International Business Sector in Serbia 2009 by CorD Magazine

INTERNATIONAL BUSINESS SECTOR 2009

CONTENTS 10 Investments The right time to invest in Serbia

12 Foreign direct investments Waiting for a better climate

15 Alexander Sperl, CEO of VIP Mobile Top investor experiences

38 Belgium

40 Brazil H.E. Dante Coelho De Lima, Brazilian Ambassador Trade on the up

42 Bulgaria 16 Nebojša Ćirić, MANAGING DIRECTOR AND EDITOR IN CHIEF Tatjana Ostojić, t.ostojic@cma.rs EDITOR Mark R. Pullen EDITORIAL ASSISTANT Miroslava Cvejić-Kovačević m.cvejic@cma.rs ART DIRECTOR Tamara Ivljanin, t.ivljanin@cma.rs DESIGN ASSISTANT Tatjana Radojičić EDITORIAL CONTRIBUTORS Mark R. Pullen, Sanja Gavrić, Miroslava Cvejić-Kovačević, Elena Vasiljeva PHOTO Marko Rupena & Slobodan Jotić TRANSLATORS Snežana Bjelotomić, Milenko Pećanac PROJECT MANAGER Marija Urošević m.urosevic@cma.rs SALES EXECUTIVE Biljana Jocović, b.jocic@cma.rs SALES MANAGER Aleksandar Đokić, a.đokic@cma.rs Vanja Mekterović, v.mekterovic@cma.rs GENERAL MANAGER Ivan Novčić, i.novcic@cma.rs FINANCIAL DIRECTOR Ana Besedić, a.besedic@cma.rs PRINTING Rotografika d.o.o. Segedinski put 72, Subotica THE GUIDE TO THE INTERNATIONAL BUSINESS SECTOR IN SERBIA 2009 published by: alliance international media Knjeginje Zorke 11b, 11000 Belgrade, Serbia Phone: +(381 11) 308 99 77, 308 99 88 Fascimile: +(381 11) 244 81 27 E-mail: office@allianceinternationalmedia.com www.allianceinternationalmedia.com ISSN no: 1451-7833 All rights reserved alliance international media 2009

Interview State Secretary within the Serbian Ministry of Economy and Regional Development Attractive investment destination

18 Vesna Perić, Interview Director of the Serbian Investment&Export Promotion Agency (SIEPA) 100 New greenfield investments

20 Michael Harvey, Interview USAID Mission Director (Serbia&Montentegro) Bound for Europe

22 Ivana Veselinović, Interview President of the Port of Belgrade Danube Waterfront

24 Miroslav Stojanović, Interview Partner Wolf Theiss Wolf Theiss: Regional advisor

28 Austria Andreas Haidenthaler, Austrian Commercial Attache Top partner

36 Belarus This issue is audited by

ABC Serbia

Sergey Chichuk, Charge d’Affairs at the Belarusian Embassy Greater goods exchange

6 Guide to The International Business Sector / March 2009

CROATIAN INVESTMENTS

Ann-Veronique Mortier, Economic and Commercial Attaché at the Royal Belgian Embassy Climate improving

H.E. Georgi Dimitrov, Bulgarian Ambassador Traditional co-operation

44 Canada Đurđa Đ. Ćeramilac, Trade Commissioner for the Embassy of Canada Canadian companies to stay

46 China Ren Yi, Economic & Trade Advisor of the Embassy of China Growing trade exchange

“If we had been talking about this topic a year or two ago, the answer would have been not only more precise but also more optimistic. A new investment cycle will certainly depend on what affect the global financial crisis has on both the Croatian and the Serbian economies. What is encouraging is the fact the Croatian Government reached an agreement with commercial banks to make €3.5 billion available to businesses in order for them to continue the developing trend of our economy while providing incentives to any company that offers a product or service ready to be sold on foreign markets. The interest that Croatian companies have shown for investing in Serbia proves that certain industries are still very much alive.” Jerko Ljubičić, 2nd Secretary of the Croatian Embassy in Belgrade.

48 Croatia Jerko Ljubičić, 2nd Secretary of the Croatian Embassy Responsible behaviour

INTERNATIONAL ECONOMIC CRISIS

51 Goran Masnec, Director of the Croatian Chamber of Commerce in Belgrade Successful privatisations

52 Czech Republic Svatopluk Čech, Economic Counsellor of the Czech Embassy Priority partner

54 Denmark René Nygaard Jensen, Commercial Advisor at the Royal Danish Embassy Committed to expansion

56 France Significant trade partner

“German companies and investments, like all other investments, have not been spared from the international economic crisis. The business climate has become drastically colder. Besides the impact of the general crisis, there are also other specific problems in Serbia – first and foremost the painstaking and endless administration processes which suffocate development. Getting permits for the simplest things, such as establishing buildings or warehouses, or the procedure of being registered as the owner, can take years to complete in some municipalities.” Ernst Bode, President of the German Business Association in Belgrade

CONTENTS

INTERNATIONAL BUSINESS SECTOR 2009

82 Japan

60 Germany Ernst Bode, President of the German Business Association in Belgrade Investment plans on hold

66 Greece Vasilios Ntertilis, President of the Board of Directors of the Hellenic Business Association of Serbia Encompassing all sectors

72 Hungary Orsolya Szecsenyi, Head of Office, Office of Economic Affairs of the Embassy of Hungary Investor next door

74 India H.E. Ajay Swarup, Indian Ambassador Genuine potential

76 Israel H.E. Arthur Koll, Ambassador of the State of Israel Growth amid the slowdown

78 Italy Fabio Corsi, Director of the office of the Italian Institute for Foreign Trade in Belgrade Long time partner

Hiroyuki Yamashita, Embassy of Japan High potential

84 Republic of Korea H.E. Kim Jonghae, Ambassador of the Republic of Korea Hot prospects

86 Montenegro Igor Građević, Charge d’Affairs of the Montenegrin Embassy Established business relations

88 Netherlands Tsjeard Hoekstra, Counsellor & Deputy Head of Mission at the Royal Netherlands Embassy Growing appeal

90 Norway H.E. Haakon Blakenborg, Norwegian Ambassador Positive outlook

92 Romania Dan Catalin Constantin and Ralu Cereceanu, Economic Counsellors at the Embassy of Romania Regional advancement

94 Russia Yevgeni Kudinov, Acting Director of the Russian Trade Representative Office Successful & dynamic co-operation

96 Slovakia Peter Molnar, Counsellor at the Slovakian Embassy Natural partners

98 Slovenia Janko Pevec, Economic Advisor of the Slovenian Embassy Slovene interest in Serbia

8 Guide to The International Business Sector / March 2009

100 Spain Jorge Andreu, Head of the Economic & Commercial Office of the Embassy of Spain Seeking clarity

BUSINESS CLIMATE

102 Sweden Magnus Lindahl, First Secretary (Commercial Affairs), at the Swedish Embassy Established presence

104 Switzerland Important trade partners

106 Turkey Mustafa Mücahit Uludag, Third Secretary (in charge of economic affairs) at the Embassy of Turkey Unrealised potential

108 Ukraine Irina Zhornyak, Head of the Trade & Economic Mission of Ukraine Good economic co-operation

“I would say that they are generally very satisfied. There have been specific cases of Greek companies having problems related to administrative procedures, the bureaucratic system or misunderstandings, but they have been solved on a case-by-case basis. Thanks to the Serbian authorities, the help provided by the association’s members and, of course, thanks in no small part to the efforts of the Greek Embassy, we have managed to solve the majority of these problems. Some minor issues remain outstanding, but even these will be solved in due course.” Vasilios Ntertilis, President of the Board of Directors of the Hellenic Business Association of Serbia.

BUSINESS PARTNERS

109 United Kingdom Dušan Filimonović, Director of the British–Serbian Chamber of Commerce in Belgrade Proactive approach 110 Nick Groves, Head of Trade & Investment, British Embassy Cautious optimism

114 United States Cameron Werker, First Secretary (Commercial Counsellor) U.S. Embassy Natural hub 116 Dejan Cvetković, President of the American Chamber of Commerce in Serbia Promoting investments

“I do believe that the relationship between the U.S. and Serbia is good and we are partners. There may be issues that we disagree on, but we could note that the U.S. has the most trade disputes with Canada! If situations arise that see partners disagree and continue to work together, then we can conclude that the relationship is healthy. As I said, Serbia and the U.S. do disagree on certain issues, but we are able to come together to discuss them and we do agree on many things. In terms of assisting Serbia’s progress on the economic and commercial front, I think the new administration will be just as supportive of those efforts as we have been in the past.” Cameron Werker, First Secretary (Commercial Counsellor) U.S. Embassy

INVESTMENTS

THE RIGHT TIME TO Serbia has been among Europe’s fastest growing economies in recent years. GDP growth has averaged 7% annually over the past four years By SIEPA & AIM

ith a population of 7.5 million, the Serbian market is itself the second largest in the region. Furthermore, Serbia is the only country beyond the Commonwealth of Independent States (CIS) that enjoys a Free Trade Agreement with Russia. Add to this the right of dutyfree exports to the EU and the U.S. for most products and services and the fact that Serbia is also a member of the CEFTA free trade area of 29 million consumers – one of the fastest growing regions in Europe – and it becomes clear that Serbia is a desirable investment destination. One of Serbia’s key ‘doing business’ advantages over other countries of the wider region are significantly lower operating costs. Serbia’s tax system is highly conducive to investment, as it features one of Europe’s lowest corporate profit tax rates – set at 10 per cent – and a package of tax incentives and reductions for high profit rates and easy start-ups.

AFFORDABLE & EDUCATED Labour costs in Serbia are comparable to those in the region’s EU membership candidate countries, while they stand at less than half of the level in Eastern Europe’s EU countries. Additionally, low utility costs are a strong factor in companies’ ability to achieve high profit margins. A skilled and productive workforce has proven to be one of Serbia’s major competitive advantages in the global investment market. The quality of Serbia’s intellectual capital is based on extensive relationships with Western economies for decades and an education system that produces well-educated, fast-learning, multilingual, IT literate people. In recent years, the number of university graduates in Serbia has grown by more than 15 per cent annually, averaging over 16,000. Technical education is particularly strong: high school students perform among the best at world contests in mathematics, physics and IT, and a third of Serbia’s students graduate from technical universities.

FINANCIAL INCENTIVES The Serbian state offers grants for Greenfield and Brownfield projects in all industries except trade, tourism, hospitality and agriculture. Companies deemed eligible are those involved in manufacturing activities, internationally marketable services sector and research & development. Investment in manufacturing activities: t "WBJMBCMF GVOET GSPN û VQ UP û QFS FWFSZ OFX FNQMPZFF t .JOJNVN BNPVOU JOWFTUFE CFUXFFO û NJMMJPO BOE û NJMMJPO EFpending on the unemployment rate in the municipality where the JOWFTUNFOU JT NBEF t .JOJNVN OVNCFS PG OFX KPCT DSFBUFE Investment in the internationally marketable services sector: t "WBJMBCMF GVOET GSPN û VQ UP û QFS FWFSZ OFX FNQMPZFF t .JOJNVN BNPVOU JOWFTUFE û t .JOJNVN OVNCFS PG OFX KPCT DSFBUFE Investment in research and development sector: t "WBJMBCMF GVOET GSPN û VQ UP û QFS FWFSZ OFX FNQMPZFF t .JOJNVN BNPVOU JOWFTUFE û t .JOJNVN OVNCFS PG OFX KPCT DSFBUFE 10 Guide to The International Business Sector / March 2009

LOCATION, LOCATION, LOCATION It is widely believed that the first three requirements of real estate are location, location and location. If the same could be said for investments, then Serbia would tick all three ‘L’s. Bordering, amongst others, Hungary, Romania, and Bulgaria, Serbia is at the doorstep of the European Union. Traversed by strategic pan-European transportation routes – European Corridors 10 and 7 – the country links Western Europe and the Middle East. With Serbia as a hub of manufacturing and distribution operations, companies can effectively serve and service their European, Russian, Central Asian and Middle Eastern customers, thereby enhancing business performance.

INVESTMENTS

INVEST IN SERBIA RISING FDI STAR Serbia isn’t leading the way in terms of FDI stock, but the number of hosted projects in the last two years shows definitely shows that Serbia is a rising star of the FDI sky. Since 2001, inward FDI has reached US$13.5 billion, with the number of Greenfield projects growing markedly, particularly over the past two years.The list of leading foreign investors is topped by blue-chip companies and banks, such as Telenor, Philip Morris, mobilkom austria group, Microsoft, Banca Intesa, InBev and many others. Serbia’s strong FDI trackrecord is substantiated by internationally recognised awards for local Greenfield investors. For three years in a row, Greenfield projects in Serbia were awarded by OECD as the largest Greenfield investments in South East Europe.

TOP FOREIGN INVESTMENTS IN SERBIA IN 2008 Company

Country of Origin Sector

Invest. type

value(mil. EUR)

Fiat Italy Automobile Joint venture 700.0 U. S. Steel USA Metallurgy Greenfield 100.0 Grundfos Denmark Machinery Greenfield 80.0 Eyemaxx Austria Real estate Greenfield 61.3 Plaza Centers Israel Real estate Greenfield 60.0 Engrotuš Slovenia Retail Greenfield 60.0 Vienna Insurance Austria Real estate Greenfield 50.0 Vondel Capital Netherlands Real estate Greenfield 45.0 Alltech USA Energy Greenfield 45.0 Cimos Slovenia Automobile Privatisation 40.0 Pevec Croatia Retail Greenfield 40.0 Mercator Slovenia Retail Greenfield 39.5 Nexe grupa Croatia Construction Greenfield 38.8 Carlsberg Denmark Food & Beverage Takeover 34.0 Visium Air Austria Aero Greenfield 30.0 Ball Packaging USA Metallurgy Greenfield 25.0 Eurofer Italy Real estate Greenfield 25.0 Veropoulos Greece Retail Greenfield 20.0 Asseco Poland IT Takeover 19.7 Agrokor Croatia Food & Beverage Privatisation 15.1 Rubin Bulgaria Chemicals Privatisation 15.0 ContiTech Rubber Hungary Rubber Products Privatisation 15.0 Lampsa Greece Tourism Privatisation 11.3 Avtodental-Servis Russia Automobile Privatisation 10.4 Arvi & Co Lithuania Chemicals Privatisation 8.0 Comgroup Int. USA IT Greenfield 7.0 Porsche Holding Germany Retail Greenfield 7.0 Tele-fonika Poland Electronics Takeover 6.8 Reum Germany Automobile Greenfield 6.5 Lemna USA Energy Greenfield 6.0 Mergol Ltd. Cyprus Construction Privatisation 6.0 JUB boje Slovenia Chemicals Greenfield 6.0 Geze Germany Machinery Greenfield 5.0 Kraš Croatia Food & Beverage Greenfield 5.0 Oil BG/Inter gas Bulg. / Srb. Non-metals Privatisation 4.3 Lesnina Slovenia Retail Greenfield 4.0 Vital Planet Netherlands Energy Greenfield 4.0 Uniprom Montenegro Food & Beverage Privatisation 3.3 Dräxlmaier Germany Automobile Greenfield 3.0 Linde gas Germany Energy Brownfield 2.5 Sanch Swiss / Italy Textiles/clothing Greenfield 2.0 EIX Hotels Spain Tourism Privatisation 2.0 LK Armatur Sweden Machinery Brownfield 1.5 Akripol Slovenia Chemicals Greenfield 1.0 Merrill Lynch USA Real estate Joint venture / Wienerberger Austria Construction Takeover / PepsiCo Netherlands Food & Beverage Takeover / *Note: Due to a lack of official data on the amounts invested by individual companies, the data herein was obtained through research undertaken by SIEPA and includes realised and planned investments. Although SIEPA seeks to provide information that is as accurate as possible, the Agency does not accept responsibility for any incorrect or incomplete data.

March 2009 / Guide to The International Business Sector 11

FOREIGN DIRECT INVESTMENTS

WAITING FOR A The biggest Greenfield investments in Serbia have been made by mobilkom group austrian (worth 320 million euros) Mercator (240 million euros), German-based Metro, Austrian OMV (150 million euros each) and Droga Kolinska (100 million euros)

By Sanja GAVRIĆ

ince 2000 close to US$15 billion worth of foreign direct investments (FDI) have been made in Serbia. The biggest investment so far is that of Norwegian telecommunications operator, Telenor, which bought Serbian Mobtel for US$1.9 billion. Direct and Greenfield investments have slowed since October last year, mainly due to the global economic crisis. The biggest investment expansion in Serbia happened in 2006, when US$4.3 billion was invested. According to the report Greenfield Investments in Serbia, compiled by Belgrade’s Centre for Liberal Democratic Studies, between 2000 and mid-2007, the biggest Greenfield investments in Serbia were made by Austrian Mobilkom (worth 320 million euros) Mercator (240 million euros), Germanbased Metro and Austrian OMV (150 million euros each) and Droga Kolinska (100 million euros). Nevertheless, economist Danica Popović, who took part in writing

Milan Kovačević, FDI expert

this report, points out that the total amount of FDI in Serbia is still quite low compared to advanced transitional economies. “There is still concern about the current inflow of FDI, because investments have mainly been made in the so-called non-exchangeable goods sector, i.e. banking, insurance, energy, telecommunications, real estate and retail. Looking from a development perspective, the most significant investments are those that encourage productivity, especially in the exchangeable goods sector. A large FDI influx in the non-exchangeable goods sector, especially real estate, often leads to credit expansion and higher property prices which, in turn, lead to higher salaries. With a growing demand for imports and a reduced offer of exchangeable goods, growth in the current account deficit becomes inevitable. In that respect, Serbia has one of the lowest shares of exchangeable goods, which should be enough of a warning for leaders of Serbia’s economic policy when analysing the results of FDI,” Danica Popović says. ADVANTAGES & LIMITATIONS According to Popović, the main prerequisites for higher foreign investments are not incentives offered to investors by the state, nor the economic development strategy, but rather a highly educated workforce, developed infrastructure and telecommunications. “The main limitations to bigger investments being made in Serbia should be eliminated through privatising urban construction land, completely changing relevant legislation, passing laws on foreign investments, applying the Law on Bankruptcy, introducing tough budget limitations, strengthening regulation bodies and adopting European laws,” Popović outlines. FDI expert Milan Kovačević points out that Serbia really needs foreign direct invest-

FDI INFLUX (IN BILLION US DOLLARS) AND FORECAST UP TO 2011 Country Bulgaria Croatia Hungary Romania Russia Serbia

2002 0.9 1.1 3.0 1.1 3.5 0.5

2003 2.1 2.0 2.21 1.8 8.0 1.4

2004 3.5 1.2 4.5 6.4 15.4 1.0

2005 3.9 1.8 7.5 6.5 12.8 1.5

12 Guide to The International Business Sector / March 2009

2006 5.2 3.6 6.1 11.4 28.7 4.3

2007 3.5 2.5 4.82 9.8 35.0 2.2

2008 2.3 2.7 4.8 7.2 29.0 3.5

2009 2.3 2.5 5.9 7.3 30.0 2.0

2010 2.4 2.5 5.4 7.0 31.0 1.9

2011 2.5 2.7 4.8 7.2 32.0 2.0

FOREIGN DIRECT INVESTMENTS

BETTER CLIMATE “Direct investments are necessary for Serbia to cover the deﬁcit and maintain liquidity”

ments and loans to cover a huge current account deficit. “In 2006, when the country enjoyed its biggest FDI influx, the deficit was somewhere in the region of three billion US dollars. In 2008, when we had close to three billion US dollars worth of FDI, the

deficit stood at $8.5 billion. Direct investments are necessary for Serbia to cover the deficit and maintain liquidity,” Kovačević points out, adding that Serbia doesn’t have a healthy investment climate because the investment risks are still too high and, follow-

TOP FDI IN SERBIA Company

Country of origin

Sector

Investment type

Amount (in mil. EUR)

Telenor

Norway

Telecommunications

Privatisation

1.513

Mobilkom

Austria

Telecommunications

Greenfield

570

Philip Morris

USA

Tobacco

Privatisation

518

Stada

Germany

Pharmaceuticals

Capital market

475

Banca Intesa

Italy

Banking

Capital market

462

Interbrew

Belgium

Food & beverage

Capital market

430

NBG

Greece

Banking

Privatisation

425

Mercator

Slovenia

Retail

Greenfield

240

Lukoil

Russia

Oil processing

Privatisation

210

Holcim

Switzerland

Cement

Privatisation

185

OTP Bank

Hungary

Banking

Privatisation

166

Alpha Bank

Greece

Banking

Privatisation

152

U.S. Steel

USA

Metallurgy

Brownfield

150

Metro Cash & Carry Germany

Wholesale

Greenfield

150

OMV

Petroleum

Greenfield

150

Austria

Coca Cola

USA

Food & beverage

Capital market

142

Africa Israel Corp.

Israel

Real estate

Capital market

120

Droga Kolinska

Slovenia

Pharmaceuticals

Greenfield

100

ing the economic crisis, the situation has worsened. “We ought to accelerate reforms and the parliament needs to pass close to 50 laws that should lead to a reduction of investment risk. We should simplify the process of establishing a company and simplify laws covering construction land, which is still in the hands of the state. Additionally, we should reduce the inflation rate to single digits and stabilise the foreign currency exchange rate,” Kovačević says. According to him, a lot of SMEs are coming to Serbia, but they are still few and far between when compared to the number of multinational companies which have made much greater investments. “When investing, companies consider tax plans, especially when we are talking about dividends. Foreign companies also want to see how high dividend tax is in a certain country, which is seen as one of the indicators of whether they should invest or not. Hence, these companies usually don’t invest directly from their country of origin, but rather from some other country where the dividend tax rate is lower,” Kovačević adds. BUSINESS ENVIRONMENT CONCEPT According to a report compiled by the Foreign Investors Council, investors in Serbia are most concerned by the fast growth of salaries in the public sector. They are also concerned about imbedded corruption and a justice system that still needs to undergo reforms. In addition, laws that date back to the socialist period are seen as too protective of workers. Also, the current system of leasing construction land is interfering with the establishment of capital funds, while the real estate market falls victim to the slow issuance of building permits, an area that remains poorly regulated. According to a survey conducted by the Centre for Liberal Democratic Studies, the concept of business environment is pret-

March 2009 / Guide to The International Business Sector 13

ty vague. One of the most respected annual reports on this topic is the World Bank’s ‘Doing Business’. This report reviews business regulations and their implementation in 178 countries worldwide. It encompasses ten main areas – setting up a company, obtaining licences, hiring workers, registering property, taking out loans, protecting investors, paying taxes, cross-border (foreign) trade, forced execution of contracts and the closing down of companies. All of the aforementioned factors are extremely relevant to foreign investors considering where to invest. According to the latest Doing Business report, close to 20 separate procedures need to be conducted in Serbia in order to build a standard warehouse. It takes an average of 204 days to complete the procedures and the associated costs amount to over 33% of GDP per capita. According to available indicators,

RANKING SERBIA ACCORDING TO THE REPORT DOING BUSINESS 2008 RANKING CATEGORY (out of 178 countries) How easy is 86 it to do business? Setting up 90 a company Obtaining 149 licences Hiring 110 workers Registering 115 property Getting 13 a loan Workers’ 64 protection Paying 121 taxes Cross-border 58 trading Executing contracts 101 via the courts Closing down 103 companies

INVESTMENTS IN SERBIA BY COUNTRY – FROM 2000 TO AUGUST 2007 Country In thousands US dollars Percentages 1,658,234 19 per cent Austria 1,550,214 17 per cent Norway Greece 1,451,978 16 per cent Germany 1,361,833 15 per cent 476,784 5 per cent The Netherlands Slovenia 439,660 5 per cent 413,655 5 per cent France Luxembourg 374,428 4 per cent 311,877 4 per cent Hungary 273,408 3 per cent Great Britain Others 581,994 7 per cent 8,894,065 100 per cent Total Serbia takes 149th place out of 178 countries covered by this report. GOVERNMENT STRATEGY Popović says that the Strategy for Attracting Foreign Direct Investments, which was written by the Serbian Government, stipulates four main groups of obstacles to FDI in Serbia. “These are legal problems, like ownership of construction land, an obsolete judicial system and laws, as well as fees for land use. Other problems include: limited institutional capacities for carrying out

tion land and commencing building works. Construction land in Serbia is still largely owned by the state, hence the current system of utilising construction land doesn’t allow a land market to exist or for transfer of ownership over the land to be made. “If using the land for construction is uncertain or unpredictable, then the interest shown by potential investors will be weak. First of all, there is uncertainty regarding how long the land can be used for. Even when the land is leased for a certain period of time, there are no solid guarantees that that the author-

“The workforce in Serbia possesses a certain quality and dynamic, as well as highly pronounced motivation and adaptability” reforms, lack of strategic planning and marketing, late reforms, inadequate infrastructure, limited access to measures for improving competitiveness and a need to better understand the significance of FDI. We also have to put together a programme that will fulfil the needs and demands of investors, as well as a precise national programme for investment promotion,” Popović adds. According to research conducted by the Centre, the biggest obstacles preventing FDI – particularly Greenfield FDI – coming to Serbia is the difficulty of acquiring construc-

14 Guide to The International Business Sector / March 2009

ities will respect that, or that the leaseholder will be able to use the land in the way originally planned,” Popović explains. She points out that more FDI would be attracted to Serbia if there was a greater flexibility of labour and greater readiness for workers to be quickly retrained. “The workforce in Serbia possesses a certain quality and dynamic, as well as highly pronounced motivation and adaptability. The workforce here is pretty loyal to an employer and less frequently changes jobs than in some other eastern European countries,” Popović says.

CORPORATE ALEXANDER SPERL, CEO OF VIP MOBILE

TOP INVESTOR

EXPERIENCES

More than 90 training courses for local partners have been organised to date covering the field of procedures standardised at the level of mobilkom austria group, which has improved their business output

ith total planned investments of €570 million, which includes an initial investment of €320 million for the purchase of the third mobile operator license and an additional investment of €250million over the first years of operation, Vip is the biggest Greenfield investment in Serbia to date. Vip was also officially awarded the title of Greenfield Investor of 2007 by the Serbia Investment and Export Promotion Agency (SIEPA). Vip has employed more than 600 young, highly educated local experts in the last two years and, according to surveys, is recognised as one of the most desirable employers in the country. It is also worth noting that, thanks to Vip, many exceptional domestic experts who worked on other major telecommunications markets abroad have now returned to Serbia. Foreign direct investments facilitate Serbia’s integra-

tion into progressive world trading streams, whilst simultaneously creating strong connections to local producers. In this way, the growth of one part of an industry reflects production and employment level growth in the other. The positive effects of foreign Greenfield investments can also be seen through the example of Vip’s co-operation with local enterprises; Vip has indirectly provided employment for an additional 1,500 people through co-operation with more than a hundred domestic companies. Following Vip’s arrival in Serbia, around ten foreign companies which co-operate with mobilkom austria group opened subsidiaries in Serbia, while some successful domestic companies started expanding their business operations in the region. The positive effects of Greenfield investments are also evident in the transfer of knowledge to local partners. Local enterprises have been engaged in the distribution and retail of Vip products and servic-

Alexander Sperl, Jasna Matić, Oliver Dulić and Mladjan Dinkić

Alexander Sperl es, while Vip SIM cards are now available at more than 7,000 sales outlets. More than 90 training courses for local partners have been organised to date covering the field of procedures standardised at the level of mobilkom austria group, which has improved their business output. What do you think can be expected in terms of further Greenfield investments in Serbia, considering the global economic slowdown? The global business community is now facing a very difficult economic climate, since the crisis has considerably reduced available funds for investments. However, my general impression is that the potential of the Serbian market for business remains good in many areas. In order to further improve conditions and ensure a greater influx of capital, Serbian authorities should implement modern standards of doing business on all levels and enable investors to launch their operations quickly. I hope that all announced and necessary reforms, including ensuring a strong reduction of red tape and administrative procedures, will be implemented swiftly and effectively. The ease of doing business is a good signal to existing and potential investors.

March 2009 / Guide to The International Business Sector 15

INTERVIEW Nebojša Ćirić, State Secretary in charge of economy and privatisation within the Serbian Ministry of

ATTRACTIVE INVEST “In the last few years there has been a shift in investment trends towards Greenfield investments and the opening of new production capacities” By Miroslava CVEJIĆ-KOVAČEVIĆ

ebojša Ćirić, State Secretary in charge of economy and privatisation within the Ministry of Economy and Regional Development, says that Serbia has a definite comparative edge over others when it comes to attracting foreign investments. This advantage, according to Ćirić, is a highly qualified workforce whose work is much cheaper than elsewhere in Europe, particularly in the EU. “Serbia’s position as an investment location is completely unique and quite appealing to foreign companies. Serbia has free trade agreements with EU countries, as well as Russia and the countries of CEFTA. We also expect a free trade agreement with Belarus to be ratified soon,” Ćirić says.

“We expect the FDI level to be lower this year, as a result of the global economic crisis, and estimates predict that it will be close to $2.2 billion.” US

16 Guide to The International Business Sector / March 2009

How would you assess the state of foreign investments in Serbia to date? Our foreign direct investments (FDI) have constantly risen since transition began. Net FDI totalled US$165 million in 2001, but by 2008 it had grown to almost US$3 billion, despite the fact that we started to feel the affects of the global downturn in the fourth quarter of last year. Our highest annual FDI level (US$4.4 billion) was recorded in 2006. When Serbia’s transition and, thus, privatisation process began, the amount of total FDI was determined by the acquisitions of companies through privatisation. These investments were certainly welcome and

INTERVIEW Economy and Regional Development

MENT DESTINATION their impact was evident not only through the higher foreign currency influx, but also through the compulsory investments foreign buyers were obliged to make in their new companies, which ultimately led to a higher export level. In the last few years, though, there has been a shift in investment trends towards Greenfield investments and the opening of new production capacities. We have also embarked on structural reforms and changing the tax policy. Corporate profit tax in Serbia is now 10 per cent and, until recently, was the lowest corporate profit tax rate in Europe. When it comes to large Greenfield investments, there is also a 10-year tax exemption period, tax relief offered for hiring new workers, tax credits of up to 80% of the investment in basic facilities, as well as a better amortization rate. The second set of government measures pertain to the State’s provision of direct assistance through various financial incentives. The state has provided incentives in amounts from €2,000 to €10,000 for each new position created as a result of a Greenfield investment. The 2006 Act was supplemented in 2008 to ensure that the State now gives 25 per cent to those investments that exceed €200 million and lead to the creation of 1,000 new jobs. It was in this way that we managed to attract Italian carmaker Fiat to invest in Zastava. It is quite interesting to note that if you create one job in the car industry, four others will be created as a direct result. There are examples of foreign companies relocating their production from their original sites or some other regional countries to Serbia in order to export to Russia and other CEFTA countries. The Serbian State provides guarantees and favourable loans to export companies through the Serbia and Montenegro Export Credit Agency (SMECA), the Export Credit and Insurance Agency of the Republic of Serbia (AOFI), the Development Fund and the Guarantee Fund. There are also shining examples of several very proactive, initia-

tive-orientated municipalities that are giving concrete proposals and even providing free land and additional infrastructural support free in order to attract foreign investors. The Serbian Government has defined three top industrial sectors where Serbia sees its chance: automobiles, I.T. and electronics. How much will the global downturn affect further investments in Serbia? We expect FDI levels to be lower this year, as a result of the global economic crisis, and estimates predict that it will be close to US$2.2 billion. It is quite interesting to see that Western European companies are interested in investing in Serbia in the sense that they would transfer their production capacities here because of the cheaper labour

ly. Why do you think more SMEs haven’t been attracted to invest in Serbia? The Government of Serbia has small and medium-sized enterprises at the forefront of its plans – not only in 2009 but generally speaking. SMEs are the most dynamic economic branch. Some €37 million will be spent on start-up loans for SMEs, reimbursed through the Development Fund, and credit lines will amount to €480 million in 2009. These credit lines are provided by the EBRD, KfW, EIB and the Italian Government and will be spent on financing SMEs. For example, when it comes to the total investments that Italy has made in Serbia, 75% of them are small investments of up to a million Euros. These are precisely the kinds of SMEs we are talking about. Aside from that, there is a department within the Ministry of Economy and Regional Development that deals solely with SME issues.

“The Serbian Government has deﬁned three top industrial sectors where Serbia What major issues must sees its chance: the automobile industry, Serbia remedy in order to attract more FDI? I.T. and electronics.” and aforementioned incentives provided by the state. I am absolutely convinced that we are going to feel the brunt of the economic crisis in the short-term, but in the mid-term Serbia has a development chance to attract companies that are prepared to relocate their production. The Council of Small and Mediumsized Enterprises was in session recent-

First and foremost is the problem of land ownership, issuing permits and continuing the regulatory guillotine process, i.e. comprehensive regulation reform. By carrying out this reform process we expect to introduce a one-stop-shop concept for all institutions at all levels. This will shorten various procedures, thus making company operations more effective and less stressful. The project is due to be com pleted in 2010.

CONCRETE MEASURES The Serbian Government recently devised a concrete set of measures aimed at overcoming the affects of the global economic crisis. This includes the granting of favourable loans for the purchase of goods produced in Serbia. This set of measures also entails buying Fiat Punto’s (produced in Kragujevac) through loans with a fixed annual interest rate of 4.5%, while the interest rate for purchasing other domestic products – such as agricultural machinery, furniture, floor coverings and domestic appliances – is six per cent. The Government’s set of measures will secure a total of €812 million, with eight billion dinars set aside from the budget for interest rate subsidies.

March 2009 / Guide to The International Business Sector 17

INTERVIEW Vesna Perić, Director of the Serbian Investment & Export Promotion Agency (SIEPA)

100 NEW GREENFI “What we do during the crisis could lead to new investments in two to three years’ time” By Miroslava CVEJIĆ-KOVAČEVIĆ Photo Slobodan JOTIĆ

he global economic crisis is already knocking on the Balkans’ door and threatens to halt the region’s march towards prosperity. Speaking for the Guide to the International Business Sector in Serbia 2009, SIEPA Director Vesna Perić explains plans to tackle the crisis.

ANNOUNCED NVESTMENTS

“W

e have a couple of investments announced for this year. Despite the current financial crisis, Danish company Grundfos will build a water pump factory worth 80 million Euros and set to create 500 new jobs. The land lease contract should be signed with the Municipality of Inđija at the end of February. The Leoni Company will acquire the vehicle brakes plant, Fiaz from Prokuplje, which will bring 2,000 new jobs. Leoni is a producer of car cables. It employs 53,000 people and collaborates with renowned carmakers like BMW and Mercedes,” Vesna Perić says.

How would you assess the investment scene in Serbia during last year? I would split it into two parts. Results in the ﬁrst half of ‘08 were beyond expectations; we received over €1.5 billion worth of FDI, despite an unstable political situation. Then a decline ensued in the autumn, resulting in us ending the year with revenue slightly lower than originally anticipated. In terms of foreign investments, the year was marked by acquisitions of several large companies. Heineken bought three Serbian breweries, PepsiCo took over Marbo Produkt and MPC Properties was recapitalised by Merrill Lynch. These large transactions, including the privatisation of insurer DDOR Novi Sad, actually ‘saved’ last year, as we didn’t get the expected privatisation revenue. Of course, the most important project is the joint venture of the Serbian state and FIAT. Due to the current situation in the automobile industry, it is quite logical that certain deadlines have been moved. However, we expect this investment to be fully implemented and Serbia to start producing new cars fit for the global market.

This year we’ll need around two billion Euros to maintain economic stability. Of course, attaining this goal will pose a challenge under present circumstances. For now we are counting on Gazprom’s acquisition of NIS, combined with the sales of Galenika, Smelting and Mining Basin Bor (RTB Bor) and several other large companies. By law we need to ﬁnalise privatisation process in the state-owned sector. SIEPA has mostly been engaged in the area of Greenfield investments. In the last two years there have been over 100 Greenfield projects in the pipeline, not only in the service sector but also in production. Several months ago, Ernst & Young released data showing that Serbia took second place in the region in terms of the number of new projects. We are attractive to foreign companies as a location with relatively low business costs, an educated workforce, possibilities to export customs-free to certain markets, etc. I can’t say for sure that announced investments will be realised during this global crisis, but I don’t think we can say that there will be no Greenfield investments in Serbia whatsoever. With that in mind, I would like to mention a few of the renowned global companies planning to implement projects in our country: IKEA, Embassy Group, U.S. Steel, Grundfos, Plaza Centres and others.

Take a look at what Romania and Bulgaria are offering, then consider that these two are our biggest rivals

What do you expect in 2009? Are any new investors set to arrive?

18 Guide to The International Business Sector / March 2009

In light of the global downturn, what can Serbia do to ensure that investments continue coming and perhaps even increase in frequency? We can apply a targeted short-term approach to sectors not greatly affected by the crisis, as well as more actively presenting the advantages of investing in Serbia.

INTERVIEW

ELD INVESTMENTS panies they service. Once you bring in a company like FIAT, many suppliers ﬁnd it more cost-effective to produce car parts in Serbia than importing them. I don’t need to point out how important such projects are to the development of SMEs. Now you’ve mentioned small businesses, I’ll note that administration is actually the main obstacle to SMEs’ proper functioning. Despite excellent examples of a professional attitude toward investments at the state and local levels, our administration is still generally slow and expensive. Unlike large companies, smaller ones don’t boast sufficient resources, financial or personnel, so they tend to choose a ‘business friendly location’. What is your message to foreign investors; why should they invest here? The best message I can send is to follow in the footsteps of globally renowned

The FTA we have with Russia is not yet being fully utilised and will probably be extended As we all know, our [Serbia’s] image in the world is negative, or neutral at best; potential investors have no information on the kinds of conditions we offer for doing business. Improving Serbia’s image is an expensive, time consuming campaign. We need to start taking greater advantage of the direct channels of communication opened with foreign companies. Simultaneously, we have to use this situation to better prepare ourselves to face the post-recession future. What steps is SIEPA taking to promote foreign investment in Serbia in 2009? We’ll step up the holding of investment conferences and similar business gatherings, while maintaining close contacts with decision makers to acquaint them with the

beneﬁts available by doing business here. The steps we take during the crisis could lead to new investments in two to three years’ time. It takes a few months to make an investment decision and implement a project, but a year or two is more realistic. In the meantime, privatisation is to be finalised, with the exceptions of several large state-owned companies. As such, we are going to have to concentrate on Greenfield investments to generate investment flow. Our aim is to attract as many hi-tech projects as possible, similar to those implemented in the car industry, electronics sector and IT. Why aren’t more foreign SMEs investing in Serbia? I think the problem is actually not so much with SMEs, but in the large com-

companies that are proving very successful in Serbia. They came to this market on time, took up their positions and are achieving extraordinary results. We are still a country undergoing transition that is capable of achieving fast economic growth. We have several sectors where demand is several times higher than supply, such as real estate or insurance. The FTA we have with Russia is not yet being fully utilised and will probably be extended. We have no problem with a lack of labour. Building infrastructure is one of the Government’s key goals, while the legal framework is being improved through the process of accession to the EU. In short, I would say to foreign companies to start thinking about Serbia, to visit our country and see for themselves that we are much better than our image.

March 2009 / Guide to The International Business Sector 19

INTERVIEW Michael Harvey, USAID Mission Director (Serbia & Montenegro)

BOUND FOR EUROPE “Serbia can take advantage of the global slowdown to complete its transition”

ichael Harvey, USAID Mission Director in Belgrade, has served in some interesting locations throughout his career. Prior to his arrival in the Serbian capital he was posted to Iraq, Haiti and Ethiopia. Serbia, however, is a completely different prospect. “Belgrade is a very sophisticated city with all the comforts you could possibly want,” he says, though warning “a lot of the political, economic and social transition changes are still to be completed.”

“The agro sector has the potential to make the most immediate impact on the economy...it is one of the largest trade surplus sectors in the Serbian economy and contributes greatly to the Serbian exchange rate.”

How is Serbia comparable to the other places you’ve served and how can USAID help a country with problems that are seemingly much more institutional than social? Serbia is very different from those other countries. First, we are in Europe and Serbia has a much higher level of social and economic development, but like those countries it is facing the same challenges of transition, albeit from a different starting point. What’s unique about USAID working in Europe is that it’s very unusual for us to work in countries with such a high income level. However, because Serbia and the other Balkan states where we work are in Europe they’re critical to the U.S.’s political interest of seeing Europe whole, free, prosperous and happy. As these wealthier countries deal with the challenges of transition, USAID assists them in rebuilding the institutions of state to play a different role in a democratic, market economy. That’s a lot of what drives our agenda here, whether that is working with municipalities, private media, or the various departments of the Ministry of Finance dealing with anything from insurance reform or private pensions. Has USAID been able to call upon experience gained elsewhere in transitional Europe? At the beginning of the 1990s we literally worked from the Baltic through the Balkans. Slowly but surely, we’ve phased out in those countries that have completed their transitions... The only countries we’re still working in within the region are Albania, Serbia, Macedonia, Montenegro and Bosnia.

20 Guide to The International Business Sector / March 2009

As a result of the history of what happened during the Yugoslav wars, these countries basically lost a decade. Now we’re working with the governments to try to help close that gap, complete their transitions and join the EU. How important is Serbia’s Regulatory Guillotine process with regard to USAID’s Competitiveness Project and how can competition be effectively enhanced? We think the guillotine process is critical. We’ve seen in country after country the impact it can have on facilitating business creation, easing compliance with government regulations and fostering job creation and growth. Mr. Dinkić [Serbian Economy & Regional Development Minister] has been one of the champions of the guillotine process and we actively support his efforts. We worked very closely with our friends at NALED, the National Association of Local Economic Development, which is a partnership between private businesses and local municipalities, to do something called Out of the Maze, which requested that businesses across Serbia tell us precisely what is hindering their ability to work and how that could be simplified. NALED came back with a 52-page booklet detailing very specific regulatory changes that could be made. We shared this with the Ministry of Economy & Regional Development and we’ve already seen some action on those recommendations. For example, one recommendation was to unify the process of registering a business and getting a tax I.D. The government is already changing things so that when you register your business you’re automatically registered with the tax authority and issued a tax I.D. Now, what was a multi-stop effort is now a single task. That’s just one example of the kind of changes that we think are possible. Does USAID enjoy good co-operation with the Serbian Government, local authorities and the country’s private sector? Yes, on all three counts. One of the things that we are most proud of is the relationships we’ve built with local municipalities over the last eight years. Many of the losers in transition have been secondary cities which hosted much of Serbia’s heavy industry. We’ve worked

INTERVIEW closely with these municipalities to transform their understanding of their role in a free market economy; helping them to see that they need to partner with their local business community to simplify things for them and, thereby, promote prosperity and generate income. Something like €600 million worth of investment has been attracted to the secondary cities we’ve been working with through our Municipal Economic Growth Activity [MEGA]. And this is because these municipalities have shown investors their willingness and ability to create a supportive business environment. We have now expanded that programme to 32 cities, and even though this is going to be a very difficult year ahead of us, there are still plenty of opportunities. Serbia can take advantage of the global slowdown to complete its economic transition and improve its competitive position. Companies will continue to look for new places to invest. They will come here to see what opportunities exist and when they do Serbian municipalities must show that they’re open to business. The number of potential investors who come may not be as many as we hoped six months ago, but they will still come, have a look and consider investing once the crisis subsides. As for the business sector, we have developed remarkably close partnerships. In conjunction with SIEPA, the Serbian Investment and Export Promotion Agency, we work with small, medium and large companies to reintroduce them to global markets by taking Serbian companies to international trade shows, bringing in potential partners, etc., and we’ve already seen a return on that investment. We are also working directly with firms, looking at things like how they package their goods, how they market their goods and how they improve the quality of their products. Our goal is to make sure that the goods these companies are selling meet the demands of modern markets. Finally, I cannot exaggerate how good and positive our relationship with the central government has been. Despite all the ups and down of governance we’ve seen here over the last decade, there is a very committed cadre of people in government who are working the issues, doing the unglamorous work of drafting laws and regulations that are needed to complete the country’s economic transition. Regardless of elections and changes of government, that work has continued year in and year out. What that means is that we are slowly putting in place the governance structures essential to supporting a market economy. USAID is also running an Agribusiness Project aimed at increasing the value of Serbian agricultural product sales and increasing employment in the agricultural sector.

We have been working with agriculture in some shape or form since we arrived here back in 2001. This sector has the potential to make the most immediate impact on the economy. As you know, the agro sector has the largest trade surplus in the Serbian economy and it contributes greatly to Serbia’s economic growth. And this is an area where we see

“…there’s a very committed cadre of people in government who are working the issues, doing the unglamorous work of drafting laws and regulations that are needed” tremendous potential for additional growth. We are now working with producers, co-operatives and sub-sector industries to try to connect them to international markets and help them deal with the competitive and technical demands of the EU and the global economy. What is exciting us is that Serbia already has so much of what the world wants. When we take Serbian firms to show their products in Moscow, London or New York they end up making huge sales: These companies are successfully selling Serbian apples to Moscow; Serbian mushrooms to New York; and Serbian raspberries everywhere. It’s great

to see, although there are a number of things that can be done to increase productivity, and we are helping on that front as well. Why are “the American people” funding projects to assist the economic development of Serbia; is it a case of make hay not war? I get that question quite a lot, and the fact is that the American government has invested a tremendous amount of money in Serbia since we returned. A total of US$670 million between 2001 and ’08, to be precise. If you want, you can call it ‘enlightened self interest’. The U.S. government has devoted a tremendous amount of energy and attention to this region over the past 20 years and we have invested heavily in trying to help this region achieve peace, stability, democracy and, ultimately, prosperity. Through some of our projects, like the Competitiveness Project, we are helping Serbia to reconnect to world markets. Serbian talent, in areas like furniture design and film production, is again being recognised around the world. This is the side of Serbia that we want to help the world to see. We believe that Serbia has every right to expect a prosperous and happy future as part of Europe. And realising that future is in America’s interests. As you know, there are a lot of issues around the world which demand U.S. attention, and we look forward to Serbia being a full partner in such global efforts as dealing with, say, poverty in Africa or AIDS in Central Asia. I think that is a future Serbs can look forward to with pride.

March 2009 / Guide to The International Business Sector 21

INTERVIEW Ivana Veselinović, President of the Port of Belgrade

DANUBE WATERF “We are going to create a new image for the city. Such a project implicitly includes Belgrade gaining something iconic that will make it recognisable worldwide...”

he Port of Belgrade, which covers 107 hectares of Belgrade’s natural bay on the Danube, will soon be home to a unique residential & commercial complex covering a total of 2.2 million square metres. In order to realise this massive construction project, entitled “Belgrade Danube Waterfront”, the Port of Belgrade has hired world-class architects. Now the company plans to offer the project, which has an estimated value of four to five billion Euros, to foreign investors. In order to discuss the realisation of this huge project and how the Port of Belgrade plans to deal with the global economic downturn, we spoke to Ivana Veselinović, President of the Port of Belgrade company. Many companies are currently cancelling or postponing investments as a result of the global economic downturn. However, you are choosing this time to complete the Belgrade Danube Waterfront project, which requires an investment of between four and five billion Euros. We will be working on this

construction project for the next one and a half to two years. The complex will cover 2.2 million square metres and will include not only a residential and commercial complex, but also public institutions such as schools, hospitals, theatres and public areas like parks.Once the project has been completed, we’ll offer it for buyers on the world financial market and we think that by that time the global financial crisis will have begun to fade. Therefore, in order to attract investors everything at the Port of Belgrade should be prepared by then. Namely, completion of the port and industrial zone, which currently have no water supply system, sewerage, roads or electricity network. In our case this is not a Greenfield investment, but rather a Brownfield development. As a Brownfield development, we are faced with comprehensive tasks that will ensure we are able to meet European standards. One of the environmental requirements is the ground preparation: digging up the old contaminated soil, seven to 14 metres in depth,

GLOBAL FINANCIAL CRISIS

“T

he global financial crisis will certainly be felt in Serbia too. What is certain is that a recession has not yet started in Serbia. I hope the crisis will have less of an affect, particularly because Serbia is less dependent on the world economy than the other countries of the region,” says Ivana Veselinović, President of the Port of Belgrade.

Ivana Veselinović and Jan Gehl 22 Guide to The International Business Sector / March 2009

RONT and adding new layers of earth in order to meet all EU standards, as this is an international project. In a year and a half to two years we are planning to come out on the market with our “waterfront” offer. When the master plan has been completed, the complex will include multiuse space: 35 per cent will be residential, 35 per cent will be commercial – such as retail, trade, offices, etc. – while ten per cent has been earmarked for leisure activities and 20 per cent is reserved for public institutions, parks, promenades and green spaces. The global trend is to construct “mixed-used” facilities, which implicitly includes providing everything in one place: from fun to retail, from universities to residential blocks and public services. This is our plan for the Port of Belgrade. Such projects cannot be offered to a single major bank, but rather a number of banks. That is why we plan our “road show”, which will automatically include presenting the project to the world’s big investors. Have any investors already shown an interest in the project? There are those who are interested, but above all we are looking for strategic and then financial investors, which means that knowhow is being sought as well as funding. Was this why you hired international experts to develop the plan? Firstly, there are simply no architects in Serbia who have worked on such projects. Secondly, Serbia has not yet become attractive for some bigger investments and because of that we hired the world’s biggest experts on the master plan – in order to attract the attention of the world’s biggest investors to the project. We hired the world’s top expert, Jan Gehl, for the arrangement of the public open spaces. For him, people are on the first place, then the space and, only at the end, the buildings themselves. Gehl insists that humans should have a good ambiance, which means that the emphasis is placed on designing the space between the buildings and then the actual buildings. Gehl is often hired by mayors of the world’s capital cities. In order to achieve more for the city,

we juxtaposed Gehl with another famous architect, Daniel Libeskind, who is among the five most famous contemporary architects in the world. We were lucky that he accepted to work on the master plan of the Port of Belgrade’s “Danube Waterfront”. Libeskind is known as a creator of skyscrapers of unusual appearance and of cities that look beautiful if viewed from the air. As a reference, let me mention only that Libeskind is also the Master Planner for both Ground Zero in Manhattan and the Jewish Museum in Berlin. Since there are no such architects in Serbia and we insisted on quality and safety in order to make the project successful and, of course, to draw investors’ attentions to Belgrade, we hired these two great architects. They will be working with domestic architects, as well as with several counsellors from the field of architecture and urbanism.

The Port of Belgrade has hired world class architects to work on the “Belgrade Danube Waterfront” project Mr. Libeskind will present his outline of the Master Plan at the beginning of March. What innovations will this project bring to Belgrade? It will create a new image for the city. Such a project implicitly includes Belgrade gaining something iconic that will make it recognisable worldwide, similar to the Sydney opera house or Guggenheim Museum in Bilbao. What precisely will Belgrade gain through the realisation of this project?

Firstly, the project is not meant only for those who will live and work there, but rather for all Belgraders. This project will introduce the life of a city on the river, which is not the case in Belgrade at present. Belgraders will definitely get a new life by the river as a result of this project; a life that includes riverside walks, sailing, cycling... They will get cleaner air, as the current industrial zone that is there creates air pollution that’s 15 times above the permitted levels!! This section of the Danube is classed as category four, which means that swimming is not allowed and the water cannot be processed into drinking water. The Danube is classed as category two elsewhere in Europe. Will this project include a public-private partnership, as in the model applied elsewhere in the world? As this project includes the first construction of this kind in South Eastern Europe and is among the biggest of the ‘Old Continent’, state support will be necessary. We expect the state to help us attract investors and also to help us with procedures and the building of the infrastructure necessary for this project to succeed. Bearing in mind the size of this project, do you expect it to ultimately help the advancement of the economy of Belgrade and the country as a whole? We have done around a hundred studies for the project. Almost all economic studies have shown that 98,000 people will be involved in the project, of which 44,000 will be newly employed. There will be a growth of gross national product and it will certainly push the whole economy of Serbia forward. It is going to be like a public works project, the likes of which have often pulled other countries out of major crises.

March 2009 / Guide to The International Business Sector 23

INTERVIEW Miroslav Stojanović, Partner Wolf Theiss

WOLF THEISS: REG “We recognised early on that Serbia had a great deal of investment and development potential, as it was just emerging from many years of investment isolation.”

investors will need a guiding hand to help them understand and manoeuvre through Serbia’s evolving legal and administrative environment. So, I moved to Belgrade in 2001 – initially to assist Serbia’s Privatisation Agency as a secondee of Wolf Theiss. The firm’s intention was to assist the Priva-

Why did Wolf Theiss choose to set up the Belgrade office as its first office in the Balkans? Prior to the opening of the Belgrade office in 2002, Wolf Theiss had its main office in Vienna – which, by the way, just celebrated its 50th anniversary. We also had an office in Prague. The firm recognised early on that Serbia had a great deal of investment and development potential, as it was just emerging from many years of investment isolation. We recognised that Serbia has a desire to welcome investment and that these new

“Our main client base consists of foreign investors who are entering the Serbian market or those that are already present but are getting involved in complex transactions that require our expertise.”

iroslav Stojanović is an Austrian lawyer of Serbian descent. He has been a partner at Wolf Theiss since 2002, when he moved to Belgrade to set up the Wolf Theiss Belgrade office – the firm’s first outpost in the Balkans.

REQUIRED REFORMS

he most urgently needed change in Serbia is land reform. This is a recognised problem and one that the Serbian Government and various agencies are trying to address. In addition, the biggest problems that our clients face are not necessarily those that arise from a lack of legislation, since Serbia has been quite active in passing legislation needed to foster a better business environment. Unfortunately, the greatest hindrance, and one that is the most difficult – and most costly – to overcome, is at the administrative level. What I mean is that the courts, agencies and other official offices often lack the experience and staff to deal with the changing legal environment. With respect to courts, often the relative novelty of laws and absence of an interpretative court precedent leads to uncertainty for investors trying to weigh the risk of a given transaction in Serbia. In such cases we often find that our multi-jurisdictional presence allows us to use a comparative approach – for lack of anything better at that point – and we can, by analogy, come to a closer understanding of the possible interpretation and application of new laws

24 Guide to The International Business Sector / March 2009

tisation Agency in its initial privatisation work, but also to gain insight into legislative and other changes being made and to offer suggestions for other necessary changes needed to promote a healthy investment climate in Serbia. My Serbian background and Austrian education and work experience is an asset to me and the work that I do. I very much enjoyed my work in Serbia at that time, since it was a time of challenges and a time of change. One of the greatest disappointments, of course, was the assassination of Prime Minister Đinđić in 2003, a tragic event that placed a big question mark on the further development of the country at that time. Since then, Serbia has shown its resilience and has overcome many obstacles in order to ensure it is now on its rightful path to joining the European Union – a

INTERVIEW

IONAL ADVISOR process that I believe is inevitable. Today, our Belgrade office has evolved to include a team of some 20 highly specialised Serbian lawyers who regularly advise on matters within their specific areas of expertise, as well as an administrative staff of 10. My partners in Belgrade are also highly experienced lawyers: Dr. Milan Parivodić, former Serbian Minister of International Economic Relations, who has helped draft many of the laws that we deal with today, and Bojana Bregović, an experienced international lawyer who has practiced with some of the largest and most eminent international law firms in New York City and the Czech Republic and has worked on a multitude of complex project finance transactions worldwide. Since opening the Belgrade office, Wolf Theiss has developed a network of some 12 offices in the region: Albania, Austria, Bosnia & Herzegovina, Bulgaria, Croatia, Czech Republic, Hungary, Romania, Serbia, Slovakia, Slovenia and the Ukraine. Two highly respected legal reference guides, the European “Legal 500” and “Chambers & Partners”, recently gave us high marks and described us, respectively, as “the best Austrian firm in Central and Eastern Europe” and “Eastern European Law Firm of the Year”. We are very proud of this achievement, especially considering the relatively short period of time in which we have achieved these honours in Eastern and South-Eastern Europe (CEE/SEE). However, it is a reputation that we have earned over the 50 years of the firm’s existence and, since starting out in Vienna, we have now grown into one of the largest law firms in Central and South-Eastern Europe – with over 300 lawyers working across numerous practice areas in 12 countries. What types of clients do you advise? Our main client base consists of foreign investors who are just entering the Serbian market or those that are already present on the market but are becoming involved in complex transactions that require our expertise. However, we are also beginning to see more domestic companies requiring

our services, since commercial transactions are being generated from within Serbia by Serbian players and their business activities are taking on more of an international character. For example, we see many Serbian companies entering into agreements that involve foreign laws, foreign arbitration, cross-border finance and the granting of collateral, etc. Of course, we welcome this development and are gearing ourselves towards representing the Serbian investor abroad just as much as the foreign investor in Serbia. Complex transactions, especially those with cross-border elements, require specialised knowledge and a wide network of contacts – and we have plenty of both. Many law firms talk about having a presence in multiple countries, but that often means that they simply have links to other law firms in the region. We have chosen to have a real presence – on the ground – and to achieve this we have a highly skilled and experienced team of locally qualified attorneys who work with us on an ongoing basis. Each of our offices has a lively mix of local and international talent. Collectively, we speak Serbian / Bosnian / Croatian,

English, German, Bulgarian, Albanian, Czech / Slovak, French, Hungarian, Italian, Romanian, Slovenian, Spanish and Russian. Our partners, lawyers and staff, all know each other and, thus, have the luxury of simply picking up the phone and calling any other lawyer in any of our multiple jurisdictions to get legal advice or just brainstorm in order to find analogous solutions to complex and sometimes seemingly irresolvable domestic and cross-border legal issues.

“We are most active in the areas of mergers and acquisitions, project ﬁnance and real property. Our clients look to us to help them structure their often complex transactions.”

March 2009 / Guide to The International Business Sector 25

INTERVIEW What are the core areas in which you advise clients investing in Serbia? We are most active in the areas of mergers and acquisitions, project finance and real property. Our clients look to us to help them structure their often complex transactions so as to get the deal through. Our clients come to Serbia with the desire to do business in Serbia and we are asked to identify potential risks and, most importantly, help them to find creative solutions to avoid or minimise such risks. Our clients appreciate our firm’s multi-jurisdictional presence, which allows us to take a comparative approach to problem solving. We often advise foreign banks lending to Serbian companies or to foreign companies that are in the process of investing in Serbian companies. Foreign banks generally need to be guided through Serbia’s fairly complex cross-border financing rules, in particular the role of the National Bank of Serbia and the control mechanisms that it has. Some of these rules can seem quite restrictive and challenging; at first glance they can simply seem “deal killing”. However, we have always managed to find a way to get the deal through while making sure that there is compliance with the relevant laws. Can you name for us some of the more interesting transactions you have worked on in Serbia? Of the numerous transactions on which we have advised over the years, which include the acquisition of some 12 banks in the region, I can point out a few transactions that were quite complex and interesting. For example, we advised Deutsche Bank on the proposed €1.5 billion financing of the HorgošPožega highway – a transaction that, unfortunately, was not completed for reasons known to most from press reports. We also advised Stada Arzeneimittel AG in their acquisition of a controlling stake in Hemofarm AD – a transaction valued at some €500 millions. We are advisors to IKEA with respect to their planned activities in Serbia. We have advised a multitude of banks and international financial institutions with respect to various financial matters that affect Serbia, e.g. the Bank of America N.A., Western Union, Hypo AlpeAdria Bank AG, UniCredit Markets & Investment Banking, J.P. Morgan, Morgan Stanley, the EBRD, the National Bank of Japan and many others. We are the regional

Miroslav Stojanović and Bojana Bregović, Partner advisor to Kraft Foods International, which recently decided to move the hub of its European operations from Vienna to Belgrade – certainly a welcome development and a sign of trust in the Serbian economy. Are you at all optimistic about the Serbian investment climate, given the global economic crisis? Well, I am not pessimistic. We all know that the financial crisis currently spreading

I must mention that I often hear my clients say how Serbia is becoming a lot more “user friendly” then some of its neighbours. This must continue, especially now when every investor is important. It also seems to me that the rather restrictive policies of the National Bank of Serbia have actually served to protect the Serbian economy to some extent, since the NBS has prevented purely speculative transactions taking place and may have, thus, avoided some cross-border risk.

“Our partners, lawyers and staff all know Has Wolf Theiss already felt the impact of the global downeach other and, thus, have the luxury of turn? I must say that in Belgrade we simply picking up the phone and calling are quite busy, so we have not yet felt the full impact of the crisis any of our multiple jurisdictions.” and we certainly hope that this throughout the World will not take a detour around Serbia. However, one could argue that Serbia’s status of a relative newcomer on the scene has actually served to protect it from the excesses of the more economically developed nations. Furthermore, Serbia is still emerging as a market, i.e. is not overdeveloped and overinvested, which can still make certain sectors highly attractive to investors. Of course, the “credit crunch” will reduce – and already has reduced – the number of investors that have access to necessary resources. But I believe that investment in Serbia will not dry up, it will just be reduced – and Serbia has endured worse in the very recent past.

26 Guide to The International Business Sector / March 2009

trend will continue for us. In our offices throughout the region, there has been some reduction in demand for services. However, from a business point of view this reduction in work is more than manageable. Moreover, some of our clients – especially the big players – have explained to us that in these uncertain times they need to at least be certain that they have done their best to properly analyse and mitigate all risk involved in a proposed transaction. Therefore, they may now choose to hire a more experienced and, therefore, somewhat more expensive team of attorneys – whereas in the old easy days they may have chosen to save on fees and assume more risk.

March 2009 / Guide to The International Business Sector 27

AUSTRIA Andreas Haidenthaler, Austrian Commercial Attaché in Belgrade

TOP PARTNER “In 2000 about 40 Austrian companies were present in Serbia. Today we count more than 280 Austrian companies in the country, which have created thousands of new jobs in Serbia.”

ustria is undoubtedly one of the most important countries when it comes to the economy of Serbia. Having invested heavily and increased bilateral trade levels year-on-year since the changes of 2000, Austria has become one of Serbia’s top partner nations. For the Guide to the International business Sector in Serbia, we speak to Andreas Haidenthaler, Austrian Commercial Attaché in Belgrade.

NO FEAR OF INVESTING

hat advice would you give to an Austrian business considering an investment in Serbia in 2009? Don’t be afraid to come to Serbia! We are facing a global financial crisis right now, but this is still the biggest single market amongst the successor states of the former socialist Yugoslavia. There are lots of business opportunities and with Serbia on its way towards the European Union, the country is definitely worth a second look. I would like to cite something I was told at the beginning of my posting to Belgrade and which I have been using in my speeches and presentations back home in Austria: “This is Serbia, everything is possible!”

Austrian companies have invested heavily in Serbia since 2000. What prompted this trend and do you expect it to continue? Austrian companies have in fact not only invested heavily in Serbia: Austria is the biggest foreign investor in Serbia! Since the year 2000, Austrian companies have invested approximately US$2.6 billion in Serbia. In 2000 about 40 Austrian companies were present in Serbia. Today we count more than 280 Austrian companies in the country, which have created thousands of new jobs in. In order to explain this phenomenon you have to take a look at history: Austrian entrepreneurs were among the first to understand what the fall of the former iron curtain would mean. These countries are all situated close to Austria, which makes us either direct or almost direct neighbours. As a consequence, Austrian businessmen were among the first to come to these new markets and, logically, also to Serbia. I expect this trend to continue, especially now that Serbia is on its way to the EU. How would you describe current trade levels between Serbia and Austria? The trade volume between Serbia and Austria has seen a continuous increase over recent years. According to Austrian statis-

28 Guide to The International Business Sector / March 2009

tics, our mutual trade volume amounted to close to 800 million Euros in 2007. The complete figures for 2008 haven’t been published yet, but from the preliminary figures we hope to be reaching the 900 million-Euro-mark. Historically, Austrian exports to Serbia have always been a bit larger than Serbian exports to Austria, but Serbia’s exports have increased at a higher rate. Is the global financial crisis affecting levels of trade and investment? It is still a bit early to talk about precise figures, but what we can say – and here I am not only talking about Austrian companies – is that nobody knows for sure how long the present situation will continue and how individual sectors be affected. Some sectors are bound to be hit harder. Another difficult issue is the psychological aspect of the crisis, which tends to create a kind of self-fulfilling prophecy. It is only natural that in such a climate of uncertainty investments are being postponed and projects are being rescheduled. Still, I believe that such a crisis can also present opportunities due to less competition. Have possible areas for the further advancement of bilateral economic relations been identified and have strategies been developed accordingly? In the past, the majority of Austrian investments in Serbia were in the services sector, notably banks, insurance companies or the telecommunication industry. I think there’s still a lot of potential for future investment and bilateral economic relations. Austrian companies have a lot to offer in the field of environmental protection, for example. Other areas include general infrastructure or the modernisation of industry. When the global crisis is over and demand rises again, the question will be whether there is

AUSTRIA

enough production capacity at hand, therefore capacity-building in industry is also an interesting topic. Serbia is a big market where one can tap into a reservoir of young, well-educated professionals. During the current period of global financial crisis and uncertainty, our biggest task is to create more awareness of the opportunities and chances for common growth. Are existing Austrian investors in Serbia satisfied with the conditions or have they identified areas requiring improvement? Generally speaking, Austrian companies are satisfied – otherwise we wouldn’t be the biggest foreign investor. There is still room for improvement, though. Companies would like to see less red tape and there are still regional differences as far as approval processes are concerned, for example. Therefore, I do welcome the Serbian government’s regulatory guillotine project and I hope it will prove

“Austrian products & companies are generally appreciated by the Serbian people. Our ofﬁce was set up in 1952 and has been operating ever since” successful. If somebody were to ask me what a country should do to attract foreign investment, my answer would be to present itself as a stable, reliable business partner, with predictable circumstances and equal opportunities for everyone. Nobody is investing in a country only because it offers a slightly lower tax rate than its neighbours. Companies always look at the bigger picture. To what extent have Austrian companies invested in the other countries of the region? Since the fall of the iron curtain, Austrian companies have been economic pioneers in the whole region of eastern and south-eastern Europe. Therefore, we can claim to be one of the biggest foreign investors in most countries in this region. What is the secret of the Austrian success in Serbia? Serbia and Austria are almost neighbours. The distance from Vienna to Belgrade is about the same as the distance from Vienna to Bregenz, the capital of the westernmost province of Austria. Austrian products & companies are generally known and appreciated by the Serbian people. Our office, the Austrian Trade Commission in Belgrade, was set up in 1952 and has been operating ever since without interruption. Many Serbs live and work in Austria and we share a long history. There is a common understanding of each other’s culture and tradition. From my own personal experience, I can say that apart from my own difficulties in learning the Serbian language I have never really felt like a stranger. The Serbian people and Serbian hospitality are truly amazing.

ALMA QUATTRO D.O.O Kosanče Dimitrijević, Director Dositejeva 20, 11000 Belgrade PGGJDF!BRZV DPN XXX BRZV DPN ALMIAACK D.O.O Vasilije Avramović, Director Laze Savatića 16, 11000 Belgrade almiaack@yubc.net ANDRITZVOITH PAPER Milorad Krgović, Director Dr. Ribara 154/16, 11000 Belgrade kargo@beotel.yu ATB SEVER A.D. Ernst Brunner, Director Magnetna polja 6, 24000 Subotica sever@yu.atb-motors.com www.atb-motors.com ALPINE D.O.O. Nevenka Sinđić, Director 27.marta 17, 11120 Belgrade PGGJDF!BMQJOF ST XXX BMQJOF ST ALUPLAST BGD D.O.O Alma Kapetanović, Director Batajnicki put 23, 11080 Zemun B QMBTU!FVOFU ST XXX B QMBTU ST AUSTRIAN AIRLINES Lukas Negedly, Director Terazije 3/3, 11000 Belgrade office.beg@austrian.com www.austrian.com AVUS Dr Dieter Pscheidl, Director Bul.Despota Stefana 83, 11000 Belgrade BWVT!TCC ST XXX BWVT HSPVQ DPN AWT INTERNATIONAL D.O.O Aleksandra Sutulov, Director Omladinskih brigada 102, 11070 New Belgrade BXUCHE!BXU ST XXX BWU ST ALU KOENIG STAHL D.O.O. Ewald Muller, Director Vladimira Popovica 6, 11070 New Belgrade office@alukoenigstahl.rs www.alukoenigstahl.com AKZENT MEDIA D.O.O. Predrag Resanović, Director Kneginje Ljubice 9, 11000 Belgrade office@akzentmedia.co.yu www.akzentmedia.co.yu ASSMANN SHOP DESIGN D.O.O. Mihajlo Hadžistević, Director Pančićeva 18, Belgradew

mihajlo.hadzistevic@assmann.rs www.assmann.rs AQUAFIN D.O.O. Vladimir Lazić, Director Nemanjina 3, 26000 Pančevo aquafin@nadlanu.com AUSTROTHERM D.O.O. Dragomir Ilić, Director Mirka Obradovića bb, 14000 Valjevo dilic@austrotherm.rs www.austrotherm.rs B.M.R. D.O.O Dragiša Despotović, Director Hajduk Veljka 38, 15000 Šabac office@bmr.rs BINDER CO Zoran Banović, Director Primorska 1, 11120 Belgrade zbanovic@net.yu BEIERSDORF D.O.O. Peter Koyš, Director Oml. brigada 88a, 11070 N. Belgrade bdfbelgrade@beiersdorf.com BRAMAC KROVNI SISTEMI D.O.O. Mark Anžur, Director Bul.Mihajla Pupina 10v/403, 11070 New Belgrade NL!CSBNBD DPN XXX CSBNBD DPN BAUER + BAUER D.O.O. Gabor Rigo, Director Kordunaška 37, 11 080 Zemun office.yu@bauer-bauer.com BAUMIT D.O.O. Branko Banjeglav, Director Smederevski put 25k Kaluđerica, 11000 Belgrade PGGJDF!CBVNJU ST XXX CBVNJU DPN BENE AG REPRESENTATIVE OFFICE BELGRADE Saša Milanović, Director Bul. Mihaila Pupina 6a, 11070 New Belgrade 381 11 2200275 sascha.milanovic@bene.com www.bene.rs BLUEWATERS YU D.O.O. Aleksandra Malešev, office manager Bul.Mihajla Pupina 25, 21000 Novi Sad aleksandra.malesev@bluewaters.co.yu www.bluewaters.at BIOMEDICA MP D.O.O. Borko Jelenić, Director Đorđa Pantelića 31, 11000 Belgrade bjelenic@biomedicamp.com www.biomedica.rs

March 2009 / Guide to The International Business Sector 29

AUSTRIA MORAVČEVIĆ, VOJINOVIĆ, ZDRAVKOVIĆ o.a.d. Anita Uzelac, contact person Francuska 27, 11000 Belgrade office@schoenherr.rs www.schoenherr.eu CENTAR ZA RAZVOJ LJUDSKIH RESURSA I MENADŽMENT Vladimir Ivanković, Director Višnjički venac 27, 11000 Belgrade mngcentar@sbb.rs www.mngcentar.com CA IB CORPORATE FINANCE D.O.O. Mitar Damjanović, Director Kneginje Ljubice 11, 11000 Belgrade damjanovicm@ca-ib.com www.ca-ib.com CA IMMO D.O.O. Milos Cvejic, Director Kralja Milana 8/1, 11 000 Belgrade srejic@caimmo.rs www.sava-business-center.com CITY EXPRESS DOO Andrej Beslać, Director Kumodraška 240, 11000 Belgrade PGGJDF!DJUZFYQSFTT ST XXX DJUZFYQSFTT ST CHEMOPHARMA OFFICE BEL GRADE Nenad Grujičić, Director Bulevar Mihaila Pupina 10g/I App.323, 11070 New Belgrade Belgrade@chemopharma.com www.chemopharma.com

CMS REICH  ROHRWIG HASCHE SIGLE d.o.o. Dr Radivoje Petrikić, Director Cincar Jankova 3, 11000 Belgrade PGGJDF!DNT SSIT DPN XXX DNT SSIT DPN KOMPASS DATABASE D.O.O. Branislava Janković, Director Kozjačka 9, 11000 Belgrade kompass@kompass.co.yu www.kompass.co.yu CONFIDA CONSULTING d.o.o. Wolfgang Auf, Director Knez Mihailova 22/6, 11 000 Belgrade PGGJDF!DPOGJEB ST XXX DPOGJEB ST CONFIDA REVIZIJA D.O.O Alexander Leitgeb, Director Knez Mihailova 22/6, 11 000 Belgrade PGGJDF!DPOGJEB ST XXX DPOGJEB ST DB SCHENKERRAILOG Damir Klašnja, Director Cara Lazara 13, 11000 Belgrade PGGJDF!SBJMPH DP ZV XXX SBJMPH DP ZV DIALAB GMBH Toni Pešić, Director Carigradska 1, 11000 Belgrade EJBMBC!TCC DP ZV XXX EJBMBC BU DIGICARD Prof. DI Dr. Pavle Bogetić, Director Cara Nikolaja 59, 11000 Belgrade QTC!FVOFU ZV XXX EJHJDBSE DP ST DINARA TRADE D.O.O. Branko Urošević, Director Save Neškovića 3-5, 11000 Belgrade dinaratrade@eunet.yu DM DROGERIE MARKT D.O.O. Alexandra Korichi, Director Bul.Mihajla Pupina 181, 11070 New Belgrade dmbgd@dm-drogeriemarkt.rs www.dm-drogeriemarkt.rs DOKA SERB D.O.O. Slobodan Novaković, Director Surčinska 17, 11 070 New Belgrade TFSC!EPLB DPN XXX EPLB DPN ST

30 Guide to The International Business Sector / March 2009

DOPPELMAYR REPRASENTANZ Andrea Kočovski, Director 3.oktobar 294/10, 19 210 Bor andrea.kocovski@nadlanu.com www.doppelmayr.com DPD D.O.O. Miloš Ogrizović, Director Golubinačka bb, 22310 Šimanovci NJMPT PHSJ[PWJD!EQE ST XXX EQE DPN DTSG, DONAU TANKSCHIFFAHRTSGMBH Mirko Termačić, Director Dr. Ivana Ribara 107/32 , 11000 Belgrade ECOLAB HYGIENE D.O.O. Dr Marianne Vukovic Pal, Director Milana Tankosica 8, 11 000 Belgrade office.belgrade@ecolab.com www.ecolab.com ECOREC D.O.O. Aleksandar Trnjakovic, Director 35254 Popovac Paraćin aleksandar.trnjakovic@ecorec.net www.ecorec.net ECT TRADING D.O.O. Bernhard F. Hoffmann, Director Popova bara 4, 11000 Belgrade b.hoffmann@ect-trading.eu www.ect-trading.eu EINHELL D.O.O. Ivan Kuzmanoski, Director Vojvodjanska 386, 11 271 Surčin Belgrade info.serbia@einhell.com www.einhell.com

EMC COMPUTER SYSTEMS Mladen Jevtić, Director Bul. Mihajla Pupina 6, 11070 New Belgrade jevtic_mladen@emc.com www.emc.com EPIC D.O.O. EUROPEAN PRIVATIZATION & INVESTMENT CORPORATION Bobo Ristić, Director Dositejeva 26, 11000 Belgrade bobo.ristic@epicinvest.com www.epicinvest.com ERSTE BANK AD NOVI SAD Slavko Carić, president of the Executive Board Bul. Mihajla Pupina 85b, 11 000 Belgrade kabinet@erstebank.rs www.erstebank.rs ESW EISENWERK SULZAU WERFEN Boro Vasić, Director Mira Popare 19, 11 030 Belgrade vljuban@sbb.co.yu EUROFOAM  SUNDER Laszlo Szanto, Director Karađorđeva bb, Stara Pazova office@eurofaoam.co.yu www.eurofoam.co.yu EKOSIP D.O.O. Igor Spaić, Director Industrijska bb, 22400 Ruma PGGJDF!FLPTJQ DP ST XXX FLPTJQ DP ST FESTO GES.M.B.H. WIEN, Office Belgrade Ljubomir Miladinovic, Director Bul. Kralja Aleksandra 154, 11 000 Belgrade JOGP!GFTUP DP ZV XXX GFTUP DPN FERIT D.O.O. Mirjana Kukoljac, Director Oblakovska 8, 11000 Belgrade dragos@beotel.yu GEA WESTFALIA SURGE Serbia d.o.o. Petar Petrović, Director Lazara Mamuzića 22, 11000 Belgrade

AUSTRIA office@westfalia.rs GEBRUEDER WEISS D.O.O. Slobodan Marković, Director Djordja Stanojevica 12, 11070 Belgrade slobodan.markovic@gw-world.com www.gw-world.com GFK BELGRADE D.O.O. Mirjana Agić Molar, Director Milutina Milankovica 27, 11070 New Belgrade HGL!HGL DP ZV XXX HGL DP ZV GRAWE OSIGURANJE A.D.O Cristoph Zettl, president of the Board of Directors Bul. Mihajla Pupina 115 d, 11070 New Belgrade office.Belgrade@grawe.at www.grawe.co.yu GRECO INTERNATIONAL D.O.O. Predrag Tomic, Director Bledska 3, 11 000 Belgrade p.tomic@eosrisq.co.yu www.greco-international.com GROTHUSEN AUDIO VIDEO REPRESENTATIVE Office Belgrade Ljubisa Špegar, Director

Bul. Dr Zorana Đinđića 95/lok 5, 11 000 Belgrade lj.spegar@sezampro.rs www.grothusenav.rs GLOBO D.O.O. Judit Beker, Director Bajci Zilinskog 16, 21 000 Novi Sad globodoo@sbb.rs www.globo-lighting.com GRUNDFOS OFFICE BELGRADE Saša Ilić, Director Oml.h brigada 90 b, 11000 Belgrade TJMJD!HSVOEGPT DPN XXX HSVOEGPT ST HAGLEITNER d.o.o. Dara Milivojević, Director Kraljevačkih žrtava 5, 11 000 Belgrade PGGJDF!IBHMFJUOFS ST XXX IBHMFJUOFS ST HAUSKA & PARTNER INTERNA TIONAL COMMUNICATIONS Vesna Petkovic, Director Čika Ljubina 12, 11 000 Belgrade jelena.gajic@hauska.net www.hauska.com HD EUROPEAN CONSULTING GROUP Danijel Pantić, Director Francuska 5/8, 11000 Belgrade

JOGP!IE FDH DPN XXX IE FDH DPN HEIDELBERG JUGOSLAVIJA D.O.O. Alehander Hufnagl, Director Pljevaljska 2b, 11000 Belgrade info.yu@heidelberg.com www.heidelberger.rs HERZ SRBIJA Božimir Milošević, Director Cara Dušana 1, 22330 Nova Pazova PGGJDF!IFS[ TSC DPN XXX IFS[ TSC DPN HILL INTERNATIONAL Dragan Čandrlić, Director Ruzveltova 45, 11000 Belgrade IJMM!IJMM DP ZV XXX IJMM DP ZV

HIPP PREDSTAVNIŠTVO Branka Trišić, Director Bircaninova 17, 11000 Belgrade IJQQ!UFIOJDPN OFU XXX IJQQ DP ZV HODLMAYR  ZASTAVA D.O.O. Markus Waeger, Director Trg Topolivaca 4, 34000 Kragujevac 381 34 323239 381 34 335916 markus.weager@hoedlmayr.com www.hoedlmayr.com HUBER D.o.o. Dejan Nikolić, Director Đerdapski put bb, 19 320 Kladovo huber@kladovonet.com www.huber.co.yu

March 2009 / Guide to The International Business Sector 31

AUSTRIA

HYPO ALPE  ADRIA  LEASING D.O.O. BELGRADE Vladimir Jamsek, Director Bul. Mihajla Pupina 6, PC Usce 11070 New Belgrade leasing.belgrade@hypo-alpe-adria.rs www.hypo-leasing.rs HYPO ALPE  ADRIA  BANK A.D. Vladimir Čupić, president of the Executive Board Bul. Mihajla Pupina 6, PC Usce 11070 New Belgrade office@hypo-alpe-adria.rs www.hypo-alpe-adria.co.yu IB INTERBILANZ CONSULTING d.o.o. Mario Janezic, Director Marsala Birjuzova 16/1, 11 000 Belgrade m.janezic@ib-gtBelgrade.co.rs www.ib-grandthornton.com INSERT D.O.O. Sasa Jelača, Director Paunova 41a, 11000 Belgrade JOTFSU!FVOFU ST XXX [VNUPCFM DPN LAGERMAX AED d.o.o. Zoran Zubac, Director Golubinačka bb, 22310 Šimanovci office@lagermax-aed.rs www.legermax-aed.rs LORENČIĆ D.O.O. Jovan Vučković, Director Servantesova bb, 11 080 Zemun j.vuckovic@lorencic.com www.lorencic.com SPECHT d.o.o. Jelena Opsenica, Director

TC “Futura” Nemanjina 40/III lok. 8, 11000 Belgrade belgrade@specht-partner.rs www.specht-partner.rs JOLI & CO Predstavništvo u Srbiji Slobodan Milošević, Director Gospodara Vučića 54, 11000 Belgrade KPMJDP!FVOFU ST XXX KPMJ BU JOHNSON CONTROLS GMBH Zoran Petrović, Director Bul. Mihaila Pupina 10D/I Lok. 126 New Belgrade zoran.petrovic@jci.com www.johnsoncontrols.com KLACSKA JUGOSLAVIA D.O.O. Alexandar Klacska, general Director Bulevar Mihaila Pupina 10g, 11000 Belgrade TUFWBO!LMBDTLB DP ST XXX LMBDTLB BU KNAUF D.O.O. Milutin Ivanović, Director Dalmatinska 65a, 11000 Belgrade PGGJDF!LOBVG ST XXX LOBVG ST KOTANYI d.o.o. Zoran Stanojković, Director Kumanovska 14-16, 11000 Belgrade zoran.stanojkovic@kotanyi.com www.kotanyi.com KONVEX D.O.O. Dragan Mihajlović, Director Skadarska 4/6, 11000 Belgrade konvex@yubs.net KOSCHE HOLZPROGRAMM

32 Guide to The International Business Sector / March 2009

Predstavništvo Belgrade Bernhard Schmiedl, Director Sibinjanin Janka 11/3, 11000 Belgrade srdan@panet.co.yu www.kosche.at KUHNE & NAGEL D.O.O. Saša Radosavljević, Director Partizanska 228, Ugrinovci, Belgrade info.Belgrade@kuehne-nagel.com www.kn-portal.com KUNSTTRANS DOO Đorđe Branković, Director Balkanska 32/IX, 11000 Belgrade LVOTUCHE!FVOFU ST XXX LVOTUCHE ST LUKINTEHNIK D.O.O. Slobodan Lukić, Director Indire Gandi 7/1, 11010 Belgrade ltehnik@eunet.rs MEDIA FILM Dragan Grujičić, Director Milutina Milankovića 174,

office.cs@moeller.net www.moeller.rs MPD TRADE Zoran Milosavljević, Director Čarli Čaplina 7, 11000 Belgrade NJSLPOJ!TCC ST XXX LPHFOFSBDJKB ST MUREXIN d.o.o. Dragan Ilić, Director Radojke Lakić 24, 11000 Belgrade JOGP!NVSFYJO ST XXX NVSFYJO ST NITEA d.o.o. Vesena Ječmenica, Director Žorža Klemansoa 19, 11 000 Belgrade OJUFB!FVOFU ST XXX OJUFB ST OMV SRBIJA d.o.o. Borislav Radosavljević, Director Omladinskih briogada 90/2, 11000 Belgrade office.serbia@omv.com www.omv.com

11070 New Belgrade mediafilm@yubc.net MEINL CAPITAL ADVISORS a.g. Gorica Obućina, Director Alekse Nenadovića 15/5, 11000 Belgrade office@meinlbank.com www.meinlbank.com M.MAY INDUSTRIEVERTERTRE TUNGEN GMBH & CO.KG BEL GRADE Željka Todić, Director Milutina Milankovića 138/13, 110702 New Belgrade ztodic@vektor.net MERKUR OSIGURANJE a.d.o. Miodrag Kvrgić, Director Bulevar Mihaila Pupina 6, 22 sprat, 11000 Berograd PGGJDF!NFSLVS ST XXX NFSLVS ST MOELLER ELECTRIC d.o.o. Anita Batričević, Director Dobanovački put 44, 11080 Zemun

ORF  AUSTRIJSKA RTV Ferdinand Wehrschut, Director Kralja Milana 15/1, 11000 Belgrade PSG CFMHSBE!PSG BU XXX PSG BU OTIS GMBH OGRANAK BELGRADE Christian Wappl, Director Bul. Mihaila Pupina 165a, 11070 New Belgrade cwappl@otis.com www.otisworldwide.com PANALPINA WELTTRANSPORT GMBH AUSTRIA AND CENTRAL EASTERN EUROPE REPRESENTA TIVE OFFICE BELGRADE Snežana Petrović, Director Futura Center Nemanjina 40/II, 11000 Belgrade snezana.petrovic@panalpina.com www.panalpina.com PEJAK-HANDEL d.o.o. Branko Pejak, Director M. Tita 146, 15316 Banja Koviljača branko@pejak.net

AUSTRIA

www.pejak-handel.net PFT SYSTEMS Zoran Lazarević, Director Bul. Arsenija Čarnojevića 140/19 11070 New Belgrade Lazarevic.Zoran@pft-systems.com PMC INTERNATIONAL Belgrade Edvard Tončev, Director Neznanog junaka 18 11000 Belgrade pmc@pmc-international.co.rs www.pmc.at PODGORINA FRUCHT d.o.o. Katarina Vucetic, Director Pere J. Komiricanca 27, 14253 Osečina info@podgorina.com www.podgorina.com PORSCHE LEASING d.o.o. Vojo Miladić, Director Zrenjanski put 11, 11210 Krnjača Belgrade info@porscheleasing.rs www.porscheleasing.rs PORSCHE SCG d.o.o. Max Winterfeldt, Director; Bojan Muravec, Director Zrenjanski put 11 11210 Belgrade info@porschescg.rs PRIMEX EXPORT - Import Momcilo Kostić, Director Bul. Kralja Aleksandra 290 11000 Belgrade primex@sezampro.yu www.primex.co.rs PROMAT GmbH Predstavništvo Violeta Antanasijević, Director Kopaonička 18 18000 Niš promat-srbija@medianis.net www.promat.rs RAIFFEISEN EVOLUTION PROJECT DEVELOPMENT Boris Ignjatović, Director Bul. Mihaila Pupina 10ž 11000 Belgrade office@raiffeisenevolution.com www.raiffeisenevolution.com

RAIFFEISEN LEASING d.o.o. Ralph Zeitlberger, Director Milutina Milankovića 134a 11000 Belgrade info.leasing@raiffeisen-leasing.rs www.raiffeisen-leasing.rs RAIFFEISENBANK a.d. Oliver Roegl, Director Bulevar Zorana Đinđića 64a 11070 New Belgrade info@raiffeisenbank.rs www.raiffeisenbank.rs RAPS ZAČINI d.o.o. Thomas Neumayr, Director Bul. Dr Zorana Đinđića 45b 11070 New Belgrade PGGJDF!SBQT DP ZV XXX SBQT BU RAUCH Serbia d.o.o. Heinz Dei-Michei, Director Šesta lička 2 15220 Koceljevo PGGJDF TFSCJB!SBVDI DD XXX SBVDI cc RECA d.o.o. Vladimir Ilić, Director Bul. Mihaila Pupina 10z/15 11070 New Belgrade SFDB!SFDB DP ZV XXX SFDB DP ZV REHAU d.o.o. Nikola Ivošević, Director Batajnicki drum 283e 11080 Belgrade #FMHSBEF!SFIBV DPN XXX SFIBV ST RIGIPS AUSTRIA GMBH Representative Office Aleksandar Grujić, Director Vladimira Popovića 40/3 GTC 19A 11070 Belgrade rigips.srb@saint-gobain.com www.rigips.co.rs ROEFIX d.o.o. Darko Kovač, Director Popovac bb 35254 darko.kovac@roefix.com www.roefix.com ROHDE & SCHWARZ

Predsedtavnistvo Belgrade Petar Pavasović, Director Toše Jovanovića 7 11 030 Belgrade rs-srb@rohde-schwarz.com www.rohde-schwarz.com ROHE d.o.o. Vladimir Antić, Director Patrijarha Dimitrija 24 11090 Rakovica Belgrade marija.maunelovic@rohe.rs www.rohe.rs ROTOGRAFIX d.o.o. Mihailo Stanković, Director Nehruova 129/III 11070 New Belgrade rotografix@sezampro.yu SAPPHIR IT & MANAGEMENT CONSULTING d.o.o. Christian Muck, Director Vladimira Popovića 6 A.104 11070 New Belgrade christian.muck@sapphir.at www.sapphir.eu S - LEASING d.o.o.

Vladimir Pajović, Director Đorđa Stanojevića 12 11070 New Belgrade PGGJDF!T MFBTJOH ST XXX T MFBTJOH ST S & T SERBIA d.o.o. Predrag Vraneš, Director Narodnih heroja 43/23 11070 New Belgrade QSFESBH WSBOFT!TOU ST XXX TOU ST SAFE INVEST d.o.o. Društvo za zastupanje u osiguranju Darko Bobešić, Director Terazije 43/IV 11000 Belgrade sinvest@eunet.rs SEF d.o.o. Petar Paunovic, direktor Proleterske solidarnosti 38/34 sefdoo@eunet.rs SCHACHERMAYER d.o.o. Dušan Bandin, Director Vojvođanska 370 11271 Surčin info@schachermayer.rs

March 2009 / Guide to The International Business Sector 33

AUSTRIA

www.schachermayer.rs SCHENKER d.o.o. Slavoljub Jevtić, Director Batajnički drum 283d 11000 Belgrade PGGJDF!TDIFOLFS ST XXX TDIFOLFS ST SCHIEDEL DIMNJAČKI SISTEMI Silva Derča, Director Kumodraška 176/8 11000 Belgrade EJNOKBL!TDIJFEFM ST XXX TDIJFEFM ST SCHILLER PREDSTAVNIŠTVO BELGRADE Milan Krković, Director Sićevačka 1 11000 Belgrade milan.krkovic@schiller.rs www.schiller.rs SCHRACK Technik d.o.o. Nenad Rebić, Director Kumodraška 260 11000 Belgrade office-beo@schrack.co.rs www.schrack.co.rs SIEMENS d.o.o. Tihomir Rajlić, Director Omladinskih Brigada 21 11070 New Belgrade office.cs@siemens.com www.siemens.rs SORAVIA MANAGEMENT d.o.o. Bernhard Ebner, Director Svetog Nauma 1 Senjak 11000 Belgrade PGGJDF!TPSBWJB ST XXX TPSBWJB BU SPIEGELFELD INTERNATIONAL d.o.o. Radivoje Nijemčević, Director Neznanog junaka 14 11000 Belgrade nijemcevic@spiegelfeld.eu www.spiegelfeld.eu STRABAG d.o.o. Dragan Pavelić, Director Antifašističke borbe 13a 11070 New Belgrade dubravka.mrkovic@strabag.com www.strabag.com SUN CHEMICAL d.o.o.

Novica Milić, Director Vitezova Karađorđeve zvezde 64 11060 Belgrade office@sunchemical.rs www.sunchemical.com SWIETELSKY d.o.o. Đorđe Zveržhanovski, Director Bul. Fransa D’Eperea 88 11000 Belgrade office@swietelsky.co.yu www.swietelsky.at TCL TRANS CARGO LOGISTIC Mihajlo Vukićević, Director Jurija Gagarina 26 New Belgrade PGGJDF!UDM ST XXX UDM ST TECHNIK DESIGN d.o.o. Dragan Glogovac, Director Pasterova 2 21000 Novi Sad office@technikdesign.rs www.technikdesign.rs TERRA KOEVI d.o.o. Siniša Tomašić, Director Partizanske avijacije 8 11077 Belgrade office@terra-srbija.rs www.terra-world.com TERRANOVA d.o.o. Dipl. Ing. Milan Spasić, Director Koste Abraševića 17 11000 Belgrade teranova@eunet.yu lemis@sbb.co.yu TIPTEH d.o.o. Damir Večerka, Director Bul. Dr Zorana Đinđića 45d lok.18 11 070 New Belgrade EBNJS WFDFSLB!UJQUFI ST XXX UJQUFI ST TM IMMO d.o.o. Miloš Cvejić, Director Kralja Milana 8/1 11 000 Belgrade srejic@caimmo.rs www.sava-business-center.com TRANSPORT CONSULT GmbH Predstavništvo Belgrade Dušan Antonić, Director Palmotićeva 5 11000 Belgrade

34 Guide to The International Business Sector / March 2009

tcbelgrade@sezampro.rs www.transport-consult.at TRENKWALDER KADROVSKE USLUGE d.o.o. Mališa Grujić, Director Bul. Arsenija Čarnojevića 68 lok.3 New Belgrade USFOLXBMEFS!TCC ST XXX USFOLXBMEFS ST TRUSTSIX d.o.o. Gregor Todt, Director Imotska 1 11000 Belgrade CH!USVTUTJY DPN XXX USVTUTJY DPN VIP MOBILE d.o.o. Alexander Sperl, Director Omladinskih brigada 21 11070 New Belgrade komunikacije@vipmobile.rs VAMED Zavod za medicinsku dijagnostiku Vladimir Kovačević, Director Hajduk Veljkova 11 21000 Novi Sad vamed@neobee.net www.vmr-centar.com VOEST ALPINE d.o.o. Stefan Kaspar, Director Antifašističke borbe 18/3 New Belgrade vladarka.mandic@voestalpine.com, suzana.konsulovski@voestalpine.com www.voestalpine.com VAIT Serbia Dušan Erdeljan, Director Rumenački put bb 21000 Novi Sad PGGJDF!WBJU DP ZV XXX WBJU DP ZV VOLKSBANK a.d. Axel Hummel, Director Bul. Mihaila Pupina 165g 11070 New Belgrade office@volksbank.co.yu www.volksbank.co.yu VOLKSBANK LEASING d.o.o. Klaus Spitzer, Director Đorđa Stanojevića 12 11070 New Belgrade PGGJDF!WCMFBTJOH ST XXX WCMFBTJOH DP ZV UNICREDITBANK Srbija a.d. Klaus Priverschek, Director Rajićeva 27-29 11000 Belgrade office@unicreditgroup.rs www.unicreditgruop.rs UNICREDIT LEASING SRBIJA D.O.O. BELGRADE Joachim Ahrer, Vladimir Šijaković,

members of the Board Bul. Mihaila Pupina 165E Belgrade office@unicreditleasing.rs www.unicreditleasing.rs UNICREDIT CAIB Serbia d.o.o. Mitar Damjanović, Director Kneginje Ljubice 11 11 000 Belgrade mitar.damjanovic@caib.unicreditHSPVQ FV XXX VOJDSFEJUNJQ FV UNIQA Osiguranje a.d.o. Zoran Višnjić, Director Milutina Milankovića 134g 11070 New Belgrade JOGP!VOJRB ST XXX VOJRB ST WACKER NEUSON d.o.o. KRAGUJEVAC August Ornetzeder, Director Milice Miljojković 13 34000 Kragujevac 381 63 689096, 381 63 689093 svetlana.rajacic@prose.at WELLBURY INFRASTRUKTUR - BERATUNGS GmbH Slađana Brajović, Director Dečanska 12/VII 11000 Belgrade wellbury@gmail.com WESTFALIA SURGE d.o.o. Petar Petrović, Director Lazara Mamuzića 22 11000 Belgrade office@westfalia.co.yu www.westfaliasurge.com W&P BAUMIT d.o.o. Dipl.Ing.Roland Hochholdinger, Director Venčački put bb 34300 Aranđelovac arandjelovac@wup.baumit.com www.baumit.com WIENER STÄDTISCHE OSIGURANJE a.d. BELGRADE Branko Krstonošić, president of the Executive Board Bulevar Mihaila Pupina 165G New Belgrade PGGJDF!XJFOFS DP ST XXX XJFOFS DP ST WOLF THEISS d.o.o. Miroslav Stojanović, Director Bul. Mihaila Pupina 6 11070 New Belgrade Belgrade@wolftheiss.com www.wolftheiss.com WOMA d.o.o. Belgrade Miloš Veličković, Director Ulofa Palmea 8a 11160 Belgrade info@woma-Belgrade.co.rs www.woma-Belgrade.co.rs

March 2009 / Guide to The International Business Sector 35

BELARUS

Greater goods exchange By Elena VASILYEVA

oth Belarus and Serbia are considered as developing countries. Sergey Chichuk, Charge d’Affairs at the Belarusian Embassy in Belgrade, talks about whether these two countries can help each other to develop further.

Sergey Chichuk, Charge d’Affairs of the Belarusian Embassy in Belgrade BELARUS AGROPANONKA D.O.O. Dragoljub Svonja, Director Filipa Višnjića 10, 21000 Novi Sad 381 21 524844; 381 21 523772 office@agropanonka.com www.agropanonka.com BELLNTER GROUP D.O.O. Aleksandar Bitus, Director Terazije 27, Belgrade 381 11 2025184; 381 11 2025184 bitalex@tut.by DINARA A.D. Branislav Antonijević, Gen.Director Save Markovića 3, Belgrade 381 11 2464462; 381 11 2464462 office@dinara.rs; www.dinara.rs TRIGON TIM D.O.O. Mile Šupica, Director Gandijeva 148a, lok.61, Belgrade 381 11 3185646; 381 11 3185911 trigonco@eunet.yu

How would you rate current economic co-operation between Belarus and Serbia? In the last few years the development dynamics of trade and economic relations between Serbia and Belarus shows that there is an increased interest in both countries. This interest is reflected in all avenues of co-operation. I am happy to say that in the period from 2007 to 2008, the trade exchange between Belarus and Serbia almost doubled – from US$37 million to US$65 million. I believe that there is huge potential for the development of our bilateral economic relations, regardless of the fact that the volume of trade between our two countries is not so great at the moment. Belarus and Serbia have concluded over 20 intergovernmental treaties so far, covering a wide range of relations. We are currently working on the free trade agreement, which will lead to the abolishment of practically all customs duties on both sides. There is also an agreement about the provision of employment for citizens from both countries, which will lead to Serbs in Belarus and Belarusians in Serbia having the same treatment when searching for employment. I do hope that these agreements are going to be signed in the second half of March this year. In order to promote the economic potential of both countries, we are actively co-operating with the Serbian Ministry of Economy

VULOVIĆ TRANSPORT D.O.O. Mališa Galjak, Director Lepenički bulevar 1, 34000 Kragujevac 381 34 335830; 381 34 335071 vul.trans@nadlanu.com www.vulovictransport.com YUBEL D.O.O. Dušan Zorić, contact Bul.Oslobođenja 11, 21000 Novi Sad 381 21 444929; 381 21 444854 yubel@eunet.rs

36 Guide to The International Business Sector / March 2009

and Regional Development, as well as the Ministry of Trade and Services and the Serbian Chamber of Commerce, where there is a whole department dedicated to developing co-operation with Belarus. As a result of the co-operation between our two chambers of commerce, a group of Belarusian entrepreneurs are due to come to Serbia in 2009, while businessmen from Minsk County will visit Vojvodina and in the first half of this year we plan to hold a regular session of the intergovernmental trade and economic commission. We are pleased to see that our economic co-operation is not limited solely to trade. We are trying to actively develop our production co-operation too. A factory that assembles dump trucks was opened in Belarus in 2006 and is run by Serbia’s Vulović Transport Company. This Serbian company, together with a carmaker from Minsk, plans to put together a production of low-rise city buses which run on natural gas. Moreover, we are currently developing joint projects concerning the production of Belarusian tractors, lift equipment, minidevices, prefabricated equipment and lighting equipment in Serbia.

The Belarusian economy is more interested in receiving foreign investments

Do you expect the number of Belarusian investors in Serbia to grow? Both Belarus and Serbia are considered as developing countries. Our economy, just like yours, is more interested in receiving foreign investments than investing abroad. Hence, I think it is premature to talk about the possibilities of Belarus investing in Serbia on a larger scale. However, we are working on it. There are three companies in Serbia that have been founded with the Belarusian capital, amongst them is Belarus Agropanonka d.o.o., which sells tractors, Jubel d.o.o., which produces agricultural, prefabricated and construction equipment, and BelInter Group d.o.o., which is fresh to the market and plans to sell both the Belarussian and Serbian goods.

R vulovic

March 2009 / Guide to The International Business Sector 37

BELGIUM

Climate Improving

elgium firms rank among the biggest foreign companies in Serbia in various industries. According to Ann-Veronique Mortier, Belgium’s Economic and Commercial Attaché in Belgrade, “Belgium is an active investor in Serbia and Belgian investments are among the biggest”.

“Serbia is interesting for investment and doing business, because it is centrally located on the crossroads between East and West.” Ann-Veronique Mortier, Belgium’s Economic and Commercial Attaché in Belgrade

“The interim trade agreement with the EU will solve one of the biggest obstacles – high import rates for some products.”

How would you describe current trade levels between Serbia and Belgium; are those levels increasing year-on-year? Belgium and Serbia have a diversified trade relationship and although Serbia isn’t among the top 10 trade partners of Belgium, it represents an important market for Belgian business. Trade relations between Belgium and Serbia are good and the trade volume is increasing year-on-year, with imports from Belgium increasing faster. For example, in the first nine months of 2008 overall imports from Belgium rose by around 17 per cent year-on-year. The major import products from Belgium to Serbia are road vehicles, plastic materials in primary shapes and chemical products. The major export products from Serbia to Belgium are organic chemical products, fruits and vegetables and steel and iron. However, there is still a lot of place for improvement and further increases of the trade levels. How much potential for further Belgium investment exists in Serbia? Belgium is an active investor in Serbia and Belgian investments are among the biggest – Inbev invested and bought Apatinska Pivara, KBC Bank bought ABanka, Puratos, Schreder and many other Belgian companies have their investments in Serbia. In total, there are more than 40 Belgian companies present on the market. Serbia is interesting for investment and doing business because it is centrally located on the crossroads between East and West. Also, it is part of the CEFTA, has a free trade agreement with Russia, a general system of export preferences with the U.S. and the Serbian parliament has adopted amendments to the Law on customs tariffs, allowing the implementation of the interim trade agreement with the EU. This agreement envisages the gradual liberalisation of trade in industrial and agricultural products over the next six

38 Guide to The International Business Sector / March 2009

years. Great potential lies in the construction and transport sector, renewable energies, plastics and our excellent chocolate and pastry products. What activities is the embassy organising to boost trade and investment levels? We try to organise various activities to boost trade. Last year we had a commercial delegation, several prospection trips, seminars in the Chamber of Commerce in order to further present Belgian investments and companies in Serbia and to give more information regarding possibilities and facilitate doing business with Belgium. There were also some seminars in Belgium, intended for Belgian companies that would like to start or improve business with Serbia. This year we continue with various activities - AWEX will have its stand at the Belgrade Construction Fair in April and will try to bring together potential partners, then in October we will have a visit of the multi-sectoral delegation of Belgian companies, while at the end of 2009 I will spend several weeks in Belgium, during which I will meet numerous Belgian companies interested in Serbia to offer them more information about business opportunities in Serbia. Are existing Belgian investors in Serbia satisfied with conditions on the local market or have they identified specific areas requiring improvement? Perhaps Serbia won’t be the first country to pop up on Belgian business radars when they’re considering who to do business with. However, those who come are usually pleasantly surprised. I think general conditions are improving; doing business is becoming easier as Serbia is starting to accept and follow new rules and regulations. There is a new, more modern approach to doing business, new legislation and more goodwill to accept EU know-how and ways of doing things. The interim agreement with the EU will solve one of the biggest obstacles – high import rates for some products. Nevertheless, there are still a lot of obstacles that require improvement: non-tariff barriers, complicated administrative procedures, special charges, tests of compliance with international standards, inspection and quar antine at the border, etc.

BELGIUM APATINSKA PIVARA a.d. Ilija Šetka, Gen. Director Trg Oslobođenja 5, 25260 Apatin adapa@ptt.yu www.jelenpivo.com www.inbev.com AGRICON CO. Aleksandar Ninkov, Director Gagarinova 22, 21 000 Novi Sad agricon@agriconco.com www.agriconco.com ARUM d.o.o. Zoran Puača, Gen. Director Borhesova 31, Zemun BSVN!OBEMBOV DPN XXX IPSFDB ST BLOCKX d.o.o. Export Import Miluška Benkova, Director Đure Salaja 17, 11300 Smederevo blockx@ptt.yu BERGHOFF d.o.o. Radivoje Nijemčević, Gen.Director Neznanog junaka 14, 11040 Belgrade rnijemcevic@berghoff-scg.com www.berghoffwolrdwide.com IBKA COMPANY Ibrahim Ramović, Gen. Director Brodarevska 74, 36300 Novi Pazar 381 20 383944, 063 8106316 KENZAI GROUP d.o.o. Patrick Geerarert, Gen. Director Auto put Novi Sad 74, Zemun contractworld@kenzaigroup.com www.carpetland.rs www.contractworld.rs DIMA COMPANY d.o.o. Slobodan Dimić, Gen. Director Čarli Čaplina 38, New Belgrade bobo.dimic@dimagroup.info www.dimagroup.info EUROTEP d.o.o. Johan Valcke, Director Prvomajska 45, 26000 Pančevo PGGJDF!FVSPUFQ ST XXX FVSPUFQ ST GUIDANCE a.d. Nebojša Bajić, Director Zmaj Jovina 3, 11000 Belgrade kontakt@guidance.co.yu www.guidance.rs IZOLACIJA HOLDING a.d. Branko Krašovec, Gen. Director Miška Jovanovića 9, 11000 Belgrade JOGP!J[PMBDJKB DP ST XXX J[PMBDJKB DP ST IMMO INDUSTRY SERBIA d.o.o. Bratislav Lacmanović, Director Milutina Milankovića 23, 11 070 Belgrade bratislav.lacmanovic@iig.org www.iig.be INOSTONE d.o.o. Dejan Grujić, Director Vojvode Bogdana 38, 11120 Belgrade inosyub@eunet.rs KBC Banka a.d. Beograd Avram Milenković, President of Executive Board Požeška 65b, 11000 Belgrade

PGGJDF!LCDCBOLB ST XXX LCDCBOLB ST SUPER CANDY d.o.o. Sandra Ristić, Gen. Director Bul.Zorana Đinđića 75/6, Belgrade TBOESB SJTUJD!TJPM OFU MONDI SERBIA d.o.o. Goran Krunić, Gen.Director Vrdila 211a, 36000 Kraljevo mondiserbia@eunet.rs www.mondiserbia.rs MASSIVE LIGHTING d.o.o. Sasa Gugoski, Gen.Director Autoput 22, 11080 Zemun 381 11 2019831 massive@ptt.yu METECH d.o.o. Walter Knabe, Gen. Director Đure Salaja 17, 11300 Smederevo walter.knabe@srbija-metech.com www.srbija-metech.com MINEL SCHREDER d.o.o. Bratislav Vučković, Gen. Director Tošin bunar 51, 11080 Zemun office@minel-schreder.rs www.minel-schreder.rs MTR AGRO-MIL Dragan Stanković, Gen. Director 1PKBUF BHSP@NJM!QUU ZV XXX BHSP NJM DP ZV PLANTA SPONTANEA d.o.o. Rino Tuttobene, Director Kralja Petra I bb, 19220 Donji Milanovac plantaspont@na dlanu.com PURATOS d.o.o. Orfej Đorđević, Gen. Director Ljutice Bogdana 1a, 11000 Belgrade PGGJDF!QVSBUPT DP ST XXX QVSBUPT DP ST SECURITAS d.o.o. Beograd Đorđe Vučinić, President of the Board of Directors Zmaj Jovina 15, 11000 Belgrade PGGJDF!TFDVSJUBT DP ST XXX TFDVSJUBT DPN TAVROS d.o.o. Jovan Čanak, Gen. Director Milutina Milankovića 76, 11070 New #FMHSBEF PGGJDF!UBWSPT DPN www.tavros.rs TELDICO d.o.o. Dragoslav Milosavljević, Gen. Director Prvomajska 8/I, 11080 Zemun teldico@verat.net ULTRAPOLYMERS d.o.o Predrag Tripković, Gen. Director Bul.Arsenija Čarnojevića 66/3, 11070 New Belgrade 3119120 office@ultrapolymers.co.yu www.ultrapolymers.com URADI SAM Ivan Jovanović, Director Omladinskih brigada 19, 11070 New Belgrade JOGP!VSBEJ TBN ST XXX VSBEJ TBN ST YUBE d.o.o. Francois Hannecart, Gen. Director Braće Micića 66, 31250 Požega hannecartfr@hotmail.com

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BRAZIL

Trade on the up “…trade is gradually increasing and more products are being traded in both directions. Coffee remains the biggest item, but its dominance is being reduced every year.” H.E. Dante Coelho De Lima, Brazilian Ambassador in Belgrade

“Brazil is still a major recipient of foreign investment – indeed, last year we achieve a record of US$45 billion of foreign investments – but we are now also globalising our economy.”

.E. Dante Coelho De Lima says that bilateral trade is lower than expected, “particularly considering that we had very solid co-operation with the ex-Yugoslavia. Today trade levels are much lower, but there is a tendency for growth as the economic situation in Serbia stabilises. “There has been a sustainable increase in trade and the figures are higher every year, but at the beginning of the last quarter of 2008 we could already feel the first repercussions of the global financial crisis. There was a clear reduction in trade, especially in the exports of Serbian products to Brazil. Nevertheless, the overall trade is gradually increasing and more products are being traded in both directions. Coffee remains the biggest item, but its dominance is being reduced every year. Today there is a tendency for more manufactured goods to be traded, such as shoes pig iron, parts for industrial machines, orange concentrates and equipment for automation processes, among others – the trade of which is growing sharply.” Have possible areas for the advancement of economic relations been identified? We place high importance on this region. Brazil is establishing new missions and in the last two years we opened embassies in Zagreb and Ljubljana, which shows that we see promising markets for Brazilian products here. Last year Foreign Minister Jeremić went to Brazil to meet his Brazilian counterpart and in the next few months a return visit is expected. This visit will probably see our foreign minister accompanied by a trade mission that will be able to see the Serbian market firsthand and identify opportunities. Areas identified for potential co-operation include agribusiness – Serbia has a strong tradition of agricultural production and Brazil is becoming an agribusiness powerhouse, experiencing strong growth in meat production, traditional coffee production and ethanol produced from sugar cane. Have Brazilian companies invested here? We have the first so-to-speak ‘Brazilian investment’ in Serbia as a result of co-operation between Brazilian company SMAR and Serbia’s WIG in the area of very sophisticated equipment and software for the control of industrial complexes, such as the oil indus-

40 Guide to The International Business Sector / March 2009

try. SMAR has the giant petrol state company PETROBRAS in Brazil as their biggest client. They do very sophisticated work and were even approached by NASA. The agreement signed here takes co-operation between SMAR and WIG to a higher level. Currently SMAR only exports its equipment and software to Serbia and it’s being used by NIS (Petroleum Industries of Serbia) and at the Banatski Dvor storage facility, but the prospects for progress are very favourable and Serbia’s newfound political stability helps a lot. I would also remind that Apatinska Pivara is controlled by major Brazilian-Belgian INBEV, which recently acquired U.S. Anheuser-Busch to become the leading global brewer and one of the world’s top five consumer products companies. How would you describe Brazil’s transition from a country that’s generally the recipient of foreign investment to a foreign investor? Brazil is still a major recipient of foreign investment – last year we achieve a record of $45 billion of foreign investments – but we US are now also globalising our economy. We have invested quite heavily in our own region and in the U.S., where we have established partnerships with fruit juice producers who are our traditional competitors. We have investments in Portugal and Africa, particularly in Portuguese speaking countries, for obvious linguistic and cultural reasons, and are proving very successful in civil engineering and infrastructure projects. I’d say that this sort of expansion is natural for a country aspiring to be a global player. Figures from the Brazilian Central Bank show that we invested US$ 20 billion abroad in 2008. What advice would you give a Brazilian business considering investing in Serbia? I would advise them to look at this region as very promising, particularly Serbia because - after a period of sanctions and relative isolation - it’s still virgin territory for most Brazilian companies. Little by little, through the information we’ve sent to Brazil, we are improving their knowledge of the region, including the CEFTA zone. APATINSKA PIVARA A.D. Ilija Šetka, Gen. Director Trg Oslobođenja 5, 25260 Apatin BEBQB!QUU ZV XXX KFMFOQJWP DPN XXX JOCFW DPN

March 2009 / Guide to The International Business Sector 41

BULGARIA H.E. Georgi Dimitrov, Bulgarian Ambassador to Serbia

TRADITIONAL CO-OP

ulgaria and Serbia have had traditionally good co-operation. Here Bulgarian Ambassador to Serbia, H.E. Georgi Dimitrov, talks about this co-operation for the 2009 Guide to the International Business Sector in Serbia.

“Bulgaria is among the top ten foreign investors in Serbia and Bulgarian companies have no intention of changing their plans with regard to investing in Serbia” FREE TRADE ZONES

he possibilities offered by Bulgaria’s membership in the EU and the Free Trade Agreement between Serbia and Russia are definitely not utilised enough. The idea about creating border free trade zones is not a new one, but at this time of crisis it is worth looking into it.

What is your view of the current economic co-operation between Bulgaria and Serbia? Our economic cooperation has traditionally been a good one. Serbia’s membership in CEFTA has contributed to the liberalisation of trade and both countries are participating in the South East European Energy Community, as well as in regional organisations where collaboration is expanding. There is a potential to widen the bilateral economic co-operation in several directions. Speaking short-term, I expect quick results after the Serbian Government begins implementing the Interim Trade Agreement with the EU. Abolishing custom duties will lead to a broader trade exchange – we expect this exchange to grow by at least 20 per cent by the end of this year. We are going to open two new border crossings soon, following an agreement reached by Serbian President Boris Tadić and Bulgarian President Georgi Prvanov. They have signed an agreement about a visa-free regime applicable in the 30-kilometre-radius on the both sides of the border and this has led to more people travelling between the two countries. When it comes to our mid-term plans, both Serbia and Bulgaria are going to take part in very important infrastructure projects like the Corridor 10, connecting our gas transfer systems and construction of the South Stream gas pipeline. This is going to encourage our economic collaboration even more. In the long-term, both countries are a part of a united European area and, as such, they are a link between Central and Western Europe and the countries of the Caspian region and Central Asia. The River Danube and the corresponding Corridor 7, important transport routes connecting

42 Guide to The International Business Sector / March 2009

West and East, the Black Sea basin and South Energy Corridor all provide an excellent basis for the development of our region as a dynamic infrastructural intersection. This will lead to a larger transfer of energy and combined cargo, with an optimum diversification of resources and supply directions. How much will the current economic crisis affect co-operation between Bulgaria and Serbia? The global economic crisis is going to have a negative impact on the economies of both countries and will indirectly affect our economic co-operation. We are currently trying to organise a meeting of the Mixed Economic Commission for the end of March 2009. I believe that our experts will be able to pinpoint negative tendencies and put together a set of measures to soften the blow of the economic crisis, as well as to find alternative sources of financing and devise a joint appearance on third markets. Do you know of anymore Bulgarian companies that are planning to come to Serbia this year? Which economy sectors is Bulgaria interested in when it comes to investing in Serbia? Bulgaria is among the top ten foreign investors in Serbia and Bulgarian companies have no intention of changing their plans with regard to investing in Serbia. A large supermarket chain, Mr. Brikolage, wants to set up a chain of its stores here. Tehnomarket plans to broaden its network. Also, Leskovac-based Interlemind has been expanding its operations. Companies like Prista Oil, Office 1 Superstore, Handy and Tempo gas are all successful on the Serbian market. Moreover, quite a lot of interest has been shown in investing in energy projects, taking part in the privatisation process and increasing Greenfield investments. Monbat wants to build a contemporary car battery factory in Serbia. I think that a negative trade balance in bilateral relations is not good and Bulgaria would like to see more Serbian investments in our country. I think that setting

BULGARIA

ERATION up joint venture companies that will focus on third markets is good. It is also important to pass laws covering the mutual protection of investments. What sorts of problems do Bulgarian companies usually face when carrying out an investment in Serbia? Bulgarian companies cite waiting too long to obtain permits as an obstacle to the development of business. Other problems are unfair competition and vague privatisation contracts. Bulgarian investor, Monbat, was refused a permit to open a car battery recycling facility worth 10 million euros, regardless of the fact that the company obtained all permits from all relevant institutions. Nonetheless, I am convinced that this is just a misunderstanding and that company will become operational soon. Are you satisfied with relations between the Bulgarian Embassy and the Serbian Chamber of Commerce, as well as with other economic organisations in our country? The Serbian Chamber of Commerce has always provided its assistance, while the Embassy’s representatives are participating in the Chamber’s sessions. We are also going to exchange delegations from Serbia and Bulgaria. The Embassy is open to suggestions and will respond to the initiatives launched by business organisations and local governments. What efforts is the Bulgarian Embassy planning in order to improve co-operation between our two countries and encourage Bulgarian companies to invest more? We are providing timely information to the relevant Bulgarian authorities when it comes to our mutual interests. We have facilitated a multi-visa regime for businessmen and we are also doing our part to conclude the visa-free regime agreement in the 30-kilometre-radius on both sides of the border. We are also engaged in opening two new border crossings – Salaš / Novo Korito and Petachinci / Bankya – and a joint border crossing called Strezimirovci. We are also engaged on continuing the Mixed Commission’s work. We expect Milutin Mrkonjić, Serbia’s Minister for Infrastructure, to come to Bulgaria soon in order to expand areas of co-operation and I also think the time is coming for our two prime ministers to meet in order to define measures about broadening the co-operation. With regard to encouraging Bulgarian companies to invest more in Serbia, I think that further market liberalisation, picking up the pace of privatisation and improving the business climate are elements of Serbia’s European integration process that we support and, I hope, will lead to our imminent coexistence in Europe with equal and clear rights. Appropriate business norms will contribute to our better communication in these areas.

APEX SERVICE Zahari Kalaydzhiev, Director Ugrinovacki put 116, 11080 Belgrade PGGJDF!BQFYTFSWJDF FV XXX BQFYTFSWJDF FV BRICO SPEC D.O.O Marin Todorov, Director Džordža Stanojevića 12, 11070 New Belgrade PGGJDF!NS CSJDPMBHF ST XXX NS CSJDPMBHF ST MULTY GROUP Pavel Petkov, Director Slobodan Lale Berberskog 96, 11000 Belgrade QBWFM!NPVMUZHSPVQ ST XXX NPVMUZHSPVQ ST HANDYTEL D.O.O. Yulian Rajchel Rangelov, Director Mihaila Bulgakova 32B, 11000 Belgrade PGGJDFCFPHSBE!IBOEZCH DPN XXX IBOEZ ST NOVA SRBIJANKA Anton Valiov, Director Vladike Nikolaja 58, 14000 Valjevo PGGJDF!TFSCJBOLB DPN XXX TFSCJBOLB DPN PRISTA OIL Mihail Ilinov Ilijev, Director Goce Delčev 34B, 11000 Belgrade PGGJDF!QSJTUB PJM DP ST XXX QSJTUB PJM DP ST RUDNIK KOVIN A.D. Asen Goranov, Director Cara Lazara 85, 26200 Kovin rudmik@panet.co.rs TEMPO GAS D.O.O. Diliana Ivanova, Director Sime Lozanića, 11000 Belgrade office@tempogasdoo.co.rs www.tempogasdoo.co.rs TRADE EXPRESS D.O.O. Zorka Kirilova, Director Mira Popare 30, 11030 Belgrade tradeexpress@nadlanu.com VULKAN A.D. Kiril Kirilov, Director Mramorski put bb, 18000 Niš JOGP!WVMLBO ST XXX WVMLBO ST YUCOM INTERNATIONAL Evgeni Vasilev, Director Trg oktobarske revolucije 7, 24000 Subotica FWHFOJ WBTJMFW!ZVDPN ST XXX ZVDPN ST SUMMIT TRADING D.O.O. Todor Evtimov, Director Koste Stamenkovića 11 lokal 5 18000 Niš PGGJDF!FMJUF ST XXX FMJUF ST МI GAS INŽINJERING D.O.O. Nikolay Bayrev, contact Krajiška 71a, 11080 Zemun NJHBT!TCC DP ST XXX NJ HBT DPN OFFICE 1 SUPER STORE Goran Nedeljković, Director Milosev kladenac 14b, 11126 Belgrade BOEKFMLB [JWLPWJD!PGGJDF ST XXX PGGJDF ST TOPLIVO D.O.O. Kaloyan Slavkov Lubchov, Director

Antifašistzičke borbe 15/1 , 11070 New Belgrade toplivo.serbia@toplivo.net www.toplivo-bg.com INTERTRUST BELGRADE Radomir Jari, contact Gandijeva 101a, lokal 4, 11000 Belgrade intertrust_belgrade@nadlanu.com K&K ELECTRONIC Nikolai Kitov, Director Nehruova 68B, 11070 New Belgrade nikolai.kitov@rskkelectronics.co www.rskkelectronics.co SRPSKA FABRIKA STAKLA A.D. Aleksandar Đukić, Director Staklarska 1-3, 35250 Paraćin gendir@serbian-glass.com www.serbian-glass.com JUGOKAOLIN D.O.O. Borica Jovanović, coordinator Generala Gambete 44, 19000 Zaječar jugokaolinza@nadlanu.com www.yugokaolin.com CHEMICAL INDUSTRY NEVENA A.D. Desislava Dimitrova, General Manager Đorđa Stamenkovića bb, 16000 Leskovac IJOFWFOB!HNBJM DPN XXX OFWFOB ST A.D. FOPA Georgi Georgijev, Genral Manager Industrijska zona, Suva Morava, 7MBEJǏJO )BO GPQB!QUU ST XXX GPQB ST INTERLEMIND A.D. Nađa Petkova, Director Sime Pogačarevića, 5 16000 Leskovac info@interlemind.com www.interlemind.com ZASTAVA KOVAČNICA A.D. Đorđe Pecelj, Director Trg Topolivaca 4, 34000 Kragujevac komercijala@nadlanu.com MIN FAM A.D. Ivica Grozdanović, Director Šumadijska 1, 18000 Niš minfam@eunet.rs MINMODEL A.D. Dragan Ranđelović, Director 12. februar 82, 18000 Niš minmodel@nadlanu.com LIVMIN A.D. Predrag Jovanović, Director 12. februar 82, 18000 Niš livmin@nadlanu.com MINOM A.D. Nikolaj Jančev, Director 12. februar 82, 18000 Niš livom@bankerinter.com MININŽENJERNIG A.D. Zorica Marković, Director ÀVNBEJKTLB /JÝ [PSJDBNJO!HNBJM DPN

43 Guide to2009 The /International Sector / March 2009 March Guide to TheBusiness International Business Sector 43

CANADA Đurđa Đ. Ćeramilac,Trade Commissioner for the Embassy of Canada in Belgrade

CANADIAN CO “For many companies, the problems in doing business are not so much related to current conditions in Serbia as they are linked to the global economic crisis”

hough many may be under the impression that there aren’t many Canadian companies doing business in Serbia, this is actually not the case. However, the Canadian Embassy’s Trade Commissioner, Đurđa Đ. Ćeramilac, explains that this is because Canadian companies are more about working than talking or using marketing. But Canadian companies are here and here to stay. According to Ćeramilac, not a single Canadian company has announced that it is withdrawing from the Serbian market as a result of the economic crisis. Indeed, some are even planning to expand their operations here.

ADVICE TO INVESTORS

enerally speaking, Serbia is the regional centre of South East Europe and, as such, it needs to be given adequate attention. Problems are only temporary, but possibilities are permanent. Serbia should not be viewed through the lens of the current economic crisis, since, after the last crisis cycle, the only way is up. The trade exchange between Canada and Serbia is growing by 15 to 20 per cent annually, which is exactly how many new Canadian companies are coming to the Serbian market each year. We can even see that the Serbian diaspora that has been living in Canada is coming back and investing the capital and know-how they generated in Canada,” says Đurđa Ćeramilac says.

How do Canadian companies operate in Serbia; are they happy with conditions for doing business here? Generally speaking, Canadian companies already here have no major objections to business conditions in Serbia. For many companies, the problems in doing business are not so much related to the present conditions in Serbia as they are linked to the current global economic crisis. Canadian companies are currently redefining their priorities regarding which markets to operate in. Some companies have reduced their levels of operations in Serbia, but so far no companies have withdrawn entirely. Dundee Precious Metals was given the right to explore mineral deposits in three mining locations within the Crni Vrh Mountain. Dundee has now left two locations but stayed at one. However, there are other companies which have not only stayed in Serbia but have even increased the scope of their business operations. For example, BD Agro, which deals in the agricultural business - particularly cattle breeding – has invested more money in Serbia than was stipulated by the contract signed three years ago when they bought a company at

44 Guide to The International Business Sector / March 2009

auction in Serbia. Following the signing of the agreement about health certificates for cattle, the company imported 800 in-calf heifers from Canada. These heifers have the best genetic potential for producing milk. The plan is for this number to go up to 1,500, maybe even 2,000 heads of cattle. This is just one example of how important it is to sign intergovernmental agreements and contracts. Canada and Serbia are currently negotiating an agreement for the avoidance of double taxation. This agreement would be another incentive for Canadian companies to invest more here by providing more certainty and clarity on tax issues. Canadian companies would like to have stability and predictability here in order to make their business plans. They expect the Serbian Government to adopt a more active policy and provide more incentives, especially when it comes to taxes, so Canadian companies can invest in Serbia even more. What branches of the Serbian economy are currently the most appealing to Canadian companies? They are interested in almost all economic sectors – from energy, infrastructure, agriculture and IT, all the way to finance and education. Have any Canadian companies announced their imminent arrival on the Serbian market? One of the biggest engineering and construction companies in the world, SNC Lavalin, plans to come here. This company is especially interested in participating in the construction of Corridor 10, both road and rail links, as well as taking part in tenders covering the energy sector and the metro construction project. CASP has also announced its arrival in the Serbian agriculture sector. CASP is a consultancy with many agricultural and food

CANADA

MPANIES TO STAY processing companies under its wing. They are going to monitor closely the implementation of a project entitled ‘Serbian Transitional Agriculture Reform’, which is being co-financed by the International Bank for Reconstruction and Development (IBRD) and the Global Environmental Fund (GEF). Bombardier, the third largest aeroplane manufacturer in the world, has expressed an interest in collaborating with JAT Airways, providing that the Serbian national airliner wants to buy new planes. Also, they want to negotiate with the Government about selling CL-415 water bombers used in fighting forest fires. Canadian Crown Corporation, Parks Canada, has been offered the opportunity to play a significant role in organising the Global Canal Conference that will take place in Serbia in 2009. Last year this event was held in Canada. The conference is dedicated to managing inland waterway resources. In mid-March, the Canadian Embassy in Belgrade will participate in an education fair called Edufair, in order to promote educational services. We also have excellent cooperation in the publishing sector, boosted by a Memorandum of Understanding between the Belgrade Book Fair and the Quebec City Book Fair. Do you think that the current global economic downturn is going to lead to Canadian companies investing less on the Serbian market? The world economic crisis affects all investors, whether they be North American or from anywhere else, including Serbia. Nonetheless, companies still want to come to places where there are projects and where the money is secured. In the next six months, I expect companies to review their possibilities and their business environment, as well as making concrete plans about where they are going to operate, how much and in what manner. Are you satisfied with the level of cooperation between the Canadian Embassy and the Serbian Chamber of Commerce and other business organisations?

Corporate headquarters of SNC-Lavalin in Montreal We are absolutely satisfied with the level of co-operation with the Serbian Chamber of Commerce and SIEPA. The Chamber provides us with much useful information about the trade exchange between the two countries and we are also able to check how financially sound certain Serbian companies are. SIEPA is an extraordinary organisation and our cooperation with them is excellent. We often direct our investors to contact SIEPA directly to get more information about investment conditions in Serbia and the incentives that the gov ernment of Serbia offers.

DUNDEE PLEMENITI METALI D.O.O. Makedonska 30, 11000 Belgrade 381 11 3374133 381 11 3374145 office@dundee.co.yu www.dundeeprecious.com BD AGRO A.D. Ljubiša A. Jovanović, Director Lole Ribara bb, 11272 Dobanovci 382 11 2675165 381 11 8465270 office@bdagro.com www.bdagro.com

March 2009 / Guide to The International Business Sector 45

CHINA

Growing Trade Exchange “Bilateral economic and trade relations between China and Serbia have been developing successfully in recent years”

“According to available export-import data, China is Serbia’s ﬁfth largest trade partner after Russia, Germany, Italy and Bosnia & Herzegovina. When it comes to the origin of goods sold in Serbia, China takes fourth place.” Ren Yi, Economic and Trade Advisor at the Embassy of the People’s Republic of China in Belgrade

“The total trade exchange between China and Serbia in 2008 was US$1.84 billion, marking year-on-year growth of 35.9%”

hina has one of the world fastest growing economies, but it is being affected by the current global financial downturn – mainly in terms of Chinese exports and investments abroad. In response to the crisis, the Chinese Government has taken decisive measures and set aside 4,000 billion yuans (or US$5.8 billion) to increase investments, solidify basic infrastructure, encourage domestic spending, stabilise the banking system and strengthen the national currency. According to the Chinese Embassy in Belgrade, the effects of this injection of funds are already quite visible. What is your view of current economic relations between China and Serbia? Bilateral economic and trade relations between China and Serbia have been developing successfully in recent years. In 2008 the total trade exchange between China and Serbia was $1.84 billion, marking year-on-year growth US of 35.9%. Last year China exported goods worth US$1.83 billion to Serbia, which is a 34% increase on the previous year. Meanwhile, Serbia’s export to China totalled US$5.78 million, which marks annual growth of 2.1%. The main export products from China to Serbia are telecommunications equipment and related materials (worth US$200,290,000), office equipment and digital automatic machines (worth US$100,800,000), clothes and accessories (worth US$100,670,000), electric machines and equipment (worth US$100,470,000), metal processing products (worth US$100,410,000), universal industrial machines and equipment (worth US$100,340,000) and footwear (worth $100,010,000). US

Huawei Tech Investment Co. Ltd Yan Linxiang, Director Vladimira Popovića 38, 11070 New Belgrade kristina.stanimirovic@huawei.com www.huawei.com

46 Guide to The International Business Sector / March 2009

Serbian exports to China are quite modest, both in volume and product type. Last year Serbia exported machines for additional metal processing (worth US$910,000), clothes and accessories (worth US$860,000) and various other products worth a total of US$550,000. In the last few years, Chinese retailers in Serbia have been nurturing good neighbourly relations with the domestic population. They are running their businesses, paying taxes in line with the relevant regulations, actively participating in successful business endeavours and providing donations (whether in money or goods), which has all been well-received by the relevant Serbian institutions. What branches of the Serbian economy do Chinese companies find most interesting? Currently, many Chinese companies are interested in projects related to agriculture, electronics, telecommunications and basic infrastructure. Soon, as relevant conditions are met, they will begin participating in tenders and auctions. How would you define your collaboration with the Serbian authorities? The Chinese Embassy co-operates successfully with Serbian ministries in charge of the economy, trade, business and trade organisations, associations and chambers of commerce, as well as banks and large companies. Both sides are trying to contribute to the development of bilateral economic and trade relations, increase the number of Chinese companies that want to invest in Serbia and fulfil our mutual interests. We also hope that the relevant Serbian institutions are going to protect the legal rights and interests of Chinese retailers and investors in Serbia.

Sinochem Corporation Peng Yanlin, Director Krupanjska 11a, 11000 Belgrade 381 11 3671416 381 11 3675912 www.siochem.com

ZTE Corporation Guo Lei, Director Resavska 34 II/2, 11000 Belgrade 381 11 3618132 381 11 3612598 guo.lei1@zte.com.cn www.zte.com.cn

CROATIA Jerko Ljubičić, 2nd Secretary of the Croatian Embassy in Belgrade

RESPONSIBLE “A new investment cycle will certainly depend on what affect the global financial crisis has on both the Croatian and the Serbian economies”

he Croatian Embassy’s Jerko Ljubičić talks for the 2009 Guide to the International Business Sector about how much, in which sectors and under which methods Croatia will continue to invest in Serbia. How would you summarise investments made by Croatian companies in Serbia in 2008? What were the biggest Croatian investments of the year? According to statistics of the National Bank of Croatia, total direct investments made in Serbia by Croatian companies amounts to over €500 million. This figure does not include institutional investors that are present here through investment funds. The biggest investments were made in 2006, i.e. close to €153 million, followed by 2003 – €70 million. If we are talking about investments made in 2008, we ought to mention an investment made by STS METAL d.d., which bought a rundown factory in Obrenovac in order to start production of telecommunications pillars. STS METAL d.d. now employs close to 150 workers and has a large number of subcontractors. This investment also contributed to reaching a higher potential of the domestic market in the industrial production segment, which has sustained great losses during the last 20 years due to global market trends and a lack of new technologies. Last but not least, the investment that marked 2008 was that of Pevec, which opened a supermarket in Krnjača worth €40 million and employing close to 300 workers.

If we had been talking about this topic a year or two ago, the answer would have been not only more precise but also more optimistic. A new investment cycle will certainly depend on what affect the global financial crisis has on both the Croatian and the Serbian economies. What is encouraging is the fact the Croatian Government reached an agreement with commercial banks to make €3.5 billion available to businesses in order for them to continue the developing trend of our economy while providing incentives to any company that offers a product or service ready to be sold on foreign markets. The interest that Croatian companies have shown for investing in Serbia proves that certain industries are still very much alive.

“Croatian companies here adhere to Serbia’s legal regulations and What economic sectors are Croatian successfully adapt to companies most interested in? market trends” Mostly in food

ALL SECTORS OF INTEREST

ince Croatian companies are present in almost all industrial branches in Serbia, we can conclude that every single industry in Serbia is more or less interesting for investments at a given moment.

What can we expect in terms of Croatian investments in 2009?

48 Guide to The International Business Sector / March 2009

production and retail, retail chains, metal industry, construction, non-metal industry, pharmaceuticals and medical equipment, publishing, insurance... Croatian businessmen in Serbia have invested the most in the food sector so far Agrokor bought Belgrade-based ice cream and frozen foods producer, Frikom, among others, then the Dijamant cooking oil plant from Zrenjanin, Kikinda’s Mills etc. Lura, the ownership structure of which changed recently, bought Somboled, an ice cream company from Sombor. Vindija carried out two acquisitions and is just starting to conquer the Serbian market. If we are talking about retail, then there is the Idea supermarket chain, which is similar to the Konuzm retail chain owned by Agrokor that bought a Serbian company of the same name. Agrokor and Lura have a policy of maintaining domestic brands and thus maintaining their

CROATIA

BEHAVIOUR position on the market and very quickly expanding through modernisation, increasing production and diversifying the product range. When it comes to the production of construction materials, Nexe grupa is one of the more significant players on the Serbian market, while in tourism Adriatica net bought one of the best Serbian tour operators, Jolly tours from Belgrade. Then we have investments through privatisation and in publishing – Školska knjiga, Radin grafika, Croatia insurance company, FIMA Grupa, which is engaged in consultancy and brokerage, King ICT and Kim Tec from the I.T. Sector, companies under the wing of the Croatian M-SAN grupa, etc. Other companies from the Republic of Croatia have also shown that they are here to stay. These include INA and Pliva, as well as Podravka and Kraš, who positioned themselves earlier. There are also other well-known companies like Badel 1862, Osijek-based Žito, the Rovinj Tobacco Factory, Saponia, Jamnica, Belupo, Zvečevo and others. How high was the trade exchange between Croatia and Serbia in 2008 and what is your forecast for 2009? According to the Republic of Croatia’s Statistical Office, in 2008 Croatia had a trade exchange with Serbia in the amount of $1,206,618,000. Croatian exports to Serbia US amounted to US$428,127,000, while Serbia exported goods and services to Croatia worth $778,491,000. In the last few months Serbia US has been plagued by problems like the growing inflation rate, faltering stock exchange trading and indices, as well as the reduced purchasing power of Serbian citizens as a result of high prices. This certainly will not lead to a higher goods and service exchange. However, a lot hinges on the global recession. Political instability was also slowing down business In 2008, but after the halt that is so typical of any pre-election situation. I believe the Serbian Government will continue with its reforms, which means better chances for Serbia’s accession to the EU and democracy and market economy prevailing. In such an atmosphere it is quite reasonable to expect that relations between our two countries will go stronger and gain in quality this year.

How would you assess current collaboration between Croatian businessmen and the Serbian Chamber of Commerce and other economic organisations in Serbia? Quite a few of Croatian companies that are operational on the Serbian market are treated as domestic companies and not as branch offices of their parent companies. Just like any other domestic or foreign company, Croatian companies in Serbia adhere to Serbia’s legal regulations and have been successfully adapting to trends on the Serbian market. In terms of seeking advice and assistance, our companies are mainly directed towards the Embassy and the representative office of the Croatian Chamber of Commerce in Serbia. This certainly doesn’t mean that they are not taking advice or maintaining regular contact with relevant institutions in Serbia. The Croatian Business Club, which was jointly founded by the Croatian Embassy in Belgrade and the representative office of the Croatian Chamber of Commerce in Serbia,

holds monthly sessions. The Club’s goal is to gather Serbian and Croatian businessmen together, as well as representatives of the state and other institutions that are engaged in creating a favourable business environment in Serbia. The Croatian Chamber of Commerce is just one of the modalities and channels of active communication between our businessmen and institutional representatives, where information and business experiences exchange hands. The business philosophy behind Croatian companies and the main idea behind the Embassy’s economic activities, is certainly not summed up in the phrase “Take the money and run”. Rather, it is based on the premise that mutual business success depends on how capable we are of utilising the compatibility of our two markets and how successful we exchange experiences and advance the competitiveness of companies so they can appear jointly on markets outside Serbia and Croatia.

March 2009 / Guide to The International Business Sector 49

CROATIA ATLANTIC BG D.O.O. Dragomir Kostić, Director Save Kovačevića bb, 11309 Leštane dkostic@atlanticbg.co.yu www.atlanticbg.co.yu B4B SRBIJA Miroslav Gužvica, Director Bul. Avnoja 73, 11070 New Belgrade NJSPTMBW HV[WJDB!C C ST XXX C C ST BADEL 1862 D.O.O. Mihajlo Mitrović, Director Bul.Mihaila Pupina 121, 11000 Belgrade officebg@badel1862.rs www.badel1862.rs BELUPO D.D. PREDSTAVNIŠTVO BEOGRAD Nevenka Urošević, Director Mosorska 1, 11000 Belgrade CFMVQP!FVOFU ZV XXX CFMVQP IS CETINKA D.O.O. Saša Ćosić, Director 2. Oktobar 105, 13000 Vršac cetinka@hemo.net DIJAMANT A.D. ZA PROIZVOD NJU ULJA, MASTI I MARGARINA  AGROKOR Željko Brozović, Gen. Director Temišvarski drum 14, 23000 Zrenjanin PGGJDF!EJKBNBOU ST XXX EJKBNBOU ST DRVOTVIN D.O.O. Ivan Slamić, Gen. Director Bul.Despota Stefana 108, 11000 Belgrade drvo-tvin@beotel.yu www.tvin.hr EUROMODUL D.O.O. N. PAZOVA Milan Ćopić, Director Industrijska zona bb, Nova Pazova JOGP!FVSPNPEVM ST XXX FVSPNPEVM ST EUROPA PRESS D.O.O. Tanja Milanović, Director Kneginje Zorke 96, 11000 Belgrade gloria@epb.co.yu www.gloriamagazin.com FIMA INTERNATIONAL A.D. Jelena Cvijetan, Director Trg Nikole Pašića 5, 11000 Belgrade jelena.cvijetan@fimaint.rs www.fima-int.co.rs FRIKOM A.D.  AGROKOR Gojko Đošić, Director Zrenjaninski put b.b. 11213 Padinska Skela PGGJDF!GSJLPN DP ZV XXX GSJLPN DP ZV GASOP D.O.O. BEOGRAD Radoslav Radojčić, Director Zaplanjska 84e, 11000 Belgrade gasop_beograd@yahoo.com www.gasop.net IDEA D.O.O.  AGROKOR

Vladimir Bokan, Director Knežopoljska 1, 11000 Belgrade PGGJDF!JEFB ST XXX JEFB ST IGM STRAŽILOVO D.O.O.  NEXE GROUP Dragan Kovačević, Director Karlovački vinogradi bb, 21000 Sremski Karlovci dragan.kovacevic@strazilovo.co.rs www.nexe.hr INA D.O.O. Rikard Klobučar, Director Jove Ilića 4, 11000 Belgrade PGGJDF!JOBCHE ST XXX JOB IS INOS PAPIR SERVIS A.D.  BELIŠĆE Dragan Pavićević, Director Milorada Jovanovića 14, 11000 Belgrade inospap@net.yu IREKS D.O.O. PANČEVO Jasmina Mladenović, Director Svetozara Miletića 3, 26000 Pančevo JSFLT!QBOFU DP ZV XXX JSFLT DP ZV JADRAN ČARAPE D.O.O. Željko Džakula, Director Aleksandra Tišme 17, 21000 Novi Sad jadran-carape@neobee.net www.jadran-carapa.hr JAMNICA D.O.O. Sveta Vasiljević, Director Knežopoljska 1, 11000 Belgrade office@jamnica.rs www.jamnica.rs www.jana.rs JELEN DO A.D.  NEXE GROUP Mića Mojsić, Director 31 215 Jelen Do, Srbija PGGJDF!KFMFOEP DP ZV XXX KFMFOEP DP ZV KIKINDSKI MLIN A.D. Dušan Đukanović, Director Svetozara Miletića 198, 23300 Kikinda kimlin@panline.net www.kikindskimlin.co.rs KIMTEC D.O.O. Damir Dedić, Director Viline vode bb Slobodna zona Beograd L12/4, 11000 Belgrade PGGJDF!LJNUFD DP ZV XXX LJNUFD DP ZV KONČAR ELEKTROINDUSTRIJA PREDSTAVNIŠTVO BEOGRAD Bul. Mihaila Pupina 10ž/424, 11070 New Belgrade koncar.office@koncar.rs www.koncar.rs KORDUN GRUPA D.O.O. Ranko Josipović, Director Blagoja Parovića 19, 11000 Belgrade info@kordun.co.yu www.kordun.co.yu KOZMOLINA D.O.O G. Mina Radović, Director Jurija gagarina 32a, 11070 New Belgrade

50 Guide to The International Business Sector / March 2009

mina.radovic@kozmolina.com www.kozmolina.com KRAŠ COMMERCE D.O.O. Saša Hornjak, Director Bul.Vojvode Mišića 41, 11000 Belgrade shornjak@kras.co.yu www.kras.hr KTC D.O.O. Momir Đajić, Director Pačirski put 61, 24000 Subotica ktcsu@yunord.net www.ktc.rs MAGMA INTERNATIONAL D.O.O. G. Mina Radović, Director Jurija gagarina 32a, 11070 New Belgrade 381 11 3532864, 3532865, 3532851 mina.radovic@magma.hr www.magma.hr MILENIJUM OSIGURANJE A.D.O.  CROATIA OSIGURANJE Veljko Knežević, Director Kneza Miloša 82/I, Belgrade mios@milenijum-osiguranje.co.yu www.milenijum-osiguranje.co.yu MPROFIL D.O.O. Igor Mocik, Director Golubinački put bb, 23300 Stara Pazova office@m-profil.rs www.m-profil.rs NOVA ŠKOLSKA KNJIGA D.O.O. Dušanka Bahunek, Director Bul.Vojvode Mišića 17/III, 11000 Belgrade nsk.bg@verat.net PET CENTAR D.O.O. Igor Novak Bul. Milutina Milankovića 1v, 11000 New Belgrade info@pet-centar.rs www.pet-centar.rs PETROKEMIJA D.O.O. Zoran Matić, Director Ilije Ognjanovića 28, 21000 Novi Sad 381 21 424 472 direktor@petrokemija.rs www.petrokemija.rs PEVEC BEOGRAD D.O.O. Dragan Malinović, Director Pančevački put 81, Krnjača, Belgrade info.pult.bg@pevec.rs www.pevec.rs PODRAVKA D.O.O. Dalibor Kezele, Director Simina 18, 11000 Belgrade dalibor.kezele@podravka.rs www.podravka.rs POLET A.D.  NEXE GROUP Momčilo Radojčin, Director Železnička 13, 23272 Novi Bečej tatjana.sljapic@polet.co.yu www.nexe.hr PP RATKOVO  ŽITO OSIJEK Josip Fratrić, Director

Ratka Pavlovića 7, Ratkovo ppratkovo@yahoo.com www.ppratkovo.net RADIN GRAFIKA D.O.O. Mirko Bobić, Director Pavla Vujisića 92b i 94a. 11080 Zemunđ rg-beograd@radin-grafika.co.rs www.radin-grafika.co.rs ROTOGRAFIKA D.O.O. Antun Bašić, Gen. Director Segedinski put 72, 24000 Subotica office@rotografika.co.yu www.rotografika.co.yu ROVITA D.O.O. Aleksandar Seratlić, Director Vladimira Popovića 6/B30, 11080 Belgrade rovita-bg@tdr.hr www.tdr.hr SAPONIA COMMERCE D.O.O. SAPONIA OSIJEK Zoran Miladinović, Director Ivana Milutinovića 77a, Belgrade 381 11 3326568 dib.dc@beotel.net www.saponia.hr SOMBOLED D.O.O Andrej Tičić, Director Gakovački put bb, 25000 Sombor office@somboled.co.yu www.somboled.co.yu STS D.O.O. PROIZVODNJA METALNIH PROIZVODA Ljubodrag Bilčar, Deputy Director Industrijska zona 6, Obrenovac sts-beograd@sts-beograd.com www.sts-beograd.com TOZ PENKALA D.O.O. BEOGRAD Saša Planinčević, Director; Petar Stančić Prokupačka 41, 11000 Belgrade pstanacic@toz-penkala.co.yu www.toz-penkala.co.yu UNIMED D.O.O. Radovan Tumpa, Director Resavska 16a, 11000 Belgrade unipli@eunet.net VARTEKS PLUS D.O.O. Dragomir Meničanin, Director Gospodska 3, 11080 Zemun varteks@drenik.net www.varteks.hr VATROSPREM A.D. Jelena Jeličić, Director Ustanička 67, 11000 Belgrade jelena.jelicic@vatrosprem.com www.vatrosprem.com ZIGANTE TARTUFI D.O.O. Velibor Tepić, Director Tomislava Matašića 15a, 21131 Petrovaradin zigante@eunet.rs www.zigantetartufi.com

CROATIA

Successful Privatisations

peaking for our special edition, Director of the Croatian Chamber of Commerce, Goran Masnec, addresses the development of economic relations between Croatia and Serbia and the interest shown by Croatian businesses to invest in Serbia despite the global economic crisis.

What is your view of the current economic collaboration between Croatia and Serbia? What was this collaboration like in 2008 and what do you expect in 2009? The trade exchange between the Republic of Croatia and Republic of Serbia exceeded €1.2 billion in 2008. Croatian exports to Serbia grew at a rate of 17.1%, while imports from Serbia were higher by 29.9% compared to 2007. The data shows that economic cooperation between the two countries has been constantly growing year-on-year and there are possibilities for further growth, which is what we expect to happen in the years to come. How much is the economic crisis affecting co-operation between Croatia and Serbia? It is difficult to estimate how much the global economic crisis is going to affect the economies of the two countries at this very moment. There is plenty of interest in advancing co-operation, but the prowess shown by businessmen in adapting to the new business environment and the set of measures that our two countries are going to adopt in order to soften the blow of the crisis will certainly play a key role in further development of economic relations between Croatia and Serbia. Which economic sectors in Serbia do Croatian businesses find most attractive for investing?

The largest Croatian companies, which clearly understand that the atmosphere of globalisation ensures their success and growth depends on expansion in South East Europe, mainly come from the food processing industry, retail, construction material production and metal processing sectors. How satisfied are existing Croatian investors with their business operations in Serbia? According to our findings, the privatisation processes carried out by Croatian companies in Serbia have all been quite successful, with all obligations met – including the continuation of production, investing in development and the provision of a social programme. We don’t have precise data regarding the tangible financial effects of Croatian investments here, but by coming to Serbia and being successful Croatian companies have more than shown their interest in doing business in the Republic of Serbia. A positive attitude shown by the Republic of Serbia towards Croatian investors opens up possibilities for new investments and acquisitions by Croatian companies. What problems are Croatian companies in Serbia facing and how much are the Serbian authorities helping them to overcome these problems? The problems that Croatian companies are facing in Serbia are the same as problems being faced by most companies operating on the Serbian market. The Croatian Chamber of Commerce’s representative office in Serbia is at their disposal and ready to establish good co-operation with the relevant authorities in Serbia and provide all the help needed in overcoming concrete problems.

Since the Croatian Chamber of Commerce opened its representative ofﬁce in Serbia in 2002, we have enjoyed excellent co-operation with the Serbian Chamber of Commerce. Goran Masnec, Director of the Croatian Chamber of Commerce in Belgrade

The problems that Croatian companies are facing in Serbia are the same as problems being faced by most companies operating on the Serbian market. March 2009 / Guide to The International Business Sector 51

CZECH REPUBLIC

“The Ministry of Industry & Trade of the Czech Republic and the Economic Section of the Czech Embassy have prepared the Strategy of Economic Co-operation with the Republic of Serbia, according to which Serbia is a priority country.” Svatopluk Čech, Economic Counsellor of the Czech Embassy in Belgrade

“The general conditions for doing business in Serbia are successively improving, but there is still much to do to achieve European standards.”

PRIORITY S erbia and the Czech Republic have traditionally very good economic relations. However, according to Svatopluk Čech, Economic Counsellor of the Czech Embassy in Belgrade, “There is certainly room for improvement of our economic relations, particularly in the areas of energy generation, mining, transport and city infrastructure, environment, etc.”

How would you describe current levels of economic co-operation between Serbia and the Czech Republic; are we seeing a positive trend in the trade exchange year-on-year? The turnover of goods reached €480 million last year, while in 2003 it was €138 million. The balance favours the Czech Republic by €130 million, but a new trend in our business exchange is seeing a comparatively rapid increase of Serbian exports to the Czech Republic. Nevertheless, there is still a long way to go to achieve figures of mutual turnover and overall economic co-operation comparable to the 1970s and ‘80s.

and TENT Obrenovac (700MGW). In terms of potential co-operation in infrastructure projects, there is a strong Consortium of Czech railway construction companies that would like to work together with Serbian Railways on the reconstruction of certain lines. This Consortium has current knowledge of realising such works in Montenegro, where it is responsible for reconstruction of the Podgorica – Nikšić line. Dozens of medium-sized Czech companies are already working with Serbian partners on concrete environmental protection projects. There is a lot to do in this field to help Serbia meet EU environmental standards and requirements.

What, in your

“The cultivation of opinion, are the comparative adentrepreneurial vantages of Czech companies? surroundings is a Czech companies have a signiﬁcant long-term process that advantage comfrom their curhas to be supported by ing rent knowledge of relevant government working in a transition economy and decisions” they know how to

How much potential exists for further Czech investment in Serbia and, in your opinion, in which sectors does the greatest untapped potential lie? The Czech economy has been very successful in recent years...and we have many prosperous companies trying to ﬁnd new markets. Great possibilities for further intensive co-operation are especially evident in the energy ﬁeld, as well as in certain projects in infrastructure (transport and municipal) and environmental protection. Czech energy company ČEZ is interested in being a strategic partner of EPS in certain projects. ČEZ is currently studying the tender conditions for completing the construction of Kolubara B (2 x 350 MGW)

52 Guide to The International Business Sector / March 2009

overcome related problems. Another very important point is quality/price proportion, which would hardly be offered by other companies anywhere in the world. Czech companies generally offer top quality products for reasonable price, due to the lower production costs in the Czech Republic. Are existing Czech investors in Serbia satisﬁed with the conditions on the local market? The general conditions for doing business in Serbia are successively improving, but there is still much to do to achieve European standards. The cultivation of entrepreneurial surroundings is a longterm process that has to be supported by relevant government decisions. It is necessary to adopt coherent legislation that corresponds to European standards.

CZECH REPUBLIC

PARTNER ADVICE FOR INVESTORS

he Western Balkans, and especially Serbia, could be a very interesting and fruitful place for making investments in general. Serbia has several comparative advantages and it is very important to utilise them. These include a well-educated, skilful and comparatively cheap labour force, first of all, coupled with its position in Europe, which makes Serbia a gateway to the Balkans. What efforts is the Embassy exerting with the aim of improving economic co-operation? Together with the Ministry of Industry and Trade of the Czech Republic, the Economic Section of the Czech Embassy has prepared the Strategy of Economic Co-operation with the Republic of Serbia, according to which Serbia is a priority country. The Economic Section is trying ČEZ SRBIJA D.O.O. Aleksandar Obradović, director Bul.Mihaila Pupina 6 11070 Novi Beograd aleksandar.obradovic@cez.cz www.cez.cz AŽD SAOBRAĆAJNI SISTEMI d.o.o. Dragan Rajačić, director Risanska 10a 11000 Beograd drasko.azd.sasi@sbb.co.yu www.azd.cz ALPINE PRO SCG d.o.o. Stanislava Ivković, director Bul. umetnosti 27 Novi Beograd stanislava.ivkovic@alpinepro.cz www.alpinepro.com CZECH AIRLINES Katerina Belunkova, director Kralja Milana 6 11000 Beograd beg@czechairlines.com www.czechairlines.com COLY d.o.o. Milan Pavić, director Magelanova 21 11000 Beograd DPMZ!TFZBNQSP ST XXX PIM[T D[ CONING D.O.O. Jovo Pupovac, director Cara Dušana 67/I 11000 Beograd

to assist Czech entrepreneurs commencing work in Serbia and I have to say that the number of such entrepreneurs and companies is constantly rising. A great number of Czech politicians (and businessmen) came to Serbia last year to work together with their Serbian colleagues on the further improvement of bilateral issues, including the visit of the President of the Czech Republic, Václav Klaus.

coningdoo@eunet.rs www.czechtrade.cz DEKONTA D.O.O. Aleksandar Ložajić, director Bul.Zorana Đinđića 87/4 11070 Novi Beograd office@dekonta.rs www.dekonta.rs KOMO YU Slobodan Marković, director Dalmatinska 44 11000 Beograd office@komo-yu.com www.komo-yu.com

TOBOLPWJD!FM[FM DP ZV XXX FM[FM D[ RUMAGUMA Rudolf Mačak, director Industrijska bb 22400 Ruma PGGJDF!PSH DHT FV XXX SVNBHVNB DPN QUARTA D.O.O. Dragan Nikšić, director Uzun Mirkova 8 11000 Beograd quarta@sbb.co.yu www.quarta-doo.com

SVECOM D.O.O. Ratko Radosavljević, director Ustanička 128a 11050 Beograd PGGJDF!TWFDPN ST XXX TWFDPN ST DELTA GENERALI OSIGURANJE A.D. Nebojša Divljan, director Milentija Popovića 7b 11070 Novi Beograd 381 11 2011707 nebojsa.divljan@deltagenerali.rs www.deltagenerali.rs

MAREX TRADE D.O.O. Pantelija Pantelić, director Zaplanjska 86, 11010 Beograd marex@beocity.net www.marextrade.co.yu NEPEJCHAL & CO Ales Nepejchal, director Đuke Dinić 10 11000 Beograd OFQFKDIBM!TCC DP ZV YUBOREX D.O.O. Borislav Šošo, director Nedeljka Ercegovca 29c 11080 Zemun ZVCPSFY!TCC DP ZV XXX ZVCPSFY DP ZV ELEKTRIFIKACIJA ŽELEZNICE d.o.o. Slobodan Nanković, director Topličin Venac 7 11000 Beograd March 2009 / Guide to The International Business Sector 53

DENMARK

COMMITTED TO EXPAN “Grundfos decided to go through with their investment in Serbia, despite the financial crisis, due to continued expansion plans in Central Europe.”

S “When Grundfos announced that they were moving to Serbia it created a lot of talk, because nobody had mentioned Serbia as a production platform before and now you can feel a tangible interest in Serbia.” René Nygaard Jensen, Commercial Advisor at the Royal Danish Embassy in Belgrade

“The scope for outsourcing in Serbia remains, but the current financial crisis means that companies are reluctant to make a commitment at this time”

Speaking for the 2009 Guide to the International Business Sector in Serbia, René Nygaard Jensen, Commercial Advisor at the Royal Danish Embassy in Belgrade, says that there has been a positive trend in the trade exchange between Denmark and Serbia over recent years. “From 2007 to 2008 we saw an increase in bilateral trade of more than 50 per cent, though it has to be said that the starting level was low. We are now at the level of around €90 million of exports from Denmark to Serbia and we’ve also seen an increase in trade from Serbia to Denmark. That said, we still see huge room for improvement, and the good result should not make us complacent”.

What sorts of goods is Serbia exporting to Denmark and vice versa? Danish exports to Serbia are mainly within the areas of machines and process equipment, agro industrial technology and pharmaceuticals. For p h a r m a c e ut i c a l products Novo Nordisk is one of the biggest players in the pharmaceutical market in Serbia, and we also see export of pharmaceutical products from smaller companies. But generally the room for improvement is large. We especially view energy efficiency as an area where we could achieve a lot together with Serbian partners. We have in 2008 created closer links between Danish and Serbian energy efficiency experts. This will continue in 2009, where Denmark is hosting the COP15 conference in December. Denmark is a world leader in energy ef-

54 Guide to The International Business Sector / March 2009

ficiency, and we see a significant interest in Serbia to make use of modern technology to save energy and protect the environment. Exportd from Serbia to Denmark are primarily raw materials and food products. Serbian fruits and berries are becoming increasingly popular in Denmark. Speaking for last year’s Guide, you noted that the metal processing and mechanical engineering industries represented opportunities for Danish companies to outsource to Serbia. Has any progress been made in this respect? We are still focusing on metal processing. The scope for outsourcing in Serbia remains, but the current financial crisis means that companies are more reluctant to make a commitment at this time. This will mean slower growth and have also – at least in the short run – made traditional markets for Denmark in Central Europe more competitive for outsourcing due to the weakening of exchange rates in e.g. Poland. On the positive side, the Danish company Grundfos decided in September 2008 on an 80 mio. EUR greenfield investment. Grundfos will build a production platform primarily for export. Grundfos has decided to go through with their investment in Serbia, despite the financial crisis. This is because Grundfos is a stable and well run family business, and therefore not under pressure from shareholders. The management has decided to go ahead with their already decided expansion plans in Eastern Europe.

“It is always important for a prospective investor to carry out comprehensive research at the local level in order to have a full picture over capabilities”

Are existing Danish companies satis-

DENMARK

SION fied with the business climate in Serbia? The outcome of the elections in 2008 and the formation of a clear pro-European and pro-reform Government are viewed very positively. And we have seen visible progress in improving also the business and investment climate. Also at the local level we meet a proactive, efficient and business friendly attitude in many municipalities. Investors look at transparency, rule of law and investment guaranties. Red tape and slow, laborious and unclear procedures are barriers to trade. The regulatory guillotine project has therefore, been very warmly welcomed by the Danish investors. Also, investors and potential investors are very much concerned about an improved infrastructure, especially the completion of Corridor 10 is high on the list of what potential investors look at. It’s important for manufacturing or production companies that they’re able to export all of their products quickly and effectively. Corridor 10 links Serbia to important markets, like Turkey, Russia and Central and Eastern Europe. The current lack of infrastructure is an obstacle. They therefore view very positively that the Government has infrastructure and especially corridor 10 as a key priority. Generally, though, the Danish companies here are satisfied and operate very successfully. Are we seeing similar trends of Danish investment elsewhere in the region? The trend we now see in Serbia already happened in Croatia. However, I think we will see a stronger presence established in Serbia in the coming years – CARLSBERG SRBIJA d.o.o. - Office Aleksandar Radosavljević, Director Bul. Milutina Milankovića 11b, New Belgrade info@carlsberg.co.yu www.carlsberg.com COWI SERBIA d.o.o Mirko Radovanac, Director Dečanska 5, Belgrade NJSS!DPXJ DPN XXX DPXJ DPN DANFOSS GREJANJE Slavica Petrović, Gen. Director Đorđa Stanojevića 14, 11070 New

partly because we managed to bring some companies to Serbia that have a strong impact in Denmark, such as Carlsberg and Grundfos. And also because the potential of the Serbian marked is far from exhausted. When Grundfos announced that they were moving to Serbia it created a lot of positive attention, and raised the awareness in Denmark of the potentials of Serbia also as a production platform. The Embassy now feels a tangible interest in Serbia. It would be fair to say, though, that this region is not yet of strategic interest to the Danish business community, which makes it difficult to talk about trends. Do you have many enquiries from pro-

Belgrade grejanje@danfoss.com www.grejanje.danfoss.com DANISCO CULTOR PREDSTAVNIŠTVO Svetlana Matović, contact Bul.Arsenija Čarnojevića 92, New Belgrade danisco.cultor@eunet.yu www.danisco.com ERGOMADE d.o.o. René Haarup, Director Ul.Kralja Aleksandra b.b. 18204 Niš

spective Danish investors and what advice do you give them? My advice for investors would be to bear in mind that top officials in Serbia both at national and local level have a very positive attitude towards foreign investors and towards expanding trade. Also the clear EU focus of the government and in many municipalities is a very positive factor. However it is always important for a prospective investor to carry out comprehensive research at the local level to have a full picture over capabilities, local conditions, investment incentives, the question of acquiring land, infrastructure, international schools, etc. is important before a final decision is made.

info@ergomade.com www.ergomade.com GRUNDFOS PREDSTAVNIŠTVO BEOGRAD Saša Ilić, Director Omladinskih brigada 90b, Belgrade serbia@grundfos.com www.grunfos.com KAMSTRUP SERBIA PREDSTAVNIŠTVO Gerner Christensen, Branch Office Manager

gc@kamstrup.com www.kamstrup.com NOVO NORDISK PHARMA d.o.o. Predrag Radošević, Director Milutina Milankovića 9b, 11070 Belgrade ndul@novonordisk.com www.novonordisk.co.yu VELUX SERBIA d.o.o. Per Mikael Akesson, Director Teodora Drajzera 34, Belgrade office-yu@velux.com www.velux.com

March 2009 / Guide to The International Business Sector 55

FRANCE

Significant Trade Partner Serbian exports to France include iron, steel, fruits and vegetables (mostly raspberries, black cherries and cherries), rubber products, clothes and ferrous metals.

The most important Franco-Serbian joint venture companies operating in Serbia are Lafarge – BFC Beočin (cement plant), MichelinTigar Pirot (car tyres), Sommer Tarkette-Sintelon, Bačka Palanka (ﬂoor coverings), Le Belier Foundry Kikinda, Cogifer - MIN Skretnice (railway signs) and Bongrain Zrenjanin Dairy Plant (dairy products).

rance is considered one of Serbia’s (3.55%), etc. Carmakers take the top three more important trade partners. positions when it comes to French compaLast year Serbia exported goods nies exporting to Serbia. and services to a total of 161 The ten leading Serbian export companies countries, with France taking account for over 60 per cent of the country’s 11th place. Simultaneously, France took 6th exports to France. On the other hand, the place on the list of 205 countries that Serbia ten leading French export companies selling imported goods from. their goods to Serbia account for only 28 per Data compiled during the last nine years cent of total exports. shows that Serbian exports to France have Industrial co-operation between France increased eightfold, while imports from and Serbia has gradually picked up pace France were 2.8 times higher than exports. since Serbia’s democratic changes of 2000. Even the increasing export rate during these However, at present this co-operation mostnine years failed to contribute to more bal- ly boils down to French investments and anced trade bethe arrival of French tween the two counSerbia exported goods and companies in Serbia. tries. Moreover, in Serbian companies, services worth US$343.3 2008 Serbia’s trade on the other hand, deficit with France million to France in 2008 - an have invested very litreached the highest tle in France. annual increase of 18.2% ever recorded value The most important of US$418.6 million, which is 47.4% higher Franco-Serbian joint venture companies opthan in ‘07. Exports covered only 45.05% of erating in Serbia are Lafarge – BFC Beočin imports in ‘08 - 5.15% less than in ‘07. (cement), Michelin-Tigar Pirot (tyres), Last year saw Serbia export goods and serv- Sommer Tarkette-Sintelon, Bačka Palanka ices worth US$343.3 million to France - an (floor coverings), Le Belier Foundry Kikinda, annual increase of 18.2%. However, Serbian Cogifer - MIN Skretnice (railway signs) and imports from France were significantly Bongrain - Zrenjanin Dairy Plant. higher – amounting to US$761.9 million in Significant direct investments in Serbia have ‘08, which is 33.6% higher than ‘07. Serbian been made by France’s Société Générale exports to France include iron, steel, fruits (bank), Alsthome (energy), AGS (transand vegetables, rubber products, clothes and port), BULL (IT), EUROPLAKAT (publiciferrous metals. Serbia mainly imports vehi- ty, advertising and commercials), GLOBAL cles from France (32.37%), medicines and PRESS (distribution of Hachette edipharmaceutical products (9.32%), gener- tions), L’OREAL (perfumes and cosmetics), al industrial machinery (7.03%), specialised SANOFI SYNTHELABO (pharmacy), and machines for certain industrial branches SCHEINDER ELECTRIQUE (electric in (5.50%), plastic materials in primary shapes dustry).

56 Guide to The International Business Sector / March 2009

FRANCE AFP Pierre Glachant, Director Trg Nikole Pašića 2, 11000 Belgrade afpbgd@afp.com www.afp.com AGS Fabrise Grujić, contact Niški Autoput 17, 11050 Belgrade manager-belgrade@agsmovers.com www.agsmovers.com AIR FRANCE Jean-Pierre Donati, Director Knez Mihailova 30/II, 11000 Belgrade jpdonati@airfrance.fr www.airfrance.rs AIR LIQUIDE Dejan Žižić, Diector Bul.Mihaila Pupina 6, 11070 New Belgrade dejan.zizic@airliquide.com www.airliquide.com AL GROSSO Ksenija Fekete-Cvetković, Director Bore Kostića Velemajstora 55, 11000 Belgrade office@algrosso.com www.algroso.com ALCATEL LUCENT Arnaud Le Ruen, Director Batajnički put 23,11080 Zemun arnaud.le_ruen@alcatel-lucent.fr www.pupintelecom.co.yu ALEXANDER HUGHES SERBIA Benoit Chaignon, Director Dalmatinska 98, 11000 Belgrade belgrade@alexanderhughes.com www.alexanderhughes.com ALSTOM HOLDIN BEOGRAD Miodrag Jelisavčić, Director Gračanička 1, 11000 Belgrade

miodrag.jelisavcic@power.alstom.com www.alstom.com ANSON PARTNERS Nicolas Herriau,Director Knez Mihailova 42/IV, 11000 Belgrade info@ansonpartners.com www.ansonpartners.com AREVA T&D Biljana Miladinović, Director Gračanička 1, 11000 Belgrade biljaana.miladinovic@areva-td.com www.areva.com EGIS BCEOM INTERNATIONAL Olivera Suša, Director Trg Nikole Pašića 2, 11000 Belgrade 381 11 3031888 milica.mitic@egis.fr www.bceom.com BELVEDERE YU Goran Španja, Director Bul.Mihaila Pupina 25/I, 21000 Novi Sad 381 21 557277 belveder@eunet.yu BNP PARIBAS Philippe Kirchner, Director Obilićev venac 22, 11000 Belgrade philippe.kirchner@bnpparibas.com www.bnpparibas.com

beogradcen@bankmeridian.com www.bankmeridian.com DANONE Nebojša Radaković, Director Bul. Zorana Đinđića 67/7, 11070 New Belgrade 381 11 3131900 mila.manojlovic@danone.com www.danone-adriatic.com DELTA M D.O.O. Milka Vojvodić, Director Milentija Popovića 7b, 11000 Belgrade milka.vojvodic@deltamgrupa.rs www.deltamgrupa.rs

ELSYS EASTERN EUROPE Ivana Maričić, Director Omladinskih Brigada 88b, 11070 New Belgrade ivana.maricic@elsys-eastern.com www.elsys-eastern.com EUROPLAKAT Sanja Pešić, Director Dositejeva 20, 11000 Belgrade office@aqyu.com www.aqyu.com FINDOMESTIC BANKA BEOGRAD Eric Blanchetete, Director Kosovska 10, 11000 Belgrade

CMA CGM Mladen Đurić, Director Nušićeva 23, 11000 Belgrade bgd.mdjuric@cma-cgm.com COFACE SRBIJA D.O.O. Pavle Vlajičić, Director Makedonska 24, 11000 Belgrade office@coface.rs www.coface.rs CRÉDIT AGRICOLE  MERIDIAN BANK Francois - Edouard Drion, Director Kolarčeva 7/V I, Belgrade

If you find that any of the details provided in the directory section of this special edition are incorrect, or your company has since changed its address or any other details, please contact alliance international media on + 381 (011) 308 99 77 / 308 99 88 or send the correct company information via email to office@cma.rs, in order for us to provide our readers with correct and fully up-to-date information in future publications and on our websites. March 2009 / Guide to The International Business Sector 57

FRANCE Belgrade 381 11 2205934 381 11 2205901 office@cs.loreal.com www.loreal.com

eric.blanchetete@findomestic.co.yu www.findomestic.co.yu GIDE LOYRETTE NOUEL Francois d’Ornano, Director Andrićev Venac 2/III, 11000 Belgrade gld.belgrade@gide.com www.gide.com GMT Mihailo Dvojaković, Director Koste Stojanovića 7, 11000 Belgrade mihajlo@globalmetaltrade.co.yu www.globalmetaltrade.co.yu

Koste Glavinića 2/IV, 11000 Belgrade officeinnotech@eunet.yu www.innotechsrbija.co.yu INTEGRA MOTORS Eric Grasser, Director Staro sajmište 29, 11070 New Belgrade eric.grasser@integra-motors.rs www.integra-motors.rs INTEREX Christophe Le Roux Otona Župančića 1, 11070 New Belgrade cleroux@interex-pla.net

LAFARGE BEOČINSKA FABRIKA CEMENTA Costin Borc, Director Trg Beočinske Fabrike Cementa 1, 21300 Beočin costin.borc@bfc.lafarge.com www.beocin-businesspark.com LE BELIER LIVNICA KIKINDA D.O.O. Didier Monchanin, Director Miloševački put 34, 23300 Kikinda didier.monchanin@lebelier.rs LEGRAND PREDSTAVNIŠTVO ZA SRBIJU I CRNU GORU Michel Govedar, Director Milutina Milankovića 11b, 11070 New

Power Service Power Systems Transport

Belgrade bureau.belgrade@legrandelectric.com www.legrand.rs

GLOBAL PRESS Anđela Milošević, Director Francuska 56, 11000 Belgrade andjela.milosevic@globalpress.co.yu www.globalpress.co.zu DIREKTNA PAKETNA DOSTAVA D.O.O. Miloš Ogrizović, Director Golubinačka bb, 22310 Šimanovci milos.ogrizovic@dpd.rs www.dpd.com/cs INGENICO  REPRESENTATIVE OFFICE BELGRADE Slobodan Milić, Regional Manager Knez Mihailova 30/II, 11000 Belgrade slobodan.milic@ingenico.com www.ingeniko.com INNOTECH INTERNATIONAL Radojka Ratković, Director

INTER  MOST A.D. Radiša Milošević, Director Terazije 41/IV, 11000 Belgrade rmilosevic@inter-most.com www.inter-most.com L’ORÉAL BALKAN D.O.O. Brigitte Streller, Director Bul.Zorana Đinđića 64a, 11070 New

LIMAGRAIN SRBIJA Miroslav Sidor, Director Bul.Oslobođenja 127, 21000 Novi Sad sidor.limagrain@nspoint.net www.limagraincentraleurope.com/rs MALTINEX Constantin Nikitine, Director Ind.zona bb P.fah 111, 21400 Bačka Palanka

58 Guide to The International Business Sector / March 2009

jpisarev@maltinex.rs www.soufflet.com MANPOWER STAFFING SERVICES D.O.O. Roland Digonnet, Director Ilije Garašanina 22, 11000 Belgrade office@manpower.rs www.manpower.rs MATRIMONIA Aleksandra Grujičić, Director Filipa Filipovicć 3, 32000 Čačak duco@verat.net www.matrimonia.co.yu TIGAR KORPORACIJA Dragan Nikolić, President Nikole Pašića 213, 18300 Pirot info@tigar.com www.tigar.co.yu

Gračanička1, 11000 Belgrade Tel: +381 (0) 11 32 82 652 Fax: +381 (0) 11 26 38 109 www.alstom.com

MLEKOPRODUKT A.D. Živanko Radovančev, Director Temišvarski drum 24, 23000 Zrenjanin 381 23 547245 biser@mlkoprodukt.com www.mlekoprodukt.com PEN AR LAN DUNAV Mata Forgić, Director Ivana Gorana Kovačića 46, 25272 Bački Monoštor forgica@eunet.yu PERNOD RICARD SRBIJA D.O.O. Predrag Amidžić, Director Bul. Oslobođenja 211, Belgrade predrag.amidzic@pernod-ricard-serbia. com PRICE WATERHOUSE COOPERS Emmanuel Koenig, CEO Omladinskih brigada 88a, 11070 New Belgrade 381 11 3302100 381 11 3302101 emmanuel.koenig@yu.pwc.com www.pwc.com

FRANCE PUBLICIS Žaklina Nikolić - Kusić, Director Gospodar Jovanova 2, 11000 Belgrade 381 11 2180647 381 11 2180286 office@publicis.co.yu QUESCOM Nebojša Kojić, Director Palmotićeva 29, 11000 Belgrade 381 11 3340122 n.kojic@quescom-yu.com RENAULT NISSAN SRBIJA Milan Belin, Gen. Director Omladinskih brigada 88, New Belgrade milan.belin@renault.com www.renault.com SAFÈGE Željko Tmušić, Director Bul.Kralja Aleksandra 24, 11000 Belgrade 381 11 3344117 381 11 3346683

Lafarge BFC d.o.o. Trg BFC 1, 21300 Beočin SAINT GOBAIN GRAĐEVINSKI PROIZVODI D.O.O. Aleksandar Grujić, Director Vladimira Popovića 40, 11000 Belgrade 381 11 2282333

381 11 2282333 milica.antic@saint-gobain.com XXX JTPWFS ST XXX SJHJQT ST SAINTGOBAIN DESJONQUERES Petar Mišković, Director Bul.Mihaila Pupina 63/4, 11070 New Belgrade 381 11 3018269 SANOFI AVENTIS D.O.O. Pavle Marjanović, Director Vladimira Popovića 40, 11070 New Belgrade 381 11 2120541 381 11 3132035 pavle.marjanovic@sanofi-aventis.com www.sanofi-aventis.com SCHNEIDER ELECTRIC SRBIJA D.O.O. Giovanni Costa, Director Ratarski put 27d, 11186 Belgrade podrska.klijentima@rs.schneiderelectric.com www.schneider-electic.rs SOCIÉTÉ GÉNÉRALE BANKA SRBIJA

tel: + 381 21 874 140 fax: + 381 21 870 559 Antoine Toussaint, President Bul.Zorana Đinđića 50A/b, 11070 New Belgrade antoine.toussaint@socgen.com

www.societegenerale.rs STREIT JUCIT D.O.O. Nenad Medenica, Director Petra I Karađorđevića 156, 22330 Nova Pazova 381 22 321965 381 22 321199 n.medenica@groupe-streit.com TARKETT D.O.O. Veselin Vesković, Director Industrijska zona bb, 21400 Bačka Palanka 381 21 7557201 381 21 7557292 marija.vukoje@tarkett-ee.com www.tarkett.com VEOLIA WATER SOLUTIONS EN TEHNOLOGIES D.O.O. Nenad Obradović, Director Kralja Milana 21, 11000 Belgrade 381 11 3240763

381 11 3037196 n.obradovic@veoliawater.co.yu www.veoliawater.com VIVA FRUIT D.O.O. Dragana Nikosavić, Director Knez Mihailova 6/V, 11000 Belgrade 381 11 2624095 381 11 2623062 vivafruit@eunet.yu VOSSLOH MIN SKRETNICE Guy Delorme, Director 12 februar bb, 18000 Niš www.vossloh-skretnice.com XPRO D.O.O. Claude Istria, Director Radnička 5a, 11000 Belgrade 381 11 3051616 381 11 3051625 claude.istria@xpro.rs www.xpro.rs

March 2009 / Guide to The International Business Sector 59

GERMANY

German Investment “I think Serbia is still attractive, although my opinion is that some momentum has been lost again. In many cases things are not continuing to change to the better.”

“German investors that have purchased a company ﬁrst ask themselves: ‘how much money do I have to invest to make the company I bought modern, efﬁcient and competitive?’” Ernst Bode, President of the German Chamber of Commerce in Belgrade

erman companies have invested relatively heavily in Serbia since the democratic changes of 2000 and trade between Serbia and Germany ranks among the highest: according to the Serbian Investment and Export Promotion Agency, SIEPA, Germany ranks as the fourth recipient country of imports from Serbia and the 2nd in terms of exports to Serbia. Speaking for this year’s Guide, Ernst Bode, President of the German Business Association in Belgrade and CEO of Messer Tehnogas, says that many potential German investors have put their plans on hold.

How would you describe the state of the Serbian market at present; are German companies generally satisfied with conditions in Serbia or have they identified spe-

60 Guide to The International Business Sector / March 2009

cific problems in need of remedying? German companies and investments, like all other investments, have not been spared from the international economic crisis. The business climate has become drastically colder. Besides the impact of the general crisis, there are also other specific problems in Serbia – first and foremost the painstaking and endless administration processes which suffocate development. Getting permits for the simplest things, such as establishing buildings or warehouses, or the procedure of being registered as the owner, can take years to complete in some municipalities. Is the global financial crisis affecting levels of trade and investment between Serbia and Germany and, if so, to what extent? The global economic crisis is, of course, heavily affecting the levels of trade be-

GERMANY

Plans on Hold tween Germany and Serbia. So far, however, I am not aware of any German company operating in Serbia that is seriously thinking about pulling out of the country. Until November and December last year there were numerous German companies thinking about investing in Serbia. To my knowledge, none of them have given up completely. At the same time, however, they have all put their investment plans on hold. I believe that this is normal behaviour in such a situation and it doesn’t imply anything particular with regard to Serbia as an investment destination. German companies have invested heavily in Serbia. Is this trend common to the region as a whole and what would you describe as the comparative advantage of German companies over other foreign companies in the Western Balkans? I believe that, considering the level of investment of German companies in the rest of Eastern Europe and especially in relation to the economic power of Germany, German investments in Serbia are disproportionally low. Generally speaking, I see the advantage of German investors in the seriousness of German business partners and their professional approach. Unlike many others, I tend to believe that German investors that have purchased a company first ask themselves: ‘how much money do I have to invest to make the company I bought modern, efficient and competitive?’ and not: ‘how much can I still squeeze out of it?’. To what extent do you co-operate with other business associations in Serbia (from AmCham to the Serbian Chamber of Commerce)? There are no direct official contacts between the German Chamber of Commerce and other foreign business associations, such as FIC or AmCham. We do, however, have contacts and joint events with the Serbian Chamber of Commerce and SIEPA. How satisfied are you in terms of your communication with the Serbian Government and institutions? Serbia is competing with investment opportunities all around the world. Unfortunately, despite the fact that some ministries, local authorities and organisations are doing a marvellous job to improve the situation and attract investors, some other authorities and utility service providers have done nothing. On the contrary, their attitude is often as if they are doing you a big personal favour by doing their normal job and they do it with resistance and apparent annoyance. What advice would you give to a German business considering an investment in Serbia? I think Serbia is still attractive, although my opinion is that some momentum has been lost again. In many cases things are not continuing to change to the better. For 2009 I would say that if a clear opportunity appears one should grasp it, but generally one should stay away from big adventures.

ADRIA MEDIA D.O.O. Bernd Rademan, Director Omladinskih brigada 88a, New Belgrade b.rademann@adriamedia.rs www.adriamedia.co.yu ALIMPEX Milan Strinić, Director Karađorđeva 1, 22304 Novi Banovci info@alimpex.rs www.alimpex.rs ATRIUM CONSULTING D.O.O. Roman Klott, Director Bul.Mihaila Pupina 165G, 11070 New Belgrade 381 11 2205811 office@atrium-consulting.com www.atrium-consulting.com BASF SRBIJA D.O.O. Werner Langle, Director Triše Kaclerovića 27L, 11000 Belgrade mirela.trivic@basf.com www.basf.com BALKAN DEVELOPMENT Jurgen Kamper, Director Žarkovačka 21g, 11030 Belgrade info@balkan-land-development.com www.balkan-land-development.com BAUKU D.O.O. Dagmar Hering, Director Kosovska 35, 11000 Belgrade CBVLV!CFPUFM ST XXX CBVLV DP ST BAYER D.O.O. Thomas Roemer, Director Omladinskih brigada 88b, 11070 New Belgrade jelena.misita@bayerhealthcare.com www.bayer.rs BDO BC EXCEL D.O.O. Dragan Popović, Director Knez Mihailova 10, 11000 Belgrade bdo@bdo.co.rs www.bdo.co.rs BELEXPOCENTAR D.O.O. Slobodan Petrović, Director Španskih boraca 74, 11070 Belgrade info@holiday-inn.com www.holiday-inn.com BERLINCHEMIE SRBIJA Vladimir Hudjec, Director Prilepska 1, 11000 Belgrade

office@berlin-chemie.co.yu www.berlin-chemie.co.yu BALL PACKAGING EUROPE BELGRADE LTD David Banjai, Director Batajnički drum 21a, 11080 Zemun jelena_radicev@ball-europe.com www.ball-europe.com BIG DUTCHMAN INTERNATIONAL GMBH Saša Đurić, Director Bul. Oslobođenja 30a, 21000 Novi Sad office@bigdutchman.rs www.bigdutchman.co.yu BINVEX  STANDARD D.O.O. Dragan Stefanović, Director Požarevačka 35, 11000 Belgrade 381 11 3836882 binvex@yubc.net BTPEGROTOUR D.O.O. HRG SERBIA Predrag Španjević, Director Čubrina 4, 11000 Belgrade office@rs.hrgworldwide.com www.hrgworldwide.com CMS REICHROHRWIG HASCHE SIGLE D.O.O. Radivoje Petrikić, Director Cincar Jankova 3, 11000 Belgrade office@cms-rrhs.com www.cms-rrhs.com CONDATA D.O.O. Ljubica Tomić, contact Carice Milice 3, 11000 Belgrade PGGJDF!DPOEBUB ST XXX DPOEBUB ST CONCEPT INVEST D.O.O. Goran Jevtić, Director Tiosava Karapandžića 2a, 36000 Kraljevo conceptinvest.jevtic@gmail.com www.osigurajse.com COMMERZBANK AG REPRÄSENTANZ BELGRAD Thomas Timme, Director Vladimira Popovića 6, Genex Ap.Apt. 112, 11000 Belgrade thomas.timme@commerzbank.com www.commerzbank.com CORPORATE MEDIA SERBIA CMS Matthias Weimer, Director

March 2009 / Guide to The International Business Sector 61

GERMANY Dragoslava Jovanovića 13, 11000 Belgrade info@cmserbia.com www.cmserbia.com CRAFORD INVESTMENT D.O.O. Živojin Petrović, Director Paje Adamova 2,11000 Belgrade PGGJDF!DSBGPSE ST XXX DSBGPSE ST CREDITREFORM D.O.O. Kaja Ristić, Director Palmira Toljatija 5/III, 11000 Belgrade office@creditreform.rs www.creditreform.rs DAD DRAXLMAIER AUTOMOTIVE D.O.O. Joerg Paechnatz, Director Skladišna hala I Bagljaš Aerodrom, 23000 Zrenjanin info@draexlmaier.de www.draexlmaier.de DEKRA ZAPOŠLJAVANJE D.O.O. Marko Bogdanić, Director Milentija Popovica 32a, 11070 New Belgrade PGGJDF!EFLSB ST XXX EFLSB ST DELTA GENERALI OSIGURANJE A.D.O. Nebojša Divljan, Director Milentija Popovića 7b, 11000 Belgrade nebojsa.divljan@deltagenerali.rs www.deltagenerali.rs DELTA M D.O.O. Milka Vojvodić, Director Milentija Popovića 7b, 11000 Belgrade milka.vojvodic@deltamgrupa.rs www.deltamgrupa.rs DERTOUR D.O.O. Vili Mitova, Director Bul.Mihaila Pupina 10V, 11070 New Belgrade

prodaja@dertour.rs www.dertour.rs DEUTSCHE BAHN REPRASEN TANZ BELGRAD Radoslav Stepanov, Director Takovska 6/II, 11000 Belgrade db.logistics@sezampro.yu www.db.de DEWACO D.O.O. Dušan Kapeza, Director Industrijska zona b.b. 22314 Krnješevci PGGJDF!NBO ST XXX NBO ST DHL INTERNATIONAL BEOGRAD D.O.O. Darko Babić, Director Jurija Gagarina 36V, 11070 New Belgrade JOGP ST!EIM DPN XXX EIM ST DRÄGER TEHNIKA D.O.O. Predrag Gvoić, Director Tošin bunar 41, 11080 Zemun office@draeger.rs www.draeger.rs DS BAU KONTOR D.O.O. Milan Popović, Director Ustanička 63, 11000 Belgrade vapas@eunet.yu DSD KONSTRUKTION D.O.O. Dr Frank Minas, Director Milana Petrovića 21, 21000 Novi Sad office@dsd-serbia.co.rs www.dsd-serbia.co.rs DUNAV EXPORTIMPORT D.O.O. Radivoje Simonović, owner Zemunska 48, 22304 Novi Banovci PGGJDF!EVOBW FJ ST XXX EVOBW FJ ST EKAPIJA.COM D.O.O. Aleksandar Parezanović, Director Vladimira Popvića 14, 11000 Belgrade

62 Guide to The International Business Sector / March 2009

office@ekapija.com www.ekapija.com EOS MATRIX D.O.O. Irina Lada, Director Knez Danilova 46, 11000 Belgrade infoyu@eos-matrix.com www.eos-matrix.rs ELMAT D.O.O. Velibor Bjelobrk, Director Maksima Gorkog 135, 11000 Belgrade PGGJDF!FMNBU NF XXX FMNBU NF ERSTE BANK A.D.NOVI SAD Slavko Carić, President of the Executive Board Bul.Mihaila Pupina 85b, 11 000 Belgrade kabinet@erstebank.rs www.erstebank.rs EUROCARGO D.O.O. Jasmina Simović, Director Selo Strojkovce, 16203 Vučje, Leskovac officebg@eurocargo.rs www.eurocargo.rs EUROPOOL D.O.O. Peter Heinemann, Director Cara Uroša 11, 11000 Belgrade 381 11 3284391v381 11 3284053 matic@ep-tracksystems.com www.euro-pool.com EXECOM D.O.O. Branko Milikić, Director Bul.Kralja Petra I/89, 21000 Novi Sad office@execom.eu www.execom.eu FORMAN BGD D.O.O. Anton Ećimović, Director Srpskocrkvena 20, 22320 Inđija ecimovic@forman.rs www.forman-gmbh.com GEZE GMBH

Ivan Albunović, project consultant Kapetan Mišina 9, 11000 Belgrade 381 11 3283668, 381 63 217729 office-serbia@geze.com www.geze.com GFKGESELLSCHAFT FÜR KONSUMFORSCHUNG Marijana Agić Molnar, Director Milutina Milankovića 27, 11070 Belgrade info.serbia@gfk.com www.gfk.rs GLN SUPPORT INTRENATIONAL Fracois D’Ornano, Director Andrićev Venac 2, 11000 Belgrade gln.belgrade@gide.com www.gide.com GRAH AUTOMOTIVE D.O.O. Aca Zlatić, Director Kneza Miloša Obrenovića, 34227 Batočina aca.zlatic@grah-automotive.com www.grah-automotive.com GU BKS D.O.O. Dragoslav Aleksić, Director Autoput za Novi Sad 2V, 11080 Zemun PGGJDF!H V DP ZV XXX H V ST GRUNER SERBIAN D.O.O. Čedomir Božilović, Director 29. Novembra bb, 16210 Vlasotince JOGP!HSVOFS EF XXX HSVOFS EF GRAND MOTORS Stanko Radić, Director Milutina Milankovića 21, 11000 Belgrade stanko.radic@ford.rs www.ford.rs GTZDEUTSCHE GESELLSCHAFT FÜR TECHNISCHE ZUSAMME NARBEIT GMBH Uwe Stumpf, Director Župana Vlastimira 6, 11040 Belgrade

GERMANY HU[!FVOFU ST XXX HU[ EF HEIDELBERG JUGOSLAVIJA D.O.O. Alexander Hufnagl, Director Pljevaljska 2b, 11050 Belgrade info.yu@heidelberg.com www.heidelberg.com HEMOFARM A.D. Miodrag Babić, President Beogradski put bb, 26300 Vršac hemofarm.info@hemofarm.com www.hemofarm.com HENKEL MERIMA D.O.O. Nenad Vuković, Director Dunavska 86, 11000 Belgrade jelena.sarenac@rs.henkel.com www.henkel.com HYPO ALPEADRIABANK A.D. Vladimir Čupić, President of the Executive Board Bul.Mihaila Pupina 6, PC Ušće, 11070 New Belgrade office@hypo-alpe-adria.rs www.hypo-alpe-adria.co.yu HÖDLMAYR ZASTAVA D.O.O. Markus Waeger, Director Trg Topolivaca 4, 34000 Kragujevac natalija.waeger@hoedlmaye.com www.hoedlmayr.com HOLCIM SRBIJA D.O.O. Frank Wild, Technical Director 35254 Popovac, Paraćin GSBOL XJME!IPMDJN ST XXX IPMDJN ST HOYER D.O.O. Žarko Anđelković, Director Banjički put 62, 11090 Rakovica, Belgrade zarko.andjelkovic@hoyer-serbia.com www.hoyer-group.com HAD BMP AD HYATT REGENCY BEOGRAD Viktorija Stanković, Assistant service manager for marketing and public relations Milentija Popovića 5, 11070 Belgrade belgrade.regency@hyatt.com www.belgrade.regency.hyatt.com PFZ D.O.O. Gordan Đujić, Director Kralja Petra 32, 11000 Belgrade

natasa.vucelic@iccbgd.co.yu www.pfygroup.co.yu IVA 28 D.O.O. Bojan Erčević, Director Jurija Gagarina 231/322, 11070 New Belgrade PGGJDF!JWB ST XXX JWB ST INKO  INŽENJERSKA KOOPER ACIJA D.O.O. Vlado Vujisić, Director Bul.Mihaila Pupina 191, 11000 Belgrade 381 11 3018955 JOGP!WJCJMJB DP ZV XXX WJCJMJB DP ZV KELLER GEOTECHNIK D.O.O. Robert Thurner, Director Ustanička 189/I-6b, 11000 Belgrade office.beograd@keller-geotehnika.rs www.keller-geotehnika.rs KFW ENTWICKLUNGSBANK KANCELARIJA BEOGRAD Elke Hellstern, Director Župana Vlastimira 6, 11040 Belgrade kfw.belgrade@kfw.de www.kfw-entwicklungsbank.de/ serbia KNAUF BEOGRAD D.O.O. Milutin Ivanović, Director Dalmatinska 65a, 11000 Belgrade info@knauf.rs www.knauf.rs KRUPEX D.O.O. Desimir Krupniković, Director Visoka 29/a, 11000 Belgrade krupnik@nadlanu.com NLB BANKA A.D. BEOGRAD Zoran Đurović, President Bul.Mihaila Pupina 165, New Belgrade [PSBO EKVSPWJD!OMC ST XXX OMC ST LIBRA BEOGRAD D.O.O. Saša Gligorić, Director Oblaskih radnika 4g, Belgrade librabgd@eunet.yu www.librabgd.rs LINDE GAS SRBIJA A.D. BEČEJ Slobodan Macedonić, Director Petrovoselski put bb, 21220 Bečej ilija.stojanovic@yu.linde-gas.com www.linde.com LINDE VILJUŠKARI D.O.O. Vesna Jovanović, Director Autoput BG-NS 294a, 11080 Zemun March 2009 / Guide to The International Business Sector 63

GERMANY

info@linde-mh.rs www.linde-mh.rs LOHER ELEKTRO SUBOTICA D.O.O. Sekula Ištvan, Director Batinska 94, 24000 Subotica MFT!MPIFS DPN XXX MPIFS DPN LUFTHANSA GERMAN AIRLINES Marek Kuhta, Director Terazije 3/VII, 11000 Belgrade JOGP!MVGUIBOTB ST XXX MVGUIBOTB ST MBS TEHNO D.O.O. Milenko Stanković, Director Bul.Despota Stefana 21, 11000 Belgrade direkcija@mbstehno.co.yu www.mbstehno.co.yu MOBEXPERT GROUP D.O.O. Roxana Mateesu, Director Milentija Popovića 9, 11000 Belgrade nina.ostrogonac@mobexpert.rs www.mobexpert.rs MEDIAPRINT SERBIA D.O.O. Werner Herich, Director Mosorska 14, 11000 Belgrade wrenerherich@politika.rs www.politka.rs MEDINIC D.O.O. Ljiljana Belčević, Director Milutina Blagojevića 57, 11000 Belgrade medinic@eunet.yu www.medinic.co.yu MERCK D.O.O. Rene Kautz, Director Đorđa Stanojevića 12, 11070 New Belgrade NFSDL!NFSDL ST XXX NFSDL ST MESSER TEHNOGAS A.D. Ernst Bode, Director

Banjički put 62, 11090 Belgrade postoffice@messer.rs www.messer.rs MERCEDES  BENZ SCG D.O.O. Andreas Binder, Director Omladinskih brigada 33, 11000 Belgrade infodesk@daimlerchrysler.co.rs www.mercedes-benz.co.rs METRO CASH & CARRY D.O.O. Veronika Ivanova, President of the Board of Directors Autoput za Novi Sad 120, 11080 Belgrade pr@metro-cc.co.yu www.metro-cc.co.yu METZ GROUP D.O.O. Christoph Becker, Director Njegoševa 40, 11000 Belgrade ch_@beocity.net www.metz-group.com MILOSEVIC CREATIVE COMMU NICATIONS D.O.O. Ivan Milošević, Director Bul.Kralja Aleksandra 87/4, 11000 Belgrade info@milosevic.co.yu www.milosevic.co.yu NEW MOMENT  NEW IDEAS COMPANY D.O.O. SCHOLZ & FRIENDS Dragan Sakan, Director Hilandarska 14, 11000 Belgrade office@newmoment.com www.newmoment.com OFFICECOM D.O.O. Branko Milivojević, Director Tronoška 18, 11080 Zemun polje bane@officecomc.rs www.officecom.rs OSRAM D.O.O. Miroslav Laješić, Director

64 Guide to The International Business Sector / March 2009

Đorđa Stanojevića 14, 11070 New Belgrade office@osram.rs www.osram.rs PETRA GROUP MÄNZ & PARTNER D.O.O. Dalibor Štula, Director Kralja Milana 10/II, 11000 Belgrade 381 11 2686683 d.stula@petra-group.rs www.petra-group.rs PHIWA D.O.O. SUBOTICA Rudlof Walther, Director Matije Korvina 17, 24000 Subotica phiwa@phiwa.com www.phiwa.com POLYMITB D.O.O. Živana Bilan, Director Branimira Ćosića 6, 15000 Šabac prodajapolymit@nadlanu.com www.polymit.com PORSCHE LEASING D.O.O. Vojo Miladić, Director Zrenjanski put 11, 11210 Krnjača, Belgrade info@porscheleasing.rs www.porscheleasing.rs PORSCHE SCG D.O.O. Max Winterfeldt, Director; Bojan Muravec, Director Zrenjanski put 11, 11210 Belgrade info@porschescg.rs www.porschescg.rs PRICEWATERHOUSECOOPERS D.O.O. Emmanuel Koenig, Director Omladinskih brigada 88a, 11070 New Belgrade emmanuel.koenig@rs.pwc.com www.pwc.com PROCREDIT BANK A.D. Svetlana Tolmačeva, Presdinet of the Executive Board Bul. Milutina Milankovića 17, 11070 New Belgrade info@procreditbank.co.yu www.procreditbank.co.yu PROFINE D.O.O. Bojan Predojević, Director Batajnički drum bb, 11080 Zemun serbia@profine-group.com www.profine-group.com PS CONFIDAS D.O.O.

Alexander Samonig, Director Imotska 1, 11000 Belgrade office@ps-confidas.rs www.ps-confidas.co.yu PANOS INZENJERING D.O.O. Željko Pantović, Director Bul. Oslobođenja 127, 21000 Novi Sad panosing@ponsing.com www.panosing.com PMC INTERNATIONAL BELGRADE Edvard Tončev, Director Neznanog junaka 18, 11000 Belgrade pmc@pmc-international.co.rs www.pmc.at POLIKLINIKA MIRAMONTI Mirjana Bogdanović, owner Tolstojeva 44, 11000 Belgrade info@poliklinika-miramonti.rs www.poliklinika-miramonti.rs P.S. TELEFONIJA A.D. Predrag Sofranić, Director Kumodraška 241, 11000 Belgrade office@telefonija.co.yu www.telefonija.co.yu GLN SUPPORT INTRENATIONAL Fracois D’Ornano, Director Andrićev Venac 2, 11000 Belgrade gln.belgrade@gide.com www.gide.com RECHTSANWALTKANZLEI JANJIĆ Zoran Janjić, Director Gračanička 7, 11000 Belgrade janjicco@janjic.co.yu www.janjic.rs RECHTSANWALTSKANZLEI JANKOVIĆ, POPOVIĆ & MITIĆ Čarli Čaplina 37, 11000 Belgrade office@jpm.rs www.jpm.co.yu RECHTSANWALTSKANZLEI JOKSOVIĆ, STOJANOVIĆ & PARTNERS Internacionalnih brigada 38, 11000 Belgrade jsplaw@jsplaw.rs www.jsplaw.rs RECHTSANWALTSKANZLEI KARANOVIĆ & NIKOLIĆ Lepenička 7, 11000 Belgrade

GERMANY info@karanovic-nikolic.com www.karanovic-nikolic.com RECHTSANWALTSKANZLEI TOMIĆ  STEVIĆ  DULIĆ Carice Milice 3, 11000 Belgrade office@tomic-stevic.rs www.tomic-stevic.rs RECHTSANWÄLTE LUČIĆ, MILOVANOVIĆ, BOJOVIĆ, DAŠIĆ Predrag Milovanović, Head of the Legal Department Omladinskih brigada 88A, 11070 New Belgrade 381 11 3302100 381 11 3302101 rs-office@rs.pwc.com www.pwc.rs REEMTSMA D.O.O. Vladimir Mikić, Director Diplomatska kolonija 20, 11000 Belgrade vladimir.mikic@reemtesma.co.yu www.reemtsma.com REHAU D.O.O. Nikola Ivošević, Director Batajnički drum 283 E, 11000 Belgrade beograd@rehau.com www.rehau.rs REUM D.O.O. Saša Vragolić, Director Carice Milice 3, 11000 Belgrade 381 65 6284606 info@reum.de www.reum.com ROBERT BOSCH D.O.O. Jovanka Jovanović, Director Milutina Milankovića 11a, 11000 Belgrade www.bosch.co.yu S&T SERBIA D.O.O. Predrag Vraneš, Director Narodnih heroja 43/23, 11070 Belgrade predrag.vranes@snt.rs www.snt.rs S.E.TRADE D.O.O. Nebojša Vraneš, Director Slanički put 26, 11060 Belgrade 381 11 2783657 info@zerowaste.rs www.zerowaste.rs SANO D.O.O. Branimir Kampl, Director Mileve Simić bb, Industrijska zona

Sever, 21000 Novi Sad sano@sano.rs www.sano.rs SAP WEST BALKANS D.O.O. Dragan Španović, Director Omladinskih brigada 88b, 11070 New Belgrade info.wb@sap.com www.sap.com/westbalkans SCHENKER D.O.O. Slavoljub Jevtić, Director Batajnički drum 283d, 11080 Zemun 381 11 3757717 381 11 8488331 office@schenker.rs www.schenker.rs SCHMITZ CARGOBULL D.O.O. Vujo Crnomarković, Director Novosadski put bb, 11273 Batajnica, Belgrade info.serbia@cargobull.com www.cargobull.com SIEMENS D.O.O. Tihomir Rajević, Director Omladinskih brigrada 21, 11000 Novi Belgrade office.cs@siemens.com www.siemens.rs SPIEGELFELD INTERNATIONAL D.O.O. Radivoje Nijemčević, Director Neznanog Junaka 14, 11040 Belgrade nijemcevic@spiegelfeld.eu www.spiegelfeld.eu SUNOKO D.O.O. Spiros Pyrgidis, President of the Board of Directors Trg Marije Trandafil 7, 21000 Novi Sad 381 21 420018 info@sunoko.rs www.sunoko.rs THYSSENKRUPP ELEVATORI D.O.O. Igor Tanasković, Director Bul.Mihaila Pupina 10ž/I, Aptt.443, 11000 Belgrade igor.tanaskovic@thyssenkrupp.rs www.thyssenkrupp-elevator.rs TM IMMO D.O.O. Wolfgang Kurzacz, Director Đorđa Stanojevića 12, 11070 New Belgrade

tmimmo@nadlanu.com TRCPRO D.O.O. Hotmir Ličen, Director Preradovićeva 31, 21131 Petrovaradin office@trcpro.rs www.trcpro.rs TÜV SUD SAVA D.O.O. REPRÄSENTANZ BELGRAD Boško Gavović, Director Starine Novaka 3, 11000 Belgrade office@tuv.rs www.tuv.rs TRENKWALDERKADROVSKE USLUGE D.O.O. Mališa Grujić, Director Bul.Arsenija Čarnojevića 68 L3, 11070 New Belgrade trenkwalder@sbb.rs www.trenkwalder.rs UNICREDIT LEASING SRBIJA D.O.O.BELGRADE Joachim Ahrer, Vladimir Šijaković, members of the Board Bul.Mihaila Pupina 165E, Belgrade office@unicreditleasing.rs www.unicreditleasing.rs UNIFARM MEDICOM D.O.O. Radoje Krstonijević, Director Cara Dušana 264, Zemun r.krstonijevic@unifarmad.rs www.unifarmad.rs UNIQA OSIGURANJE A.D.O. Zoran Višnjić, President of the Board of Directors Bul.Milutina Milankovića 134g, New Belgrade info@uniqa.co.yu www.uniqa.co.yu VB LEASING D.O.O. Klaus Spitzer, Director Đorđa Stanojevića 12, 11070 New Belgrade office@vbleasing.rs www.vbleasing.co.yu VEKOM CO. D.O.O. Saša Budanović, Director Jove Ilića 31, 11000 Belgrade 381 11 3098166 office@vekomco.rs www.vekomco.rs

VIESSMANN D.O.O. Bojan Grujički, Director Triše Kaclerovića 27L, 11000 Belgrade viessmann.srb@sbb.co.yu www.viessmann.co.yu VICTORIA GROUP D.O.O. Zoran Mitrović, Director Bul. Mihaila Pupina 115b, 11070 New Belgrade office@victoriagroup.rs www.victoriagroup.rs VOLKSBANK A.D. Axel Hummel, Director Bul. Mihaila Pupina 165g, 11070 New Belgrade office@volksbank.co.yu www.volksbank.co.yu WASI D.O.O. Saša Marinković, Director Pančevački put 38, 11000 Belgrade 381 11 3318528 office@wasi.rs www.wasi.rs WEISHAUPT D.O.O. Zoran Veljković, Director Bul.Mihaila Pupina 6, New Belgrade info@weishaupt.co.yu www.weishaupt.co.yu WILO BEOGRAD D.O.O. Dragan Simonović, Director Mijačka 3, 11000 Belgrade office@wilo.rs www.wilo.rs WINTERHALTER GASTRONOM YUD.O.O. Esma Pejović, Director Zrenjaninski put 84c, 11000 Belgrade wiha.yu@eunet.yu www.winterhalter.co.rs WÜRTH D.O.O. BEOGRAD Aleksandar Grgić, Director Pančevački put 38, 11000 Belgrade prodaja@wurth.co.yu www.wurth.co.yu XELLA SRBIJA A.D. Nikola Boroja, gen. Director Diše Đurđevića bb, 11560 Vreoci zoran.orlovic@xella.com www.xella.rs

March 2009 / Guide to The International Business Sector 65

GREECE Vasilios Ntertilis, President of the Board of Directors of the Hellenic Business Association of Serbia

ENCOMPASSING ALL SECTORS “Greek companies have invested around €2.5 billion in the Serbian economy … in everything from banking and petroleum, to the textiles and food & drink industries, the tourism industry, agriculture, the cement industry, etc.”

egardless of whose statistic you believe, it is undeniable that Greece is one of the top investor nations in Serbia. With investments in almost all sectors and investors ranging from large Greek companies to independent entrepreneurs, it is obvious that Greece is approaching the Serbian market seriously and Greek firms are here to stay. According to Vasilios Ntertilis, President of the Board of Directors of the Hellenic Business Association of Serbia, “Serbia has always been the preferred market for Greeks to enter.”

PREFERRED LOCATION

y advice to Greek companies seeking to expand in the region would be to look to Serbia as the preferred location. I would urge them to take into account the fact that Serbia is very open to Greek investments, our businesses have accrued a lot of experience here in recent years, we have established good Greek structures already and the Serbian authorities are willing to help Greek businesses through the system they are developing

“Greeks are at an advantage here because of the mentality. This helps them approach Serbs more easily, and it also helps Serbs to understand Greeks better.”

How well does the Hellenic Business Association co-operate with other business associations operating in Serbia, such as the Serbian Chamber of Commerce, FIC, AmCham, etc.? If any of our companies needs to get in touch with representatives of another country or company for any business reasons they are assisted in the embassy and through the Hellenic Association. Not all countries have business associations in Serbia, but we have very good contacts with those that do. Of course, we also have very good contacts with the Foreign Inves-

66 Guide to The International Business Sector / March 2009

tors Council and the American Chamber of Commerce, and some of our members are also members of these or other associations. Serbia remains a country in transition, with reforms to the business climate being made and still required. Would you say that Greek businesses are satisfied with conditions in Serbia or do they seek your assistance when faced with bureaucratic, or other, problems? I would say that they are generally very satisfied. There have been specific cases of Greek companies having problems related to administrative procedures, the bureaucratic system or misunderstandings, but they have been solved on a case-bycase basis. Thanks to the Serbian authorities, the help provided by the association’s members and, of course, thanks in no small part to the efforts of the Greek Embassy, we have managed to solve the majority of these problems. Some minor issues remain outstanding, but even these will be solved in due course.

How would you evaluate your communication with the Serbian government and

March 2009 / Guide to The International Business Sector 67

GREECE individual ministries? Very good. Whenever we have sought their support or assistance we have prompted very fast and positive reactions from the government or ministries. I haven’t had any cases of negative reactions or responses from the Serbian authorities, at least not while I’ve been president of the association. They support us a lot. Have Greek companies invested elsewhere in the region to the same extent as they have in Serbia, or is this market particularly attractive to Greek business? Up until now, Greek companies have invested around €2.5 billion in the Serbian economy. The sectors that these investments are covering include everything from banking and petroleum, to the textiles and food & drink industries, the tourism industry – with our significant investments in hotels – agriculture, the cement industry, etc. However, Greek investments are still higher in Romania and Bulgaria than in Serbia, simply because Romania and Bulgaria implemented their transitions sooner, during the ‘90s. Serbia has always been the preferred market for Greeks to enter – due to common roots and histories, similarities in mentality, etc. – but during the ‘90s Serbia, as we all know, was under sanctions and plagued by conflict and so Greek investors headed for the quickly-reforming markets of Romania and Bulgaria. Nowadays, though, according to our statistics, Greeks are the number one investors in Serbia. Apart from the traditionally friendly ties between Greece and Serbia, what

Greek & Serbian companies could combine forces internationally What advice would you give to a Greek entrepreneur considering an investment in Serbia at this time? There are certain advantages that can prove useful to Serbia during this crisis period, but – crisis or not – Serbia already has two natural advantages. One is the location: geographically and geo-politically, Serbia controls an important stretch of the north-south, east-west routes and it is quicker and easier for anyone transporting

“There have been speciﬁc cases of Greek companies having problems related to administrative procedures, the bureaucratic system or misunderstandings, but they have been solved on a case-by-case basis.” gives Greek companies their comparative advantage here? First and foremost, Greeks are at an advantage here because of the mentality. This helps them approach Serbs more easily, and it also helps Serbs to understand Greeks better. The other main advantage of Greek companies is their knowledge of the region and the markets in the Balkans.

in any of these directions to pass through Serbia. From a strategic business point of view, this makes Serbia very attractive. The second advantage is Serbia’s trade links: apart from the new CEFTA for this region, Serbia also has a bilateral commercial agreement with Russia and preferential trade links on certain products with the EU and the U.S. These two advantages ex-

68 Guide to The International Business Sector / March 2009

ist regardless of the world business climate. Now, just like other countries, Serbia needs business at this time. And during this period they are more open to establishing co-operation and strategic partnerships. As such, my advice to Greek companies seeking to expand in the region would be to look to Serbia as the preferred location. I would urge them to take into account the fact that Serbia is very open to Greek investments, our businesses have accrued a lot of experience here in recent years, we have established good Greek structures already and the Serbian authorities are willing to help Greek businesses through the system they are developing. Do you think the completion of Corridor 10 transport links would encourage more Greek businesses to consider Serbia? Corridor 10 is a factor of paramount importance and its completion would undoubtedly have a positive influence on Greek businesses considering an investment in Serbia. Now it is up to the Greek and Serbian governments to do the best that they can to finally implement this project, as it will boost investment across the board in Serbia.

March 2009 / Guide to The International Business Sector 69

GREECE

ALPHA BANK SRBIJA A.D. Panagiotis Vlassiadis, Director Kralja Milana 11, 11000 Belgrade gm-office@alphabankserbia.com www.alphabankserbia.com ALPHA COPY D.O.O. Konstantinos Damofli, Director Raićeva 18, 11000 Belgrade milinic@alphacopy.gr www.alphacopy.gr ALUMIL YU INDUSTRY A.D. Rita Lozinsky, Director Industrijska zona bb, 22330 Nova Pazova alumilyuindustry@yahoo.com www.alumil.com ARIOFIL D.O.O. Aleksandar Tanasković, Director Višnjička 130, Belgrade ariofil@sbb.co.yu ASCO VIDAK D.O.O. Elesterios Kaltapanidis, Director Železnička 5, 21410 Futog WJEBL!BTDP HS XXX BTDP HS ATLAS TRADING SM D.O.O. Mušan Imamović, Director Zrenjaninski put 139e, Belgrade atlastradingsm@verat.net www.altastradingsm.com AXON COMPANY D.O.O. Milka Vujanović, Director Mihajla Gajića Kale 9a, 11000 Belgrade BYPO!BYPO ST XXX BYPO ST AXXON TRADING D.O.O. Vlatko Jokić, Director Surčinski put 9n, 11000 Belgrade PGGJDF!BYYPO ST XXX BYYPO ST BYZANTIO KESSIDIS GROUP D.O.O. Pangratios Kessidis, Director Miška Jovanovića 24, 11000 Belgrade kessidis@eunet.rs CHARIS CHALDOUPIS & PARTNERS Tatjana Dekleva Koljenović, Director Hilandarska 23/6, Belgrade contact@chaldoupis.com www.chaldoupis.com CYCLAMIN D.O.O. Dušan Gavrilov, Director

Zrenjaninski put 114, 11000 Belgrade DZDMBNJO!CJUTZV OFU www.happening.com.gr COCA COLA HELLENIC SRBIJA A.D Stefanos Vafidis, Director Batajnički drum 14-16, 11000 Belgrade stefanos.vafidis@cchbc.com www.cchbc.com CRVENKA A.D. Thomas Gkoutviamanis, Director Masarikova 7, 25220 Crvenka info@secerana-srvenka.rs www.secerana-crvenka.rs DDB BEOGRAD D.O.O. Marie Agaliotou, Director Dobračina 30, 11000 Belgrade office@beograd.ddb.com www.ddb.com KAPAIMPEX D.O.O. Kotsakis Christos, Director Svetozara Markovića 42, 11000 Belgrade kb.impex@eunet.yu DELTA M D.O.O. Milka Vojvodić, Director Milentija Popovića 7b, 11000 Belgrade milka.vojvodic@deltamgrupa.rs www.deltamgrupa.rs DIASTASI CONSTRUCTION D.O.O. Efstratios Simopoulos, Director Kneza Miloša 95, 11000 Belgrade EJBTUBTJ!TCC DP ZV XXX EJBTUBTJDPO HS EKO YU A.D. Vassilios Panagopoulos, Director Tošin bunar 274a, 11000 Belgrade v.panagopoulos@hellenic-petroleum.rs www.ekoyu.com EUROBANK EFG A.D. BEOGRAD Filipos Karamanolis, Director Kolarčeva 3, 11000 Belgrade PGGJDF!FVSPCBOLFGH ST www.eurobankefg.rs ELTON CORPORATION D.O.O. Nevena Tišma, Director Bul. Vojvode Mi[i’a 17, 11000 Belgrade PGGJDF!FMUPODPSQ ST XXX FMUPODPSQ ST ELTOP D.O.O. Sotiris Trokoudes, Director

70 Guide to The International Business Sector / March 2009

Milo[a Obrenovića bb, 13000 Pančevo FMUPQ@TFSCJB! EOFU ST XXX FMUPQ DP ZV ELVIAL WEST BALKANS D.O.O. Marko Lazović, Director Džordža Vašingtona 44, 11000 Belgrade PGGJDF!FMWJBM ST XXX FMWJBM ST ERYTHROS ASTERAS D.O.O. Panagiotis Rouhotas, Director Ljutice Bogdana 1a, 11000 Belgrade olimp_ex@yahoo.com EUCONS GROUP D.O.O. Zoran Anđelković, Director Kralja Milana 7, 11000 Belgrade office@eucons.rs EUROGARMENT D.O.O. Nikolaos Agnoglou, Director Kovinski put bb, 26225 Deliblato 381 13 765484 FIRST GLOBAL BROKERS A.D. Ioannis Cholevas, Director Vuka Karadžića 6, 11000 Belgrade JD!GHC DP ST XXX GHC DP ST FIBRAN D.O.O. Vesna Dračić, Director Bul. Arsenija Čarnojevića 68/II, 11000 Belgrade GJCSBO!FVOFU ZV XXX GJCSBO ST HELLAS COMPUTERS D.O.O. Aleks Tselekidis, Director Vojvode Prijezed 9, 11000 Belgrade PGGJDF!IFMMBT ST XXX IFMMBT ST HELONA D.O.O. Mitalkov Harilas, Director Treći Bulevar 25, 11000 Belgrade helona@eunet.yu INTRACOM TELEKOM D.O.O. Tomislav Bajević, Director Jurija Gagarina 7, 11000 Belgrade PGGJDF!JOUSBDPN ST XXX JOUBSDPN ST IKRP ROKAS & PARTNERS D.O.O. Dimitros Katsaros, Director Tadeuša Košćuškog 30, 11000 Belgrade TFSCJB!SPLBT DPN XXX SPLBT DPN IN HOTEL Ružica Petrović Dedijer, Gen. Director Bul. Arsenija Čarnojevića 56, 11000 Belgrade frontoofice@inhotel-belgrade.rs www.inhotel-belgrade.com KALODOUKAS HOLIDAYS D.O.O. Zlatko Janković, Director Bul. Mihaila Pupina 10v, New Belgrade PGGJDF!LBMPEPVLBT ST XXX LBMPEPVLBT ST KUMAKIS D.O.O. Snežana Bašić, Deputy Director Antifašističke borbe 38, New Belgrade JOGP!LVNBLJT ST XXX LVNBLJT ST

LAMDA EMPORIUM D.O.O. Vassilis Leboukas, Director Smedervski put 18a, 11000 Belgrade vas.emporium@eunet.yu www.lamda-emporium.com LENSIM  NEOTON D.O.O. Aleksandar Jovanović, Director Nehruova 174, 11000 New Belgrade PGGJDF!MFOTJN DP ST XXX MFOTJN DP ST LG HEMIJA D.O.O. Nataša Stevanović, Director Savska 17, 11000 Belgrade lghemija@eunet.yu MEGASTORS ELECTRONIKI D.O.O. Nikos Karakostas, Director Bul. Arsenijević Čarnojević 69d, 11000 Belgrade JOGP!FMFDUSPOJLJ ST XXX FMFDUSPOJLJ ST MELLON TRNASACTION SOLUTIONS D.O.O. Michael Kefalopoulos, Director Milentija Popovića 9, 11000 New Belgrade PGGJDF!NFMMPO ST XXX NFMMPO ST MELLON TRANSACTION TECHNOLOGIES D.O.O. Michael Kefalopoulos, Director Milentija Popovića 9, 11000 New Belgrade PGGJDF!NFMMPO ST XXX NFMMPO ST MERIDIJAN INŽENJERING D.O.O. Karagiozidis Babis, Director Korcaginovo naselje bb, 3 2300 Gornji Milanovac office@meridijan-inzenjering.com www.meridijan-inzenjering.com METAL GLOBE D.O.O. Vassilis Dertilis, member of the Bord of the Directors Bul. Mihaila Pupina 10a, New Belgrade metalglobe@metalglobebg.com www.metalglobebg.com METROPOL PALACE HOTEL D.O.O. Christos Tsemberas, Director Bul. Kralja Aleksandra 69, 11000 Belgrade office@metropolpalace.com www.metropolpalace.com MIDIO D.O.O. Goran Milentijević, Director Mekenzijeva 57, 11000 Belgrade midio@beotel.yu MINOAN BINDING LAMINATING D.O.O. Georgis Kalaitzakis, Director Jovanke Radaković 33a, 11000 Belgrade NJOPBO!TF[BNQSP ST XXX NJOPBO ST NATIONAL BANK OF GREECE A.D. Ioannis Pechlivanidis, Cherman of the Board of the Directors Bul. Mihaila Pupina 113, 11000 Belgrade

EKO BUSINESS

ellenic Petroleum is a dynamic Group, with solid foundations and a continuous profitability, holding a leading position in the Greek energy sector as well as in the greater area of Southeast Europe. The Group employs around 5.400 people in Greece and abroad. In 2008, the Hellenic Petroleum Group achieved net sales of EUR 10,1 billion. Hellenic Petroleum shares are traded on the Athens and London Stock Exchanges. The Group development program primarily focuses on investments in the processing sector, power generation, oil and gas exploration and investments into expanding international business, with SE Europe and the Balkans as a priority. As part of the vision for regional expansion, Hellenic Petroleum Group opened a branch in Belgrade in May 2002. At the same time, EKO YU A.D. was founded with the primary objective of achieving a leading position on the Serbian market for oil products, by ensuring the highest quality of products and services, safe working conditions, environmental

protection and by respecting both our buyers and our competition, and at the same time contributing to society in general. Today, the EKO retail network has over 40 petrol stations throughout Serbia, although the number is constantly growing in accordance with an ambitious business development plan. EKO petrol stations are modern and functional fa-

Today, the EKO retail network has 46 petrol stations throughout Serbia, although the number is constantly growing in accordance with an ambitious business development plan.

cilities designed to provide the widest range of services. In addition to selling oil products through the retail network, we offer a wide range of additional services: t .JOJNBSLFUT XJUI DBSFGVMMZ TFMFDUFE BTTPSUment of convenience consumer goods, car care and accessories EKO lubricants t 3FTUBVSBOUT JO DPMMBCPSBUJPO XJUI MBSHFTU NPtorway restaurant chain in Greece – Olympus Plaza, tailor made solutions for odd motorway restaurants) t 2VBMJUZ DPGGFF BU &,0 3BDJOH $BGF BOE &,0 Racing Snack Corners t "VUPNBUJD DBS XBTI BOE KFU XBTI t *OUFSOFU DBGF BOE GSFF XJSFMFTT *OUFSOFU ( Wi-Fi) t $IJMESFO T QMBZHSPVOE t "5. BOE FYDIBOHF NBDIJOFT BU TFMFDUFE location Furthermore, the company is actively involved in the supply, transport and sale of oil derivatives, crude oil, lubricants and LPG for customers. The company employs over 700 people and has invested so far more than 100 EUR in Serbia.

March 2009 / Guide to The International Business Sector 71

HUNGARY

GREECE CMHCSBODI!OCH HS XXX OCH HS NEOCHIMIKI D.O.O. Marko Malavrazić, Director Pančevački put 83C, 11000 Belgrade serbia@nechimiki-sa.gr www.neochimiki-sa.gr OLYMPIC AIRLINES Ioannis Papaslanis, Director Vase Čarapića 14, 11000 Belgrade olybeg@eunet.rs www.olympicairlines.com P.V.F.TRADERS D.O.O. Boban Mitrović, Director Vodovodska 158, 11000 Belgrade QWGUSBEF!ZVCD OFU XXX QWGUSBEFST DPN PEGO D.O.O. Michael Petrakis, Director Jug Grizelj 29, 11080 Zemun QFHPEPP!ZBIPP DPN XXX QFHP HS PIRAEUS BANK A.D. Dimitris Frangetis, Director Kolarčeva 1, 11000 Belgrade banka@piraeusbank.rs www.piraeusbank.rs FLEXIGLASPROMET D.O.O. Stefanos Thomakos, Director Autoput Novi Sad 150b, 11000 Belgrade plexiglas@tehnicom.net www.plexiglaspromet.co.yu PROFILCO YU D.O.O. Željko Mihić, Director Auto-put za Novi Sad 118, 11000 Belgrade profilco@nadlanu.com www.profilco.gr SABO PREDSTAVNIŠTVO Panagiotis Sarigelos, Director Milutina Ivkovića 2a, 11000 Belgrade TBCPTB!FVOFU ST XXX TBCP HS ŠAJKAŠKA A.D. FABRIKA ŠEĆERA Thomas Gkoutviamanis, Director Čuruški put 3, Industrijska zona, 21230 Žabalj secerana@eunet.rs www.secerana-zabalj.co.yu SAPIENT MERKATOR A.D. Fotis Kanellopoulos, Gen. Manager Zagrebačka 7, 11000 Belgrade TBQJFOUN!QUU ZV XXX TBQJFOUN ST SARANTIS D.O.O. Petar Labudović, Director Milana Rešetara 7, 11000 Belgrade PGGJDF!TBSBOUJT DP ZV XXX TBSBOUJT ST STONECRETE D.O.O. Katarina Trikić, Director Miška Jovanovića 16, 11000 Belgrade office@stonecrete.co.yu

www.stonecrete.rs VEROPOULOS D.O.O. BEOGRAD Vassilios Kakagiotis, Director Milutina Milankovića 86, 11000 New Belgrade office@veropoulos.rs www.veropoulos.rs SYN BUSINESS D.O.O. Yannis Sofianopoulos, Director Ivankovačka 20a, 11000 Belgrade nikvak@eunet.yu TAXOL D.O.O. Karagiozidis Babis, Director Korčaginovo naselje bb, 32300 Gornji Milanovac TELEKOM SRBIJA A.D. Christodoulopoulos Georgios, Deputy Director General Takovska 2, 11000 Belgrade 381 11 3341479, 3335760 ZDISJTUP!UFMFLPN ST XXX UFMFLPN ST TEXNI D.O.O. Nenad Radović, Director Novosadski put bb, 11000 Belgrade tehni@vojvodinaonline.rs www.pantelos.gr TGI HELLAS D.O.O. Simeon Tsomokos, Director Rige od Fere 8/4, 11000 Belgrade PGGJDF!UTPNPLPT ST XXX UTPNPLPT ST THRACE PLASTICS PACKAGING D.O.O. Jannis Spirakis, Director Cara Dušana 139, 22330 Nova Pazova t.miletic@thraceplastics.co.yu www.thraceplastics.gr TITAN CEMENTARA KOSJERIĆ A.D. Miroslav Gligorijević, Director Živojina Mišića bb, 31260 Kosjerić DFNLPT!UJUBO ST XXX UJUBO ST UNISOFTWARE D.O.O. Apostolos Tritas, Director Jurija Gagarina 49/41, 11070 New Belgrade tritas@unisoftware.net www.unisoftware.net VITEX HERMES D.O.O. Prodromos Eftychidis, Director Kralja Petra I 89, 22330 Nova Pazova vitex-hermes@yubc.net VOJVOĐANSKA BANKA A.D. Marinos Stratopoulos, President of the Executive Board Trg slobode 5-7, 21000 Novi Sad LBCJOFU!WPCBO DP ST XXX WPCBO DP ST YU KANBERA D.O.O. Milan Spremić, Director Slavenski put bb, 35000 Jagodina PGGJDF!ZVLBOCFSB DPN XXX LBOCFSB ST

72 Guide to The International Business Sector / March 2009

Orsolya Szecsenyi, Head of Ofﬁce, Ofﬁce of Economi

Investor Next “The close geographic, cultural and economic understanding of Serbia and Hungary has continued to grow closer”

ccording to Orsolya Szecsenyi, Head of the Hungarian Embassy’s Office of Economic Affairs, “Hungary’s exports to Serbia have shown a steady increase of almost 300% during the past five years”. Szecsenyi’s team believe that Hungarian–Serbian bilateral trade will continue to enjoy the strong support of around 450-500 SMEs. “The latest Statistical Agency of Serbia report shows Hungary ranks as the 8th largest exporter to Serbia.”

How much potential for Hungarian investment in Serbia exists and where does the greatest untapped potential lie? With investments in the Serbian market by Hungarian-based multi-national companies OTP, MOL, Betonut Zrt., as well as Hungarian SMEs, Hungarian companies continue to show a growing interest in, and excitement for, Serbia. In 2005, OTP Bank signed a contract with the Serbian Bank Rehabilitation Agency relating to the acquisition of Niška Banka. In 2006 the acquisition of two additional private banks, Zepter and Kulska, allowed the new jointly-owned entity to achieve an impressive three per cent share of the Serbian market. Additionally, Hungarian petroleum company, MOL, has opened 28 environmentally-friendly fuel stations in Serbia. Another Hungarian company, Betonut – one of the five largest construction companies in Hungary – invested in Serbia in 2007 by taking over 68.13% of tof Valjevo Road Company for €1.57 million, also committing to a social programme and realisation of an investment programme worth €2.73 million. With these long term Hungarian investments and commitments, the NBS reported that Hungary’s foreign direct investment (FDI) in Serbia totals US$500 Million. Hungary is the 9th largest foreign investor in Serbia. What kinds of activities is your office undertaking in an effort to boost bilateral commercial ties? In March 2006, the Office of Economic Affairs of the Hungarian Embassy in Belgrade moved into our new offices, located at Branićevska 13, with the official opening taking place in May 2006. From our new office, we continue to co-ordinate and monitor Hungarian business relations with Serbia. We are proud that during the last year our office quickly and professionally responded (in under 72 hours) to more than 1,000 inquiries (many relating to trade laws) from Hungarian citizens and businesses interested in business relations in and with Serbia. Our office has also jointly organised presentations with Hungarian and Serbian organisations to answer questions and offer information to interested Hungarian entrepreneurs and businesses seeking Serbian business partners and investment details. Great long term commercial benefits to both

HUNGARY c Affairs of the Embassy of Hungary to Serbia

Door

our countries will result from these presentations, where Hungarian and Serbian businesses with similar profiles are introduced to one another. More than 100 individuals and businesses have been represented and introduced at these presentations, with the largest and most successful of these presentations co-ordinated by our office and the Hungarian Investment and Trade Development Agency (ITDH). In the more technical areas and with logistics and media relations, our

“Hungary has been focusing more intensively on the introduction of advanced technologies and innovation” offices regularly introduce prospective Hungarian investors to staff of competent Serbian Ministries and State Agencies, best able to answer their questions. The other dominant event in our bilateral economic relations was the establishing of the Hungarian-Serbian Economic Co-operation Inter-governmental Committee in Belgrade (May 2006), where the Hungarian Serbian Agreement on Economic Co-operation was signed. The third annual meeting of this committee was held in November 2008 in Belgrade. Mutual visits of Ministers and State Secretaries in the ARCADOM A.D. Polacsek Csaba, Manager

Nebojšina 12, 11000 Belgrade 381 63 641845 DTQPMBDTFL!BSDEPN ST XXX BSDEPN DPN TPU COMPANY D.O.O. Kiskaroly Sandor, Director

area of economy, trade, services and agriculture are notable areas of our co-operation. Are existing Hungarian investors satisfied with conditions in Serbia? Serbia has further enhanced it’s investment environment, attracting FDI by granting tax reliefs (low corporate profit tax at 10%, income tax at 12%, customs free import of capital equipment, etc.), promoting investment through subsidies and a favourable legal environment, as well as the 1996 “Most preferred Partner” agreement and the 2001 Agreement on Protection of Investments and Avoiding Double Taxation. Each of these positive, proactive economic actions and signed agreements are certain to guarantee the continued, controlled expansion of the Serbian economy, as well as the attractiveness to Hungarian SME’s of investing in Serbia. How much scope exists for Serbian companies to invest in Hungary? While privatisation is still in progress in other central European countries, Hungary has focused more intensively on the introduction of advanced technologies and innovations in the production of goods representing higher added value. Investment in the automotive sector, research and development, ICT, biotechnology, shared

www.euroteam-doo.co.rs FOREVER LIVING PRODUCTS D.O.O. Branislav Rajić, Director

Kumodraška 11010 Belgrade flpbg@eunet.yu FORNETTI D.O.O.

Glavna 55a, 24300 Bačka Topola timea.ujhazi@tpucompany.com www.tpucompany.com EGROKOR TRADE D.O.O.

Kovacs Gabor, Director

Marija Perović, Director

Derkacs Miklos, Director

Milentija Popovića 30, 11070 New Belgrade egrokorr.t@sezampro.rs EUROTEAM D.O.O.

Đerdapska 3, 21000 Novi Sad medi-co@metrohive.net www.tchibo.de METRO CASH & CARRY D.O.O.

Kerekes Lajos, Director

Glavna 54, 24300 Bačka Topola office@euroteam-doo.co.rs

Hipodromska bb, 24107 Subotica LPOUBLU!GPSOFUUJ ST XXX GPSOFUUJ ST MEDICO D.O.O.

Veronika Ivanova, President of the Board of Directors

Autoput za Novi Sad 120, 11080 Belgrade

services operations and logistics has become especially attractive. Today, not only have a number of the largest multinational manufacturers and service providers established their facilities in Hungary, their major international suppliers have also come and brought along their subcontractors. Currently, there are more than 30,000 companies operating with foreign participation in Hungary and nearly half of foreign investments in Hungary have been cumulated in the manufacturing sector. Today FDI spreads more evenly among sectors in Hungary than in other countries in the region: Trade: 10.1%; Transport, telecom: 9.9%; Finance: 10.5%; Business services: 16.8%; Food: 5.2%; Chemical: 5.7%; Electronics: 8.8%; Automotive: 10.9%. In 2008, due to the global financial crisis, both the inflow and the number of new projects decreased by about 30%.

QS!NFUSP DD DP ZV XXX NFUSP DD DP ZV MOLINTERMOL D.O.O. Zoltan Michael Takacs, Director

Oml. brigada 88/V, 11070 New Belgrade www.intermol.co.yu QUALYSOFT INFORMATICS D.O.O. Svetozar Lazarevski, Director

Bulevar Mihajla Pupina 10ž/II, 11070 New Belgrade svetozar.lazarevski@qualysoft.com www.qualysoft.rs RICHTER GEDEON NYRT

Dr George Bobovos, Director

Hadži Milentijeva 33, 11000 Belgrade nkrsmanovic@trigranit.com www.trigranit.com UNIX AUTO D.O.O. Tot Roberts, Director

Jovana Mikića 18, 24000 Subotica JOGP!VOJYBVUP ST XXX VOJYBVUP ST VALJEVOPUT A.D. Svetislav Popović, Director

Birčaninova 128/V, 14000 Valjevo WBQVU!QUU ZV www.valjevoput.co.yu GOODWILL PHARMA D.O.O.

Novak Tibor, Director

Zoltan Tamas, Director

Vladimira Popovića 6, 11070 New Belgrade JOGP!SJDIUFS ST XXX SJDIUFS IV TRIGRANIT D.O.O.

Matije Gupca 5, 24000 Subotica office@goodwillpharma.co.yu www.goodwillpharma.co.yu

March 2009 / Guide to The International Business Sector 73

INDIA

Genuine Pot “Many Indian companies have now become outward looking. Indeed, in 2007 India recorded more outward direct investments than incoming FDI for the ﬁrst time.” H.E. Ajay Swarup, Indian Ambassador to Serbia

“…the Kragujevac Regional Chamber of Commerce is planning to take a delegation to India next month. Hopefully such exchanges will increase.”

“Serbian products would be readily accepted on the Indian market, but somebody has to make an effort to familiarise Serbian products with the Indian importers and consumers.”

conomic links between Serbia and one of the world’s fastest emerging economic powers, India, are not what they once were. To get the lowdown on commercial relations between Belgrade and Delhi, we spoke to H.E. Ajay Swarup, Indian Ambassador to Serbia.

How would you describe current levels of economic co-operation between Serbia and India? Our commercial interaction has developed very well over the last few years, but it is nowhere near the real potential and I wouldn’t say I’m satisfied. There is a lot of scope for improvement. I think the primary reason we’re not seeing the proper levels is that strong business connections existing earlier between our two countries were broken during the 1990s. Prior to that, Indian and Yugoslav companies enjoyed very close links. A number of Serbian construction companies completed projects in India during the 1970s and ‘80s and even the master plan for the township of New Calcutta was developed by a Serbian architect, Dobrivoje Tošković. Now it is taking a long time for these old links to be re-established and I think businesses here are guilty, perhaps quite naturally, of paying more attention to the countries of the region and the EU. They are not

74 Guide to The International Business Sector / March 2009

looking much beyond those markets, even though there is good potential for Serbian products in India. Serbian products would be readily accepted on the Indian market, but somebody has to make an effort to familiarise Serbian products with the Indian importers and consumers. You think there’s a general lack of awareness among Serbian businesses of the potential of the Indian market and the growing consumer power? Exactly. I think Serbian businesses are making a mistake by not paying serious attention to the Indian market, especially at this time when Western markets are shrinking as a result of the economic downturn and producers can find a ready market in India. The same goes for Indian companies that have perhaps overlooked this region. Speaking to businessmen from the processed food industry in Serbia, I have mentioned that some of their meat and other products could do very well in India. There are a great variety of processed food products being produced here locally and many Indian supermarkets are looking for just these kinds of products. There’s a real chance for Serbian producers, provided a little effort is first made to study the specific requirements of the Indian market.

“Some Indian businesses have been looking at the prospects of setting up production and manufacturing facilities in a number of sectors in Serbia...”

Do you think this could be helped by the organising of more delegations and fact-finding missions in both directions?

INDIA

ential More interaction between our respective business people would help greatly. With that in mind, the Kragujevac Regional Chamber of Commerce is planning to take a delegation to India and hopefully such exchanges will increase. We need to see more bilateral meetings and more mutual participation in trade fairs and business events. India’s biggest investment in Serbia is represented by the Embassy Group’s planned construction of an IT park in Inđija. Is this investment going ahead, despite the crisis, and is it likely to lead to the arrival of more Indian investors? To the best of my knowledge, the project is ‘on’ and the land will be made available this autumn, which is when implementation of the project will start. This is a huge project that will be implemented in phases. I think the first phase will involve construction of around 25,000m2 of office space for software companies and then the development will continue phase by phase. I’m quite sure that more Indian investments will be forthcoming once this development gets underway. Which sectors of the Serbian economy are of most interest to Indian companies? Some Indian businesses have been looking at the prospects of setting up production

AMALGMATIONS LIMITED REPRESENTATIVE OFFICE V.P.Ahuja, director Ivankovačka 24/1 11000 Belgrade ahuja@eunet.yu www.amalgmationsgroup-eu.com PRIYADARSHI EXPORTS Elizabet Kurdijan, director Kapetana Radića Petrovića 35 11000 Belgrade 381 11 3196134 381 11 3196134 kurdijan@eunet.yu ARVIND MILLS LTD. Miodrag Drašković, director Vojvode Brane 30 11000 Belgrade drbros@yubc.net

A number of Indian I.T. companies have set up facilities in this region and manufacturing facilities in Serbia in a number of sectors – from vehicle upholstery to paper mills to even Serbian mines. To what extent have Indian companies invested in other countries of the region? A few Indian manufacturers and I.T.

HARDGATE HOLDINGS LTD. Ramgopal Narayanan, director Dedinjska 10 11000 Belgrade hardgate@sbb.co.yu KROKUS d.o.o. Dragoslav Bisenić, director 11316 Golobok Smederevska Palanka krokus@beotel.yu www.krokus.rs ENGLISH SCHOOL OF BUSINESS Milica Janković, director Zmaj Jovina 4/III, 11000 Belgrade JOGP!FTC FEV ZV XXX FTC FEV ZV FFB KOMERC  MARUTI CARS & CARSPARTS Zoran Kijac, gen.director

companies have set up facilities in this region, in places like Bucharest and Budapest for instance, while Indian investments have also been made in Bosnia & Herzegovina, Bulgaria, Croatia and Montenegro. This region is certainly on the radar of Indian companies.

Žoroža Klemansoa 19 Belgrade GGCLPNFSD!TCC ST XXX GGCLPNFSD DP ST MEDICO UNO Fedor Herceg Terzić, director Pančevački put 38 11120 Belgrade office@medicouno.rs www.medicouno.com A LEK Aleksandar Janković, director Golsvortijeva 4 11000 Belgrade svaj@sezampro.rs INTERMOTORS Ilija Najdeski, director Gundulićev venac 56/II 11000 Belgrade

intermotors@eunet.rs www.intermotors.co.yu UTI d.o.o. Ljiljana Lazić, director Cara Uroša 17 11000 Belgrade uti.zvonce@sbb.rs FSF GROUP  INDIJSKA KUĆA Gagan Kishore Srivastava, director Jaroslava Čermaka 18/20 11080 Zemun info@indijskakuca.com www.indijskakuca.com AJURVEDA d.o.o. Zorica Starčević, director Belgradeska 87 11224 Vrčin 381 11 2141062 JOGP!BKVS WFEB ST XXX BKVS WFEB ST

March 2009 / Guide to The International Business Sector 75

ISRAEL

Growth amid the slo “There is a problem of an unnecessarily complex bureaucratic procedure that any foreign investor has to go through, but the Serbian government is fully aware of the need to simplify the process...”

“I have just received bilateral trade data for the ﬁrst 11 months of 2008, which shows growth of over 20% in the overall mutual trade…” H.E. Arthur Koll, Ambassador of the State of Israel to Serbia

“I’d like to see joint ventures between Israeli and Serbian businesses working together for the development of export-oriented manufacturing capacities.”

ilateral trade between Israel and Serbia has shown substantial year-on-year growth of late, while Israeli companies have invested in numerous sectors in Serbia over recent years. However, Israeli Ambassador to Serbia, H.E. Arthur Koll, believes that, though the level is “good and improving” it is still “far from reaching its potential”. Israeli investors have invested significantly in Serbia’s real estate sector over recent years. Is this a sector in which Israel has specific expertise; and have Israeli companies made similar such investments elsewhere in the region? It should be noted that Israeli investments in Serbia are not uniquely in the Real Estate sector. Other important investments include: DONCAFE, in the manufacturing area, HOME CENTER, in retail, KAVIM and GRAND MOTORS, in transportation, and the latest acquisition in chemicals by MAHTESHIM AGAN. Furthermore, in 2008 we witnessed very significant growth in Israeli investments in the development of retail, particularly outside the city of Belgrade. Most of those are in the initial stages of planning and licensing, while others are already under construction, such as Plaza Kragujevac. However, it is true that the Israeli presence in the Serbian Real Estate sector is noteworthy. It dates back to the beginning of this decade and its volume is proba-

76 Guide to The International Business Sector / March 2009

bly the largest among the foreign investments in this field. It is in fact an area in which Israeli companies have been active throughout Central Europe since the beginning of the 1990’s, which has also spread to Western Europe, North America, India and the Far East. Actually, the entry of Israeli companies to Serbia was delayed due to the country’s instability in the 1990’s – a time when Israel was already significant in neighbouring Central European countries. How would you describe current levels of economic cooperation between Serbia and Israel? The level of cooperation is good and improving, yet it is far from reaching its full potential. I have just received the bilateral trade data for the first 11 months of 2008, which shows growth of over 20 per cent in the overall levels of mutual trade and, more importantly, this growth is in both directions. This figure is good, particularly since in the last months of 2008 one could already sense the impact of the global economic slowdown. There is no reason to be satisfied, but rather to continue and work hard on further growth. In particular, I’d like to see joint ventures between Israeli and Serbian businesses working together for the development of export-oriented manufacturing capacities. This field of co-operation has not yet been seriously explored and to this end I would very much like to see business delegation visits in both directions in

“I would definitely recommend that Israelis look favourably at Serbia as an investment destination. There are sectors that undoubtedly will grow”

ISRAEL

owdown the current year. How do existing Israeli investors in Serbia consider the conditions on the local market at present; are they happy or have they lodged complaints through the embassy? Israeli businesses believe in Serbia as a destination for investment. There is confidence in the potential of the country and its’ desire to overcome the gap between Serbia and developed European economies. There is no doubt that there is a problem of an unnecessarily complex bureaucratic procedure that any foreign investor has to go through, but it should be noted that the Serbian government is fully aware of the need to simplify the process and ministries are showing by example that it can be done. What advice would you give to an Israeli business considering an investment in Serbia at this time? I would definitely recommend that Israelis look favourably at Serbia as an investment destination. There are sectors that undoubtedly will grow, such as infrastructure, energy, clean technologies, retail and more. I would also recommend investing in the manufacturing sector, thereby taking advantage of the quality of Serbia’s human resources and its trade agreements, particularly with Russia and soon with the EU. One area which is problematic, at this time at least, is securing finance for any foreign investment. This is not unique to Israeli businesses, but rather to any investor. One can only hope that banks will once again provide the necessary flow of financing without which the econ omy will stagnate.

AIRPORT CITY BELGRADE Gil Dekel, President Omladinskih brigada 88, 11070 New Belgrade office@airportcitybelgrade.com www.airportcitybelgrade.com ADIRAH d.o.o. Vlada Veličković, Director Narod. heroja 63, 11070 New Belgrade devorah@ravpharm.com www.adirah.rs ALVARION ltd Vladan Petrovic, cont.pearson vladan.petrovic@alvarion.com www.alvarion.com AVITAL d.o.o. Meir Avital, Director Cara Dušana 48, 11000 Belgrade office@avital.rs www.avital.rs CAPITAL INVESTMENT AND CON SULTANCY d.o.o. David Ericson, Director Vojislava Vučovića 5, 11000 Belgrade capitalinvestment@sbb.co.yu office@capitalinvestment.co.rs CEE - BIG Robert Yahav, Director Bul. Dr Zorana Điniđića 64a, 11070 New Belgrade robert.yahav@gmail.com www.cee-group.hu DIRECT CAPITL S d.o.o. Sammy Gal, Director Krunska 7B/5, 11000 Belgrade sammy@bap.co.il www.bap.co.il STRAUSS ADRIATIC Milan Petrović, Director Miloša Obilića 41, 22310 Šimanovci o.bojadzic@strauss-group.rs www.strauss-group.rs GTC BUSINESS PARK d.o.o. Ines Radović, Director Vladimira Popovića 38-40, 11070 New Belgrade office@gtcserbia.com www.gtcserbia.com GRAND MOTORS Stanko Radić, Director Milutina Milankovića 21,

11000 Belgrade stanko.radic@ford.rs www.ford.rs GSC SYSTEMS Dušan Gvozdenović, Director Internacionalnih brigada 18. 11000 Belgrade dgvozdenovic@gsc-systems.co.yu www.gsc-systems.co.yu HOME CENTER Shemi el Halal, Director Bul. Vojvode Mišića 12, 11000 Belgrade desk@homecenter.rs www.homecenter.rs

NETWORK CO ad Ivan Trifunović, Director Velizara Kosanovića 2, 11000 Belgrade office@network.co.yu www.netvwork.co.yu OMEGA Informatički inženjering Miloje Todorović, Director Tošin Bunar 268, 11070 New Belgrade omegainfing@gmail.com www.omegaing.rs PLAZA CENTERS Sagiv Meger, Director Vladete Kovačevića 14, 11000 Belgrade office@plazacenters.rs www.plazacenters.com

KAHOL LAVAN d.o.o. Yeuda Ochana, Director Cara Dušana 38, 21000 Novi Sad info@kahol-lavan.com www.kahol-lavan.com

RAMOT ELRAM MANAGEMENT ltd Daniela Stojmanovska, Director Resavska 28/6, 11000 Belgrade ramot@ptt.rs www.ramot.biz

KOMPANI DIGITV Miroslav Janković, Director Nušićeva 15, 11000 Belgrade info.digitv@kompani.com www.kompani-digitv.com

TAHAL d.o.o. Miloš Švarc, Director Vladete Kovačevića 2a, 11000 Belgrade PGGJDF!UBIBM ST XXX UBIBM ST

LIVNICA PRECIZNIH ODLIVAKA a.d. Aleksandar Mišković, Director 29. Novembar bb, 24430 Ada preccast@lto.rs LUXEMBOURG d.o.o Nikola Baroš, Director Narodnog fronta 73b, 21000 Novi Sad nikola@luxembourg.co.yu www.luxpam.com MAESTRO JEWELLERY d.o.o. Anat Pišot, Director Vladimira Popovića 10, 11000 Belgrade office@maestro.co.yu www.maestro.co.yu MAGAN YU D.O.O. Katica Halbrohr, Director Petra Drapšina 4, 24000 Subotica katica.halbrohr@magan.co.yu www.magan.co.yu MEDICOM d.o.o. Milan Jovanić, Director Pocerska 3, 15000 Šabac office@medicom.co.yu www.medicom.co.yu

TELEGROUP d.o.o. Goran Nahmijas, Director Svetozara Miletića 9a, 11000 Belgrade office@telegroup-ltd.com www.telegroup-ltd.com TERI ENGINEERING Tesa Fuks, Director Jurija Gagarina 153a, 11000 Belgrade tesaf@terieng.rs www.terieng.rs VLATACOM d.o.o. Vladimir Cizelj, Director Dunavska 7, 11080 Zemun office@vlatacom.com www.vlatacom.com ŽAD PHARMACIA d.o.o. Vesna Dimitrios gen.Director Slobodna zona Viline Vode bb, 11000 Belgrade pharmaciazad@beotel.yu www.pharmaciazad.com ZU APOTEKA RAVPHARM Devora Veličković, Director Narodnih heroja 63, 11070 New Belgrade devorah@ravpharm.com www.ravpharm.com

March 2009 / Guide to The International Business Sector 77

ITALY Fabio Corsi, Director of the ofﬁce of the Italian Institute for Foreign Trade (I.C.E., Istituto nazionale per

LONG TIME PART “Serbia is a fast-growing market and Italian investors recognise it as having great potential.”

he past decade has seen Italian investors arrive en masse in Serbia. From small textile companies to major banks, over 200 Italian companies are now operating on the Serbian market. To get the lowdown on trade and investment between the two countries, we spoke to the office of the Italian Institute for Foreign Trade in Belgrade. Italians are among the top investors in, and traders with, Serbia. How is this cooperation manifested? Economic co-operation between Serbia and Italy is very strong; Italy remains a top commercial partner of Serbia, both in terms of exports and imports. Unlike some other countries, like Russia – which exports mainly oil and gas – Italy has a very diversified portfolio of products and the co-operation ranges over a wide variety of sectors: from clothing and machinery, to food, raw materials, vehicles, etc.

“Perhaps more Italian companies will feel the need to move away and seek more favourable conditions abroad, which could create new opportunities for emerging markets like Serbia’s”

Which sectors of the Serbian economy are of the most interest to Italian investors and where does the greatest untapped potential lie? Historically, looking at the past five or ten years, I would have to emphasise two major distinct groups of investments: clothing/ footwear, on the one hand, and the financial sector on the other. These sectors certainly deserve the highest mark, especially wiyh Italian banks covering a quarter of the Serbian banking sector and our insurance companies controlling 44% of the insurance sector. The arrival of FIAT, IVECO and Magneti Marelli clearly indicates the importance and potential of the Serbian industrial sector, particularly the automotive branch. Today, we have over two hundred Italian companies operating in Serbia and their combined turnover is estimated at €2.4 billion. Our office, however, provides infor-

“…there are some problems that investors have to face – mainly related to certain procedures and regulations that are not yet fully harmonised with EU directives”

Are existing Italian investors in Serbia satisfied with conditions on the local market or have they identified specific areas requiring improvement? The number of Italian companies operating in Serbia and their turnaround is a strong indicator that they are satisfied with the overall business climate in Serbia. On the other hand, there are some problems that investors have to face – mainly related to certain procedures and regulations that are not yet fully harmonised with EU directives – although I would have to say that there has been a noticeable degree of progress in the

78 Guide to The International Business Sector / March 2009

recent past. Problems include some technical standards, custom procedures and a lack of efficient infrastructure in some areas of the country, to name but a few. There are many procedures that have not yet been approved by the Parliament, such as the bylaws that regulate the energy sector, for example, and some government agencies and bodies have been established but are not yet fully functional, while the right of land ownership issue has not yet been fully resolved. We have also seen huge improvements in the company registration and administration area, while the unilateral implementation of the EU trade agreement is a strong indicator of the political and economical will to continue developing the market.

ITALY il Commercio Estero) in Belgrade

NERS mation, intelligence and services to a variety of Italian companies from virtually every business area on a daily basis. These include agriculture, ICT, energy, infrastructure, services, etc. Serbia is a fast-growing market and Italian investors recognise it as having great potential. It should be noted that other sectors, such as clothing, the food & drinks industry and furniture product have traditionally been very interesting for our companies, as they are today. The present level of co-operation will certainly be raised to a higher level. Is the global financial crisis affecting levels of trade and investment between Serbia and Italy and, if so, to what extent? It is still hard to say and make any predictions. Serbia is not an isolated country and some signs of the global crisis are already becoming evident. The Government, on the other hand, is very active at stimulating the business sector, especially foreign direct investments. Perhaps more Italian companies will feel the need to move away and seek more favourable conditions abroad, which could create new opportunities for emerging markets like Serbia’s, which has already showed that is capable of attracting huge companies. Recently we met with a delegation of Italian companies operating in Bulgaria. They are seriously considering the potential of the Serbian market and the Serbian business environment. What efforts are you exerting in order to boost trade and investment levels; and how deeply are you collaborating with Serbia’s institutions and various business associations? The Italian Institute for Foreign Trade (I.C.E., Istituto nazionale per il Commercio Estero) is the Italian government agency entrusted with the promotion of trade, business opportunities and industrial cooperation between Italian and foreign companies. It supports the internationalisation of Italian firms and their consolidation in foreign markets. As such, we are co-operating on a daily basis with the Serbian institutions: the Chamber of Commerce, SIEPA and others. We are long time partners with the Serbian Chamber of Commerce and we frequently carry out joint programmes, events, missions and B2B meetings. We are currently implementing a programme with the Dante Alighieri society, aimed at training the representatives of Serbian institutions. After studying an Italian language course, the trainees will be able to spend some time in Italy completing a study tour where they can specialise in skills like internationalisation, joint-ventures, partnerships and other topics.

GUIDE TO THE

SERBIAN BANKING & FINANCIAL SECTOR 2009 The annual Guide to the Serbian Banking & Financial Sector 2009, published by alliance international media, has gained renown both at home and abroad as the most comprehensive yearly publication covering the Serbian financial sector. This year, once again, the Guide will be distributed into the hands of economic and financial leaders and is the only publication from Serbia to be included in the official programme of the EBRD annual Conference Business Forum. The Guide is already recognised as a high reference publication offering reliable and useful information on the transformations, acquisitions, plans and programmes of every bank operating in Serbia . In addition, the Guide provides all contacts and necessary information pertaining to the main banking organisations in Serbia.

For further information, please contact alliance international media m.urosevic@cma.rs March 2009 / Guide to The International Business Sector 79

ITALY AGB Nielsen Media Research d.o.o. Darko Broćić, Director Gavrila Principa 8, 11000 Belgrade drako.brocic@agbnielsen.net www.agbnielsen.net AGRIROMAGNA d.o.o. Atila Tot, Director Maršala Tita 49, 24321 Mali Iđoš agriromagna@neobee.net www.agm.co.yu AGROMEHANIKA AC d.o.o. Ljiljana Mlinarić, Director Miroslava Prodanovića 4, 21000 Novi Sad ljilja@agromehanika-ac.co.rs www.agromehanika-ac.co.rs AGROPRODUKT a.d. Janoš Palatinuš, Director Cara Dušana 12, 23112 Zrenjanin agroprodukt@ptt.yu ALIDEA d.o.o. Aleksandar Prvulj, Director Pančevački put 44, 26232 Starčevo JOGP!BM JEFB DP ST XXX BM JEFB DP ST ASKA a.d. Gianpietro Lorenzetti, Director Vrbaski put 1, 25230 Kula aska.kula@gmail.com ATEKS a.d. Marko Ćulibrk, Director Milorada Jovanovića 9, 11000 Belgrade mculibrk@ateksbg.com www.ateksbg.com ATTICA MEDIA SRBIJA d.o.o. Massimo Monti, Director Kozjačka 2, 11000 Belgrade office@atticamedia.rs www.atticamedia.co.yu AUTOSAB BG d.o.o. Dušan Bogojević, Director Stevana Prvovenčanog 28, 11000 Belgrade dusan@autosabbg.co.yu www.autosabbg.co.yu AZIRA FASHION d.o.o. Alessandra Monici, Director Industrijski put bb, 21400 Bačka Palanka 381 21 750938 aziraf@nadlanu.com BANCA INTESA a.d. Draginja Đurić, contact Milentija Popovića 7b, New Belgrade korporativnekomunikacije@bancaintesabeograd.com www.bancaintesabeograd.com BENVENTO UMS d.o.o. Antonio Carbone, Director Dragiše Mišoviča 199, 32000 Čačak 381 32 375300

benvento@nadlanu.com www.benvento.co.yu BEOCOLOR d.o.o. Gilberto Plahuta, Director Knez Mihailova 2, 11000 Belgrade 381 11 3284035 PGGJDF!CFOFUUPO ST XXX CFOFUUPO DPN BEOSANUS d.o.o. Adela Vuković, Director Osmana Đikića 1, 11000 Belgrade PGGJDF!CFPTBOVT ST XXX CFPTBOVT ST BEOTUBI d.o.o. Vlado Kovačević, Director Bl. Mihaila Pupina 11, 11000 New Belgrade 2120013 office@beotubi.rs BOREA PARTY d.o.o. Miljan Jakšić, Director Banatska 28d, Zemun simpo@boreaparty.co.yu www.boreaparty.co.yu CHAMPICOMP d.o.o. Valentino Sartor, Director Kralja Petra I 2a, 26229 Pločica info@champicomp.co.yu www.champicomp.co.yu CINECCITA d.o.o. Piero Amati, Director Kneza Višeslava 88, 11000 Belgrade production@film87.com www.film87.com Coopservice BMK d.o.o. Bogdan Mamuzić, Director Svetosavska 9, 22300 Stara Pazova bmamuzic@neobee.net www.coopservice.com COSSUTTA GROUP d.o.o. Erich Cossutta, Director Svetogorska 22, 11000 Belgrade info@cossutta.com www.cossuttagroup.com DAFAR d.o.o. Petar Šalević, President of the Board of Directors Ečanski drum 3, 231000 Zrenjanin dafarzr@gmail.com DAL DEGAN MORAVA d.o.o. Antonio Dal Degan, Director Kralja Aleksandra Obrenovića bb, 37230 Aleksandrovac info@daldeganmorava.com www.daldeganmorava.com DAMM Management & Marketing d.o.o. Franco Delneri, Director Reljina 4, 11000 Belgrade franco.delneri@gmail.com DDOR Novi Sad Darko Botić, Gen.Director Bul.Mihaila Pupina 8, 21000 Novi Sad EEPS!EEPS DP ST XXX EEPS DP ST

80 Guide to The International Business Sector / March 2009

DEAMAM - SB d.o.o. Raffaele Romolo, Director Oraška 60, 11320 Velika Plana info@deamasb.rs www.deamasb.rs DEKOTRA INŽENJERING d.o.o. Vladimir Šekrevski, Director Mekenzijeva 53, 11000 Belgrade PGGJDF!EFDPUSB ST XXX EFDPUSB ST DELTA AUTOMOTO d.o.o. Miloš Petrović, Gen. Director Omladinskih brigada 33a, Belgrade BVUP!EFMUBZV DPN XXX EFMUBZV DPN DELTA GENERALI OSIGURANJE a.d.o. Nebojša Divljan, Director Milentija Popovića 7b, 11000 Belgrade nebojsa.divljan@deltagenerali.rs www.deltagenerali.rs DUNAV a.d. Stefano De Sabata, Director Trg Oslobođenja 9, 25260 Apatin CJMKBOB EVOBW!DSBCP JU XXX DSBCP JU EBC d.o.o. Marina Radisavljević, Director Bul. AVNOJ-a 12ž, 11173 New Belgrade FCDEPP!TDOFU ZV XXX FCDOFU JU ECOAGRI SERBIA a.d. Milosav Šupić, Gen. Director Sonje Marinković bb, 26340 Bela Crkva PGGJDF!FDPBHSJ ST XXX FDPBHSJ ST ELEKTROREMONT a.d. Carmine Tarallo, Director Ivana Meštrovića 2, 24000 Subotica c.tarallo@elektroremont.co.rs www.elektroremont.co.rs EUROCOOD d.o.o. Galasso Domenico, Director Knez Milošev venac 18, 12000 Požarevac EUROEDIL d.o.o. Milorad Matić, Director Dimitrija Tucovića 2, 36000 Kraljevo euroedil@ptt.yu EUROIN d.o.o. Antonio Cagiano, Director XXV Nova 73, 11277 Ugrinovci euroindoo@yahoo.com EVRO GIUNTI d.o.o. Novica Jevtić, Director Dimitrija Tucovića 41, 11000 Belgrade office@evro-giunti.com www.evro-giunti.com FABRIKA ŠEĆERA TETO a.d. Ljubiša Radenković, Director Karađorđeva bb, 24400 Senta office@secerana-senta.co.rs www.secerana-senta.com

FALC EAST d.o.o. Davor Veličkovski, General Manager Lole Ribara 26, 19350 Knjaževac davor.velickovski@falc.biz www.falc.biz FANTINI SCIANATICO BALKAN d.o.o. Stoja Milićević, Director Milutina Milankovića 23, 11070 New Belgrade info@fantiniscianatico.rs www.fantiniscianatico.rs FARMAN d.o.o. Milan Keleuva, Director Takovska 45, 11000 Belgrade farman@sbb.co.yu FARMAN SAPORI d.o.o. Radoslav Ristić, Director Serdar Jola 17a, 11000 Belgrade office@farmansapori.rs www.farmansapori.rs FGM Trudbenik d.o.o. Zoran Petrović, Director Milutina Milankovića 23, 11070 New Belgrade USVEVC!QUU ST XXX USVECFOJL ST FINDOMESTIC BANKA a.d. Eric Blanchetete, Presidnet of the Executive Board Kosovska 10, 11000 Belgrade office@findomestic.rs www.findomestic.rs FILM ‘87. d.o.o. Piero Amati, Director Kneza Višeslava 88, 11000 Belgrade 381 11 3549149 production@film87.com www.film87.com FIM d.o.o. Marija Tripolski, Director Put N. heroja 12, 24420 Kanjiža PGGJDF!GJN DP ST XXX GJN DP ST FINNOWEST d.o.o. Dragan Jakovljev, Director Bul. Kralja Aleksandra 332a, 11000 #FMHSBEF info@innotrade.co.rs www.innotrade.co.rs FULGAR EAST d.o.o. Adolfo Carlo Perosi, Director Jevrejska 12, 23000 Zrenjanin adolfo.perosi@fulgareast.rs www.fulgar.com FUNNY SHOES d.o.o. Stefani Giulio, Director Ilije Garašanina 33/5, 11000 Belgrade topshoes@eunet.rs GB Project Development - Cooperativa Ceramica D’Imola Saša Veselinović, Director Dunavski kej 8, 11000 Belgrade

ITALY 381 11 2928713 s.veselinovic@front.rs www.imolaceramica.it GRADAC FAVRO a.d. Milisav Slabić, Director Đerdapski put bb, 19320 Kladovo GRUPPO FIORENTINO d.o.o. Fiorentino Nutricato, Director Orašački put bb, 16210 Vlasotince gfiorentino@ptt.rs www.gruppofiorentinoitalia.it Home Furniture Casa Italia d.o.o. Ljubica Ivić, Director Slobodna zona bb, 21400 Bačka Palanka casa-italia@nspoint.net IC & Partners d.o.o. Roberto Corciulo, Director Čika Ljubina 11, 11000 Belgrade icbg@beotel.net www.icpartnersbelgrade.com INTERLOG d.o.o. Erich Cossutta, Director Svetogorska 22, 11000 Belgrade office@interlog.co.yu www.interlog.co.yu INTERSTONES d.o.o. Zorica Miletić Topalović, Director Karađorđeva 17/2, 34000 Kragujevac interstones@nadlanu.com www.zenithc.com ITS Balkan d.o.o. Eddio Molent, Director Svetogorska 35/2, 11000 Belgrade JUTCBMLBO!FVOFU ST XXX JUTCBMLBO ST Iveco S.P.A. Predstavništvo Miloš Lalović, Director Otokara Keršovanija 2, 11000 Belgrade milos.lalovic@iveco.rs www.iveco.rs KIJEVO d.o.o. Darko Višnjić, Director Oslobođenja 52-57, Belgrade JOGP!LJKFWP DPN XXX LJKFWP DPN KOMORA ITALIJANSKOSRPSKIH PRIVREDNIKA Vincenzo Divella, Director Knez Mihailova 47, 11000 Belgrade ital-yu@eunet.rs www.camera-italo-serba.rs LASER BALKAN d.o.o. Lino Fraron, Director Dunavac 1, 12208 Kostolac info@laserbalkan.co.yu www.laserbalkan.co.yu LEGNO PIU d.o.o. Nenad Miljković, Director Studenička 17, 18000 Niš 381 18 214677 nenad@legnopiutrento.com www.legnocase.com

M.C.D. d.o.o. Antonio Castagnaro, Director Kralja Petra I bb, 12220 Veliko Gradište mcdserbia@yahoo.com MIN LOKOMOTIVA a.d. Srđan Radenković, Acting Director Šumadijska 1, 18000 Niš lokomotiva@bankerinter.net MIN VAGONKA a.d. Zefir Bašić, Director Šumadijska 1, 18000 Niš minvag@bankerinter.net MODITAL TRADE d.o.o. Milorad Pavićević, Director Surčinska 11f, 11077 New Belgrade jelena.jevtic@pompea.com www.pompea.rs MODITAL MANUFACTURING d.o.o. Dragan Ranisavljević, Director Industrijska zona bb Bagljaš, 23000 Zrenjanin www.pompea.com MOKINT S d.o.o. Matteo Apollonio, Director Knez Mihailova 2, 11000 Belgrade PGGJDF!NPLJOU ST XXX NPLBSBCJB DPN MONTAGNA SM d.o.o. Milan Lalošević, Director Simina 21, 11000 Belgrade office@montagna.co.yu www.montagna.co.yu OMNIAPACK d.o.o. Dragan Jakovljev, Director Industrisjka zona bb, 23272 Novi Bečej scukilo@omniapack.co.rs www.omniapack.co.rs PANGEA RE d.o.o. Thomas Weis, Director Despota Đurđa 13, 11000 Belgrade thomas.weis@pangea-re.com www.pangea-re.com POMETON TIR d.o.o. Čedomir Dumitrašković, Director Đorđa Vajferta 20-22, 19210 Bor pometontir@ptt.rs www.pometon.com PD POTIS a.d. Želimir Radović, Director Čede Vasovića 39, 12000 Požarevac potispoz@ptt.rs PROGETTI d.o.o. Romano Rossi, Director Kneza Miloša 79, 11000 Belgrade 381 11 3628750 381 11 3628750 lok.3 reception@eastwest.it www.eastwest.it PROLETER a.d. Bernhard Josef Wilhelm Kampshoff, Director

Milinka Kusića 108, 32250 Ivanjica proleter@neobee.net RE DI QUAGLIE d.o.o. Conte Pietro Arvedi D’Emilei, Director 25000 Doroslovo rdq@eunet.yu www.rediquaglie.com REGIONE EMILIA ROMAGNA Luka De Pietre, President Gospodar Jevremova 39, 11000 Belgrade rerbelgrado@beotel.net www.regione.emilia-romagna.it SAMER & CO. DUNAV AGENCIES d.o.o. Svetislav Jurišić, Director Bul. Mihaila Pupina 10e, 11070 New Belgrade mail@samerdunav.com www.samer.com/belgrado SIGAS d.o.o. Cesare Pillon, Director Nikola Pašića 2, 31210 Požega 381 31 715440 PGGJDF!TJHBT ST XXX TJHBT ST SLODES d.o.o. Snežana Ivanović, Director Borska 92f, 11000 Belgrade 381 11 3591358 PGGJDF!TMPEFT ST XXX TMPEFT ST ŠPIK IVERICA d.o.o. Milić Spasojević, Director Venijamina Marinkovića 139, 32250 Ivanjica m.spasojevic@iverica.co.yu www.iverica.co.yu ŠPIK MORAVA d.o.o. Milić Spasojević, Director Venijamina Marinkovića 139, 32250 Ivanjica m.spasojevic@iverica.co.yu www.iverica.co.yu ŠPIK NAPREDAK d.o.o. Milić Spasojević, Director Venijamina Marinkovića 139, 32250 Ivanjica 381 32 663320 m.spasojevic@iverica.co.yu www.iverica.co.yu TRGOSISTEM d.o.o. - Italiana Salotti Željko Mohun, Director Južnomoravskih brigada bb, 17542 Vranjska Banja trgosistem@sezampro.yu www.italianasalotti.it VALY d.o.o. Vitaly Novokhatskiy, Director Beloševac bb, 14000 Valjevo v.novokhatskiy@goldenlady.it

VOLKSBANK a.d. Axel Hummel, Gen. Director Bul. Mihaila Pupina 165g, 11070 Novi Beograd office@volksbank.co.yu www.volksbank.co.yu VECAR VILJUŠKARI d.o.o. Dragan Srdić, Director Svetozara Papića 2, 11186 Zemun office@vecarviljuskari.com www.vecarviljuskari.com VERSIL LEGNO d.o.o. Nebojša Kaljević, Director Dragomira Mike Milovanovića 63, 11000 Belgrade versil@beocity.net www.versillegno.co.rs ZASTAVA AUTO d.o.o. Zoran Bogdanović, Director Kosovska 4, 34000 Kragujevac z.bogdanovic@automobili.zastava.net www.automobili.zastava.net ZASTAVA KAMIONI d.o.o. Đorđe Nestorović, Director Trg topolivaca 4, 34000 Kragujevac office@zastava-kamioni.co.yu www.zastava-kamioni.co.yu ZANNINI EAST d.o.o. Pera Todorović, Director Beogradski put bb, 26300 Vršac pera.todorovic@zannini.it www.zanini.it ZELENA DRINA d.o.o. Radojica Petrović, Director Milana Obrenovića bb, 31250 Bajina Bašta elsakg@yahoo.com www.crabo.it ZLATIBOR MERMER a.d. Dragan Milojević, Director Pekarska bb, 31000 Užice mermerue@gmail.com ZONA INDUSTRIALE ITALIANA d.o.o. Nebojša Kaljević, Director Bože Jankovića 17, 11000 Belgrade zonaii@verat.it, nkaljevic@versillegno.co.yu www.zonaii.com UNICREDITBANK SRBIJA a.d. Klaus Priverschek, Director Rajićeva 27-29, 11000 Beograd office@unicreditgroup.rs www.unicreditgruop.rs UNICREDIT LEASING Srbija d.o.o. Belgrade Joachim Ahrer, Vladimir Šijaković, members of the Board Bul.Mihaila Pupina 165E, Belgrade office@unicreditleasing.rs www.unicreditleasing.rs

March 2009 / Guide to The International Business Sector 81

JAPAN Hiroyuki Yamashita, Embassy of Japan in Belgrade

HIGH POTENTIAL “...for Japanese companies to expand to Europe, it is important to secure production bases in countries geographically close to the EU and with high quality and inexpensive labour forces.”

“I would strongly recommend that those Japanese companies seriously considering an investment here come and see Serbia with their own eyes.” Hiroyuki Yamashita, Embassy of Japan in Belgrade

“The Embassy of Japan is ready to support Japanese companies by providing information to promote bilateral economic exchange in the private sector.”

apan has only one investment in Serbia at present – that of Japan Tobacco International (JTI) – but if regional precedents of EU integration and Japanese investment are realised here, Serbia could look forward to welcoming hundreds of Japanese companies in the years to come. As Hiroyuki Yamashita of the Japanese Embassy in Belgrade explains: “there are approximately 200 Japanese companies in Poland, approximately 230 in the Czech Republic and around 115 in Hungary.” How would you describe current levels of economic cooperation between Serbia and Japan; are we seeing a positive trend in the trade exchange yearon-year? Economic relations between Japan and Serbia are still rather basic. However, we can see signs of expansion. For example, one of Japan’s major trading companies opened its new office in Belgrade last year and the only Japanese direct investor in Serbia, JTI, is continuing its business steadily. So far, economic relations between Japan and Serbia have been characterised by unilateral economic movements, i.e., Japanese economic development assistance to Serbia. However, considering Serbia’s continuous economic growth of recent years, from now on it would be important to develop an interactive and mutually beneficial economic exchange between the two countries through the promotion of trade and investment.

There are, for example, rich and varied agricultural products in Serbia such as fruits, juices, wines, etc. They could be great instruments for the promotion of export. Serbia’s abundant resources for tourism could also be great tool for the promotion of the economy. Since the Balkan countries, including Serbia, are blessed with sightseeing resources, we expect the sightseeing industry to be one of the main pillars of economic development in Serbia. Approximately five million Japanese tourists visit Europe annually, which could be a potential market for Serbia too.

Have possible ar“Serbia’s abundant eas for the further resources for tourism advancement of bilateral economic could be great tool for relations been identified? the promotion of the Bilateral business exchanges need to be economy…” further advanced in

How much potential exists and, in your opinion, in which sectors does the most potential lie?

82 Guide to The International Business Sector / March 2009

order to identify specific areas. Every March, Serbian food companies participate in the International Food & Beverage Exhibition (FOODEX) in Tokyo. We understand that several more Serbian companies will join the event this year too. We hope the bilateral economic exchange will be deepened through this kind of business opportunity. How do potential Japanese investors consider the market situation in Serbia? In order for Japanese companies to expand to European markets, it is important to secure production bases in countries which are geographically close to the EU and have comparatively high quality and inexpensive labour forces. That is exactly where Serbia has an advantage. Prior to EU accession, a lot of Japanese companies expanded their business to the Czech Republic, Poland and Hungary

JAPAN

for this very reason. Now that those countries have joined the EU, we think the Western Balkan countries, including Serbia, have been establishing attractive conditions as an investment destination for Japanese companies. It is also important to emphasise that a private company’s investment in Serbia depends on its own assessment of the political and economical stability, the existence of the rule of law and the business environment’s ability to secure profitable operations in Serbia. To what extent have Japanese companies invested in the other countries of the region and Europe as a whole; in which sectors? In Serbia we have JTI in Senta, while Daido Metal, Manufacturer of bearings for automobile engines, is in Kotor, Montenegro.

...Serbia has been establishing attractive conditions As for the other countries in the neighbourhood, there are approximately 200 Japanese companies in Poland, approximately 230 in the Czech Republic and around 115 in Hungary. Automobile industry players, such as Toyota and Bridgestone, as well as the LCD TV industry, including Sharp, are present in Poland. In the Czech Republic, the automobile industry arrived in the early 2000s, but recently flat TV companies are also expanding. As for Hungary, the automobile industry (Suzuki, Denso) and Electronic appliance companies (Sanyo, Sony) are also present. What advice would you give to a Japanese company considering an investment in Serbia at this time? I would strongly recommend that those who are seriously considering an investment here come and see Serbia with their own eyes. Having seen the actual situation in Serbia, they should assess if: a) Serbia offers an investment environment where they can operate profitably, b) political and economical stability is secured to continue business in the years to come and c) public safety measures are in place for businessmen and their families to live. The Embassy of Japan is ready to support Japanese companies by providing information to promote bilateral economic exchange in the private sector. Of course, we will continue to co-operate with Serbian companies too.

ALPHA IMAGING Predrag Bjeletić, director Vrtlarska 55 11080 Zemun aimaging@alphaimaging.rs www.alphaimaging.co.yu BEOLASER D.O.O. Dragan Rokić, director Trgovačka 16a 11030 Belgrade 381 11 2395639 CFPMBTFS!FVOFU ST XXX CFPMBTFS co.yu BEOLEK Gordana Martinov, director Bulevar JNA 205 11000 Belgrade beolek@eunet.rs DELTA ESPERO Vladimir Petrović, director Skadarska 10a 11000 Belgrade EFMUBF!ZVCD OFU www.mitutoyo.de DELTA M D.O.O. Milka Vojvodić, director Milentija Popovića 7b 11000 Belgrade milka.vojvodic@deltamgrupa.rs www.deltayu.com ECOTAEH Vasilije Stanišić, gen. Director Ustanička 82 11000 Belgrade TBMFT!FDPUBFI DPN www.ecotaeh.com FUJITSU TEHNOLOGY SOLU TIONS Vlada Tanasković, director Vladimira Popovića 8/V 11000 Begrad office.serbia@fujitsu-siemens.com www.fujitsu-siemens.com JT INTERNATIONAL MARKET ING & SALES D.O.O Cristina Cring, director

Vladimira Popovića 38 11030 Belgrade 81 11 2050301 customer.service.serbia@jti.com www.jti.com KOVING Bojan Radulović, director Pariske Komune 24 11070 New Belgrade 381 11 3193408 office@koving.com RADULOVIĆ D.O.O. Dragan Radulović, director Dragoslava Srejovića bb 11000 Belgrade 81 11 2080250 office@radulovic-group.com www.radulovic-group.com VELAUTO INVESTMENT D.O.O. Hiroyasu Honda, director Đuje i Dragoljuba bb Belgrade PGGJDF!WFMBVUP ST XXX WFMBVUP ST MITSUI DEUTSCHLAND Y.Maruyama, director Vladimira Popovica 6 Genex 11070 New Belgrade mitsui@eunet.rs OLYMPUS D.O.O. Ivanka Milenković, director Đorđa Stanojevića 12 11000 Belgrade milena.spasic@olympus-europa. com www.olympus.rs PANASONIC TECHNICS Jagoš Medenica, director Bulevar Despota Stefana 41 11000 Belgrade pbo@panasonic.co.yu www.panasonic.co.yu

PROFIL INTERNATIONAL MAZDA Branko Anđelković, director Karađorđeva 13 11000 Belgrade 381 11 3031737 info@mazdaprofil.rs www.mazdaprofil.rs SONY OVERSEAS S.A Kugiyski Angel, director Omladinskih brigada 88a II/V Belgrade 381 11 2225960 vesna.moric@eu.sony.com www.sony.rs SUBARU ĆURČIĆ EXPORT IMPORT D.O.O. Gane Curčić, director Vojvode Skopljanca 29 11000 Belgrade 381 11 2472222 PGGJDF!TVCBSV DP ZV www.subaru.co.yu TEIKOM D.O.O. Slobodan Terzin, director Obilićev venac 18-20/V 11000 Belgrade 381 11 3281589 JOGP!UFJLPN DPN www.teikom.com TOYOTA SRBIJA Slobodan Radojičić, director Savski Nasip 7 11070 New Belgrade 381 11 2090902 PGGJDF!UPZPUB ST XXX UPZPUB ST TRIVAX VV Vladimir Trikić, director Triše Kaclerovića 24a 11000 Belgrade 381 11 3975830 PGGJDF!USJWBY DPN www.trivax.com

REPUBLIC OF KOREA

Hot Prospects “In 2000 our bilateral trade volume was just US$20 million, but last year it had increased to US$150 million...this amount is still small and I expect it to increase markedly in the near future” “I think the reopening of a KOTRA ofﬁce in Belgrade would lead to further economic cooperation between our two countries” H.E. Kim Jonghae, Ambassador of the Republic of Korea in Belgrade

“Frankly speaking, there has been keen interest in this area from the beginning of the 1990s, but the stability of the region has made Korean businesses hesitant to commit”

his year marks the 20th anniversary of the establishing of diplomatic relations between Belgrade and Seoul, yet Korea still has no direct investments in Serbia. To get the lowdown on commercial relations between the Republic of Korea and Serbia, we spoke to H.E. Kim Jonghae, Ambassador of the Republic of Korea in Belgrade. The Republic of Korea is one of the world’s strongest economies and has investments across Europe. How would you assess your current economic co-operate with Serbia? We have maintained economic cooperation based on our complimentary US industrial structures, despite the fact that the two countries are far apart geographically. In 2000 our bilateral trade volume was just US$20 million, but last year it had increased to US$150 million. Considering the economic capacities of both countries, this amount is still small and I expect it to increase markedly in the near future. Even though there has been no direct Korean investment in Serbia to date, I think Korean companies will be here in the near future, considering the fact that Serbia’s investment environment is improving day by day and the general political situation in the region has stabilised year by year.

Yes. Many Korean businesses that head their European operations from Frankfurt have been paying close attention to this region and in the years ahead I expect them to come here. Frankly speaking, there has been keen interest in this area from the beginning of the 1990s, but the stability of the region made Korean businesses hesitant to commit. In terms of sectors with potential, it seems natural that the automobile and electronics industries may be of the most interest to potential Korean investors. Is that so? Around ten years ago I was in Prague, from where we also covered Slovakia. At that time I recommended that Hyundai and Kia come to Slovakia and set up manufacturing plants there. At first they were hesitant, but they finally went to Slovakia and set up operations and now they are quite successful. The Government of Slovakia offered lots of benefits to Korean carmakers if they set up business there and that was the convincing factor. Now Slovakia is the base of Kia’s production in Europe and Hyundai also had set up a plant in the Czech Republic.

“Back in 1989 our trade relations were very successful. Our annual trade volume reached $250 million, but that level soon dropped because of the disturbances of the early ‘90s”

Are Korean businessmen aware that this region has stabilised?

84 Guide to The International Business Sector / March 2009

Do you welcome many delegations and have possibilities for the advancement of bilateral economic relations been identified? Earlier this month [February], Korea’s vice foreign minister, Mr. Shin Kak-soo, was here in Belgrade to have talks with the State Secretary of the Serbian Ministry of Foreign

REPUBLIC OF KOREA

Affairs, Ambassador Stanimir Vukićević and some other high ranking Serbian officials. Ambassador Vukićević requested that a Korean economic delegation be sent here and we also forwarded a strong request for a Serbian economic delegation to Seoul and I am of the view that the exchanges of economic delegations will be realised in the foreseeable future. Around 14 years ago I was here to head up an economic delegation. We visited Serbia, Montenegro, Croatia and Slovenia. At that time KOTRA, the Korean Trade-Investment Promotion Agency, had its office in Belgrade, but since then it moved to Zagreb. Now the Serbian Government has strongly requested that a KOTRA Office be re-established in Belgrade. I think the reopening of this office would lead to further economic co-operation between the two countries. How were relations between Seoul and Belgrade prior to the fall of Yugoslavia? They were good, although we only established formal diplomatic relations in 1989. Indeed, this year marks the 20th anniversary of our bilateral relations and we are planning numerous cultural events to mark the

“I think this area could be the centre for extending foreign investment to other countries in the wider region.” anniversary. Back in 1989 our trade relations were very successful. Our annual trade volume reached US$250 million, but that level soon dropped because of the political disturbances of the early ‘90s. Then most Korean companies relocated to Frankfurt or elsewhere in Europe and they are hesitant to return to this region. However, they have continuously maintained an interest in this region and could come back. What advice would you offer a Korean

business considering investing in Serbia? If we take advantage of the incentives offered by the Serbian Government, such as tax deductions and free land for manufacturing facilities, and bear in mind that, strategically, this country is the centre of the Balkans and

has strong agreements with its foreign partners, such as the SAA with the European Union and the FTA with Russia. I think this area could be the centre for extending foreign investment to other countries in the wider region.

CERAGEM In Keun Shin, Director Trg Republike bb/II lokal 11, 11000 Belgrade office@ceragem.co.yu www.ceragem.co.yu

LG ELECTRONICS MAGYAR Kft. Predrag Todorović, Director Bul. Mihaila Pupina 10/B/II, 11070 New Belgrade todorovic@lge.com www.lge.com

SAMSUNG Vlado Gođevac, Director Vladimira Popovića 6, 11070 New Belgrade v.godjevac@samsung.com www.samsung.com

March 2009 / Guide to The International Business Sector 85

MONTENEGRO

Established Business Relations

“It is in our interests to continue advancing economic relations and we remain dedicated to that end, especially in terms of creating better conditions for improving economic co-operation” Igor Građević, Montenegrin Charge d’Affairs in Belgrade

“I can say that both sides are cautious; everybody is concerned when it comes to investing capital, while some companies will opt to save” 13.JUL PLANTAŽE Veselin Đurišić, director Agostina Neta 34a 11070 Novi Beograd 13.jul@beotel.yu www.plantaze.cg.yu

ust like any other country in the region, Montenegro is also facing the affects of the global economic downturn. Real estate prices in this former Yugoslav republic have fallen by almost 50% and tourism is expected to suffer too. Nevertheless, Charge d’Affairs of the Montenegrin Embassy in Belgrade, Igor Građević, insists that both Serbian and Montenegrin businesses have found ways of doing business in more troubling times in the past, so the upcoming crisis is going to be no exception. How would you evaluate current economic co-operation between Montenegro and Serbia? If we look at the numbers, then we can say that co-operation has been constantly growing; the trade exchange is growing year-on-year. Serbia is one of the most important foreign trade partners for Montenegro. Under the auspices of CEFTA, almost 23 per cent of Montenegrin exports end up in Serbia, while 40 per cent of all imported goods are of Serbian origin. However, Montenegro has a trade deficit in this exchange. I am confident that the Montenegrin Embassy will do everything in its power to help Montenegrin companies achieve proper representation in Serbia, i.e. for these companies to be given an adequate position, like any other foreign company, and for them to have easier access to the Serbian authorities. We are going to offer them all the help they need in order to improve their position on the Serbian market. What problems are companies from Montenegro facing in Serbia? Generally speaking, there are no major problems. However, one of the bigger problems is exporting agricultural products from Montenegro to Serbia, since Serbia does not accept agricultural export certificates issued by the Montenegrin authorities. On the

PREDSTAVNIŠTVO LUKA BAR A.D Darko Knežević, director Trg Nikole Pašića 7 11000 Beograd 381 11 3398755 381 11 3398882 darkoknez@live.com www.lukabar.me

86 Guide to The International Business Sector / March 2009

other hand, Montenegro recognises such certificates issued by the Serbian authorities. Serbian exporters are not subjected to additional procedures when exporting to our country. At the end of last year we had a meeting with our colleagues from the Serbian Ministry of Economy and Regional Development, at which we agreed that it would be in our mutual interests to sign an agreement that would facilitate the easier flow of goods, services and capital between the two countries. According to the announcements of the Serbian side on the matter, this agreement could be signed in the first quarter of this year. Which economic sectors do Montenegro’s companies find most appealing for investment in Serbia? First and foremost, companies from Montenegro are interested in increasing the sales of their products that are already present on the Serbian market, primarily agricultural goods. We also want to develop more dynamic co-operation in sectors like infrastructure and railway, as well as for Serbian companies to more efficiently utilise the Port of Bar and transport, especially air traffic. In which way will the global downturn affect future co-operation between Montenegro and Serbia? I can say that both sides are cautious; everybody is concerned when it comes to investing capital, while some companies will opt to save. Personally, I don’t expect bigger investments to take place. Business cooperation is probably going to be somewhat lower, with more caution exercised when concluding contracts. Nevertheless, business and economic relations have been established a long time ago. The economy has always found its way, even in much more difficult conditions. The same applies to the upcoming financial crisis.

MD MARTINOVIĆ D.O.O. Branislav Kljajić, director Bulevar Arsenija Čarnojevića 123 11070 Novi Beograd 381 11 2140148 381 11 2140148 mdmartinovic@nadlanu.com

MONTENEGROAIRLINES Žarko Đurović, director Knez Mihajlova 23 11000 Beograd 381 11 2621122 381 11 2181861 office.belgrade@mgx.cg.yu www.montenegroairlines.com

NETHERLANDS

Growing Appeal “It’s easy to say that the crisis will discourage companies from coming, but that’s not necessarily the case.”

“What we see is that if you want to be successful in Serbia you have to team up with a Serbian company that knows the market, speaks the language and has a good network.” Tsjeard Hoekstra, Counsellor & Deputy Head of Mission at the Royal Netherlands Embassy

ENTICING INVESTORS

think that our task as an embassy is to provide good information, signal opportunities, identify possible areas of cooperation with Serbian companies, bring businesses together and ensure we provide clear information that will allow Dutch companies to make their own informed decisions. If Serbia offers good opportunities, Dutch companies will come.

escribing current levels of economic co-operation between Serbia and the Netherlands as “good and improving”, Tsjeard Hoekstra, Counsellor & Deputy Head of Mission at the Royal Netherlands Embassy in Belgrade, says: “We are seeing a growing interest of Dutch companies in Serbia, from small businesses to huge companies like Heineken, for example, which established itself in Serbia and is now expanding and considering Serbia as a vantage point from which to service the whole region.” In which other sectors have Dutch companies invested in Serbia? We have some significant activities in shipbuilding, both here in Belgrade and further east in Kladovo, and we also have quite a number of I.T. companies, which is an interesting development that has been taking place over the last couple of years. I.T. companies find it difficult to hire experienced staff in the Netherlands, but they are available here in Serbia. People here have a good reputation, are reliable and also affordable. As such, software programming is being outsourced by Dutch companies to places such as Novi Sad, which has become a centre of Dutch investments in I.T., because the university there is educating computer engineers that can be immediately employed in the I.T. industry. We also have activities in the real estate sector and the whole sphere of agriculture remains one of the most important sectors in which we are active. Indeed, this month [February] a Dutch-Serbian joint venture will be opening a new greenhouse facility in Irig near Novi Sad to produce seedlings for all kinds of vegetables for the whole region. This is a really interesting area where the Dutch government is promoting joint Dutch-Serbian ventures and providing start-up capital. Do you think the improvements we’re seeing in Dutch-Serbian co-operation are

88 Guide to The International Business Sector / March 2009

a natural occurrence of transition or a result of your proactive work? Of course, the embassy is doing its utmost to promote Dutch business interests,.but if companies don’t see opportunities in a market it won’t make any difference what we do as an embassy. They simply won’t come here. As such, I think that our task as an embassy is to provide good information, signal opportunities, identify possible areas of cooperation with Serbian companies, bring these parties in contact with each other and ensure we provide clear information that will allow Dutch companies to make their own informed decisions. If Serbia offers good opportunities, Dutch companies will come. I think we’ve had a certain amount of success in informing companies from the Netherlands, simply because Serbia has become a centre of attention even though it isn’t an obvious market for Dutch companies. This is due to our work and the work of ministries back in The Hague, but also due to the incentives offered by Serbia and the fact that this is a country in transition towards the EU which, therefore, offers opportunities and challenges. Are existing Dutch investors in Serbia satisfied with the conditions on the local market or do they complain to you? Investors always complain, sometimes rightly so and sometimes they complain a little too much. This is not an easy market and I think the Serbian government can do a lot more to facilitate doing business in Serbia. This country is still something of an acquired taste and it can take a lot of effort and perseverance to make it a success. So, yes there are problems, particularly in the sphere of regulations. There’s a lot of red tape that needs to be cut, but that problem is by no means unique to Serbia – even in the Netherlands reducing red tape is a continuous process – but it’s more of a problem here than in Western Europe. Another problem that arises, particularly in agriculture, is that Serbian counterparts

NETHERLANDS don’t always have a grasp of the market and tend to overestimate their power in relations with a foreign company. Consequently, you end up with prolonged negotiations because the Serbian side are asking too high a price and the Dutch companies eventually end up looking elsewhere. So, Serbian companies can be unrealistic, stubborn and – particularly in rural areas – not always used to market mechanisms. Do you host many delegations of interested Dutch businesses? Yes. We see more and more delegations coming every year. In order to make this more structured, we founded the Serbian-Dutch Business Council back in 2007. This acts as a forum where Dutch and Serbian entrepreneurs can come together to discuss potential partnerships. We focus on three themes: environment, infrastructure and water management. Dutch companies are producing really competitive, state-of-theart products in these three sectors. With the help of our government we try to establish contacts and link Dutch companies with highly qualified workers and good solutions in, for example, the field of the environment. At the same time we identify businesses present in those fields here which are able to offer partnerships to these Dutch companies. If you want to be successful in Serbia you have to team up with a Serbian company that knows the market, speaks the language and has a good network. So, we try to facilitate that and, in the process, try to make it clear to our Serbian counterparts that Dutch businesses are really offering excel-

lent, effective and affordable solutions for the problems we see here in the fields of environment, infrastructure and water management. How forthcoming have you found the Serbian Government on these issues? As well as being a matchmaker for Dutch and Serbian companies, we also use our expertise as an embassy to talk to our counterparts in the Serbian ministries to see if we can help them carry out projects with greater efficiency through an integrated approach. This is not only to plug Dutch commercial interests, but also as a way of helping Serbia achieve EU standards. There is a government-to-government programme, which is a really practical way of doing things together. For instance, if Serbia’s infrastructure minis-

ment levels? It will certainly have an impact. At the end of last year Serbian businesses and politicians seemed to think that the economic bad weather would pass them by without affecting the country, because Serbia is not included closely in the international market. Well, that simply isn’t the case. We will all be affected. The Netherlands is already being strongly affected and Serbia will not escape unharmed. Looking at the EU, I recently read that demand for industrial products has fallen by 26 per cent compared to the same period last year. That is an enormous drop. Figures like that haven’t been seen since the Second World War! Obviously, it goes without saying that this will have a knock-on affect throughout the world. Serbia must acknowledge the extent of this crisis and must be prepared. They should try to seize this opportunity to push forward structural reforms and we will help them do so if we can, because that’s key at this time. If they can use this chance to reform then Serbia will be in a stronger position after this crisis abates.

“Serbian companies can be unrealistic, stubborn and – particularly in rural areas – not always used to market mechanisms”

Adria Media d.o.o. Bernd Rademann, Director Oml. brigada 88a, 11070 Belgrade office@adriamedia.rs www.adriamedia.co.yu Društvo za posredovanje u osiguranju ACB d.o.o Dragan Odžaklijević, Director Mihaila Pupina 10ž/543, 11070 Belgrade office@aon.co.yu Ujedinjene Srpske Pivare EUC d.o.o Francois Xavier Mahot, Director Oml. brigada 90b/4, 11070 Belgrade www.heineken.com Hinttech d.o.o. Dejan Ćurčić, Director Jermenska 9, 21000 Novi Sad

try has a problem organising their work they can apply for assistance from their Dutch counterparts and someone from our infrastructure ministry will come to help find appropriate solutions. This could apply, for example, to regulations that would bring Serbia closer to EU countries and have a positive effect on businesses that have to adhere to such regulations. To what extent do you expect the global downturn to impact on trade and invest-

TFSCJB!IJOUUFDI DPN XXX IJOUUFDI DPN ITW Welding Product BV South-East Europe Representative Office Dragan Mišković, Director Vodovodska 158, 11147 Belgrade info@itw-welding.nl www.itw-welding.com Levi9 Global Sourcing Balkan d.o.o. Vladimir Gogoljev, Director Trifkovicev trg 6, 21000 Novi Sad JOGP!MFWJ DPN XXX MFWJ DPN PS Research, Predstavništvo Aleksandra Pešić, Director Makedonska 21, 11000 Belgrade JOGP!QTS HSPVQ DPN XXX QTS HSPVQ DPN Philips, Representative Office

What advice would you give to a Dutch company considering an investment in Serbia during 2009? We often tell Dutch companies that if they want to be present during the good times then they should be willing to take a risk during the not-so-good times, before things really come to fruition. And those companies that are here have been willing to take the risk and for most of them it’s proved a successful endeavour thus far.

Milan Banović, Director Trg Nikole Pašića 5, 11000 Belgarde www.philips.com Rhein-Donau Yard a.d. Željko Mijatović, Director Đerdapski put bb, 19320 Kladovo ryard@fastmail.fm www.shipyardkladovo.com Shell d.o.o. Beograd Dragana Kačar, Director Bul.Mihaila Pupina 10b-II, 11070, Belgrade dragana.kacar@shell.com www.shell.com Tebodin d.o.o. Beograd Zoran Petrović, Director Bul.Zorana Đinđića 73/VI, 11070 Belgrade

381 11 3132422 UFCPEJO!ST XXX UFCPEJO ST TMF Services d.o.o. Petrina A. Makakova, Director Bul.Zorana Đinđića 64a, 11070 Belgrade petrina.makakova@tmf-group.com www.tmf-group.com Unilever Beograd d.o.o. Dan Rusu, Director Oml. brigada 88, 11070 Belgrade belgrade.usce@unilever.com www.unilever.com Vahali Service and Marine d.o.o Vincent Bekker, Director Savski nasip 7, 11070 Belgrade office@vahali.nl

March 2009 / Guide to The International Business Sector 89

NORWAY

Positive Outlook

“We will try to increase activities this year, but it looks like the general economic trend globally is also affecting our bilateral relationship.” H.E. Haakon Blakenborg, Norwegian Ambassador to Serbia

VIKSANDVIK ALBATROSS d.o.o. Branko Žmukić, Director Vršačka 67, 21000 Novi Sad albatross@vik-sandvik.com ELOPAK d.o.o. Đorđe Stojilković, Director Batajnički drum 23, 11080 Zemun info@elopak.rs www.elopak.rs NERA NETWORKS AS Nenad Stojanović, Director Dobropoljska 26-28, 11000 Belgrade office.serbia@networks.nera.no www.nera.no RAPP ZASTAVA a.d. Slobodan Milovanović, Director Trg topolivaca 4, 34000 Kragujevac rappzastava@sbb.co.yu www.rappzastava.com TELENOR d.o.o. Stein-Erik Vellan Omladinskih brigada 90, 11070 New Belgrade www.telenor.rs

ne of the biggest direct foreign investments in Serbian history was made by a company of Norwegian origin, Telenor. However, the success of this communication giant hasn’t led to a flood of Norwegian investments in other sectors in Serbia. Still, H.E. Haakon Blakenborg, Norwegian Ambassador to Serbia, says: “this is a country where one can find highly qualified professionals in many sectors. The fact that we have investors here in very different sectors shows that it’s possible to work successfully in Serbia and there is genuine potential for business here.” How would you describe levels of bilateral trade and economic co-operation? It is gradually improving and over the last three to four years we’ve seen a really remarkable and substantial improvement on the investment side. Of course, the Telenor investment is impossible to beat, as it was a huge investment by both Serbian and Norwegian standards. It’s true that the number of Norwegian companies currently operating in Serbia is not very high, but we have seen slow, steady growth. Now it remains to be seen what affect the current negative global business climate will have. Trade levels have increased in relative terms, but they are still at a very low level. Are the trade figures common to this region or is trade with Serbia particularly low? It is common to the region. Our trade levels were highest with the former Yugoslavia during the 1970s and ‘80s, while in the ‘90s there was more of a shift to our geographical region with the emergence of the huge Polish market and the Baltic states. It is only in the last three to four years that this region has been rediscovered by Norwegian companies. Which sectors have the greatest potential from a Norwegian perspective? Everybody talks about the mechanical industry, because of Serbia’s high competence and high quality in this field, and the high standards of technical and mechanical engineering in Serbia, but investments show that telecommunications has the most potential. Most Norwegian companies that are active in Serbia are also active on the global mar-

90 Guide to The International Business Sector / March 2009

ket. When it comes to investing and producing in Serbia, we see most interest in the mechanical industry, based down in Kragujevac or Zemun. Goods produced are for the global markets, as opposed to being produced in Serbia for the Norwegian market. I presume you know about the new NoviCom call centre that’s just been established by Norwegian entrepreneurs to service Norway by employing graduates of Belgrade University’s Nordic Studies course? Yes. In terms of business, this is the first time anyone’s managed to take advantage of this long academic tradition of studying Nordic languages and culture, which recently celebrated its 30th anniversary. These graduates could be a kind of bridgehead for Scandinavian companies investing in Serbia. Are existing Norwegian investors with conditions on the Serbian market? They do face problems, of course, but on the whole they are satisfied. The kinds of problems they are facing are more or less those that are to be expected, being of a technical or procedural nature, but the general business climate in Serbia is considered very positively by Norwegian investors. Does the embassy plan to welcome any economic delegations or launch economic programmes this year? As yet we have no strictly economic delegations announced. We will try to increase activities, but it looks like the global situation is also affecting our bilateral relationship. The overriding impression is that investors nowadays like to focus on their specific sectors, as opposed to joining broad delegations looking at the overall scene. What advice would you offer a Norwegian business considering an investment in Serbia in 2009? I always talk about the potential for production in Serbia. This is a country where one can find highly qualified professionals in many sectors. The fact that we have investors in very different sectors here, from the mechanical industry to high-tech telecommunications, shows that it’s possible to work successfully in Serbia and there is genuine potential.

FOR ONLY

€ 26

ROMANIA

Regional Advance “The development of infrastructure is of great importance for the future economic development of our countries and also offers opportunities to mitigate the negative impact of the downturn” “Romanian investments in Serbia cover various ﬁelds, from railway equipment, to building materials and telecommunications.” Dan Catalin Constantin and Ralu Cereceanu, Economic Counsellors at the Embassy of Romania to Serbia

ccording to Dan Catalin Constantin and Ralu Cereceanu, economic counsellors at the Embassy of Romania to Serbia, trade and economic co-operation between Romania and Serbia has registered a positive trend during recent years. “An increased interest of Romanian and Serbian companies to co-operate in different fields has been obvious, as has the participation of Romanian companies in the privatisation of the Serbian economy.” As the Romanian officials note: “Last year’s figures represent a good example of the high level of economic and commercial co-operation reached: for the first time the total volume of bilateral trade exchanges reached over US$1 billion, which represents a year-on-year increase of 39%. Bilateral economic relations are supported by free visas for Serbian citizens travelling to Romania and by the joint efforts of both countries’ authorities and institutions. According to figures issued by the National Bank of Serbia, in the first 11 month of 2008, Romanian investments in Serbia reached US$20.4 million, while Romanian investments in Serbia in 2007 reached US$23 million.” Romanian investments in Serbia cover various fields, from railway equipment (Grampet Group acquired Zelvoz Smederevo through privatisation and International Railway System is the majority shareholder of Niš’s MIN Holding), to building materials (Arabesque) and telecommunications (Alcatel and RDS&RCS-Digi Sat d.o.o), while company Romstal also acquired Belgrade-based Domingo d.o.o., specialised in the distribution of equipment and installations.

How much untapped potential exists and, in your opinion, in which sectors does the greatest potential lie? The development of infrastructure is of great importance for the future economic development of our countries and also offers opportunities to mitigate the negative impact of the international economic crisis. Romania and Serbia authorities and companies attach a special interest to this field, as this is obviously a field of mutual benefit. In this context, infrastructure projects mean projects in the energy sector (interconnecting of national electricity systems; interconnecting of national systems of gas transport), road transport (semihighway Timisoara-Belgrade), railway transport (modernisation of existing facilities) and river transport. Romania and Serbia are equally interested in making better and more diversified use of the Danube’s potential as transport route and tourist destination. Considering the complementary qualities of the two economies, we can also identify other areas of interest for Romanian and Serbian companies, such as the food industry, construction materials, pharmaceuticals, etc.

“Romanian companies in Serbia, as well Romanian managers who are acting on the Serbian market, are generally satisﬁed...”

IMPORTANT ADVANCES

erbia is highly determined to improve the business environment and create favourable conditions to attract foreign investments. Serbia is showing strong commitments to establishing a modern market economy. Substantial reforms have been initiated to assure business legal security and important economic laws have also been adopted.

92 Guide to The International Business Sector / March 2009

Does Serbia’s proximity to Romania have a positive effect on economic co-operation between the two countries? The fact that we’re neighbouring countries has positively influenced the development of good bilateral economic relations. Serbia is a traditional trade partner of Romania, the most important one in the region. Romanian and Serbian companies situated in the border area have long-term commercial and also friendly links. They have proved increasingly interested in extending the area of

ROMANIA

ment

their collaboration and in making capital investments or submitting offers in the privatisation process. For instance, Tender Group from Timisoara made important investments in Serbia during the last two years in different sectors (tourism, pharmaceuticals, telecommunications, etc.) Tight co-operation has also been established at the level of regional Chambers of Commerce from neighbouring areas. On 26th October 2007, the Regional Chambers of Commerce of Timisoara, CarasSeverin, Zrenjanin, Pancevo and Kikinda signed a Protocol concerning Collaboration between the Chambers of Commerce of Banat. The most important project and best example of collaboration between Romania and Serbia is certainly represented by the Iron Gate/Đerdap Hydro Power Plant, which dates back more than 35 years. Have possible areas for the further advancement of bilateral economic relations been identified? In order to extend bilateral economic relations, we intend to focus on supporting direct co-operation between SMEs from both countries and organising economic missions specialised on fields such as energy, building materials, chemistry – petrochemicals, machine building, information systems, constructions of roads and bridges. The Agreement between the governments of Romania and Serbia on economic, technical and scientific co-operation was signed in Belgrade on 24th October 2008. Following its enforcement, the Romanian-Serbian Joint Committee for economic, technical and scientific co-operation will be organised. The Working Groups of the Joint Committee on trade, industry, energy, transport, agriculture, banking and tourism will focus on the development of bilateral economic co-operation in specified fields. KANTEX d.o.o. Vesna Petrovic, Director Nova Mokroluška 19, 11000 Belgrade LBOUFY!BETM ZVCD OFU XXX LBOUFY FV DIGI SAT d.o.o. Marcel Popa, Director Franse D’ Perea 88, 11000 Belgrade PGGJDF!EJHJ ST XXX EJHJ ST MOBEXPERT GROUP d.o.o. Roxana Ioana Mateescu, Director Milentija Popovica 9, 11000 Belgrade

Are existing Romanian investors in Serbia satisfied with the conditions on the local market or have they identified specific areas requiring improvement? Romanian companies in Serbia, as well Romanian managers who are acting on the Serbian market, are generally satisfied with the business environment and welcome the efforts and progress made in improving legislation and market conditions. They also greatly appreciate the quality of human resources and the skills of Serbian employees. Of course, various difficulties arise during daily company activities, but there is nothing specific to be mentioned. During discussions with representatives of both the Romanian and Serbian business communities, interest has been expressed concerning the establishment of a direct flight between Belgrade and Bucharest. What advice would you give to a Romanian business considering an investment in Serbia, or a Serbian business considering an investment in Romania, during 2009? Serbia is highly determined to improve the business environment and create favourable conditions to attract foreign investments.

mobexpert@mobexpert.rs www.mobexpert.rs UNILEVER BEOGRAD d.o.o. Dan Rusu, Director Omladinskih brigada 88, 11070, Belgrade belgrade.usce@unilever.com www.unilever.com ALCATELLUCENT PUPIN SERBIA d.o.o. Arnald Le Ruen, Director

Serbia is showing strong commitments to establishing a modern market economy. Substantial reforms have been initiated to assure business legal security and important economic laws have also been adopted. The year 2009 came with significant changes to the international and national markets, as a result of the international financial crisis. The negative impact of the international crisis is more and more obvious both in the Romanian and Serbian business environments. It is hard to believe that the level of trade and investments registered in SerbianRomanian economic relations in 2008 could be maintained in 2009. Romanian and other companies will be tempted rather to preserve their existing business, avoid losing their partners as much as possible or ensuring any losses sustained are at a minimum. Several investments planned in the countries of our region have already been cancelled, while other projects are being reduced or postponed. In the construction industry, for instance, companies can no longer secure adequate finances. Today, when prudence has become a “normal attitude”, it is very difficult to give any advice, especially when it comes to investments.

Batajnicki put 23, 11080 Belgrade HUB DUNAV d.o.o. Dan Bulboaca, Director Trnska 2, 11000 Belgrade 381 11 3448201 381 11 3085379 381 export@hubdunav.co.yu www.hapag-loyd.com ROMSYM DATA d.o.o. Vladimir Vučinić, Director Bul. Vojvode Mišića 39a/IV, 11000 Belgrade

PGGJDF!SPNTZN ST XXX SPNTZN ST FARMA VLAD d.o.o. Rodica Vlad, Director Graničarska 2, 11000 Belgrade milosava@beocity.net YKK ROMANIA REPRESENTATIVE OFFICE SERBIA Kristijan Milanović director Kosančič Ivana 5 21000 Novi Sad kristijan_milanovic@ykk.rs

March 2009 / Guide to The International Business Sector 93

RUSSIA

Successful & Dynami We are going to create favourable conditions for the economies of both countries, in order to increase the exchange of customs-free goods By Elena VASILYEVA Photo Slobodan JOTIĆ

“In my opinion, last year was marked by the signing of an historical Intergovernmental Treaty about Co-operation in the Oil Sector.” Yevgeni Kudinov, Acting Director of the Russian Trade Representative Ofﬁce in Belgrade

o-operation between Russia and Serbia is becoming more dynamic day by day. Russian investors frequently draw attention to Serbia, especially after Gazprom Neft acquired Petroleum Industry of Serbia (NIS). Acting Director of the Russian Trade Representative Office in Belgrade, Yevgeni Kudinov, talks for the Guide to the International Business Sector about this co-operation and his office’s plans for Serbia. How is trade and economic co-operation between Russia and Serbia developing, and what are your plans for this year? In our opinion, trade and economic co-operation has been quite successful and dynamic. The trade exchange grew by over 30 per cent and has exceeded four billion US dollars. Unfortunately, there is still a problem with an unbalanced trade exchange, mainly due to Russia’s exports of mainly energy products to Serbia. As this exchange increases, so does the importexport differential, since Serbia cannot catch up with the higher export of energy products. As the price of these products has gone up, so has the trade exchange level. Great effort has been invested in the Intergovernmental Treaty on Co-operation in the Oil Sector, reaching a certain level that corresponds to the demands of each country’s procedures when it comes to the treaty’s enforcement. Additionally, we have managed to sign additional documents that cover co-operation in three areas: the sales contract on NIS, the Memorandum of Understanding on reconstructing the underground gas storage facility at Banatski Dvor and the co-operation protocol covering construction of the South Stream gas pipeline. All of these doc-

uments, which are the foundations of the development of co-operation in this field, have already been signed and now we can start implementing them. What affect could the global economic crisis have on already implemented Russian investments, as well as those that are still in the planning stage? We signed the contract on acquisition of a 51 per cent stake in NIS for €400 million. This amount hasn’t changed only in its absolute values, while the realistic price has significantly gone up. Let me explain: the realistic price on the day the intergovernmental treaty was signed (25th January 2008) and the price when we signed the sales contract (24th December 2008) are different. Today this price is even more relevant, since the crisis is doing its ‘dirty job’ and the prices of many goods are going down – ferrous and non-ferrous metallurgy and energy products, to name just few. This is why this €400 million, from the current perspective, is worth much more in relation to the state of affairs on 25th January 2008. This year we will have to invest a lot of energy in order to achieve the US$4 billion which we managed last year. According to our estimates, even if we succeed in maintaining the level of trade exchange in 2008, which is measured in tonnes, litres and cubic metres, we won’t manage to get the same indicators because of the drastic decline in the global prices of basic goods.

“There is still a problem of an unbalanced trade exchange between Russia and Serbia”

“The trade exchange has grown by over 30% and now exceeds US$four billion”

94 Guide to The International Business Sector / March 2009

It seems that today the list of the goods exempt from the Free Trade Agreement, signed on 28th August 2000, is becoming even more important? We have been working on this list all last year, especially in the latter half. We managed to agree on the list of exempted goods, which is now going to be adopted by Russian

RUSSIA

c Co-operation ministries and relevant institutions. Our plan is to submit our proposal to the Government at the end of February. After an appropriate decision has been made, the Government will then order for a new protocol pertaining to the Free Trade Agreement to be signed with a shortened list of exempted goods. By increasing customs-free deliveries from Russia to Serbia and vice versa, we are going to expand the trade exchange with Serbia, as well as diminishing the negative influence that the global crisis has had. We are also going to create favourable conditions for the economies of both countries, in order to increase the exchange of customs-free goods. In this way we will also increase the so-called non-raw material component of Russia’s export to Serbia. This agreement was signed in 2000, but we have managed to devise tools for extending

AEROFLOT Vladimir Kozemjakin, Director Knez Mihailova 30, 11000 Belgrade CFHUPTV!BFSPGMPU SV XXX BFSPGMPU SV ABS HOLDING Zoran Radosavljević, Gen. Director Bul. Zorana Đinđića 8a, New Belgrade office@abs.rs www.absholdings.biz AZOT AGRO DUNAV Maksim Grigorjev, Director Majke Jevrosime 51, 11000 Belgrade info@azotagrodunav.com www.azotagrodunav.com CILOVYJE MASHINY Mihail Valerjevic Cvetkov, Director Bul. Mira 13B\3, Belgrade TFSCJB!QPXFS N SV XXX QPXFS N SV FADIP Drago Pejić, Gen.Director

the list of exempted goods only eight years after its signing. What economic organisations in Serbia do you co-operate with? We have set up a joint authority that regulates trade and economic activities between Russia and Serbia. This is the Intergovernmental Committee for Trade, Economic, Scientific and Technical Cooperation. The authority that prepares necessary materials and makes proposals on the Serbian side is the Serbian Economy and Regional Development Ministry, while, in Russia that is the Ministry for Economic Development’s Foreign Trade Department. We co-operate closely with the Serbian Chamber of Commerce, as well as regional chambers. We have established very good

Trg Oslobođenja 3-4, 21220 Bečej fadip@sctable.co.yu www.fadip.com FABRIKA BAKARNIH CEVI MAJDANPEK Pavel Avdejev, Gen. Director Industrijska zona bb, 19250 Majdanpek GCDN!QUU DP ZV XXX GCD N DPN GAZKOMPLEKTTRANS Sergej Struk, Gen. Director Vladete Kovačevića 10, Belgrade struk@sbb.co.yu IMPEX IB d.o.o. Andrej Grečuhin, Director Vojvode Stepe 318, 11000 Belgrade impexib@verat.net www.impexib.co.yu LUKOIL  BEOPETROL Aleksandr Panfilov, Gen. Director Mihaila Pupina 165 d, 11070 New

relations with many state institutions, including the ministries of energy and infrastructure. We are especially co-operating with the latter ministry while we’re preparing the second session of the joint Council for Cooperation in Transport, which will take place during the first quarter of 2009. At the session, we are going to review the draft proposals covering the road and air transport. Our Ministry for Emergency Situations has had an excellent co-operation with the Serbian Ministry of Internal Affairs. We have also signed a co-operation agreement about demining Serbian territory free of charge. The process has already started and we are currently training Serbian colleagues in the Ministry for Emergency Situations’ premises in order for them to be equipped dealing with emergency situations.

Belgrade office@lukoil.co.yu www.lukoil.co.yu MOSKOVSKA BANKA Vladimir Zecar, President of the Board of Directors Karađorđeva 89, 11000 Belgrade office@moskovskabanka.rs www.moskovskabanka.rs PUTNIK Aleksandr Denisov, Director Dragoslava Jovanovića 1, 11000 Belgrade JOGP!QVUOJL DPN XXX QVUOJL DPN RUSKO  SRPSKA TRGOVINSKA KUĆA Radoslav Pašić, Director Šafarikova 7, 21000 Novi Sad srtk@neobee.net

RUS KONSALTING Krasnov Andrej, Director Gradski park 2, KSC Pinki, Zemun 381 11 3771612 krasnol@rambler.ru TEHNOPROMEKSPORT Cergej Urusov, Gen. Director Bul. JNA 165, Belgrade UQF!FVOFU SV XXX UQF SV TEPISI VELIKI BEČKEREKBELAN Gordana Ristić, Director Temišvarski put bb, 23000 Zrenjanin tvbtepisi@nadlanu.com www.tvbcarpet.com WEFK Bank Nebojša Dželebdžić, Director Vladimira Popovića 6, Geneks A 202, New Belgrade office@iefkbanka.com www.iefkbanka.com

March 2009 / Guide to The International Business Sector 95

SLOVAKIA

Natural Partners

“We know that Serbia needs co-operation in the ﬁeld of transmission and distribution of electrical energy, which is a ﬁeld we are very strong in as we have several companies undertaking projects of this kind in many countries around the world.” Peter Molnár, Counsellor at the Embassy of the Slovak Republic in Belgrade

“The Serbian Government has prepared the business conditions very well and they are very compatible with conditions within the European Union.”

here is much scope for greater co-operation between Serbia and Slovakia. Both countries have compatible industries and compatible cultures and are, thus, natural economic partners. According to Peter Molnar, Counsellor at the Embassy of the Slovak Republic in Belgrade, “We should utilise this fact and take advantage of the positive atmosphere”. How would you describe current levels of trade and economic co-operation between Serbia and Slovakia? The level of our commercial co-operation is increasing year-by-year. This includes trade in both directions and we’re very happy about that. Now we hope that this positive trend will continue in the future, though it could be interrupted by the global downturn. The most important commodities being exported from Slovakia to Serbia are iron and steel, paper, railway locomotives, machinery and equipment, plastic products and cars. Funnily enough, the most important exports from Serbia to Slovakia are also steel, iron and railway locomotives, but Serbia is also exporting wood products, sugar and sweet products. How much untapped potential exists and, in your opinion, in which sectors does the greatest potential lie? I think energy and the power industry is of the greatest interest to both sides. The possibility exists to build coal generator units and establish small hydro electric power stations in Serbia. We know from the Serbian side that they also need co-operation in the field of transmission and distribution of electrical energy, which is a field we are very strong in as we have several companies undertaking projects of this kind in many countries around the world. In late January we met with Mr. Skundrić, Serbian Energy and Mining Minister, and offered to establish this co-operation. Now we’re waiting to see if this will lead to fruition. Does Serbia’s ethnically Slovak minority have a positive effect on economic co-operation between the two countries? Please elaborate. Almost 60,000 ethnic Slovaks call Serbia home and we are always ready to co-operate with them. Their presence can be help-

96 Guide to The International Business Sector / March 2009

ful to potential Slovakian investors, but I wouldn’t say that this population is very significant with regard to co-operation between Serbia and Slovakia. Have possible areas for the further advancement of bilateral economic relations been identified and do you have any associated initiatives, programmes or delegation visits? The most significant event in the last year was the visit of our Prime Minister, Mr. Robert Fico, who arrived in October accompanied by several ministers and around 20 entrepreneurs and businessmen from Slovakia. During their one-day visit they met with around 80 Serbian business leaders and the visit proved very fruitful. I think we have to continue with such delegation visits. Plans are also in place to form an intergovernmental committee between Slovakia and Serbia – most probably in March. This committee will be at a ministerial level and will be used to discuss the establishing of closer co-operation between Slovakia and Serbia. I think we can co-operate more and we have experiences to offer. I also think that Serbia has much to offer Slovakia in terms of experience. Are existing Slovakian investors in Serbia satisfied with the conditions on the local market or have they identified specific areas requiring improvement? They are generally satisfied and I haven’t had any official complaints. The Serbian Government has prepared the business conditions very well and they are very compatible with conditions within the European Union. Potential Slovakian investors and traders are always asking me about the conditions in Serbia and whether it’s safe, ordered or regulated, and I always tell them that it’s compatible with Slovakia. What advice would you give to a Slovakian business considering an investment in Serbia during 2009? I would tell them that they have to come. Here they’ll find a good investment environment, good and nice people to work with and, finally, they should consider that we are both from the Slavic group and, as such, we’re closer to each other than Germans or others. We should utilise this fact and take advantage of the positive atmosphere.

SLOVAKIA AERD NOVI SAD Daniela Durašova, Director Marka Miljanova 18/I, 21000 Novi Sad PGGJDF!BFSE PSH ST XXX BFSE PSH ST BAMEX D.O.O. Branko Mihajlović, Director Pive Karmatijevića 25, 11000 Belgrade bamex@eunet.rs LALIĆ  COLORSPOL D.O.O. Lazar Lalić, Milan Jakubjak - Directors Kelebija, 24000 Subotica lalicso@sbb.rs ENERGOCONTROLS YU D.O.O. Ivan Antony, Director Artemova 11, 23000 Zrenjanin 381 23 537882 econtrols@ptt.rs ESOTOUR D.O.O. Pavel Palenkaš, Director Narodne Revolucije 4, 21470 Bački Petrovac esotour@stcable.co.yu FIRST DATA SRBIJA & CRNA GORA D.O.O. Olja Dakić, Director Kopernikova 8, 11000 Belgrade office@firstdata.rs www.firstdata.rs GOŠA D.O.O. Vladimir Šumy, Director Industrijska 70, 11420 Smederevska Palanka ivet.satrapova@zos.sk www.gosa-fsv.rs IMUNA PHARM PREDSTAVNIŠTVO Dusan Palenkaš, Director Narodne Revolucije 4, 21470 Bački Petrovac 381 21 782503 palenkas@imuna.sk www.imuna.sk INFRAINVEST D.O.O. Zlatko Prokopec, contact Turgenjeva 1, 21000 Novi Sad 381 21 4778160 gramont@nscable.net INTRAPROFIL D.O.O Milanko Šaković, Director Đure Strugara bb, 11300 Smederevo profil@intraprofil.com www.intraprofil.com

IVA D.O.O. Michal Potran, Director Tolstojeva 14, 21000 Novi Sad iva.ns@eunet.rs www.vektor-bikes.com JANKOF D.O.O. Jan Farkaš, Director Beogradski kej 27, 21000 Novi Sad KBOLPG!FVOFU ZV XXX EVWJMBY DPN PROFICUT D.O.O. Ivan Zabunov, Director Ruda Hrubika 6, 21470 Bački Petrovac 381 21 781425 PGGJDF!QSPGJDVU ST XXX QSPGJDVU ST SCP D.O.O. Boris Terzić, Director 27. marta 39/2, 11000 Belgrade scp.beograd@scpbeograd.co.yu www.scpbeograd.co.yu SLOVAČKA PLOVIDBA I PRISTANIŠTA A.D. Tibor Slivka, Director Bul.Mihaila Pupina 165a, 11070 Belgrade 381 11 2610231 slivkat@madnet.co.yu www.spap.sk SLOVARM D.O.O. Marija Durandži, Director Auto put 1-13, 11070 New Belgrade 381 11 3730103 381 11 3730103 office@slovarm.rs www.slovarm.rs STROJSTAV BELEHRAD D.O.O. Damir Milošević, Director Juga Grizelja 18, Belgrade 381 11 3757781 damir@strojstav.com www.strojstav.com TRAMING TRADE D.O.O. Štefan Tisovski, Director Dr Nedeljka Ercegovca 29M, 11080 Zemun UJTPWTLJ!FVOFU ZV UNIMEDPHARMA S.R.O. Rastislav Sabo, Director Španskih boraca 22b, 11070 New Belgrade 381 11 3131863 381 11 3131863 office@unimedpharma.rs www.unimedpharma.rs

SLOVENIA ACBROKER A.D. Branislav Bogdanović, Director Knez Mihailova 11-15, 11000 Belgrade JOGP!BD CSPLFS ST XXX BD CSPLFS ST ADACTA EXECOM D.O.O. Bogdan Obradović, direktor Knez Mihailova 2-4/7, 11000 Belgrade info@adacta-execom.net www.adacta-execom.net BEOPUBLIKUM A.D. Milan Milićević, Director Obilićev Venac 26 11000 Belgrade publikum@infosky.net www.beopublikum.com KOVIS BP D.O.O. Miroslav Djilas, Director Industrijska zona bb 214000 Bačka Palanka info@kovisbp.rs www.kovisbp.rs COLJA, ROJS&PARTNERS D.O.O. Marija Oreški, Director Kralja Petra 30, 11000 Belgrade oreski@colja-rojs-partners.com www.colja-rojs-partners.com DCB HELIOS D.O.O. Ivan Lužovec, Director Pazovački put bb 11080 Belgrade office@helios.rs www.helios.si DUGA a.d. Bojan Mikec, Director Viline Vode br. 6 11000 Belgrade info@duga-ibl.com www.duga-ibl.com ETI B D.O.O. Miodrag Stojković, Director Pančevački put 85 11000 Belgrade 381 11 2711220 miodrag.stojkovic@etib.co.yu www.etib.rs GORENJE D.O.O. Marko Mrzel, Director Kralja Milutina 46 11000 Belgrade office@gorenje.rs www.gorenje.rs HOLDING SLOVENSKE ELEKTRARNE D.O.O. Boris Mezgec, Director

Bul. Mihaila Pupina 117 11000 Belgrade ITF@CFPHSBE!ITF TJ XXX ITF TJ HYUNDAI AUTO D.O.O. Slavc Habič, Director Milutina Milankovića 7V 11000 New Belgrade PGGJDF!IZVOEBJ DP ST XXX IZVOEBJ DP ST ILIRIKA Igo Popović, Director Knez Mihailova 11-15/V 11000 Belgrade JOGP!JMJSBLB DP ZV XXX JMJSJLB DP ZV IMPOL  SEVAL VALJAONICA ALUMINIJUMA A.D. Ninko Tešić, Director Prvomajska bb, 31205 Sevojno PGGJDF!TFWBM DP ZV XXX TFWBM DP ZV A.D. INTEREUROPA  LOGISTIČKE USLUGE BELGRADE Nemanja Kačavenda, Director Zemunska 174, 11272 Dobanovci office@intereuropa.rs www.intereuropa.rs JUB D.O.O. Vladimir Miletić, Director Novo Naselje 32, 22310 Šimanovci KVC!KVC DP ZV XXX KVC TJ PALANAČKI KISELJAK A.D. Dragan Simić, gen.Director Vojske Jugoslavije 2 11420 Smederevska Palanka office@polkis.rs www.polkis.rs TRIGLAV KOPAONIK A.D.O. Zoran Popović, Director Kralja Petra 28, 11000 Belgrade 381 11 3305138 office@triglav.rs www.triglav.rs KOVINTRADE D.O.O. Miroslav Cicak, Director Milana Rakića 35 11000 Belgrade info@kovintrade.co.rs www.kovintrade.co.rs KRASBEO Dane Mioković, Director Miška Jovanovića 16-18, 11040 Belgrade LSBT@CFP!QUU ZV XXX LSBT TJ

March 2009 / Guide to The International Business Sector 97

SLOVENIA KOZMETIKA AFRODITA D.O.O. Ognjen Matić, Director Stevana Markovića 8, 11070 Zemun afrokozm@eunet.yu www.kozmetika-afrodita.com

Dušan Stankov, Director Bul.Mihaila Pupina 165V 11070 New Belgrade PGGJDF!OMCMFBTJOH ST XXX OMCMFBTJOH ST

KRKA FARMA DOO Radivoj Topalov, Director Jurija Gagarina 26V 11070 New Belgrade BOEKFMJOB BSTJD!LSLB CJ[ XXX LSLB TJ

PERUTNINA PTUJ DOO Milorad Đokić, Director Generala Nikodija Stefanovića 1 11000 Belgrade office@perutnina-s.co.yu www.peurtnina-s.si

LISCA DOO BEOGRAD Milan Bilanović, Director Pere Velimirovića 2a 11000 Belgrade MJTDB!FVOFU ST XXX MJTDB DP ZV

PETROL D.O.O. Aljoša Višnar, Director Španskih boraca 24v 11000 Belgrade natasa.momcilovic@petrol.si www.petrol.si

MARMOR HOTAVLJE D.O.O. Janez Bizjak, Director Bežanijska 25, 11080 Zemun 381 11 2454891 marmor@ikomline.net www.marmor-hotavlje.si

BIGLL  TRGOVINA RAŠICA DOO Slađana Dobrilović, foreman Knez Mihajlova 19 1100 Belgrade

MERCATORS D.O.O.

PRVI FAKTOR  FACTORING D.O.O. Dmitar Polovina, ge.Director Bul.Mihajla Pupina 165/V 11070 New

Asseco South Eastern Europe Pexim Solutions Ph.: +381 11 2013 128 Fax: +381 11 3015 132 Mob.: +381 65 2013 128 goran.gencic@pexim.rs www.pexim.net www.asseco-see.com Bulevar Milutina Milankovića 19g, 11070 Beograd, Srbija

Stanka Čurović, Director Temerinski put 50 21000 Novi Sad PGGJDF!NFSDBUPS ST XXX NFSDBUPS ST MERKUR INTERNATIONAL D.O.O. Bojan Pongrac, Director Partizanske Avijacije 4 11070 New Belgrade merkurbg@merkur.eu www.merkur.eu MLM ARMAL D.O.O. Ivan Kocbek, Director Kapetan Mišina 16, 11000 Belgrade mlmarmal@ikomline.net www.mlm-mb.si NLB BANKA A.D. BEOGRAD Zoran Đurović, president Bul.Mihaila Pupina 165, New Belgrade [PSBO EKVSPWJD!OMC ST XXX OMC ST NLB LEASING D.O.O.

Belgrade JOGP!QSWJGBLUPS ST XXX QSWJGBLUPS ST PRISTOP D.O.O. Vladimir Krulj Bosutska 2 11000 Belgrade pristop@pristop.rs www.pristop.rs TRIMO INŽENJERING D.O.O. Damir Kočan, Director Bul.Arsenija Čarnojevića 99b 11070 New Belgrade PGGJDF!USJNP ST XXX USJNP ST TRANSPED BEOGRAD Tijana Čečević, Director Kralja Petra 45 11000 Belgrade transped@transped.co.yu www.transped.co.yu LTH D.O.O. Velibor Đorić, Director

98 Guide to The International Business Sector / March 2009

Kraljice Marije 38 11000 Belgrade 381 11 3245243 PGGJDF!MUI ST XXX MUI ST EVACO INTERNATIONAL D.O.O. Barbara Čerenčić, Director Ratarski put 37b, 11080 Zemun NBJM!FWBDP TJ XXX FWBDP TJ SLOVENSKE ŽELEZNICE PREDSTAVNIŠTVO BEOGRAD Slobodan Macić, Director Resavska 16 11000 Belgrade 381 11 3239760 szmacic@sbb.co.yu SVILANIT D.O.O. BEOGRAD Nebojsa Vučetić, Director Ustanička 128b, 11000 Belgrade nebojsa.vucetic@svilanit.com www.svilanit.com TENZOR D.O.O. Marija Jelovac, Director Hadži Ruvimova 58 21000 Novi Sad marija.jelovac@tenzor.rs www.tenzor.rs TOZA A.D. Stanko Ilić, Director Ečanski drum 3 23000 Zrenjanin dafarzr@yahoo.com TOSAMA PREDSTAVNIŠTVO D.D. BEOGRAD Predrag Đurović, Director Nehruova 66 11000 Belgrade 381 11 2108450 UPTBNB!FVOFU ST XXX UPTBNB TJ TIM IZOLIRKA D.O.O. Milivoj Džaleta, Director Branka Erića 7, 22240 Šid UJN!J[PMJSLB OFU XXX J[PMJSLB OFU TUS TRADE D.O.O. Tomaž Križaj, Director Bul. Mihaila Pupina 10a 11070 New Belgrade UPNB[ LSJ[BK!UVT ST XXX UVT ST UNIHEM TRADING D.O.O. Dejan Marin, Director Nova Mokroluška 17 11050 Belgrade unihem.bg@unihem.rs www.unihem.rs VARNOST FITEP A.D. Branislav Vukasović, Director Gundilićeva 8-10 11080 Zemun varnostfitep@sezampto.rs www.varnost-fitep.rs

SLOVE By Miroslava CVEJIĆKOVAČEVIĆ Photo: Marko RUPENA lovenians are taking advantage of their intimate knowledge of Serbia by investing extensively. However, according to Janko Pevec, Economic Advisor of the Slovenian Embassy in Belgrade, “It would be good if Serbian investors were investing more in Slovenia”

How would you evaluate economic co-operation between Slovenia and Serbia? Our bilateral economic co-operation is very good, with the goods exchange increasing yearon-year. We believe that our goods exchange will reach a billion Euros in 2009. Maybe we should mention that Serbia is exporting more to Slovenia than vice versa. I think that the reason for this is that many Slovenian companies that have invested in Serbia are exporting their products produced here to other countries, including Slovenia. For example, Cimos has a plant near Kikinda employing 3,000 people and the whole production is exported to Mercedes Benz, BMW and Volkswagen. Sometimes we are not even aware of just how successful individual Slovenian companies in Serbia are, such as Kovis BP from Bačka Palanka, which is Europe’s leading producer of vehicle brakes and railway wheel parts. Which economic sectors are the most appealing for Slovenian investments? There is a wide range of business sectors that they would like to invest in, like banking and insurance, chemical processing

SLOVENIA Janko Pevec, Economic Advisor of the Slovenian Embassy

NE INTEREST IN SERBIA “The Serbian Government, SIEPA and various funds in Serbia are well organised and offer substantial support to our investors”. and construction. Slovenian companies are going to build the strategic bridge across Ada Ciganlije in Belgrade, as well as the one in Novi Sad. I think that very little is being invested in tourism and there are other attractive fields to invest in too. Do you think that the global economic crisis will affect the economic collaboration between Slovenia and Serbia? I’m afraid it will, since capital is becoming increasingly expensive and investors are increasingly cautious. The recession has already begun in Slovenia and it is quite possible that a significant number of workers will be laid off. Is it possible that Slovenian companies might close down their branch offices in Serbia as a result of the global economic downturn? I sincerely hope that they won’t do that. As far as I know, all Slovenian companies in Serbia have had positive business results so far. According to the Serbian Business Registers Agency, Slovenian capital has been invested in 1,400 companies in Serbia. It is a well known fact that Slovenia takes the number one place by far when it comes to

ECONOMIC CLIMATE

think the Serbian Government has created good conditions for foreign investors here. This, however, is not the only reason why so many Slovenians have come to Serbia. I believe that it is quite natural for Slovenia to invest in Serbia, bearing in mind the old friendships and business acquaintances that exist. Also, Slovenians are quite familiar with the Serbian language and mentality,” Pevec notes.

the number of investments in Serbia. These are mostly Greenfield investments and investments in small and medium-sized enterprises. In which way is the Slovenian Embassy helping Slovenian companies invest more in Serbia? At this moment, our entrepreneurs need to be informed of the real possibilities in Serbia. Also, I think that we should eliminate and forget all negative and unpleasant events from last year as soon as possible. How would you assess the level of co-operation that the Slovenian Embassy enjoys the Serbian Government and the various business associations in Serbia? The Serbian Government, SIEPA and various funds in Serbia are well organised and offer substantial support to our investors. Moreover, Slovenian investors often enjoy good collaboration with regional and local communities, like municipalities, which offer good investment conditions. I can freely say that many businessmen obtain certain permits and compliance documents much faster and with fewer complications in Serbia than in Slovenia. I will always recommend that our investors come to the Serbian market and vice versa – for Serbian investors to come to Slovenia. Now is a good time to do that, since our government has put together a set of measures to encourage foreign investments. It would be good if Serbian investors were investing more in Slovenia, since that would be an excellent exercise for investing in the EU. Do you know of any Slovenian companies are planning to come to the Serbian market in 2009? Despite the global financial crisis, Slovenia’s financial sector remains seriously interested in coming to the Serbian market. One of the biggest Slovenian banks has an-

OBSTACLES TO INVESTING

he biggest obstacle to larger investments is the unrealistic and unstable Dinar exchange rate. It would be good for the Serbian Parliament to pass as many laws that are in accordance with European legislation and standards as possible.” Pevec highlights. nounced that it will come to Serbia in 2009. Some Slovenian insurance companies will also do so, while Adriatic–Slovenica also opened a branch office in Novi Sad in December 2008. Tuš has announced that it will open retail facilities in over 100 locations all over Serbia. Jub Boje will open a third factory in Šimanovci. Slovenians find investing in tourism quite appealing too. There are plans for investments to be made in constructing facilities in a spa close to Belgrade and another one in Vojvodina. However, I do have to say that I don’t expect large investments to be made in the first quarter of this year, especially because I know that investors are waiting and observing in which way the global crisis will reflect on the region.

March 2009 / Guide to The International Business Sector 99

SPAIN Jorge Andreu, Head of the Economic & Commercial Ofﬁce of the Embassy of Spain in Belgrade

SEEKING “Problems are to be found in the lack of clarity of the regulatory framework. A lot needs to be done to make the Serbian economy more flexible and appealing, as well as enforcing internationallycompatible laws.”

panish companies have made major investments in some of the countries neighbouring Serbia in the region, but it seems that Serbia itself is not on the radars of many potential Spanish investors. However, according to Jorge Andreu, Head of the Economic & Commercial Office of the Embassy of Spain in Belgrade, “it’s up to the Serbian authorities to make potential investors feel a bit more secure when they come here.” How would you describe the developing levels of commercial co-operation between Serbia and Spain over recent years? There is still some room for manoeuvre when it comes to our commercial relations. Trade relations are quite good – we’re exchanging around €250 million annually – but the levels of exports from Spain to Serbia are more than double those of exports from Serbia to Spain. However, both export and import levels are growing gradually. In recent years Spain’s exports to Serbia have grown rapidly: in 2005/6 our exports more than doubled, while in 2007/8 they increased by more than 50 per cent again.

ucts at competitive prices and we’ve exerted efforts to promote those products and ensure there’s after-sale care. Now the people of Serbia are starting to discover that we’re exporting high quality products to the rest of the world, such as vehicles, vehicle components, machinery of all kinds – agricultural, construction, industrial, etc. How much investment potential exists in Serbia and, in your opinion, in which sectors does the greatest potential for Spanish companies lie? I think that there is big potential to make investments or establish strategic partnerships in many of the sectors in Serbia. It’s just a matter of making the right choice. Many companies from a large, welldeveloped economy like Spain’s can offer joint ventures or investment alternatives in almost any sector you could choose – from agribusiness to services, through industrial production, manufacturing and construction. I wouldn’t single out any particular sector as being a Spanish speciality, though the Serbian Government is obviously more interested in certain fields, such as agribusiness or infrastructure, though more in terms of concessions than investments. The problem here is not in the fields of opportunities – there are many appealing sectors here in Serbia and this is an excellent geographic hub for any sort of manufacturing – but the problems are rather to be

“In recent years Spain’s exports to Serbia have grown rapidly: in 2005/6 our exports more than doubled, while in 2007/8 they increased by more than 50 per cent again.”

JOINT VENTURE OPTIONS

“M

any companies from a big, developed economy like Spain’s can offer joint ventures or investment alternatives in almost any sector – from agribusiness to services, through industrial production, manufacturing and construction. I wouldn’t single out any particular sector as being a Spanish speciality”

I suppose it’s not too difficult to continually double the bilateral trade levels when the starting position is so low? That’s true, but I think the levels are growing fast because we’re offering good prod-

100 Guide to The International Business Sector / March 2009

SPAIN

CLARITY found in the lack of clarity of the regulatory framework. A lot needs to be done to make the Serbian economy more flexible and appealing, as well as enforcing internationallycompatible laws. Do you think the size of the Serbian market is a discouraging factor for would-be Spanish investors? It’s true that Serbia doesn’t represent a very big market and is not very developed in terms of the average income, but it does offer huge opportunities. I think it’s up to the Serbian authorities to make potential investors feel a bit more secure when they come here. It seems that Spanish investors feel like it’s just easier to invest in places like Romania or Bulgaria at the moment, simply because they are in the EU and, therefore, there is more general procedural clarity.

Additionally, we have allocated a million-euro, 100 per cent grant to be spent on feasibility studies. We are planning to continue our promotion of mutual trade, joint venture and investment missions. Serbian President Boris Tadić is set to visit Spain in March in order to help boost cooperation, while next week [late February] a delegation of Serbian journalists will visit Spain to cover the operations of some of our power plants that use solar and biomass technologies, etc., and we’re also planning to organise technical journeys that will look at rolling stock and rail possibilities in Serbia. With all this in mind, it’s fair to say that some major moves are being made and there are great expectations on the Serbian market, though it remains to be seen what will actually happen.

“Serbia doesn’t represent a very big market and is not very developed in terms of the average income, but it does offer huge opportunities.”

Do you field many enquiries on a daily basis from prospective Spanish investors or companies seeking to trade with Serbia; and do you host many business delegations, run economic programmes or offer any initiatives? We handle a lot of enquiries. I don’t actually count the numbers, but just this morning I’ve spoken to five different companies asking about five different products in Serbia. As for commercial visits, I would say that we tend to have one or two delegations coming over per month. These include both sectorspecific groups and broad based multi-sector delegations representing the different regions of Spain. In terms of initiatives offered, we have a financial agreement that accounts for €45 million and is earmarked to be spent on Spanish equipment. This is a soft loan with 35 per cent grant.

To what extent have major Spanish companies invested in the other countries of the region - both those that are current European Union members and those aspiring for EU membership? Spanish companies have made huge investments in Romania and have also invested significantly in both Bulgaria and Croatia. Was the recipient countries’ progress along the path to EU integration a factor in those investments being made? When it comes to Romania and Bulgaria, it was European Union candidate status that made the difference. This is simply because the achieving of this status leads to the releasing of a lot of European Union funds and, subsequently, the arrival of a lot of European companies, which means that businesses get to know the country much better and the situation on the ground becomes clear.

ALPINE D.O.O. GRAĐEVINSKO PREDUZEĆE Nevenka Sinđić, Director Kraljice Marije 17, 11020 Belgrade PGGJDF!BMQJOF ST XXX BMQJOF BU COMPANIA DE VINOS D.O.O. Jasna Antić, Director Kalenićeva 3, 11000 Belgrade EFWJOPT!FVOFU ST www.devinos.net ENGEL SYSTEMS D.O.O. Života Miljković, Director Bul.Svetog Cara Konstantina 80-86, 18000 Niš mziza@engel.es www.engelsystems.co.yu EPTISA PREDSTAVNIŠTVO Alvaro Diez, Director Deli Radivoja 15, 11000 Belgrade eptisaserbia@eptisainternational.es www.eptisasee.com HOTEL SRBIJA D.O.O.  EIX HOTELS Milan Rajković, contact Svetosavski trg 12, 26300 Vršac hotelsrbija@hemo.net www.hotelsrbija.rs INECO PREDSTAVNIŠTVO Cesar Sainz, contact Andrićev Venac 2, 11000 Belgrade cesar.sainz@ineco.es www.ineco.es KOTEKS VISCOFAN D.O.O. Carlos Garcia De La Rasilla, Director Primorska 92, 21000 Novi Sad 381 21 4899674 koteks@koteks.viscofan.com www.koteks-viscofan.com TELVENT DMS D.O.O. Dragan Popović, Director Sremska 4, 21000 Novi Sad office@telventdms.com www.telventdms.com URSA D.O.O. Bora Češljević, Director Milutina Milankovića 25, 11070 New Belgrade bora.cesljevic@uralita.com www.uralita.com

March 2009 / Guide to The International Business Sector 101

SWEDEN

Established Presence “Many Swedish companies have been present on the Serbian and former Yugoslav market for 70-80 years, during both good and not so good times. Today, approximately 70 companies are well established on the market.” “…we believe the Serbian market will continue to provide exciting opportunities and see signiﬁcant developments in the years ahead.” Magnus Lindahl, First Secretary (Commercial Affairs), at the Swedish Embassy in Belgrade

“Some of the leading investors on the Belgrade stock exchange are Swedish investment funds. In particular, East Capital and Gustavus Capital”

he Swedish Trade Council, the Commercial Section of the Embassy of Sweden, assists Swedish companies in their international business development processes and participates in the full process of establishing and developing businesses on the market - through projects with individual companies, seminars and workshops locally, as well as informing the Swedish industry about interesting business opportunities through seminars and individual meetings with companies in Sweden. For the special edition we spoke to Magnus Lindahl, Swedish Trade Council representative and First Secretary at the Swedish Embassy in Belgrade. How would you evaluate current levels of trade and economic co-operation between Serbia and Sweden; are those levels increasing year-on-year? Many Swedish companies have been present on the Serbian and former Yugoslav market for 70-80 years, during both good and not so good times. Today, approximately 70 companies are well established on the market. This long term presence is significant for the Swedish way of doing business by establishing long term partnerships and engagements. Trade between Sweden and Serbia is continuously developing. This is valid in both directions, but especially concerning Serbian exports to Sweden, which have started to pick up pace over the past two years. However, trade statistics don’t reveal the full truth, as many products from and to Swedish companies often go via third markets in the globalised economy of today and, thus, end up somewhere else in the statistics. Among the most important Swedish exports to Serbia are telecommunications equipment and process industry machinery,

102 Guide to The International Business Sector / March 2009

but also paper products, trucks and chemicals. Important imports from Serbia are fruits and berries, but also different products within metal processing. How much untapped potential exists and, in your opinion, in which sectors does the greatest potential lie? Interesting sectors for Swedish industry on the Serbian market are those where there is a clear correlation between the competitive advantages of Swedish companies, business opportunities in Serbia and financing possibilities. Examples of such sectors in Serbia are energy and energy efficiency, transport, water and waste water treatment, district heating, environment, telecommunications and IT. Ongoing EU processes will continue to boost investments in the country. Have ways of further advancing bilateral economic relations been identified? We always have a number of activities throughout the year, including informative seminars in Sweden for Swedish businesses about the potential and opportunities in the region. For 2009 we are focusing on sectors like energy, transportation, environment and civil security. How would you describe the state of the Serbian market at present; are Swedish companies generally satisfied with conditions in Serbia or have they identified specific problems in need of remedying? Swedish companies in Serbia are like most other companies worldwide currently feeling the affects of the global financial slowdown. However, we believe the Serbian market will continue to provide exciting opportunities and see significant developments in the years ahead. Swedish companies present here have expressed their overall satisfaction with doing business in the country and the possibili-

SWEDEN ties outweighing the difficulties. Of course, normal transitional challenges exist, but that’s nothing different from other countries in this part of Europe. Swedish companies in Serbia believe in the market and, therefore, make different kinds of investments through providing finance solutions to their customers, educating staff, transferring know-how and technology, employing new people and building headquarters, as well as opening service centres around the country. One trend that goes very well with the long term aims of Swedish companies is that they are also working actively on developing and strengthening their local suppliers and partners and reaching new markets abroad together. For example, IKEA exports furniture to different locations from their partners in Serbia, SKF works closely with and buys a large part of the production from FKL in Temerin, Volvo Buses is producing and developing buses in close co-operation with Neobus in Novi Sad, which opens up the international market for the company, while Tetra Pak exports substantially from Serbia. Generally, working with Swedish partners also makes local companies more competitive, due to demands in quality, delivery time, corporate social responsibility and prices demanded by Swedish companies.

A B B D.O.O. Aleksandar Ćosić, Director Kumodraška 235, 11000 Belgrade irena.mitkov@rs.abb.com www.abb.com ALFA LAVAL Predrag Grgurović, Director Bulevar Avnoja 65/13 , 11000 Beograd koviljka.simunovic@alfalaval.com www.alfalaval.com ATLAS COPCO A.D. Predrag Ilibašić, Director Milutina Milankovića 23, 11070 New Belgrade office.serbia@rs.atlascopco.com www.atlascopco.com CINI D.O.O Slobodan Spasović, Director Uica 15 bb, 32000 Čačak PGGJDF!DJOJ ST XXX DJOJ ST ERICSSON D.O.O. Bo Andersson, Director Vladimira Popovića 6, 11070 New Belgrade ana.zubovic@ericsson.com www.ericsson.com

Furthermore, some of the leading investors on the Belgrade stock exchange are Swedish investment funds. In particular, East Capital and Gustavus Capital – which are both active owners of a number of well-known Serbian companies. What advice would you give to a Swedish business considering an investment in Serbia during 2009? First of all, finding the right contacts is es-

VALHALL D.O.O. Predrag Knežević, Director Volarsko Polje bb, 22300 Stara Pazova office@valhall-group.com www.valhall-group.com IKEA D.O.O. Dragan Skalusevic, Director Oml. brigada 31, 11070 New Belgrade LA FANTANA D.O.O. Dejan Anti’, Director Patrijarha Dimitrija 12 G, 11090 Belgrade PGGJDF!MBGBOUBOB ST XXX MBGBOUBOB ST LINDAB KFT. Dejan Arsenijevic, Director Bulevar Mihajla Pupina 10/D lokali 99 i 100, 11070 Novi Beograd MJOEBC!ZVCD OFU XXX MJOEBC ST MOGUL BALKAN D.O.O. Emanuel Felix Tunbjer, Director Koste Glavinića 23a 11040 Belgrade danijela.milutinovic@mogul.com www.mogul.com ORIFLAME KOZMETIKA D.O.O. Karolina Georgieva, Director Vladimira Popovića 40, 11070 New Belgrade

sential. It is also very important to develop a local presence, continuously work with the market and establish relations with companies and other actors. We also recommend that companies begin their investment by performing market analysis to make sure focus is given to the right issues. These are also examples where the Commercial Section of the Embassy of Sweden is able to concretely assist in increasing interactions between our two countries.

JOGP!PSJGMBNF ST XXX PSJGMBNF ST SANDVIK SRBIJA D.O.O. Dragan Kovačević, Director Oml. brigada 102, 11070 New Belgrade yug.office@sandvik.com www.sandvik.com EURO MEDICO TRADE D.O.O. Kosovka Ohlsen, Director Koste Vojinovića 2, 11040 Beograd office@euro-medico.com www.euro-medico.com SCANIA SRBIJA D.O.O. Dušan Veljković, Director Batajnički put 1, 11080 Zemun U QPQTBWJO!TDBOJB ST XXX TDBOJB ST SCANIA CREDIT Ljiljana Branković, Director Batajnički put 1, 11080 Zemun MK CSBOLPWJD!TDBOJB ST XXX TDBOJB ST SKF  COMMERCE D.O.O. Predrag Jovanović, Director Bulevar Mihajla Pupina 10 Z/1 QSFESBH KPWBOPWJD!TLG ST XXX TLG ST NORDIK KORPORACIJA D.O.O. Aleksandar Puškar, Director

Fruškogorska 67, 21207 Novi Ledinci nordik@sbb.co.yu www.nordik-korporacija.co.rs TETRA PAK PRODUCTION D.O.O. Ivan Nesterenko, Director Bulevar Zorana Đinđića 44, 11070 New Belgrade bojana.hajdukovic@tetrapak.com www.tetrapak.com VOLVO D.O.O. Marcus Hörberg, Director Svetosavska 213, 22304 Novi Banovci sasha.jankovic@volvo.com www.volvo.com VOLVO BUS D.O.O. Nenad Lužanin, Director Svetosavksa 213, 22304 Novi Banovci sasha.jankovic@volvo.com www.volvo.com VOLVO FINANCIAL SERVICE INTERNATIONAL Sasa Strižak, Director Svetosavska 213, 22304 Novi Banovci sasha.jankovic@volvo.com www.volvo.com

March 2009 / Guide to The International Business Sector 103

SWITZERLAND

Important Trade Partners Serbia’s trade exchange with Switzerland went up by 21 per cent in 2008, while the ratio between import and export jumped from 28 to 39 per cent

witzerland is considered to be an important foreign trade partner of Serbia, though the value of Serbian exports to Switzerland comprises just 0.88% of the total volume of Serbia’s exports. At the same time, the value of Serbia’s imports from Switzerland accounts for 1.06% of the total volume of Serbia’s imports. Out of total of 165 countries that Serbia sold its products and services to in 2008, Switzerland took 22nd place in terms of the value of Serbia’s exports. In terms of imports, the country took 24th place. Serbia’s exports to Switzerland have been marked by stark growth levels since 2004, with the volume growing at an average annual rate of 28 per cent; by 2006

the value of exports to Switzerland had grown to 3.3 times higher than the 2001 volume. The trade exchange with Switzerland went up by 21 per cent in 2008, while the ratio between import and export jumped from 28 to 39 per cent. Nevertheless, the total trade exchange with Switzerland makes up only 1 per cent of Serbia’s overall foreign trade exchange. The greatest potential for the continued growth of Serbian exports to the Swiss market is to be found in agriculture, the textile industry, Serbia’s well-developed metal and food processing industries, machine production and tourism. The prospects for these sectors are enhanced by accelerating the already-overdue completion of Serbia’s privatisation process, particularly as more Swiss companies acquire the capital of Serbian companies. Serbia’s biggest exporters to Switzerland in 2008 were Energy Financing Team d.o.o. Beograd, Trs Swiss Production, Impol Seval Valjaonica, SevojnoEuro Innotech Corporation Beograd, Dam-Mont, RTB Invest, Iva28 Company, Swiss Production, Spektar, U.S. Steel Serbia, Unimet, Telsonic, Popovic Company and Agropartner. Serbia’s biggest importers from Switzerland in 2008 were Roche a.d. Galenika, Rhine - Danube, Jugohemija Farmacija, Agromarket Korićani, Niš Tobacco Industry, Atako, Europolis, Kolint, JT International, Unifarm

POSSIBLE CO-OPERATION

ossibilities exist for Serbia and Switzerland to co-operate in the fields of metal processing (machine manufacturing, electronics industry, car production), as well as in the chemical, agricultural and food processing sectors.

104 Guide to The International Business Sector / March 2009

Medicom, Eurogas, TetraPak, and Vekom Geo Export- Import. The majority of Switzerland’s exports to Serbia made it to the retail sector in 2008, while other popular trade exchange forms were commission deals, financial leasing, and intermediation activities. When it comes to exports, the most frequent forms of trading were retail, metal finishing, intermediation activities and free zone trading. In 2005 and 2006, Serbia and Switzerland signed two important agreements pertaining to promotion, the protection of investments and eliminating double taxation.

“The value of Serbian exports to Switzerland comprises just 0.88% of the total volume of Serbia’s exports” These have become a prerequisite for bettering economic co-operation and investments. In 2008, Serbia mostly exported to Switzerland electricity, fuel and lubricants, water pumps, parts for pumps, wheat, yellow maize, aluminium alloy products (up to 3 mm thickness), plates, sheet metal plates, refined copper strips, machine parts and machines for hard and soft welding, raspberries (frozen and heat processed), non-monetary gold, frozen fruits, refined copper wire, zinc ore / nonalloy zinc and outer car tyres. During the same period, Serbia’s main imports from Switzerland were ready-to-use medicines, cardboard and plastic coated cardboard, liquid butane, machines for bottle filling and capping, washing machines and dishwashers, post office equipment – packaging and wrapping machines, plastic forms, automatic data processing machines, fungicides, print paint, wrist and mechanical watches.

SWITZERLAND ADECCO OUTSOURCING BEOGRAD Marko Kolenc, Director Gavrila Principa 8, Belgrade JOGP!BEFDDP DP ZV XXX BEFDDP DP ZV ABB PREDUZEĆE ZA INŽENJERING I TRGOVINU D.O.O. Aleksandar Ćosić, Director Kumodraška 235, 11000 Belgrade aleksandar.cosic@rs.abb.com www.abb.com AED STUDIO D.O.O. Dragoljub Minić, Director Visokog Stevana 21, 11000 Belgrade NJOJD@BFE!DP ST AGROSTAR D.O.O. Mihajlo Dorić, Director Ilije Ognjenovica 28, 21000 Novi Sad mdoric@eunet.rs ALSTOM HOLDINGS BELGRADE Miodrag Jelisavčić, Director Gračanička 1, 11000 Belgrade office@power.alstom.com www.alstom.com ALBERGO D.O.O. Pero Radovanac, Director Skadarska 34, 11000 Belgrade PGGJDF!QFUJUQJBG DPN XXX QFUJUQJBG DPN ARHI.PRO INŽENJERING D.O.O. Aleksandar Millić i Ivana Milić Cerska 29, 11000 Belgrade PGGJDF!BSIJQSP DPN XXX BSIJQSP DPN ARSEN TRADE D.O.O. Arsenije Živković, Director Smiljanićeva 6, 11000 Belgrade BSTFOUS!QUU ST AUDIOBM D.O.O. Blazo Pisarić, Director Vuka Karadžića 1, 21000 Novi Sad PGGJDF!BVEJPCN ST XXX BVEJPCN ST BACCO D.O.O. Branislav Cvetković, Director Balkanska 35-39, 11000 Belgrade bacco@eunet.yu www.bacco-beograd.co.yu BALKAN LIFT KOMERC D.O.O. Jovica Markuc, Director Bele Bartoka 23, 11211 Borča CML!TCC DP ZV XXX CBMLBOMJGU DPN BIM  TEX D.O.O. Saša Cvetanović, Director Đorđa Stamenkovića bb, 16000 Leskovac

JOGP!CJNUFY DPN XXX CJNUFY DPN BAYER D.O.O. Mirjana Asković, Office Manager Oml. brigada 88b, 11000 Belgrade mirjana.askovic@bayerbbs.com www.bayer.co.rs BMS CHEMIE D.O.O. Branko Drljača, Director Blagoja Parovića 138, 11000 Belgrade office@bmschemie.co.rs www.bmschemie.rs B.P.M. WATCHES D.O.O. Herr Petar Vujičić, owner Đevđelijska 19, 11000 Belgrade bpm@bpmwatches.co.yu www.bpmsatovi.com CONSTANSA D.O.O. Dragan Konstantinović, Director Bul.Kr. Aleksandra 17/2, 11000 Belgrade ESBHBO!DPOTUBOTB DP ST XXX PTFD DI COPECHIM PREDSTAVNIŠTVO Borivoj Vukobrat, Director Dositejeva 4, 11000 Belgrade copechim@eunet.rs CUPRUM D.O.O Vladimir Lazić, Director Nemanjina 3, 26000 Pančevo cuprumsrbija@nadlanu.com DEKOR ART D.O.O Laslo Mor, Direktor Narodnog Fronta 73, 21000 Novi Sad EFLPSBSU!OTDBCMF OFU XXX EFLPSBSU DP ST DUFRY D.O.O. John Forrest, Director Aerodrom Nikola Tesla, 11180 Belgrade iain.forrest@rs.dufry.com www.dufry.com EGERTON D.O.O. Predrag Popović, Director Grge Jankesa 8, 11000 Belgrade JOGP!FHFSUPO ST XXX FHFSUPO ST EKO FARM D.O.O. Zoran Mitrović, Director Narodnog fronta 59, 21000 Novi Sad ekofarm.office@gmail.com ECOKOKO D.O.O. Miroslav Đukić, Director Vladike Nikolaja 46, 14000 Valjevo

ecokoko@nadlanu.com EUROCEM Milovan Klačar, Director Kralja Milutina 53/28, 11000 Belgrade eurocem@eunet.rs EUROPEN GROUP D.O.O Branivoje Lazović, Director Trg Republike 3/V, 11000 Belgrade EFTL!FVSPQFO ST XXX FVSPQFO ST FROMM PAKOVANJE D.O.O Branislav Milenković, Director Surčinska 21B/1, 11070 Belgrade fromm.rs@fromm-pack.com www.from-pack.com GA D.O.O Ivan Alikalfić, Director Ljubomira Stojanovića 21, 11000 Belgrade office@gadoo.rs GEBERIT PREDSTAVNIŠTVO Ivan Džokić, Director Vojvode Skopljanca 24 , 11000 Belgrade info.beograd@geberit.com www.geberit.co.rs GRADIX SISTEM D.O.O. Živanko Puzić, Director Velbuška 5, 11000 Belgrade gradix@verat.net HOLCIM SRBIJA D.O.O Gustavo Navarro, Director 1PQPWBD XXX IPMDJN DI INTERNATIONAL BUSINESS MANAGEMENT SISTEM D.O.O Predrag Micić, Director Lomina 57, 11000 Belgrade QOCPPLT!FVOFU ZV XXX QOCPPLT DP ZV INTERBEOFARM D.O.O Svetlana Mitrović, Director Petra Martinovića 37,11000 Belgrade TWNL!ZVCD OFU XXX JOUFS CFPGBSN DPN INTERMERKUR D.O.O Dejan Obradović, Director Zvečanska 38, 11000 Belgrade 381 11 3692792 381 11 3692827 info@intermerkur.com www.intermerkur.com INTERMERKUR HANDEL AG, Vladimir Ivanović, Director Zvečanska 38, 11000 Belgrade 381 11 3692792 381 11 3692827 info.ag@intermerkur.com www.intermerkur.com

KAFILERIJA D.O.O. BOGATIĆ Tamara Drecun, Director Popa Cvetina bb, Klenje 15357, Bogatić 381 15 787132 LAW OFFICE MILOŠEVIĆ Radomir Milošević, Director Prote Mateje 24, 11000 Belgrade lawoffice@lawmilos.rs www.lawmilos.rs LIGHT STUDIO D.O.O. Nena Nedeljković, Director Jaše Prodanovića 36, 11000 Belgrade lightstudio@sbb.rs www.lightstudiobg.com MBT PETIMPORT D.O.O. Miša Jevtić, Director Francuska 16, 11000 Belgrade mbbart@eunet.rs MEGALIS TRADE D.O.O. Gordana Kühne Jovković, Director Sitnička 4, 11000 Belgrade megalis.office@isp.b92.net MENTA D.O.O Filip Radojević, Director Gospodar Jevremova 47, 11000 BelHSBEF GJMJQ S!NFOUB ST XXX NFOUB ST MERIS D.O.O. Zoran Dželatović, Director Narodnih heroja 42/2, 11000 Belgrade merisbg@eunet.rs www.meris.co.yu 3M EAST AG PREDSTSVNIŠTVO Milan Protić, Director Milutina Milankovića 23, 11000 Belgrade inovation.yu@mmm.com www.mmm.com MRG EXPORT IMPORT D.O.O. Milun Grbović, Director Vele Nigrove 18, 11000 Belgrade NSH!TCC ST XXX NSH DP ST MP INTERNATIONAL D.O.O. Milorad Vranić, Director Milana Tankosića 27, 11000 Belgrade office@mpinternational.rs www.mpinternational.rs NESTLÉ ADRIATIC FOOD D.O.O. Simon Smith, Gen. Director Bul. Zorana Đinđića 64a, New Belgrade QSFTT!DT OFTUMF DPN XXX OFTUMF ST

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SWITZERLAND NESTLÉ ICE CREAM SRBIJA A.D. Naum Janakiev, Director Milutina Milankovića 9b, 11000 Belgrade nestelicecream@delyug.co.yu NEVOKAL D.O.O. Đorđe Ilić, Director Draže Pavlovića 31, 11000 Belgrade nevokal@eunet.rs NITEA D.O.O. Vesna Ječmenica, Director Žorža Klemansoa 19, 11000 Belgrade OJUFB!FVOFU ZV XXX OJUFB DP ST ORAH PROJECTS D.O.O. Konstantin Vuk Savićević, Director Bul. Kneza Aleksandra Karađorđevića 38, 11000 Belgrade WJL!PSBI DPN XXX PSBI DPN PETROBART D.O.O. Aleksandar Mileusnić, Director Maglajska 1, 11000 Belgrade QFUSPCBSU!BWJB ST XXX BWJB ST PETITE GENEVE D.O.O. Sava Petrović, Director Uskočka 7, 11000 Belgrade [FOFWB!CFPUFM OFU www.boutikue-petrovic.com PFIFFNER INSTRUMENT TRANSFORMERS LTD. Radovan Andrejić, contact Aleksinačkih rudara 23/2, New Belgrade pfiffner.srbija@eunet.yu www.pmw.ch PIGMENTUM D.O.O. Predrag Protić, Director Cara Nikolaja Drugog 49, 11000 Belgrade predrag.protic@ciba.com www.ciba.com PINTTILA WATCHES D.O.O. Miodrag Vujičić, Director Bul. Umetnosti 4, Belgrade 381 11 2135934 bpmmerkator@eunet.rs PHARMASWISS SA Petr Nemec, Director Vojvode Stepe 18, 11000 Belgrade office@pharmaswiss.com www.pharmaswiss.com POPOVIC COMPANY D.O.O. Aleksandar Zarin, Director Cara Lazara bb, 21234 Bački Jarak

TURKEY azarin@popoviccompany.co.yu www.popoviccompany.co.yu RE/MAX SERBIA & MONTENEGRO Miodrag Kusić, Director Karađorđeva 89/2, 11000 Belgrade info@remax-scg.com www.remax-scg.com SANOVITA A.D. Slavko Jevtić, Director Stjepana Mitrova Ljubiše 2, 21000 Novi Sad TBOPWJUB!FVOFU ST XXX TBOP WJUB JOGP SCHILLER PREDSTAVNIŠTVO Milan Krković, Director Sićevačka 1, 11000 Belgrade 381 11 3979508 JOGP!TDIJMMFS ST XXX TDIJMMFS ST STOS D.O.O. Aleksandar Gičić, Director Frontovska 38, 11000 Belgrade BHJDJ!IPUNBJM DPN XXX T UP T DPN SAUTER AUTOMATION Mladen Vukanac, Director Alekse Nenadovića 15, 11000 Belgrade JOGP!TBVUFS DP ST XXX TBVUFS DP ST SGS BEOGRAD D.O.O. Marinko Ukropina, Director Bože Jankovića 39, 11000 Belgrade THT CFPHSBE!THT DPN XXX THT DPN SIKA D.O.O. Dragan Maksimović, Director Autoput za Novi Sad 244b, 11273 Batajnica PGGJDF!ST TJLB DPN XXX TJLB ST SKPRED D.O.O Srđan Kuzmanović, Director Svetogorska 2/1, 11000 Belgrade stiv-pred@adsl.yubc.net www.sk-pred.com SYNGENTA AGRO SERVICES AG Dimitrije Đurović, Director Koste Glavinića 2/III, 11000 Belgrade dimitrije.djurovic@syngenta.com www.syngenta.com STEPCOMMERCE D.O.O. Stevan Stepanov, Director Temerinska 22, 21000 Novi Sad yz7aa@nadlanu.com SWISS INTERNATIONAL AIR LINES Rastko Lazarević, Director

106 Guide to The International Business Sector / March 2009

Terazije 3/III, 11000 Beograd rastko.lazarevic@swiss.com www.swiss.com TEHNOTERMO D.O.O. Aleksandar Kitanović, Director Braće Dirak 39, 35000 Jagodina 381 35 242587 office@tehnoterm.co.rs www@tehnoterm.co.rs TEKNOX GROUP D.O.O. Nikola Jovanović, Director Omladinskih brigada 86, 11070 New Belgrade PGGJDF!UFLOPY DPN XXX UFLOPY DPN TELSONIC D.O.O. KAĆ Miodrag Mijić, Director Atar 95, 21241 Kać m.mijic@lakinetwork.com www.telsonic.com TEXIMP D.O.O. Jovica Bodrožić, Director Murska 14, 11000 Belgrade jovica.bodrozic@teximp.com www.teximp.com TRS SWISS PRODUCTION D.O.O. Walthert Richard, Director Rade Koncara 1, 21131 Petrovaradin PGGJDF!UST TXJTT OFU XXX UST TXJTT OFU VEKOM GEO D.O.O. Veljko Fuštić, Director Trebinjska 24, 11000 Belgrade 381 11 2850655 PGGJDF!WFLPN DPN XXX WFLPN DPN VISUAL IMAPCT D.O.O. Sasa Šipka, Director Deligradska 24, 11000 Belgrade JOGP!WJTVBMT ST XXX WJTVBMT ST VUCOMM D.O.O. Nikola Vučković, Director Bulevar Zorana Đinđića 67, New Belgrade 381 11 3017800 JOGP!WVDPNN ST XXX WVDPNN ST YOUNGCULTURE Nebojša Jović, Director Cara Lazara 16, 11000 Belgrade m.djordjevic@youngculture.com www.youngculture.rs ZEPTER INTERNATIONAL D.O.O. Aleksandar Leko, Director Bul.Mihaila Pupina 117, 11000 New Belgrade NBSLFUJOH![FQUFS ST XXX [FQUFS ST

“The Corridor 10 project is of strategic importance...Turkey has one of the biggest ﬂeets of trucks in Europe and over 120,000 Turkish transports transit Serbia every year.” Mustafa Mücahit Uludag, Third Secretary (in charge of economic affairs) at the Embassy of Turkey

peaking for the 2009 Guide to the International Business Sector in Serbia, the Turkish Embassy’s Mustafa Uludag insists that both Turkey and Serbia see each other as neighbouring countries: “we see Serbia as a key county of the region, in both political and economic terms. Unfortunately, however, our bilateral economic relations do not reflect the potential of both countries.” How would you describe current levels of bilateral trade and economic co-operation? Our bilateral trade relations are characterised by higher Turkish exports to Serbia. For example, last year our bilateral trade volume reached US$520 million – of which US$460 million represented Turkish exports to Serbia. ue to the global crisis, last year’s trade

TURKEY

Unrealised Potential Thanks to Serbia’s proximity to the huge EU market and the country’s free trade agreement with Russia, we see great opportunities for Turkish business here figures saw a four per cent decrease on 2007. Though the affects of the crisis are expected to prevail this year and perhaps next, we believe that our bilateral trade will increase over the long term. This is primarily because we expect our foreign trade negotiations to conclude in early March, thus giving a boost to bilateral trade. On the investment side, levels are far below their potential. We are well aware that we are lagging behind all over countries in the region and although we have made considerable investments across the Balkans this is not the case in Serbia. As an embassy, we are exerting efforts to change this situation. Progress was marked recently by the visit to Turkey of Deputy Serbian Prime Minister Đelić to attend the world economic forum in Istanbul. Minister Đelić held successful meetings with his counterparts in our government and a number of businessmen in Turkey. First of all, though, we expect to finalise the free trade agreement between Turkey and Serbia. We attach special importance to this agreement, principally because we’ve concluded FTAs with all Balkan countries except Serbia. It is important for Turkey, but we feel that this is also very imporADORA D.O.O. Omer Simsek, Director Episkopa Nikolaja 22, 11000 Belgrade 381 11 3077822, 381 11 3077853 BEPSB!BEPSB ST XXX BEPSB ST MERTER TEXTIL d.o.o. Yilmaz Yigit, Director Branka Šotre 1/A, 11000 Belgrade mertertextil@sesampro.yu TATLE d.o.o. Eyyup Sabri Yuncu, Director Autoput 20, lok 18, 11000 Belgrade 381 63 304504, 381 63 305212 tatledoo@yahoo.com, tatledoo@hotmail.com MN DURAN d.o.o. Beograd Nedret Duran, Director Gospodska 3, 11080 Zemun 381 11 2105212, 381 11 2107851

tant for Serbia because last year, for instance, Turkey imported goods worth US$200 billion from all around the world, of which goods from Serbia reached US$60 million or 0.03% of goods exported to Turkey. Where do you see chances for Turkish investment in Serbia? Thanks to Serbia’s proximity to the huge EU market and the country’s free trade agreement with Russia, we see great opportunities for Turkish business here. First and foremost, we see great potential in the textiles industry, for which Turkey is renowned. Serbia’s FTAs will help our textile businesses access new markets and the global crisis means that textiles producers that are geographically closer to the markets, like Turkey, will have an advantage over other textile industries of China or Bangladesh. I’ve tried to entice some textile firms from Istanbul to Serbia and we are currently arranging a business delegation to visit Serbia. We also see chances in construction. The Corridor 10 project is of strategic importance to the whole region and Turkey’s construction firms meet the standards demanded by international financers and have vast experience in Russia and elsewhere. The third sector where we see potential for Turkey is in logistics. Turkey has one of the biggest fleets of trucks in Europe and over 120,000 Turkish transports transit Serbia every year, so it would make sense for Turkish logistical companies to use Serbia as a central base of the region. Isn’t it simply the case that a negative national image is affecting the prospects of

381 11 2105212, 381 11 2107851 mnduran@eunet.yu INS EKOL d.o.o. Ibrahim Donmez, Director Smederevski put 45, 11000 Belgrade 381 11 3411292, 381 11 3410780 FLPM!FLPM ST XXX FLPM ST JUMLINE d.o.o. Ibrahim Yumusak, Director Vojvode Mišića 17, 11000 Belgrade 381 11 3691294, 381 11 3690215 381 11 3691294 jumline@hotmail.com SUR Sofra Doner Nihat Ersan, Director Kralja Milana 47, 11000 Belgrade 381 11 3640627 OBBATEX d.o.o. Omer Bajsal, Director Simeona Končarevića 40, 11080 Zemun

Turkish investments in Serbia? Serbia does have an image problem in Turkey, which is mainly a result of the negative affects of the Milošević era, while Turkey’s image problem in Serbia goes back much farther, as we all know. We try to spread the word in Turkey that Serbia has gone through a comprehensive democratic transformation and is not the same country as it was in the ‘90s. It has a strongly pro-Western government, is aspiring to join the EU and Turkish investors shouldn’t miss the train. We have invited a group of economic journalists and a business delegation from Turkey to come to Serbia in early April to meet with their counterparts here, as well as government departments, so they can go back to Turkey and inform our public – in particular economic circles – about the business climate in Serbia. Is anything else holding potential Turkish investors back? Probably the biggest problem is visa restrictions. Our businessmen and tourists are reluctant to come to Serbia because it’s extremely difficult for a Turkish citizen to get a visa for Serbia. An ordinary Turkish citizen needs to submit their bank account details, proof of a return ticket, property registrations, etc. This is a gift of the Milošević regime, because the former Yugoslavia and Turkey had a visa-free agreement and Serbian citizens are automatically issued with a visa at the Turkish border for a small fee, which is why some 200,000 Serbs spend their holidays in Turkey each year and no Turkish tourists come to Serbia. As with the FTA, Turkey has concluded reciprocal visa systems with all countries of the region except Serbia, which is just one more reason why Turkish businesses are reluctant to come to Serbia.

381 11 3166191, 318 11 3166191 MARTEX d.o.o. Marija Kade, Director Babički Odred 76, 18000 Niš 381 18 590431, 381 18 590431 martexdoo@hotmail.com LYCTUM d.o.o. Erkan Muhacir, Director Slobodana Glumca 8 B, Altina, 11000 Belgrade 381 11 191584, 381 65 6687200 accm@lyctum.com www.lyctum.comv EDUKATIVNI CENTAR BEJZA d.o.o. Murat Koč, Director Vuka Karadžića 7, 11000 Belgrade 381 11 3281449, 381 11 3283508 JOGP!CFK[B FEV ST XXX CFK[B FEV ST S.T.R.FA & MI Ihsan Kaya, Director

Jurija Gagarina 248, 11000 Belgrade 381 63 7171231 FLORY d.o.o. Mithat Kaya, Director Ugrinovački put 99c, 11000 Belgrade 381 11 3774839 GMPSZNZL!ZVCD OFU XXX GMPSZMVULF DPN NOBEL ILAC SANAYII VE TICARET A.S d.o.o. Dejan Popović, Director Molerova 78, 11000 Belgrade 381 11 3445947, 381 11 3445948 381 11 3445947, 381 11 3445948 dejan.popovic@nobel.com.tr www.nobel.com.tr UNSAL d.o.o. Faruk Omer Pamukoglu, Director Save Kovačevića 86, 36300 Novi Pazar 381 20 311415 , 381 62 310307 omerpamukoglu@gmail.com

March 2009 / Guide to The International Business Sector 107

UKRAINE

Good Economic Co-operation By Elena VASILYEVA

everal Ukrainian companies are already operational in Serbia and since 2002 the trade exchange between Ukraine and Serbia has gone up several times. For the international business special we spoke to Irina Zhornyak, Head of the Ukrainian Embassy’s Trade and Economic Mission, about the prospects of trade co-operation between the two countries.

“The leading Serbian company, Delta Holding, and its subsidiary, Delta Maxi, opened its ﬁrst supermarket in Ukraine last year – in the city of Krivoy Rog. Irina Zhornyak, Head of the Trade and Economic Mission of the Embassy of Ukraine in Belgrade

“The interim trade agreement with the EU will solve one of the biggest obstacles – high import rates for some products.”

How would you assess the development of economic co-operation between Ukraine and Serbia over recent years? If we are talking about trade and economic relations, we need to highlight that they have been quite stable and dynamic. The trade exchange between our two countries has been constantly growing in the last few years. In 2002 its volume stood at US$130.8 million, while in 2007 it was close to US$508.67 million. During the eleven-month period up to November 2008, the trade exchange has almost doubled, reaching a record level of US$830 million. Serbaia’s exports to Ukraine have gone up, as have Ukrainian exports to Serbia. Indeed, our country takes eight place in terms of exports to Serbia. Which economic sectors does Ukrainian-Serbian co-operation encompass? At present we are mostly co-operating in the metal processing, chemical, food processing, pharmaceutical and light industry, as well as in agriculture, transport and wood processing. One example of successful co-operation is certainly that between Serbian companies Sintelon and Tarkett with Ukrainian company Oreanda. These companies formed a joint venture company that produces floor coverings and parquet flooring. Last year the leading Ukrainian metal processing company, Metalinvest SMC, opened its branch office in Belgrade, while there is also efficient cooperation between Ukrainian partners and the Scientific & Research Institute for Maize, Zemun Polje (from Belgrade), and the Institute AEROSVIT Nikola Jelić, Director Nikole Spasića 3, 11000 Belgrade 381 11 3283430; 381 11 3283430 aerosvit@eunet.yu AZOVIMPEX Svjatoslav Fedorovic Serdjuk,

108 Guide to The International Business Sector / March 2009

of Field and Vegetable Crops from Novi Sad. These collaboration sees top quality seed exported to Ukraine. Serbia’s Delta Maxi has acquired Ukrainian retail chain, Smak, which has five shopping malls whose names will soon be changed to Maxi. I would especially like to single out Ukrainian company, Azovimpeks, which successfully acquired a railway car factory in Kraljevo. Nowadays Azovimpeks is successfully working on implementing a longterm agreement, worth €45 million, which will result in them selling railway cars to the EU market. What other sectors and projects could Serbian companies find appealing for investment in Ukraine? In my opinion, there are quite a few opportunities for Serbian companies when it comes to projects pertaining to the 2012 European Football Championships. Ukraine has been actively engaged on modernising its transport, sport and tourist infrastructure in Kiev, Lvov, Odessa, Donetsk and Dnyepropetrovsk. We have already put organisational and financial mechanisms in place, both at the state and regional levels, in order to implement this project which is of great importance to Ukraine. What goals have you set for the development of Ukrainian-Serbian co-operation in 2009? We are organising a session of the Intergovernmental Commission for Trade, Economic, Scientific and Technical Cooperation, which should take place this year and is a very important issue for the development of our bilateral economic relations. The last time the Commission met was in Kiev in 2002. This year’s session should not only contribute to a more active economic dialogue, but should also review issues that are of mutual importance, such as European integration, the free trade agreement and further co-operation in the most important branches of the economy.

Gen.Director Industrijska 27, 36000 Kraljevo 381 36 392526; 381 36 392527 gen-dirfvk@tron-inter.net UKRAINIAN DANUBE SHIPPING Sergej Kostev, Director direktor Knežopoljska 1, 11000 Belgrade

381 11 3392424 udp.bgd@infoskay.net METALINVEST Dušan Bilkić, Director Teodora Drajzera 36, 11000 Belgrade; 381 11 3676094 office@metinvestsmc.rs

UNITED KINGDOM

Proactive Approach “The British–Serbian Chamber of Commerce officially commenced its work in Belgrade on 5th February 2009, when a formal promotion was held at the British ambassadorial residence in Belgrade”

he growing global economic downturn hasn’t managed to put a dampener on plans to form the British – Serbian Chamber of Commerce in Belgrade this February. “In 2009 our country is going to be proactive and even more present in Britain. We’re going to organise a conference called ‘Agribusiness’ in London in spring, at which we will present opportunities for investing in Serbian agriculture. We also plan to put together a conference entitled ‘IT Sector in Serbia’, as well as promoting two domestic investment destinations – Niš and Pirot,” says Dušan Filimonović, Director of the British–Serbian Chamber of Commerce in Belgrade. What inspired the founders to launch the British-Serbian Chamber of Commerce in Serbia, particularly at this economic juncture? We came up with the idea at the Serbian Embassy in London in January 2007. By April that year we’d already started to call certain companies to request they take part in establishing the chamber, albeit under a different name. So, the British Serbian Business Council was founded in April 2007 and two months later the first conference was held in the City of London, under the title ‘Investment Climate in Serbia’. In November of the same year we put together a conference entitled ‘Opportunities for Investing in Serbian Real Estate’. However, in early 2008 relations between the two countries become somewhat strained following the UK’s recognition of Kosovo’s independence. In April 2008 we applied for and were granted the status of a chamber of commerce in Great Britain, prompting us to aptly rename the organisation the British–Serbian Chamber of Commerce.

In September 2008, following the formation of a new Serbian Government, it was only natural to launch the same initiative here in Serbia. The British–Serbian Chamber of Commerce officially commenced its work in Belgrade on 5th February 2009, when a formal promotion was held at the British ambassadorial residence in Belgrade, hosted by H.E. Stephen Wordsworth. I would like to use this opportunity to thank Ambassador Wordsworth for his support. As for the timing, the idea to establish a chamber in Belgrade started before the economic crisis arose, with the aim of improving relations between the two countries, at least in an economic sense. How much can the British–Serbian Chamber of Commerce help to attract more British investors to Serbia? The aim of the British–Serbian Chamber of Commerce is to be proactive and help Serbia see this global crisis as its chance. What is happening at the moment is that many British companies have been trying to relocate their production facilities from the Far East to a more accessible and closer destination, like Europe. The main reason for this is reduced profit, due to the increasingly higher transport costs which have prompted them to contemplate other locations. We have already been contacted by certain British companies who are inquiring about relocating their production to Serbia, encouraged by the country’s geographic position, incentives offered by our state and the cheap, competent workforce. For example, a company called PM Components wants to relocate part of its production to Niš, while another British company is interested in assembling engines in Rakovica. Another British company wants to buy the Belgrade Fair.

“Our aim is to be proactive and help Serbia see this global crisis as its chance”

“We plan to organise agribusiness and IT conferences in London”

Dušan Filimonović, Director of the British– Serbian Chamber of Commerce in Belgrade

How successful are our experts in London; are they planning to come back to Serbia, especially at this time of crisis? The young people who left Serbia for Britain in the 1990s have become pretty successful and have taken up high positions in various companies. There is an association called the Serbian City Club, which has over 500 members who all work in The City (London’s central business district). We are planning to co-operate with the Serbian City Club, as a project leader, and the Ministry of Diaspora. We plan to set up a high quality web portal where our young experts working in Britain and around the world will be able to receive information about Serbia’s workforce demands. Young Serbian executives are lacking information about the employee profiles sought here and how high the salaries are, which are mostly not sufficient enough to have a good quality life in Serbia.

UNITED KINGDOM Nick Groves, Head of Trade & Investment, British Embassy in Belgrade

CAUTIOUS “We have ongoing interests in electronics, spas, retail and leisure developments. Development projects are slowing down because of the crisis, but they are on ice as opposed to being scrapped.”

ritish companies have not invested heavily in Serbia over recent years. Speaking for the 2009 Guide to the International Business Sector, the British Embassy’s Nick Groves explains why.

British companies haven’t exactly flocked to Serbia since the changes of 2000. Why do you think that is and are UK investments in Serbia likely to pick up? There are a couple of reasons: distance and a lack of awareness of this market. I’ve mentioned this before and it hasn’t really changed. Generally, if UK companies are looking to expand abroad, as a first step they tend to go to closer or to English-speaking countries, such as Ireland, the U.S., or Western Europe. There’s also been a great deal of interest over the past few years in the big emerging markets that we hear so much about.

REGIONAL APPROACH

think it makes more sense to present the Western Balkans as a single region because of the common language and the legacy of the former Yugoslavia and the intact business networks it left behind. For instance, a business contact in Belgrade is likely to have links into Zagreb, Sarajevo or Ljubljana.

So the lack of British investments here is not peculiar to Serbia, but is rather common to the whole region? To an extent, but the difference comes when countries become EU candidates or join the Union. We’ve seen that change happen as countries have joined. For instance, there’s a much heavier British business presence in Romania and Bulgaria. This is not only because they represent bigger markets – at least Romania – but rather because they became more interesting politically and economically as they defined their path to the EU more clearly. I’m sure that will be the same for Serbia once it gets ‘candidate’ status, which sends a clear message about EU confidence in the country to UK companies that are not really familiar with this region. Furthermore, I don’t think it’s a coincidence that the biggest investors in this country tend to be neighbours or near neighbours who are naturally more familiar with Serbia.

110 Guide to The International Business Sector / March 2009

How would you describe current trade levels between Serbia and the UK; are those levels increasing year-on-year? They are. They started from a fairly modest base, but they are increasing. Back in 2007 we saw an increase of about 28 per cent and last year’s figures look like they’ll be around the 35 per cent growth mark, which will bring UK exports up to around US$280 million. Is the global financial crisis affecting levels of trade and investment between Serbia and the UK and have you lowered expectations accordingly? I think it’s inevitable that the downturn will have an impact. I’m sure it’s true for companies from all countries that money is tight, conditions are not great and it’s expensive to borrow. This presents a fairly difficult situation when it comes to investment across the board. Trade will experience difficulties as well, because we’re expecting Serbian demand to drop off and that credit, which has driven demand for imports in the last few years, will be squeezed domestically. How much potential exists for further British investment and, in your opinion, in which sectors does the greatest untapped potential lie? At the moment we have ongoing interests in electronics, spas that the government is considering privatising, retail and leisure developments. The development projects are obviously slowing down because of the crisis, but they are on ice as opposed to being scrapped. In terms of outsourcing, there’re definitely opportunities for UK companies. British manufacturing has been moving offshore for years now and I really don’t see that changing. Another feature of UK business moving overseas has been in service provision and call centres. Serbia has a good offer in this respect and some companies are

UNITED KINGDOM

OPTIMISM already setting up such operations. Have possible areas for the further advancement of bilateral economic relations been identified and have strategies been developed accordingly? The big headline was the launch of the British-Serbian Chamber of Commerce in Serbia on 5th February – a week after its UK launch. Parallel to that, the Serbian Government recently announced that it’s sending ‘economic ambassadors’ to various capitals, one of which is London. This will certainly lead to more active campaigning from the Serbian authorities in terms of promoting Serbia as a business destination. Furthermore, UK companies are starting to take note of some of the bigger ongoing opportunities here, funded through the National Investment Plan or international financing, in the power sector, transport infrastructure and so on. We’re going to take a couple of delegations over to the UK in the

coming months, to focus on gas and the electric power industry, and we’ve got a few more

will encourage more companies to take this part of the world seriously.

“UK companies are starting to take note of some of the bigger ongoing opportunities here in the power sector, transport infrastructure, etc.”

Are existing British investors in Serbia satisfied with conditions on the market or have they identified areas requiring improvement; do they complain to you? Obviously we do act on behalf of UK companies that are having difficulties, but on the whole I’d say that’s rare. Companies get on with business in a positive way, only occasionally grumbling about the difficult bureaucracy, slow court procedures and so on – complaints that I think you’ll find across the international business community in Serbia. On the rare occasions that we do have to approach the Serbian authorities on behalf of a British company, we are happy to say that the authorities are approachable and willing to co-operate. One thing you can say about the Serbian authorities is that

general promotional events for Serbia and the wider region. I’m working with my colleagues based in other former Yugoslav republics to present this part of the world as a region, as opposed to separate markets, which we think

March 2009 / Guide to The International Business Sector 111

UNITED KINGDOM they’re open to investment and realise its importance, as shown by the incentives offered here in contrast to some other countries. What advice would you give a British business considering an investment in Serbia in 2009? First of all, I’d say that Serbia still offers significant opportunities, particularly if it’s able to pursue its EU path. Companies should perhaps be looking to take advantage of Serbia in the medium-term and if they’re looking to invest this year then it should be carefully timed to try to take advantage of any eventual upswing. Companies hoping to start operations right now could find the situation problematic, but they could find a good opportunity if they’re looking to set up now and start operations at the end of this year or the start of next. Moreover, given the current difficulties, companies coming now with serious propositions for investment are going to be welcomed with open arms, beAGENA TECHNOLOGY d.o.o. Ismet Grebović, Director Dositejeva 31, 22310 Šimanovci ismet.grebovic@agenatechnology.com www.agenatechnology.com ALLIED PICKFORDS SERBIA Jovica Grujić, Director Žarka Obreškog 23, 11273 Zemun movers@alliedpickfords.co.rs www.alliedpickfords.co.rs AIRTREND GOBRID Ltd Goran Kolić, Director Kumanovska 14, 11000 Belgrade HPCSJE!FVOFU ST XXX BJSUSFOE ST ARCON OVERSEAS LIMITED Saša Zdravković, Director Vidikovački Venac 83, 11000 Belgrade BSDPO!TCC DP ZV XXX BSDPO DP ZV ARUP d.o.o. Olga Đurić Perić, Director Đorđa Stanojevića 12, 11000 Belgrade olga.djuric-peric@arup.com www.arup.com ASTRA ZENECA Dejan Senćanski, Director Ljube Stojanovića 4, 11000 Belgrade

Nick Groves, Head of Trade & Investment cause they are so few and far between. Finally, I would tell them to be cautious, not rush, get their facts straight and carefully perform their due diligence studies, because we’ve

dejan.sencanski@astrazeneca.com www.astrazenaca.com BRITISH AIRWAYS Natali Brodnik Radovanović, Director Knez Mihailova 30/IV, 11000 Belgrade CB CFMHSBEF!CB DPN XXX CB DPN BDSP YU Duško Maksimović, Deputy Gen. Manager Bul. Arsenija Čarnojevića 54A/16, 11070 #FMHSBEF EVTLP NBLTJNPWJD!CETQ DP ZV www.bdsp.com BPA London d.o.o. Ivan Ristić, contact Ljubinke Bobić 8/16, 11000 Belgrade i.ristic@bpalondon.biz www.bpalondon.biz BRITISH AMERICAN TOBACCO South East Europe d.o.o. Luiz Heeren, Gen.Director Bul.Mihaila Pupina 165G, 11000 Belgrade MVJ[@IFFSFO!CBU DPN XXX CBU DPN COMPARE SOUTH EAST EUROPE d.o.o. Željko N.Luketić, Director Jaroslava Čermaka 2, 11185 Zemun nikolas.luketic@compair.com

seen in the past that things can go wrong when companies rush. That said, opportunities are still available in Serbia and if a company waits too long they could miss out.

www.compair.co.rs CUMMINS SerboMonte d.o.o. Slobodan Sretenović, Director Autoput 22, PF 113, 11080 Zemun office@cummins.co.rs

BOJOVIĆ DAŠIĆ KOJOVIĆ

Advokati / Attorneys at Law Tel: +381 11 3036 468, Fax: +381 11 3036 469 Gospodar Jovanova 83, 11 000 Belgrade, Serbia www.bdklegal.com, e-mail: office@bdklegal.com www.cummins.co.rs DOOSAN BABCOCK ENERGY Ltd. Dennis Morrison, contact Bul.Mihaila Pupina 10-V/619, 11000 Belgrade dmorrison@doosanbabcock.com www.doosanbabcock.com DELOITTE d.o.o. Miloš Macura, Director Mekenzijeva 24, 11000 Belgrade

Bul. Zorana Đinđića 144v, 11070 Belgrade sasa.trajkovic@echarris.com www.echarris.com ENERGY FINANCING TEAM d.o.o. Zlatan Matko, Director Bul. Mihaila Pupina 10 b/II, 11070 BePHSBE JOGP!FGU HSPVQ OFU XXX FGU HSPVQ OFU EQUEST d.o.o. Vladan Živulović, Director

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381 11 3812110, 220 381 11 3812101, 201, 112 ndjurovljevic@deloittce.com www.deloittece.com EC HARRIS d.o.o Saša Trajković, Deputy Director

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Malog Radojice 20,11000 Belgrade belgrade@equest-partners.com www.equestbalkan.com EMAC UPRAVLJANJE INVESTICIJAMA d.o.o Dušan Mijić, Director Ruđera Boškovića 2c, 21000 Novi Sad dmijic@emac-global.com www.emac-global.com ERNST & YOUNG BEOGRAD d.o.o. Mirjana Perendija Kovačević, contact Bul.Mihila Pupina 115d, 11070 Belgrade FZ PGGJDF!ZV FZ DPN XXX FZ DPN G4S SECURITY SERVICES d.o.o. Dragiša Marinković, Director Kumodraška 240, 11000 Belgrade PGGJDF!ST H T DPN XXX H T DPN ST IUN GLAXO SMITHKLINE (GSK) EXPORT LTD Crina Ancuta, Director Oml. brigada 88, 11070 Novi Beograd $SJOB % BODVUB!HTL DPN XXX HTL DPN GLOBAL SUBSTATION SOLUTIONS d.o.o. Damir Karagić, Director Milentija Popovića 9, 11070 Belgrade damir.karagic@gss.eu.com www.gss.eu.com HARRISONS SOLICITORS Mark Harrison, Director Terazije 34, 11000 Belgrade mark.harrison@harrison-solicitors.com www.harrisons-solicitors.com BT PEGROTOUR d.o.o. Predrag Španjević, Director Čubrina 4/4, 11000 Belgrade office@rs.hrgworldwide.com www.hrgworldwide.com ILS d.o.o.(in association with Clyde&Co) Boris Baklaja, Director Gospodar Jevremova 47/12, 11000 Belgrade DMZEF!DMZEF ST XXX DMZEFDP DPN INTERDEAN Vesna Dragić, Director Višnjička 51,11000 Belgrade belgrade@interdean.com www.interdean.com IMI International d.o.o. Zoran Jovanović, Director Milutina Milankovića 1b,11070 Belgrade

zoran@imi-international.rs www.imi-international.rs KING STURGE d.o.o. Srdjan Vujičić, Director Bul. Mihaila Pupina 6, 11070 Belgrade srdjan.vujicic@kingsturge.com www.kingsturge.com KPMG d.o.o. Beograd Nina Bulatović, Senior partner Kraljice Natalije 11,11000 Belgrade nbulatovic@kpmg.com www.kpmg.co.yu LINK CONSULTANTS Ivana Tadić, authorise pearson Omladinska 11a,11000 Belgrade info@link-consultants.com www.link-consultants.com MACE d.o.o. Branislav Simovic, Director Bul. Mihaila Pupina 6/XXII, PC Ušće, 11070 New Belgrade CTJNPWJD!NBDF DP ST XXX NBDF DP ST MINECO PLUS d.o.o. Aleksandar Andrejević, Gen.Director Strahinića Bana 1, 11000 Belgrade per@mineco.chala@mineco.ch www.mineco.ch MmD PUBLIC RELATIONS James Gunn, Director Braće Jugovića 5, 11000 Belgrade ljiljana.ilic@mmdcee.com www.mmdcee.com MORSON BEOGRAD Zoran Rudić, Director Dečanska 12, 11000 Belgrade zoran.rudic@morson-beograd.com www.morson-beograd.co OWEN OWEN James Owen, Director Kosovska 17/II,11000 Belgrade PXFO!TCC DP ZV XXX PXFOPXFO DP ZV DRUŠTVO ZA TRGOVINU I USLUGE PARKVETS-NS SRBOBRAN Srđan Srđanov, Director Dimitrija Polit Desančića 14, 21480 Srbobran QBSLWFUT!TUDBCMF DP ZV XXX QBSLWFUT DPN Tara developments-Poseidon d.o.o. Nemanja Marijan, Director Bul.Mihaila Pupina 10d/I,11070 Belgrade

March 2009 / Guide to The International Business Sector 113

info@poseidon-gp.com www.poseidon-gp.com PLUTO CAPITAL DOO Justin Faiz, Director Zmaja od Noćaja 12/III/6,11000 Belgrade kristina@plutodevelopments.com www.plutodevelopments.com PRICEWATERHOUSE COOPERS d.o.o. Emmanuel Koening, Director Oml. brigada 88a, 11070 New Belgrade PGGJDF!ST QXDHMPCBM DPN XXX QXD DPN RIO SAVA EXPLORATION Nenad Grubin, Director Bul.Zorana Đinđića 71, 11070 Belgrade nenad.grubin@riotinto.com www.riotinto.com SONY Professional Predstavništvo Đorđe Đukanović, Director Oml. brigada 88a, 11070 New Belgrade djordje.djukanovic@eu.sony.com www.sony.com SCOTT WILSON d.o.o. Lance Van Dyk, Director Studentski trg 7, 11000 Belgrade TXCMH!WFSBU OFU XXX TDPUUXJMTPO DPN SHELL d.o.o. Dragana Kačar, Director Bul.Mihaila Pupina 10B/II, 11000 BelHSBEF ESBHBOB LBDBS!TIFMM DPN XXX TIFMM DPN

SHM SMITH HODGKINSON d.o.o. Vladislav Ilić, Director Bul.Mihaila Pupina 10v/I apt 503, 11070 /FX #FMHSBEF PGGJDF!TIN ST XXX TIN ST TELEGROUP d.o.o. Nenad Marinković, Director Svetozara Miletića 9a, 11000 Belgrade office@telegroup-ltd.com www.telegroup-ltd.com TELIC d.o.o. S.Shridhar, Director ÀQBOTLJI CPSBDB #FMHSBEF TTISJEIBS!UFMJD DPSQ DPN www.telic-corp.com UNILEVER d.o.o. Dan Rusu, Director Oml. brigada 88, 11000 Belgrade belgrade.usce@unilever.com www.unilever.com VECTOR MANAGEMENT INTERNATIONAL d.o.o. Drago Vukalović, Director Kneginje Zorke 2, 11000 Belgrade drago.vukalovic@vector-ser.com www.vecman.com ONE MEDIA Beograd Milan Maravić, Director Rige od Fere 20/7, 11000 Belgrade milan.maravic@zenithoptimedia.co.yu www.zenithoptimedia.co.uk

UNITED STATES Cameron Werker, First Secretary (Commercial Counsellor) U.S. Embassy

NATURAL HUB “Serbia’s position as a centre of business activity will continue only if the government sets a course that advances economic reform”

t’s true that the U.S. and Serbia don’t always agree, but when it comes to economic and commercial affairs the countries have a solid partnership. Indeed, according to Cameron Werker, Commercial Counsellor at the U.S. Embassy in Belgrade, “There’s no doubt that the U.S. is a partner of Serbia on many fronts and, as we move forward, a strong economy in Serbia only bolsters the stability and predictability of the entire region.”

“It’s one thing to roll out the red carpet for new investors, but you have to keep the investors you attract happy”

How would you describe current levels of trade and economic co-operation between Serbia and the U.S.; are those levels increasing year-on-year? The potential was probably at its highest in August of last year. At that time we had a situation where the Serbian government finally coalesced around the common goal of EU integration; there was a tremendous level of optimism, from the result of the parliamentary and presidential elections, that trickled down to the municipalities and we saw new leaderships in Niš, Smederevo, Novi Sad, etc. We really saw the country coming together around the goal of EuroAtlantic integration, with the EU in particular, and foreign investors saw that as the green light to come in. There’s probably no greater proponent of doing business in Serbia than I am and it’s a shame that once Serbia got its house in order the rest of the world got in its way as a result of the world economic crisis. The crisis has an impact on levels of investment, so what we’re seeing now is a trickle; those companies that have access to capital are coming in, albeit slower than I think they would have given the domestic economic climate that created stability and predictability in the summer. So, at no fault of Serbia, those levels today are nowhere near what I thought they would be back in August. Nevertheless, I think that economic co-operation between the U.S. and Serbia is excellent. There’s no

114 Guide to The International Business Sector / March 2009

doubt that the U.S. is a partner of Serbia on many fronts and, as we move forward, a strong economy in Serbia only bolsters the stability and predictability of the entire region. How much potential exists and, in your opinion, in which sectors does the greatest untapped potential lie? Serbia really does have great potential as the geographic and economic hub of the Balkans. Its position as a centre of business activity will continue only if the government sets a course that advances economic reform and opens the doors for new and existing businesses to invest and expand. And I think that’s the key: while the global economic situation is as it is, an opportunity is presented for this government to govern. By that I mean that the slowdown offers the chance to pass reform legislation that’s desperately needed, to concentrate more on the regulatory guillotine, to debate, ratify and pass the new foreign trade law, etc. If they can move this forward now and get these reforms in place, then once this economic situation clears – which it will in time – they’ll be ready for the arrival of new investors. If they don’t do these things now, they’re going to have to do it when everybody else is ready to go and that will just put them even further behind. I mentioned opening doors to new investors, but it’s just as critical to service existing investors. It’s one thing to roll out the red carpet for new investors, but you have to keep the investors you attract happy. And you do that by creating a transparent and fair system for them to operate in. Is Serbia’s excessive bureaucracy and red tape of most concern to U.S. investors? Yes, that coupled with transparency and clear points of contact, but also clear governing authority and responsibility for people to carry out their jobs. Moreover,

UNITED STATES

Serbia’s regulatory system still hasn’t developed to the point where these regulatory bodies actually have the authority to carry out their mandate. In a way, this puts existing investors in a bind over where to turn and that just slows down the process of day-to-day business. I want to be clear and say that U.S. investors are certainly happy here. They’re profitable; none of them have left and this is an environment that has a lot of potential. Still, you’ve got to create an environment that keeps them happy – if only so they’ll go out and spread the positive word to other businesses. Are you aware of any U.S. business considering pulling out of Serbia as a result of the global economic downturn? Absolutely not, at least not the U.S. companies that I’ve talked to. I think companies see the potential and are willing to ride the crisis out. It’s important for people to realise that the crisis really hasn’t hit Serbia yet. The Serbian government has made some positive steps: the recently announced loan programme is a very proactive step – as long as it’s properly and transparently implemented – and I think the government needs to continue to work with business, both domestic and multinational, on strategies of moving forward. There’s got to be a coordinated effort by the government to address some of these issues because, as I say, Serbia still hasn’t felt the full effects of the crisis: there’ve been no mass layoffs, no bankruptcies and no serious government budget shortages truly affecting social programmes in Serbia. Do you think there’s still a level of denial here that the crisis will hit Serbia? No. I think there was, but now that’s changed. Certain senior government officials have been very open and clear on how seriously this could impact on Serbia, while National Bank of Serbia Governor Jelašić has been clear and pragmatic from the start on certain issues like the exchange rate, which is a very difficult thing to try to control. Governor Jelašić is under a lot of

“We see Serbia as the rightful commercial and economic hub of the region.” pressure from businesses and other government entities, but the market will ultimately dictate what the Dinar-Euro exchange rate should be. Have possible areas and strategies for the further advancement of bilateral economic relations been identified? As I said, I think the U.S. and Serbia have a very good bilateral economic and commercial relationship. As an example, earlier this month (February) a delegation of the U.S. Trade & Development Agency, USTDA, came for a two-day visit to Belgrade to assess opportunities for providing grants for Serbian businesses or government entities to develop project feasibility studies or conduct orientation visits to the United States. During the visit we met with the Minister for Telecommunications & Information Society to discuss a digitalisation project. This is just an example of how committed we are to helping Serbia advance commercially and economically. Obviously, there’s also USAID, which runs its competitiveness study, agribusiness project and other programmes that are all tangible, quantifiable and successful projects on the bilateral side. Additionally, last October a commercial trade mission from the State of Ohio came to Serbia – marking the first such visit since 1989. The visit was a big success and we now hope to expand on that. The State of Illinois, meanwhile, has a different approach, as the cities of Chicago and Belgrade have a sister city relationship. Do you expect the new U.S. administration to rethink U.S. policy on Serbia or come up with some new ideas about

how to assist Serbia? As the ambassador often says, this administration is very supportive of Serbia’s role in ensuring the stability of the region and regional co-operation is key for this embassy and the administration. I do believe that the relationship between the U.S. and Serbia is good and that we are partners. There may be issues that we disagree on, but we could note that the U.S. has the most trade disputes with Canada - one of our closest allies! If situations arise that see partners disagree and continue to work together, then we can conclude that the relationship is healthy. We do agree on many issues. Where Serbia and the U.S. do disagree, we are able to come together to discuss them. In terms of assisting Serbia’s economic and commercial progress, I think the new administration will be just as supportive of those efforts as we have been in the past. Do you approach this market as part of the wider region and promote it as such, or do you concentrate solely on Serbia? Our first priority at this embassy is Serbia. We see Serbia as the rightful commercial and economic hub of the region and we try to promote that. So, while we try to attract delegations and visitors to come to Serbia, we do also encourage them to do regional trips – whether that be to Montenegro, Croatia or perhaps Hungary. That said, Serbia is the natural hub of this region and that’s what we’re promoting. Last year we had companies like Xerox and Intel, who came here and opened regional representative offices in Serbia, so we do promote the region but, frankly, we’re promoting Serbia as the region’s hub and the place to open businesses.

March 2009 / Guide to The International Business Sector 115

UNITED STATES

Promoting Investments I deeply believe that U.S. companies operating in Serbia will stay here, since we are talking about large corporations that have had tremendous success on this market for years

“If Serbia manages to attract a larger percentage of foreign investments in comparison to other regional countries, we are going to have a possibility to come out of the global economic crisis stronger than ever” Dejan Cvetković, President of the American Chamber of Commerce in Serbia

“...it is very important to reduce administrative and bureaucratic obstacles to faster business operations, which is something that investors find terribly important”

ue to the deteriorated economic situation caused by the global financial crisis, last year’s level of foreign investments in Serbia was somewhat lower than expected. According to the AmCham Serbia President Dejan Cvetković, this is not only true for U.S. investors but for all, as faltering investments is a global trend that isn’t bypassing Serbia. “Just like any other economic organisation, the American Chamber of Commerce in Serbia [AmCham], which is an association that brings together 180 domestic and foreign companies, is moderately optimistic when it comes to the development of the economy in 2009. “Although there are estimates that show the level of total foreign investments could go down this year, this number is not so important in a situation where the economic crisis has engulfed most of the world,” says the AmCham Serbia president. How much is the economic crisis in the U.S. going to affect future investments of American companies in Serbia? I don’t believe that anybody can realistically assess the affects the current crisis is having on the global economy, including market development in Serbia, at this time. However, we all agree that the full affect of the crisis will be felt in Serbia in the following few months, so that would be a more realistic timeframe to discuss investments. What we can see at the moment is that companies which already operate in Serbia are reducing some of their costs, depending on their business activity. It seems to me that this could apply to everybody, regardless of which country these companies come from. How much can AmCham Serbia help by attracting more U.S. investments to Serbia? We expect that members of the American Chamber of Commerce in Serbia will provide a significant contribution to the influx of foreign direct investments to Serbia in 2009, despite the ongoing crisis. The moves that the

116 Guide to The International Business Sector / March 2009

Government makes, together with the help of various organisations, institutions and companies that are already present on this market, can help Serbia achieve the position it deserves, i.e. that of the regional leader. This path should coincide with Serbia’s activities on European integration, but there is a series of other factors that determine how attractive our country is to investors. Number one: in addition to creating our European future, it is very important to reduce administrative and bureaucratic obstacles to faster business operations, which is something that investors find terribly important. What is even more important at this moment is to promote Serbia as an investment destination, which is something that AmCham is working on. We plan to continue doing that this year. In addition to securing a better business environment, such initiatives can open many doors for Serbia once the affects of the current financial crisis abate. Is there any danger of U.S. companies withdrawing from the Serbian market due to the global economic crisis? For now we have not received any announcements that something like that could happen and we are constantly in touch with AmCham’s members. I deeply believe that U.S. companies that operate on the Serbian market will stay here, since we are talking about large corporations that have had tremendous success on this market for years.

UNITED STATES AIG LIFE OSIGURANJE a.d.o. Spyridon Moschogiannis, Director Omladinskih brigada 88, 11070 New Belgrade JWBOB EKVSJDJD!BJH DPN XXX BJH DPN ALLIANCE ONE TOBACCO d.o.o. Dušan Cmiljić, Director Cara Nikolaja II 59, 11000 Belgrade JFGUJNPW!BPJOUM DPN XXX BPJOUM DPN AVON COSMETICS d.o.o. Elena Starkova, Director Bul. Mihaila Pupina 165G, 11000 Belgrade Elena.Starkova@avon.com www.avon.com BALL PACKAGING EUROPE David Banjai, Director Batajnički drum 21a, 11080 Zemun jelena_radicev@ball-europe.com www.ball-europe.com BASICMED ENTERPRISE Zoran Bašić, Director Viline vode bb, 11000 Belgrade zoran.basic@basicmed.rs CEEMARK S&M d.o.o. Ivan Stanković, Director Prote Mateje 11, 11000 Belgrade PGGJDF!MFLNBSL ST XXX MFLNBSL ST CHRYSLER BALKANS d.o.o. Stavros Paraskevaides, Director Oml. brigada 33, 11070 Belgrade milovan.savic@chryslerbalkans.co.yu www.chryslerbalkans.co.yu CISCO d.o.o. Goran Obradović, Director Omladinskih brigada 88, 11070 Belgrade tmarjano@cisco.com www.cisco.com/yu CITIBANK N.A. Ana Drašković, Director

Bul.Zorana Đinđića 64A/IV, 11070 Belgrade 3133469 ivana.mijuskovic@citi.com www.citibank.com COCA COLA HBC SERBIA a.d. Stefanos Vafidis, Director Batajnički drum 14-16 ,11080 Zemun stefanos.vafidis@cchbc.com www.coca-colahbc.com COLLIERS INTERNATIONAL Maja Šahbaz, Director Bul.Mihaila Pupina 115d,11070 Belgrade office@colliers.com www.colliers.com KONSING GROUP d.o.o. Zdenko Lekan, Director Surčinski put 13, 11070 New Belgrade PGGJDF!LPOTJOH DPN XXX LPOTJOH DPN DELOITTE d.o.o. Miloš Macura, Direktor Makenzijeva 24 , 11000 Belgrade tipavlovic@deloitte.com www.deloitte.com DINERS CLUB INTERNATIONAL BELGRADE Ltd. Enes Zajmović, Director Njegoševa 72, 11000 Belgrade JOGP!EJOFST ST XXX EJOFST ST ECOLAB HYGIENE d.o.o Marianne Vuković Pal, Deputy Gen. Manager Milana Tankosića 8, 11000 Belgrade natasa.kuzele@ecolab.com www.ecolab.com EKI TRANSFERS  WESTERN UNION Mirjana Zečević, Director Kosovska 1/V, 11000 Belgrade JOGP!XV DP ZV XXX XV DP ZV FIRST DATA SCG d.o.o. Olja Dakić, Director Kopernikova 8, 11000 Belgrade

zlatuska.melic@firstdata.rs www.firstdata.rs GRANCD MOTORS  FORD MOTOR Stanko Radić, Director Milutina Milankovića 21, 11070 Belgrade PGGJDF!GPSE ST XXX GPSE ST FOREVER LIVING PRODUCTS Branislav Rajić, Director Kumodraška 162, 11000 Belgrade www.flpseeu.com FOX TELEVIZIJA d.o.o. Dan Bates, Director Autoput 22, 11080 Zemun JOGP!GPYUW ST XXX GPYUW ST GLAXOSMITHKLINE EXPORT LTD Zoran Purkovic, Director Oml. brigada 88, 11070 New Belgrade zoran.z.purkovic@gsk.com www.gsk.com GLOBEX GROUP d.o.o. Dr Aca Jovanović, Deputy Director Goranska 12, 11300 Smederevo globex_sd@nadlanu.com www.globexcorp.com HEWLETT PACKARD Slobodan Radić, Director Oml. brigada 90b, 11070 Belgrade www.hp.rs HONEYWELL Laszlo Kormoczi, Director Bulevar Zorana Đinđića 64A/IV, 11070 New Belgrade laszlo.kormoczi@honeywell.com www.honeywell.com HRG SERBIA&MONTENEGRO Predrag Španjević, Director Čubrina 4/19, 11000 Belgrade office@rs.hrgworldwide.com

www.hrgworldwide.com/rs HYATT REGENCY HOTEL Žan Pjer Markadije, Director Milentija Popovića 5. 11070 Belgrade belgrade.regency@hyatt.com http://belgrade.regency.hyatt.com IBM d.o.o. Miloš Đurković, Director Mihajla Pupina 6/20, 11070 Belgrade irina.zdravkovic@at.ibm.com www.ibm.com/cs KRAFT FOODS Aleksandar Rašković, Director Francuska 81, 11000 Belgrade araskovic@krafteurope.com www.kraft.com LEO BURNETT d.o.o. Miša Lukić, Director Danila Lekića 31, 11070 New Belgrade sonja.dragojevic@leoburnett.rs www.leoburnett.rs MCCANNERICKSON GROUP Borislav Miljanović, Director Čika Ljubina 16/II, 11000 Belgrade bora.miljanovic@mccannpr.co.yu www.mccann.co.yu MCDONALD’S RESTORANI d.o.o. Jovan Blažić, Director Bul. Mihaila Pupina 85a, 11070 New Belgrade jovan.blazic@yu.mcdonalds-ce.com www.mcdonalds.co.yu MICROSOFT SOFTWARE d.o.o. Vladan Živanović, Director Makedonska 30/IV, 11 000 Belgrade mktg-srb@microsoft.com www.microsoft.com/rs MILLENNIUM FILM & VIDEO d.o.o. Zoran Savić, Director Preševska 90 , 11160 Belgrade

March 2009 / Guide to The International Business Sector 117

UNITED STATES

GUIDE TO THE

For further information, please contact alliance international media m.urosevic@cma.rs 118 Guide to The International Business Sector / March 2009

office”millennium-film.com NEOCHIMIKI d.o.o. Marko Malabrazić, Director Pančevački put 83c, 11210 Belgrade serbia@neochimiki-sa.gr www.neochimiki-sa.gr ORACLE SERBIA AND MONTENEGRO Dragana Jović, Director Bul. Avnoja 64a, V sprat, 11070 Belgrade

PRICEWATERHOUSECOOPERS d.o.o. Emmanuel Koenig, Country Managing Partner Oml. brigada 88a, 11000 New Belgrade PGGJDF!ST QXD DPN XXX QXD DPN ST BEDMINISTER CAPITAL MANAGMENT Milena Gajović Shrestha, Director Prizrenska 4a , 11000 Belgrade dijana@bedminstercapital.com US Steel Serbia d.o.o.

dragana.jovic@oracle.com www.oracle.com Pfizer H.C.P. Corporation Zoran Labudovic, Director Neznanog Junaka 5, 11000 Belgrade 381 11 3346173 zoran.labudovic@pfizer.com www.pfizer.com PHILIP MORRIS d.o.o Skip Bornhuetter, Director Zorana Đinđića 64 a, 11070 Belgrade 381 11 2010824 maja.sotra@pmintl.com www.pmintl.com

Richars Veith, Director Goranska 12, 11300 Smederevo 381 26 224459 381 26 225048 nbrkovic@cs.uss.com www@cs.uss.com XPRO d.o.o. Claude Istria, Director Radnička 5a, 11000 Belgrade 381 11 3051616 381 11 3051625 office@xpro.rs www.xpro.rs LUNA/TBWA Bojan Joksimović, Director Milovana Marinkovića 3, 11000 Belgrade 381 11 3980343 381 11 3971883 office@lunatbwa.co.yu www. lunatbwa.co.yu