forms the basis for their coordinated management. All the participants in the business activity – from the owners to contractors – become participants of the fraud risk management system.

At this basic stage, the firm works out a fraud risk management policy - which incorporates not only prevention, but also detection and response to fraud - and procedures being components of a formal fraud risk management programme.

2.

Fraud risk assessment

To be able to put in place an efficient and effective fraud protection system, the firm has to understand what fraud risk means in general and to identify the fraud risk specific to it – the risk which applies to the firm directly or indirectly. A systematized fraud risk assessment, taking into account the firm’s size, goals, the sector in which it operates and the complexity of its processes, should be made on a periodical basis and allow updating.

Having a periodical fraud risk assessment plan, the firm will be able to identify potential events or schemes and, consequently, minimize the risk of their occurrence.

3.

Fraud prevention

It is necessary to put in place prevention techniques to prevent fraud and minimize the risk of an adverse impact on the firm if the risk occurs. It is obvious that not all frauds can be predicted, but the prevention techniques are the first line of defence against fraud.

most important advantage is experience, impartiality and non-involvement in relationships within the firm.

5.

Fraud investigation and corrective action

Many firms, even those which have a builtin fraud management system, or at least have internal controls, do not go beyond an investigation and event detection. Then, they notify law enforcement authorities or, much more frequently, dismiss the defrauding staff member on disciplinary grounds, and sometimes even by mutual consent by the parties.

Meanwhile, this is an excellent moment for starting corrective measures – from raising the employees’ awareness of unethical behaviour by informing them clearly about the situation and providing appropriate training to management activities and specific steps designed to seal processes in the firm.

It is recommended that a system for reporting incidents be put in place. Documenting the incidents, starting an investigation at the right moment and taking corrective measures may significantly improve the firm’s chances of recovering the losses, avoiding costly and long court proceedings and finally reducing the risk of jeopardizing the firm’s reputation.

These five basic principles on which the firm may base its activity in its fight against fraud make a framework for working out specific, adequate and effective solutions for the firm. But there is also one more principle, or the managers’ approach, without which the fraud risk management system will not work in the long run. The starting point is establishing and developing a culture of ethics in the firm. This means the strategic decision, taken consciously by the owners and managers, that the firm should be run and developed on the basis of ethical rules. They require this from themselves, their staff, clients and business partners.

Developing a risk management system on the basis of the above principles does not mean that the market with all its participants will start playing by the rules adopted by the firm. But the firm will gain much control over itself.

•

RISK

Fraud risk governance

The essence of this principle is building a fraud risk management system into the firm’s existing organizational structure and making this system an integral part of the organizational structure and corporate governance. It is the foundation stone of an integrated fraud risk management system. A result of such an approach is that the system incorporates all 2 IIA, AICPA, ACFE, “Managing the Business Risk of Fraud. A Practical Guide.”

3 According to Dave Yost, Auditor of State.

4.

Fraud detection

Detection techniques, defined, worked out and built into the system, are used in the firm to uncover fraud events when preventive measures have failed, or if unmitigated risks have been realized.

The presence of a fraud detection procedure indicates that the firm has control over this type of risk. However, practice shows that a formal procedure is not an effective weapon against a fraudster. Much more effective is the use in such cases of a professional team of investigative auditors and detectives. Their

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Finance

The role of the state –

harmfulness of dogmas Prof. Elżbieta Mączyńska, President of the Polish Economic Society

T

he Polish Economic Society has released the Polish edition of “Finance and the Good Society” by the 2013 Nobel Prize winner in economics, Robert J. Shiller. The book is largely about the role of the state in shaping governance and social welfare. One necessary condition for it is encouraging innovation across the country. Innovation was precisely the subject of a debate organized by the Polish Economic Society as part of “Thursdays with Economists” in February and as part of the “Strategic Thought Forum”. The keynote speech was delivered by Prof. Eng. Andrzej Pawlak from the Lawrence Technological University in the US, an expert in the field of IT, technology commercialisation and intellectual property. The motto of the debate was “Let the world hear about the Polish niche.” However, in order for innovative niches to be used effectively, involvement of the state is necessary. It has an important role to play: not only supporting innovation, but above all regulatory functions, including those related to intellectual property protection.

At the same time, however, the role of the state, not only the area of innovation ​​ but in the broadest sense, is still the subject of an almost eternal dispute. Neo-liberal supporters of the thesis that the free market can fully and effectively replace the state in all, or almost all of its functions, including in the field of innovation, tolerate at most a night-watchman state. Their opponents make the case for a nanny state, one interfering in almost all spheres of social and economic life. Although neither contemporary nor historical experience seems to support either of such extreme views, intransigent disputes, leading to no constructive conclusions, have no end. And they could be dismissed as futile were it not for the fact that the role of the state is now becoming increasingly critical issue.

Whilst it is considered that the primary responsibility of the modern state is to nurture the country’s harmonious social and economic development and guarantee its internal and external security, this is not always confirmed by practice. The reason for this is a surge in symptoms of economic and social disorder, such as persistent unemployment or sharp income inequality, in many countries and regions. This means that the state fails to fulfill its fundamental function as a guarantor of social and economic security. And there is no genuine freedom without security. The poles of wealth and poverty adversely

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affect demand and, consequently, hamper economic growth, innovation, and maintenance and creation of jobs.

Although the proponents of marginalisation of the role of the state in favour of the free market emphasize, not without reason, that empowering the state carriers a risk of statism, bureaucracy and various perversions, the practice shows that the slogan “less state” is not a solution because it is important that the state be effective in performing its basic functions under the social contract.

It follows both from the economic practice and theory that the major threat for any country is institutional inefficiency.

The greater the institutional weakness, paralysis of the state, the more room for things that have nothing to do with reasonable management and social good. The market economy and people have the more genuine freedom, the more efficient is the state. Only an efficient state can become a counterweight to the power of global corporate giants. Indeed, it is evidenced by the experience of many countries, including Switzerland and Nordic states. Supranational organisations cannot replace an efficient state. Their fate is ultimately largely decided by the member states. In this sense, the role of the state takes on a new dimension and meaning.

At the same time, a complex system of interdependence between collaborating countries, emerged as a result of globalisation, requires adapting of the role of the state to the new requirements. The country’s increasing openness, including economic, to international cooperation means, on one hand, broadening the area of freedom, but, on the other hand, a growth of interdependence. For these dialectical interdependencies to be conducive for the social and economic development, innovation, social welfare, and the optimal personal development, a social and economic policy is necessary – focused on freedom and its preservation – defining the role of the state and the public sector. However, there is no single right economic theory, and likewise, there is no single right concept of the state. Both must match the changing circumstances and national specificities. Any dogmas are harmful here because they are a barrier to searching for optimal solutions.

•

Chemical Industry

File your tax return for 2014

and transfer 1% for economic education KRS 0000099464 Visit www.pit.pte.pl to download PIT Format 2014 Completely free program PIT FORMAT 2014 Easy and intuitive creator that will step by step take you through the settlement Easy printing of the statement Seamless e-declaration sending A full set of tax returns, attachments and forms The only program to be recommended by the Polish Economic Society (PTE) Our Activities Organization for the Economic Olympiad - with more than 12 thousand participants each year Open economic seminars with experts Economic publications, including a series of Nobel Laureates in Economics PTE Bulletin and a quarterly “Ekonomista” Organization of Congresses of Polish Economists

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The Polish Economic Society has over 200 years of tradition.

It is an independent, professional, nationwide association that 1-2/2015 polish market 49 brings together practitioners and theorists. http://www.pte.pl http://www.ksiazkiekonomiczne.pl

Grand opening of the

Jordanki Art and Congress Centre in November 2015.

A brand new conference venue, which will attract delegates wishing to experience an original and inspiring environment.

The Jordanki Art and Congress Centre, 22.000 m2 of unique architecture in the heart of Toruń, Poland. It offers multifunctional and perfectly modular accommodations, where you can give free rein to your creativity while organizing your events from 2 to 1200 guests. This exceptional and easily accessible location offers many different tourist attractions in the vicinity, making this an ideal spot for establishing various congresses, conferences, trainings, presentations, large and small business and promotional meetings, etc.

The facility's shape and topography provides organizers with almost full freedom in planning not only the key event, but also accompanying meetings, exhibitions, associated events and poster sessions.

MEETING AND EVENT HIGHLIGHTS: Under-one-roof meeting solution Main hall: 880 seats Small hall: 300 seats High-tech equipment 5 meeting rooms Parking space for up to 180 cars

BENEFITS:

Unique Architecture The Jordanki Art and Congress Centre is the first building in Poland designed by the internationally acclaimed architect Fernando Menis.

In Autumn 2010 the project of Jordanki won the title of the best Future Culture Project during World Architecture Festival in Barcelona. It was also presented during the prestigious Venice Architecture Biennale.

Convenient Location The Jordanki benefits from its central location in Poland and convenient connections to airports in Warsaw, Gdańsk, Bydgoszcz, Poznań and Łódź.

Exceptional Surroundings The Jordanki distance to UNESCO World Heritage Site. Nearby participants may find the Center of Contemporary Art, theaters, cinemas and parks, cozy cafes and excellent restaurants. Toruń is filled with word class culture events and festivals, also offers a great hotel infrastructure.

Visit us on: www.jordanki.torun.pl

Events

Welconomy Forum

a meeting place for central and local government officials and business Jacek Janiszewski, an organizer of Welconomy Forum in Toruń

The main stereotype about forums and similar meetings is that they are held by theoreticians. How are you fighting against this opinion?

Each of the two days of the Forum will begin with a Plenary Session, at which practitioners – heads of Poland’s key businesses – will share their experience with other participants in the conference. The discussions will be centred on innovation in the economy, a dominant topic this year. Among the speakers will be Herbert Wirth, president of KGHM Polska Miedź SA, Marek Cywiński, managing director of Kapsch Telematic Services Sp. z o.o., Tomasz Zaboklicki, president of Pojazdy Szynowe PESA Bydgoszcz SA, Marcin Jabłoński, president of Exatel SA, Dariusz Kacprzyk, president of Bank Gospodarstwa Krajowego, and Dariusz Blocher, president of Budimex SA. pm

The Minister of the Economy and the Minister of Agriculture are the patrons of your Forum, which adds to its prestige, but also raises expectations. What can the Forum’s participants expect?

To meet the expectations of our guests halfway, we propose them many panel discussions, at which experts from the Ministries of the Economy, Agriculture and Rural Development, Finance, and Labour and Social Policy will be sharing their knowledge and experience pm

on specific topics. We have also invited specialists dealing with economic issues from such institutions as the Polish Agency for Enterprise Development (PARP), Industrial Development Agency (ARP), Polish Information and Foreign Investment Agency (PAIiIZ) and Export Credit Insurance Corporation (KUKE).

Many interesting topics associated with the development of our country and international cooperation will be discussed. We will discuss issues concerning European Union funds, IT development, clusters, and innovation in medicine and its consequences. We will be talking about how to maintain work-life balance from the perspective of the employer and the employee. We can say confidently that none of the Forum participants will be disappointed.

How do you assess the impact of the previous editions of the Forum on the development of the economy?

Welconomy Forum in Toruń is a conference bringing together central and local government officials and business. The Forum enables them to exchange opinions and establish business contacts. As every year, the entrepreneurs present at the Forum will have an opportunity to present what they have to offer through speeches and presentations during panel discussions and by organizing promotional stands.

I dare say that the Forum also sign i ficantly contributes to the pm

development of our city and region, showing it as a very attractive investment location. This year’s Forum is the eighth one held in Toruń. When we started organizing these events in the city it was difficult to find suitable hotel and conference facilities. Now, there is a lot to choose from. I think that the guests coming to our conference from across Poland and foreign investors have noticed the potential of the region and contributed to its development.

Marshal of Kujawsko-Pomorskie province Piotr Całbecki and Mayor of Toruń Michał Zaleski are co-hosts of the Welconomy Forum in Toruń.

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Events

Welconomy ,

Forum in Torun,2-3 March 2015 “Integration and Cooperation – Innovation” is the leading theme of the Welconomy Forum in Toruń (the 22nd edition of the Economic Forum)

T

his year’s Welconomy Forum in Toruń started with a plenary session devoted to innovation. The sessions was chaired by Prof. Jerzy Buzek.

“We all want a good economy and a good economy is creating jobs. But to encourage job creation, we need to have a rapid economic growth, we also need to be competitive, that is better than others. We need to be innovative and have as cheap energy as possible, work together on a large common market,” said Buzek.

Among the speakers were Presidents of Poland’s largest companies, among others: Tomasz Zaboklicki, President of Pojazdy Szynowe PESA Bydgoszcz SA, Marcin Chmielewski, Vice-President of KGHM Polska Miedź SA, Marek Cywiński, Director General of Kapsch Telematic Services and Dariusz Blocher, President of Budimex SA. Minister Olgierd Dziekoński from the Office of the President of Poland read out a letter of President Bronisław Komorowski addressed to the participants of the Forum.

The guests were greeted by the Marshal of the KujawskoPomorskie Region Piotr Całbecki, Deputy Governor of the Kujawsko-Pomorskie Region Elżbeta Rusielewicz, Deputy Mayor of Toruń Zbigniew Fiderewicz and Chairman of the Programme Council of the Association “Integration and Cooperation,” the main organiser of the conference.

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Events

The title ofAmbassador of Integration and Cooperation 2014 was awarded to: • Janina Śmigielska, President of the Cooperative Bank in Chełmno • Tadeusz Donocik, President of the Regional Chamber of Commerce in Katowice • Mariusz Trojakowski, President of ROTR Dairy Cooperative in Rypin • Alfred Kubczak, Corporate Affairs Director of Jeronimo Martins Poland - for promoting security among children and youth during the campaign “Safe and Eco Holidays” • Marcin Jabłoński, President of Exatel SA - for promoting security among children and youth during the campaign “Safe and Eco Holidays” • Krystyna Woźniak-Trzosek, Editor-in-Chief of “Polish Market”

During the two days of the Forum, dozens of thematic panel discussions were held. This year, for the first time, there were two plenary sessions beginning each day of the event. The first day was devoted to politics and the economy, both domestic and global, and the second day focused on politics and the regional economy.

The conference is addressed to everyone interested in economic cooperation with Poland and purchasing of Polish goods and services. It provides an opportunity to make new contacts, which may produce contracts in the future.

On receiving the award Krystyna Woźniak-Trzosek said: “I take this award as an appreciation of the role of the “Polish Market” magazine which, for almost 20 years, has been promoting the Polish economy, science and culture

We need to be innovative and have as cheap energy as possible, work together on a large common market.

Krystyna Woźniak - Trzosek

all over the world, showing what unites the Poles rather than divides. We are living in times of a great economic success, but also in times of great changes, major threats and anxiety. 10 years ago, the European Union, due to political conflicts, including the war in Iraq, was not able to put out a coherent strategy. Tony Blair, during his famous speech in the European Parliament, recalled that Europe is also a union of values, of solidarity between nations and people, of not just a common market in which we trade, but a common political space in which we live as citizens.

So we should be vigilant and see to it that any cooperation and integration we pursue is successful both in economic and social terms, as well as in the sphere of our security and values t​​ hat underlie our European civilization.”

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Poznań international fairs attract over

1 million

visitors a year

Przemysław Trawa, president of Międzynarodowe Targi Poznańskie Sp. z o.o. (MTP), the company which organizes Poznań international fairs, talks to “Polish Market.”

Events You have operated for over 90 years and are Poland’s leading trade fair organizer. Have you already reached your full potential, or is there still room for further growth?

MTP is the leader of the Polish exhibition industry, with a market share staying above 50% for many years. It is also the largest trade fair organizer in Central and Eastern Europe in terms of exhibition space rented out, and the number of exhibitors and visitors, according to data from the Centrex International Exhibition Statistics Union. We organize around 80 fairs attended by exhibitors from 68 countries.

MTP also ranks first as the exhibition organizer in many individual sectors of the exhibition industry. Centrex has divided the industry into 27 trade sectors. MTP organizes the largest events in 13 of them in terms of exhibition space rented out. These exhibitions include the Gardenia gardening fair, Budma construction fair and Motor Show automotive fair. Placing our remaining exhibitions in this group is one of our challenges. We are constantly improving our exhibition programme and attracting the leaders of individual sectors of the economy to take part in the fairs we organize. We have also managed to attract more and more visitors.

We continue to add new events to our exhibition calendar. This year, we have premiered the Knieje hunting fair and the Boatex watercraft and water sports fair. With the Rybomania angling fair held in the first days of February, they are among the largest groups of events in the MTP portfolio targeted at the general public. The debut was very successful because as many as 29,700 people took part in the event.

If compared with Western European countries, MTP is in 25th place in terms of the size of infrastructure. The company owns an exhibition ground of 22.9 hectares with buildings and facilities. Its further development is largely associated with the modernization of the infrastructure. At present, we have 16 spacious and air-conditioned pavilions, many places suitable for business talks and meetings, banquet facilities and an outdoor area providing a parking space for 2,000 vehicles. But in order to stay in the group of those who host the largest international business meetings, we have invested for several years to modernize our facilities. We have connected our exhibition pavilions with passages so that together with the Congress and Conference Centre they form a space whose individual parts may be freely joined together or separated. Thanks to these investment projects, we will be able to host congresses with more than 10,000 participants. The first event of this kind is scheduled for September 2016 - MTP will be hosting pm

Exhibitions are a barometer of the economy and Polish businesses have been enhancing their competitiveness for years.

the FDI Annual World Dental Congress to be attended by 12,000 people.

As president of the Polish Chamber of Exhibition Industry, how would you assess this sector of the economy? Are we competitive in Europe?

Exhibitions are a barometer of the economy and Polish businesses have been enhancing their competitiveness for years. However, to exploit the opportunities arising from our membership of the European Union and those created by demand on external markets, the exhibition industry has to fight against negative consequences of the global crisis. In terms of gross domestic product, Poland has stood out from other European Union countries for several years now, by recording a positive GDP growth rate. As a result, Polish businesses want to spend money to promote themselves. And for foreign visitors Poland is becoming an attractive and absorptive market. This means that meetings at trade fairs are still a must in the marketing and sales plans of many businesses. But the expectations of our guests are changing. Today’s exhibition market means much more than traditional exhibition stands.

They are combined with conferences and congresses, which attract specialists who want to show their trade exhibitions. Businesses also hold spectacular special events at fairs. An example is the unveiling of the fourth-generation VW Caddy at the Poznań fair ground in February. pm

The Budma construction fair will be held in Poznań in March. It has been organized for many years. The organizers say the fair has undergone a huge metamorphosis and now you can see here, for example, systems for the remote control of buildings and machines which enable you to print a house.

How do you assess the development of this fair? Does it enjoy great interest?

Budma is the largest meeting place for the construction sector in Central Europe. Last year, more than 1,000 exhibitors, of which one third were foreign companies from 30 countries from across the world, showed their products at the fair. Around 300 of the products were newly launched on the market and 22 of them were awarded with the prestigious Gold Medal of the Poznań International Fair.

Three other events closely associated with the construction sector were held together with Budma: the International Fireplaces Exhibition, the CBS Sports and Leisure Construction fair and the Glass Industry Fair. The fairs covered almost all of the exhibition space that MTP has to offer - around 60,000 sq m. Nearly 50,000 people visited these fairs over the four pm

days of the show. We expect a similar turnout this year.

What about MTP’s cooperation with Polish and foreign partners? Do you work with any of them on a regular basis?

More than 1 million guests – exhibitors and visitors, firms and institutions – visit the MTP fair grounds every year. They organize here their business meetings, congresses and cultural events. This means we have to work together with thousands of partners from Poland and abroad. Every fair targeted at a professional audience is organized in conjunction with a trade association, or even for a trade association. An example of the latter is the Optical Fair, which is co-organized by the National Chamber of Opticians (KRIO).

The national, provincial and municipal authorities are patrons of events organized by MTP. In promoting Polish industry, agriculture and the economy, MTP closely cooperates with individual ministries. We have offices and agencies across the world. Thanks to this cooperation, we host in Poznań exhibitors and visitors from 68 countries. We have started a special kind of cooperation with Meorient International Exhibition from Shanghai to organize together the China Homelife Show promoting Chinese furniture, decorations, household appliances, cloths and textiles. We also sign agreements with mass media, which prepare reports from events organized

by MTP. Under one of such agreements, the Polish public television broadcaster, TVP, is a media patron of Cavaliada Tour, a series of horse-jumping competitions, and broadcasts live these events.

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Events

D irect contact is

invaluable Urszula Potęga, President of MT Targi Polska, a trade fair organizer, talks to Maciej Proliński.

You are among a dozen or so people who have received this year the Gold Medal of the Polish Success Academy awarded by the Polish Business Club Association. What does this distinction mean to you?

It is an honour for me to be among this eminent group of people and a great joy that what I did in the past 20 years or so, I mean promoting the Polish economy, has been appreciated. The potential of trade fairs, as a tool for image-building and promotion, for building brand Poland, for promoting the Polish economy, tourist sector and culture, is invariably worth exploiting and noticing. After all, a trade fair is still one of the best and cheapest marketing tools. I also regard this distinction as approval for my consistent effort to ensure that trade fairs are noticed not only by those who visit them regularly, as they are well aware of the value of the fairs, but also everyone else, including the world of business, politics and science. pm

You started your business activity in 1989. As an entrepreneur, you have your own personal experience of transitions from a centrally-planned economy to the capitalist system. How would you sum up that period - the time of a new Poland? It seems that today we do not appreciate our own success enough.

If someone asks me to give the shortest summary of the past quarter century I say: We have achieved a truly great success. Just look where we were then and where we are now.

Let us remember about it. How can we expect others to believe in the prestige of Brand Poland if we ourselves question its credibility? Brand Poland is perhaps still not widely recognizable in the world, but our 10-year presence in the European Union has produced results promising that this recognition will improve. And it is still an excellent opportunity for us to prove that the message we have sent to the world for years now is true: that we are well organized, that we know how to deal with virtually every sphere of life and that it is worth coming to us. I am generally optimistic. And it always pm

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I think nothing is more valuable as interpersonal relations. A trade fair enables us to meet each other, look into each other’s eyes and fully talk with each other.

Events seems to me that, even if we have a good reason to be dissatisfied with something that we do in the wrong way, we always have an opportunity to improve it. And we certainly should be more appreciative of what we have already achieved. Let’s take care of ourselves, let’s learn about ourselves because if we do not respect ourselves we will not be willing to openly “look at ourselves in the other man.” Let’s be happy that we have just received an Oscar, that they admire us. Let’s admire others, let’s exploit their experience. Let’s be tolerant.

Do you think that - although the tools which enable people meeting each other are changing so rapidly in our contemporary virtual world - trade fairs are still invaluable as a meeting place? What does this distinction mean to you?

I have managed this company for 22 years and have to say that nothing can replace talks and direct contact in business.

And it is at fairs that exhibitors and visitors hold hundreds of trade meetings. I think nothing is more valuable as interpersonal relations. A trade fair enables us to meet each other, look into each other’s eyes and fully talk with each other. pm

Measurement and Control Technology EuroLab and the 20th Fair of Tourism and Recreation Lato. EuroGastro is Poland’s most important fair for the HoReCa sector. It has always enjoyed enormous popularity. EuroLab is a specialist event of business and scientific character dedicated to the laboratory sector. It is organized in conjunction with scientific research centres from across Poland. And Lato is Poland’s biggest tourist fair intended for consumers. At this exhibition, we offer proposals for trips and stays, mainly in the spring and summer holiday season, in the most attractive parts of the world.

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But, as is the case with every sphere, there is always the risk of getting into a rut. How do you, at MT Targi Polska, define innovation?

We constantly monitor the exhibition market. Of course, exhibition stands are not enough these days. Accompanying programmes are an important part of any fair. It is necessary to organize presentations, conferences, and popularize innovation and creativity. Fairs have to be active. And this is our goal. This is the philosophy we have pursued when organizing our events. Fairs have to change virtually every year, they have to contribute something new, deal with topical issues associated with the broadly understood economy. pm

An advantage of MT Targi Polska is its Trade Fair and Congress Centre - a very modern exhibition hall using the most up-to-date technologies.

Indeed. I think it is the most modern multifunctional building in Warsaw, ideally suited to be a venue for events of various kind. The Trade Fair and Congress Centre provides 10,000 sq m of air-conditioned space, which can be divided into two smaller parts by means of a movable acoustic wall, 1,200 sq m of conference and office space with state-ofthe-art multimedia equipment, and available 1,500 parking spaces. The hall is computer-controlled and provided with heating and air-conditioning systems. We have the ability to suspend here very heavy structures. It is worth adding that our Centre is an excellent event venue. We are able to organize congresses, concerts and mass events for up to 10,000 people, including banquets for 5,000 seated guests.

The building offers a virtually unlimited potential for space arrangement and decoration. We have already hosted events coupled with concerts by such musicians as the Perfect and Piersi bands and Maryla Rodowicz. pm

To what fairs can we invite “Polish Market” readers this spring?

In the first half of the year, I wish to cordially invite you to our annual exhibitions which have proven their worth over many years: the 19th International Food Service Fair EuroGastro, the 17th International Trade Fair of Analytical, pm

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Events

The Gala of the Polish

Business Club and the Polish Success Academy

Władysław Steć

O

n 20 February 2015, the Grand Gala of the Awards of the Polish Business Club (PKB) and the Polish Success Academy (APS) was held at the Royal Castle in Warsaw. Among those who received the awards were companies, entrepreneurs and people who have made a special contribution to the economic development of Poland in 2014 and throughout the 25 years of Poland’s freedom. We would like this year’s list of winners to include businesses and entrepreneurs, which have seen through economically important innovation and investment projects, and of course the brilliant people of science and culture.

The ceremony at the Royal Castle was attended by about 400 guests, including journalists, personalities from the worlds of business, politics, science and culture and diplomats accredited in Poland. It was co-hosted by Jolanta Mrotek, a signer, and Franciszek Gaik, PhD, Vice President of the Polish Business Club.

Every year, the Jury of the competition organised by the Polish Business Club awards prestigious titles: the Company of the Year, the Product of the Year, the Businesswomen and the Businessman of the Year, as well as a special distinction called “Social Face of Business” for supporting culture and sport. In 2014, on the occasion of the 25th anniversary of Poland’s regaining of freedom, the Jury established the “Hero of the Polish Economy” award, which is presented to companies and individuals for outstanding business achievements.

The outstanding personalities are awarded Polish Business Oscars in recognition of their services to Poland, especially in the field of foreign policy. So far, its recipients were: Prof. Zbigniew Brzezinski, Jerzy Giedroyc, Pope John Paul II, Javier Solana, Lech Wałęsa, Günter Verheugen, Prof. Henryk Skarżyński and Martin Schulz.

Big names can also be found among those awarded with the title of the Honorary Ambassador of Polish Business.

On the occasion of the 15th anniversary of the Polish Success Academy, the APS Medals were awarded to individuals and companies whose example shows that success, also international, lies within reach of Polish entrepreneurs, scientists, artists and athletes.

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Among the Gala’s guests of honour were: Prof. Michał Kleiber, President of the Polish Academy of Sciences, Prof. Henryk Skarżyński, Head of the World Center and President of the Polish Success Academy Foundation, prof. Marek Krawczyk, Rector of the Medical University of Warsaw, Prof. Witold Rużyłło, a cardiologist, Prof. Adam Koseski, Rector of the Pułtusk Academy of Humanities, Prof.

Longin Pastusiak, former Speaker of the Senate, Prof. Ignacy Gogolewski, a brilliant actor, Prof. Bogusław Liberadzki, Member of the European Parliament, Cezary Grabarczyk, Minister of Justice, Olgierd Dziekoński, Secretary of State in the Chancellery of the President of Poland, Andrzej Owczarek, Member of the Senate, Tadeusz Nalewajk, Deputy Minister of Agriculture and Rural Development, Irena Szewińska, Member of the International Olympic Committee, Board members of the Polish Olympic Committee, representatives of sports and tourism organisations, Judge Anna Maria Wesołowska, Krystyna WoźniakTrzosek, Editor-in-Chief of “Polish Market”, Krzysztof Przybył, President of the “Teraz Polska” Foundation and many representatives of various business and self-government organisations.

The title of the Honorary Ambassador of Polish Business went to Elżbieta Bieńkowska, the European Commissioner for Internal Market, Industry, Entrepreneurship and SMEs. The titles “Heroes of the Polish Economy” and “Product of the Year”, and APS Medals were awarded.

The Gala was graced by the performance of the band of professors of the Music School in Sieradz that played a composition by Ludwig van Beethoven in a jazzy version by Miroslav Skoryk, compositions by Romuald Erenc – WTC Memorial Piece and by Ennio Morricone – Love Theme from the film “Cinema Paradiso,” “Balkan Dance” by Janusz Wojtarowicz, “Africa Hot” – a composition on drums, “Millennium Bug” – a composition played by several people on vibraphone, drums and piano.

Following handing-in of the APS Medals and PKB Awards, the title of “Product of the Year 2014” was presented to a well-known designer, Maciej Zień, who thanked for the award and invited all the participants for a video journey through the world of Tubądzin – Mapping 3D. That marked the end of the Gala of the Polish Business Club and the Polish Success Acade• my.

Events

AWARDS OF THE POLISH SUCCESS ACEDEMY

AWARDS OF THE POLISH BUSINESS CLUB

Gold Medals of the Academy of Polish Success were received by:

The title “Honorary Ambassador of Polish Business” was presented to:

OLGIERD DZIEKOŃSKI – Minister in the Office of the President “For the long-standing efforts for the public good”

ELŻBIETA BIEŃKOWSKA – European Commissioner for the Internal Market “In recognition of many years of domestic i foreign efforts for the development of the Polish economy”

The medal was presented by: Prof. Henryk Skarżyński and Prof. Michał Kleiber

The award was received on behalf of Elżbieta Bieńkowska by senator Andrzej Owczarek

CEZARY GRABARCZYK – Minister of Justice

The awards of the Polish Business Club “25 Years of Freedom. Heroes of the Polish Economy”:

of the Republic of Poland

“In recognition of his long-standing efforts for the development of infrastructure in Poland” The medal was presented by: prof. Henryk Skarżyński and Andrzej Wodzyński

GRUPA POLMLEK-Pułtusk “For many years of successful activity on the dairy market”

Prof. JERZY SZAFLIK

The award was received by: Andrzej Grabowski

“For outstanding achievements in the development of Polish ophthalmology”

The award was presented by: Deputy Minister of Agriculture Tadeusz Nalewajk and President of the Jury of the Polish Business Club Awards Bogusław Dębski

The medal was presented by: Prof. Henryk Skarżyński and Prof. Marek Krawczyk

Prof. JERZY ADAMUS

DROGI I MOSTY Jan Kaczmarczyk

“For outstanding achievements in the development of Polish Cardiology”

“For many years of successful implementation of road infrastructure projects in Poland”

The medal was presented by: Prof. Henryk Skarżyński and Prof. Witold Rużyłło

The award was received by: Jan Kaczmarczyk The award was presented by: Cezary Grabarczyk and Ryszard Konwerski

JÓZEF ŁATYFOWICZ – President of the Board of ISBUD “For many years of achievements in the development of the construction sector in Poland”

Centrum Targowe PTAK S.A.

The medal was presented by: Prof. Henryk Skarżyński and Prof. Adam Koseski

The award was received by: Dawid Ptak, Co-owner of PTAK S.A.

“For many years of achievements in the development of large shopping centers” The award was presented by: Ryszard Konwerski and Janusz Piechociński

URSZULA POTĘGA – President of the Board of MT Targi POLSKA “For significant achievements in the promotion of the Polish economy”

FUNDUSZ 12 VICTORIA S.K.A.

The medal was presented by: Prof. Henryk Skarżyński and Janusz Piechociński

“For the achievements on the Polish investment market” The award was received by: Janusz Skopowski

RAFAŁ MISZTALSKI – President of the Board of Systemy Autobusowe S.A.

The award was presented by: Cezary Grabarczyk and Ambassador Witold Rybczyński

“For significant efforts to improve safety in public transport” The medal was presented by: Prof. Henryk Skarżyński and Dr. Franciszek Gaik

The award “Product of the Year” was presented to:

MAREK GALEWSKI – President of the Board of Cardco Sp. z o.o.

TUBĄDZIN – KREACJE MACIEJ ZIEŃ

“For over 20 years of popularization of electronic plastic cards and implementation of Biometric Security and Access Control Systems”

The award was received by: Joanna Wodzyńska, owner, and Maciej Zień, designer

The medal was presented by: Prof. Henryk Skarżyński and Prof. Michał Kleiber

The award was presented by: Ryszard Konwerski, Olgierd Dziekoński and Premier Janusz Piechociński

Dr. ZYGMUNT KALICIŃSKI “For the social activity for the development of Polish transplantology” The medal was presented by: Prof. Henryk Skarżyński and Prof. Marek Krawczyk

Prof. GRAŻYNA GINALSKA “For the development of the biomaterial for bone replacement - artificial bones” The medal was presented by: Prof. Henryk Skarżyński and Prof. Adam Koseski

CITY OF SIERADZ – Paweł Osiewała, Mayor “For the significant achievements in promoting Polish culture” The medal was presented by: Prof. Henryk Skarżyński and judge Anna Maria Wesołowska

The Gold Medal with a Diamond was presented to: Prof. IGNACY GOGOLEWSKI “For outstanding achievements in the development of the Polish culture” The medal was presented by: Irena Szewińska and Janusz Piechociński

Joanna Wodzyńska, owner of Tubądzin, and Maciej Zień, designer

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Events

Values build social capital Prof. Jerzy Buzek, former prime minister and former president of the European Parliament, has received the title of honorary doctor of the Medical University of Warsaw (WUM). The Senate of the university granted him the title for special services to Polish science.

The official meeting of the WUM Senate was held at the Royal Castle in Warsaw on February 6, 2015. Present at the meeting were Janusz Piechociński, deputy prime minister and minister of the economy, Prof.

Lena Kolarska-Bobińska, minister of science and higher education, Olgierd Dziekoński, minister at the Polish President’s Office, Bishop Józef Górzyński, Archbishop Henryk Hoser, Prof. Michał Kleiber, president of the Polish Academy of Sciences, and rectors of Warsaw’s universities.

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Events

P

rof. Sławomir Majewski, WUM’s vice-rector for science and international relations, delivered a laudatory speech for Jerzy Buzek. Prof.

Majewski said the honorary doctor’s title was a sign of recognition for Prof. Buzek’s outstanding contribution to the development of chemical and process engineering, environmental protection, and power and security engineering, for his support for the WUM academic community and for his ethical standards, which were an example for others to follow. Prof. Maciejewski stressed that Jerzy Buzek was an undisputable authority in Poland and in the world.

“The honorary doctor’s title of the Medical University of Warsaw for Prof. Jerzy Buzek is the 67th honorary scientific title granted by our university. The title is awarded to persons standing out against others with their social, scientific and teaching activity and having outstanding accomplishments, discoveries and services to their credit,” Prof. Marek Krawczyk, rector of WUM, said at the awarding ceremony. “In 2016, we will be celebrating in Poland the 200th anniversary of awarding honorary doctor’s degrees.

The first honorary doctor’s title in Poland was granted in 1816 by the Jagiellonian University. The practice appeared as a direct influence of German and Austrian universities.

Most of the honorary titles granted by our university so far have been for members of the medical profession, which comes as a natural thing. But among those honoured with the title are people who have rendered such great services to Poland as Józef Piłsudski, Poland’s first chief of state, and Edward Rydz-Śmigły, marshal of Poland. Another of our honorary doctors who did not practice medicine was Count Bogdan Hutten-Czapski, the founder of the Foundation for the University of Warsaw. He received the title in 1931.

Prof. Jerzy Buzek is the fourth honorary doctor of our university who is not a physician. What is common to all the honorary doctors of our university is the fact that great minds, enormous work, great achievements and exceptional knowledge stand behind their names. Prof. Jerzy Buzek, a great Pole whom our academic community has the honour to call Friend, also has these traits.”

Prof. Buzek said that being awarded the title - the sign of the highest recognition one can receive from an academic community - was for him the greatest reason for joy. During his lecture entitled “A Sick Europe? How to Help It,” Prof.

Buzek spoke about how to cure Europe of the crisis, how to take care of its wellbeing, and what kind of economic medicine should be administer to it. He emphasized the importance of a right diagnosis – getting to know where the “disease” had come from.

“We often say economy is to blame, then point to the collapse of mutual confidence and solidarity. Today’s crisis is not only an economic crisis. It is also, and perhaps first of all, a crisis of values,” Jerzy Buzek said. “Separating economy from morality was like opening Pandora’s box, from which greed, rapacity, injustice, corruption, nepotism and economic violence escaped. Economy does not work in a desert, but within a culture based on a set of certain values. These values build social capital, jointly acceptable norms, mutual confidence and readiness to work together.

Political medicines are not only the economic community.

We need unity and consolidation. There is strength in unity.”

The Medal for Services to the Medical University of Warsaw was presented during the meeting to Prof. Iwo Dobrzański, who had donated money to the university.

“The professor - a son of a great figure in our university, Prof.

Antoni Dobrzański, dean of the Faculty of Medicine in 19471949 and head of the Laryngology Department in 1941-1953 – has made a kind gesture towards our university and has been honoured by the university’s Senate with this medal, which is exceptional for our academic community.”

• Maciej Proliński

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Innovation

Smart city or what a modern city should be like

Maciej Proliński

S

mart City Forum, a new conference devoted to smart cities in Poland, was held in Warsaw’s Westin Hotel on February 18-19, 2015. More than 500 persons took part in the Forum, including outstanding experts, mayors, many province and local government officials and business people.

The conference was officially opened by Tomasz Misiak, president of the Supervisory Board of MM Conferences SA, and Mariusz Gaca, president of the Advisory Board, vice-president of Orange Polska. Mayor of Wrocław Rafał Dutkiewicz was the honorary guest. Among those present at the Forum was also Roman Dmowski, deputy minister of administration and digitization, Marcin Krupa, mayor of Katowice, Wojciech Szczurek, mayor of Gdynia, Tadeusz Krzakowski, mayor of Legnica, Robert Biedroń, mayor of Słupsk, and Michał Olszewski, deputy mayor of Warsaw.

The first thematic section was devoted to the idea of smart city and smart society. Speakers, including Mark Day of Microsoft, Michał Olszewski, deputy mayor of Warsaw, and Braam Burggraaff of Iconics, provided specific

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examples of smart city solutions applied in London, Barcelona and Warsaw, and recommendations for streamlining the functioning of cities. Benefits for residents and businesses resulting from the use of open technological solutions were also discussed on the first day of the Forum at a panel discussion with the participation of Leszek Hołda of Integrated Solutions, Jan Buczkowski of MPECWiK from Środa Wielkopolska and Krzysztof Głuca, PhD, of Sądeckie Wodociągi Sp. z o.o. The first day of the conference ended with a thematic section devoted to the legal and organizational aspects of smart cities.

On the second day, participants in the Forum talked about payment methods in future cities and towns. The discussion was moderated by Jacek Uryniuk. Among those taking part in the discussion was Jakub Kiwior of Visa Europe, Karol Stec of the Polish Trade and Distribution Organization (POHiD) and Paweł Bułgaryn of the Ministry of Finance. In turn, Krzysztof Łukaszuk of AMG.net/Atos Polska, Bogusław Prokop of the Białystok municipal transport company and Prof. Andrzej Sobczak of the Department of Business

Informatics Warsaw School of Economics (SGH) spoke about data sources and information management. The topic discussed at the end of the Forum was the role of ICT in managing smart cities’ infrastructure. Wrocław city officials, and directors and managers of technology companies spoke about the present, potential and future state of infrastructure management, and issues associated with micronavigation and beacons, synergy of infrastructure subsystems and the use of an e-service system in managing the infrastructure of a housing cooperative. The thematic section ended with a panel discussion summing up the best practices and solutions.

Smart City Forum is the first event of its kind organized in the region on such a big scale.

It makes it possible to meet people taking decisions at national level and well-known experts from such sectors as IT, telecommunications, the construction of infrastructure, transport and energy. The presence of the wide group of experts not only enabled offering new solutions for cities, but also provided an opportunity for the participants in the Forum to establish collaboration with those who have put the smart city • initiative into practice.

Innovation

Silesia Automotive Cluster 230

Over companies within range of the cluster

50

Over members of the cluster

10

Over scientific units by thematic groups

30

Over initiatives in the field of HR and job market

10

Over new business relationships

I

n the region of Silesia, Małopolska and Opolskie, there are more than 230 manufacturing facilities in the automotive sector. Most of them are branches of multinationals, but also small and medium-sized enterprises are up to the challenge providing every day high-quality products for vehicle manufacturers worldwide.

The Silesia Automotive Cluster was established in 2011, but the first signs pointing to the need of building a platform for cooperation emerged in Bielsko-Biała and Gliwice as early as in 2007. Today, the cluster formally includes 55 companies, and every month further companies become aware of the added value of being part of the group of inspiring industry partners.

In November 2014 an initiative was launched under the name “Centre for Automotive Techniques”. It is a virtual platform for research teams from the technology areas of crucial importance for the automotive industry. Researchers and business people form thematic groups associated with new materials and engineering solutions. New ideas are spawned as these two groups exchange expertise.

The Best Practice meetings are an opportunity for the exchange of experiences and good practices between managers. The results of the research (e.g. the Automotive Sector Barometre, HR & Payroll benchmarking studies) provide companies with valuable information on the current trends in the industry and future prospects. They also allow to diagnose the problems of the sector and effectively prevent them. An example of it is an educational project “A Modern Quality Engineer,” implemented in 2014 with a view to making up for the shortage of the job market quality specialists.

Silesia Automotive make it possible for its members to establish new business contacts. Whether in the cluster’s Bureau or at the brokerage meetings companies bring forward their ideas for the new projects and initiatives. The Bureau of Silesia Automotive also assists companies in identifying potential suppliers or partners.

•

The consortium responsible for the coordination of the Silesia Automotive Cluster is made up of the Katowice Special Economic Zone, InnoCo Sp. z o.o. and Landster Sp. z o.o. Sp. k.

More information at www.silesia-automotive.pl

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Innovation

We must look to

the future

f

Artur Malec, President of the Kostrzyn-Słubice Special Economic Zone

T

he Kostrzyn-Słubice Special Economic Zone is one of the fastest-growing SEZs in the country. It owes it continuous prosperity not only to its advantageous location, but more importantly, to the quality of cooperation between member companies and the zone’s governors. In a study by KPMG, this cooperation was given highest rating among zones operating in Poland.

Owing to a synergy of available instruments of support, more and more companies are interested in investing in the Kostrzyn-Słubice Special Economic Zone. Moreover, the vast majority businesses already operating in the zone are planning to increase employment in the coming years.

It is a source of satisfaction and pride, but also a challenge.

Therefore, we are aware that in order to meet the expectations of investors, we need more skilled workers.

Qualified staff is now one of the basic factors for an investment project. At present, we still meet this requirement. The zone covers towns where industrial traditions are rooted, and therefore entrepreneurs has access to a relatively large group of skilled workers, educated not only in Polish schools, but also in Germany.

We anticipate that, in a further perspective, a reform of vocational education and adapting the educational offer to the needs of employers is inevitable and indispensable. The Kostrzyn-Słubice Special Economic Zone strives to meet this challenge, and for several years has been creating a platform to promote cooperation betweens schools and businesses. Although this cooperation is coming along well and brings tangible results, systemic solutions to support our efforts are still missing. Therefore, we are forced to take matters in our own hands and, acting as facilitators, we try to bring both sides closer together and suggest solutions that will bring measurable effects on the labour market. A perfect example of our efforts is a several years’ collaboration between Telescope Sp. z o.o. and the Maria Skłodowska-Curie School Complex in Kostrzyn. The company offers students traineeships, with the prospect of hiring the best of them. Today, we have taken things a step further and are working on an innovative project of cooperation with universities to meet the future demand • for skilled managerial staff.

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Najlepsze lokalizacje dla inwestycji: tereny przemysłowe w Polsce północnej, przy głównych szlakach komunikacyjnych oraz w pobliżu międzynarodowych portów lotniczych i morskich Tworzenie warunków do transferu innowacyjnych technologii i budowania partnerstw między przedsiębiorstwami: Gdański Park Naukowo-Technologiczny oraz Bałtycki Port Nowych Technologii Wybrane inicjatywy klastrowe PSSE: Strefowy Klaster Edukacyjny, Klaster PSSE, Interizon - Pomorski Klaster ICT, Klaster SeEnergia, Polski Klaster Morski, Kujawsko - Pomorski Klaster Rolno - Spożywczy, Bałtycki Klaster Turystyki Zdrowotnej, Bałtycki Klaster Ekoenergetyczny Kompleksowe doradztwo na każdym etapie realizacji procesu inwestycyjnego Współpraca z władzami państwowymi i lokalnymi, uczelniami, ośrodkami naukowymi, instytucjami gospodarczymi a także kulturalnymi.

Innovation

The Warmia-Mazury Special Economic Zone (WM SSE)

T

he Warmia-Mazury Special Economic Zone is located in the Warmia and Mazury region and in the northern part of Mazovia.

It covers an area of 1,057 ​​ hectares of developable land in which to make investments designed to accelerate the economic development of the region. All potential investors have access to professionally prepared investment areas and tax reliefs, as well as a good road and air infrastructure.

The zone has resources that can be used to increase growth in sectors such as agrifood (suitable research facilities; arable land accounting for 54.9% of the zone’s area; Poland’s largest percentage of farms with an area of over ​​ 20 hectares), furniture (suitable raw material base - forests cover 30% of the zone’s area), tourism, and manufacturing of yachts and motor boats. Vast wood resources and a long tradition of wood processing have made the region the country’s undisputed furniture manufacturing basin. A number of local companies have been successful exporters, selling their goods around the world. 42.5% of the domestic rubber output comes from Olsztyn, where a factory of tires has its seat. Airports in Modlin and Szymany, as well as the seaport in Elbląg are among

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many assets raising the investment attractiveness of the zone.

“The zone offers not only infrastructural facilities. Companies planning to start up here can count on our assistance in the investment process, like for example facilitating contacts with local and central authorities to acquire land for investment. When creating conditions for advanced economic development, improving human capital to drive innovation, and strengthening cooperation between business and science we are helped by the University of Warmia and Mazury,” says Marek Karólewski, President of the Board of the Warmia-Mazury Special Economic Zone S.A. A dynamic development of modern technologies and rapidly changing work conditions make it necessary to provide students with the skills desired by their future employers. For these reasons, the zone is taking steps to support and develop vocational education (by, for example, promoting cooperation between schools and employers, organising internships in companies, creating vocational training classes).

The zone consists of 29 subzones located in the following cities and towns: Barczewo, Bartoszyce, Biskupiec, Ciechanów,

Dobre Miasto, Elbląg, Iława, Iłowo, Kętrzyn, Kurzętnik, Lidzbark Warmiński, Mława, Morąg, Mragowo, Nidzica, Nowe Miasto, Lubawskie Olecko, Olsztyn, Olsztynek, Orzysz, Ostrołęka, Ostróda, Pasłęk, Pisz, Piecki, Płońsk, Szczytno, Wielbark and Zakroczym. In the vicinity of the subzones there are rail reloading stations.

Under the permit to operate in the Warmia-Mazury Special Economic Zone, businesses have the right to public assistance in the form of income tax exemptions.

The exemption is granted either on the account of making a new investment or on the account of creating new jobs. Entrepreneurs have full discretion in choosing the one they want to use. In accordance with the applicable provisions, Warmia and Mazury is within the area where entrepreneurs can obtain the country’s highest possible public aid, reaching up to 70%.

Those who have trusted us include such reputable companies as: Michelin Polska S.A., Ikea Industry Poland Sp. z o.o., Polmlek Sp. z o.o., Wipasz S.A., SM Mlekpol, Philips Lighting Poland S.A. Branch in Kętrzyn, Wójcik Furniture Factory Sp. z o.o., Szynaka Furniture Factory Sp. z o.o. and LG Electronics Mława Sp. z o.o.

•

Innovation

Smart Specialisation Photo: Tymon Markowski

in kujawsko-pomorskie province

Marek Rozpłoch

T

he purpose of every enterprise is to look constantly for innovative solutions for the sake of competitiveness. Enterprises can seek those solutions using their own methods, often effectively, but it is also worth looking for them in the world of science, which has a great potential for innovation. In our region innovation is still used to a limited extent. In Kujawsko-Pomorskie province scientific research has not been fully utilized for the benefit of the economy. The question arises how to make it more effective for local business in the best possible way?

Kujawsko-Pomorskie is not the only region which has tried to answer questions about innovation based on collaboration between science and business. The institutions of the European Union deal with similar questions regarding the concepts of promoting that collaboration, and the results of discussions are approved in the form of official documents. Political activities devoted to the problems of this type are referred to as ‘innovation policy’. So when we hear the catchword “innovation” in the political and economic context or in the debate on science, we should know that we are just dealing with the activities to translate cutting edge scientific achievements into tangible results of development of a given area which we are interested

in: our country, the entire European Union or, as in the case of this overview, KujawskoPomorskie province.

Finland seems to be one of the best examples of constistently constructed and implemented innovation policy. Since the beginning of the 1990s this state has been creating an innovative economy, among others, by supporting science and technology parks.

The European Union, after years of conscious support for innovation, noticed that present activities are insufficient to take advantage of the whole potential of innovativeness. This was the reason for work on the ideas of smart specialisation as one of the tools of the new strategy Europe 2020 (which was announced in order to improve the functioning of the European economy after the crisis) enabling the implementation of one of its priorities “Smart growth: developing an economy based on knowledge and innovation”.

Supporting what is most valuable in the economy of a certain region by linking specific industries with scientific research allows for providing greater support to research centres open to cooperation with companies and to strengthening the region’s competitiveness through stimulating innovation in key industries. Although smart specialisation is a concept constructed with the aim of the most important strengths of certain areas, it

treats the promotion of innovation in small and medium-sized enterprises (SMEs) as a priority. And in the Kujawsko-Pomorskie province SMEs are going to become the backbone of the beneficiaries of smart specialization.

The EU’s “Guide to Research and Innovation Strategies for Smart Specialisation (RIS 3)”, published in May 2012, had been the first official elaboration on the basis of which the smart specialisation system has been constructed. The Regulation of the European Parliament and of the Council (EU) No. 1303/2013 of 17 December 2013 is presently the legal basis for defining “strategy for smart specialisation”. Strategies are determined at the national and regional level according to the Regulation. In Poland, at the national level we have to deal with the National Smart Specialization – an open and permanently updated document being a part of the Economy Ministry’s “Enterprise Development Programme” (Program Rozwoju Przedsiębiorstw), which indicates areas where reinforcement by means of innovation based on science will contribute to strengthening the competitiveness of the Polish economy.

Similarly, regional strategies for smart specialization (RIS3) are expected to contribute to the strengthening of the competitiveness of regional economies. In the KujawskoPomorskie province smart specialization has 3/2015 polish market

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Innovation become an important element of the new Regional Innovation Strategy 2014-2020.

The province government has based the determining of the proposed areas of smart specialisation in this Strategy on a thorough diagnosis of the economic advantages of the region, which has shown a multitude of industries relevant to the region and the difficulty of choosing one main industry or even several main industries. But on the basis of further strategic analysis of the region and conclusions from the work of the expert group and the in-depth assessments and consultations with entrepreneurs, the following development potentials have been identified: –The best safe food – processing, fertilizers and packaging: specialization involves complete process of making safe food: agriculture, processing, marketing, and related industries - the production of fertilizers and packaging, as well as logistics, – Medical services, medical and health tourism: on the one hand, focus on the medical problematic aspects – treatment methods, apparatus and their commercial exploitation, on the other hand - support for tourism in our region, – Automotive, transport equipment and industrial automation: specialization involving the

production of transport equipment – parts, components and industrial automation, – Tools, injection molds, plastic products: production of those elements and chemical components, –Information processing, multimedia, programming, ICT services: applications, IT systems, highly advanced software, multimedia, information processing, – Biosmart specialization - the natural resources potential, environment, energy: putting emphasis on the creation of a network (i.e. Clusters) companies using scientific research and new technologies for the reasonable use of natural resources and energy production. – Transportation, logistics, trade – waterways and land: the use of land and water routes, transport and trade logistics for the good of the economy, – Cultural heritage, arts, creative industries: to draw attention to the economic benefits of activity in the field of culture, collaboration of companies and research centers with cultural institutions, the promotion of innovative cultural projects.

The list is a starting point for in-depth studies that would lead to the prioritization of these areas. The choice was to foresee the best potential industries for the region as flawlessly as possible: not to run to optimal solutions

by simple trial and error, but to take advantage of expertise and assumptions of the new policy worked out at the EU-level, as well as consultations with all of the concerned sectors - to construct realistic strategy for the region mobilizing the economic development.

Those potentials for development have been proposed with the aim of formation of well-functioning systems in selected industries – involving many networks associated with particular industry sectors, so as to make the involvement in the innovation process as wide as possible and also to involve the largest number of beneficiaries.

These are financial instruments through which certain industries and the innovation economy of the region will gain real support: money from EU structural funds allocated in accordance with the strategy of innovation, local government investments in certain sectors, promotion of projects focusing many actors – projects involving the best of all possible beneficiaries: not only enterprises and research units, but all possible institutions which could contribute to creating this welldevised scheme.

•

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Innovation

Inventors

are among us More than 100 Polish inventions which had received awards at international exhibitions last year were on display at the Copernicus Science Centre in Warsaw on February 17 and 18. Prof. Włodzisław Duch, undersecretary of state at the Ministry of Science and Higher Education, presented certificates of distinction to inventors on February 17 at the official opening of the 22nd Marketplace for Inventions exhibition.

Maciej Proliński

I

n 2014, Polish inventions won five Grand Prix awards at inventions exhibitions, 91 gold medals with honours, 136 gold medals, 149 silver medals, 89 bronze medals and over 250 special awards.

The 22nd Marketplace for Inventions, organized by the Association of Polish Inventors and Innovators (SPWiR) in conjunction with the Eurobusiness-Haller company, featured Polish solutions which won awards last year at exhibitions in Geneva, Nuremberg, Brussels, Seoul, Taipei, Sevastopol, Kuala Lumpur and other cities. The Association organizes its exhibition to promote successes of Polish scientists and firms, and hopes that this will contribute to increased interest in Polish technological solutions.

“We have many things to boast about! It is not that difficult to hit upon an idea. But moving forward with the idea to the moment when we have prototypes which have a chance of being put on the market takes longer and is more difficult,” said Prof. Włodzisław Duch. “Without inventions, innovations and the development of an industry based on sophisticated technologies we do not have much chance – we will always be doing simple and low-paying things. This is why the future belongs to inventors.” The professor admitted he himself had several patents and was striving to put the solutions into practice.

Prof. Aleksander Sieroń of the Medical University of Silesia, whose team had received Grand Prix at the Brussels Innova exhibition last

year, said: “It is often emphasized when speaking about inventors that innovations should generate money. But inventors have a passion, which cannot be translated exclusively into money.” He added that Oxybaria S, the device which had earned the prize for his team in Brussels, had already saved 24 legs from amputation. “Neither me, nor my patients have made any money from it. But they can now walk on these legs,” he stressed. Oxybaria S combines treatment with ozone, which inhibits the growth of bacteria, and hyperbaric oxygen, which improves local tissue oxygenation.

This kind of therapy speeds up the healing of chronic wounds.

Prof. Leszek Rafalski, president of the Main Council of the Research Institutes, summed up: “We can speak today about our achievements, but we have to be aware that the scale of these achievements is still small. The Operational Programme Smart Growth 2014-2020, a document adopted by the government on January 8, 2014, makes a start on February 26. The programme, which implements the European Union’s cohesion policy in the area of innovation and research, will be a challenge for us all.

Our role is to create good research consortia and work with industry. The research institutes’ community is made up at present of 116 institutions employing 40,000 people. And the research institutes are responsible for 80% of the practical applications in Poland. Today, a significant challenge for us is to jointly overcome the

barriers to the process of practical application, like for example attempts to make VAT changes very unfavourable for research units. Today, our goal should be to make regulations simpler and then we will achieve success together – not only in Poland, but also in the world.”

The exhibition in the Copernicus Science Centre provided an opportunity to talk to inventors. Scientists employed at research institutes and universities, PhD and MSc students, people working in the industrial sector and individual inventors, some of them very young, showed their projects at the exhibitions. Their inventions were associated with various fields of science, like for example chemistry, biology, mechanics, information technology and medical technologies. Among the projects shown were both ones at a conceptual stage and inventions ready for the launch on the market. Marek Rauchfleisz, a 10-year designer of a Mars rover and the youngest Polish inventor, was a special guest at the exhibition. With his Mars rover, he had won a competition run by the Association of Polish Inventors and Innovators. The rover is able to navigate a difficult terrain, including slopes of up to 45 degrees. It can operate in a vacuum and alien atmospheres. Another special guest was Kasia Chrapko who had received a Gold Medal at the 63rd Brussels Innova 2014 exhibition, at which she was the youngest participant, for developing a method for the diagnostics and non-invasive treatment of ailing human organs using infrasounds.

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Innovation

The year of anniversaries for FSNT-NOT

Polish Federation of Engineering Associations

“An important role in the history of Polish engineering associations belongs to Stanisław Staszic, whose maxim “Be useful to the people” is quoted as a motto of all scientific and technical associations. In 1800 he created the Team of Scientifically Working Technicians as part of the Warsaw Royal Society of Friends of Sciences,” Ewa Mańkiewicz-Cudny, President of the Polish Federation of Engineering Associations (NOT), tells Jerzy Bojanowicz.

Why did the National Council of the Federation of Engineering Associations (NOT) proclaim 2015 the year of anniversaries, the patronage over which was taken by President Bronisław Komorowski?

180 years ago, Józef Bem founded the Polish Polytechnic Society in Paris. Its members, returning to the Polish lands, would set up associations, whose status depended on the legislation in force in individual parts of the occupied Poland. The most liberal legislation was in the part occupied by Austria where associations were established, operated and slightly competed in Lviv and Kraków. In 1882, Kraków hosted the First Congress of Polish Technicians, which attracted Polish engineers from other parts of the occupied Poland, as well as from abroad. This was the beginning of integration of Polish engineers. The Warsaw Congress in 1917 was also important as far as it defined not only the economic programme, but also the political system of Poland which was to be restored as a sovereign nation.

The Warsaw House of Technology celebrates its anniversary, too. It was built 110 years ago on the initiative and with the financial contributions from the members of the Association of Technicians in Warsaw. One of the main advocates of building a “home” where engineers and technicians would be able to meet, was Eng. Piotr Drzewiecki, who became the first Mayor of Warsaw after Poland regained independence. pm

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The House of Technology was a place where its regulars could exchange experiences, meet interesting people, as well as get integrated as a community. Jan Fijałkowski, an architect, designed it in palace-like style. In addition to the conference halls, there is a ballroom, which is a venue for scientific and technical conferences, but also concerts and balls. In the Bridge and Fireplace Rooms, members would meet to celebrate anniversaries, birthdays and on other occasions. They would bring their families and friends, and so it is today.

But the most important were - as we would say today - business meetings intended as platforms for the exchange of experiences and training. Teams tasked with developing Polish technical terminology were very active. Their goal was to replace German terminology, which was used most widely.

The competition for the design of the House of Technology was announced in 1901, but the first design was rejected, and the second competition opened. The construction began in 1903, and the building was commissioned in November 1905. Soon it became home to the editorial board of “Przegląd Techniczny,” a magazine published since 1866, as well as for emerging science and technology associations. Therefore, the best definition of the then and the current role of the Warsaw House of Technology is simply “home.”

Do scientific and technical associations (SNTs) have a reason for being today?

Of course they do! They operate in countries that have a much longer history of market economy and democracy than Poland does. They are very strong and are of great importance, for example the Association of German Engineers (VDI - Verein Deutscher Ingenieure), the Engineering Council in the UK, or the American Institute of Electrical and Electronics Engineers IEEE, which serves as the principal technology advisor to the President and the Congress.

Abroad, politicians ask associations for opinions, as specialists and advisors form think tanks. pm

SNTs granted professional certifications in Poland after World War II. Today, these are granted both by the chambers and SNTs, including the Association of Polish Electrical Engineers (SEP) and the Association of Polish Surveyors (SGP).

Associations lived on organising trainings, but with Poland’s accession to the European Union, a lot of euros were channelled to education.

This gave rise to many start-ups dealing with the organisation of trainings, regrettably not always professionally. Not all SNTs found their feet in the new reality, but many of them are doing well: SEP or SIMP (Polish Society of Mechanical Engineers) - even though they have no longer support from the large industrial plants - the Association of Polish Surveyors, which is pm

Innovation helpful when it comes to regulating the ownership relations. Other SNTs include the Association of Engineers and Technicians of the Forestry and Wood Industries, the Association of Engineers and Technicians of the Chemical Industry and the Association of Engineers and Technicians of the Food Industry. They are joined by new, young members.

What does the membership give them?

First of all, the possibility to use the brand NOT, which is firmly established, to develop skills and exchange practical experience. Wellfunctioning are smaller associations, created after 1989, such as the Polish Association “Green Roofs”, which groups civil engineers and gardeners, and the Polish Society of Tree Surgeons, bringing together experts on forming trees. Unfortunately, in Poland, and it is the case not only of engineering professionals, experts’ opinions do not count. Various advisory teams are formed, but they are made up of politicians rather than professionals. pm

Let us get back to history.

70 years ago, on 12 December 1945, the Polish Federation of Engineering Associations (NOT) was established. It was a grassroots movement of a handful of surviving members of the prewar Superior Engineering Organisation and Superior Organisation of Technical Associations, who decided to create a common organisation of engineers and technicians. Pre-war organisations revived and new ones were formed.

There was a huge thirst for knowledge and the demand for experts needed to rebuild the ruined country and its industry.

They encouraged publishing activity (nowdefunct Wydawnictwa Naukowo-Techniczne) and nurtured education (Evening Schools of Engineering, which later evolved into technology universities, for example Evening Engineering School in Radom opened in 1950 gave rise to the Kazimierz Pułaski University of Technology and Humanities. pm

Is FSNT-NOT working internationally?

FSNT-NOT is a member of the European Federation of National Engineering Associations (Fédération Européenne d’Associations Nationales d’Ingénieurs - FEANI), in which 32 countries are represented. The FEANI awards the professional title of European Engineer EUR ING, which is highly valued. Most of these titles are held by the British and... Hungarians.

Since 1 January 2014, FSNT-NOT has been issuing on behalf of FEANI the Engineer Professional Card, which - according to the Directive of the European Parliament and the Council - “would facilitate temporary mobility and recognition under the automatic recognition system, as well as promote a simplified recognition pm

process under the general system”. I would add that participants of the last General Assembly of FEANI, which took place in October 2014 in Gdansk, were impressed by our activities.

This year marks 60 years since the reactivation of the Museum of Technology. It is worth mentioning that as early as in 1875 the Museum of Industry and Agriculture was established in Warsaw. The double Nobel Prize winner - Maria Skłodowska-Curie, made her first scientific steps there. The Museum of Technology and Industry was founded in 1929, on the initiative of Eng. Kazimierz Jackowski. During World War II, it was completely destroyed. After the war, the Museum of Technology was seated in the Palace of Culture and Science and put under the responsibility of the Polish Federation of Engineering Associations.

What is the programme of the jubilee celebrations?

We decided to celebrate the anniversaries not only by organising events reminiscent of history, but also by presenting technical achievements, including those of young people.

FSNT-NOT has been organising the Technical Knowledge Olympiad for 41 years now.

We used to organize the “Technician of the Year” competition for the best diploma thesis of graduates of technical and agricultural secondary schools, and now we conduct the “Young Innovator” competition. Companies and institutes that have successfully implemented technological solutions and inventions, making them an economic success are invited to join the Stanisław Staszic “Innovation Laurel” competition. In 2010, the once popular “Master of Technology” competition was reactivated. Competitions are organised by indyvidual associations, too, for example the Polish Union of Associations of Inventors and Innovators is in charge of the Technical Innovation and Invention Olympiad.

We do our best to pick young talents. The “Young Innovator” title is awarded to students of primary, lower secondary and upper secondary schools. Their creations are shown at international exhibitions and win medals. Also, Technical Knowledge Olympiad laureates became later heads of companies, academics and ... politicians. Waldemar Pawlak, a former prime minister, once said that after winning the Technical Knowledge Olympiad, he believed in himself. And he made it! Competitions have the advantage of activating small town schools, largely thanks to teachers.

FSNT-NOT wants to help young people in their professional development, trains them, organises conferences, in which participation for members is either free of charge or discounted. Interdisciplinary knowledge is gaining importance, so you need to keep track of what is pm

going on in other areas, and we enable it to our members.

The official inauguration of the 180th anniversary of the foundation by Gen. Józef Bem of the Polish Polytechnic Society in Paris will be held on 16 April in the House of Technology in Warsaw. During the gala, we will promote the inventions and achievements of young people.

On 9 June, the Engineering Forum - Engineering in Medicine will be held as part of the Poznań International Fair. In October, we are planning a historical session on the role of associations in the development of the country and the Fifth Technology Days in Warsaw. In November, a Ball of Technicians will mark the 110th anniversary of the Warsaw House of Technology and on 12 December, a solemn meeting of the National Council of FSNT-NOT will be held on the occasion of 70 years of NOT. The Museum of Technology will stage the exhibition “The development of the association movement against the background of technological development”.

We are also preparing commemorative publications. Due to our strong international cooperation we are going to publisha booklet will be released “The Federation of Engineering Associations: Yesterday, Today, Tomorrow. From the Partitions to the Third Republic of Poland”. We will also publish the second edition of the work of Andrzej Eligiusz Paszkiewicz, PhD, “Association Movement among the Polish Engineers and Technicians”, and the “Jubilee Biographical Dictionary of Technicians”. Out of 24 volumes of the “Biographical Dictionary of Polish Technicians” published by FSNT-NOT since 1989, we have selected outstanding minds who have contributed to the development of the engineering movement.

The jubilee year will end in June 2016 in Wrocław, with the 25th Congress of Polish Engineers and the 3rd World Congress of Polish Engineers “Poles Together”. We are organising it together with the Conference of Rectors of Polish Technology Universities and organisations of Polish engineers abroad - the European Federation of Polish Scientific and Technical Associations and the Council of Polish Engineers in North America.

We want to show how technology serves man and society. A good engineer is one who is responsible for what he created. He is educated, has experience and is constantly learning. It is important to promote appropriate patterns.

We are also keen to come together to encourage young people to professional social work, so that they want to unite in engineering organisations and associations, and work for the benefit of Polish and European science, technology and economy, in the spirit of the Staszic maxim “To be useful to the people” I quoted at • the beginning.

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Design in business

Innovation

strategy

For several years now the word “design” has appeared increasingly frequently in the language of communication in Poland. This is not without reason because new centres for design promotion are being established and there are more and more festivals, exhibitions, conferences and workshops offering a very wide range of topics related to design. Polish successes in this area are also growing, as is proven by the laurels which Polish designers win at international and national design competitions. The question arises: Can we turn the successes of our designers into an economic success?

Alicja Adamczak, PhD, President of the Polish Patent Office

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I

t is undoubtedly greatly edifying that debates in our country about the value of design and its place in an innovative economy are becoming increasingly explicit. A positive approach to design is strengthening every year and design is positioned increasingly strongly as a factor contributing to the competitiveness of the Polish economy. Decision-makers, including local authorities, and the media are taking to design. And it seems that the general public is doing the same as the people increasingly pay attention to “well-designed” products and buy then, although we are still far from economic patriotism. Surveys conducted by the CBOS public opinion research centre [“Rozumienie patriotyzmu. Komunikat z badań” /The Understanding of Patriotism. Report from Research, CBOS, Warszawa 2008] show that only 0.4% of those polled understand the notion of patriotism as a consumer attitude – choosing domestic products instead of foreign ones. What makes adopting this attitude difficult is especially the fact that our market is dominated by foreign brands. Good design is what often makes them stand out from other products because foreign entrepreneurs realized a long time ago that design has a favourable impact on the value of their business. This is also proven by data, like for example those published by the British organization Design Council [Designing Demand National Evaluation 2007-2012, Eden Partners, 2012]. According to the report, for every £1 businesses invest in design, they can expect over £20 in increased revenues, over £4 in increased net operating profit and over £5 in increased exports. Data

from the Danish Design Centre [National Agency for Enterprise and Construction, 2003a] also prove that the use of design by an enterprise produces benefits. The value added for Danish firms which treat design as a key part of their development and business processes is by 22% higher than is the case with businesses which use design only as an element of product stylization.

Tomas Maldonado captured the essence of industrial design most aptly. He defined it as creative activity whose aim is to determine the formal qualities of objects produced by industry. These formal qualities, according to his definition, are not only the external features of products, but principally those structural and functional relationships which convert a system into a coherent unity from the point of view of the producer and the user. It is thanks to this approach to design that Britain, Denmark and the other countries which put design high in the context of development of individual businesses and the whole economy rank in top places in European and global league tables of the most innovative economies.

Therefore, it seems obvious that entrepreneurs who develop new products and services and want to compete on markets with domestic and especially foreign brands should put in place a whole design process. This way of applying design – beginning with the stage when the product starts to be developed and ending with the final product and its launch on the market – is the most profitable for the entrepreneurs and, consequently, also consumers. The rapidly developing collaboration between businesses and designers, coupled with

Innovation numerous initiatives taken by the country’s central institutions to facilitate funding, for instance, is a chance for Poland to take a high position in European and global innovation league tables.

In debates about the development of design, and on creating a company’s image and increasing the value of products, there is yet another extremely important question – that of intellectual property protection. Every firm which wants to become established on the market and build a brand for its products and services launches - simultaneously with the process of developing the products and services - a properly chosen path for their legal protection, whether in the category of industrial designs, trademarks, inventions, or utility models. The synergy of various forms of protection not only enables the producer to achieve success, but also to eliminate, or significantly limit, unfair practices on the part of the competition.

How to protect intellectual property so as to make the company’s value grow? How to convince entrepreneurs that they should work closer with designers? What tools are available to them so that they can introduce the design process to their firms? Are we able to build an innovative economy and brand Poland through design? We will be discussing these and many other topics concerning business and design at this year’s edition of the International Conference entitled “Innovation and Creativity in the Economy.” The conference will be held in the building of the Warsaw Stock Exchange in Warsaw on March 26-27 under the slogan “Design in a Company’s Strategy.” I warmly encourage you to register for the event through the website www.uprp.pl •

Good design is what often makes them stand out from other products because foreign entrepreneurs realized a long time ago that design has a favourable impact on the value of their business.

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Innovation

Innovation has become a necessity Herbert Wirth, President of KGHM Polska Miedź S.A.

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Innovation

Can we talk of innovation in the primary sector, which is rather traditional and conservative?

The primary sector has become one of the priority areas of the European economy. Europe, particularly Western, finally realized that the rapid growth in demand and, consequently, the development of the economy depend on the availability of raw materials. This brings about new challenges, while also creating unique opportunities. The very notion of “raw materials” is already used in the new sense. Today we put them into three categories: primary raw materials (mining), secondary raw materials, i.e. anthropogenic deposits, recycling, and finally substitute raw materials. In our complicated world where concepts are redefined, in the era of the closed-cycle economy where we should plan, right from the beginning of the supply chain, how to bring raw materials back into the economy, where we operate under extremely difficult conditions – innovation has become a necessity. I believe that innovation is contagious. New solutions and ideas spread between the players of this or that sector. They inspire and stimulate further improvement of efficiency in the entire sector. That is what leads us to the notion of innovation ecosystem. pm

Which part of this ecosystem is KGHM? We understand that innovations are generated at the interface between different fields.

You need commitment and cooperation of interdisciplinary teams, strategic alliances between science, large industry, small and medium enterprises and venture funds. In this context, passion and courage to take risks are absolutely necessary. Over the last two years, we have been involved in forming the Knowledge and Innovation Community in the area of​​ raw materials. Its mission is to create research space and build a platform of cooperation between the best European mining and metallurgy companies, as well as research and academic units clustered around our sector. Our commitment paid off - Wroclaw will be home to one of the six Collocation Centres. pm

The research activity is subject to considerable risks. How is KGHM looking for innovations? Can we talk of the skilful risk management when conducting such a type of activity?

The innovation activity is a priority for KGHM, which is a global capital group. First of all, it allows the long-term maintenance of economic efficiency. We bet on the strategy of knowledge, building on both the experience of the scientific community and, above all, on our own resources. The vast amount of knowledge accumulated over decades, both in material pm

resources and in the minds of our engineers, is used to carry out activities focused on the development and introduction of new techniques and technologies. This ensures the sustainability of available resources, and the dynamic growth of the organisation. New solutions are secured through investment and R&D projects, as well as by stimulating employee innovation, sharing knowledge and new developments inside the company.

Of course, pro-innovation activity carries much higher risks for entrepreneurs than the acquisition of proven technologies available on the market. However, in the long run, it helps gain a competitive advantage and also capitalise on this experience.

KGHM becomes a sort of an ambassador of innovation in Poland.

Due to the unique geological structure of deposits, KGHM is often unable to acquire ready technical and technological solutions. This applies not only to the technology of accessing deposits and their safe exploitation, but also to recovering useful components from rich, but difficult in processing, polymetallic ores. As we know, necessity is the mother of invention. Today, we are pioneers in many areas, dealing with things, which our colleagues from industry and academia are ignorant of. Therefore, from our point of view, close cooperation is very important between our in-house experts, who have vast know-how, and external experts in various fields: not only mining, processing and metallurgy, but also advanced analytical methods, even medicine and social sciences.

It is our belief that such wide expert networks are the most capable working out comprehensive solutions, taking into account the needs of all stakeholders and ensuring the implementation of our strategic objectives. These networks offer a broad perspective of the challenges and produce breakthrough innovations, which we could not achieve, sticking strictly to the technology area concerned. We acknowledge that we must actively support both the Polish world of science and entrepreneurs who, with our help, are able to generate technologies and innovative solutions affecting not only our industry, but also other sectors of the economy we are inextricably connected with, e.g.: energy, environment, engineering, and even defence.

Our assistance is not confined to co-financing or financing of innovative projects. It does represent an important part of our innovation activity, assessed in terms of business risk. We strive to support our partners with our knowledge, technology or image, here in Poland, in Europe and worldwide. We give an example of how to raise domestic and foreign public funds

I believe that innovation is contagious.

New solutions and ideas spread between the players of this or that sectors.

pm

and to cooperate in the area of innovation ​​ with government agencies in Poland and the EU. Sharing knowledge makes part of KGHM’s brand strategy and points to the importance of this aspect in the company’s operations.

The experience we gained doing research and expanding into global markets, as well as values we feel strongly about - cooperation and responsibility, prompt us to share knowledge, to inspire others. We helped set up “Poland Go Global,” a think tank designed as a space to share our knowledge and experience. We tell Polish companies not to be afraid and face up to global challenges. If necessary, we provide assistance, involve other partners to achieve success. The global expansion of KGHM gave Polish companies an opportunity to market their products, technologies or services in Canada or Chile.

Being innovative is a strategic objective for about half of the medium-sized and large enterprises in Poland. But only about 20% of them consider it an absolute priority. The situation is even worse with SMEs. Only by working together and eliminating business, organisational, administrative and legal barriers, we can eventually build a competitive advantage of the Polish economy. For me, knowledge is the most valuable resource, a flywheel of human progress, without which any development would be impossible. We are creating an organisation based on knowledge and experience. This is what distinguishes KGHM in particular. We set ourselves very ambitious goals, but to implement them effectively, we must continuously evolve.

Only then we will have a chance to be really competitive. We want to anticipate the upcoming changes and respond to them accordingly • – it is the cornerstone of KGHM’s success. pm

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Culture

Matejko, Wyspiański and Chopin come to

China

The exhibition “Treasures from Chopin’s Country: Polish Art from the 15th to 20th Century” officially opened at the National Museum of China in Beijing on February 6, 2015. The event is truly unprecedented and the most prestigious in the history of PolishChinese cultural relations. The exhibition will last for three months.

Maciej Proliński

“

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You will have an opportunity to see the great splendour of the Polish royal court, learn about Polish people’s fervent Catholic faith and their ardent patriotism in the 19th century when Poland lost its independence,” Minister of Culture and National Heritage Małgorzata Omilanowska said at the official opening of the exhibition.

“At the same time, we have brought to Beijing works which will show you how Polish people see the world, what delights them, what is of special value for them and what is the essence of their beauty criteria.”

The exhibition was organized by the National Museum in Warsaw, National Museum of China in Beijing, the Adam Mickiewicz Institute, the National Museum in Kraków and the National Museum in Poznań in conjunction with the Polish Embassy in Beijing. The project was funded by the Polish Ministry of Culture and National Heritage with the support of the KGHM Polska Miedź SA company, the sponsor of the exhibition.

“Treasures from Chopin’s Country” is the first largescale presentation of Polish art in China and the biggest

exhibition of Polish art abroad this year. The exhibition, whose patron is Poland’s First Lady Anna Komorowska, features around 350 items: sculptures, paintings, decorative objects, weapons, medals and posters. They are displayed on 1,800 sq m of exhibition space in the building of the National Museum of China, situated on Tiananmen Square in the centre of Beijing.

The exhibition is designed to show in a comprehensive and systematized manner what is special about Polish history and culture. It is to tell the Chinese public, in a way attractive to them, about a distant country located at the heart of Europe, between the East and West. An animated map, presenting Poland’s geographical location in the Eurasian context, serves as an introduction to the exhibition. It also shows how the country’s territory was changing throughout history, something which exerted a strong influence on Polish culture and art.

The exhibition leads the visitor across the ages, from the mediaeval period to the present times. Only part of it is devoted to Frederic Chopin, the great patron of the project, and

Culture Warsaw, the city of his youth. The displayed objects include mediaeval altars, Beautiful Madonnas, sculptures depicting saints and portraits – the whole splendour of Old Polish culture. Much prominence is also given to the Baroque period from the late 16th to mid-18th century, called the Sarmatian era in Poland, with such objects as portraits of the Polish nobility, coffin portraits, suits of armour, hussars’ wings, saddles, traditional men’s robes called kontusz, Slutsk sashes, glasses and mugs. Among the exhibits is the 16-metre-long “Stockholm Scroll” depicting the wedding procession of Polish King Zygmunt III Vasa and Jan Matejko’s monumental painting “Stefan Bathory at Pskov.”

Successive parts of the exhibition show Polish art at the time when Poland lost independence and the importance of art for the survival of Polish people’s national identity. On display are famous works by great Polish painters Józef Mehoffer, Ferdynand Ruszczyc, Jan Stanisławski and Stanisław Wyspiański, with his stained-glass painting “God the Father” presented in the form of a monumental transparency.

20th-century art is represented by a symbolic sculpture of Xawery Dunikowski, Zofia Stryjeńska’s decorations inspired by folk art, and examples of Polish art deco. The exhibition also shows the new creative objectives which appeared in the period after 1918 when Poland regained its independence, and a variety of artistic trends in contemporary art. The last part of the exhibition features Polish poster art, highly valued in the world.

“The choice of objects for the exhibition was guided by their features typical of Polish art on the one hand and artistic class on the other. We try to show special features of Polish art, like for example the important role played in the 19th century by historical paintings. On the other

hand, we try to bring this art closer to the Chinese viewer by pointing to some similarities, oriental influences typical of the Sarmatian era,” says Prof. Maria Poprzęcka, the curator of the exhibition.

It is also worth pointing to the sponsor of the exhibition – KGHM Polska Miedź SA. “KGHM has been present on the Chinese market for 18 years now,” says Herbert Wirth, president of the company. “But today I only want to add that the company also supports Polish culture, for example the Beethoven Festival in Warsaw and the establishment of a new Chinese Garden in Warsaw’s Łazienki Park.

The promotion of Polish culture, which is part of our CSR strategy, is one of our foundations.”

The large exhibition of Polish art is not the only Polish cultural proposal for the Chinese people this year. Paweł Potoroczyn, director of the Adam Mickiewicz Institute, says the exhibition is a “catapult designed to ‘splash down’ a whole cultural programme in China.” The numerous cultural events of the season include concerts, contemporary art exhibitions, and showings of Polish films and theatre plays. “It is a whole series of events, which could even be called a Polish season in China,” Director Potoroczyn says.

“If the Chinese have come to love Frederic Chopin so much Polish music has to be present – from the Baroque to contemporary compositions, including those written by young composers. We will perform their pieces in the legendary concert hall of the Forbidden City. Sinfonia Varsovia will also be playing there.”

In 2016, an exhibition organized by the National Museum of China will travel to Poland to bring Chinese culture • closer to Polish people.

1. Stanisław Wyspiański (1869-1907), “Planty Park at Dawn,” 1894 2. Jacek Malczewski (1854-1929), “Music (triptych),” 1906 Photos: National Museum in Warsaw

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Culture

Success depends on intellect Adam Spała, owner and president of Fabryka Porcelany AS Ćmielów, a porcelain factory which has manufactured handmade porcelain for over 200 years, talks to Maciej Proliński.

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Culture

What would you say to encourage “Polish Market” readers to visit Ćmielów? They will certainly enjoy this unusual journey showing them the development of ceramic art from the oldest pieces to contemporary designs by outstanding artists.

AS Ćmielów is the only factory in Poland specialized in producing handmade and hand-painted porcelain. I invite everyone to our old factory for an unusual journey, during which they will discover the secrets of porcelain production and will personally take part in the production process. Everyone has an opportunity to take up the challenge and try their hand as a craftsman or artist at our special ceramics workshops. During a visit to Ćmielów one may also see the process of painting pink porcelain with gold. We are the only factory in Europe producing pink porcelain according to Bronisław Kryński’s original recipe developed before the Second World War. pm

Your factory restores not only old patterns, but first of all tradition and values because there is more to porcelain making than a noble final product, isn’t there?

The porcelain products made by AS Ćmielów include first of all porcelain figurines, exquisite cups, beautiful vases, designer sets, unique jewellery and pictures handpainted on porcelain panels. Every porcelain product made in our factory is provided with a certificate of authenticity, which confirms the origin of the product. Every product is made by hand from top-quality porcelain by experienced craftsmen. Then, it is decorated by hand by the best artists - painters.

This gives the products a high value, which is measured not only by the quality of the material and the amount of work put into it, but also, and above all, by the centuries’ long tradition of porcelain production and the best Polish design. The porcelain figurines are one of the best examples of the golden period of Polish industrial design. Over the years, they have become icons of style.

They were designed by Polish leading designers working for the Industrial Design Institute (IWP) in Warsaw: Lubomir Tomaszewski, Hanna Orthwein, Henryk Jędrasiak and Mieczysław Naruszewicz, who developed their own unique style. Their designs won numerous awards and distinctions and were added to the collections of the world’s largest galleries and museums as examples of the best design. One such example is the pm

Dorota coffee set in London’s Victoria and Albert Museum. Thanks to the long experience of the factory’s workers, every product is a testimony to great care, attention to detail and love for porcelain. As a result, the porcelain bearing the red AS Ćmielów logo enjoys recognition among porcelain lovers and collectors. Considered to be an example of the best Polish design, our products are chosen as gifts by institutions of various kind, diplomatic posts and companies.

What is your recipe for success in this field? Is now a good time for design? Is the time good for small and medium businesses, many of which are now simply struggling to survive on the market?

I have run my business for 30 years now and I am absolutely convinced that success depends on intellect. You need to take care of the quality of materials and final products, have experienced workers and meet the expectations of clients. Our product line is targeted at a wide range of clients. You can buy here porcelain souvenirs made with tourists in mind, a wide range of porcelain products for everybody – they may serve as a perfect complement to a contemporary interior, or an uncommon gift – and products dedicated for porcelain lovers and art collectors, like for example exquisite pink-porcelain cups decorated with 24-carat gold, designer sets in wooden boxes, figurines with diamonds and pictures hand-painted on porcelain panels, including copies of masterpieces of world painting.

Activities associated with the promotion of Polish design are also very important.

AS Ćmielów products are shown at Polish and international fairs and exhibitions, for example in Geneva, Bern, Rome and Brussels. This means that the best Polish design receives worldwide promotion and wins numerous awards. It is also an excellent way of telling the public than 1960s design has not been lost and that the old porcelain patterns, recreated on the basis of surviving models and moulds, are available for purchase. pm

Do you think that Polish design school still exists? If so, what are its characteristics?

We still collaborate with Lubomir Tomaszewski, one of the four leading designers who had worked for the IWP. He has designed, for example, our latest collection of porcelain figurines showing women in motion. We are constantly on the lookout for pm

The porcelain figurines are one of the best examples of the golden period of Polish industrial design. Over the years, they have become icons of style. young ambitious artists who would like to create a new collection, one which would be as timeless as the small porcelain sculptures designed in the 1950s and 1960s. Unfortunately, we have not managed to establish collaboration with artists able to equal the designers who worked in the 1960s. Many young artists have presented us their designs, but they are nowhere near the quality of the designs made for the IWP. The young artists forget about how important the client is and disregard the social value of art.

The IWP designers liberated bibelots from bourgeois conventions and demonstrated a quite new potential of porcelain sculpture.

Despite the fear that their designs would not be received well by the Polish market, where traditional tastes seemed to dominate, they created a new style and their designs instantly became popular, not only in Poland but also abroad. This is the kind of artists bold, young and ambitious – that Polish de• sign needs these days.

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Cultural Monitor

The March issue of Cultural Monitor goes with the piano in the main part and with music open to the world. Maciej Proliński recommends.

Piotr Anderszewski – Johann Sebastian Bach, English Suites Nos. 1, 3 & 5 - Warner – CD

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he powerful work of Johann Sebastian Bach (1685-1750) appears to us as a great synthesis of music and the most wonderful regeneration of formal and expressive elements dating as far back as the Gothic period in music. The composer breathed life into ossified forms with his inspired genius. He was an unrivalled master of harmony and polyphony. In his suites, Bach moves away from counterpoint towards free dance music. An example is the series of his six English Suites. Piotr Anderszewski, one of the most creative and original pianists of his generation, who has worked with such reputable symphony orchestras as those from Berlin, Boston, Chicago, Philadelphia and London, gives a lively and attractive tone to Bach’s form. Such albums are the privilege of mature musicians who are able to tell us something important about the world without nervousness and showing off. To sum up, a brilliant composer embraced by an artist who is always a pleasure to listen to.

Kuba Stankiewicz – The Music Of Victor Young – Warner – CD

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he album “Kuba Stankiewicz – The Music Of Victor Young” reminds us about the person and work of Victor Young (1901-1956), a winner of an Oscar. Known across the world for his activity in the United States, Young had Polish roots because he was brought up in Warsaw and received here excellent musical education. The album features instrumental arrangements of Young’s famous songs, such as “Beautiful Love,” “Everything I Do” and “It’s Christmastime Again,” and a beautiful “Prelude” composed by Roman Statkowski, a Polish composer who was Young’s teacher at the Warsaw conservatory. The intriguing album has been recorded by a classic jazz trio: Kuba Stankiewicz, an outstanding Polish pianist, is accompanied by Polish double-bassist Darek Oleszkiewicz and outstanding American jazz drummer Peter Erskine. The musicians move across this “sound and film landscape” very competently and at places even brilliantly.

Kuba Płużek – Eleven Songs – Vertigo Records – CD

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t is the second album of Kuba Płużek, a great hope of Polish jazz, a young pianist combining instrumental virtuosity and great knowledge about the history and present day of improvised music. This time it is a solo album. Despite his young age – Płużek was born in 1988 – he has already worked with artists of such stature as Zbigniew Namysłowski. In the past year or so, he has been one of the hottest names in the business. The album features his own music and pieces composed by others: jazz musicians Zbigniew Wegehaupt, Brad Mehldau, Michel Petrucciani, film composers Andrzej Kurylewicz, Louis Bacalov and others.

The compositions are ordered in such a way so as to keep for an hour the maximum attention of the listener. Every sound of this music combines simplicity, plain melody, magic and acrobatics. Each composition reflects the artist’s unbridled imagination. In order to be able to record such brilliant pieces, you have to be a real artist, not just a pianist. The album reminds me of the early Leszek Możdżer, with his album “Piano,” and Kuba Stankiewicz, with his album “Kilar.” These two artists did a similar thing: they “blurred the lines” to finally come up with a completely new music permeated with jazz and improvisation.

Maksym Rzemiński – Inception – DUX – CD

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he music played by pianist Maksym Rzemiński stands out with its unusual sensitivity and freedom of interpretation. Rzemiński is a graduate of the Academy of Music in Kraków and the winner of many piano competitions in Poland and abroad. Among the awards he has won is the Third Prize of the Chopin competition in Göttingen, Germany. His interpretations are personal and emotional visions of the compositions he plays. I think one may call him a “sound painter.” His solo album “Inception” is his tribute to giants of film music: Ennio Morricone, John Williams, Hans Zimmer, Wojciech Kilar and Krzysztof Komeda. Listening to these interpretations will certainly be a pleasure to music lovers. It is a fascination set - organically connected, perfectly thought-out and played. I can hear in the album that Rzemiński wanted to identify with this music and find in it his own traits – find a fragment of his own truth in the great truth of this music. He succeeded.

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Cultural Monitor – March 2015

Cultural Monitor

Polish Radio Jazz Archives, vol. 19 – Big City Blues & Howlin’ Wolf – Polish Radio – CD

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his is a successive album in the Polish Radio Jazz Archives series and a fragment of a Jazz Jamboree “chronicle”. The Jazz Jamboree festival, held in Poland for over 50 years, is an annual manifestation of the spirit of jazz. It is easier to indicate the jazz icons who have not appeared at the festival (Louis Armstrong, John Coltrane) than enumerate all those who have. When it comes to the renown of the artists, no artistic event organized in Poland can equal Jazz Jamboree and this does not concern only music festivals. Jazz is the sphere of culture where our “window to the world” has always been opened the widest. It represents the highest world standards and global compatibility. It is great that Polish Radio is releasing the CD series to remind us about it. The 19th volume of the series features a recording of the concert that Willie Dixon, a legendary American blues musician, gave at the 7th Jazz Jamboree festival in Warsaw’s National Philharmonic on October 27, 1964. Sunnyland Slim and Howlin’ Wolf played after Dixon. “We are here with the blues,” Dixon said before he started playing and this sentence would be enough for a whole review. Each composition is a blues classic, without which quite a few great bands, for example The Rolling Stones, would never have come into being. Simply, a real treat to the ears.

Tie Break – Tie Break and Fundacja Kultury Wici – 7 CDs

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ver the 35 years when they played, or did not play, together, the musicians never lost their creative vigour.

Their music is still an invitation to a personal artistic search. Encyclopaedias call Tie Break a milestone of the Polish independent music scene. The make-up of the band changed many times over the years, but the four great musicians – Antoni Gralak (trumpet), Marcin Pospieszalski (bass), Mateusz Pospieszalski (saxophone) and Janusz Yanina Iwański (guitar) - were always its core. Their work is one of the best examples that the music which does not fit neat categories may be an object of conscious choice for elite artists who shun shallow commerciality.

The freshness of this music 25 years after it was recorded – most of the recordings come from the late 1980s and early 1990s - is fantastic. The band is a very special phenomenon and it is hard to say what this phenomenon is about. Tie Break means spontaneity, but also sophistication and the absence of ornamentation. By listening to these seven discs you can hear how brilliantly the musicians mixed elements and styles, some of them quite alien to them - for example, ritual rhythms and singsongs, singing in an invented language and in Polish, folk music, sacred music, funk and jazz-rock – to make a coherent and vibrant whole.

Grzech Piotrowski – One World – Alchemik Records - CD

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rzech Piotrowski, a well-known Polish composer, arranger and saxophonist, is not slowing down. After last year’s album “World Orchestra,” he is again on a journey in search of inspiration. The result is the album “One World” and collaboration with singers from several continents, including Sainkho Namtchylak (Tuva), Ruth Wilhelmine Meyer (Norway), Sadia Youssouf (Cabo Verde) and Sebastian Karpiel-Bułecka (Poland) and instrumentalists, like for example guitarist Bram Stadhouders (Holland) and violist Larion Diakov (Russia). For several years Piotrowski has been “putting the sounds of the world through himself – through his own magical world.” All the compositions included in the album are carefully worked out and served with a great musical refinement. The ethnic climates, balanced in a masterly way and combined with the composer’s and his musicians’ individuality, have produced music of exceptional brilliance. What is so appealing about this album is not merely the meeting of different musical worlds, but first of all the harmony between seemingly distant types of music. A Polish highlander and a singer from Cabo Verde – One World is not a declaration here, but a musical fact.

Polska Nostalgia. Sentymentalne piosenki do tańca dla dorosłych – Polish Radio - CD

“

Polska Nostalgia” (Polish Nostalgia) is a jubilee collection of albums marking the 90th anniversary of Polish Radio. The series is designed to appeal to the older audiences, for whom old Polish songs mean more than a recollection of their transient popularity. “It is not our intention to repeat again a list of the greatest hits,” reads the note attached to the series. “Of course, there are some great hits here, however, not because they were once great, but because they have stood the test of time, have not become dated, and listening to them today is a form of aesthetic pleasure. There will also be songs which never even came close to music charts in their time, but today delight us with the naturalness of their melodies and poetic lyrics. Each of these songs tells a story, each has a dance melody and timeless arrangement flavours.” The first disc in the series features mainly women singers: Marta Mirska, Ludmiła Jakubczak, Kalina Jędrusik, Violetta Villas, Irena Santor and Maria Koterbska. The recordings have been digitally remastered and sound truly excellently.

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Culture

“Miracle, or Cracovians and Highlanders” unique production at the Grand Theatre National Opera

Written and staged just before the Third Partition of Poland, the first Polish national opera carried, in an amusing musical form and brilliant lyrics, a very clear message in support of Poland’s independence, which was of great importance for Polish audiences at that time. The Grand Theatre National Opera is preparing a new staging of the opera to mark the 250th anniversary of establishing the National Theatre in Warsaw. The director is Jarosław Kilian. Most of the singers will be young people – students and graduates of the Grand Theatre’s Opera Academy. The premiere is scheduled for March 13, 2015.

Maciej Proliński

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he comic opera “Miracle, or Cracovians and Highlanders” was written most probably in late 1793 and early 1794. The libretto is the work of Wojciech Bogusławski (1757-1829), who is considered to be the father of Polish theatre. Jan Stefani (1746-1829), a Czech violinist and composer, wrote the music. Stefani came to Warsaw in 1771 at the invitation of Andrzej Poniatowski, a brother of Polish King Stanisław August, and settled in Poland for good. Stefani was one of the pillars of Polish musical theatre alongside other foreign artists, like for example Józef Elsner.

The plot revolves around the timeless problem of competition – here between Cracovians and Highlanders - for the hand of a beautiful woman. The woman is a miller’s daughter, Basia, who is in love with Stach. A conflict between two groups of people from different regions, shown for the first time in the history of Polish theatre, is a pretext to present the beauty and richness of Polish folk music.

Stefani based the score of the opera – full of songs and dances - on the genuine folklore of the area around the city of Kraków and the mountainous region to the south of it. The opera premiered on the stage of Warsaw’s

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National Theatre in March or April 1794. The patriotic opera, staged after the abolishment of the Constitution of May 3 and the Second Partition of Poland, received an enthusiastic reception and was a spur for the Kościuszko Uprising.

“Could there be a better work to celebrate the 250th anniversary of the National Theatre in Warsaw than ‘Miracle, or Cracovians and Highlanders,’ a vaudeville staged in 1794 in practically the same place? Could there be a better choice of artists – given the occasion’s symbolic aspect – than students of the Opera Academy? What could be better than young artists drawing on their roots? In our times, ‘Miracle’ by the duo of Bogusławski and Stefani has been accused of many transgressions. Some people think that Wojciech Bogusławski’s libretto should have made the dialects of the title’s Cracovians and Highlanders more distinguishable, others think Jan Stefani was not always accurate in his ‘processing’ of folk tunes. People often disregard the fact that this work, written on the eve of the Kościuszko Uprising and rightly recognized as the first Polish national opera, played a huge role in strengthening pro-independence feelings. ‘The Cracovians’ is brimming with

brilliant political allusions, while the music itself – testimony to a very accomplished assimilation of the period’s most modern opera models such as Mozart or Salieri - by elevating folk elements to the level of high-brow art was a harbinger of the Romantic national schools that, at the earliest, would only appear some 30 years later,” says Waldemar Dąbrowski, director of the National Opera.

The opera is directed by Jarosław Kilian and choreographed by Emil Wesołowski. The stage and costume designs are the work of Izabela Chełkowska. An artistic advantage of the project is the care taken to create a musical setting as close to the original as possible. An orchestra of young musicians playing period instruments or copies of such instruments has been assembled especially for the staging of the opera. The ensemble works under the direction of Władysław Kłosiewicz, an outstanding interpreter of early music, who is the musical director of the project. Another important feature of the project is its mobility. The show, to be presented first on the small stage of the Grand Theatre National Opera, is designed to ensure logistically easy transport and presentation across the country.

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Culture

Artists peeking at us…

A new temporary exhibition, “Engraved Portraits of Artists. Prints from the Collection of Adam Broż,” is on at the Royal Castle in Warsaw from February 17 until May 10, 2015. The exhibition shows 73 portraits of artists from the collection of Adam Broż, an art historian, journalist and a promoter of Polish culture in Rome.

Among the portraits, which date to the period from the early Renaissance to late Neoclassicism are excellent images of Michelangelo, Albrecht Dürer, Peter Paul Rubens and Antonio Canova.

Maciej Proliński

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he exhibition is an opportunity to see images of the artists whom we know mainly through their own work. In many cases, these prints are the only source enabling us to see what they looked like. The exhibition features 73 portraits of Italian, German, French and Dutch artists who were active in the period from the early Renaissance to late Neoclassicim. In the Renaissance section, a visitor will see images of Michelangelo, Donatello, Filippo Brunelleschi and Albrecht Dürer. The Baroque section includes portraits of the Dutch artists: Peter Paul Rubens, Rembrandt van Rijn and Anthony van Dyck, the Italian artists: Michelangelo Merisi da Caravaggio and Gianlorenzo Bernini, and the French ones: Charles Le Brun, Robert Nanteuil and Claude Mellan. And among the neoclassical artists are Antonio Canova and Bertel Thorvaldsen. Most of the prints were made by outstanding engravers and are of high artistic value. Some of them also have a very interesting provenance. The exhibition at the Royal Castle is the first public presentation of this interesting collection.

Adam Broż is a Polish art historian, photographer and journalist. His private and professional life is connected with Rome where he has lived since 1965. In 1969–1979, he was secretary of the J.S. Umiastowska Foundation in Rome and a personal assistant to Emeryk Hutten-Czapski Jr., a distinguished collector who rendered great services to Polish culture. Since 1968 Adam Broż managed the hospice of the Polish Association of the Order of Malta (later the House of Malta). For his services to the Order of Malta he was awarded the Cross pro Merito Melitensi in 1987 and then the Commander Cross pro Merito Melitensi in 2001. An interesting thing is that Adam Broż appeared as an extra in Federico Fellini’s famous film “Casanova.” He was engaged personally by the director.

Journalism was Adam Broż’s great passion, which he pursued successfully for years. He wrote numerous articles, including texts popularizing the history of art. They were published in the most widely-read Polish and foreign periodicals. He is the author of many publications about Rome, including the guidebook “Rzym po polsku” (Rome for the Poles), an ideal choice for

those who like to discover Polish traces in distant parts. It is also an excellent read for people planning a journey to Rome as a great alternative to impersonal guidebooks of the Eternal City.

“They say you should not start exploring Europe with Rome because then everything will seem to you to be secondary and uninteresting.

There is a lot of truth to it, but it is also a bit of an exaggeration, although it is indeed here that everything, or almost everything, in the sphere of culture, art and ideas has had its origin. For 1,000 years Rome has been particularly close to Polish people and the culture of our country.

Being a sanctuary for Christianity, the country had a special reason to take care to maintain the permanent connection with the Apostolic See. Since the middle of the second millennium Italian culture and art has inspired, constantly and in many ways, Polish artists. For me, Rome is the second city of my life after Kraków. This sounds proudly because the same was the case with a former bishop of Rome - John Paul II,” • writes the author.

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Culture

Oscar

An for a Polish film An action shot from “Ida” Photo: SOLOPAN

Maciej Proliński

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Paweł Pawlikowski’s film “Ida” has won the Academy Award for the Best Foreign Language Film. “Oh, my God, how did I get here? We made a film, as you saw, black and white, about the need for silence and withdrawal from the world, and contemplation. And here we are at this epicentre of noise and world attention – fantastic, life is full of surprises,” the director said during the 87th Academy Awards ceremony held at Dolby Theatre in Los Angeles on February 22, 2015. “Ida” is the first Polish production to have received an Oscar in this category.

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aweł Pawlikowski was born in Warsaw in 1957. He moved from Poland to Britain when he was 14. He studied literature and philosophy in London and Oxford. He started making films at the age of 30 when he appeared in Community Programme Unit, a BBC programme for young filmmakers.

His film “Last Resort,” a turning point in his career, won many international awards. It was shown in 2000 at the Venice festival. The film earned Pawlikowski the BAFTA award for an outstanding debut in British cinema and an award for the best British film at the Edinburgh festival. Among the films he has made so far is also the docudrama “Twockers” and award-winning documentaries: “Serbian Epics” and “Dostoyevsky’s Travels.”

“Ida,” produced by the Opus Film studio based in the central Polish city of Łódź, is Pawlikowski’s first Polish (PolishDanish, to be exact) production. It tells a story of a novitiate nun who learns that she is Jewish and that her aunt is a Stalinist prosecutor. The plot – simple, although contending with the complex and painful Polish-Jewish history – is told in a clear language. In visual terms, it is truly moving. The director shows he is a master of insight and a master of contemplative cinema, with long sequences where nothing seems to be going on. Interestingly, these “empty places” do not disturb the meditative character of this picture. They encourage the viewer to look critically into themselves and ask the universal and simple questions, like for example: “Who are we?,” “Where do we come from?,” and “Where are we?”. Agata Trzebuchowska, for whom “Ida” is a film debut, and Agata Kulesza, one of the most popular Polish actresses these days, play the leading parts. Critics also praise the outstanding work of the film’s cinematographers Ryszard Lenczewski and Łukasz Żal. The cinematography is one of the hallmarks of “Ida,” as well as a product of creative symbiosis with the director.

One should not forget to mention the music for “Ida,” composed by Danish composer Kristian Eidnes Andersen. He is known as a composer of music for many films by Lars von Trier, including “Antichrist,” “Melancholia” and “Nymphomaniac.”

Ida is the first Polish film to receive an Oscar for the best foreign language film, but as many as nine Polish productions were previously nominated for the Academy Award in this category: Agnieszka Holland’s “In Darkness” (W ciemności, 2011), Andrzej Wajda’s “Katyń” (2007), “Man of Iron” (Człowiek z żelaza, 1981) and “Maids of Wilko” (Panny z Wilka, 1979), Jerzy Antczak’s “Nights and Days” (Noce i dnie, 1975), Andrzej Wajda’s “The Promised Land” (Ziemia obiecana, 1975), Jerzy Hoffman’s “The Deluge” (Potop, 1974), Jerzy Kawalerowicz’s “Pharaoh” (Faraon, 1965) and Roman Polański’s “Knife in the Water” (Nóż w wodzie, 1963).

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Oscars in Polish hands: Leopold Stokowski, 1941, special award for music – “Fantasia” Bronisław Kaper, 1953, music scoring – “Lili” Stefan Kudelski, 1978, Scientific and Technical Academy Award of Merit Zbigniew Rybczyński, 1982, short animated film – “Tango” Stefan Kudelski, 1990, Gordon E. Sawyer Scientific and Technical Award Ewa Braun and Allan Starski, 1993, art direction and set decoration – “Schindler’s List” Janusz Kamiński, 1993, cinematography – “Schindler’s List” Janusz Kamiński, 1998, cinematography – “Private Ryan” Andrzej Wajda, 2000, lifetime achievement award Roman Polański, 2002, directing – “The Pianist” Jan A. P. Kaczmarek, 2005, music scoring – “Finding Neverland” Paweł Pawlikowski, 2015, foreign language film – “Ida”

A W O R L D O F I D E A S – Ś W I AT I D E I

A W O R L D O F I D E A S – Ś W I AT I D E I

Intimate holiday and tourist resort, picturesquely located on the Krutynia trail, surrounded by Masurian woods and the river

www.nowymost.pl Holiday-tourist centre ”PERŁA KRUTYNI” in Nowy Most phone/fax + 48 87 423 60 45 mobile: +48 605 046 605 e-mail: rezerwacja@nowymost.pl

Dear Sirs, We are pleased to present you a modern medical and nursery facility - the Medical Center "Skałka" in Bukowno.

Bukowno is a town located in the vicinity of the Jurassic Landscape Parks, on the river Bu Sztoła, surrounded by deciduous-coniferous forests. Its major asset is the beauty of the river, which flows unregulated, creating picturesque meanders and bends. These charming sights of Bukowno provide an excellent environment to take rest in peace and quiet.

Bukowno is well-connected with Kraków and Katowice, as well as with the airports Kraków-Balice and Katowice-Pyrzowice. North of the town there is the expressway 94, and south of the town -the motorway A4 Katowice-Kraków. In Bukowno, public transport is available by buses and minibuses.

There is also a train station in the town.

The uniqueness of the Medical Center "Skałka" is that it ooers residence for geriatric patients.

The Medical and Nursery Centre, the Senior Home, as well the Ambulatory Care Specialist Centre are staaed by doctors from Silesia's and Małopolska's renowned clinics in the following areas of specialisation: cardiology, cardiolo neurology, diabetology, gastroenterology with the endoscopy facility, ophthalmology, laryngology, dermatology, rheumatology, general surgery and vascular surgery, trauma-orthopedic, occupational medicine, dentistry with endodontics, oral surgery and implantology.

In addition, "Skałka" ooers its patients a comprehensive rehabilitation treatment using the state-of-the-art equipment.

We invite you to join us in a modern facility equipped with the latest-generation equipment and top-notch professionals.

For patients from the EU countries, we provide comprehensive dental diagnostics and treatment during 5-7 day stays, as well as diagnostics performed with high-tech equipment by specialists in cardiology, ophthalmology, general and vascular surgery, orthopedics, gastroenterology and other as listed in our ooer.

The Medical Centre "Skałka" organises rehabilitation and wellness stays. Modern rehabilitation infrastructure and equipment, combined with accommodation opportunities, make "Skałka" an attractive destination for foreign patients who want to take care of their health and improve their mental and physical condition.

"Skałka" can also boast a cosmetology cabinet fitted out with modern equipment for skin and body rejuvenation and beauty treatments.

Our Senior Home - the Medical and Nursery Centre ooers residential opportunities for an indefinite or definite period, as convenient for seniors. We provide comfortable apartments for couples and 1,2,3-bed rooms for single persons wishing to spend their autumn years safely, comfortably and with professional medical care.

We provide our patients assistance and transportation from the airports in Balice and Pyrzowice, inclusive of the cost of stay. There is also a possibility to organize transport for other places, depending on the number of patients.

Krzysztof Ćmiel Bożena Bogajewska-Piętka

www.cmskalka.pl

Food Industry

New prospects for thE eco food market Mission of the Polish Ecology Association Bohdan Juchniewicz

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olish food needs promotion. This is why every year we take part in BioFach, the world’s most important trade fair for organic food.

Everyone who takes part, or wants to take part, in the organic food market goes to Nuremberg to attend the fair. It is simply a must to be present there. BioFach attracts more than 2,200 exhibitors and 42,000 visitors.

“During our promotional mission, I had an opportunity to note with satisfaction the large increase in the number of exhibitors who are members of the Polish Ecology Association. Not 10, as previously, but 21 this year,” says Maciej Bartoń, a representative of the Board of the Association. “I was also glad to see a queue of people standing in front of a 40-kilogram cured beef leg, waiting to taste this Galician speciality produced by the Jasiołka meat-processing plant from Dukla [Podkarpackie province- ed.]. Such a unique taste of meat can be achieved thanks to the system of organic cattle production in Podkarpackie. Visitors to the Polish exhibition gorged on steaks fried at the stands, served with cranberry sauce. Goat cheeses from the organic farm Figa and organic Polish-Norwegian farmed salmon produced by Limito from Gdańsk enjoyed great popularity. The appetizing scrambled eggs fried every morning by Stefan Bednarek made a true eco-breakfast.”

When describing the tastings, one should not forget to mention the excellent fruit juices, especially chokeberry juice, and fermented vegetable-fruit juices. Organic pierogis from the EkoPierożek plant in Krosno were

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also in great demand. Ready-to-eat food is the current trend on the eco market, a sign of our times full of hurry. Some of the Polish BioFach participants exploited an opportunity to see Bavarian organic farms and specialized trade facilities. Contacts with foreign partners were being established and there were also surprising “discoveries” of Polish products by Polish partners.

The Polish Ecology Association helps businesses to establish trade contacts. It has a database with information about the businesses which belong to the Association. But the most important mission of the Polish Ecology Association, apart from educating the public about ecological problems, is bringing businesses operating on the eco market together and helping them to develop their activity, including through campaigns in which the best certified food is presented to the world.

“We are already getting ready for fairs in Japan and the United States,” adds Maciej Bartoń. “We are not going to be merely a ‘travel agency’ for our firms, but an active captain seeking information about lands that may be conquered and providing it to the crew. We have just signed with the Agricultural Market Agency (ARR) a contract for a three-year campaign promoting Polish eco food in the United States, Japan and Singapore. Producers who are members of our Association are already present there. They need more momentum because these countries’ markets are very absorptive. For example, this whole market sector is worth USD1.4 billion in Japan and is even 25 times bigger in the United States.”

Our efforts will also influence the Polish organic food market. They will boost it and, in particular, strengthen food processing, which will make it possible to increase availability. Larger deliveries mean lower prices and a wider selection.

I have mentioned the education of consumers because raising public awareness is equally important for the Association as the development of production. Our efforts are focused on the youngest consumers, especially schools of all levels. We remember about the need to involve professional cooks and chefs in our activities. They are in the best position to answer the recurring question: “Do you know what you eat?” And they are doing it convincingly.

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The Polish Ecology Association of processors and producers of organic products brings together persons and businesses involved in the production of food using certified organic raw materials. The main mission of the Association is to represent the whole organic food sector and contribute to the development of the organic market. Over the nine years since its inception, the Association has carried out many campaigns promoting the best food in Poland and abroad. A new campaign promoting Polish organic food in the United States, Japan and Singapore is to be launched in the near future.

Organic food production methods contribute to protecting public health and maintaining biodiversity in keeping with the slogan: “Organic Means Healthy.”

Food Industry

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