Partners: Austria-Serbia 2020

AUSTRIA - SERBIA

Mutual Support for Shared Goals

2020

CONTENTS

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EC REPORT PRESENTS A FAIR PICTURE OF SERBIA’S ACCESSION PROCESS

H.E. NIKOLAUS LUTTEROTTI, AMBASSADOR OF AUSTRIA TO SERBIA

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YEAR OF IMPORTANT LESSONS

DEJAN TURK, CEO OF VIP MOBILE AND A1 SLOVENIA

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THE EUROPEAN UNION IS A LOYAL PARTNER

FRANZ SCHAUSBERGER PH.D., FOUNDER AND DIRECTOR OF THE INSTITUTE OF THE REGIONS OF EUROPE (IRE)

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TECHNOLOGIES THAT TRANSFORM EVERYDAY

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NEW FORMULA FOR NEW TIES

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STRONG TIES WEREN’T THREATENED BY THE PANDEMIC

MIHAILO VESOVIĆ, DIRECTOR OF THE DIVISION FOR STRATEGIC ANALYSES, SERVICES AND INTERNATIONALISATION AT THE CHAMBER OF COMMERCE & INDUSTRY OF SERBIA

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CORPORATE SOCIAL RESPONSIBILITY AS AN IMPERATIVE

NOVOMATIC

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THE MOST BEAUTIFUL AUSTRIAN WATERFALLS

NATURAL ATTRACTIONS

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INVESTMENT IN THE FUTURE

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A GOLD AND THREE SILVERS FOR FRAGARIA WINES

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FROM MOZART TO MAHLER

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TRADITIONAL AUSTRIAN SWEETS & DESSERTS

ADRIEN FEIX, DIRECTOR OF THE AUSTRIAN CULTURAL FORUM

UDO EICHLINGER, CEO, SIEMENS AND SIEMENS MOBILITY

DR ERHARD BUSEK, COORDINATOR OF THE SOUTHEAST EUROPEAN COOPERATIVE INITIATIVE (SECI), CHAIRMAN OF THE INSTITUTE FOR THE DANUBE REGION AND CENTRAL EUROPE

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IMMOFINANZ BRINGS GLOBAL TRENDS TO THE SERBIAN MARKET

JOŠKO PITEŠA, OPERATIONS MANAGER AT IMMOFINANZ SERBIA, CROATIA AND SLOVENIA

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GROWTH

SUPPORTING BUSINESS, PROMOTING

ERIKA TEOMAN-BRENNER, COMMERCIAL COUNSELLOR OF THE AUSTRIAN EMBASSY

PHD SLOBODAN VUJIĆ AND PHD SAŠA VUJIĆ, OWNERS OF BOUTIQUE WINERY FRAGARIA

THE 10 BEST AUSTRIAN COMPOSERS

CULTURE

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COMMENT

Approach From The Smart Side Serbia, which has the largest economy in the region, would by definition be the best candidate to reap the benefits of the Economic and Investment Plan for the Western Balkans, but it needs to reform faster. And Austria would strongly support such an approach.

A

s a result of the pandemic, this year’s celebrating of Austrian National Day in Serbia will be turned into an audio-visual 3D event that was developed through the hackathon organised with students of the Laboratory for Interactive Arts at the Faculty of Dramatic Arts in Belgrade. It is inspired by this year’s 25th anniversary of Austria’s membership in the EU and the music of Ludwig van Beethoven’s “Ode to Joy”, the anthem of the European Union.

Apart from being prompted by health and safety issues, the way this event is being organised shows the strength of innovation, creativity and collaboration, but also ideas that are larger than life. It might also symbolically represent the way Austrian-Serbian bilateral cooperation could be shaped in the future. The underlining topic is the EU integration process, which - in the case of Serbia - needs to be reinvigorated. Reforms leading to the rule of law, independence of the judiciary, the fight against corruption, media freedom and the functioning of independent institutions and public administration need to be addressed with new strength and more faith. For EU member states that have been strong promoters of the enlargement process, like Austria, this would provide a clear signal to proceed with efforts to advance the topic of the future EU membership of the countries of the Western Balkans, including Serbia, in a more convincing manner.

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At the level of the economies, the two countries are seeking to return to the heights of bilateral trade reached in 2019.

While that certainly won’t be possible in 2020 cooperation might be returned to a desired level in 2021, when both countries should record robust growth. Given the developments already noticed in the previous year or two, when Austrian investors became interested in innovation capacities in Serbia,

nomic convergence of the region with the EU. These respectable sums – if spent in a smart way – could be a game-changer for the economies of the region.

The Investment plan has been conceived with the idea of rewarding successful, determined reform efforts by a countries’ “phasing in” to selected EU policies and programmes, even before achieving membership, which is why reforms are important.

The long-awaited new Serbian government, even with a shortened mandate, already faces a long 'to do' list. Rule of law, judicial independence, the fight against corruption, media freedom and the functioning of independent institutions and public administration are among the key priorities. it is highly likely that some new players will enter the scene, and some projects, such as the one of the Centre for Bioengineering at the University of Kragujevac, will attract the interest of the Austrian Development Agency (ADA).

These sorts of projects and ideas are needed the most if Serbia wants to utilise the promise offered by the new EU-led effort in the Western Balkans.

Indeed, the Economic and Investment Plan for the Western Balkans is envisaged as a powerful instrument that would be able to spur long-term economic recovery, boost economic growth and support the socio-eco-

Without them it would be highly unlikely that the countries will be able to absorb and implement financial support programmes.

Serbia, which has the largest economy in the region, would by definition be the best candidate to attract these funds, but it first needs to reform its public administration.

Judged from the Austrian perspective, the Serbian economy has demonstrated a good performance in recent years, as a result of continuous government efforts leading to high fiscal discipline and macroeconomic stability. And this led in turn to increased investments and solid growth. Now the spirit of reform has to be restored. ■

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INTERVIEW

H.E. NIKOLAUS LUTTEROTTI, AMBASSADOR OF AUSTRIA TO SERBIA

EC Report Presents A Fair Picture Of Serbia's Accession Process We agree with the EC report's conclusions: the need for more tangible progress on reforms and the implementation of reforms on the so-called fundamental issues: the rule of law, independence of the judiciary, the fight against corruption, media freedom and the functioning of independent institutions and public administration - Nikolaus Litterotti

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he much-discussed latest EC progress reportshouldbeconsideredbySerbiaas a guide on how to proceed with reforms, says Austrian Ambassador Nikolaus Lutterotti. In this interview, he adds that Austria is ready to consider a proposal for Serbia to open a new accession negotiation chapter (the only one in 2020) by the end of the year. However, support is not unconditional and a green light would only arrive “as long as the overall balance of progress on fundamentals – such as the rule of law,pressfreedom ordemocraticinstitutions,and other more technical chapters – is not seriously compromised”.

• Your Excellency, you commemorated Austrian National Day at the end of October. How do such

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celebrations look today, under the conditions of the COVID-19 Pandemic?

- Austrian National Day is 26th October. It was on this day in 1955 that the Austrian Parliament passed the constitutional law on permanent neutrality, a fundamental commitment to regain Austria’s full independence after WWII. This year, due to the COVID-19 Pandemic, we will not host our traditional reception, which we’ve organised at Belgrade City Hall in recent years.

It is not a time to celebrate. Instead, it is time to show solidarity with each other and adhere responsibly to the recommendations and rules necessary to minimise the spread of the virus and keep the healthcare system working properly.

I hope that next year we will again invite fellow Austrians, Serbia’s national and local represent-

atives, and many friends of Austria with whom we work together each year. This is a welcome occasion every year to thank Serbia, as our host country, and to highlight our excellent bilateral relations.

However, we will mark our National Day with an audio-visual 3D show on the Embassy’s building on Kosančićev Venac, for a period of three days.

The show, which is the result of a hackathon that we organised with students at the Laboratory for Interactive Arts of the Faculty of Dramatic Arts, is inspired by this year’s 25th anniversary of Austria’s membership in the EU. The music of Ludwig van Beethoven will accompany the show, in honour of the 250th anniversary of his birth. I hope that many citizens of Belgrade will have the chance to enjoy the show and be inspired

TRADE

EC REPORT

EU CHAPTERS

We witnessed an increase in Austrian shipments of pharmaceuticals to Serbia, while Serbia exported almost twice as many frozen fruits as last year during the same period

The reform of public administration will be a critical issue for Serbia, as outlined in the European Commission’s report

It will be crucial to see the new government’s firm commitment to EU-related reforms based on the report’s recommendations

by Beethoven’s “Ode to Joy”, the anthem of the European Union.

• Experts have been speaking about a new wave of the Pandemic, with the number of infections also rising in Austria. What kind of strategy are the Austrian authorities pursuing – the tightening of security measures or just increased precautions?

- The COVID-19 Pandemic is on the rise all over Europe again. Unfortunately, this is also the case in Austria, where we have seen a very worrying increase in new infections. Our healthcare system has so far remained well equipped: hospitals, including intensive care units, have the capacity to treat COVID-19 patients. The Austrian government’s primary focus is to stop

through the Austrian Development Agency?

- Serbia and Austria have communicated very well and supported each other during the COVID-19 crisis. Austrian Foreign Minister Alexander Schallenberg and European Integration Minister Karoline Edtstadler visited Serbia during their first foreign trip after the onset of the COVID emergency. We cooperated well in efforts to repatriate our respective citizens. The Serbian Ministry of Foreign Affairs was exceptionally helpful. Austria provided Serbia with basic medical needs for vulnerable groups and people in asylum centres, through the International Red Cross Austria, UNHCR and UNDP. The work of the Centre for Bioengineering at the University of Kragujevac stands out due to the smart and innovative approach to develop

Although difficult to predict, we hope that our bilateral trade will grow again next year. That will depend equally on our two countries’ economies and a global economic recovery, given the extent to which our companies are part of international production chains and reverse the trend and bring new infections down again.Together with the nine federal states (Bundesländer), the government strengthened measures to achieve this goal, including extending the obligatory use of masks and increasing social distancing rules in public spaces, such as schools, restaurants, shops and on public transport. Even in private areas there is now a recommended limit of six persons at indoor gatherings. The government has also adopted a targeted strategy for testing to be as efficient as possible in containing the virus’s spread. Austria maintains travel restrictions that are subject to regular review. In order to simplify information and transparency, the Austrian government introduced a “COVID-19 traffic light system”.

• You visited the University of Kragujevac recently. It has an existing bioengineering centre where a 3D printed medical respirator has been designed and produced. What led to you deciding to help the work of that centre,

a prototype 3D printed medical ventilator. It supports the local production of ventilators by enabling lower costs and shorter production timesthanthestandardindustrialmethod.Hence, this is a quick and affordable solution for Serbia’s healthcare system. We are therefore pleased to support this UNDP-led project with financial assistance from the Austrian Development Agency (ADA).

• How much has the Coronavirus Pandemic impacted on the economic situation in Austria?

- The Coronavirus Pandemic has severe ramifications for the global economy. The Austrian economy has also been hit severely, although the third quarter of this year has shown some surprisingly good results. Projections are difficult given the uncertainties of the Coronavirus Pandemic. Nevertheless, Austrian research institutes estimate an economic contraction of around 6% this year, and a recovery of +4% next year. Our economy is very much export-driven.

Exports generate six out of every ten euros.

As such, much will depend on the development of European and global markets. In his recent budget proposal, the Austrian Minister of Finance presented a sizeable financial package to support the economy and employment, improve education, strengthen the healthcare system and provide security.

• Austria is among Serbia’s most important economic partners, which prompts the question of how much the situation with COVID-19 has impacted, and will continue to impact, on economic cooperation between the two countries and investment in Serbia?

- Austria has been among the biggest investors in Serbia for decades. More than 400 Austrian companies are invested in Serbia and employ around 21,000 people. Experience has shown that Austrian companies in Serbia pursue a long-term perspective and retain their locations and employees even during difficult times. I have no indication that things will be any different this time around. Despite all the uncertainties related to the pandemic, most investors assume that there will be a robust economic recovery in Serbia in 2021.

Regarding the development of bilateral trade, we registered an all-time high of 1.5 billion euros in 2019. However, this year we witnessed a decline due to the pandemic. Based on the latest data – covering the first six months of this year – our bilateral trade has fallen by roughly 17%. All the product groups have been impacted, which reflects the overall contraction of demand in Europe. Against this general trend, we witnessed an increase in Austrian shipments of pharmaceuticals to Serbia, while Serbia exported almost twice as many frozen fruits as last year during the same period. Although difficult to predict, we hope that our bilateral trade will grow again next year. That will depend equally on our two countries’ economies and a global economic recovery, given the extent to which our companies are part of international production chains.

• The EU’s Economic and Investment Plan for the Western Balkans envisages nine billion

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euros for the region from IPA funds. On top of that, the ambition exists to encourage banks and investors from the EU to contribute to Balkan economies, so that they could receive up to 20 billion euros in donations and loans.

Do you believe this is a realistic expectation?

- The Economic and Investment Plan for the Western Balkans is a powerful instrument to spur long-term economic recovery, boost economic growth and support the socio-economic convergence of the region’s countries with the EU. If you count the nine billion euros earmarked from IPA funds for the next seven years, together with the 20 billion euros that the Commission hopes to mobilise through guarantee schemes, we have a total of 29 billion. For a region with a total annual GDP that amounts to about 100 billion euros, this is certainly a more than respectable amount, and – if spent wisely – could be a game-changer. The main point is not so much the sums of money involved, but rather the strategic approach of smart, forward-looking investments in critical areas, such as infrastructure, energy, environment, digital transition, SMEs and the region’s integration into EU value chains. A crucial element of the Plan for the Western Balkans is the option to reward successful, determined reform efforts by a countries’ “phasing in” to selected EU policies and programmes, even before achieving membership.

Another essential aspect to keep in mind is a country’s capacity to absorb and implement financial support programmes. Hence, the reform of public administration will be a critical issue for Serbia, as outlined in the European Commission’s report.

• The European Commission presented its annual report on Serbia at the same time. Do you agree with the general assessment that Serbia is making progress in the economic domain, but not when it comes to fulfilling the so-called political criteria for EU accession? The report notes a lack of progress in the fields of the judiciary, election legislation and media freedom. What attention will be paid to such assessments in Austria?

- The country report is a fair and objective assessment of the situation in Serbia. We agree with its conclusions: the need for more tangible progress on reforms and the implementation of reforms on so-called fundamental issues.

Here I’m referring primarily to the rule of law,

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the independence of the justice system, the fight against corruption, media freedom, and the functioning of independent institutions and public administration.The report also recognises that Serbia has made progress in harmonising its legislation and adapting legal standards,

Enlargement, is accepted, Serbia could open its first new accession negotiation chapter in 2020 during the coming months. Will Austria support such a proposal?

- There is still some time for such a decision in December. EU member states will first discuss the country report on Serbia in more depth. It will be crucial to see the new government’s firm commitment to EU-related reforms based on the report’s recommendations. Austria is ready to consider opening chapters case-by-case, as long as the overall balance of progress on fundamentals, such as the rule of law, press freedom or democratic institutions, and other more technical chapters, is not seriously compromised.

• Has the Coronavirus crisis impacted on the arrival of migrants in Austria, and does cooperation still exist between the Austrian and Serbian police when it comes to preventing illegal border crossings?

-ThePandemichasimpactedonmigrationandthe arrival of migrants and asylum seekers. Looking at the numbers, we can see a drop of about 31% in asylum applications in the EU compared to the preceding years. In Austria we have 9,400 asylum seekers this year, which is only 0.6% less than the figures for 2019. However, many refugees and migrants still use the Western Balkans as a major transit route. Serbia plays an important role in coping with these challenges and assisting

A crucial element of the Plan for the Western Balkans is the option to reward successful, determined reform efforts by a countries’ “phasing in” to selected EU policies and programmes, even before achieving membership particularly economic issues. In our view, the Serbian economy has demonstrated a good performance in recent years, thanks also to a mix of government measures that led to high fiscal discipline and macroeconomic stability.

Austria has great respect for these reforms.

In our view, the report provides a fair picture of Serbia’s accession process. More importantly, it acts as a useful guide for the Serbian government regarding priority areas for reforms that would accelerate the accession process.

• In the case that the proposal of Olivér Várhelyi, European Commissioner for Neighbourhood and

this very vulnerable group of people. And Austria continuestocooperateverycloselywithSerbiaon this. Based on the Police Cooperation Convention for Southeast Europe, Austria and Serbia signed a Memorandum of Understanding on enhanced internal security cooperation in 2015, and then signed a renewed MoU again this year. In 2015 there were 10 Austrian police officers who were engagedforsixmonthstosupportSerbianborder police in preventing illegal border crossings. Since the beginning of August this year, 10 Austrian police officers with technical equipment have supported Serbian border police at the border to North Macedonia. ■

UDO EICHLINGER, CEO, SIEMENS AND SIEMENS MOBILITY BUSINESS

Technologies That Transform Everyday

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e believe that if one does not solve the mobility challenge, it will be problematic to live in our cities.

This is why mobility projects are so important for society and the quality of life, and this is why we are constantly seeking solutions for this problem - Udo Eichlinger • Are there any mobility projects that you are working in Serbia?

- I am very excited that we are working on a new, modern traffic management system that will cover about 300 junctions in Belgrade. The goal is to respond efficiently to the challenges Belgrade is facing with its constantly growing population and rapidly increasing tourist needs. Once fully implemented, the system

it is a powerful motivator, so I’m proud to say that they all contribute actively and do their part to improve quality of life in the capital.

• You previously organised your business on the basis of the key four Mega Trends.

How are those Megatrends impacting Siemens today?

- Yes, there have been at least four Mega Trends that have impacted us over the last seven to ten years. These include urbanisation, globalisation, demographic changes in terms of ageing populations, and climate change. Over the last five years, we have added a fifth – digitisation. It differs from the others in that it is related to technology while the others aren’t. But digitalisation has

We are working on a new, modern system of traffic management that will cover about 300 junctions in Belgrade will increase street capacity by adapting to traffic circumstances in real time and giving priority to public transport. In parallel, these effects will also have a positive impact on reducing CO2 emissions and noise pollution.

I must emphasise that this team has some very young members, fresh out of university. It’s really special to us to support such young and talented people. We believe that young people should be given true responsibility and that

had such a huge impact on all of our markets and is rolling on so massively and in such a fast way that we’ve added this global Mega Trend to the existing ones that we believe are changing all markets.

One interesting example from this area of business is what we call the ‘digital twin’, which is basically fed by our software portfolio, our software suite. This part will also grow tremendously quickly in the future. I believe

that the digital twin will be the backbone of any future industry or manufacturing industry, because it is so powerful. Once you have the digital twin of your products or systems, they can be optimised in a much faster way and can be developed more rapidly, while development times will be shortened drastically.

• How has such a large system as Siemens’ confronted the challenges imposed on us all by the global pandemic?

- We all fear not being in control, which is usually kept in check by our daily routines.

The pandemic has really magnified this trait.

But this is exactly what has helped us manage this precedent – creating new routines for the new normal. Of course, the COVID-19 pandemic surprised everyone, but it did not completely succeed in catching us off guard, since we always put such effort and emphasis on EHS standards. The No. 1 priority for us has always been, and always will be, the well-being of our employees and anyone who sets foot into our operations or works with us on projects. We continue to actively monitor the COVID-19 situation, taking all necessary steps to protect our community, and so far we’ve safely and successfully minimised its disruptions to our day-to-day operations and ensured business continuity.

My advice for everyone would be to focus on what you can control and remember to take care of yourself and others. ■

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Photo: Nebojša Babić

Siemens today has an industrial software business that's worth $5 billion and is among the world's 10 largest software companies. The company's Digital Industry Business is focusing successfully on all core industries in Serbia, providing support to clients on a daily basis

INTERVIEW

DR ERHARD BUSEK, COORDINATOR OF THE SOUTHEAST EUROPEAN COOPERATIVE INITIATIVE (SECI), CHAIRMAN OF THE INSTITUTE FOR THE DANUBE REGION AND CENTRAL EUROPE

New Formula For New Ties

The challenge of “deepening and widening in Europe” has not yet been answered, either from the side of the Western Balkans or that of EU countries. And therefore questions that are apparently old, such as “why is Serbia still far from Europe”, have new actors and answers. And, no, this has almost nothing to do with the latest European Commission report on Serbia.

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t was back in early 2000 that Dr Erhard Busek was appointed as the Special Representative of the Austrian Government on EU Enlargement by then Chancellor Wolfgang Schüssel. He has since served in various positions that have seen him press for the Western Balkan countries to be admitted into the EU. Among many other things, this makes him an excellent interlocutor when it comes to the current state of affairs regarding the accession process. Furthermore, unlike many other interlocutors who offer vague answers, Dr Busek – who is the current Coordinator of the Southeast European Cooperative Initiative (SECI) and Chairman of the Institute for the Danube Region and Central Europe – uses fresh language and provides answers that cut straight to the heart of the matter. As this interview shows, there are many new facets of the seemingly similar picture of the EU integration process.

• You spoke almost ten years ago at a conference in Belgrade addressing the question: “how far is Serbia from Europe?”.

First and foremost, why are we still struggling with that same question today?

- Your analysis is totally right - we are still struggling with the same question, not only in Serbia’s relation to Europe, but in general for southeast Europe as a whole. I would like to go further by also noting that the European Union is unable at present to resolve a lot of issues for these countries “to come nearer”. There are several reasons for this development: first, there are still a lot of conflicts, battles and a lack of mutual understanding in Southeast Europe, but also between EU member states. We have not yet answered the real challenge of “deepening and widening in Europe”; and, second, other sides have a greater influence on this development. Serbia declares that it wants to join the European Union, but in a similar way the government is quite close to Russia, while China is also jumping in, and so on. Therefore, we now don’t have the same questions as before! We have new questions, and it is up to the capacities of all governments within

the EU, and also Serbia’s government, to answer them in the best way.

• According to some analysts, Serbia is pretending that it wants to become an EU member state and the EU is pretending that it wants Serbia as a member. Is that the case?

- I believe that the European Union is interested in having Serbia as a member, and I also believe that the Serbian government is officially stating that it wants to approach the EU. However, the steps taken forward so far have been limited and there is no real drive behind this.

• Austria has been one of the strongest promoters of the EU accession process for Serbia. How successful has this effort proved to date and what factors have impacted on the outcome?

- Austria is generally very heavily engaged in Southeast Europe, including Serbia. The capacity of Austria to solve problems like Kosovo, but also Serbia’s relations with neighbouring states, is also limited. The Austrians

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• When it comes to the trends shaping developments in Europe, what are the latest insights provided by the European Forum Alpbach?

- There is a clear message from Andreas Treichl, the new president of the European Forum Alpbach, stating that the enlargement process of the past has come to an and. We will skip this formula and maybe look to another strategy, for example to deepen relations in different areas, like infrastructure, investment, education and so on, separately and on this basis reach agreement on different fields. The previous strategy for developing new communities, as was done for energy, trade, transport and so on, might be the right way to go in this direction. Moreover, the Regional Youth Cooperation Office (RYCO) has an important role to play here for the younger generations.

are always speaking about being a bridge, but in this context it isn’t really working...

• What are the dominant trends in the Western Balkans today; how is the situation influenced by the current stage of the Belgrade-Pristina Dialogue and the recent Montenegrin elections?

-The dominant trends in the Western Balkans remain a lot of local conflicts, border issues, misunderstandings and so on. Concerning the Belgrade-Pristina Dialogue, we have a problem that five EU member states have not yet recognised Pristina, which generates hope on the Belgrade side that we can turn history around and go back to previous situations. What the recent Montenegrin election means is not yet clear to me.

• Considering the outcome of Serbia’s latest elections, do you think that a single winner eases the decision-making process, for example when it comes to the Belgrade-Pristina Dialogue?

- If we are coming to results of the Belgrade-Pristina Dialogue, it is necessary for a broader understanding to exist. It is not only a matter of elections, it is also a question of mutual dialogue between the citizens of both states. A single winner of an election is no guarantee of a broad majority in the mood of the citizens of a country.

• One of the hotly debated issues in Serbia -

• COVID-19 represents an unprecedented event that could still shake Western Balkan societies to their core. How do you see the role of the EU, and Austria in particular, when it comes to supporting the region and preventing it from falling into a precarious state?

- Mutual support is necessary between Western Balkans societies, members of the European Union and so on. We have to learn from the experiences of others and develop a programme of mutual assistance.

Please do not overestimate the reports of the European Commission. I think that if there is a clear will in Serbia and within the European Union, then we can overcome all the difficulties and analyse what is missing, what has to be done and so on. We need a broad discussion in Serbia and in EU member states to be in favour of Serbia’s membership.

• As we know that you are fond of music, we would like to conclude this interview by asking you what role you think music, coupled with art, has played in our struggle to stay sane and mentally strong during this difficult time?

- Not only music, but the arts in general, literature and so on, play an important role in developing mutual understanding.

If I look at the situation in Austria, Serbs have a strong presence in every field of cultural expression. This should be supported and generally promoted to cover the whole of Europe. ■

Despite apparently looking the same, questions related to the accession process are new, and the capacities of all governments within the EU, and also the government in Serbia, are limited when it comes to solving them in the best way is the latest European Commission report, which notes both positive and troubling developments in Serbia. Viewed from the perspective of long term commitments – in terms of investments, financial support and inclusion of the Western Balkans in many EU-led processes – how important is one less favourable report or one less chapter opened?

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DEJAN TURK, CEO OF VIP MOBILE AND A1 SLOVENIA BUSINESS

Year Of Important Lessons Vip mobile has behind it a number of years that were excellent in terms of business results, and the company's top man even expects the growth trend to continue this year, despite the crisis. Vip manages to make the most of every situation, even this one, and to offer more to satisfy the needs of their users to the greatest possible extent

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or Vip mobile, as the first recipient of the Family Friendly Certificate in Serbia, the health and safety of employees and their families remain an absolute priority. Investing in their well-being is considered the most important investment in the future, regardless of whether they operate under the Vip or A1 brands.

• It was planned for Vip mobile to change its brand to A1 this year. Did the pandemic influence that plan and, if so, to what extent?

- The pandemic has undoubtedly impacted on shifting the focus and strategic goals of companies in all branches of industry. During times of great uncertainty, people come first – the health and safety of employees and users are our top priority at this moment.

From the outset, like the rest of the A1 Group, under the auspices of which we operate, we monitored the development of the situation, formed a crisis team and began preparing various scenarios for protection against the virus. We quickly started introducing preventative measures, in order to protect people, but no one could have predicted the scale of the pandemic. Quite simply, you have to adapt to the situation.

• The new conditions have led to increased demand for the services of mobile operators,

apart from roaming. Will you record a profit at the end of 2020?

- Apart from a stable network that can support the increase in mobile traffic, the crisis has given rise to some new products and services, and we have also tried to be a reliable partner in this segment. We have supported the development of telemedicine - through the DokTok platform, Serbian citizens nationwide can consult doctors from various fields free of charge and thus avoid having to go to a health centre. We also launched the first virtual shop on the market and went a step further when it comes to the advanced user experience.

During this summer we also restored the most

in obstacles, I believe that we will soon look at 2020 as a year of important lessons that inspired us and taught us to be better.

• With more than a billion euros invested, Vip mobile remains the largest greenfield investment in Serbia. Will your Telekom Austria Group continue to invest in our country?

- I’m glad that, with a more than 25 per cent share of the domestic market, we are among the companies that influence its advancement. Our plan is to maintain the continuity of our sustainable growth and continue further investments, but we remain flexible enough to be able to adjust our short-term goals to the situation and needs

We supported the development of telemedicine, launched the first virtual shop on the market and also started the project dedicated to empowering the oldest favourable NEO tariff, and since October - the month dedicated to the elderly - we have been empowering the oldest members of society, enabling them to share their wisdoms with the world within the project Stari znalci.

However, it is still too early for a final prognosis.

We are awaited by a quarter of the year that could change a lot, given that a new wave of the pandemic is predicted. As an eternal optimist and someone who sees an opportunity

of the market. Serbia has so far being worthy of praise for the way it’s handled the challenges of the pandemic, and - despite global uncertainty the domestic market has remained competitive and receptive to foreign investors, while there are no indications that it will abandon long-term investments. I have emphasised repeatedly that Serbs are an extremely hard-working people, dedicated and creative, and those are qualities that investors recognise and value. ■

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INTERVIEW

FRANZ SCHAUSBERGER PH.D., FOUNDER AND DIRECTOR OF THE INSTITUTE OF THE REGIONS OF EUROPE (IRE)

The European Union is a Loyal Partner

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PHOTOCREDIT_IRE

The Institute of the Regions of Europe (IRE) recently organised a conference entitled “Europe and Corona: Dangers and chances”. We asked Franz Schausberger Ph.D., Founder and Director of the IRE, which conclusions from that event he would consider as the most important when it comes to our part of the world. We specifically addressed the issue of candidate countries that might be afraid both of the coronavirus and the economic and political disintegration of the EU, caused partly by the pandemic.

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t is of high importance, not just for the Western Balkan Region but for all of Europe, to increase cooperation and solidarity between states and regions.

The European Union showed quick and massive solidarity by helping the Western Balkan region with an aid package of 3.3 billion euros. There was no dispute on that within the European Institutions and member states - says the IRE founder and director.

“Furthermore,” adds our interlocutor, “not just the region but many European countries have to improve their healthcare system. In general, a conclusion we drew at the Summit is that research and healthcare systems should be much more at the centre of political attention.”

“No one needs to be worried that the EU will disintegrate because of pandemics. It is the other way round: after the initial shock, many regions and states showed solidarity and received intensive care patients from other countries, while the European Commission has been distributing medical and protective equipment to European states.

Even the point where the states showed some kind of disagreement – on recovery funds – was not a general disagreement, rather a discussion on the technical details of financial aid,” says our interlocutor, before adding that there is certainly always the danger that some political groups will try to demolish Europe when an economic situation renders it vulnerable.

• On the positive side, what are the opportunities presented by this situation and

which forces are able to bring them to life?

- We all learned that, first of all, we have to be much better prepared for global crises like pandemics. European coordination networks have to be improved. There are chances, for example in the field of digitisation. Many companies, schools, universities or public service institutions were forced to bring their digital infrastructure into the 21st century. Though physical distancing is a challenge that society has to cope with, today’s technological possibilities helped bring people together even though they weren’t able to get together personally. So, family members could at least see each other virtually and business could also be done online. And, as mentioned above, perhaps the field of research and medicine is now getting more attention.

• How has the IRE responded to the challenges, both through its scientific networking and within its own network?

- In the first period of the pandemic, in spring, we switched to home offices and worked on a remote basis. We had online meetings every day and prepared the Salzburg Europe

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Serbia and Kosovo should rely on the talks in Brussels. The talks with the United States have to be viewed under the aspect of the election campaign; they will be without any substantial outcome Summit. Very quickly, at the end of April, we decided and communicated that we would hold the Summit as a presence event.

This was a clear positive signal in Salzburg.

After going back to normal office work, we certainly worked to a basic prevention and sanitation concept, with distance, disinfection and attention. But we always wanted to show our members and our network that we work normally for the sake of our members.

So we conducted meetings, discussions and events on various topics online, published our members Magazine, worked on our scientific journal “Occasional Paper” and organised the Salzburg Europe Summit.

Furthermore, we organised a video meeting between member Region Ajara (Georgia)

and an expert from our Health Ministry, took part in an online debate about tourism in Romania and – together with a regional newspaper – conducted an online debate with Martin Selmayr, the representative of the European Commission in Vienna. During the lockdown, we initiated a project called “Voices from the European Regions”, which saw dozens of people from our member regions send video messages about the Corona-situation in their region and how they feel about it. We are very proud that our efforts paid off and we gained many new members (regions and companies) during the time of the pandemic. This shows that there is a desire for cross-regional cooperation, especially in challenging times!

• You are a special advisor to Johannes Hahn, the former EU Commissioner for European Neighbourhood Policy and Enlargement Negotiations and, as such, your focus is on better information on the European Union being available in regions and municipalities within EU member States, but also in the countries encompassed by the European enlargement and neighbourhood policy.

Which challenges have arisen in communication there?

- I see two main challenges: First of all, the issues that the European Union (Institutions) are working on are very complex and not always easy to understand. There are many issues to deal with in a globalised world. On the other hand, there is lack of information in the regions and municipalities regarding the ways European decisions and programmes impact on the regions and municipalities.

Mayors and regional authorities often have little information about the EU and its institutions. To have and disseminate this information would be very important in times of pre-accession. Here we have to work

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order to receive and exchange information about the situation confronting cities and municipalities in Serbia.

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much more to break down the information.

That’s why Commissioner Hahn and I want to expand the Austrian initiative called “EU-Counsellors” to the villages, cities and municipalities of other European countries.

• To what extent has the situation created by the pandemic become fertile ground for misinformation when it comes to communication regarding the EU’s enlargement policy?

- I don’t see special misinformation regarding EU enlargement or the Western Balkans during the pandemic. It is more a general misinformation campaign aimed at playing down the risks of this pandemic or undermining trust in institutions. We all have to work hard to tackle the growing numbers of conspiracy theories regarding this Coronavirus.

• What role did the IRE networks play in communicating the EU’s efforts to support Serbia in terms of medical support and overall assistance?

- We followed the EU’s assistance to the Western Balkans, and therefore also Serbia, very closely during the pandemic. We informed our network about how the EU, through different member states or re-

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• What has changed with regard to the approach to enlargement between the old and new European Commissions; and what has changed when it comes to Western Balkan states?

- The European Commission is dedicated to bringing the Western Balkans closer to European Union, though we have to keep in mind the different stages of development they’ve reached when it comes to negotiations or candidate status. It has to be a win-win-situation, where the authorities in the Western Balkan states conduct the necessary reforms as quickly and efficiently as possible, while the European States retain their support for EU Enlargement. As far as I can judge, Commissioner Olivér Várhelyi is dedicated to this issue. Commissioner Johannes Hahn

Mayors and regional authorities often have little information about the EU and its institutions. That’s why Commissioner Hahn and I want to expand the Austrian initiative called “EU-Counsellors” to the villages, cities and municipalities of other European countries gional initiatives, supports the region. The EU, as the main partner of this region, has supported Serbia with 93 million euros for economic recovery and emergency assistance since March. Furthermore, the European Union has also paid for the hiring of 200 additional medical workes and has financed the purchase of 800,000 protective masks, 100 triage containers, 100 oxygen concentrators, 75 devices for anaesthesia and ventilation, 300 infrared contactless thermometers, 100 oxygen concentrators, uniforms, emergency items and support for the most vulnerable sectors of the population, such as elderly people, single mothers and the Roma community.

As Co-Chairman of the Joint Consultative Commission “Serbia” (JCC Serbia) of the European Committee of the Regions, I am constantly in contact with my Serbian CoChair, Niška Banja Mayor Dejan Jovanović, in

laid a perfect foundation in his former role as enlargement commissioner. The regular reports of the Commission on the situation in the Western Balkan countries provide a good overview.

• In your opinion, what does the future hold when it comes to the Belgrade-Pristina Dialogue?

- The solution is as simple as the situation is difficult: dialogue has to be kept up! There should be no provocation between the political authorities of both countries, rather mutual respect and steady dialogue. The talks with the United States have to be viewed under the aspect of the election campaign; they will be without any substantial outcome.

Serbia and Kosovo should rely on the talks in Brussels. They are less spectacular, but more sustainable. The European Union will be a loyal partner. ■

JOŠKO PITEŠA, BUSINESS OPERATIONS MANAGER AT IMMOFINANZ SERBIA, CROATIA AND SLOVENIA

IMMOFINANZ Brings Global Trends to The Serbian Market Austria's IMMOFINANZ, one of the largest commercial real estate groups in Central and Eastern Europe, has activities focused on retail and office segments, with a property portfolio worth more than five billion euros. The company owns and manages office and retail properties, while its portfolio is concentrated on three brands: 'STOP SHOP' and 'VIVO!' for retail and 'myhive' for offices.

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hen it comes to commercial real estate and the retail industry in Serbia, the market has huge potential thanks to significant demand for retail space. That’s why IMMOFINANZ came to Serbia with its STOP SHOP brand in 2015, when our initial investment amounted to 60 million euros. By the time of the opening of our 10th STOP SHOP in Serbia, which is as many as there are today, that investment had increased to roughly 112 million euros.

A concept such as a retail park is ideal for countries like Serbia. STOP SHOP is a decentralised retail format, while our biggest advantage and opportunity in terms of competition is the fact that we’ve decided to focus on small cities, with a catchment area of 30,000 to 150,000 residents, and to bring them global brands. There is free market potential that we want to utilise.

Moreover, when we created the STOP SHOP concept we took care of another thing: everything in the SEE region is concentrated in capitals and many people in smaller cities are eager for various contents and seeking additional ways to spend their free time together.

Many customers also no longer want to travel an hour or two to the next large shopping centre, opting instead to visit our smaller STOP SHOPs, which is why we have such good growth rates.

So it was very important for us to explore the general environment in which we’ve been planning our business and to be informed about customers, both in terms of their purchasing power and their social habits. STOP SHOP

at STOP SHOP retail parks includes fashion, furniture and household items, supermarket & food, electronics, health & beauty and sports.

All of our STOP SHOPs offer a wide range of culinary and entertainment contents, as well as a good quality of stay.

These are some of the reasons why IMMOFINANZ has been recognised as one of the most successful companies in the region’s

The typical tenant mix at STOP SHOP retail parks includes fashion, furniture and household items, supermarket & food, electronics, health & beauty and sports. All of our STOP SHOPs offer a wide range of culinary and entertainment contents, as well as a good quality of stay retail parks create an optimal atmosphere for price-conscious families, while providing a broad range of products with convincing cost-benefit ratios. We have implemented a mix of leisure, sports and entertainment brands, and even cinemas or ice-skating extensions in green surroundings. Thus, the typical tenant mix

commercial real estate sector. The company received the award for the Best Retail Developer of the Year at the ceremony for the CRE Awards 2019, which is why we are encouraged to further expand our STOP SHOP retail parks on the Serbian market. So, as we promised, we are here to stay. ■

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INTERVIEW

MIHAILO VESOVIĆ, DIRECTOR OF THE DIVISION FOR STRATEGIC ANALYSES, SERVICES AND INTERNATIONALISATION AT THE CHAMBER OF COMMERCE & INDUSTRY OF SERBIA

Strong Ties Weren't Threatened

By The Pandemic Considering that the strong growth of economic activities is predicted in Austria for 2021, as well as a recovery of the consumer trend, we should expect the growth of Austrian investments in countries that are its traditional trade partners. That should certainly be seen as an opportunity for Serbia.

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mmediately upon the outbreak of the coronavirus epidemic, one of the biggest challenges to maintaining Serbian-Austrian economic cooperation was maintaining unhindered trade activities and enabling unhindered and continuous transport under circumstances that were marked by the introduction of various restrictive measures that related to the partial or complete closing of borders, the introducing of various rules related to the control of the health condition of drivers, the withdrawal of air transport and restrictions on the movements of workers. “It should be emphasised that the outstanding efforts of the Chamber of Commerce &

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Industry of Serbia, through its representative office in Austria, as well as all institutions in the chain of international cooperation that partly participated in creating new procedures and procedures, enabled – under the shortest possible deadline - the continuation of the transporting of goods during this period,” says Mihailo Vesović, Director of the Division for Strategic Analyses, Services and Internationalisation at the Chamber of Commerce & Industry of Serbia, continuing: “although trade between the two countries has largely recovered since the first wave of the pandemic, there is a noticeable decrease in consumption among the population, so in

the period ahead we should certainly expect the adopting of measures that would impact positively on the growth of consumption”.

• How do the two chambers help connect businesspeople under the new conditions?

- Cooperation between the two chambers has remained intensive even under the altered conditions, but it was necessary to introduce new ways of communicating. The beginning of the crisis was marked by constant communication on ways to ensure the continued functioning of transport corridors, as well as the easier implementation of new procedures that accompanied the newly emerged situation.

Both chambers exerted remarkable efforts to ensure the continuous, 24-hour, availability of data and information on changes to regimes.

The launch of various platforms for exchanging information and data on the availability of certain types of goods that were in short supply was particularly important for overcoming bottlenecks that arose due to the crisis situation. It should be stressed that, through cooperation between the two chambers, digital communication between companies has been enabled, primarily through the participation and placement of information on digital stock exchanges that were initiated by both chambers.

• How is this new situation reflected in the inflow of Austrian investments in Serbia?

- Measures that were taken by the state authorities of both countries, with the aim of preventing the spread of the virus, brought Austrian investment in Serbia to a halt, but what is encouraging is that there is still great interest among Austrian investors. According to the stats of the National Bank of Serbia, the net value of Austrian investments for the first six months of 2020 totalled 65.8 million euros.

On the other hand, the Austrian government is certainly taking efforts to stimulate its investors and for this purpose has allocated incentive funds amounting to a billion euros, which have been available since 1st August this year and which will subsidise part of the funds invested by domestic investors in their own country.

Considering that the strong growth of economic activities is predicted in Austria for 2021, as well as a recovery of the consumer trend, we should expect the growth of Austrian investments in countries that are its traditional trade partners.

The current crisis has also highlighted the need to relocate the production capacities of some key industries that are dislocated from the European continent. Thus, relocating production operations from Asia and the Far East closer to the European Union should certainly be seen as an opportunity for Serbia, which stands out as a logical destination thanks to its favourable geographical position, conditions for doing business and international free trade agreements.

package of economic measures that both countries have introduced, and which are intended to aid economic recovery and the preserving of economic flows.

• What would you point out in particular when it comes to joint work on the digitalisation of the Serbian economy?

- One of the first steps towards establishing a model of support for digital transformation was the establishment of the CCIS’s Centre for Digital Transformation (CDT) and the creation of a network of consultants with knowhow and experience in processes related to the digitalization of entire operations.

tivities are aimed at ensuring the efficient digitalisation of the Serbian economy through education, consulting and the creating of strategic partnerships with technology leaders, on the one hand, and companies that would apply these solutions in their operations, on the other.

Since the establishment (CDT) in 2018, 43 consultants and 6 CDT trainers for digital transformation have been certified according to the standard ISO 17024. In excess of 750 companies have applied to participate in the CDT’s programmes, 300 of which are companies that are in the process of developing and implementing digital strategies, while 130 companies

During the period of the pandemic we've encountered numerous difficulties in the implementation of dual education, but we've also received support from our Austrian colleagues The development and establishment of this centre was supported by GIZ – the German Organization for International Cooperation, and the Austrian Chamber of Commerce - WKO, while the CDT’s ac-

have already implemented digital solutions in their operations.

• You are included in the organising of dual education with employers in Serbia.

• How is your cooperation with the Austrian Chamber organised under the new conditions?

- Cooperation with the Austrian Chamber of Commerce is largely realised through the representative office of the Chamber of Commerce & Industry of Serbia in Vienna, but also in direct communication. Considering the restrictions in terms of movements and the impossibility of organising visits of institutional and economic delegations, communication between businesspeople and officials takes place via online platforms.

We should mention in particular the exceptional cooperation and contribution of the two chambers in designing the

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due to visits to employers becoming more difficult, which for the same reasons makes it difficult to organise training for instructors in dual education.

In the context of overcoming the challenges, our colleagues from Austria provided us with great support in the development of online training of instructors, in order for the accreditation process to be able to run smoothly. Furthermore, they also shared with us their guidelines and regulations related to the organising of activities in the field of dual education during the mentioned epidemiological situation, which imply recommendations for the organising of activities while taking into account the health status of all participants.

• What are your priorities for this cooperation in 2021?

- Next year, which is forecast to bring strong economic growth for both countries, is certainly a year that should be used to further strengthen economic cooperation. According What challenges have you faced during this school year and what kind of advice did you receive from your Austrian colleagues?

- The dual education system is extremely important when it comes to cooperation with Austria. One of the preconditions for enticing a larger number of Austrian investments in Serbia is a qualified workforce, and the applying of the dual education model in our country should contribute to this. Through the CCIS and Austria Chambers project, since February 2017 the Trade School in Belgrade has organised education for an entire generation of first year pupils in the three-year subject of trader, including 120 pupils, who underwent trained for traders according to the dual model and had work placement training at Delhaize, dm drogerie market, Univerexport, Mercator S, VIP mobile and Metro. Since the start of the 2018 academic year, in addition to traders, the start of implementation of the educational profile of logistics and forwarding technician began, while the 2019 academic year saw the start of the implementation of the educational profile of basic construction works operator.

Testifying to the exceptional cooperation in this field is the support of the Austrian

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Through cooperation between the two chambers, digital communication between companies has been enabled, primarily through the participation and placement of information on digital stock Development Agency, which supported the continuation of the project, worth 1.8 million euros, which will be implemented over the next four years. And in addition to the existing Austrian and Serbian Chamber partners, the project also includes the participation of the Institute for Advancing Education and the German-Serbian Chamber of Commerce. This project, which is of national importance and has the support of the Ministry of Education, Science and Technological Development, should enable the full implementation of the Law on Dual Education.

During the period of the pandemic, which made it more difficult to do business in all fields, we’ve encountered numerous difficulties in the implementation of dual education, especially when it comes to issuing confirmations on the fulfilling of conditions for learning through work placements with an employer, partly

to estimates taken prior to the outbreak of the global pandemic, 2020 should have been another in the series of record-breaking years when it comes to economic exchange between the two countries. In the last three years, since the economic exchange between Austria and Serbia first exceeded a billion euros, trade between the two countries has been increasing continuously. According to the Statistical Office of the Republic of Serbia, foreign trade between Serbia and Austria amounted to 688 million euros in the first eight months of 2020, which is a fall of almost 15% compared to the same period of 2019. That’s why our goal is for Serbian and Austrian economic cooperation during 2021 to reach the results of 2019, where a trade exchange of 1.3 billion euros was realised (including exports worth 567 million euros and imports worth 674 million euros). ■

VLADIMIR SPASIĆ, ACCOUNT EXECUTIVE, DELL EMC BUSINESS

Our Future Is Digital Dell EMC is one of the world's most influential companies, which provides infrastructure for building the digital future, transforming the IT sector and protecting information.

As an important part of the most technologically advanced industry, Dell EMC successfully handles the most complex tasks and problems of users

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t is indisputable that new technologies will replace people in certain segments, thus it is necessary for people to expand their knowledge and follow market demands to the greatest possible extent, in order to create new jobs for the future, explains Dell EMC account executive Vladimir Spasić • What will our digital future be like?

- The digital revolution, which is one of the greatest challenges of our time, has a great impact on people’s private and working lives.

As such, it creates a range of opportunities that should be taken advantage of, because investing in digitization brings efficiency and productivity. Our future is digital, with the internet and digitisation shaping our lives.

The digital future isn’t a meaningless phrase, rather it describes the world of that which

of pupils; we’ve seen professors who didn’t previously use email now suddenly lecturing on Zoom. All this shows that our digital future will be uncertain, but still interesting. With the application and development of new technologies, connectivity will increase ever more, and for now there’s no end in sight.

Digital transformation brought us organisational changes through the use of digital technologies and the improvement of business processes reflected in the successful management of operations.

• How much has the COVID-19 pandemic influenced the expectations and demands of your clients?

- COVID-19 represented a great test for all our clients; it compelled them to check the condition of their IT infrastructure and con-

The digital future isn't a meaningless phrase, rather it describes the world of that which large multinational companies call ambient computing large multinational companies call ambient computing. Just as today’s consumers are constantly connected, so companies will operate entirely in this way in the near future.

Consider the changes we’ve seen since February... In just a few months, we’ve seen schools change and serve the networking of millions

nectivity. As has been the case to date, and particularly in these unpredictable times, our company’s focus is to ensure that customers have what they need to keep their IT environment stable and for them to progress. It is natural for clients’ expectations to be high, especially during the time of a pandemic, so

we meet those expectations according to the possibilities. I can say that the expectations and demands of our clients are understandable, considering the current situation, and that they’ve remained at the same new level they were at before the pandemic.

• What is changing the fastest today In terms of products, solutions and services; which of these three segments of your business requires the most investment and research?

- As applications and software generally evolve, it is necessary to adapt solutions that can satisfy market demands. Without products we wouldn’t be able to create solutions, and to use them to perform certain services, so I could say that these three segments represent a whole that must be developed in parallel and thus presented to the market. Considering the industry we belong to, it is important for us to strive for the constant development of products, solutions and services, to establish market trends instead of waiting for the market to send us its demands. If I had to single out the line of business that is changing the fastest and requires the greatest investments, that would certainly be products, because they are the core of every solution.■

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INTERVIEW

ERIKA TEOMAN-BRENNER, COMMERCIAL COUNSELLOR OF THE AUSTRIAN EMBASSY

Supporting Business, Promoting Growth After a very successful 2019, the Austrian-Serbian trade exchange fell by roughly 17% in the first six months of 2020. However, with the support of Advantage Austria, companies from both sides of the aisle are trying their best to preserve contacts and cooperation

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rika Teoman-Brenner, Commercial Counsellor of the Austrian Embassy, had previously faced challenging moments in her previous postings, such as the financial crisis of 2008/2009 or terrorist bombings in her immediate surroundings. “However,” she insists, “this pandemic is nothing like anything before”. Yet, throughout all these perplexing times, the greatest strength of ADVANTAGE AUSTRIA has been its commitment to connect people and build partnerships with value. That’s also exactly what they’re doing now, by helping companies to navigate their ways through complex issues of maintaining physical contacts and spurring innovation.

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• What kinds of trends have you noticed in the trade exchange between Austria and Serbia during 2020? What are the forecasts like as we head towards 2021?

- After a very successful 2019, with bilateral trade achieving an all-time high of 1.5 billion euros, we witnessed a decline this year, due to the pandemic. Based on the latest data – covering the first six months of this year – our bilateral trade has declined by roughly 17%. Basically, all product groups have been impacted, which reflects an overall contraction of demand in Europe. Against this general trend, we witnessed an increase in Austrian deliveries of pharmaceuticals to Serbia, while

during the same period Serbia exported almost twice as much frozen fruit as last year. It is practically impossible to predict developments for the next year, given the uncertainty of the evolution of the pandemic, but we certainly hope that our bilateral trade will grow again. This will not only be a function of the situation in our two countries, but more that of a global economic recovery, given the extent to which our companies are integrated into international production chains.

• How did Austrian companies that operate in Serbia cope with the altered circumstances for doing business?

- First and foremost, they ensured that their employees were as safe as possible by maintaining all necessary social distancing protocols. At the outbreak of the pandemic, the biggest challenge was probably to deal with the interruption of supply chains and the implementation of all necessary systems to support remote working. In order to get a clearer picture, though, we are awaiting the results of our upcoming annual investors’ survey. In any case, what we have witnessed so far is that our companies adapted very quickly to these extraordinary circumstances.

innovation? How active have Austrian companies been in this field?

- We probably all agree that COVID-19 has impacted nearly every aspect of life, from the way people live and work, to the ways

you tell us more about the outcomes of these initiatives?

- We are indeed involved in a joint initiative of the Austrian Development Agency and the Austrian Research Promotion Agency

• What challenges are today confronting the companies that address you most often; how much have those challenges changed since the outbreak of the pandemic?

- When we talk about challenges to doing business in Serbia, they have remained quite unchanged over the years. They are generally linked to administrative and regulatory issues, but also to low growth of domestic consumption and investments. Since the outbreak of the pandemic, our companies

Austrian companies took every action to protect not only the health of their employees, but also to preserve their workplaces, and by doing so they contributed greatly to maintaining employment in these difficult times. have obviously had to face a number of unexpected problems. On a practical level, travel restrictions were probably the most challenging, given the geographical proximity and close business relations between companies in Austria and Serbia, and - last but not least - the large number of Serbian citizens commuting between the two countries. It is fair to say that our office has become a very important – and appreciated, if I may add – point of reference for Austrian and Serbian companies seeking up-to-date information on travel regulations.

• What has represented the positive side of the COVID-19 crisis when it comes to

companies operate and interact with their customers. As a response to this, a number of innovative products and services have entered the market. Looking at Austrian companies, there have been some interesting innovations, such as a contact tracing app for the hospitality industry or a DIY Corona test kit sold through drug stores.

Another start-up offers free Youtube workshops for maintaining mental health during times of crisis.

• At the same time, you are also involved actively in fostering innovation as a way of supporting sustainable development in the region of the Western Balkans. Can

that aims at supporting the establishment of cross-border partnerships between Austria and the Western Balkans that contribute to the Sustainable Development Goals through so-called frugal innovation, a concept that is quite new in this region. We are still in the initial phase, but the talks we’ve had so far with potential partners have proved promising.

• How have Austrian companies contributed to Serbia combatting the consequences of the pandemic?

- Immediately after the outbreak of the pandemic, a number of Austrian companies in Serbia donated protective equipment and ventilators to various Serbian organisations.

But what is probably more important is that they continue to be totally committed to their operations in Serbia, and to their employees in particular. They take every action to protect not only their health, but also their workplaces, and by doing so they contribute greatly to maintaining employment in these difficult times. ■

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BUSINESS

GORAN MILJKOVIĆ, PRESIDENT OF THE MUNICIPALITY OF BELA PALANKA

Life Is Returning To Bela Palanka Bela Palanka is a place that ensures an increasingly better quality life for citizens through the creation of a favourable business climate and the construction of infrastructure. This municipality's Sustainable Development Strategy defines industry, agriculture and tourism as its pillars of economic development

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GRS is a company that will employ 100 workers in Bela Palanka in the first phase of its investment cycle, then in the second phase – in January 2022 – it will launch production activities at a new factory in the “Murica 1” industrial zone. According to Bela Palanka’s municipal leader, another 250 citizens will be employed at this factory.

• You have seriously committed yourself to enticing investors and leading the economic recovery of Bela Palanka. Have better days finally arrived for your municipality?

- Using all available resources, as well as our good strategic position – given that Corridor 10 passes

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through the municipality, as well as a first class state road covering a distance of 32 kilometres – we strive to achieve economic progress.

In terms of industrial development, today we have the Murica 1 and Murica 2 industrial zones, encompassing a total area of 13 hectares in close proximity to Corridor 10, as well as two brownfield locations where companies Trendtex and TGRS operate. There are large investments on the territory of the municipality in the area of renewable energy sources, so we have two mini-hydro power plants installed on the River Nišava, while preparations for the construction of three more are underway. We help entrepreneurs directly by allocating funds

• After the arrival of Trendtex, you secured another investor in the form of Austrian company TGM Services, which will produce vehicle steering wheels in Bela Palanka. Tell us more about this...

- In creating conditions for the arrival of new investors, we repurchased the plant of the former Femid factory a few years ago. We completed the reconstruction of the facility, investing a total of around a million euros, and leased it to a new investor, TGRS, for the opening of an auto parts factory. The Municipality of Bela Palanka signed a Memorandum of Understanding with the new investor, according to which 100 workers will be employed in the first phase of the investment

We have two mini-hydro power plants installed on the River Nišava, while preparations for the construction of three more are underway for the implementation of self-employment and new employment programmes.

We have made great progress in agriculture thanks to land consolidation. We have already attracted investors, so today we have about 50 hectares of cherry orchards, quince trees covering 10 ha, 1000 ha of immortelle plants, 30 ha of lavender and other medicinal herbs covering an area of 32 ha. We are the first municipality in Serbia to start granting subsidies to young people wanting to engage in agriculture and remain in rural areas.

Our commitment to the goal of tourism becoming a driver of economic development is shown by the results of the 2019 Banica Days event, which was visited by more than 40,000 tourists. Thanks to the large number of visitors, our priority will be to construct accommodation capacities that are lacking.

We will continue investing in tourism infrastructure and will work on the development of rural tourism.

cycle. In the second phase, to be implemented by the end of 2021, company TGRS will build a factory in the Murica 1 industrial zone, where production will start in January 2022 and 250 people from Bela Palanka will be employed.

• Bela Palanka is part of the IRE network, which currently encompasses more than 120 regions, cities and municipalities... How important is that for small and underdeveloped municipalities like yours?

- The Municipality of Bela Palanka has been a member of the Institute of European Regions since 2014, which provides us with logistical support, enables us to be present at conferences to exchange experiences and promotes education through examples of good practice. We are networked with municipalities from European countries via the IRE to ensure the successful application of all European standards, which is of great importance given that our country is in the process of integrating into the EU. ■

NOVOMATIC BUSINESS

Corporate Social Responsibility As An Imperative

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ovomatic, a world leader in the field of gambling technology that operates in our country under the brands “AdmiralClub” and “AdmiralBet”, is this year marking 40 years of successful operations.

This anniversary represents the result of the dedicated and responsible work of all employees of this company, but also excellent cooperation and trust built with numerous business partners.

As a company, Novomatic continuously sets high goals for itself, not only when it comes to expanding its business, but also in the segment of corporate social responsibility, which is a strategic commitment of the company. In accordance with that, company founder Professor Johann Graf and the board of directors donated, during the height of the pandemic, 10 million dinars to Serbia for the fight against this coronavirus outbreak. These donations came in the form of respirators and medical equipment sent to the National Health Insurance Fund and KBC Kragujevac. What is also important is the fact that Novomatic retained all its employees, around 1,300 of them, and their jobs are safe, which is undoubtedly the biggest help to the country, which is still awaited by the struggle to handle the economic consequences of the coronavirus crisis.

Serbia isn’t the only country to receive funds donated by Novomatic to fight the pandemic, as it has also provided assistance to North Macedonia, Montenegro, Bulgaria and Republika Srpska.WhenitcomestoMontenegro,Novomatic donated 10 pallets of asepsol antiseptic and six televisions to the Clinical Centre of Montenegro, while it secured several refreshment packages to the Red Cross of Montenegro, in the form of drinks including coffee and juices. Several hospitals in Bulgaria received disposable masks and gloves, as well as disinfectants, protective clothing and helmets. The recipients included the University Hospital in Sofia, the University Hospital of Dr Georgi Stranski in Pleven and the Rockefeller Hospital in Petrich. Novomatic allo-

Company Novomatic is commemorating 40 years of successful operations

Company founder Professor Johann Graf and the board of directors donated, during the height of the pandemic, 10 million dinars to Serbia for the fight against this coronavirus outbreak. These donations came in the form of respirators and medical equipment sent to the National Health Insurance Fund and KBC Kragujevac. What is also important is the fact that Novomatic retained all its employees, around 1,300 of them, and their jobs are safe, which is undoubtedly the biggest help to the country, which is still awaited by the struggle to handle the economic consequences of the coronavirus crisis catedasmuchas160,000eurosforequipmentfor the Medical Advance hospital in Skopje, including beds, inventory equipment and disinfectants.

Moreover, Novomatic donated 213 3G routers to ensure the smooth functioning of online teaching in Republika Srpska.

Additionally, Novomatic has launched its current social responsibility project under the title “Novo ime” (New Name), presented through the online platform novoime.rs, thanks to which talented youngsters from all over Serbia have

an opportunity to present their knowledge and skills to the world, thus winning over the affection and votes of the public, but also valuable monetary rewards that will help convert their dreams into reality. This project will run until the end of the year in Serbia, North Macedonia and Republika Srpska, with votes declaring one winner each month, who will receive an opportunity to advance their talents and realise their dreams and ambitions with grants amounting to up to 2,500 euros. ■

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WATERFALLS

The Most Beautiful Austrian Waterfalls Cool in summer, sculptural in winter, wreathed in myths and fringed with plants, there’s something truly magical about waterfalls. Tumbling over cliffs and down steep-sided gorges, they add a delightful extra dimension to walks and hikes

KRIMMLER WATERFALL

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eing close to a waterfall promises not only refreshing coolness on hot summer days, it also has a proven calming effect. Studies have even shown that it can help alleviate the symptoms of allergies and asthma. Many are conveniently accessible via hiking trails, walkways and bridges. Some even give the impression of being a gateway to another world. Five of Austrian most beautiful waterfalls are listed here.

KRIMMLER WATERFALL The Krimml waterfall is one of the largest waterfalls in Europe and the largest waterfall in Austria. A must see if you visit the country.

With a total hight of 1,250 feet, the waterfall is split in three different stages. About 400,000 people visit this waterfall every year.

GOLLINGER WATERFALL

GRAWA WATERFALL

GOLLINGER WATERFALL The gollingfall, located in the state of Salzburg, is one of the most beautfiful waterfalls in Austria.

The waterfall consists of two stages with a total drop of about 240 feet.

WILDENSTEINER WATERFALL

WILDENSTEINER WATERFALL The wildensteiner wasserfall is located in Carinthia.

With a drop of 177 feet, this beautiful waterfall is still reletivly unknown by tourists so be sure to pay it a visit.

STUIBEN WATERFALL The stuibenfall is located in the state of Tyrol.

About a 30-minute hike trough the forests and across streams leads you to this beauty. With a drop of 540 feet, you can enjoy the view from the platforms around the waterfall.

STUIBEN WATERFALL

GRAWA WATERFALL The grawa fall is located in the state of Tyrol and lies within the stubaital. The waterfall drops almost 400 feet and has a restaurant within a five-minute hike of the viewing platform. â–

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INTERVIEW

ADRIEN FEIX, DIRECTOR OF THE AUSTRIAN CULTURAL FORUM

Investment In The Future

Austrian artists often deftly manage to build upon our rich cultural history without rendering it sacred – in my view, this approach is an invaluable asset

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he Austrian Cultural Forum’s presence in the life of Belgrade has become a daily and important element, particularly for the culture scene of the Serbian capital. For example, from the beginning of autumn - despite the restrictions imposed by the COVID-19 pandemic – contemporary Austrian art has been present at many local festivals, included in projects and events, while many interesting projects will emerge thanks to an open invitation to everyone planning to cooperate with Austrian participants

in the areas of culture and science. Apart from the topics noted, here we speak with Adrien Feix primarily about his working experiences in Serbia to date.

• We spoke a year ago, immediately after your arrival to take on the position of director of the Austrian Cultural Forum in Belgrade. Given that you stated at the time that you had high expectations of your new environment, we must pose the question of whether those expectations have been met?

- Those expectations have not only been met, but far exceeded. I realised that although I travelled across Serbia as much as possible and met with hundreds of people active in culture, one year is only enough to scratch the surface of the diversity of cultural and scientific life in Serbia. One surprise for me was to discover the density of the Serbian cultural network throughout the country, with very dedicated culture centres, libraries and archives. Of course, the pandemic made things more difficult – and it is a challenge to catch up on the time lost.

despite the pandemic – we managed to be very active in September and October, with Beldocs, Danube Dialogues, digitally at the SAXperience festival, as well as with the street art programme and the first part of “Overview Effect” at the Belgrade Museum of Contemporary Art. But you are right that we have also been working during the pandemic to extend and deepen our partnerships by supporting projects that deal with current challenges – related to the pandemic, climate change, innovation and regional cooperation. We are convinced

the stance of Austrian artists regarding this issue?

- We try to square the circle between valuing tradition and fostering innovation, as expressed in our motto IZvan tradicije. On our social media channels, through which we have expanded our activity dramatically during past months, you will see this blend of old and new, of excellence and provocation, of traditional beauty and irreverence. Austrian artists often deftly manage to build upon our rich cultural history without rendering it sacred – in my

• October was a very active month for the ACF. You organised three events in the first week alone that had an impact on the life of Belgrade, including the Weekend of Street Art and the “Overview Effect” programme, which deals with enview, this approach is an invaluable asset.

One surprise for me was to discover the density of the Serbian cultural network throughout the country, with very dedicated culture centres, libraries and archives vironmental issues. I get the impression that the ACF sees its mission in Serbia as extending beyond cultural exchanges between our two countries. Could you please comment?

- Our primary mission is indeed to support cultural exchange between Austria and Serbia, and I was delighted to see that –

that broadening the scope of our activities is an investment in the future.

• Austria has a rich tradition in all areas of culture. You have noticed that in Serbia there is a prevailing opinion among part of the public that the legacies of the past hinder contemporary creativity. What is

• According to the ACF website, Serbia is among the geographical priorities in the scope of your foreign cultural policy.

How precisely is this position reflected?

- Besides the Austrian Cultural Forum, we have Austrian libraries and Austrian lecturers in Belgrade and Novi Sad. There are a great number of scholarship recipients and artist-in-residence programmes for artists from the Balkans, not only through the Foreign Ministry, but also through Austrian provinces such as Styria, Lower Austria and Vienna. Additionally, our universities

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cooperate on dozens of research projects through the CEEPUS network and Austrian partners are deeply involved in developing dual education programmes with Serbia.

Clearly, not all of these programmes are

did you implement those courses under the conditions of the pandemic?

- We have excellent cooperation with the Austrian Institute, which proposes language courses and which has made a

How would you evaluate the translating of literary works between our two countries?

- The cancellation of major book fairs throughout Europe and the world is a huge blow to the book industry and to literature.

We are very lucky to be able to rely on the Traduki-network, supporting translations from German to the languages of Southeast Europe, and on our strong ties with Serbian publishers, a number of which publish Austrian literature. Nevertheless, we are working on strengthening these ties with specific programmes and events for literary translators.

• With the end of the year fast approaching, which programmes of the Austrian Cultural Forum would you recommend to our readers?

- With the project “Ode to Beethoven”, commemorating the 250th anniversary of Beethoven’s birth, we joined forces with the Laboratory for Interactive Arts of the Belgrade Faculty of Dramatic Arts to invite students from all over Serbia to work in

suitable for front page news, but they make a real difference and are effective at establishing lasting connections.

• The ACF has invited all those planning to cooperate with Austrian participants in culture and science to apply for your support. What kind of response have you received; what are the most common projects in which cooperation takes place?

- After the first phase of shock in spring, we are receiving ever more proposals for excellent, innovative and ambitious projects. We have created very good experiences with professional digital or hybrid formats, such as the AloneTogether series with KC Grad, the opening concert of SAXperience or the four Austrian documentaries shown at Beldocs, as well as a screening at this year’s Festival of Children’s Theatre in Subotica.

• German language courses represent an important part of the ACF’s mission. How

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We try to square the circle between valuing tradition and fostering innovation, as expressed in our motto IZvan tradicije very smooth and successful transition to online courses – so if you’re interested in learning German, the pandemic is no excuse not to enrol! Our Austrian lecturers at the universities of Belgrade and Novi Sad continue to do an excellent job of teaching German and Austrian culture and engaging with their students despite the difficult situation. And the Cultural Forum is working increasingly with schools through travelling exhibitions, film programmes and teaching materials – one of my priorities is to initiate a dialogue between our cultures and people at the earliest age.

• It is highly likely that this year’s International Book Fair in Belgrade, which is as important as, for example, the Leipzig Book Fair, won’t even be held in December.

teams and develop their ideas related to Beethoven, Europe and Austria during a hackathon. With over 60 participants and a lot of excellent ideas, it was a great success.

We rewarded the two best projects and they will be presented as an audio-visual 3D show on our embassy building. I think this is a great way to combine music, art and diplomacy, and to involve the vast creative potential available in Serbia. Furthermore, we are planning a number of exciting hybrid formats in theatre, dance, science and literature (with an exceptional culinary aspect!), as well as a digital platform for exhibitions and exchanges of artists between Austria and Serbia. Due to the current situation, the precise dates are still not set in stone, so be sure to follow us on social media to get the latest updates! ■

PhD SLOBODAN VUJIĆ AND PhD SAŠA VUJIĆ BUSINESS OWNERS OF BOUTIQUE WINERY FRAGARIA

A Gold And Three Silvers For Fragaria Wines Testifying to the idea that the best things in life are created on the basis of tradition and family history is the Fragaria Winery from the Lukarevina field in Župa, where grape varieties from vineyards that surround the winery are used to make high-quality wines that are awarded in the world.

W

e want our wines to be special and for us to be recognised as a small family boutique winery that’s seeking its own niche on the wine market of Serbia and beyond - reveal Slobodan and Saša Vujić, owners of Fragaria Winery, speaking to CorD Magazine • Your winery is newly built, but your family has been producing wine for more than a hundred years. What have you modernised and what do you still do in the traditional, old way?

- The wine industry is today global, and the way wine is consumed has even evolved. Fragaria Winery is located in Župa, Aleksandrovac, Lukarevina field, where each family has had its own vineyards and wines for hundreds of years.

Here people traditionally drank wine from their father’s cellar, or from their children’s basement.

That’s why we also wanted to continue the family tradition, even though we’ve been engaged in

other jobs in Bosnia-Herzegovina for almost our entire working lives. (Slobodan Vujić PhD was the director of VB Leasing Bosnia-Herzegovina for 18 years, and Saša Vujić PhD worked for the World Bank on microcredit projects in Bosnia-Herzegovina and as an assistant professor at the Faculty of Economics).

We invest a lot in the development of our vineyards, which we’ve modernised, because we consider that good wine emerges already in the vineyard. “Jagoda” is an endemic wine grape variety that we use to make wine in limited quantities, while we are particularly proud of the traditional way of making the Fragaria Red limited edition blend, from the Bela zemlja vineyard. The winery also has modern technology that we use for other Fragaria wines.

• Does room exist for the development of wine tourism, at least in your area, which has been known for wine since time immemorial? Can

winemakers do that themselves, or do you need assistance from the state or local government?

- We’ve travelled a lot, but in Župa Alexandrovac we saw huge potential for both wine and tourist.

Here we were delighted by the landscapes, the country, the parish winemakers and their devotion to local varieties and traditions.

This is something that can serve as a basis to attract tourists who want to assimilate into the local culture during their stay in Župa.

Now is a time when wine production levels exceed consumption and all winegrowers and winemakers are thinking about how they can express their uniqueness and be seen as special. Of course, without the help of the state and local government that is a very long and uncertain path, and the region of Župa must have a clear development strategy. The potential definitely exists.

• All four of the wines that you sent to this year’s competition in Vienna won awards. Where there any golds among them?

-Yes,wewononegoldandthreesilvers.Goodwine requires good grape vines, soil, climate and people who do the work, but the way all of these factors interact is also important. We consider that in the Lukarevina field, where our vineyards are, and in our winery there exists a mutual harmonisation of these factors, which is why our wine is of high quality. Considering that we are a young winery, we lacked the international recognition of the quality of our wines that came with AWC Vienna InternationalWine challenge 2020. In competition among 11,232 wines and 1,510 producers from 41 countries, the Fragaria Winery won a gold medal for its Fragaria Red 2018 and silver medals for Fragaria White 2019, Fragaria White Sauvignon Blanc 2019 and Fragaria Red 2017.■

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CULTURE

THE 10 BEST AUSTRIAN COMPOSERS

From Mozart To Mahler

WOLFGANG AMADEUS MOZART

MOZART Wolfgang Amadeus Mozart is one of the world’s most recognisable composers and an Austrian superstar of the classical era.

The prodigy originally hailed from the city of Salzburg, where his legacy continues to live on today – the home in which he was born is now an extensive museum. He died in his homeland aged just 35, having written more than 600 works. There are countless conspiracies about his death, including one version theorising that he was poisoned by rivals.

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Often heralded as the ‘capital of classical music’, Austria is a honeypot for those who consider themselves connoisseurs in concertos and masters of Mozart.

This city is a wonderful place for enthusiasts to delight in the numerous concerts available, or those who want an introduction to opera and discover the joys of immersing themselves in a dramatic symphony. Here’s our guide to the country’s top composers.

SCHUBERT Second to Mozart, Schubert is probably Austria’s most prolific composer, having created over 600 secular vocal works in his short lifetime (he died aged just 31). Sadly, as is the case with many artists, his work was not fully appreciated by the wider public until after his death. However, he was highly respected in elite circles in Vienna and is now considered one of the top composers of the classical era. In Vienna’s Stadtpark, there is a statue of the composer, and he has a park named after him in Währing.

STRAUSS Johann Strauss II, not to be confused with his father Johann Strauss I, is one of Austria’s betterknownmusicalgeniuses.BorninVienna in 1825, he became one of the country’s most prolificcomposers,writingover500works.He was especially respected for his 150 waltzes that earned him the nickname ‘theWaltz King’.

You can listen to seven of his best here.

SCHOENBERG A far cry from the conservative compositions of Amadeus Mozart, Schoenberg (1874 – 1951)

IGNAZ VON SEYFRIED

is one of Austria’s experimental musicians, writing in an expressionist style that helped redefine music at the time. His compositions were incredibly influential in terms of tone and technique, and he passed on his knowledge to many respectable composers at the time, including John Cage and Anton Webern. Labelled by the Nazi party as someone making “degenerate music”, Schoenberg was forced to relocate to the U.S. during WWII. FRANZ XAVER SÜSSMAYR Süssmayr is perhaps best known for fin-

FRANZ SCHUBERT

JOHANN STRAUSS II

FRANZ XAVER SÜSSMAYR

ARNOLD SCHOENBERG

ishing Mozart’s Requiem in D minor, left unresolved following the composer’s untimely death. Born and raised in Upper Austria, he was a student and cantor in a Benedictine monastery and, after moving to Vienna, composed a variety of operas.

IGNAZ VON SEYFRIED NativeVienneseSeyfriedwasoneofMozart’s pupils and produced a huge body of work, including operas, ballets, symphonies and chamber music. Despite being extremely prolific, he never gained great notoriety.

JOHANN NEPOMUK HUMMEL Originally born in neighbouring Bratislava, relocating to Vienna as a young child, Hummel was not just a composer, but also a fantastic pianist. He is considered partially responsible for moving the classical style into the romantic era and was a friend of Beethoven, who was also residing in Vienna at the time. Although at the time of his death, he was very well known, his music was soon overshadowed by his contemporaries.

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MARIANNA MARTINES

JOHANN NEPOMUK HUMMEL

GUSTAV MAHLER

MARIANNA MARTINES Martines was primarily known as a singer, but she also composed a variety of works, writing in an Italian style. Raised in Vienna, Martines performed for the royal family at the time but was professionally held back as it was not considered acceptable for a woman in her social class to perform on stage.

MARIA THERESA VON PARADIS Despite losing her sight at a relatively early age, Maria Theresa von Paradis was a successful performer and composer, creating a variety of works for voice and keyboard. While living in Vienna, she set

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MARIA THERESA VON PARADIS

up her own music school and taught piano and singing to young girls.

MAHLER Gustav Mahler is one of Vienna’s finest composers and was hugely influential throughout the romantic era. Despite coming from a relatively poor family and suffering per-

secution under the Nazis who banned his music from being played, Mahler enjoyed a hugely successful career. His symphonies are among his most famous works, although they were highly controversial at the time, due to their unique style. Mahler’s grave is situated in the Grinzing cemetery, Vienna. source: theculturetrip.com

CULTURE

Traditional Austrian Sweets & Desserts

SACHERTORTE

Viennese cuisine is famous and much loved for its variety of sweets. Whether hot or cold, as a starter or dessert: enjoy the sweeter side of Vienna!

SACHERTORTE (SACHER CAKE) In 1832, Prince Metternich asked his court kitchen to create a special dessert for a reception. Due to the illness of the chef, it fell to the 16-year-old apprentice Franz Sacher (1816-1907) to dream something up: and thus the Original Sachertorte, now famous all over the world, was born ...

KAISERSCHMARREN Kaiserschmarren is prepared from pancake dough and – besides the Sacher Cake – one of the most popular sweets of the Viennese cuisine. Enjoy this imperial Viennese delicacy!

KAISERSCHMARREN

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One of the many legends about the origin of Kaiserschmarren says that Emperor Franz Joseph I liked to have Palatschinken (pancakes) for dessert. If the cook made them too thick or torn, they were served to the staff as “Kaiserschmarrn”, because they were not good enough for the Emperor.

APFELSTRUDEL (APPLE STRUDEL) In Vienna, there is disagreement about whether the apple strudel filling should be prepared with or without crumbs. Even though the famous Hotel Sacher supposedly resolved this issue once and for all, the debate continues. You will have to see for yourself which version of this Viennese delicacy you like better!

MARMORGUGELHUPF (MARBLE BUNDT CAKE) Marmorgugelhupf (marble bundt cake) is a traditional Viennese pastry. The name can be traced back to the Middle High German word “gugel” (hood) which describes the shape of this Viennese delicacy with beautiful marbling. During the period of Biedermeier the Gugelhupf went on its journey around the world, starting off in Vienna. Today, it is served at any time of day with coffee and tea. Emperor Franz Joseph loved the Marmorgugelhupf even for breakfast.

APFELSTRUDEL

TOPFENPALATSCHINKEN (CURD CHEESE PANCAKES) The history of the “Palatschinke” started in Roman times. The Romans called it “placenta”, which means cake. After having passed Hungarian and Slovakian regions, the “palacinka” finally reached Austria.

Viennese cuisine has been using the term “Palatschinke” in cookbooks since the 19th century. The “Palatschinke” has managed to

MARMORGUGELHUPF

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become one of the most delicious desserts of the Viennese cuisine, and it tastes best with a curd cheese filling.

BUCHTELN MIT VANILLESAUCE (BAKED YEAST BUNS WITH VANILLA SAUCE) Viennese desserts have multi-cultural origins. The “Buchtel” (yeast bun) for example comes from the Czech-Bohemian cuisine, where it is known as “buchtičky”.

TOPFENPALATSCHINKEN

In Vienna, the Buchtel has become famous during the period of Biedermeier due to an enterprising innkeeper: Originally, yeast delicacies were filled with jam or fruit. The smart innkeeper filled the Buchteln with lottery cards und sold them at a good price.

The Viennese were enthused and bought many, many Buchteln. Today, the Buchtel is still very popular in Vienna. It tastes especially delicious with vanilla sauce!

PUNSCHKRAPFEN (FONDANT FANCIES) They are a classic of Viennese baking tradition. The Punschkrapfen punch cakes seduce the sweet-toothed with fine sponge cake,

BUCHTELN MIT VANILLESAUCE

PUNSCHKRAPFEN

a sweet filling of jam and rum, all covered with a pink punch glaze. They’re almost irresistible!

WIENER SCHLOSSERBUBEN

WIENER SCHLOSSERBUBEN (PRUNE FRITTERS) During carnival time the Viennese „Schlosserbuben“ (literally: locksmith boys) are especially recommendable. However, we are not talking about craftsmen. These delicacies from the Viennese cuisine quite simply denote baked plums. They are fried in lard or oil and are therefore an ideal alternative to the popular Viennese carnival doughnuts.

By the way: The “Schlosserbuben” have a perfect counterpart in the Viennese cuisine: Baked apricots are called “Wäschermadeln” (literally washerwomen)! source: wien.info

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