Bruno Müller, board president, Association of Authorised Construction Managers Construction managers cannot do everything
Trade attachés presented Their job will be to find business partners. All other aspects will be the job of the entrepreneurs
AGROKOR Agrokor energy is planning the construction of biogas plants with total capacity of 30MW over the next five years
PAGE 6 2010
Croatian Business & Finance Weekly Established in 1953 Monday / 4th July / 2011 Year IV / No 0159 www.privredni.hr
S U P P O R T E D
T H E
pvinternational pv international C R O A T I A N
C H A M B E R
E C O N O M Y
Historical moment after 1731 days
NEGOTIATIONS END The target date of the Croatia accession is now officially July 1, 2013. Then Croatian borders will become the external boarders of the Union of membership. A year later this shock absorber of accession will total €28.6 million. The same principle has been successfully applied to 12 other members in the previous wave. In 2013, Croatia will contribute to the Union’s budget with €267.7 million.
Lada Stipić-Niseteo t took the third presidency of the EU to realise its declared priority - conclusion of Croatian pre-accession talks. The Hungarians proved themselves as diligent workers managing to finalise its mandate with a trophy. After 1,731 or 68 weeks and a total of 11 presidencies, the process is concluded after the four remaining chapters were closed and with the obligation of signing the pre-accession agreement by November 9 when ratification will start. The target date for Croatian accession is now officially July 1, 2013. As in the case of countries in the previous cycle of accession, the arrangement will enable the new member not to start as a nett contributor to the joint budget. It will take out more than it will contribute, despite possible glitches in the ability to utilise the funds.
The budget now includes Croatia In the design of the chapter on Financial and Budget Provisions, principles of the previous accession round were used and adapted to Croatian specificities. Both sides agree this is a balanced result. The new member will have the right to €800 million, which includes €93.25 million for agriculture and €40 million as
a contribution for the Schengen agreement, the zone without borders, since Croatian borders will become the external borders of the Union. During the first six months of membership, it will utilise €374.3 million, and the remainder by 2016 for other projects accepted that year. In 2014 a new mid-term budget will be agreed. The discussion, based on the first Commission proposal has already started, and there are already conflicts regarding the concept and the amount of solidarity installed in the mutual funds. If the new budget is indeed a crisis one, which some countries
advocate, Croatia will not feel the consequences since the available finances to grow as a percentage of the already determined amount, which has nothing to do with funds available up to 2014. At the moment of signing the preaccession agreement, Croatian representatives will have access to all assemblies and discussions, including those covering the budget and it will be able to make statements, but not vote. All this should be added up to the balance payment of €75 million, which guarantees the country will not contribute more than it is receiving in the initial phase
Protocols for shipbuilding and iron works The monitoring will last exclusively up to the date of accession, and special attention will be paid to two chapters - judiciary, human rights and internal affairs as well as the chapter on market competition. If the restructuring of the shipyards is not finished on time, all state subsidies from 2006 will be returned. Similar happened with shipyards in EU countries. The accession agreement will contain two protocols for the shipbuilding and iron works, which have been dragging problems since the signing of the SAA. The European Commission is responsible for an analysis every six months; it is the first in line together with the annual report on progress, and will be published earlier, in October. The next report for Croatia is due in January. The monitoring system with potential penalties will be part of the pre-accession agreement, and it will be specified they are in force exclusively up to the date of accession.
Privredni vjesnik Year IV No 0159
MARINKO DOŠEN, BOARD PRESIDENT OF MIRNA
A turn for survival
200 companies registered as translation services providers
The key to success is increasing production and better expenditure management as well as competitive products fter the severe crisis in the fish processing industry only a few producers have survived, for example Sardina, Mardešić, Delamaris, Adrija, which have slightly smaller capacity than Mirna from Rovinj who had the chance to revert to their historic norms after restructuring. Croatia protects its fish processing industry under various Acts, and this is logical since it concerns food production and export-oriented activity. During the previous year, Mirna created a focus which guarantees its survival and successful operations on the market. The key to success is increasing production capacity and better expenditure management as well as competitive products. When you have a brand, but insufficient production quantity, you need to invest into increasing capacity and find a way with marketing support.
During the previous year we increased our production by around 40% in other regional markets Mirna exports around 90% of its
production, mostly to the markets of ex-Yugoslavia, where these products sell well and show the strength of the Mirna brand. Each market in the region is specific. Whereas Podravka and its brand Eva took over a solid regional position due to a strong marketing campaign, Mirna is the absolute leader in Kosovo, and is an equal competitor with other Croatian producers in Serbia. During the previous year we increased our production by IMPRESSUM: Privredni vjesnik Kačićeva 9 10000 Zagreb +385 1 5600020 email@example.com www.privredni-vjesnik.hr/ subscription
Lost in the gr Joining the EU translators may anticipate a higher volume of wor Drago Živković
around 40% in other regional markets. During the first five months of this year, production increased by roughly 50% over 2009, and the factory has been working non-stop since last September. The advantage of Mirna is the existence of our cold-chain, fast processing and reception of fish. Last year, Mirna produced 10-12 million cans. This year the goal is to achieve 20 million, half of overall capacity. Unfortunately, the EU market has been lost as a consequence of poor management, which they are now trying to recover with new investment. The Mirna brand is one of the oldest and most recognisable brands in the Mediterranean region and as such it has enough strength to recover. Therefore, in addition to production improvements, the task of the new board is to financially restructure the company and pay back the debt to the Tax Administration that has been dragging on for eight years. Mirna did not give up on the production of frozen fish, part of the production line in the past. If the planned restructuring of Mirna is implemented, it would grow its product range and increase the number of employees.
FOR PUBLISHER Nikola Baučić +385 1 4846661 firstname.lastname@example.org
IMC MANAGER Dea Olup +385 1 5600028 email@example.com
EDITOR IN CHIEF Darko Buković +385 1 5600003 firstname.lastname@example.org
TRANSLATION Lučana Banek email@example.com Mirjana Cibulka firstname.lastname@example.org
EXECUTIVE EDITORS Andrea Marić email@example.com Vesna Antonić firstname.lastname@example.org
INTERNATIONAL OPERATIONS Ray Fletcher email@example.com
he more languages you know, the richer spectrum of the world you embrace, as is stated in the famous Latin proverb and the most-repeated foreign language teachers statement. Even though it does not have to be interpreted literally, it certainly bears a grain of truth. Translators are well aware of this, since the price of their services increases with the number and rarity of the languages within which they operate. There are over 400 professionals in Croatia whose main business activity is providing translation services to over 200 companies registered as translation services providers, according to data provided by Sandra Stojak, Executive Director at Ciklopea, one of the largest companies in this business. The number of such companies might appear to be high but few companies’ revenue exceeds €1 million. In addition, some of these companies provide translation services exclusively, whilst some also have language schools. Ciklopea generates turnover of about €1 million solely from translation services. There is no official or reliable data on total revenue for overall translation services; nevertheless, according to Sandra Stojak this service in Croatia has a turnover of over €10 million. Most translation services cover medicine, pharmacy, electrical engineering, tourism, marketing, retail, production, law, finance and IT. The share of written translation is about 80%, whilst that for oral (simultaneous) translation is about 20%. A considerable proportion of translation services are in the grey zone, whilst
there are considerable variations in quality. No-one has actually identified the extent of the grey zone; nevertheless, according to Sandra Stojak, major companies, aware of the importance of quality translation, opt for legal translation channels. Ciklopea primarily co-operates with large companies whose requirements cannot be met through the grey zone since such translations cannot guarantee high quality. Consequently, Ciklopea does not feel threatened by the grey zone as this is usually associated with the student population and small businesses with only occasional need for translation services. According to Marija Maras, Croatian Society of
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( â‚Ź1 million
annual revenue exceeded by few companies
rey zone and perplexed
k and increased competition; thus they should start preparing for higher quality in the European market Conference Interpreters President, there is a grey zone even in translation services provided to state institutions. State institutions subjected to public procurement select translation services providers by public tenders, where the basic selection criterion is the cheapest price. Tenders usually comprise both written and oral translation, which, per se, excludes specialised conference interpreters. Consequently, translation services are provided by agencies offering the cheapest services, which usually engage inexperienced translators or grey market translators in order to achieve the widest
difference between the price paid by the client and the price of work of the translators. Who is in the translation booth? â€œCroatian ministries do not use the best professional translators with deep experience and consequently at high level conventions there are often uncertainties as to who is sitting in the translation booth and translatingâ€?, explained Marija Maras. State institutions do not pay significant attention to technical or professional skills of translation contractors and sub-contractors when inviting tenders. In other countries it is necessary to provide information on the level of experience in the relevant
field; for oral translation it is necessary to provide evidence on the number of days within a certain time-frame in a specific field and it is imperative to identify the translation service provider. The lowest price cannot be the sole criterion but the most favourable bid since it is the only way not to exclude the best and, consequently, the most expensive
Setting professional standards is an imperative translation service providers, concluded Marija Maras. Translators are eagerly anticipating Croatian EU accession. Croatian translators rank favourably in the European market, according to Sandra Stojak, taking into account the fact that Croatian will be the 24th official language of the EU, which should generate additional turnover for Croatian translation service providers. Accession will increase the number of possible language combinations to 552, where several will be rare, such as Estonian-Croatian. Translators operating in rare language combinations will be able to expand and significantly increase their fees. This region is becoming increasingly interesting also with respect to the international market and consequently Croatian translators market position is strengthening. Nevertheless, setting professional standards is an imperative in order to use all the potential
on the international market, stated Sandra Stojak. Positions reached on global and the European market are reflected on the position in the region and Ciklopea is, according to Sandra Stojak, perceived as one of the leading translation service companies both in Croatia and the region. Following accession translators may anticipate a wider scope of work as well as increased competition. Consequently, they should start preparing for high quality on the European market by setting standards not only to ensure a more favourable position but also to impede competition expansion on the local market. Subsequently, Ciklopea closely co-operates with the European Language Industry Association (ELIA), whose president, Renato Beninatto, has recently visited Zagreb. According to him, Croatia should follow the example of the Czech Republic. Value to the client Prior to EU accession, Czech translation services companies were small when compared with global competitors, but then experienced a boom. Consequently the Czech company Moravia is currently among the leading translation service companies in the world, with offices in Asia, Latin America and the US. According to Beninatto, globalisation increases the importance of lesser-spoken languages such as Catalan, Irish or Maltese and also Croatian. Their identity is strengthening also with increased differences among them, extending the scope of work for translators. Consequently Beninatto believes that the language industry in Croatia possesses the potential for high growth.
Privredni vjesnik Year IV No 0159
( 500 members
in the Society of Civil Engineers Zagreb
members of the Croatian Association of Civil Engineers
BRUNO MÜLLER, BOARD PRESIDENT, ASSOCIATION OF AUTHORISED CONSTRUCTION MANAGERS
CONSTRUCTION MANAGERS CANNOT DO EVERYTHING In practice we have many cases of conditional discharge, since when someone is injured on a construction site, the construction manager is liable for everything even though it is impossible to supervise everything, especially on large and complex construction sites technical regulations, and there are a lot of them. He needs to fulfil contractual obligations towards the investor on the one side, and his employer on the other. This is why managers of construction sites often deal the least with the construction aspects, spending most of their time in meetings, dealing with legal and economic issues. They have huge responsibility, so it is not surprising more people are avoiding that position, opting for planning and supervision. I have never heard of someone who had to account for poor planning; it is always the contractors who are responsible for eventual mishaps.
Drago Živković he Association of Authorised Construction Managers was founded in March as one of twenty associations in conjunction with the Croatian Association of Civil Engineers, which has over 3,000 members. Bruno Müller, from the Zagreb company Tehnika, was named as the first president of the Association.
Why was the Association of Authorised Construction Managers created? It is a specialist association with the goal of gathering all participants involved in construction. More specifically we mean senior construction site engineers, construction site engineers and construction managers. We are also open to planners, supervising engineers and inspectors, since the planner or inspector may be the supervising engineer or contractor on the next project. Hence why we bear in mind all project participants. We are also open to graduate engineers, engineers and technicians of construction, architectural, mechanical and electro-technical professions, to all those authorised to manage works according to the Physical Planning and Building Act. The managers of construction works are mostly members of already existing associations, chambers and associations. Why did they require a special association? So their voice can be spread even further. As you know,
according to the Ordinance of Conformity for the Start of Building Activities, construction companies are categorised according to the number of engineers. The problem in all companies is that engineers run from the management of construction works to supervision or planning. What are the reasons for such flow? The engineer on the construction site operatively implements everything someone else executed before him. First comes the investor’s idea, followed by
planning, after which the project is executed on site. The manager of the construction work has to know his own profession, but also the Acts of Physical Planning and Building as well as Protection at the Work Place, since he is also liable for that. In practice we have many cases of conditional discharge, since when someone is injured on a construction site, the construction manager is liable for everything even though it is impossible to supervise everything, especially on enormous and complex construction sites. The manager must also be familiar with
Do you feel the present regulations need to change? Yes, they should. Our wish is to participate in the drafting of new Acts and regulations in the area of construction in order to eliminate obscurities in the Act on Physical Planning and Building and the Act on Engineering and Architectural Activities. Our long-term plan is to establish a chamber of contractors, and we are advocating their life-long training. How many members are you counting on? How many do you intend to encompass? The Society of Construction Engineers Zagreb, as the fundamental member of the Croatian Association of Construction Engineers, has between 400 and 500 engineers. We would be very pleased if we were to achieve the same number. We already have over 100 completed entry forms and we believe the Association has good prospects.
www.privredni.hr Business & Finance Weekly
Trade attachés presented
Call us, be assertive, we are here for you Their job will be to find business partners. All other things, negotiations, price contracting, quantity of goods, payment and other, will be the job of the entrepreneurs. Igor Vukić ecently, the first five Croatian attachés presented themselves to entrepreneurs at the Croatian Chamber of Economy – Zagreb Branch. Dunja Đurica (Vienna), Danko Martinčević (Munich), Neven Lončarević (Milan), Ivan Biljan (Chicago) and Nikola Bunjevac (Ljubljana) have been selected. Their assignment will be to help Croatian exporters find business partners and promote Croatia to foreign investors. They at their posts in July, and work should start in August. “Call us, be assertive, we are here for you,” said the attachés. “During the past two months we have visited several county chambers of economy and made preliminary contact with interested entrepreneurs.” They will work from
general consulates and embassies, and exporters will be able to contact them on the website of the Ministry of Foreign Affairs. They will work on a contractual basis and their efficiency will be evaluated annually after which the contract will be extended or terminated.
as an exporter of food products, he would ask him for help in assessing business partners, said Neven Lončarević. It is difficult to assess the credibility of foreign buyers, especially in the era of the internet. A trade attaché can use his contacts to quickly check a company and whether he believes the transaction will
All are experienced All the attachés have experience in the business world. One of the conditions included five years of experience of commercial activity. If he had a trade attaché in Italy, where he worked
be paid. Danko Martinčević believes the biggest challenge will be to change the image of trade representatives. Entrepreneurs are somewhat sceptic, dissatisfied with the previous work of economic advisors working in
embassies. Zvonimir Viduka from the company Altpro wanted to know whether attachés will have a budget to travel around the country in which they work. Aleksandar Heina, board director for Europe and Central America at the Ministry of Foreign Affairs, gave a positive reply: they will have the right to additional costs and representation. They will not have the right to a commission for the conclusion of contracts. Their job will be to find business partners. All other aspects, negotiating, price contracting, quantity of goods, payment and similar, will be the job of the entrepreneur, pointed out Heina. He announced that five or six new trade attachés will be appointed in the autumn. They will be sent to countries probably in Asia, Africa and other countries outside Europe.
CROATIAN FINANCE DIRECTORS
Croatia achieves significant progress
Priority – cost reduction
Croatia should continue with its efforts to create more potential for growth, pointed out vicepresident of the World Bank for Europe and Central Asia Philippe Le Houérou. During his first visit to Croatia after being appointed, he stressed that structural reforms are required in almost every sector in order to ensure fiscal sustainability. At the same time it is necessary to determine goals to improve the efficiency of fiscal expenditure. The World Bank will continue to help Croatia with these reforms. “We will pay special attention to building Croatia’s capacity to have full benefit from EU membership and the absorption of structural funds when they become accessible,” pointed out Le Houérou. The purpose of the visit was to discuss with government officials and members of the business community on how the World Bank can help Croatia speed up
the pace of economic recovery in order to join the EU with as much a competitive economy as possible. It should be noted that the World Bank has helped to de-mine an area of 12.2 square kilometres of agricultural land which is now ready for cultivation.
“Croatia has achieved significant progress during the past 20 years. This hard work has been rewarded with the successful conclusion of pre-accession talks with the European Union,” said Le Houérou. Since 1993 the international financial institution has financially supported 46 projects in Croatia with some $3 billion and approved 52 deeds of donation amounting to $70 million. (B.O.)
Even though Croatian companies expect financial costs to remain unchanged during the forthcoming 12 months or even to register a mild increase, they are not sure this will actually happen in such an unstable period. Deloitte’s new survey Vision of Finance Directors in Central Europe points to greater optimism registered during the past three months (75% of respondents) and the fact that financial directors believe they are on the right track to recovery and progress. Notwithstanding this positive vision of financial circumstances over the past three months, Croatian companies do not plan to take greater risks; their intention is to increase income via existing markets, mainly local (67%) and in the Eurozone (33%), opines Juraj Moravek, partner at Deloitte Croatia. Credit has become more accessible compared with the previous years, even though personal capital has gained more importance, adds Moravek.
The results of the survey show that Croatian finance directors are quite optimistic regarding the economic environment. The survey also shows that finance directors in Croatia are satisfied with the existing level of covered obligations; 75% expect that total balance sheet debt will slightly increase during the next three years, with 50% of the respondents predicting the same capacity to service their obligations during this period. In the recent Deloitte’s survey Business Attitude Indicators, company directors in Croatia showed the biggest step forward towards optimism in the second quarter of 2011 compared with the third quarter of 2010, with the optimism indicator increasing by 13%. The greatest progress was identified in the economic environment, increase in sales and anticipated investment. (V.A.)
Privredni vjesnik Year IV No 0159
CROATIAN FOREIGN CURRENCY MARKET Currency
AUD CAD JPY CHF GBP USD EUR Source: HNB
Kuna exchange mid-rate
5,509669 5,516668 6,660416 5,678773 8,814812 5,565746 7,382405
17.8% increase in bank profits According to the Croatian National Bank data, domestic bank nets profits soared to €0.26 billion over the first five months in 2011, which is 1.8% up over the same period last year. Earnings in the first four months exceeded the earnings over the same period in 2010 by 10%. The data indicate bank assets reaching approximately €54.79 billion. Bank assets increased from €53.63 billion to €54.52 billion over a one month period. One aspect of the increase is due to an increase in loans granted. Personal lending witnessed an increase of €0.34 billion in a one month period. The largest proportion of this increase was for housing loans, and currently stand at €7.93 billion.
€0.14 billion for biogas
Average salary €739 The average monthly salary for April 2011 stood at €739, indicating a nominal decrease of 1.5% and a real decrease of 1.7%. According to data from Croatian Bureau of Statistics, the average salary for this year has witnessed a nominal increase of 2.9% and a real increase of 0.5% over the same period in 2010. Balance of payments current account deficit increase According to preliminary data of the Croatian National Bank, the current account deficit in the balance of payments in the first quarter stood at €1.48 billion, €145 million up over the same period last year. The current account share in GDP is 1.41%, a slight decrease over the end of 2010 when it reached a historical minimum of 1.09% . Nevertheless, it is still considerably lower with respect to the precrisis period.
WEEK JULY 2, 2011
Agrokor energy is planning the construction of five biogas plants with total installed power capacity of about 30MW over the next five years
he Croatian conglomerate, Agrokor, has recently announced the signing of a contract with the Slovenian company GH-Holding for the construction of the first biogas plant using organic waste and waste generated from production processes, with an installed power capacity of 1MW. The first biogas plant will be constructed near Vrbovec. Subsequently the company is planning the construction of biogas plants with total installed power capacity of about 30MW over the next five years. Estimated investment value stands at €0.14 billion. It is the start of a huge Agrokor project covering the construction of biogas plants using organic waste and waste generated
from production processes in the food industry. Creating the conditions for farms to be able to dispose of their own waste will not only create savings on waste management cost-cutting but will also contribute to energy expense via their own production. In addition to generating biogas, there is also thermal energy which can be used in greenhouses, dry kilns and organic fertilizers. Consequently, biogas plants possess huge potential and this project illustrates the high level of ecological awareness within Agrokor, as pointed out in the Agrokor announcement of the new investment.
HG-Holding, Agrokor’s partner in the project, is a Slovenian construction holding company with wide experience in construction, ecological and energy projects as well as in construction of biogas plants and was consequently a logical choice. The start of construction of biogas plants is in accordance with the Agrokor business strategy founded on sustainable development principles which are implemented daily in all segments of business activity. (V.A.)
www.privredni.hr Business & Finance Weekly
ZAGREB EXCLUSIVE CARD
Success even in dry A multi-purpose card for all ages periods Zagreb Exclusive Card is unique in providing clients various benefits from over 300 partners
Provides one-stop-shop graphic solutions through a broad product range and professional consulting services rafik.net specialises in graphic preparation in all areas of print production, from commercial and press to packaging. In addition it is the largest distributor of machinery for graphic preparation and graphic input materials in the region and a Kodak representative. “Our advantage is top level technical and service support. Current longterm customers who are primarily in the printing industry, are at the focus of our attention”, explained Krešo Culjak, Director of Grafik. net, operating for 10 years with headquarters in Zagreb and Sarajevo. “We have over 80 clients in the wider region and also operate in Bosnia and Herzegovina, Macedonia, Albania and Kosovo. “We provide comprehensive graphic solutions with a broad product range, professional consulting services and reliability. 20 professionals are employed who receive continuous training and information on new opportunities and technologies since this is what creates added value and differentiation on the market”, he added.
Quality and proactive approach The inception of our entrepreneurial activity was marked by an anecdote, stated Culjak. “When we were starting up, we were faced by the ‘dry’ period of investment and sales were uncertain. Nevertheless, we not only managed to sell
our first equipment but also made a significant technological advancement on the market since we were the first to have sold the most progressive technological solution. It was the Computer to Plate (CTP) system bought by Zrinski, a printing company. The print office director told me: “You will be a huge success!” 10
Graphic services faced a severe downturn throughout the crisis years later and also during a ‘dry’ investment period, the company Markes from Banja Luka is our fiftieth CTP customer”, he explained. Graphic services faced a severe downturn throughout the crisis and it is only at this point possible to have an overall view of this industry and the potential. “We have reconstructed promptly, increasing our focus on current customers, assisting them with consultation on business processes and operating cost optimisation and providing support in achieving considerable savings”, he added. “I believe the printing industry has huge potential and can have a significant share in marketing budgets. Nevertheless, quality, following trends and proactive approach to customers will be critical for survival”, concluded Culjak. (B.O.)
agreb Exclusive Card (ZEC) has recently appeared in Croatia. It aims to promote Zagreb and provide access to shopping, fun, cultural and sporting events, education and training amongst others. According to its developer, Domagoj Delač, ZEC Director, it is a product oriented towards both clients and partners. It is a card which offers its clients VIP treatment and special discounts at various cultural, sports, gastronomic and lifestyle destinations in Zagreb. “With respect to the situation in Croatia and the last ten years, I can state that recession has been
Zagreb city a keen suporter of the scheme our exclusive spur. I wanted to assist people in creating a higher quality of life, at the same time making it more affordable. In addition, I wished to help young people regarding their financial resources and to assist them in development and entertainment, creating a better life. I have to emphasise that the card, according to its contents, is intended for people within most age groups”, pointed out Delač. Whilst most cards currently offer loyalty points or discounts only for particular categories, Zagreb Exclusive Card enables users to
obtain discounts or free services at over 300 points of access. Of the interesting list containing over 300 partners, Delač mentioned the opportunity of free entry to various sporting events Party and Lifestyle The ‘umbrella card’ consists of two subsidiary cards highlighting the targeted population: Party Card and Lifestyle Card. The names clearly indicate their intended purposes. Party Card implies content in connection with entertainment and night life – free entry to clubs, without lists and waiting, discounts on matches, concert tickets, restaurants and coffee bars, cinema tickets, taxi fares and similar, whilst the Lifestyle card offers a broad range of privileged services ranging from foreign language schools, to tourist agencies and dry cleaning facilities. Zagreb Exclusive Card is the result of co-operation between TELE2, Europapress holding and RLT and is supported by the city itself. One of the advantages of becoming part of the ZEC project for small, medium-sized and large company partners is, according to Delač, focusing the attention of the client towards the exclusive purchase of their brand and, more importantly, direct advertising for small, medium and large companies by web and email newsletter. (P.V.)
Privredni vjesnik Year IV No 0150
CHINA-CROATIA TOURISM CO-OPERATION
Country of laughter, city of happiness In September the second world tourist fair will be held in Hangzhou with Croatian tourism being presented for the first time. Sanja Plješa or the past couple of years the level of economic and tourism co-operation between Croatia and China has been intensifying, and the fact that the Association of Croatian Travel Agencies (UHPA) has had a long presence on the Chinese market supports this. Last year, Chinese registered 13,195 tourist arrivals into Croatia, 75.1% more compared with 2009, and 23,143 overnight stays or 49.5% more. It is known that Chinese visit Croatia when travelling through Europe and over 60,000 Chinese tourists visited Central and East European countries last year. At the same time, 200,000 Europeans travelled to China from that area. In order to bring Croatia closer to the tourist offer
The history of Hangzhou spans 8,000 years of China, where people carry an “eternal smile” on their faces, and to introduce the Chinese to Croatian natural beauties, 16 representatives of the Chinese tourism recently visited Croatia. They included directors of tourist boards, agency owners and tour operators, hotel owners and directors, all from the City
of Hangzhou and Zhejiang province. They visited Plitvice, Split and Dubrovnik, and held a presentation in Zagreb on the tourist offer of Zhejiang. They also met with the representatives of UHPA and the Croatian Tourist Board. Hangzhou – the most touristic of Chinese cities Talking about Croatia as the country of Marco Polo, Zhuge
Jinhua, director of the Tourist Board of the City of Hangzhou, mentioned that Hangzhou was one of his favourite cities. It is the capital of the Zhejiang province, located in the south-east of China, near Shanghai. This city, spread over 16,600 square kilometres and with a population of 8 million people, is the sixth biggest city in the world. The history of Hangzhou spans 8,000 years, and it is included in the seven largest ancient Chinese cities, pointed out Zhuge Jinhua during the presentation. Four years
ago, the World Tourist Organisation (UNWTO) declared this city as the top Chinese tourism city. Each year Hangzhou is visited by 65 million tourists and visitors who come to 6,000 various festivals, 1,000 of which are international. The spring West Lake Lotus Festival is especially interesting and it is visited by more tourists every year. From 17 September to 18 October of this year, the second World Tourist Fair will be held there, where representative of Croatian tourism will participate for the first time.
pect but also a production-based economy is of critical importance.
wellness, beauty-parlours or sports activities) and is owned by the company Megaplakat from Split, which is planning to expand its business activity abroad.
::: news Tamura: Croatian crisis is structural Zagreb houses the highest number of people (792,875, up 13,730 from 2001). Split-Dalmatia county follows (455,242, down 8,400 from 2001) whilst Zagreb county is home to 327,039 (an increase of over 17,000 on 2001). Osijek-Baranja has 304,899 people (25,600 less than in 2001), whilst the least populated areas are Lika-Senj (51,022 down 2,655) and Požega-Slavonija County (78,031 down 7,800).
Croatian economic recovery is aggravated by structural problems and the solution could be found in comprehensive administrative reform, according to the Japanese ambassador Yoshio Tamura at a recent lecture organised by the monthly magazine Banka. Ambassador Tamura proposed comprehensive administrative reform or a decrease in the public sector to tackle these structural problems. Industrial reform is also an imperative – not only is a services-based as-
Megapopust.hr employs 150 part-time staff Internet portal for group shopping, Megapopust.hr, will employ 150 part-time staff in 12 towns, who will be in charge of client attraction and finalising sales contracts over the portal. The portal offers daily discounts from 50% to 90% on services used daily (restaurants, cinemas,
About 150,000 citizens fewer than 2001 According to preliminary data from the Croatian Bureau of Statistics, Croatia has 4,290,612 citizens, 1,535,635 families and 2,257,515 residential units. This is 146,848 fewer citizens than 2001.
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